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What risks should be noted when looking for an agent for exporting to Africa? How to avoid pitfalls in payment methods? Who is actually responsible for the customs clearance documents?

What risks should be noted when looking for an agent for exporting to Africa? How to avoid pitfalls in payment methods? Who is actually responsible for the customs clearance documents?

How to identify the true qualifications of African agents?

It is recommended to executeThree - layer Verification Mechanism:

  • Basic documents:
    • Business license registered with the local Department of Commerce (the valid version in 2025 is required)
    • Industry Access Certificate (e.g., NAFDAC drug business license is required in Nigeria)
  • Credit verification:
    • Requires credit certificates from local TOP5 banks
    • Query the default record database of the African Development Bank
  • On - site verification:
    • Entrust a third - party institution to conduct on - site factory inspection of the warehouse
    • Verify the cooperation cases of Chinese - funded enterprises among its existing customers

What should be done if no one takes delivery of the goods after they arrive at the port under FOB terms?

According to the regulations that came into effect in 2025Convention on the Lien on Goods in the African Free Trade Area:

  • Immediately initiate the goods preservation procedure and apply for a customs - supervised warehouse within 15 working days.
  • Require the agent to issue a bank payment guarantee (SWIFT MT799 message should be included)
  • Agree in the contract in advance:
    • Proportion of demurrage charges sharing (it is recommended that the Chinese side bear no more than 20%)
    • Conditions for Transfer of Goods Disposal Rights (usually 60 days after arrival at the port)

What special documents are actually required for customs clearance in many African countries?

The latest requirements of three countries should be focused on:

  • Nigeria:
    • SONCAP Certification (The electronic version shall contain QR code verification)
    • FORM M Application Form (Must be generated online from 2025)
  • Kenya:
    • PVOC Certificate (Some product categories require pre - loading inspection)
    • COC Certificate of Origin (Requires double certification by the chamber of commerce)
  • Egypt:
    • A copy of the importers registration certificate (CRN) needs to be authenticated by the embassy
    • Steel products must provide MIITI certificate

What are the hidden costs of the customs duties of the Economic Community of West African States countries?

In addition to the basic customs duty of 15% of the declared value, special attention should be paid to:

  • Value - added tax:
    • Ghana: 18% (can be deducted with the importers tax number)
    • Senegal 20% (non - deductible)
  • Additional tax:
    • C?te dIvoire Levies a 3% CSR Fund Tax
    • Benin Imposes a 35% Special Tariff on Textiles
  • Anti - dumping duty:
    • South Africa imposes a 62.7% anti - dumping duty on fasteners from China (valid until 2027)

How to prevent typical cargo damage risks at East African ports?

According to Mombasa Ports 2025 new regulations:

  • Containers must use high - strength seals (it is recommended to purchase ISO17712 - certified locks)
  • Bulk cargo requires Institute Cargo Clauses (A) insurance
  • Special Attention:
    • Discharge is prohibited at the Port of Dar es Salaam in rainy days (indicate Weather Working Days in the bill of lading)
    • If the container in Mombasa Port is overdue for 14 days, the auction process will be initiated.

Should the exclusive distribution right be granted as requested by the African agent?

Recommended adoptionHierarchical authorization model:

  • During the probation period (6 - 12 months), only a non - exclusive regional agency right is granted.
  • Set a Minimum Purchase Quantity Threshold (30% increase based on industry standards)
  • It should be clarified in the agreement:
    • Specific indicators for market development (such as the number of new customers added per month)
    • Intellectual Property Protection Clause (especially the issue of trademark squatting)

What opportunities does the new policy of the African Free Trade Area bring?

Two key changes in AfCFTA implementation for 2025:

  • Customs union:
    • 90% of the goods achieve zero - tariff (Proof of origin accumulation is required)
    • UnifyCustoms declarationSystem (covering 42 countries)
  • Logistics optimization:
    • Cross - border transportation time is shortened by 40% (electronic customs locks are implemented in major corridors)
    • The East African Community Enables Unified Truck Load Standards

What are the mandatory requirements for local packaging?

Three general norms that must be followed:

  • Language Labeling:
    • Countries in the French - speaking area require bilingual (English and French) labels.
    • South Africa requires the inclusion of rotating signs in 11 official languages
  • Certification Mark:
    • Electronic products must be engraved with the SABS mark (South Africa)
    • Food packaging shall display the barcode of the local distributor
  • Environmental Protection Requirements:
    • Rwanda prohibits the use of PVC materials
    • Kenya Mandates the Use of Degradable Packaging Bags

How to handle common trade disputes in Africa?

Proposal to establishThree - level Disposal Mechanism:

  • Pre - prevention:
    • The contract stipulates the application of London arbitration clauses
    • Require the agent to pay a performance bond
  • Interim Monitoring:
    • Real-time payment tracking via SWIFT MT940 message
    • Regularly check the inventory turnover rate of the agent
  • Subsequent handling:
    • Give priority to mediation through African business associations
    • Major disputes shall be submitted to the Common Court of Southern Africa

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