Import/Export

International Trade
Traders: Single/Group
📦 IMPORT/EXPORT & INTERNATIONAL TRADE IN BANGLADESH

International trade refers to the exchange of goods and services across national borders. In
Bangladesh, this trade is vital to the economy, involving both exports (sending goods abroad)
and imports (bringing goods into the country).

🇧🇩 TRADE AUTHORITY & REGULATIONS IN BANGLADESH

Key governing bodies include:

 Ministry of Commerce
 National Board of Revenue (NBR)
 Bangladesh Customs
 Export Promotion Bureau (EPB)
 Bangladesh Bank (for foreign exchange)
 Bangladesh Investment Development Authority (BIDA)

🧑‍💼 TYPES OF TRADERS

1. Single Trader (Sole Proprietor)

 Operates a one-person business.
 Handles trade through personal Trade License and Import/Export Registration Certificate
(IRC/ERC).
 Common in small-scale garment exporters or boutique importers.
2. Group Traders (Partnerships or Limited Companies)
 Larger scale operations with multiple stakeholders.
 Better suited for high-volume international trade.
 Often includes readymade garment (RMG) exporters or major electronics importers.
📜 STEP-BY-STEP TRADE PROCESS IN BANGLADESH

➤ Step 1: Registering as a Trader

 Trade License from City Corporation.

 TIN Certificate (Tax Identification Number).
 VAT Registration (via NBR).
 IRC/ERC from the Chief Controller of Imports & Exports (CCI&E).
➤ Step 2: Finding a Foreign Buyer/Supplier

 Attending trade fairs, contacting embassies, using B2B platforms (like Alibaba,
Export.gov).
 Contract agreement signed based on Incoterms (FOB, CIF etc.).
➤ Step 3: Opening an L/C (Letter of Credit)

 Opened through a commercial bank in Bangladesh.

 Ensures secure payment and delivery between importer and exporter.
 Bangladesh Bank monitors the currency exchange.
➤ Step 4: Shipment of Goods

 Exporter ships goods via air/sea/land.

 Goods are inspected by Customs Authorities.
➤ Step 5: Customs Clearance

 Required documents:
o Commercial Invoice

o Packing List

o Bill of Lading/Airway Bill

o Certificate of Origin

o L/C copy

 Customs duties and VAT calculated and paid.

 Goods released upon clearance.
➤ Step 6: Delivery and Final Payment
  Goods delivered to buyer/importer.
 Final settlement occurs as per L/C terms.

🧵 REAL-LIFE EXAMPLE 1: Export by Single Trader

Meherun, a sole proprietor from Narayanganj, exports hand-woven sarees to the UK. She:
 Registers with CCI&E for an ERC.
 Finds a UK buyer via Instagram.
 Opens an L/C via her local bank.
 Exports 200 sarees by air cargo.
 Receives payment through bank after customs clearance.

👕 REAL-LIFE EXAMPLE 2: Group Trade – RMG Industry

DBL Group, a major garment exporter:

 Operates under a limited company.
 Exports large quantities of T-shirts to H&M in Europe.
 Handles high-volume L/Cs through multiple banks.
 Uses the EPZ (Export Processing Zone) for tax benefits.
 Follows sustainability protocols to maintain international compliance.

✈️IMPORT EXAMPLE: Electronics Retailer

Shanto Electronics, a Dhaka-based importer:

 Imports mobile phones from China.
 Has an IRC and Trade License.
 Opens an L/C with UCBL bank.
 Receives shipment at Chittagong Port.
 Pays customs duty based on HS Code.
 Sells the products via local retail stores and e-commerce.
🚧 CHALLENGES IN INTERNATIONAL TRADE (Bangladesh Context)

 Port congestion (e.g., Chittagong Port)

 Bureaucratic delays in getting licenses
 Fluctuating exchange rates
 Compliance with international quality standards
 Corruption and unofficial fees

🛠️IMPROVEMENTS & INITIATIVES

 Digital customs clearance (ASYCUDA World)

 One-Stop Services (OSS) for business registration
 Bangladesh Trade Portal for info on duties/regulations
 Ongoing infrastructure development at ports

📌 Summary

Step Description

Get licensed Trade License, TIN, VAT, IRC/ERC

Partner abroad Via online or trade fairs

Open L/C Through commercial bank

Ship goods Follow Incoterms, insure goods

Customs clearance Pay duties, submit documents

Final delivery Receive goods or get paid

Necessary Document: Trade License

 NID
 Photo
 Address of Business: Rent/Space
 Fees
📃 What is a Trade License?
A Trade License is an official document issued by the City Corporation or Municipality that
legally permits an individual or business to carry out commercial activities in a designated area.
It is mandatory for any business (single or group) operating in Bangladesh.

🧾 DOCUMENTS REQUIRED FOR TRADE LICENSE

Here’s a checklist of what you need to apply:

Document Purpose

NID (National ID Card) To verify applicant’s identity

Passport-size Photograph For the official license record

Rental Agreement / Ownership Document Proof of business location

Must be a physical space – home, shop, office,

Address of Business
etc.

TIN (Tax Identification Number) – sometimes

For financial and tax purposes
required

Application Form (from local authority) Completed with business details

Prescribed Fee Payable to the City Corporation/Municipality

🛠️STEP-BY-STEP PROCESS IN BANGLADESH

✅ Step 1: Choose the Correct Authority

 Dhaka South/North City Corporation, Chattogram City Corporation, or local

Pourashava (Municipality) depending on your area.

✅ Step 2: Prepare the Documents

 Gather your NID, photos, rental agreement (or space ownership document), and
business name.
 Make sure your business address is clearly mentioned.

✅ Step 3: Fill Out the Application

You can get the form:

  From the Ward Office (typically Ward Councilor’s office)
 Or sometimes download from the City Corporation website
Fill in:
 Type of business (e.g., grocery, tailoring, consultancy)
 Owner’s details
 Address of business
 Employee details (if any)

✅ Step 4: Submit the Form with Documents

 Submit all papers to the ward secretary or designated officer.

 Inspection may be done by an official to verify the business location.

✅ Step 5: Pay the Fees

 Trade license fees depend on:

o Type of business

o Location

o Size of the business

 Ranges from BDT 500 to BDT 5,000+ annually

 An extra signboard fee might be required (e.g., BDT 200-1,000)

✅ Step 6: Receive the License

 Issued usually within 3-7 working days

 Renewal is yearly, with payment of a renewal fee

💼 REAL-LIFE EXAMPLE: "Asha Fashion Tailors"

Asha, a young entrepreneur in Khulna, wants to open a tailoring shop.

Her Process:
 1. Finds a small shop space in Khalishpur for BDT 5,000/month.
2. Signs a rental agreement with the shop owner.
3. Collects:
o Her NID

o 2 passport photos

o Photocopy of the rental deed

4. Goes to the local Ward Office, gets the application form, fills in:
o Business Name: Asha Fashion Tailors

o Type: Service

o Employees: 2 assistants

5. Pays a license fee of BDT 1,200

6. Officer inspects her shop
7. License is issued in 5 days
She now proudly hangs the Trade License at her shop’s entrance—a sign that she’s legal, ready,
and open for business!

💡 Pro Tips

 Keep a photocopy of everything you submit.

 Renewal is crucial; missing it can lead to fines or suspension.
 Some areas allow online application (especially Dhaka) through:
o https://www.dncc.gov.bd/ or https://www.dscc.gov.bd/

📌 Summary Table

Step Action

1 Collect documents (NID, photos, address proof)

2 Get and fill out application form

3 Submit to Ward Office

Step Action

4 Pay applicable fees

5 Wait for inspection and approval

6 Receive trade license

Bank Account
 Trade License
 NID Card
 Photo
 Business Address
 Rental Deed/Ownership document
 Primary Deposit
🏦 Opening a Business Bank Account in Bangladesh

A business bank account allows you to:

 Receive payments legally (local and international)
 Pay suppliers and employees
 Maintain financial transparency
 Get access to business loans or trade financing

✅ REQUIRED DOCUMENTS

Document Purpose

Trade License Proof of legal business operation

NID Card National identification of the account holder(s)

Passport-size Photo For bank records

Business Address Must match the Trade License

Rental Deed or Ownership

Confirms the business operates from a physical location
Document

Initial deposit required to open the account (varies by bank, e.g.,

Primary Deposit
BDT 1,000–10,000)

For partnerships or companies, you may also need:

  Partnership deed / Certificate of Incorporation
 TIN certificate
 Resolution of Board (for limited companies)

🧭 STEP-BY-STEP PROCESS

🪪 Step 1: Prepare Your Documents

Make sure you have:

 A valid trade license (recently issued or renewed)
 A photocopy of your NID
 2 passport-size photos
 Your business address, which must match your trade license
 A rental agreement or land ownership deed

🧑‍💼 Step 2: Choose the Right Bank

Some of the most popular banks in Bangladesh for business accounts:

 BRAC Bank (very SME-friendly)
 Dutch-Bangla Bank
 Bank Asia
 Islami Bank Bangladesh Ltd
 United Commercial Bank (UCB)
Different banks may offer:
 Online banking
 Trade finance facilities (L/C, export-import support)
 Merchant services (e.g., POS machines, mobile banking)

📝 Step 3: Fill Out the Bank's Business Account Application Form

 Mention business name, type (sole proprietorship/partnership/company)

  Attach all required documents
 Choose account type (Current Account is most common for businesses)

💰 Step 4: Deposit the Primary Deposit

 Typically ranges from BDT 1,000 to BDT 10,000, depending on the bank and account
type.
 This amount is credited to your new account.

✅ Step 5: Account Verification & Activation

 The bank verifies your documents.

 Some banks may visit your business address to confirm its existence.
 Once approved, the account is opened within 2–5 working days.
You’ll receive:
 Account Number
 Cheque Book
 Online/Mobile Banking Access

💼 REAL-LIFE EXAMPLE: “Rafiq’s Auto Parts”

Rafiq, a sole trader in Sylhet, decides to open a business bank account to receive payments from
wholesalers and garages.
Here’s how he did it:
1. Collected documents:
o Trade license for Rafiq Auto Parts

o NID

o 2 photos

o Rental deed of his shop in Amberkhana

2. Visited a nearby BRAC Bank branch

3. Filled out the SME Business Account form
 4. Deposited BDT 5,000 as the primary deposit
5. Bank officer did a field visit to verify his shop
6. In 3 days, the account was live, and Rafiq started:
o Receiving payments via bank transfers

o Ordering auto parts from Dhaka via online payment

o Applying for a small business loan!

📌 Summary Table

Step Action

1 Gather documents: Trade License, NID, photo, address proof

2 Choose a bank

3 Fill out application form

4 Make the initial deposit

5 Wait for verification and account activation

🚀 Extra Tips

 Use a current account for frequent transactions; savings accounts are not ideal for
businesses.
 Link your account to Bkash/Nagad merchant or POS if you want to accept digital
payments.
 Always keep the trade license renewed; expired licenses may freeze your account.
 Banks may require TIN (Tax ID) for certain account types or larger transactions.

IRC/ERC
 Trade License
 Bank Statement
 NID
 Photo
 TIN Certificate
🌍 WHAT IS IRC/ERC?

Term Meaning Purpose

IRC Import Registration Certificate Legal permission to import goods into Bangladesh

ERC Export Registration Certificate Legal permission to export goods from Bangladesh

Both are issued by the Office of the Chief Controller of Imports and Exports (CCI&E) under
the Ministry of Commerce.
🔑 Without IRC/ERC, you can’t open a Letter of Credit (L/C) or legally participate in
import/export trade.

📄 REQUIRED DOCUMENTS

Here’s what you’ll need for both IRC & ERC:

Document Purpose

Proof your business is legally

✅ Trade License
registered

To show your financial capacity

✅ Bank Solvency Certificate / Bank Statement
to trade

✅ NID Verifies your identity

✅ Passport-size Photo For application records

✅ TIN Certificate Shows tax compliance status

✅ Chamber of Commerce Membership (optional but

For added credibility
recommended)

For limited companies, also needed:

 Certificate of Incorporation
 Memorandum & Articles of Association
 Board Resolution

🛠️STEP-BY-STEP PROCESS

✅ Step 1: Prepare All Necessary Documents

  Organize soft and hard copies of the above documents.
 Open a current business bank account if not already done.
 Make sure your TIN and Trade License are up to date.

✅ Step 2: Get Bank Solvency Certificate

 Request it from your business bank (like UCB, BRAC, Dutch-Bangla).

 It confirms your business has sufficient funds to engage in import/export.
 Often includes 6-month bank statement too.

✅ Step 3: Apply at CCI&E

You can apply:

 Physically at the CCI&E zonal office (e.g., Dhaka, Chattogram)
 Online via www.ccie.gov.bd (for some regions and services)
Submit:
 Duly filled IRC/ERC application form
 Required documents
 Pay prescribed fees via Treasury Challan or Online Payment

✅ Step 4: Payment of Fees

 Fee depends on business capital:

o Capital up to BDT 1 lakh: around BDT 5,000

o Larger businesses: up to BDT 50,000+

 Paid through the Sonali Bank treasury or online via ekpay.gov.bd

✅ Step 5: Verification & Issuance

 CCI&E verifies your documents

 If everything is good, your IRC or ERC is issued within 7–15 working days
  You’ll receive a digital certificate, often downloadable online

📦 REAL-LIFE EXAMPLES

1. IRC Example – “Siam Electronics” (Importer)

Siam runs a gadget shop in Dhaka and wants to import mobile phone accessories from China.
Steps:
 Gets Trade License & TIN
 Opens a current account at DBBL
 Requests a Bank Solvency Certificate (shows BDT 150,000)
 Submits documents to CCI&E Dhaka
 Pays BDT 6,000 fee
 Receives IRC in 10 working days
 Now can legally open L/Cs for importing electronics

2. ERC Example – “Asha Fashion Tailors” (Exporter)

Asha wants to export handmade sarees to Canada.
Steps:
 Gets all required documents
 Joins the Handicrafts Export Association
 Opens business account at BRAC Bank
 Applies for ERC at CCI&E Khulna office
 Pays a BDT 5,500 fee
 Gets ERC in 7 days
 Now exports legally with L/C and customs clearance

📌 SUMMARY TABLE
Step Action

1 Collect documents: Trade License, Bank Cert, NID, TIN, Photo

2 Get Bank Solvency Certificate

3 Submit application to CCI&E

4 Pay fees via Treasury or ekpay

5 Receive IRC/ERC after verification

🚀 PRO TIPS

 Always renew Trade License and TIN before applying.

 Membership in a business chamber (like FBCCI or BGMEA) speeds up the process.
 Some freight forwarders or trade consultants offer help with IRC/ERC processing for a
small fee.

Opening PI
 Draft PI
 Original/Final PI
 PI Acceptance by Importer
📦 What is a PI (Proforma Invoice)?

A Proforma Invoice (PI) is a preliminary document sent by the exporter to the importer that
outlines the details of the sale before the goods are shipped. It acts as a formal offer and is
required for LC processing in Bangladesh.
Think of it as an "engagement ring"—not the final marriage (invoice), but a strong commitment
with the essential terms.

📝 Key Elements of a Proforma Invoice

A PI typically includes:

Element Description

Seller & Buyer Info Names, addresses, contact details

Element Description

PI Number & Date Unique identification

Product Description Detailed item list with specifications

Quantity & Price Total number and unit price

Delivery Terms e.g., FOB, CIF, CNF

Payment Terms e.g., 100% L/C at sight

Port of Loading & Discharge From which port to which

Shipment Timeline Delivery deadline

Validity PI expiration date

Bank Details Exporter’s bank for payment

Signature Signed and stamped by the exporter

🔄 PI Process in Bangladesh

✅ Step 1: Draft PI from Exporter

The foreign exporter sends a draft PI to the Bangladeshi importer with all the commercial terms
(prices, shipping terms, quantity, etc.).
This is not the final version—it's shared for review, negotiation, or amendment.

✅ Step 2: Review & Negotiate

The importer:
 Reviews all terms
 May request changes (price reduction, different shipment date, etc.)
 Communicates with the exporter to finalize the deal

✅ Step 3: Final/Original PI Issued

Once both parties agree, the exporter issues a Final/Original PI:

  Signed and sealed
 Sometimes includes a unique reference number for customs or bank use
This PI is now a binding offer, accepted by the importer.

✅ Step 4: PI Acceptance by Importer

The Bangladeshi importer:

 Accepts the PI in writing (email, letter, or stamp on PI)
 Submits it to their commercial bank
 The bank uses this PI to open the Letter of Credit (L/C)
Without an accepted PI, L/C cannot be opened—no PI, no party!

🧾 Required Documents to Open L/C using PI

Document Source

Accepted Final PI Exporter

Trade License Importer

IRC Importer

Bank Solvency Certificate Importer's Bank

TIN Importer

Application for L/C Opening Importer's Bank

💼 REAL-LIFE EXAMPLE: "Rana Imports Ltd."

Rana Imports Ltd., based in Narayanganj, wants to import textile dye from a supplier in India.
Step-by-step:
1. Supplier in Mumbai sends a Draft PI for 5,000 liters of textile dye, CIF Chittagong Port.
2. Rana reviews the draft and negotiates:
o Delivery deadline moved earlier

o 5% discount for bulk purchase

 3. Exporter sends Final PI, dated and signed.
4. Rana accepts it by stamping "Accepted" and signing.
5. Rana submits the PI to Dutch-Bangla Bank to open an L/C.
6. Bank processes the L/C using the PI details, notifies exporter.
7. Shipment proceeds as per the accepted PI.

📌 Summary Table

Step Action

1 Exporter sends Draft PI to Importer

2 Importer reviews, negotiates terms

3 Exporter sends Final PI

4 Importer accepts Final PI and submits to bank

5 Bank uses PI to open L/C

🚀 PRO TIPS

 Always verify exporter credentials to avoid fraud.

 Match PI terms with your L/C and shipment needs.
 Use email or official letterhead for acceptance—banks require proof.
 If terms are complex (e.g., multiple goods, special packaging), ask for itemized
breakdowns in the PI.

Opening of LC
 Bank AC
 Necessary LC Value in USD
 PI Value, Insurance
 Bangladesh Bank
 Exporter bank
 LC received confirmation by Bank
💳 What is an LC (Letter of Credit)?
A Letter of Credit (LC) is a guarantee issued by the buyer’s bank (importer) that ensures the
seller (exporter) will be paid once certain conditions (usually related to shipping) are met.
This is the golden handshake in global trade—backed by banks.

🧾 REQUIRED ELEMENTS TO OPEN AN LC

Requirement Purpose

✅ Bank Account You need a business account to apply for LC

Exact foreign currency amount required for

✅ LC Value in USD
transaction

✅ Proforma Invoice (PI) Basis for opening the LC

Must insure goods under a local insurance

✅ Insurance
company

✅ Approval from Bangladesh Bank (if over

Regulates foreign exchange transactions
certain limits)

✅ Exporter’s Bank Info LC is sent to exporter’s bank for processing

Confirmation that exporter’s bank has

✅ LC Confirmation Receipt
received LC

🔄 STEP-BY-STEP PROCESS OF OPENING AN LC IN BANGLADESH

✅ Step 1: Maintain a Business Bank Account

You must have a current account with a commercial bank (like BRAC, UCB, SCB, etc.) that
handles foreign trade.

✅ Step 2: Submit Final PI & Determine LC Value

 The PI (Proforma Invoice) determines the total value in USD (or EUR/GBP).
 You’ll convert the equivalent BDT to USD based on the day’s exchange rate.
Example: PI shows $20,000 worth of goods = ~BDT 2,400,000 (if $1 = 120 BDT)
✅ Step 3: Arrange Local Insurance

Before opening the LC, importers must insure the goods with a Bangladeshi insurance company
(e.g., Sadharan Bima, Green Delta).
 Insurance policy (INP) must match goods value and shipping details.

✅ Step 4: Apply to Bank for LC Opening

Submit the following to your bank:

 Final PI (signed)
 Insurance certificate
 IRC, TIN, Trade License
 Bank Solvency Certificate
 LC Application Form (provided by the bank)
Your bank will open the LC on your behalf.

✅ Step 5: Bangladesh Bank Approval (If Needed)

For large transactions (usually above $500,000), the bank must get clearance from Bangladesh
Bank under the Import Policy Order and Foreign Exchange Regulation Act (FERA).

✅ Step 6: LC Sent to Exporter’s Bank via SWIFT

 The LC is sent to the exporter’s (beneficiary's) bank through SWIFT message

(MT700).
 Contains all terms: shipment deadline, document requirements, payment terms.

✅ Step 7: Exporter Confirms the LC

 Exporter reviews LC terms.

 If everything matches the PI, they proceed to ship the goods.
 If not, they ask for amendments.
✅ Step 8: LC Confirmation by Exporter Bank

The exporter’s bank sends an acknowledgment (MT730) confirming receipt and acceptance of
the LC.

💼 REAL-LIFE EXAMPLE: “Amin Agro Ltd.”

Amin Agro Ltd., a Bangladeshi company, wants to import agricultural machinery from
Germany.
1. Receives PI from German supplier for $35,000.
2. Opens a current account at United Commercial Bank (UCB).
3. Buys insurance from Green Delta Insurance.
4. Submits:
o PI

o IRC, TIN, Trade License

o Insurance policy

o LC application form

5. UCB checks documents and converts BDT to USD using exchange rate.
6. UCB opens LC via SWIFT, sends it to Deutsche Bank (Germany).
7. Deutsche Bank confirms receipt to UCB.
8. German exporter ships goods and submits shipping docs.
9. UCB makes payment once docs are verified.

📌 SUMMARY TABLE

Step Description

1 Maintain bank account with trade license

2 Get PI, determine LC value in USD

3 Buy insurance from local insurer

4 Submit application + documents to bank

Step Description

5 Bank opens LC via SWIFT

6 Bangladesh Bank clearance (if needed)

7 Exporter’s bank receives & confirms LC

8 Goods are shipped; payment released on valid docs

🚀 PRO TIPS

 Always double-check PI vs LC terms—errors can delay or void payment.

 Use reputable insurance companies and get proper coverage.
 Keep records of all documents submitted.
 Try to get LCs confirmed by exporter’s bank if shipping from high-risk regions.

Container Booking
 Container booking by Exporter/Importer
 FCL VS LCL
 Freight forwarder/shipping agent
 Loading of container in ship with document
 Loading of goods with a copy of all document
 Ship-direct/indirect to port in Bangladesh
🚢 What Is Container Booking?

Container booking refers to reserving space on a cargo ship to transport goods internationally.
Whether you're an exporter or importer, you (or your freight forwarder) must book containers in
advance to ensure timely delivery.

🔄 WHO BOOKS THE CONTAINER?

 Usually the exporter books the container (FOB, CIF terms)

 Sometimes the importer books it (EXW, FCA terms)
 Decision depends on Incoterms (international trade terms)
📦 FCL vs LCL: What’s the Difference?

Term Full Form Used When Advantage

Lower cost per unit, better

FCL Full Container Load Goods fill an entire container
control

Less than Container Goods share container space with Cost-effective for small
LCL
Load others shipments

👉 In Bangladesh, FCL is more common for large importers/exporters like garments, electronics,
food.

🧭 Step-by-Step Container Booking Process (Bangladesh Perspective)

✅ Step 1: Choose a Freight Forwarder or Shipping Agent

 Either party (exporter/importer) hires a freight forwarder or shipping agent.

 These agents book the container and handle:
o Shipping schedule

o Port clearance

o Logistics

 Top freight forwarders in BD: Kuehne + Nagel, Maersk Line, DHL Global, Expo
Freight Ltd. (EFL)

✅ Step 2: Select FCL or LCL

 Based on cargo volume:

o FCL = exclusive use (20 ft or 40 ft container)

o LCL = shared container (charged per CBM – cubic meter)

🔧 Example:
Imran Imports Ltd. wants to import 100 washing machines from China. They choose:
 FCL (40 ft container)
 Booked via Maersk Line through shipping agent in Guangzhou
✅ Step 3: Book the Container

 Freight forwarder checks available vessels, schedules, and port routes.

 Books space and provides booking confirmation to exporter/importer.
 Container is delivered to loading warehouse or port terminal.

✅ Step 4: Load Goods and Prepare Documents

The exporter:
 Loads goods into the container at warehouse or terminal
 Ensures proper packaging, labeling, container sealing
 Prepares documents including:
o Packing List

o Commercial Invoice

o Certificate of Origin

o Bill of Lading draft

o LC Copy (if under L/C)

o Shipping Instructions

✅ Step 5: Submit Documents to Freight Forwarder & Ship

 Freight forwarder submits the manifest and shipping docs to the carrier (ship
company).
 Container is loaded onto the ship.
 A Bill of Lading (B/L) is issued by the shipping line.
 A copy of the B/L and other documents is shared with:
o Importer

o Importer’s bank

o Customs in Bangladesh (eventually)

✅ Step 6: Ship Route — Direct or Indirect

Route
Meaning Notes
Type

Direct Ships directly from origin port to Chittagong or Faster, often used for bulk cargo
Ship Mongla Port in Bangladesh or major trade routes

Indirect Ship transits via Singapore, Colombo, or Port Common for LCL or routes
Ship Klang (Malaysia) before reaching BD without direct links

⛴️Example: A shipment from Turkey might go through Colombo before reaching Chittagong.

📦 Real-Life Example: “Fahim Fabrics Ltd.”

Fahim Fabrics Ltd. in Bangladesh imports textile dyes from South Korea.
Scenario:
 Uses FCL 20 ft container
 Books via freight forwarder EFL Korea
 Goods loaded at Incheon Port
 Documents: PI, Invoice, Packing List, LC copy
 Ship takes indirect route: Incheon → Singapore → Chittagong
 Freight forwarder shares tracking, ETA, and B/L copy
 Chittagong Port receives manifest 3 days before arrival

📌 SUMMARY TABLE

Step Action

1 Hire freight forwarder/shipping agent

2 Choose FCL or LCL based on cargo volume

3 Book container space

4 Load goods with documentation

Step Action

5 Submit docs & ship goods

6 Goods arrive at BD port via direct/indirect route

🧠 PRO TIPS

 Double-check port charges, especially for LCL (hidden costs!).

 Always get container inspection photos—protects against damage claims.
 Track containers using the shipping line’s website or freight apps.
 For LCL, consolidation warehouse deadlines are important!

Document in Container
 PI
 Packing List
 Commercial Invoice
 Details declaration of goods
 Certificate of origin
📦 Documents Inside a Container Shipment (for Bangladesh Import)

Each document plays a specific role in helping:

 The importer
 Bangladesh Customs
 Banks (for LC settlements)
 Freight Forwarders
Here’s a breakdown of each required document, its purpose, and how it's handled.

1. 🧾 Proforma Invoice (PI)

✅ What it is:

 A quotation given by the exporter before shipment.

 Contains: product description, price, quantity, delivery time, shipping terms (Incoterms),
payment terms.
📌 In Practice (Bangladesh):

 Required before LC opening.

 Customs may verify PI against the Commercial Invoice during clearance to ensure no
under/over-invoicing.
📘 Real Example:

Rahman Electronics Ltd. gets a PI from a supplier in Shenzhen for LED TVs—includes CIF
Chittagong price, product HS codes, and brand names.

2. 📋 Packing List

✅ What it is:

 Detailed list showing how goods are packed, weight, dimensions, and number of
cartons/boxes.
 Includes marks and numbers (useful for locating goods inside container).
📌 In Practice (Bangladesh):

 Customs officers use it to match declared quantity with actual container contents.
 Also used by freight forwarders during de-stuffing (unloading).
📘 Real Example:

Mithila Fashion Ltd. imports garments. The packing list shows:

 200 cartons
 Each contains 100 T-shirts, categorized by size
 Gross/Net weight clearly mentioned

3. 💰 Commercial Invoice

✅ What it is:

 The official bill from exporter to importer, used for customs valuation.
 Contains value, currency, product description, HS Code, and payment terms.
📌 In Practice (Bangladesh):

 Must match LC and PI details.

  Used by NBR (National Board of Revenue) for calculating Import Duty, VAT, and
AIT.
⚠️Tip:

Inconsistency between PI and Commercial Invoice can delay port clearance.

4. 📄 Details Declaration of Goods

✅ What it is:

 A document that summarizes the nature of goods: type, use, quantity, technical details,
and HS codes.
 Sometimes merged into invoice or packing list.
📌 In Practice (Bangladesh):

 Crucial for Customs Clearance and NBR approval.

 Used to ensure goods are not restricted/prohibited, and correct duties apply.
📘 Real Example:

AgroTech Ltd. imports agricultural pesticides. Their declaration includes:

 Chemical composition
 Intended use
 UN Hazard Code
 Product approval number (if applicable)

5. 🌍 Certificate of Origin (COO)

✅ What it is:

 Official document stating the country of manufacture/origin of the goods.

 Usually issued by Chamber of Commerce or authorized agency.
📌 In Practice (Bangladesh):

 Needed to claim preferential duty rates under trade agreements like SAFTA, APTA, or
D-8.
 Without this, goods are charged full duty rates.
📘 Real Example:

Textile importer from India claims SAFTA benefits.

 Submits COO issued by Federation of Indian Export Organisations (FIEO)
 Receives lower customs duty on fabric

🚀 Real-Life Workflow Example:

Let’s say Arif Tech Ltd. in Dhaka imports smartphones from South Korea.

Document Who Prepares When Used Where Used

For LC and customs value

PI Korean Supplier Before LC
reference

Container content, customs

Packing List Supplier Before shipment
check

Commercial After LC, pre-

Supplier Customs duty & payment
Invoice shipping

Goods Declaration Supplier + Freight agent During shipping NBR & customs clearance

Certificate of Korean Chamber of

Before ship sails Preferential duty benefit
Origin Commerce

📌 Summary Table

Document Purpose Common Problems

PI Quotation; base for LC Mismatch with invoice

Packing List Verifies physical goods Missing item codes

Commercial Invoice Declares value Currency or unit mismatch

Declaration of Goods Confirms product type and legality Incomplete tech specs

COO Claims duty reduction Missing signature/stamp

🔐 Why These Docs Matter in Bangladesh

 Without accurate documents, the shipment is held at port (extra demurrage fees apply!)
  Customs may impose penalties for undervaluation
 Lack of COO = missed tax concessions
 Discrepancies between documents = shipment delay or rejection

Documents through bank to bank

 Exporter bank, verification by central bank
 Exporter bank to directly importer bank
 Document receipt from bank
 Attestation by the importer
 Handed over to the CnF
🏦 What Is "Documents Through Bank to Bank"?

It refers to the secure exchange of trade documents (e.g., Bill of Lading, Invoice, COO) from
exporter’s bank to importer’s bank, ensuring:
 Legal compliance
 Protection for both buyer & seller
 Smooth customs clearance
This process involves:
1. Exporter’s Bank
2. Central Bank (Bangladesh Bank)
3. Importer’s Bank
4. Importer
5. C&F Agent (Clearing & Forwarding agent)

🧾 Step-by-Step: How It's Done in Bangladesh

✅ Step 1: Exporter Sends Documents to Their Bank

After shipment, the exporter submits all documents to their local bank (negotiating bank),
including:
  Bill of Lading (B/L)
 Commercial Invoice
 Packing List
 Certificate of Origin
 Insurance Certificate
 LC Copy
The bank verifies documents against the terms of LC.

✅ Step 2: Exporter Bank Sends Docs via Swift to Importer’s Bank

 Once verified, the exporter’s bank forwards the documents through SWIFT (secure
global financial network) to the importer’s bank in Bangladesh.
 Documents sent as DHL Courier + SWIFT copies.

✅ Step 3: Bangladesh Bank Oversight

 For LC payments in foreign currency (USD, EUR, etc.), the transaction is reported to
Bangladesh Bank (BB) via the Import Monitoring System (IMS).
 BB ensures:
o LC value matches shipment

o Importer has proper permissions (IRC, TIN, etc.)

o No money laundering or over-invoicing

✅ Step 4: Importer’s Bank Receives & Verifies Documents

 The importer's bank (issuing bank) checks that:

o All documents align with LC terms

o No discrepancies (e.g., wrong product name, expired shipment date)

✅ If documents are clean → the bank notifies importer

❌ If discrepancy found → importer decides whether to accept or reject
✅ Step 5: Importer Accepts Documents

 The importer signs an attestation form stating that they accept the documents.
 If the LC is Sight LC, payment is made immediately.
 If it’s Usance LC (deferred), payment is made after a defined time (e.g., 60 days).

✅ Step 6: Documents Handed Over to C&F Agent

 Once documents are accepted and payment commitment made:

o The bank releases original shipping documents (especially Bill of Lading) to
the importer.
o Importer then hands them to a C&F agent (Clearing and Forwarding agent).

o The C&F agent uses these to:

 Clear goods at the port (Chittagong or Mongla)

 File Bill of Entry at customs
 Pay duties and release cargo

🛠 Real-Life Example: "Nabila Electronics BD Ltd."

Step-by-step example:
1. Nabila imports smart TVs from Korea.
2. Opens an LC via City Bank in Bangladesh.
3. Korean exporter ships goods, submits docs to Woori Bank (Korea).
4. Woori Bank verifies and sends docs to City Bank via SWIFT.
5. City Bank receives docs, verifies them, and notifies Nabila.
6. Nabila accepts documents and signs attestation.
7. City Bank releases Bill of Lading → Nabila hands it to Akash Logistics (C&F agent).
8. Agent clears the goods from Chittagong Port.

📄 Documents Usually Sent via Bank-to-Bank

Document Why It’s Important

Bill of Lading (B/L) Needed to claim goods from ship

Commercial Invoice For customs valuation

Packing List Matches physical cargo

Certificate of Origin To claim duty benefits

Insurance Certificate Required by LC

LC Copy Proof of payment terms

📌 Summary Table

Step Action Actor

1 Exporter submits docs Exporter’s Bank

2 Docs sent via SWIFT Exporter’s Bank to Importer’s Bank

3 Central Bank oversight Bangladesh Bank

4 Importer’s bank verifies docs Importer’s Bank

5 Importer attests & pays Importer

6 Docs given to C&F agent For customs clearance

💡 Why This System Matters in Bangladesh

✅ Ensures trust between exporter & importer

✅ Complies with foreign currency regulations
✅ Prevents fraud and under-invoicing
✅ Ensures goods are cleared only with authentic, verified documentation

Responsibilities of CnF: Stage-1

 Documentation receives
 Checking the status on ship/arrival
 Status of container
 Submission of B/E through AW
🧭 Stage-1: Responsibilities of C&F Agent (Bangladesh)

This phase kicks off after the importer receives shipping documents from the bank and hands
them over to the C&F agent. Let’s break it down:

✅ 1. Document Collection

What Happens:
 Importer hands over original documents to the C&F agent.
o Bill of Lading (B/L)

o Commercial Invoice

o Packing List

o Certificate of Origin

o Insurance certificate

o Import Permit (if required)

Why It Matters:
 Without these documents, the C&F agent cannot begin clearance.
 Accuracy check is crucial—errors cause delays and penalties.
Real-Life Example:
Arif Traders Ltd. gives the Bill of Lading and Invoice to “Desh Clearing House” (their
appointed C&F agent). The agent matches every field to avoid discrepancies.

✅ 2. Checking Ship Arrival Status

What Happens:
 The C&F agent checks Estimated Time of Arrival (ETA) of the vessel.
 Uses shipping line websites, port management systems (e.g., Chittagong Port Authority),
or freight forwarders to track.
Tools Used:
 Websites like Maersk, MSC, or Port Authority Systems
 Terminal Operators like CCT (Chittagong Container Terminal)
Why It Matters:
 Knowing ETA helps prepare timely customs submission.
 Late clearance = demurrage fees (daily fines charged by port).
Real-Life Example:
C&F agent finds that the container on ship MV Global Star will arrive at Chittagong Port on
July 10th. They prepare documents for pre-clearance accordingly.

✅ 3. Tracking Container Status

What Happens:
 Agent checks if container has been:
o Unloaded

o Moved to ICD (Inland Container Depot) or CFS (Container Freight Station)

o Any damage report or hold notice

How:
 Uses Container Tracking No. (from B/L)
 Checks on port system or shipping line portal
Why It Matters:
 Ensures cargo is available for customs inspection.
 Tracks container movement & possible port congestion.
Real-Life Example:
Container #CXDU1234567 is tracked and found at Kamalapur ICD. Agent prepares customs
submission at that depot instead of main port.

✅ 4. Submission of Bill of Entry (B/E) via ASYCUDA World (AW)

What is B/E?
 Bill of Entry is the official customs form declaring goods for import.
 It contains: HS Code, Product Details, Quantity, Invoice Value, Country of Origin, Duty
Payable, etc.
What is AW?
 ASYCUDA World (AW) = Automated System for Customs Data.
 Online platform run by Bangladesh Customs for digital import processing.
Submission Process:
1. C&F logs into AW using importer’s credentials.
2. Uploads:
o Commercial Invoice

o B/L

o Packing List

o COO

o IRC, TIN, BIN

3. Selects correct HS Code

4. System generates duty assessment.
5. B/E is submitted online → customs officer assigned for processing.
Real-Life Example:
Agent for Kazi Agro Ltd. logs into AW, enters details for importing palm oil (HS Code:
1511.90.10), attaches scanned documents, and submits the B/E. Customs assigns “Green
Channel”—low-risk cargo.

🔍 Summary of Stage-1 Responsibilities

Task Tools Used Output

Collect shipping documents Physical handover Verified document set

Check ship arrival Port website, shipping line ETA confirmed

Track container Shipping portal, depot list Container location known

Submit B/E via AW ASYCUDA World portal B/E submitted to customs

🚦Why Stage-1 Is Crucial?

✅ Speeds up customs clearance
✅ Avoids penalties or demurrage
✅ Ensures documents and cargo info match
✅ Sets the stage for physical inspection and release

Role of Port
 Cargo clearance at port
 Placement of cargo
 Unloading of containers
 Placement of container
 LCL in shed
 Replace in examination hall for customs examination
 Security of containers, goods etc
 Scale or weight of containers
⚓ Role of Port in Import Process in Bangladesh

Bangladesh’s two main seaports—Chittagong Port and Mongla Port—are the gateways for the
vast majority of import/export cargo. Here’s how they manage containers and goods once they
arrive.

1. Cargo Clearance at Port

 After Bill of Entry (B/E) submission and customs assessment, cargo clearance starts.
 Customs inspects documents and may conduct physical examination if needed.
 Clearance is mandatory before goods can leave the port.
Real-life: At Chittagong Port, once customs issues a clearance order, the importer or C&F agent
can arrange the release of goods.

2. Placement of Cargo
 Once unloaded from the ship, cargo is moved to designated container yards or open
storage areas.
 Heavy machinery like cranes, forklifts, and trailers place containers or loose cargo in
assigned spots based on size, destination, and priority.

3. Unloading of Containers
  Containers are unloaded from the vessel using ship-to-shore cranes.
 Skilled operators carefully place containers on trailers or chassis trucks.
 Containers are transported to the port yard or CFS (Container Freight Station).

4. Placement of Container
 Containers are stacked in yard blocks in an organized way, ensuring:
o Easy access for customs inspection

o Efficient space utilization

o Segregation by type or destination

5. LCL in Shed (Less than Container Load)

 LCL shipments are cargoes less than a full container.
 Such goods are unloaded and stored in covered sheds or warehouses within the port
area.
 C&F agents coordinate with port warehouse managers for storage and eventual clearance.

6. Replace in Examination Hall for Customs Examination

 Containers or goods flagged for inspection are moved to a customs examination hall or
open inspection area.
 Customs officers physically check cargo against documents to prevent fraud, smuggling,
or under-invoicing.
 Sometimes goods are sampled or scanned with X-ray machines.

7. Security of Containers and Goods

 Ports maintain tight security using:
o CCTV surveillance

o Security guards

o Controlled entry/exit gates

 o Seals on containers (tamper-evident)

 This protects cargo from theft, damage, or tampering during handling and storage.

8. Scale or Weight of Containers

 Containers are weighed on port weighbridges to verify declared gross weight.
 Accurate weight is essential for:
o Compliance with safety regulations (overloaded containers are rejected)

o Customs valuation

o Transportation planning

📦 Real-Life Workflow Example: Importing Garments through Chittagong Port

1. Container arrives on ship MV Bengal Star.

2. Unloaded by crane, placed on a trailer.
3. Moved to container yard, stacked in block C5.
4. Importer’s C&F agent submits B/E.
5. Container selected for customs examination → moved to inspection hall.
6. Customs inspects cartons, checks documents.
7. Container weighed on weighbridge → matches declared weight.
8. Security guards monitor container until release.
9. Goods cleared → transported to importer’s warehouse.

🔍 Summary Table

Port Role Description Importance

Cargo clearance Customs release after B/E Legal release of goods

Placement of cargo Organizing cargo in yard Efficient space & access

Unloading containers Using cranes, forklifts Safe handling of cargo

Container placement Stacking containers Organized inventory

Port Role Description Importance

LCL in shed Storage of partial shipments Protects small cargo

Customs examination hall Physical inspection spot Prevents fraud & smuggling

Security Surveillance & seals Theft & damage prevention

Weighing containers Verify weight vs. declaration Safety & valuation

Why Ports Are the Backbone of Trade in Bangladesh

Ports are not just “storage spots”—they are complex hubs where efficiency, security, and
compliance meet. Proper port management reduces:
 Shipment delays
 Extra costs like demurrage
 Risk of cargo loss or damage

Role of CnF: Stage-2

 Submission of B/E
 Keep down the containers for examination
⚙️Stage-2 Responsibilities of C&F Agent in Bangladesh

1. Submission of Bill of Entry (B/E)

 After preparing all import documents in Stage-1, the C&F agent officially submits the
Bill of Entry through the ASYCUDA World (AW) system to Bangladesh Customs.
 This step involves:
o Entering precise details of goods (HS codes, quantity, value)

o Uploading supporting documents (Invoice, B/L, Certificate of Origin, Insurance,

etc.)
o Declaring applicable duties and taxes
  The system processes the B/E and assigns a risk category (Green, Yellow, or Red
Channel).
 The B/E submission signals customs to start processing for clearance.

2. Keeping Down Containers for Customs Examination

 If customs assigns the shipment to the Yellow or Red Channel, the cargo is flagged for
physical inspection.
 The C&F agent coordinates with the port authorities to “keep down” or set aside
containers at the designated examination yard or customs inspection hall.
 This means containers are temporarily held in a special area for customs officers to:
o Open and inspect the cargo

o Verify the accuracy of declaration

o Check for prohibited or restricted items

 The C&F agent ensures that all logistics for inspection—like labor for unpacking,
security, and document access—are arranged smoothly.

🔍 Real-Life Example: Importing Electronics through Chittagong Port

 Step 1: C&F agent for “TechZone Ltd.” submits the B/E on ASYCUDA World.
 Step 2: Customs flags the shipment for inspection (Yellow Channel).
 Step 3: The container is moved to the customs examination yard at Chittagong Port.
 Step 4: Customs officers open the container, inspect goods against documents.
 Step 5: C&F agent arranges workers for unloading and repacking after inspection.
 Step 6: Once cleared, container is released for delivery to the importer.

Why This Stage Is Crucial?

 Ensures compliance with Bangladesh Customs laws
 Prevents smuggling, misdeclaration, and revenue loss
 Facilitates safe and legal import of goods
  Helps importers avoid penalties and delays
Role of Customs: Examination
 Examination of goods and materials
 HS code Description, quantity
 Misdeclaration?
 Examination report submission
 If locked by CIID/CIC arrangement for joint examination and joint report
🕵️‍♂️Role of Customs: Examination Process in Bangladesh

1. Examination of Goods and Materials

 Customs officers physically inspect the imported goods and materials.
 They check if the cargo matches the description in documents (invoice, packing list,
B/E).
 This may involve:
o Opening containers

o Counting items

o Sampling products

o Using scanning machines or physical checks

2. HS Code Description & Quantity Verification

 Customs verifies the HS (Harmonized System) code declared by the importer.
 They check:
o If the description of goods matches the HS code.

o The quantity and packaging declared.

 Correct HS coding is essential as it affects import duties and taxes.

3. Detection of Misdeclaration
 Customs looks for discrepancies like:
o Under-invoicing (declaring lower value)
 o Wrong HS codes (to pay less duty)

o Incorrect quantity or quality

 If misdeclaration is suspected, customs may:

o Detain the goods

o Demand explanation or evidence

o Impose fines or penalties

4. Examination Report Submission

 After inspection, customs officers prepare a detailed Examination Report.
 The report includes:
o Findings on quantity, quality, and HS code accuracy

o Any discrepancies or damages

o Recommendations (clearance, rejection, or further investigation)

 This report is submitted to customs headquarters and importer’s C&F agent.

5. If Locked by CIID/CIC: Joint Examination

 If goods are suspected for smuggling, fraud, or illegal import, the container may be
locked by CIID (Criminal Investigation & Intelligence Division) or CIC (Customs
Intelligence & Coordination).
 In such cases, a joint examination is arranged involving:
o Customs officers

o CIID/CIC investigators

o Importer’s representative or C&F agent (if allowed)

 A joint examination report is prepared, documenting findings.

 This report may lead to legal action if violations are confirmed.

Real-Life Example: Importing Pharmaceuticals

 Customs inspects a shipment of medicines declared under HS code 3004.
  Quantity matches invoice, but packaging appears different.
 Officers suspect misdeclaration → sample tested.
 Examination report notes discrepancies.
 CIID is called in for joint examination due to suspicion of counterfeit drugs.
 Final joint report leads to seizure and legal action.

Why Customs Examination Matters?

 Protects Bangladesh from unsafe, substandard, or illegal goods.
 Ensures correct duty/tax collection.
 Prevents smuggling and revenue loss.
 Maintains fair trade and market regulation.

Role of Customs: Assessment

 Check the examination
 Check the description with sample
 Check the value
 Approve the amount of duty and tax
📊 Role of Customs: Assessment Process in Bangladesh

After the examination of goods, customs moves to the assessment phase—this is the money talk
where duties and taxes are calculated, verified, and approved.

1. Check the Examination Report

 Customs officers review the examination report prepared during the inspection.
 They confirm:
o The physical condition of goods

o Verified quantity and quality

o Any noted discrepancies or damages

 The report forms the foundation for the next step: valuation and duty calculation.
2. Check Description with Sample
 Officers compare the sample goods (if taken) with the description in:
o Invoice

o Bill of Entry (B/E)

o Certificate of Origin

 Ensures declared product matches actual product type and specifications.

 Helps avoid misclassification which can alter duty rates.

3. Check the Value

 Customs verifies the customs value of goods declared by the importer.
 Value assessment follows WTO’s Customs Valuation Agreement, primarily:
o Transaction value (price actually paid or payable)

o Adjustments for freight, insurance, commissions, etc.

 Customs may challenge declared value if:

o Suspiciously low (under-invoicing)

o Inconsistent with market price

 Customs may request additional documents or conduct investigations.

4. Approve the Amount of Duty and Tax

 Based on verified quantity, quality, and value, customs calculates:
o Import duty (based on HS code rate)

o VAT, supplementary duty, regulatory duty (if applicable)

 The total payable amount is approved by customs officers.

 A duty payment challan is issued to the importer or C&F agent.
 After payment, goods are cleared for release.
Real-Life Example: Import of Textile Machinery
 Importer declares machinery worth $100,000 under HS code 8457.
 Customs inspects and verifies the machine matches the invoice.
 Valuation officer cross-checks declared value with international price lists.
 Duty rate: 5%, VAT: 15%.
 Total duties and taxes calculated → $20,000 approx.
 Importer pays the duty.
 Customs approves clearance for release.

Why Customs Assessment Is Important?

 Ensures fair and accurate revenue collection.
 Prevents under-declaration or fraud.
 Protects domestic industry from unfair competition.
 Maintains trade compliance and transparency.

Role of customs: Release

 Adjustment of duty and taxes (SRO/CPC)
 Payment through bank by party
 Deposit of payment details in system
 Exit slip/Delivery slip
 Release of goods
 Print B/E and seal and sign to release goods to port
 Unload from container, load to trucks
🚛 Role of Customs: Release Process in Bangladesh

Once assessment is complete and all dues are cleared, customs moves to the release stage — the
final gatekeeping process that ensures lawful delivery of goods to the importer.

1. Adjustment of Duty and Taxes (SRO/CPC)

 If the importer is eligible for exemptions or reduced duty rates, customs adjusts the
duties based on:
 o SRO (Statutory Regulatory Orders) – special government-issued notifications
for tax/duty relief.
o CPC (Customs Procedure Code) – codes used to indicate purpose of import
(e.g. industrial use, bonded warehouse, etc.).
 Example: Machinery imported under an export-oriented industry bond may receive
duty exemption under a specific SRO.

2. Payment Through Bank by Importer

 The importer pays the final assessed amount of customs duties and VAT via a
designated authorized dealer (AD) bank.
 Payment can be made through:
o Bank deposit

o Online banking (increasingly common in Bangladesh)

3. Deposit of Payment Details in ASYCUDA System

 Once payment is made, the bank sends confirmation to the ASYCUDA World (AW)
customs software.
 This real-time update verifies that dues are paid, unlocking the next step in the release
process.

4. Issuance of Exit Slip / Delivery Order

 Customs issues an Exit Slip (also called a Delivery Slip or Delivery Order), allowing
physical movement of goods out of the port.
 The Exit Slip is proof that:
o All legal formalities are complete

o Goods can be delivered to the importer

5. Print B/E with Seal and Signature

 The final Bill of Entry (B/E) is printed with:
 o Customs officer's seal and signature

o Details of payment and clearance status

 This document travels with the goods during port exit and inland transportation.

6. Release of Goods
 The C&F agent presents the signed B/E and Exit Slip to the port authority.
 Goods are released from port custody and handed over to the importer or transporter.

7. Unload from Container, Load to Truck

 The container is:
o Opened under supervision

o Goods are unloaded from container

o Items are loaded onto trucks/lorries

 Finally, the goods are transported to the importer’s warehouse or delivery point.

🧵 Real-Life Example: Import of Garment Accessories

Let’s say StyleX Ltd., a garment exporter, imports zippers from China:
1. Their C&F agent adjusts duty via SRO for bonded warehouse use.
2. They pay duty (if any) through Dutch-Bangla Bank.
3. Bank updates payment in ASYCUDA.
4. Customs prints B/E with seal.
5. Exit slip issued.
6. Containers opened at Chittagong Port, zippers unloaded.
7. Loaded onto trucks and sent to their factory in Gazipur.

📌 Why the Release Stage Is Crucial?

 Prevents unauthorized or unpaid clearance

  Confirms compliance with all regulations
 Ensures goods are properly documented and accounted for
 Marks the final step in customs clearance

Delivery slip to port/gate pass

 Container to delivery port
 Transfer to local transport by gate pass
 Documentation return with sign and seal
 Submission of document to bank
 Release of LC amount
🏁 Final Stage: Delivery Slip to Port / Gate Pass Process in Bangladesh

1. Container to Delivery Port

Once customs clearance and release authorization are completed, the container is moved from
the main port storage yard (like at Chattogram or Mongla) to the delivery section of the port.
 This movement is handled under the supervision of port and customs officials.
 The container is prepared for handover to local transport arranged by the importer or
their C&F agent.

2. Transfer to Local Transport by Gate Pass

 A Gate Pass or Delivery Slip is issued by the port authority.
 This is essentially an official permission slip that allows the goods to exit the port and be
transferred to:
o Truck, lorry, or covered van

o Bound for the importer’s warehouse, factory, or distribution point

✅ The Gate Pass includes:

 Container number
 Delivery location
 Name of transporter and vehicle number
  Authorized personnel identity

3. Documentation Return with Sign and Seal

 After the goods are loaded onto the transporter’s vehicle:
o The Gate Pass is signed and sealed by the port and customs officials.

o The C&F agent or authorized person also signs off as confirmation of receipt.

 This acts as an official record that the goods have safely exited the port premises under
lawful procedure.

4. Submission of Document to Bank

 The importer submits the final set of cleared and signed documents to their importer’s
bank. This includes:
o Final Bill of Entry (B/E)

o Delivery Slip / Gate Pass

o Truck receipt/challan

o Customs release documents

 This serves as proof that goods have been received as per the terms of the Letter of
Credit (LC).

5. Release of LC Amount
 The bank then verifies:
o That goods were shipped and received as per LC terms

o That all documents are authentic and compliant

 Upon confirmation, the bank releases the LC payment to the exporter’s bank abroad.
 This completes the international trade transaction — importer gets the goods, exporter
gets the money. Everyone's happy (ideally).

🧃 Real-Life Example: Import of Beverage Packaging

  FreshFizz Ltd., a Bangladeshi beverage company, imports aluminum can lids.
 After customs clearance at Chattogram port:
o The container is moved to the delivery section.

o C&F agent collects Gate Pass.

o Cans are loaded onto a covered van bound for Dhaka factory.

o Signed Gate Pass is submitted to Prime Bank.

o Prime Bank verifies documents, and the LC amount ($20,000) is released to the
Chinese supplier's bank.

📌 Why This Stage Matters?

 Legally closes the loop between customs, port, and banks.

 Ensures goods have been physically delivered to the importer.
 Triggers LC payment, which builds trust in international trade.
 Creates accountability at every step (no ghost cargo allowed!).
Stakeholders: Import process
 Importers/exporters
 Bank
 Shippers/ shipping agents
 Customs
 Port
 CnF agent
 Transport
 Securities agencies (DGFI, NSI, police, intelligence)
🎯 Key Stakeholders in the Import Process in Bangladesh

Below is a detailed breakdown of each stakeholder’s role, along with real-life examples and
contextual explanation:

1. Importers/Exporters
👤 Role:

 The main initiators of trade.

  Importers bring in goods from abroad to sell/use locally.
 Exporters ship goods from other countries to Bangladesh.
📋 Responsibilities:

 Obtain IRC/ERC license.

 Prepare and approve PI (Proforma Invoice).
 Maintain trade license and open LC.
 Ensure timely payment and delivery.
🔍 Real Example:
A Bangladeshi electronics company (importer) imports smart TVs from South Korea (exporter)
under a confirmed LC agreement.

2. Bank (Importer's & Exporter's Bank)

🏦 Role:

 Facilitates international payments through Letter of Credit (LC).

 Verifies documents and transfers funds between parties.
 Works closely with Bangladesh Bank for foreign currency control.
📋 Responsibilities:

 Open LC for importers.

 Verify shipping and customs documents.
 Release payment to exporter upon confirmation of delivery.
🔍 Real Example:
Dutch-Bangla Bank opens an LC on behalf of a Bangladeshi importer, which is confirmed by the
exporter’s bank in Germany.

3. Shippers / Shipping Agents / Freight Forwarders

🚢 Role:

 Transport goods via sea, air, or land.

 Coordinate container booking and movement.
  Act as intermediaries between importer/exporter and shipping line.
📋 Responsibilities:

 Arrange FCL (Full Container Load) or LCL (Less than Container Load).
 Handle loading/unloading.
 Issue Bill of Lading or Airway Bill.
🔍 Real Example:
A shipping agent like Maersk handles the container shipment from China to Chattogram Port.

4. Customs
🛃 Role:

 Government authority ensuring legal compliance of imports.

 Assess and collect taxes and duties.
 Prevent smuggling and misdeclaration.
📋 Responsibilities:

 Examine goods.
 Assess customs duty, VAT, and other charges.
 Approve or reject clearance based on documentation and inspection.
🔍 Real Example:
Chattogram Customs detects under-invoicing in a shipment of leather jackets and imposes
penalty.

5. Port Authority (CPA/Mongla Port Authority)

⚓ Role:

 Controls and manages port infrastructure and logistics.

 Ensures timely unloading and handling of containers.
📋 Responsibilities:

 Cargo placement and unloading.

 Safety of goods.
  Issue Gate Pass for goods to exit port.
🔍 Real Example:
The Chattogram Port Authority coordinates unloading of 40 containers in one day during peak
Eid season.

6. CnF Agent (Clearing & Forwarding Agent)

📦 Role:

 The importer’s operational hero who deals directly with customs and port on their behalf.
📋 Responsibilities:

 Submit Bill of Entry (B/E).

 Handle paperwork and duty payment.
 Coordinate container release and inland transport.
🔍 Real Example:
C&F agent at Benapole manages clearance of Indian rice under government quota import.

7. Transport Providers
🚚 Role:

 Move goods from the port to warehouses, factories, or retail points.

 Ensure timely and safe delivery.
📋 Responsibilities:

 Provide suitable vehicles (truck/lorries).

 Maintain delivery records and route compliance.
🔍 Real Example:
Lorry transports frozen seafood from Mongla Port to a cold storage in Khulna.

8. Security Agencies (DGFI, NSI, Police, Customs Intelligence)

🔒 Role:

 Protect national security and economic interests.

  Monitor for illegal imports like drugs, arms, or counterfeit products.
📋 Responsibilities:

 Intervene in suspicious or high-risk shipments.

 Conduct joint examinations.
 Intelligence-based alerts and holds.
🔍 Real Example:
DGFI alerts customs about a suspected drug shipment in electronics cargo — container held for
special inspection.

🎬 Summary: Why These Stakeholders Matter

Each stakeholder:
 Prevents risk
 Ensures lawful trade
 Facilitates economic activity
 Maintains accountability
The process wouldn’t work with even one of them missing or out of sync — it's truly a chain of
trust, transactions, and technical coordination.

Another related concept

 Composition of examination team and role
 Composition of assessment team and role
 Assessment committee role
 Value market evaluation methods
 Role of port
 Role of CnF agent
 Asycoda world
📦 Extended Import Procedures in Bangladesh: Key Concepts Explained

1. ✅ Composition of Examination Team and Role

👥 Composition:
  Customs Officer (Primary examiner)
 Representative of C&F Agent
 Security Personnel (if necessary)
 Special Intelligence Agents (CIID/NSI) — for sensitive items
 Port Official (for container access)
🎯 Role:

 Conduct physical inspection of goods based on the Bill of Entry (B/E).

 Verify quantity, quality, HS Code, and description.
 Detect misdeclaration, prohibited items, or under-invoicing.
 Prepare a detailed examination report.
🔍 Real-Life Example:

A shipment of cosmetics is flagged by customs for under-invoicing. CIID joins the joint
examination team to inspect and verify the consignment.

2. 🧾 Composition of Assessment Team and Role

👥 Composition:

 Customs Appraising Officer

 Revenue Officer
 Audit/Valuation Officer
 NBR-Assigned Officer (for sensitive imports)
🎯 Role:

 Analyze documents submitted (PI, Invoice, Packing List, CO, etc.).

 Match examination report findings with valuation and classification.
 Calculate applicable customs duty, VAT, AIT, and other taxes.
 Ensure accurate tax collection based on law and SROs.
🔍 Real-Life Example:

An imported shipment of fabric is reassessed due to incorrect HS code. The Assessment Team
corrects the code and imposes higher duty.
 3. 👥 Assessment Committee Role

 High-value or sensitive goods (above a threshold, e.g., $100,000) are often reviewed by
an Assessment Committee.
 Consists of senior customs officers (e.g., ADC or DC level).
 They cross-check valuation, policy implications, and legal compliance.
 Used to minimize corruption or misvaluation in large imports.
🔍 Real-Life Example:

Import of medical equipment valued at $500,000 is reviewed by the Assessment Committee due
to a dispute on HS classification.

4. 💰 Value Market Evaluation Methods

📊 Methods Used in Bangladesh (WTO Valuation Agreement Aligned):

1. Transaction Value Method (TVM) – Based on invoice

2. Identical Goods Method – Value of identical items recently imported
3. Similar Goods Method – Comparable items in similar condition
4. Deductive Value Method – Based on resale value in Bangladesh
5. Computed Value Method – Calculated from cost, profit, freight, etc.
6. Fallback Method – A combination when others fail
🔍 Real-Life Example:

TVM is not accepted for a shipment of watches; customs uses identical goods method by
referencing a similar import by another trader.

5. ⚓ Role of Port

 Controls container placement, unloading/loading, and storage.

 Allocates containers to examination sheds.
 Monitors container movement and cargo safety.
 Issues Gate Pass for release.
 🔍 Real-Life Example:

Chattogram Port arranges 24/7 unloading during Eid congestion to clear time-sensitive food
containers.

6. 📦 Role of CnF Agent (Clearing and Forwarding Agent)

 Acts on behalf of the importer to handle all port and customs processes.
 Prepares and submits Bill of Entry via ASYCUDA.
 Coordinates with customs for assessment, examination, and release.
 Arranges transportation and final delivery.
🔍 Real-Life Example:

An agent working for a pharmaceutical company ensures smooth customs clearance of urgent
vaccine shipments.

7. 💻 ASYCUDA World (Automated System for Customs Data)

🛠 What is it?

 A UNCTAD-developed online system used by Bangladesh Customs.

 Streamlines the entire import-export process electronically.
📋 Key Features:

 Online submission of Bill of Entry

 Integration with banks, ports, customs, and NBR
 HS code selection, duty calculation, and document uploads
 Reduces corruption and speeds up clearance
🔍 Real-Life Example:

An importer logs into ASYCUDA World, uploads PI, invoice, and other docs, and submits a
Bill of Entry for customs processing within hours.

📘 Conclusion

These additional mechanisms and roles ensure that the import process in Bangladesh is:
  Efficient and transparent
 Digitally streamlined (thanks to ASYCUDA)
 Secure and accountable
From the first PI draft to final container delivery, this ecosystem involves synchronized
teamwork — customs, ports, agents, banks, and tech — all ensuring Bangladesh’s trade sails
smoothly.