Outward Processing (OP)
Outward Processing (OP) – Permits companies to temporarily export goods for processing or repair abroad with relief from customs duties when the goods are re-imported.
Outward Processing authorisation is a customs procedure that allows businesses to temporarily export goods outside of the UK or EU for processing, repair, or other treatment, and then re-import them with partial or full relief from customs duties. The primary purpose of OP is to enable businesses to send goods abroad for value-added processing while benefiting from reduced import costs when the goods return to the home country.
Benefits of OP Authorisation:
- Cost Savings: Import duties are applied only to the added value, which can significantly reduce overall import costs.
- Flexibility: It allows businesses to take advantage of lower processing costs abroad while keeping their operations streamlined.
- Supply Chain Efficiency: Companies can outsource specific stages of their production process or repairs to foreign countries without facing prohibitive customs charges on the entire product upon its return.
Example:
A company in the UK might send machinery to Germany for repairs. Under OP authorisation, they can export the machine, and get it repaired abroad, and when they re-import the machine, they only pay duty on the repair costs, not the entire value of the machine.
At Bluebell Customs, we’re here to help you navigate the different approval options available and make sure you’re fully prepared. We can assist with adjusting your systems and processes to smoothly manage the approval. From drafting and submitting your application to filling out questionnaires and preparing any supporting documents.
With our professional approach and attention to detail, we ensure that your approval process is handled efficiently and successfully.