What is ETGB? How is it done?
Exporting is a highly advantageous business activity in many respects, notably in terms of foreign exchange earnings. According to traditional methods, this transaction was mostly carried out by companies with high transaction volume and capital. Today, thanks to the e-export model, which has become more attractive in parallel with the rise of e-commerce, small-scale businesses can also sell products abroad. ETGB is one of the elements that simplify this process. So what is ETGB?
ETGB (Electronic Trade Customs Declaration) is a customs document that facilitates e-export and micro-export transactions. It accelerates transactions and reduces costs by eliminating the need for printed documents.
What is ETGB? How is it done?
“What does ETGB mean?” is often asked by people who want to export over the internet. This expression is an abbreviated form of a document called Electronic Trade Customs Declaration. ETGB, which is used in customs procedures of goods entering or leaving the country by land, air or fast cargo transportation, completely eliminates the need for printed documents. Within this process, the process is carried out electronically. This process, which makes customs procedures much less costly and practical, significantly paves the way for micro-scale exports. If someone asks “How to do ETGB?”, it means that that person actually wants to get information about micro exports. If you are looking for answers to the questions “What is Micro Export? How to do it?”, you can take a look at our related content.
How to Obtain ETGB Certificate?
After making a general definition, we can also answer the question “How to get an ETGB certificate?”. In such transactions, the exporter or importer company does not need to spend time or effort to obtain the document in question. Because within the scope of the transaction, this responsibility has been transferred to ETGB authorized companies. At this point, authorized companies are transportation companies. The carrier company, which the importer company has agreed to send the products sold abroad, also issues this document. In this way, tedious and costly customs procedures can be completed in a much shorter time. Upon completion of the process, the carrier company sends the relevant document to the importer via e-mail.
If you feel the need to make an ETGB number inquiry for any reason, you must first enter the website of the carrier company you work with. If you enter the intermediate bill of lading number in the ETGB query field on the site, you can access a lot of information about the document.
What are the Requirements for ETGB Certificate?
There are two basic conditions for an e-export transaction to be made with an Electronic Trade Customs Declaration, in other words, to be characterized as micro-scale. These two conditions, also known as the ETGB export limit, are as follows:
The gross weight of the shipped product is less than 300 kg
Product value not exceeding 15 thousand euros
Meeting these requirements is not enough for the transaction to be completed using the ETGB. The following documents are also required for this purpose.
Authorization for indirect representation
Original invoice approved by the Ministry of Finance and prepared in Turkish
Micro export information form
Invoice issued in English or German for use in the transaction in the country of shipment
These documents should be forwarded to the carrier companies, not to the customs offices.
What Does ETGB Cover?
ETGB is mostly taken together with the concept of e-export. However, the transactions that can be made with this document are not limited to e-export; Import processes can be carried out in a similar way. Before moving on to examine how the processes proceed separately, those who want to sell abroad over the internet should ask “What is e-export?” How is e-export done? We would like to point out that they can access a lot of detailed information on this subject from our content.
Micro export transactions carried out with ETGB have weight limits of less than 300 kg and value limits of less than 15,000 euros. Transactions carried out within these borders provide fast and easy customs passage.
How Does the ETGB Export Process Progress?
The first step of the ETGB export process is to contact the carrier company and make an agreement for the shipment of the product sold. After this, carrier company officials come to the relevant workplace to receive the goods to be sent abroad. Meanwhile, the originals of the necessary documents are given to the official.
After the product and documents are given to the carrier, the responsibility of the process is transferred to this company. Products are sent abroad after processes that vary depending on the company’s operating systems. Electronic Commerce Customs Declaration is issued when the shipment is received at the export warehouse at the airport. ETGB documents regarding the shipment going out of the country are forwarded to the exporting company via e-mail.
How Does the ETGB Import Process Progress?
The ETGB import process is slightly different. Because in order for a shipment to be taken into the country with this document and method, it must not have commercial value. In other words, only items that qualify as free samples can enter the country this way.
The limits for using ETGB for a shipment to enter the country are 30 kg weight and 1,500 euro amount. Products entering the country in this way cannot be used in commercial transactions, in other words, they cannot be sold. Within the scope of this transaction, which can be carried out even if there is an authorization certificate and authorization instruction, 18% customs duty is applied if the product comes from European Union countries. This tax rate is set at 20% for shipments from other countries.
Selling abroad with ETGB reduces costs and bureaucratic procedures for e-commerce businesses. Thus, it provides the opportunity to do business in the global market.
What are the advantages provided by ETGB?
ETGB provides significant advantages to exporting companies as it makes customs procedures much easier. These advantages can be listed as follows:
Customs consultancy and storage fees are not paid.
There is no power of attorney requirement.
Delivery can also be made on the weekend.
It saves time.
It does not require Importer Association approval.
VAT refund of the sale can be received.
As can be seen from the advantages we have mentioned, this method is also extremely functional for those dealing with e-commerce. Finally, let’s look at the connection between ETGB and e-commerce.
What is the connection between ETGB and E-commerce?
Thanks to ETGB, e-commerce sites make it easier to send products abroad. With IdeaSoft Smart E-Commerce Packages, you can open your virtual store and start exporting by taking advantage of ETGB advantages.
This method makes it significantly easier for companies engaged in e-commerce to sell abroad. Because in this way, the difference between sending a product to the domestic end user and doing the same at the international level is almost negligible. It can be said that the reduction in costs and the elimination of bureaucratic procedures to a large extent are the main factors that ensure this. People and businesses engaged in e-commerce, even on an individual scale, thanks to the compliance with ETGB conditions, They have the chance to earn foreign currency income by selling abroad and to do business on a global scale.They have the chance to earn foreign currency income by selling abroad and to do business on a global scale.