International Trade Productivity

Most of us are faced with increased demands to do more with less. We wear two or three hats and work longer hours, yet the contents of our “inbox” continue to multiply. How are members of the trade community coping with the heavier workloads? The Wizard will be happy to start the discussion by sharing a tip. Consider using two computer monitors. For example, an importer or broker could type information for a new ruling request into a Word document on one monitor while viewing some related rulings on the CBP CROSS database on the other monitor. An importer could look at drawing or blueprint of a new part on one monitor while reviewing the online HTS for the correct classification on the other monitor. The Wizard is a real geek and uses three computer monitors, but most people would probably be happy with two! How many monitors do you use at work? Check out the “poll” located on the right side of the page.

Now it’s your turn! Share some of your productivity tips with your trade compliance colleagues. Maybe if we find ways to improve our productivity, we won’t be as stressed and can get away from the office a little earlier to enjoy some of the wonderful spring weather!

Trade Terms Tuesday

During the last year, we’ve worked our way through the trade term alphabet twice. The letters “X, Y and Z” created a challenge the last time, so we thought it would be fitting to say “goodbye” to our lessons on trade terms using foreign words the letter “Z” and words meaning “goodbye” in a foreign language.

Enjoy!

Zbogom – Croatian
Zai jian - Mandarin Chinese
Zay gesunt – Yiddish Europe

Join us next Tuesday as we start a new series….Free Trade Agreement Tuesday (FTA Tuesday).

Email Allowed to Certain Sanctioned Countries

Earlier this month, the Office of Foreign Assets Control (OFAC) amended the regulations to provide general licenses to allow the exportation of certain internet-based communications to Cuba, Iran and Sudan. The communications include instant messaging, chat, email and social networking of a personal nature. Even though the Export Administration Regulations indicate that transmitting information outside of the U.S. using electronic means is considered an export, recent opinions indicate that free download of mass market software that can be accessed freely by anyone would not violate the EAR.

The amendments also permit the exportation of related software to Iran and Sudan. The new general licenses allow U.S. persons to “export” services and software related to personal communications via the internet to these countries. The new provisions are designed to encourage communications; however, OFAC will continue to enforce the other sanctions with these countries. The new provisions affect 31 CFR 515, 538 and 560. Click HERE to view the Federal Register information.

Customs Broker Exam Study Tip 11: Free Trade Agreements

With the increase of free trade agreements between the U.S. and other countries, the number of questions on the CBE related to these agreements has increased. In fact, “Trade Agreements” often has its very own section of questions on the exam. Free Trade Agreements (FTAs) are international agreements made between two or more nations that relate to common trade or service issues. FTA’s reduce or eliminate all tariffs and other restrictions on substantially all the trade in goods between its member countries based on country of origin.

The information needed to answer questions about FTA’s is likely to be found in one of four places, the General Notes of the HTSUS, Chapters 98 an 99 of the HTSUS, 19 CFR Part 10 and 19 CFR Part 181. Memorize the titles of these General Notes and skim the text to become familiar with the topics covered in each. In your review of the programs, concentrate on the basic requirements such as tariff shift, de minimis and RVC requirements. Each program has different requirements regarding allowance of the special duty treatment, and some of these programs are subject to change. Most of these programs have very detailed requirements that must be met in order to claim the duty-free status. Additionally, these programs are often difficult to understand, and some have limited use in daily practice. Try not to be too overwhelmed when encountering these problems. If they appear too difficult, move and come back to them later.

Don’t overlook important terminology. Be sure to know the definitions for each of the following:

· Accumulation
· Direct Cost of Processing
· De Minimis
· Imported Directly
· Transshipment
· Regional Value Content RVC
· Tariff Shift
· Substantial Transformation

To view a list of the FTAs, the references to the HTSUS General Notes, SPI and CFR references, click HERE.

We welcome your comments on these suggestions and encourage you to add your own ideas to this forum so that other students studying for the exam can benefit from your experiences. Check the Boskage Trade News regularly for more helpful hints on studying for the Customs Broker Exam and other useful news for international trade professionals!

CBP Proposes Changes to Recordkeeping for Customs Brokers

In the Federal Register on March 23, 2010, CBP announced a potential change in some of the recordkeeping requirements for customs brokers.

Electronic data storage systems have become more reliable and sophisticated so that some of the traditional maintenance of paper files is no longer necessary. The Notice of Public Rulemaking “NPR” proposes the following changes to some of the duplicate recordkeeping situations brokers often use as a result of the technology and CBP requirements.

111.23 Location
Licensed customs brokers will be allowed to store records relating to its customs transactions at any location within the customs territory of the United States, so long as the designated recordkeeping contact identified in the broker's permit application makes all records available to CBP within a reasonable period of time from request at the broker district that covers the CBP port to which the records relate.

163.5 Method of Storage

Brokers who are not serving as the importer of record will be allowed to retain all records electronically for 5 years. However, this provision does not apply to brokers who do not maintain electronic records (that is, all brokers who only transmit paper documents to CBP). Also, this exemption does not apply to any document that is required by law to be maintained as a paper record, such as some softwood lumber documents. Previously, entry records were required to be maintained in their original formats for 120 calendar days from the end of the release or conditional release period.

Note: This exception only applies to brokers. Importers must still retain entry records in their original format for the 120-day period after the release or conditional release of imported goods.

Comments should be submitted by May 24, 2010 using one of the following options.

1. Federal eRulemaking Portal
http://www.regulations.gov
Docket Number:USCBP-2009-0019

2. MailTrade and Commercial Regulations Branch Regulations and Rulings

Office of International Trade

U.S. Customs and Border Protection

799 9th Street, NW. (Mint Annex)

Washington, DC 20229

Trade Terms Tuesday

Welcome to Trade Terms Tuesday! Each Tuesday, we will share three trade-related terms. In order to reach out to our diverse readership, we will try to provide one for exports, one for imports, and one for logistics/transportation. This week, we continue with the letter W.

War Risk
Insurance coverage for loss of goods resulting from any act of war. War risks are not covered under a policy for marine perils and must therefore be covered under a separate policy for war risks.

World Trade Club
Local or regional organization for importers, exporters, customs brokers, freight forwarders and others involved in international trade transactions.

World Trade Organization “WTO”
The WTO is a multilateral organization that promotes free and fair trade among the nations of the world. It was created in 1994 by 121 nations at the Uruguay Round of the General Agreement on Tariffs and Trade (GATT). The WTO seeks to monitor world trade and place it on a secure basis, thereby contributing to economic growth and development, and the welfare of the world’s people. WTO principles include:

• Trade without discrimination
• Protection through tariffs
• Stable basis for trade
• Promotion of fair competition
• Quantitative restrictions on importers

bcpSource Classification Contest - Week 4 Question

Congratulations to our bcpSource winners! Below you'll find a list of winners and the answers for each week. The drawings were made at random from the list of correct answers.

Week 1

Jessica Roeser

4421.90.9760

Week 2

Sarah Albertini-Bond

4202.92.9060

Week 3

Nancy Hess

8523.52.00

For the last three weeks, Boskage Commerce Publications sponsored a classification contest to introduce bcpSource. bcpSource is the new advanced HTSUS online research tool containing the complete HTSUS, designed for speed and ease, updated with timely data, customizable to fit your specific needs and loaded with tools to help you integrate your program.

To participate in the contest, read the question below and submit your answer by following these instructions.

1. Go to www.bcpsource.com/program/ to access bcpSource.

2. Complete the registration.

3. Read the instructions on how to use the various features.

4. Locate the correct classification.

5. Click the "P" (which allows you to add your specific data) next to the classification code and type “FOUND IT in the SKU field.

6. Email inquiries@boskage.com to let us know that you've found the answer and what your answer is.

7. Enjoy using bcpSource!

The answer for Week 4 must be submitted by 5 p.m. (EST) Friday March 26, 2010. We'll pick the winning contestant randomly from a pool of all correct responses. The winner will be notified via email and will receive a $50 Amazon.com gift card. A list of the weekly winners will be posted on the blog at the end of the contest.

Week 4 bcpSource Classification Question
To celebrate spring and those who have spring fever, this week we will classify a beach blanket made of 50% cotton and 50% nylon tufted construction. The blanket measures 7 ft x 7ft. The front of the blanket contains a multicolor design of fish and dolphins. If the beach blanket may be subject to quota, please provide the category.

CBE Study Tip 10: Valuation

Customs Valuation (19 CFR 152) is one of the most complex parts of the regulations. This section is one of the most frequently tested on the exam, and the questions are often long and time consuming to answer. When reading Part 152, it would be wise to read each section slowly in order to understand the complex terms discussed. Pay close attention to any examples provided because they help explain and demonstrate the complicated concepts. Highlight important areas of text. Make notes and lists in the margins. Locate the valuation questions in old exams and work through the questions. Make sure to mark each section of the regulations that was used in determining the answers.

Click HERE to view an outline of the most important valuation information found in 19 CFR 152. Read and highlight these sections in your copy of the regulations. Take this outline to the exam with you for a quick reference tool.

Stay tuned to Boskage Trade News for more helpful hints on studying for the Customs Broker Exam! Please feel free to add your comments, suggestions for topics you would like to see covered and other useful information to the blog.

News - Live From the ICPA Conference!

Ahoy mateys! The first two days have been a great learning experience at the ICPA Conference in Orlando. As expected, the speakers are fantastic. Since the Wizard learns something at each session, it seemed like a good day to share a little of it with our faithful readers who are not at the conference with us. Unfortunately, the Wizard cannot attend all five sessions at one time, so only a small portion of the news will appear here for now.

Third Party Violations
This session started with three questions –
1. What did you know?
2. When did you know it?
3. What did you do about it?

Knowledge is key! Burying your head in the sand won’t make it go away! The session also included helpful hints on how to prevent third party violations through training, reviewing terms and conditions and performing end-use/end-user checks.

Training Employees on Export Control
Natalia Shehadeh delivered a dynamic presentation in which she outlined a winning approach to implementing a comprehensive training program for a large multinational company with over 100 locations all over the world. She reminded the audience that it’s important to sell compliance – get buy-in and support from executive management as well as those who have responsibilities in the export process. Her approach tackles the locations with the highest risk first and includes face-to-face training with these locations. As the program grows, a variety of methods will be employed to get the message across.

Understanding Incoterms
Always a favorite for attendees, Frank Reynolds told the crowd that he couldn’t say much about the new Incoterms 2010 because they weren’t finalized and his counterparts would do him serious bodily harm if he told us too much. In a nutshell, the new Incoterms will become effective on 1/1/11, will contain fewer than the 13 terms currently used plus one new term. The new Incoterms is a major revision and it is hoped that they will be adopted for domestic transactions. After the big news, Mr. Reynolds made it clear that the Incoterms were not law and did not convey ownership. He then went on to explain in detail the meaning of all 13 terms.

Does anyone know how many languages the Incoterms are printed in?

Export Control Violations
Attorneys from Holland & Hart provided a great roadmap for handling export violations. Of course it all starts with the identification of a possible violation. How a company handles these violations could affect the amount of penalties paid. Companies should be careful to conduct interviews in which the employees understand the “civil miranda” (the company doesn’t represent the employee) along with considering cultural differences and maintaining proper records of the interviews. Another key step in the process is to make sure all documents related to the transaction are maintained.

Case Studies and Consequences in Trade Compliance
This session started out with a detailed review of the former University of Tennessee professor who was convicted of multiple export violations and sentenced to 4 years in jail. Colleges and universities need to take notice of the U.T. case as this one is only the tip of the iceberg. This case likely prompted several dozen disclosures that were filed by institutions of higher education. This case was followed by a detailed explanation of the Foreign Corrupt Practices Act (FCPA). This portion of the presentation provided information about prohibited payments, exceptions to the rule and some best practices for keeping your company out of trouble.

Stay tuned! We’ll be back at the end of the week with some additional tidbits from the conference!

Trade Terms Tuesday - March 16

Welcome to Trade Terms Tuesday! Each Tuesday, we will share three trade-related terms. In order to reach out to our diverse readership, we will try to provide one for exports, one for imports, and one for logistics/transportation. This week, we continue with the letter V.

Vessel Ton
A unit of measurement in the shipping industry. 100 cubic feet of cargo equals one ton.

Validation, C-TPAT
A C-TPAT validation is a process through which the CBP SCSS meets with representatives from the importer to review procedures and visit selected domestic and foreign sites to verify that supply chain security measures contained in the C-TPAT participant's security profile are accurate and are being followed. Validations are not audits. Validations are conducted jointly by CBP personnel and representatives of the participant.

Value-Added Tax
Tax assessed on increased value of goods at each point in the chain of production from raw material to final consumption. The tax is levied on the amount the seller increases the value of items they purchase and resell.

bcpSource Classification Contest - Week 3 Question

Welcome to the classification contest sponsored by Boskage Commerce Publications to introduce bcpSource. bcpSource is the new advanced HTSUS online research tool containing the complete HTSUS, designed for speed and ease, updated with timely data, customizable to fit your specific needs and loaded with tools to help you integrate your program.

To participate in the contest, check the blog for the weekly question and submit your answer by following these instructions.

1. Go to www.bcpsource.com/program/ to access bcpSource.

2. Complete the registration.

3. Read the instructions on how to use the various features.

4. Locate the correct classification.

5. Click the "P" (which allows you to add your specific data) next to the classification code and type “FOUND IT in the SKU field.

6. Email inquiries@boskage.com to let us know that you've found the answer and what your answer is.

7. Enjoy using bcpSource!

The answer for Week 3 must be submitted by Noon (EST) Monday March 22, 2010. We'll pick the winning contestant randomly from a pool of all correct responses. The winner will be notified via email later in the week, and will receive a $50 Amazon.com gift card. A list of the weekly winners will be posted on the blog at the end of the contest.

Week 3 bcpSource Classification Question

Classify a microchip used to identify dogs and cats. The inert RFID chip and embedded antenna are encapsulated in a shell measuring approximately 1.5 mm by 10 mm. The electronic circuits relay the identification number to a scanner.

bcpSource Week 2 Winner

Congratulations to Sarah Albertini-Bond with Dollar Tree Stores, Inc.for winning the Week 2 bcpSource contest!

Stay tuned on Monday for a new question, posted live from the ICPA Conference in Orlando!

Customs Broker Exam Study Tip 9: How to Use the HTSUS – Part 2

Classification is a skill that takes time to develop, but the more effort put into the process, the faster one will become more proficient. The actual process of classification is very complex, almost like reading a foreign language. It is important for both experienced and beginner to understand that the strategy for answering classification questions on the brokers exam is a little different from the process used for classifying goods for your companies on a daily basis. The basic steps discussed are similar to those used in daily transactions, but there is more to the process for those classifying goods on a regular basis. On the exam, you won’t be able to consult with experts or use the Cross Rulings Database. Remember, the average time allotted per question on the exam is three (3) minutes. In actual practice, you would likely spend more than three minutes trying to classify a product. The primary difference between classification on the exam and classification in a business situation is that the exam provides five (5) possible answers, and you know that one of those answers is correct. In real life, you aren’t provided with a set of answers in which you know for certain one is correct. Another difference is that classification questions found on the exam are intentionally complicated and sometimes tricky. Thus, there is a need for a slightly different strategy for answering the questions on the exam.

1. Read carefully the question and make note of the details.
The first step in answering any classification question involves a careful, thorough reading of the question and making note of the details provided. Some of the details may be critical to answering the question correctly. Remember, exam questions have been carefully worded and may be tricky, so some of the details may be not be necessary. You may want to highlight the details as you read the question.

2. Look up each answer and eliminate those that are clearly incorrect.
The second step for answering classification questions is to look up all the answer selections and eliminate those that are clearly incorrect. This process may be more difficult than it sounds. Classification questions are typically written in such a way that all or most of the answers appear to be correct. The best way to answer them is by a process of elimination. Consider the following example.

What is the classification of a woven nylon scarf measuring 55 cm x 50 cm?

A. 6214.30.0000
B. 6214.40.0000
C. 6213.90.1000
D. 6117.10.2030
E. 6117.10.6020

Notice that the answers are found in two different chapters, so it is likely that we will be able to eliminate one of the chapters. Indeed, we can eliminate Answers D and E easily because Chapter 61 covers knit articles and our scarf is woven.

3. Read Chapter and Section Notes
The third step is to review the Section and Chapter Notes to make sure that there is not any information there that would preclude one or more answers. Section and Chapter Notes provide valuable information about what items are specifically included and excluded as well as useful definitions. Because of the time constraints, it would be easy to skip the Notes; therefore, the writers of the Exam intentionally include questions that require the applicant’s ability to use the Notes. Remember, the Notes can be long and many of them will not be related to the classification you are checking. You must learn to scan the notes for significant headings and keywords. If you still have several potential answers at this stage, the Notes may help you make a determination between them. You should do this even if you only have one answer remaining after the elimination step. If you have eliminated all answers but one when you reach this step and find a Note that eliminates that answer, you will have to start over to find the answer you have eliminated incorrectly. Let’s go back to the scarf.

Answer B should be eliminated because the provision is for artificial fibers and our scarf is nylon, which is a synthetic fiber. If you did not know whether nylon was artificial or synthetic, Chapter 54 and 55 covering man-made fibers would help. It would appear that Answer A is the correct selection for our scarf; however, Chapter 62 Note 7 explains that scarves that measure less than 60 cm should be classified as handkerchiefs under 6213. This is a prime example of the importance of reading the Notes. If we had overlooked the Notes assuming that 6214.30.0000 specifically describing our product was correct, we would have answered the question incorrectly.

In most situations, you will be able to answer questions using these steps; however, there may be a few questions that require an additional step involving the application of the General Notes and/or GRI. For example, a question may require you to select the appropriate duty rate. Once you’ve located the appropriate HTS number, you will select a duty rate based on the country of origin. Given the origin, you may need to check the General Notes to determine if the country is included or excluded from certain free trade agreements.

Now that you are familiar with the organization of the HTSUS and have some tips on how to answer classification questions, it’s time to practice these skills. One of the best ways to practice for the exam is to take past exams. Old exams can be found on CBP’s website. For detailed instruction on classification and related topics, check out our online courses at bcpLearning.com.

Stay tuned to the Boskage Trade News for more helpful hints on studying for the Customs Broker Exam! The next article will cover “Valuation.” We also welcome any suggestions on topics you would like to see discussed.

Should We Kill NAFTA?

On March 4, 2010, Rep. Gene Taylor (D-MS) along with 27 co-sponsors introduced H.R. 4759, a bill to kill NAFTA. Ok, perhaps “kill” is a strong word, but the results are the same. The bill requests that the U.S. withdraw from NAFTA within six months. The bill is currently in the House Committee on Ways and Means. Click HERE to track the status.

We included a “poll” on the side bar for our readers to share their opinions. Cast your vote and check back to see how people feel about this bill.

Should the United States withdraw from NAFTA?

Trade Terms Tuesday - March 9

Welcome to Trade Terms Tuesday! Each Tuesday, we will share three trade-related terms. In order to reach out to our diverse readership, we will try to provide one for exports, one for imports, and one for logistics/transportation. This week, we continue with the letter U.

Unit Load Device
The term “container” is used in both air and ocean transport; however, ULD is the term commonly used for container in air transport. ULDs are containers, pallets with a net and similar devices that come in a variety of shapes and sizes to fit specific types of carriers.

Unfair Trade Practice
An unfair trade practice is the result of government support to companies such as export subsidies or acts by companies themselves such as dumping, boycotts or other discriminatory shipping practices. Any act, policy or practice of a foreign government that violates, is inconsistent with, or otherwise denies benefits to the U.S. under any trade agreement to which the United States is a party.

U.S. Person
For purposes of Sec. Sec. 744.6, 744.10, 744.11, 744.12, 744.13 and 744.14 of the EAR, the term U.S. person includes:
(1) Any individual who is a citizen of the United States, a permanent resident alien of the United States or a protected individual as defined by 8 U.S.C. 1324b(a)(3);
(2) Any person organized under the laws of the United States or any jurisdiction within the United States, including foreign branches; and
(3) Any person in the United States.

Where to Find Trade Compliance Jobs

The effects of our economy continue to affect millions of people who are unemployed or underemployed. For those who are new to the industry or experienced trade professionals looking for meaningful employment, there are jobs available. In the past, we’ve talked about the types of jobs available and the skills necessary to obtain the jobs. Next, we’ll tackle the question of where to find jobs in international compliance.

Government Jobs - USAJOBS

http://jobsearch.usajobs.gov/advanced.aspx

You can search for jobs by keyword, job title, location, agency, salary and more. If you are not sure what type of salary or the title of the job, you might want to limit your search to Homeland Security – Customs & Border Protection. The results may yield in excess of 800 jobs. If this number is unmanageable, consider entering a location and/or salary range. The results can be sorted by closing date, job summary and salary. Some of the government jobs available at CBP include the following.

Auditor: $ 41,500 - $78,000
International Trade Specialist: $75,000 - $115,000
Information Security Specialist: $71,000 - $133,000
Management and Program Analyst: $ 47,000 - $89,000
Telecommunications Specialist: $57,000 - $89,000

Tell your friends outside of trade compliance as CBP also hires chemists, economists, engineers, information technology specialists and other specialties.


Job Boards
There are a variety of job boards that can be searched for jobs in international trade

http://www.monster.com/
http://www.jobsinlogistics.com/
http://www.indeed.com/

Most of the job boards let you specify search criteria and will send you daily emails with a list of new jobs available. One of the nice attributes of Indeed.com is that it pulls jobs from most all of the job boards, recruitment firms and individual companies looking to hire trade compliance professionals. For more detailed results, enter in specific jobs titles, company names or specific terms and locations.


Professional Organizations
Many of the local trade clubs and organizations such as the International Compliance Professionals Association (ICPA) post jobs opportunities for their members.


Recruiters
Employment recruiters work for the hiring companies and job seekers. Their goal is to match the right person to the right job. In most situations, the fee is paid by the employer. The screen process can be quite detailed to ensure that there is a good match between the candidate and the company. You can contact the recruiters directly and you may also find their advertisements on the job boards. You’ll notice them because the companies they represent remain confidential on the job boards, as does any information the candidate submits to the recruiter until the parties agree to share the information. Recruiters can often provide good insight to the company’s culture and expectations that a candidate might not otherwise learn in a job search.


Social Networks
A growing trend for job networking includes sites like Linkedin.com, blogs and Twitter. This form of networking shouldn’t be ignored; however, be careful about the information you post about yourself online. You may find that other groups hijack your information and publish it on their websites without your knowledge. Also, if you currently have a job and are looking for a new one, you wouldn’t want your current employer to find your resume online.

Customs Broker Exam Study Tip 8: How to Use the HTSUS – Part I

In Study Tip 7, we provided some suggestions on how to read the CBP Regulations. In this article, we provide some tips on the key components and arrangement of information contained in the Harmonized Tariff Schedules of the United States (HTSUS). The next article will provide some helpful information on how to answer exam questions.

If you want to pass the Exam, no subject is more important than classification. On each test, classification accounts for 15% - 25% of all questions asked. If you are not experienced in this process or have not dedicated sufficient study to this area, your chances of success are more uncertain. The good news is that by focusing on some basic skills, developing a strategy and answering questions from previous exams, both experienced and beginning students can achieve success! To begin your study of the HTSUS, you should familiarize yourself with the key components and arrangement of information found in the HTSUS. Then, organize your book in a way that allows you to find information quickly. The following points will assist you with these tasks.

1. Familiarize yourself with the components of the HTSUS.

The HTSUS is similar to the CFR in that it is a reference text and not the type of book that is read from page one to the end. It is important to be familiar with the major parts so you will know where to look for answers and what information is the most important to read.

· General Rules of Interpretation (GRI) – The GRI appear at the beginning of the HTSUS and provide the primary rules for classification.

· General Notes – Covering over 500 pages, the General Notes provide instructions on special duty programs, free trade agreements, duty rates and other information necessary for proper classification and calculation of duties. The first three General Notes are the most likely sources of Exam questions; however, you should be familiar with the topics covered by all of the notes.

· Section and Chapter Notes - The Sections and Chapters contain notes that appear at the beginning of each. Since these notes provide lists of goods specifically included or excluded from a particular section, chapter, heading or subheading and contain definitions of certain terms, it is important to read these notes when classifying imported products.

· Classification Tables - The Section and Chapter Notes are followed by pages of tariff numbers along with descriptions of the products, duty rates and any special rates associated with the tariff numbers. They also contain footnotes and quota code information that can be pertinent in classification questions.

2. Familiarize yourself with the arrangement of the HTSUS.

In the HTSUS, goods are logically arranged so they appear in headings beginning with the most basic substance, and ending with more advanced manufactured goods. This progression is found within the chapters and in the sections.

Section 11 is a good example of the progression. As indicated by the title, this section contains listings for textile and textile Articles. Chapter 50 contains silk threads, yards and fabrics, and Chapter 52 covers cotton threads, yarns and fabrics. Chapters 61, 62 and 63 contain articles that are manufactured from the silk, cotton and other raw materials covered in the previous chapters. Notice how the book progresses from a basic item—in this case silk and cotton—to the products obtained from the basic item.

3. Organize your HTSUS

Similar to the hints we provided for the CFR, consider using tabs for your copy of the HTSUS. If you are looking for the chapter on cotton and you know that it's in the middle of the book, having a tab with the chapter number and cotton may enable you to locate the exact chapter more quickly. Here are a few suggestions for using tabs.

Attach tabs to designate each of the 22 Sections, or
Attach tabs to designate each of the 99 Chapters, or
Use both Section and Chapter tabs
Use tabs to mark the GRI and each General Note.
Consider using different color tabs to designate different sections.

Note: Although you may use the online version of the HTSUS for your daily work, you will be required to use the paper version for the exam. Until the exam is over, try to use the paper version for all of your work and study related to classification. Developing this skill will make it easier for you to locate the correct answer on test day. You can go back to the online version after the exam!

Now that you are familiar with the key components and arrangement of information in the HTSUS, it’s time to learn techniques to answer exam questions. CBE Study Tip 9 will provide suggestions to help you prepare your strategy for answering classification questions on the exam. Stay tuned to Boskage Trade News for more helpful hints on studying for the Customs Broker Exam! Please feel free to add your comments, suggestions for topics you would like to see covered and other useful information to the blog!

bcpSource - Week 1 Winner!

Congratulations to Jessica Roeser for winning the first week’s bcpSource contest!

We found that adding a little more time allowed more people to explore and respond. Therefore, we are extending the deadline for posting the answer to the second question to Noon on Wednesday March 10th! We'll pick the winning contestant randomly from a pool of all correct responses. The winner will be notified via email the following week, and will receive a $50 Amazon.com gift card.

For those of you who may have missed it, here is the question for Week 2.

Classify a carrying case specially shaped and fitted for an IPod audio player. The cases are made of nonwoven textile fabric with an outer layer of polyvinyl chloride plastic sheeting. The cases measure approximately 4” high by 2” wide by 1” deep and have an integrated plastic belt clip.

To participate in the contest, submit your answer by following these instructions.
1. Go to www.bcpsource.com/program/ to access bcpSource.

2. Complete the registration.

3. Read the instructions on how to use the various features.

4. Locate the correct classification.

5. Click the "P" (which allows you to add your specific data) next to the classification code and type “FOUND IT in the SKU field.

6. Email inquiries@boskage.com to let us know that you've found the answer and what your answer is.

Trade Terms Tuesday - March 2

Welcome to Trade Terms Tuesday! Each Tuesday, we will share three trade-related terms. In order to reach out to our diverse readership, we will try to provide one for exports, one for imports, and one for logistics/transportation. This week, we continue with the letter T.

Tare Weight
The tare weight is the weight of a container and/or packing materials without the weight of the goods it contains.

Tariff Shift
A tariff shift occurs when an article’s classification is changed from one heading in a chapter to another heading in the same chapter or from one chapter to another chapter, depending on the requirements for the specific HTS. In addition to the tariff shift, some goods must also meet the regional value percentage to qualify.

Technical Assistance
Technical assistance may consist of instruction, skills training, working knowledge, consulting or transfer of technical data.

bcpSource Classification Contest Week 2 Question

Welcome to the classification contest sponsored by Boskage Commerce Publications to introduce bcpSource. bcpSource is the new advanced HTSUS online research tool containing the complete HTSUS, designed for speed and ease, updated with timely data, customizable to fit your specific needs and loaded with tools to help you integrate your program.

To participate in the contest, check the blog for the weekly question and submit your answer by following these instructions.

1. Go to www.bcpsource.com/program/ to access bcpSource.

2. Complete the registration.

3. Read the instructions on how to use the various features.

4. Locate the correct classification.

5. Click the "P" (which allows you to add your specific data) next to the classification code and type “FOUND IT in the SKU field.

6. Email inquiries@boskage.com to let us know that you've found the answer and what your answer is.

7. Enjoy using bcpSource!

The answer for Week 2 must be submitted by Noon (EST) Friday March 5, 2010. We'll pick the winning contestant randomly from a pool of all correct responses. The winner will be notified via email the following week, and will receive a $50 Amazon.com gift card. A list of the weekly winners will be posted on the blog at the end of the contest.

Week 2 bcpSource Classification Question

Classify a carrying case specially shaped and fitted for an IPod audio player. The cases are made of nonwoven textile fabric with an outer layer of polyvinyl chloride plastic sheeting. The cases measure approximately 4” high by 2” wide by 1” deep and have an integrated plastic belt clip.