Relevant Laws and Regulations of Iran Import and Export

1. Import tariffs in Iran

Iran adopts the tariff system of the World Customs Organization Tariff Commodity Classification Catalog, which levies tariffs on an ad valorem basis. Customs duties are paid in rial at an exchange rate set by the central bank.

Taxes range from 5% to 10% of the CIF price for most machinery and as high as 150% for some products. Imported goods are also subject to several small taxes, including a chamber of commerce tax of 1.5% of the total CIF value.

Imported capital goods and raw materials required for approved foreign investment projects are exempt from tariffs, and chemicals used in medicine and laboratories are not subject to tariffs.

Commercial profits tax is levied on almost all goods. The tax rate is listed in the annual import regulations. Commercial profits tax is mostly measured by weight, but some are also calculated by quantity or value. If calculated by weight, customs will subtract the weight of ordinary packaging from the total weight.

Value-based tax rates vary from 1% to 200%. Also included in the business profits tax is the monopoly tax, which must be paid before customs clearance. If the declaration is false or there are other violations of import rules, the customs will confiscate the goods or impose a fine.

If a fine is not paid within two months from the date on which it is due, a portion of the goods equal to the value of the fine will be put up for public auction.

If the goods are unreasonably detained by customs, you will receive compensation not exceeding 1% of the value of the goods per month during the detention period.

2. Import documents

Commercial invoice in triplicate. Invoices required for customs duties are required to be written in English or French. The content includes all commercial general instructions, such as the number, quantity and type of goods, detailed goods name, gross and net weight, and place of origin.

In addition, the letter of credit number must be written, and it is best to indicate the tax number, foreign exchange license details (number, place of issuance and time), and the price should be written FOB and CIF.

The bill of lading and the air waybill do not need to be notarized, but the address of a notified party must be indicated, and the number of the letter of credit should be indicated. Rail transportation requires an international freight bill of lading.

Inspection certificate: According to the instructions of the Central Bank of Iran, Iranian private companies are obliged to show inspection certificates to purchasers when delivering goods worth more than 1.5 million riyals. The Central Bank has approved 15 inspection companies. Three copies of the certificate must be submitted (one copy should be kept at the Chamber of Commerce).

Freight bill: If the freight bill needs to be notarized, then a legally valid price statement must be signed at the end of the document: "We guarantee that the price mentioned above together with all our documents is correct."

3. Import control

Iran's import project regulations are promulgated by the Ministry of Commerce on New Year's Day (March 21) of the Iranian lunar calendar every year. The regulations divide imported goods into four categories: authorized, conditionally authorized (determined by several departments), unauthorized, and prohibited (imported according to Islamic laws and regulations).

Since the "Import Regulations" are constantly changing, it is recommended to inquire in advance with the responsible "Procurement and Supply Center" if necessary.

There are many regulations on certain foods, drinks, medicines and toiletries. For example, the label must read:

1) Product name and manufacturer’s address and place of origin;

2) The trademark registration number in Iran;

3) The license number and date issued by the Ministry of Health to allow the production and sale of products in Iran. When exporting to Iran, attention must be paid to complying with the new standards of the Iranian National Standards Institute (ISIRI). Many industrial chemicals require special import licenses.

For imported live animals, bees and insects, poultry eggs, plant roots, bulbs, stalks, twigs, fresh fruits and vegetables, seeds and any plants or plant parts, health certificates from the country of origin are required and obtained Prior permission from the Ministry of Agriculture of Iran.

An import license usually stipulates entry requirements, special treatment, port of entry restrictions and supporting documentation required for related details.

In addition, the export of veterinary pharmaceutical products (including feeding concentrate and supplementary feed) to Iran must submit a certificate in accordance with the requirements of the Iranian Ministry of Agriculture, explaining the free production, use and sale of the product in the country of origin. This certificate must be approved by the Veterinary Medicine Department of the Ministry of Agriculture of the country of origin.

4. Export to Iran via express delivery

1) Iranian customs regulations: If all the following restricted items are shipped for export as samples, the quantity of goods cannot exceed 5 PCS.

The relevant types of goods with limited quantities are as follows:

Ceramic products

Circuits &circuit boards(circuit&circuit boards)

Computer software

Cotton

Drugs prescription(prescription drugs)

Electronic equipment

Eye glasses and contacts(glasses)

Glass products

Industrial equipment

Labels

Sports equipment

Toys

Typewriter ribbons

Leather goods(leather goods)

Marble products(marble products)

Measuring apparatus

Medical/dental supplies&equipment(medical/dental materials and equipment)

Parts, machine & electronic (mechanical and electronic accessories).

2) Whether documents or goods are exported to Iran, a letter of guarantee is required. The original document must be stamped by the actual sending customer, and it must not be the stamp of the express company.

3) Iranian customs regulations: Iran does not accept that the recipient is a transportation company. If the customs finds out, it will be forcibly returned.

4) The size limit in Iran is that it cannot exceed 180cm*120cm*150cm (length*width*height).

5) New regulations on documents for goods exported from China to Iran or re-exported from Iran:

According to the requirements of the Iranian Shipping Association, starting from May 2, 2015, for all goods exported to Iran, the HS code and customer identification number of the goods must be displayed on the bill of lading. In compliance with this new regulation, the following information is required to be accurately provided on Shipment Instructions exported to Iran:

1) The 8-digit HS code of each product.

2) Identification numbers of consignee and notifier:

a. If the consignee and notifier are companies, a 12-digit company registration number (company registration number) and a 9-12-digit national code (country code) are required.

b. If the consignee and notifier are individuals, 1

0-digit national identity number (national identification number).

Non-compliance could result in delays in cargo clearance and additional terminal storage and container overuse charges, as well as other potential charges imposed by the authorities.

3) The Iranian Shipping Association requires that only signed bills of lading be accepted, and do not accept instruction bills of lading such as TO ORDER or TO ORDER OF XXX, that is, the consignee of the bill of lading must print the actual consignee, and the consignee of the bill of lading is found after the goods are shipped. Wrong. If you want to modify the bill of lading, you cannot change the consignee, but you can only change the destination port.

4) In the case of issuing a signed bill of lading, the consignee's NATIONAL ID (company registration code and consignee's personal code) must be entered in the specified position of the document

5) The eight-digit commodity customs HS CODE (8-digit) code must be displayed on the manifest of all goods exported to Iran or transshipped in Iran.

a: When there is only one HS CODE for one shipment, please enter the HS CODE into the cargo details and the designated position on the booking terminal when booking.

b: When there are multiple HS CODEs in one shipment, enter the HS CODE of the main cargo in the HS CODE field, and enter all HS CODEs under the cargo description.

6)Documentary requirements:

a.Add under the description of the goods:

SHIPPER GUARANTEES THAT THE ABOVE SHIPMENT IS NOT BELONGING TO THE EMBARGOED CARGO

b. Where the unloading port is Abbas and the consignee arranges the transshipment of the goods (including inside/outside Iran), please be sure to indicate it under the English product name in the booking, and the format is as follows:

cargo in transit to address XXX, country XXX on consignee or notifying party's risk and account,

XXX SHIPPING COMPANY responsibility will be finished on SHAHID RAJAEE S E Z

7) For goods exported to Iran, an invoice and packing list must be provided. The consignee and consignor on the invoice and packing list must be the same as the consignee and consignor on the bill of lading.

8) The Iranian importer is a well-known L/C with a lot of provisions. Most Iranian letters of credit use the "shipping certificate" issued by the shipping company as one of the negotiating documents.

9) The nature of the destination port KHORRAMSHAHR and KHORRAMSHAHR SPECIAL ECONOMIC ZONE is different and should not be confused with each other. Ports such as B.ABBAS / BUSHEHR / CHABAHAR can be deduced by analogy.

10) Iran inland point: The total weight of the cargo plus the tare weight of the container cannot actually exceed 22 tons.

11) The name of the inland transportation company designated by the shipping company must be displayed on the bill of lading. The number of pieces and cargo weight on the bill of lading should be consistent with the invoice, packing list, etc. If a single bill of lading contains more than two containers, the number of pieces, gross weight and size of each container must be indicated on the packing list.

12) BANDAR ABBAS will store the goods free of charge for 10 days upon arrival. If the goods are not picked up for more than 10 days, you will not be able to enjoy free storage for the first 10 days, and storage fees will be calculated from the first day of unloading.

13) The food tax and other taxes charged by individual destinations are borne by the shipper and need to be confirmed with the shipping company individually.

14) One of CONSIGNEE and NOTIFY on the bill of lading must show the correct contact information (TEL / FAX), if it cannot be displayed due to trade reasons, you must get the "Bill of Lading does not show the contact information of the consignee" issued by the consignor.

15) L/D TERM must be displayed correctly on the bill of lading, such as " CY-CY ""CY-FO".

16) The bill of lading must correctly and clearly show the box volume and full container (FCL) / less than container (LCL).

17) The uppercase PACKAGES must be correctly displayed on the bill of lading, such as "SAY THIRTY-TWO CASES ONLY".

18) No freight or price can be shown on the bill of lading.

19) Pay attention to the customs clearance of goods arriving at the port at any time. To prevent customers from refusing payment or making claims for various reasons.

20) Manufactured products exported to Iran must be VOC certified, and food requires halal certification.

About certification

1. Introduction to certification

The Institute of Standards and Industrial Research of Iran (ISIRI) is the government department in charge of import inspection in the country. It is responsible for the formulation of standards, issuing consistency certificates for import and export, and reviewing the qualifications of inspection companies. The origin and destination are monitored.

It is a mandatory inspection requirement of the Iranian government for goods exported to Iran to perform pre-shipment inspection (Pre-Shipment Inspection, PSI).

As long as the products on the list issued by the Iranian government agency are required to be tested in accordance with relevant domestic and international standards, they must be tested, inspected, and supervised at the export location, and the inspection agency approved by ISIRI will inspect the products according to the domestic and international standards recognized by the Iranian government. Products exported to Iran will be issued a VOC/COI certificate based on the results of testing, inspection, and installation supervision. The importer can go through customs clearance procedures with the VOC/COI certificate.

Sometimes, although the export commodities are not included in the list, the customs will still require the importer to provide a VOC/COI certificate. Therefore, before signing the contract, you should know whether a VOC/COI certificate is required for customs clearance. The VOC/COI certificate is a one-time use and is only for a single batch of goods. Both buyers and sellers can apply.

2. Certification standards

The standards accepted by Iran ISIRI mainly include: international standards (ISO, IEC, etc.)

European Standard (EN)

The standards of some developed countries such as: British Standard (BS), German Standard (DIN), American Standard (ASME) and (ANSI), Japanese Standard (JIS), etc.

Chinese standards (GB) are currently not accepted by Iran ISIRI

3. Partial product list

Kitchen and bathroom appliances: household appliances, sockets, plugs, water heaters, gas stoves;

Building materials: fire extinguishers, sanitary valves, building steel bars, steel plates, cables, elevators, lighting fixtures, industrial switches, cement, safety glass, ceramic tiles, cement pipes, cement boards, gravel, machine-made bricks, concrete additives, coatings, aluminum pipes, etc.

4. Iran certification process

submit application

Cargo-related documents and information include:

(1) Letter of credit, proforma invoice and direct customer contact information of the importer;

(2) The scope of inspection initially agreed between the buyer and the seller, as well as preliminary information such as inspection location, packing/shipping location, etc.;

(3) Test report (if any);

(4) Goods packaging status: packaging form and packaging quantity.

Inspection Quotation

(1) Analyze the inspection scope according to the inspection protocol: general commercial inspection, or VOC legal inspection;

(2) Determine the inspection plan: inspection, test items and methods, etc.;

(3) Determine the final price and issue a quotation.

Confirmation and payment of inspection quotation

(1) Written confirmation of quotation / signed and stamped quotation;

(2) Provide bank payment slip;

(3) Confirm the arrival status of the payment;

(4) Provide information on the payer/invoice receiving unit;

(5) Issue an invoice for the inspection fee.

Inspection Appointment

(1) Date and place of inspection: inspection, container loading or shipping;

(2) Contact person/representative of the exporter at the inspection site and their contact information;

(3) Packing list in final state;

(4) The inspection date is determined.

Inspection execution

(1) Inspection of goods: apparent quality, quantity, packaging, and marking;

(2) Sampling test of goods: The factory laboratory witnesses the test or entrusts other laboratories that meet the requirements;

(3) Supervision of loading of goods into containers or shipping;

(4) Inspection and notification of test results.

Submission of inspection documents

(1) Test report;

(2) Provide officially signed packing list, commercial invoice and ocean bill of lading/air waybill

Issuance of inspection certificate

All documents are complete, and a formal certificate and report will be issued to the importer by a third-party Iranian company within 7 working days.

5. Main inspection contents

Model, specifications and parameters

Appearance Quality

Testing of physical and chemical properties, mechanical properties, electrical properties and other indicators (witness the test or take samples for inspection)

quantity

Packaging (Form and Quantity)

Marks and marks (including origin marks, etc.)

brand

Others: If there are any goods or contraband that do not comply with Iranian laws, regulations and religious habits, etc.

Container loading supervision should be carried out for the whole container shipment

6. Certification fee and period

The cost and cycle mainly depend on the quantity, model type, value of goods and inspection labor days, etc.

The fee is about several thousand to tens of thousands, and the payment method is negotiated by both parties of the transaction when they apply.

The faster cycle takes about 10 days, while the slower cycle takes about a month.