Physical examination / Search

The physical examination of goods and the search of commercial means of transport is undertaken to verify the nature and/or the relationship between the goods/means of transport and the documents presented. In addition Customs administrations may carry out checks to ensure that commercial means of transport fulfill the technical conditions laid down by certain international agreements for the international transport of goods. Physical examinations or searches should be carried out as rapidly as possible.

If the document review indicates that the movement is satisfactory and no discernible risks are present a physical examination is not

 

¹ Kyoto Convention. General Annex guidelines. Chapter 6 Customs control.

 

normally necessary. If the documents however indicate the need for a physical examination of the goods, the extent of this examination will depend on the type of goods and the suspected Customs offence.

 

There are two levels of physical examination. The first, summary examination, includes examining the outside of containers and of packages for marks and numbers compliance, checking the integrity of any seal, and verifying other details on the goods declaration, where possible without opening the containers or packages.

 

A second, detailed examination may also be carried out on occasion. This involves opening the container or packages and examining the goods themselves in order to verify their description on the goods declaration as to value, origin, classification and duty rate.

 

As indicated above, the level and nature of the physical examination of goods should be determined by the information available on the consignment, the Customs procedure under which the goods are declared, provisions in international agreements, and any special nature of the goods (e.g. perishable cargo, live animals, dangerous goods, jewels, antiques, works of art, etc.). Other factors which can influence the decision are urgency and location, as well as the resources available to conduct the examination. Regarding commercial means of transport, Customs should take into account the type of the means of transport and the purpose of the stay in the Customs territory.

 

If it is not possible during the physical examination to determine the tariff heading of the goods, samples could be drawn in order to expedite the release of the goods.

Identification of goods

To allow goods subject to certain Customs procedures, e.g. transit, transhipment, temporary admission, warehousing, inward processing, etc., to enter or move through the Customs territory without paying duties and taxes, specific measures are required to ensure their identification.

 

These measures may include affixing seals, stamps, perforations, identification marks, describing the goods, reference to samples, plans, sketches or photographs.

 

Where the above is not feasible or sufficient due to specific exceptional reasons, transit procedures may prescribe an itinerary or allow transport of the goods under Customs escort. In the case of inward/outward processing it is possible to fix specific or standard rates

 

of yield of the operation and to require specific documentation on the manufacturing.

 

In cases of temporary storage, warehouses or free zones, Customs may require the trader to identify the type of goods being stored as well as the location of the storage facility. It should be a supervised facility and where necessary secured by a double lock. Customs retains the right to take stock of the goods periodically.

Persons accompanying goods

Routine controls on persons arriving in a country are generally the responsibility of the Immigration service rather than Customs. Clearly, however, Customs' risk management will be enhanced by information on persons accompanying goods arriving in a Customs territory. This information could include the person's identity, journey details etc.

 

For checking travelers and their baggage arriving by air or sea, the control should be facilitated by the use of the dual - channel or red/green system. This system improves the flow of traffic without reducing the effectiveness of the control. Checks on travelers passing through the green channel should be carried out on a selective basis using risk management techniques. Travelers in the red channel have to fulfil all required formalities.

Personal searches for Customs purposes should be carried out only in exceptional cases when the person is identified as a high risk or when there are reasonable grounds to suspect an offence. To preserve human dignity, physical searches should only be carried out by persons of the same gender as the person being searched, and medical examinations only by qualified physicians.

Audit-based controls

To manage the worldwide increase in trade and to provide traders with greater facilitation, Customs increasingly rely on audit based controls, using traders' commercial systems. These controls may vary from a simple post-clearance audit to trader selfassessment.

 

Audit-based controls do not preclude physical examination of the goods. To ensure the reliability of the traders' commercial systems for these purposes, they must follow the generally accepted accounting principles (GAAP) within the country. These principles determine which economic resources and obligations should be recorded as assets and liabilities, how the assets and liabilities and changes in them should be

 

measured, what information should be disclosed and how it should be disclosed, and which financial statements should be prepared.

 

Customs administrations should aim for a reasonable and equitable balance between ensuring compliance and minimising disruption and costs to legitimate trade and the public.

 

Facilitation and control need not conflict. If managed well, facilitation can enhance the success of control procedures.

 

EXERCISES

 

I. Supply the correct preposition.

 

1. measures applicable … goods

2. to stop … a short time … the Customs territory

 

3. to base … risk profiles

4. to be discovered … the movement control

5. to gain information … the examination … documents

6. to verify … compliance purposes

7. to match … risk profiles

8. submission … documents prior … the arrival … the goods

 

9. to decide … the release … goods

10. to carry … checks

11. to indicate the need … a physical examination

12. to examine the outside … containers … marks and numbers compliance

 

13. to check the integrity … seals

14. to verify details … the goods declaration … opening the containers

15. to declare the goods … Customs procedure

16. to transport the goods … Customs escort

 

17. to pass … the green / red channel

18. to carry … a detailed examination … occasion

19. to improve the flow … traffic … reducing the effectiveness … the control

 

II. Answer the following questions.

 

1. What is the basis for the selection of goods, means of transport for examination?

 

2. What enables Customs to make a decision about the release of goods and means of transport before they actually arrive in Customs territory?

 

3. What is the purpose of undertaking the physical examination of goods and the search of commercial means of transport?

4. What is summary examination?

5. What is a detailed examination?

6. What should the level and nature of physical examination of goods be determined by?

 

7. What does the identification of goods include?

8. What may Customs require in case of temporary storage, warehouses or free zones?

9. What is the dual channel system used for?

 

10. What does audit based control involve?

 

III. Mark the following statements as True (T) or False (F).

 

1. Movement controls are applied to some goods and means of transport after they are released.

 

2. If a potentional Customs offence is discovered during the movement control, there must be no communication and coordination with the appropriate enforcement unit.

3. Documentary examination enables Customs to decide about the release of goods and means of transport before they actually arrive in the Customs territory.

 

4. Physical examination or searches should be carried out as slow as possible.

5. If there is a need for a physical examination of the goods the extent of this examination depends on the mood of a Customs officer.

 

6. While carrying out physical examination, Customs officers should open all containers and packages.

7. Identification of goods is not necessary when they enter or move trough the Customs territory without paying duties and taxes.

8. Checks on travelers pasing through the green channel should be carried out on a selective basis.

 

9. Personal searches for Customs purposes should be constantly carried out.

10. Facilitation can enhance the success of control procedures.

 

 

 

Study the following words and word combinations from the text.

 

to incur [ɪnˈkɜː]

 

magnitude

 

rationale [ræʃəˈnɑːl]

 

to sift out

 

to deploy

 

throughput

 

excessive bureaucratic

 

constraints

 

 

нести

 

величина

 

обоснование

 

отсеивать

 

использовать, развертывать

 

пропускная способность

 

чрезмерные бюрократические

ог ан чен я