Author and Trade Compliance expert, Kyle Grobler has shared these Trade Compliance mistakes and ways to tackle them

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Trade compliance mistakes are costly.

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And they can ruin businesses.

Recent findings show:

→ Misclassifying goods leads to hefty fines

→ Not screening parties invites legal trouble

→ Poor recordkeeping incurs $10,000 fines per entry

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Trade compliance mistakes are costly:

• Misclassified goods can trigger audits and penalties

• Transactions with sanctioned entities can halt operations

• Inadequate documentation can cause severe financial loss

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And they can ruin businesses:

• Fines and penalties drain resources

• Legal issues damage reputation

• Non-compliance can lead to loss of export privileges

All of this is alarming to say the least.

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So, what do we do about it?

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Avoid these mistakes.

5 costly trade compliance mistakes to avoid:

→ Inaccurate classification of goods

→ Failing to screen parties involved in transactions

→ Neglecting documentation and recordkeeping

→ Lack of training and awareness

→ Ignoring changes in trade regulations

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To avoid "inaccurate classification of goods":

• Train your team in tariff classification.

• Regularly verify classifications from suppliers.

• Use reliable resources for commodity codes.

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To avoid "failing to screen parties":

• Implement robust screening processes.

• Keep denied party lists updated.

• Monitor transactions for compliance.

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To avoid "neglecting documentation":

• Maintain comprehensive records for at least five years.

• Include invoices, shipping documents, and correspondence.

• Conduct regular audits of documentation practices.

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To avoid "lack of training":

• Establish regular training sessions.

• Update staff on regulatory changes.

• Promote a culture of compliance.

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To avoid "ignoring changes in regulations":

• Monitor regulatory updates.

• Conduct periodic self-assessments.

• Stay informed about geopolitical events.

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Trade compliance is not a small issue:

→ It's threatening businesses,

→ And it's threatening livelihoods.

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Leaders, it's time to step up and make things right.

Call to action:

Protect your business take these steps to avoid costly trade compliance mistakes and safeguard your operations.

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Kyle can reached on LinkedIn: https://www.linkedin.com/in/kylegrobler/