A customs brokerage is a firm of logistics experts specialized in helping exporters and importers clear their goods through customs.
Due to the dynamic and ever-changing landscape of customs regulations, a customs broker assists shippers by ensuring that all required paperwork, fees, and declarations are submitted through the proper channels, and that the shipper remains in compliance with all relevant regulations.
While hiring a customs brokerage is not mandatory, many shippers choose to outsource to one to ensure that shipments arrive on time without unnecessary delays at Customs.
Key Benefits of Using a Customs Brokerage:
- Reduced Shipping Costs
Customs brokers can help avoid unnecessary expenses by arranging early receipt of shipping documentation and advising shippers on the probable landed cost of a shipment. They can also provide guidance on tariff classifications, duty rates, and more. - Fast Clearance of Formal Entry Shipments
Some types of cargo—such as pharmaceuticals, agricultural goods, and biological products, as well as high-value shipments—require a formal entry. These are held by Customs until all paperwork and conditions are met, making a customs broker essential for avoiding delays. - Verification of Customs Declarations
Faulty customs declarations can lead to fines, audits, or even sanctions, depending on the violation’s severity. A qualified customs broker uses their specialized expertise to ensure all declarations are accurate and compliant. - Simplified Business Processes
By outsourcing import/export compliance to a third-party customs brokerage, businesses can avoid training multiple in-house employees and ensure all communications and paperwork are handled by industry professionals.
Although not required by federal law, working with a customs broker is often critical for successfully shipping international cargo with fewer delays and minimized unexpected costs.