5 tips for clearing goods through customs

According to the latest data available from Comtrade, Switzerland exported more than $313 billion worth of goods in 2019 and imported more than $276 billion worth in the same year. Medicines, watches, cars, precious metals… All these products crossing the Swiss border must be declared to customs, which generally incurs certain charges. 

However, businesses can streamline this process. Discover our 5 tips for managing the customs clearance of commercial goods as efficiently as possible!

What is customs clearance?

Customs clearance refers to the complete legal procedure that goods must undergo in order to enter or leave Swiss territory. In practical terms, customs clearance involves assigning the goods to a specific customs procedure, depending in particular on their intended use and destination.

Thus, the customs clearance procedure generally involves paying the customs duties and Value Added Tax (VAT) applicable to the imported or exported goods. Certain products are also subject to specific regulations (cultural goods, dual-use goods, military equipment, etc.), such as health formalities or other legal standards, and may therefore be subject to specific checks.

In fact, it is through the declaration of imported or exported goods (which involves providing details of the type, value and destination of the goods, as well as the identities of the sender and the recipient) that customs authorities are able to calculate the amount of any taxes and duties payable.

Fortunately, there are several ways (provided for by law) to streamline this customs clearance process, including ways to have these charges reduced or even waived entirely…

#1 Go to the right customs offices at the right times

When it comes to commercial goods, any business that transports goods across the Swiss border, or arranges for them to be transported, is legally obliged to declare them and pay any customs duties due.

First and foremost, it is therefore necessary to know who to contact in order to make this declaration. The Swiss Federal Customs Administration (FCA) states that customs clearance for commercial goods can only be carried out at certain customs offices, and only during opening hours.

Generally, customs declarations can be made from Monday to Friday (some offices are open on Saturday mornings). The addresses of customs offices and their exact opening hours can be found here.

#2 Comply with the provisions of free trade agreements

In order to benefit from tariff preferences, such as a reduction in or even an exemption from customs duties, it is advisable, where possible, to comply with the provisions of free trade agreements (FTAs).

Switzerland has indeed entered into such agreements with various countries, but these apply to the import or export of commercial goods only under certain conditions. In particular, the goods must meet specific criteria regarding their origin.

Good to know: some FTAs also provide that imports of goods split into separate consignments under customs control may qualify for preferential tariffs, provided that proof of origin is supplied by the consignor.

# 3 Comply with the provisions relating to developing countries 

With a view to securing a significant reduction, or even total exemption, from customs duties and VAT, it is also possible – provided the nature of the business allows – to benefit from the provisions relating to developing countries in connection with both the import and export of commercial goods.

Switzerland has, in fact, established a Generalised System of Preferences (GSP) designed to offer tariff preferences for imports originating in these countries. To qualify for these preferences, proof of the goods’ origin must be provided by means of the appropriate certificate of origin.

This certificate can take three different forms:

• the "Form A" certificate of origin;
• the declaration of origin on the invoice;
• the REX declaration of origin.

Good to know: Certain tariff codes automatically qualify for duty-free treatment in all developing countries. This applies in particular to industrial goods, although it does not apply to the majority of textiles.

#4 Benefit from customs relief

In addition to the reductions or exemptions mentioned above, it is possible to obtain customs relief on the import or export of certain goods, particularly depending on their intended use. These concessions are set out in the Customs Tariff Act of 9 October 1986 and in the Ordinance of the Federal Department of Finance (FDF) on Customs Concessions of 4 April 2007.

In order to qualify for reduced customs duties based on the intended use of its goods, the company must first submit a suitable undertaking regarding the intended use to the Directorate-General of Customs (DGD). This written undertaking must be submitted before the very first customs declaration for the goods in question.

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# 5 Temporary export of goods

Some companies that transport goods may resort to another “customs clearance trick” linked to outward processing. This involves goods that are temporarily exported for the purpose of processing, transformation or repair. 

This specific export procedure (which is, of course, subject to authorisation) can in fact be used in place of the standard export procedure. Once the export period has expired, the goods must be re-exported; it is in connection with this re-importation that the reduced rate is applied.

Of course, if the goods to be temporarily exported are already eligible for a reduced rate (for example, on the basis of a certificate of origin), there is no need to apply for outward processing.

With these 5 tips, you are now well equipped to handle the customs clearance process for your commercial goods as efficiently as possible, whilst taking full advantage of the tax breaks available under the law!