It is estimated that over $600 Million is recovered annually through the US Duty Drawback program and that is only 15% of the drawbacks that are available. This means that 85% of potential drawbacks are not being claimed each year, according to U.S. Customs. Are you leaving a savings opportunity on the table? This is exactly what Matt Robeson, Product Manager at Amber Road, talks about during his appearance on the Talking Logistics podcast. During the 30 minute interview, Matt explains what a duty drawback is, how to qualify for it, why it has been brought to the forefront of global trade in 2019, and how companies can start implementing their own drawback process.
For those who don’t already know, a duty drawback is a refund from the US Customs Service of up to 99% of duties paid on imported items that are subsequently exported or used to manufacture exported goods. Drawbacks can be claimed up to 5 years from the time of import. In order to qualify, companies must be able to prove that imported goods were exported or destroyed. Matt and Adrian discuss this in more detail at 3:44 in the video above.
Other key sections you will want to tune in for:
- What has caused the renewed interest in creating Duty Drawback programs? (7:21)
- How can you get started creating a Duty Drawback process within your company? (14:31)
- What is the role of technology in a Duty Drawback process & what capabilities should companies look for in a solution? (19:44)
- What are some of the critical factors of success for implementing and managing this process? (25:47)
While the Duty Drawback program is not new, this may be the first time some companies are considering adding a process in place to join the companies who currently only claim 15% of the total available drawbacks. If you’d like to read more about Duty Drawbacks after this podcast, hop on over to Talking Logistics’ website to read Matt’s guest commentary, Duty Drawback Makes a Comeback.