The importance of customs data analytics

The ability to minimise cost and delays while ensuring compliance can significantly impact a company’s bottom line. Enter Evelyn Partners’ Customs Analytics Tool: a powerful solution that leverages data analytics to revolutionise customs management.

We have developed our Customs Analytics Tool following conversations with our clients about the pain points they are facing when importing goods:

• There is often a lack of control and oversight. Most importers use a customs broker to make declarations to HMRC on their behalf. The role of the freight forwarder in the supply chain is purely to get goods into the UK, they are not themselves liable for errors.
• Customs duty is one of the most overpaid taxes in the UK, identification of overpayments can provide both ‘quick wins’ to a company’s bottom line as well as strategic planning for future savings.
• Large businesses are realising that customs must be taken seriously. Customs falls into scope for Business Risk Reviews, Senior Accounting Officer assessments and Corporate Criminal Offence reviews.
• The data that drives the output in our tool is often not efficiently utilised internally. By visualising the data that drives the duty rate into key dashboards, we can focus the analysis on the data that matters.

Evelyn Partners’ Customs Analytics Tool has been designed to rectify the issues experienced by our existing clients. Rather than wading through physical documents, our methodology combines sophisticated data analytics software with explorative testing to uncover potential compliance risks and financial opportunities.

Coupled with the experience of Evelyn Partners’ customs and international trade professionals, the Customs Analytics Tool can uncover potential refunds and future savings and give you back control of your trade function and customs compliance.

Cost savings

• Accurate duty optimisation can lead to immediately tangible financial gains
• By identifying preferential tariff rates, companies can significantly reduce import duties
• Reclaims can be submitted for historical duty overpayments up to three years after date of import

Efficiency and speed

• Reduced paperwork and automated documentation enhance efficiency

Risk Mitigation

• Data-driven risk assessment helps identify high-risk shipments
• Compliance with rules of origin ensures legal trade
• Be one step ahead of HMRC

Take back control

• Gain periodic oversight of how your goods are being declared, and by who
• Identify weaknesses in your supply chain where 3rd party actors are not meeting requirements
• Hold customs agents and suppliers accountable

Strategic Decision-Making

• Data analytics provides insights into trade patterns, procurement flows, and market trends
• Businesses can make informed decisions about suppliers, production processes, and inventory management

Reputation and Compliance:

• Efficient customs management enhances a company’s reputation
• Compliance with regulations builds trust with customers, partners, and authorities
• Avoiding delays and penalties maintains a positive image

Evelyn Partners identified a substantial customs duty refund for a rapidly growing e-commerce business where they had been declaring incorrect commodity codes as a result of not reviewing the export code that had been provided by their supplier. The total duty outlay was halved.

Evelyn Partners identified a large sum of overpaid duty where an online clothing retailer had not been claiming preferential duty rates as a result of the UK-EU Trade and Cooperation Agreement.

Evelyn Partners identified a business who was importing dutiable raw materials to be manufactured into a product that attracted a nil duty rate. Through the tool, our client was able to suspend all duty paid at the point of import, and release the processed product into the UK duty free. 

If you would like to discuss how the above could impact your business, please do get in touch with your usual Evelyn Partners contact or the contacts listed.

Approval code: NTEH70724114