Exporting and importing glossary: Key terms and definitions

Anti-Dumping Duty (ADD)

Anti-Dumping Duty (ADD) is a tariff applied to imported goods to offset the adverse impact of 'dumping,' which occurs when goods are exported at prices below their normal value, potentially causing harm to the importing country's domestic industries.

Animal and Plant Health Agency (APHA)

The Animal and Plant Health Agency is an executive agency of the Department for Environment, Food and Rural Affairs (DEFRA) of the United Kingdom. It facilitates and regulates international trade of animals, plants, and products derived from them.

In Northern Ireland, the Animal and Plant Health Agency (APHA) works with the Department of Agriculture, Environment and Rural Affairs (DAERA) to address animal and plant health issues. 

‘At risk’

The 'at risk' classification, within the Windsor Framework, relates to goods moving from Great Britain to Northern Ireland that present a credible risk of entering the European Union Single Market.

For the definition of ‘not at risk,’ see below. 

ATA Carnet

The ATA ('Admission Temporaire/Temporary Admission') Carnet is an international customs document that streamlines the temporary import of goods by eliminating the need for duties and taxes. Serving as a 'passport' for goods, it's frequently used for importing professional equipment (including tools, machinery and broadcasting equipment), commercial samples, and items intended for exhibitions, fairs, and shows.

Authorised Economic Operator (AEO)

Authorised Economic Operator (AEO) status is an internationally recognised standard granted by national customs authorities. It demonstrates that a business's role in the international supply chain is secure, and its customs control procedures meet specific standards. AEO benefits include simplified customs, fewer inspections, priority treatment, and mutual recognition of their status in other countries.

Check if Authorised Economic Operator status could benefit you.

Binding Tariff Information (BTI) decision

Binding Tariff Information is a legally binding decision from customs authorities on the correct custom tariff classification code of a specific product. Businesses can rely on the BTI to accurately calculate duties and taxes.

Border Force

Border Force is a law enforcement command within the Home Office of the United Kingdom. Border Force officers operate at air, sea, and rail ports across the UK, as well as at various smaller entry points. They enforce customs regulations, checking passengers and goods entering and leaving the UK.

Certificate of Conformity (CoC)

A Certificate of Conformity (CoC), issued by a manufacturer or its authorised representative, certifies that a manufactured product meets predefined standards and specifications. This document formally declares compliance with relevant regulations, directives, or standards, which vary by product type and intended market. Products typically requiring CoCs include electrical and electronic equipment, machinery, medical devices, construction products, vehicles, and automotive components.

For international trade in agricultural produce (e.g., fruits, vegetables), a certificate of conformity verifies adherence to marketing standards, including quality, size, and labelling.

Commodity code

Commodity codes, or Harmonised System (HS) codes, are numerical classifications used to identify goods for international import and export. These codes, maintained by the World Customs Organisation (WCO), are accessible via the Trade Tariff tool. They ensure consistent product classification across borders and are used to calculate duties, compile trade statistics, apply regulatory controls, and track controlled goods.

Controlled goods

Controlled goods are those that are subject to special regulation, certification, licensing or other approvals, for reasons relating to public health, safety, security, or environmental protection. This includes goods controlled by HMRC customs, such as excise goods, and goods that are subject to authorisations by any other government department.

Customs declaration

A customs declaration is a legally required document that details goods being imported or exported, providing customs authorities with information such as descriptions, values, and origins.

Customs Declaration Service (CDS)

The Customs Declaration Service (CDS) is the UK government's electronic system for processing customs declarations, replacing the Customs Handling of Import and Export Freight (CHIEF) system.

Get access to the Customs Declaration Service.

Customs Duty

Customs Duty is a tariff or tax levied on goods imported across borders. While often calculated as a percentage of the goods' total value (ad valorem duty), it can also be a fixed amount per unit or a combination of both.

Customs warehousing (CW)

A duty relief and customs procedure allowing businesses to store imported goods in approved warehouses without immediate payment of import duties and VAT. It serves to delay duty and VAT, facilitate re-export, manage inventory, and process goods prior to their release into the domestic market.

Department of Agriculture, Environment and Rural Affairs (DAERA)

The Department of Agriculture, Environment and Rural Affairs (DAERA) develops and implements policy for food, farming, the environment, fisheries, forestry, and sustainability, and drives rural sector development in Northern Ireland. To facilitate international trade and protect domestic health, DAERA issues Export Health Certificates for animal products and Phytosanitary Certificates for plant products, and enforces import controls through inspections of animals, plant materials, and animal products.

DAERA Export Certification On-line (DECOL)

DAERA Export Certification Online (DECOL) is an electronic system provided by the Department of Agriculture, Environment and Rural Affairs (DAERA). It facilitates the application and processing of Export Health Certificates (EHCs) required for exporting animals and animal-derived products.

Declaration

A declaration, specifically a customs declaration, is a formal document provided by an importer or exporter to customs authorities to facilitate customs clearance and compliance. The declaration includes information such as the goods' description, value, origin, destination, quantity, weight, tariff classifications, and the details of the importer and exporter.

Declaration Unique Consignment Reference (DUCR)

The Declaration Unique Consignment Reference (DUCR) is a unique reference number assigned by the declarant (person making the customs declaration) for a specific consignment of goods. It is used to identify and track that consignment through customs procedures. The recommended format of the DUCR reference number in the UK is the World Customs Organisation (WCO) format, which includes the year, country, EORI number, and a unique reference devised by the trader. 

Department for Environment Food and Rural Affairs (DEFRA)

DEFRA (Department for Environment, Food and Rural Affairs) is the UK government department responsible for ensuring biosecurity in international trade by regulating the import and export of animals, plants, and related products. It also supports UK food and farming by shaping trade policies, including negotiating agreements and setting import/export standards. Its responsibilities cover England, and it also deals with some UK-wide issues. In Northern Ireland, DAERA is responsible for similar areas and administers UK schemes.

Department for Business and Trade (DBT)

The Department for Business and Trade (DBT) is the UK government department responsible for the UK's trade strategy. This includes negotiating free trade agreements with countries around the world, promoting exports, attracting foreign investment, and shaping trade policy. 

Dual-use goods

'Dual-use goods' refers to items, including software and technology, that can be used for both civilian and military purposes. The term also includes all goods that have non-explosive uses or assist in any way with the manufacture of nuclear weapons or other nuclear explosive devices. This makes them subject to strict regulations, as they pose a risk of being diverted for weapons development or other harmful applications.

Duty

A duty, primarily a customs or import duty, is a tax imposed by a government on goods entering a country. These duties serve to protect domestic industries from foreign competition and generate revenue.

Duty relief

Duty relief reduces or eliminates the amount of customs duty payable on imported goods. Examples include Inward Processing Relief (IPR), Temporary Admission, and Customs Warehousing.

Economic Operator Registration and Identification (EORI) number

A unique identification number used to track and record customs information related to the movement of goods across borders.

An EORI number is mandatory for businesses engaged in importing or exporting goods into or out of the United Kingdom and European Union. Individual businesses (or an operator acting on their behalf) wanting to import/export goods must apply for an EORI number. The customs authorities in each country are responsible for issuing the numbers and enforcing their requirement in customs procedures.

Get an EORI number.

Entry Summary Declaration (ENS)

An Entry Summary Declaration (ENS) is an electronic data submission that provides pre-arrival safety and security information to UK customs about goods being imported.

To make entry summary declarations for goods moving into Northern Ireland, you need to use one of the following services: 

• Import Control System Northern Ireland (ICS NI)
• Import Control System 2 (ICS2), which is replacing ICS NI

Read more about making an entry summary declaration.

Exit Summary Declaration (EXS)

An exit summary declaration is required when an empty pallet, container or vehicle is being moved under a transport contract (including empty reusable packaging such as stillages or roll-cages). It is also required where goods are moved under transit and there is no full export declaration.

Find out when to make an exit summary declaration.

Export Control Joint Unit (ECJU)

The Export Control Joint Unit (ECJU), part of the UK’s Department for Business and Trade, oversees and enforces the UK’s export control system, managing licensing for military and dual-use goods, software, and technology.

Export credit insurance

Export credit insurance is a type of insurance that protects businesses against the risk of non-payment by foreign buyers when exporting goods or services internationally. This could be where the buyer fails to pay due to reasons such as insolvency, bankruptcy, political instability or changes in import/export regulations.

Find an export credit insurer when exporting.

Export health certificate (EHC)

You need an export health certificate (EHC) to export live animals and animal products from Northern Ireland to non-EU countries. You do not need an EHC to export to the EU. The Department of Agriculture, Environment and Rural Affairs (DAERA) is the competent authority in Northern Ireland.

Get an export health certificate.

Free circulation

Free circulation means that goods are fully released from customs control and are not subject to any customs procedures or held in authorised temporary storage facilities.

Free Trade Agreement (FTA)

Free trade agreements (FTAs) are formal treaties between two or more countries that aim to reduce or eliminate barriers to trade, such as tariffs, quotas, and import/export restrictions, allowing an easier and cheaper exchange of goods and services between the member countries.

Freight forwarder

Freight forwarders coordinate and manage the worldwide movement of cargo on behalf of importers and exporters. Their services typically include arranging transportation, packing, handling documentation, and managing customs clearance to ensure smooth and efficient delivery of goods across borders.

How to use freight forwarding.

General Interpretative Rules (GIRs)

The General Interpretative Rules (GIRs) are the six legal rules used worldwide to classify goods in the Harmonised System (HS) for customs purposes. They are set out by the World Customs Organization (WCO) in the HS Convention and must be applied when assigning tariff codes to goods.

Green lane

The ‘green lane’ is a trade process under the Windsor Framework for goods moving from Great Britain to Northern Ireland that are intended to remain in Northern Ireland. It allows for reduced customs checks and paperwork for eligible goods, while goods not meeting the criteria follow a separate process with additional checks.

Groupage

Groupage exporting is a shipping method where goods from multiple suppliers are consolidated into a single container or trailer for transport. This approach helps to reduce costs and improve efficiency by sharing space and resources among smaller shipments.

Harmonised System

The Harmonised System (HS) is an internationally agreed classification system used by customs authorities to identify products for the purpose of determining applicable taxes, tariffs, and duties. It also provides a standardised basis for compiling official trade statistics across countries.

HM Revenue & Customs (HMRC)

HM Revenue & Customs (HMRC) oversees the collection of taxes from individuals and businesses, including duties on goods traded within the UK. In relation to exports, HMRC manages the collection of duties and taxes on goods leaving the UK, ensures compliance with export regulations, processes export declarations, and may select goods for physical inspection within the National Export System (NES).

Import licence

An import licence is an official document issued by the UK government that permits the import of specific goods such as animals and animal products, plants and plant products, certain types of food, medicines and controlled drugs, chemicals, nuclear materials, and weapons such as firearms and knives. It is used to regulate and control the entry of certain products for reasons such as safety, security, or trade policy.

Incoterms®

International Commerce Terms, known as Incoterms, are globally recognised rules that define the responsibilities of buyers and sellers in trade contracts. They clarify who is responsible for costs and risks such as transport, insurance, duties, and customs clearance during the shipment of goods.

Read more about Incoterms

Indirect exports

Indirect exports occur when a company sells its products to an intermediary, such as a distributor or agent, who then sells those products in the foreign market. This method allows the company to use an intermediary to manage sales and distribution rather than selling directly to overseas customers.

Indirect representative

An indirect representative is a person or business that makes customs declarations on behalf of another party, such as an importer, but acts in their own name. Both the representative and the importer are jointly responsible for any customs debts that arise.

Integrated Tariff of the United Kingdom

The UK's Integrated Tariff is a set of rules used to classify goods and determine the tariffs and trade measures that apply to them. It is based on the UK Global Tariff (UKGT), which follows the Most Favored Nation (MFN) principle and includes tariff rates, suspensions, reliefs, and other trade-related measures that affect imports from most countries.

Trade Tariff: look up commodity codes, duty and VAT rates.

Intrastat

Intrastat is the system used to collect data on the movement of goods between Northern Ireland and European Union (EU) member states. It helps compile official trade statistics by monitoring the flow of goods in accordance with set reporting thresholds and requirements.

Read an introduction to Intrastat.

Inward Processing Relief (IPR)

Inward Processing Relief (IPR) is a customs scheme that allows businesses to import goods for processing, repair, or manufacturing and then re-export them without paying full import duties or VAT. This duty relief scheme helps reduce costs during temporary importation, provided the processed goods are eventually re-exported or disposed of under approved conditions, and businesses must comply with record-keeping and reporting requirements.

Letter of credit

A letter of credit is a written commitment from a buyer’s bank to pay the exporter’s bank a specified amount, provided the exporter submits the required documents within an agreed timeframe. This guarantees payment to the exporter as long as the terms and conditions of the letter of credit are met.

Find out more about letters of credit.

Marketing standards

Marketing standards are rules that set minimum quality, safety, and labelling requirements for products being imported or exported. These standards help ensure consumers receive accurate information and fair value, while supporting consistent quality and presentation across markets.

Read more about Marketing standards for food and drink products.

Movement Reference Number (MRN)

A Movement Reference Number (MRN) is a unique identifier assigned by customs authorities to each import or export declaration. It is used to track and manage shipments in both the UK and EU, helping ensure the smooth processing and clearance of goods.

National Clearance Hub (NCH)

The National Clearance Hub (NCH), managed by HM Revenue & Customs (HMRC), is the UK's central site for processing and managing the movement of goods from non-EU countries and goods transiting through the European Union. It oversees customs declarations, clearance, and related administrative tasks to facilitate the flow of international trade.

Read more about using the National Clearance Hub.

Northern Ireland Retail Movement Scheme (NIRMS)

The Northern Ireland Retail Movement Scheme allows businesses to move prepacked goods like food, drink, cut flowers, and pet food from Great Britain to Northern Ireland. Under this scheme, businesses can benefit from simplified rules and a new green lane system introduced by the Windsor Framework, to make the movement of goods quicker and less expensive. 

Sign up for the Northern Ireland Retail Movement Scheme.

Northern Ireland Plant Health Label (NIPHL) Scheme

The Northern Ireland Plant Health Label Scheme (NIPHL) allows growers and traders in Great Britain to move eligible plants, seeds for planting, seed potatoes, and used agricultural machinery to Northern Ireland. To use the scheme, businesses must be registered and authorised, ensuring they meet plant health and biosecurity standards. The scheme simplifies the process by replacing the need for individual phytosanitary certificates with official NIPHL labels for eligible goods.

Read more about the (NIPHL) scheme.

Not ‘at risk’

Within the Windsor Framework, ‘not at risk’ means goods moving from Great Britain to Northern Ireland are expected to stay in Northern Ireland and will not be moved into the European Union Single Market. This classification allows these goods to avoid EU tariffs and customs checks, simplifying the movement and reducing costs.

Open General Export Licence (OGEL)

An Open General Export Licence (OGEL) is a type of export licence that allows you to export certain controlled goods, including strategic and military items, to specific destinations without applying for individual permission each time. You must follow the licence’s set terms and conditions, including keeping records and meeting export rules, to use an OGEL legally.

Outward processing

Outward processing is a customs procedure that allows you to temporarily send goods outside the UK or EU for processing or repair. When the goods are brought back, you only pay duty on the added value from the processing, helping reduce your duty payments.

Read more about outward processing.
 

PECOL

PECOL stands for Phytosanitary Export Certificate Online. It is an online system used to apply for official certificates that confirm plants and plant products are free from pests and diseases and meet the importing country’s regulations, simplifying the export process for growers and traders.

Phytosanitary certificates

A phytosanitary certificate is an official document that confirms plants, plant products, or other agricultural goods have been inspected and are free from harmful pests and diseases. This certificate shows that the goods meet the plant health regulations of the country they are being shipped to, helping to prevent the spread of pests and diseases through trade.

Preferential origin

Preferential origin means that goods made or processed in certain countries qualify for lower or no import taxes under trade agreements between those countries. This helps businesses save money on import duties when trading with countries that have agreed to give each other special tariff treatment.

Red lane

The ‘red lane’ is the customs process for goods moving from Great Britain to Northern Ireland that are considered at risk of entering the European Union (EU) single market. These goods must undergo full EU customs checks and controls, including paperwork and tariffs, to ensure compliance with EU rules.

Rules of origin

Rules of origin are the rules used to determine where your goods come from. They help decide which goods qualify for special treatment, such as lower import taxes, under trade agreements between countries.

Check your goods meet the rules of origin.

Safety and security declaration

A safety and security declaration, also called an entry summary declaration, is a notification you must send to UK customs before goods arrive in Great Britain. It gives customs important information to check for potential risks and help keep the border safe, allowing goods to move smoothly when they arrive.

Sanctions

Sanctions are official restrictions used by governments, including the UK, to achieve goals such as following international rules, supporting foreign policy, protecting national security, maintaining peace, and preventing terrorism. These measures can limit trade, freeze assets, ban travel, and restrict the movement of goods and people to help keep the UK and the world safe.

Single Administrative Document (SAD)/C88

The Single Administrative Document (SAD), also known as form C88 in the UK, is a customs form used when importing or exporting goods. It serves as official proof and authorisation for customs purposes, showing information about the goods, their origin, value, and destination. This form helps customs authorities manage and track shipments to ensure proper duties and regulations are applied. 

Standard individual export licence (SIEL)

A Standard individual export licence (SIEL) allows you to export specific military or dual-use goods to a named recipient or user. It is a licence tailored for particular exports, with set limits on the items, quantities, and destinations, ensuring that the shipments comply with export controls and legal requirements.

Strategic Export Control List

The UK Strategic Export Control Lists, also called the consolidated list, combine seven international lists to show which types of goods are controlled for export. These lists include items such as military equipment and dual-use goods that can be used for both civilian and military purposes. Exporters use this list to check if they need a licence before shipping goods to other countries.

Tariff codes

Tariff codes, also called commodity codes, are international numbers used to identify specific products when importing or exporting goods. You need to use these codes on customs forms, and you can find them using the UK Trade Tariff tool, which also shows the duties, taxes, and any rules that apply to your goods.

Temporary admission

Temporary Admission is a customs procedure that allows goods to be temporarily imported into a country without paying import duties or VAT, provided the goods are used for a specific purpose, remain unchanged except for normal wear and tear, and are re-exported within a set time, usually up to two years. The goods cannot undergo processing or repair (a different procedure called Inward Processing exists for that). Temporary admission is commonly used for items like professional equipment, exhibition goods, or vehicles, and helps businesses avoid taxes on goods not intended to stay in the country permanently.

Read more about Temporary Admission.

Trade Tariff

The Trade Tariff helps you find the right commodity codes for your goods and shows the taxes, duties, and licences needed for importing or exporting them.

UK Internal Market Scheme (UKIMS)

The UK Internal Market Scheme (UKIMS) lets authorised businesses move goods into Northern Ireland using simpler customs processes. If your goods are for sale or final use in Northern Ireland or Great Britain, you can declare them as ‘not at risk’ of moving to the EU, which means they won’t face EU customs duties. You need to apply for UKIMS authorisation before moving goods this way.

Apply for authorisation for the UK Internal Market Scheme if you bring goods into Northern Ireland.

Unique Consignment Reference (UCR)

A Unique Consignment Reference (UCR) is a globally unique number used to identify your shipment for customs, helping track and manage the goods during import or export.

(Export) VAT

Northern Ireland operates a dual VAT system for exports: goods sold and shipped to the EU are zero-rated for VAT, provided businesses keep proof the goods have left Northern Ireland; exports to Great Britain are treated as domestic sales under UK VAT rules. EU exports require compliance with EU VAT rules, including EC Sales List submissions and using the XI VAT registration. This system supports trade with both the UK and EU while adhering to distinct VAT regulations.

Read more about exporting goods and services and VAT.

(Import) VAT

Import VAT is a tax on goods brought into the UK from outside the UK, or into Northern Ireland from countries outside of both the UK and the EU. The value used for calculating Import VAT includes the cost of the goods, plus shipping, insurance, and any customs duties.

Read more about importing goods and services and VAT.

Waybill

A waybill is a document from a shipping company that shows they have your goods and will deliver them. It contains important details to help keep track of your goods and customs clearance.

Windsor Framework

The Windsor Framework is an agreement between the UK and the EU made in February 2023 that updates the Northern Ireland Protocol, establishing rules to manage the movement of goods between Great Britain (England, Scotland, and Wales) and Northern Ireland.

Under the Windsor Framework, Northern Ireland remains aligned with EU rules in several key areas, including goods standards, animal and plant health, medicines regulation, VAT and excise duties. This alignment enables products to move freely between Northern Ireland and the EU while maintaining regulatory standards consistent with the EU single market.

World Customs Organisation (WCO)

The World Customs Organisation (WCO) was established in 1952 as the Customs Co-operation Council (CCC) and is an independent international body that works to improve the efficiency and effectiveness of customs operations worldwide, supporting global trade by setting standards and promoting cooperation among customs authorities.