CUSTOMS TRANSIT INSURANCE IN RUSSIAN

FEDERATION

Federal Customs Service of Russian Federation with its letter of 14 October, 2013 №01-11/45617 has halted the MDP Convention at the territory of Customs Union.

From 12 November, 2013 were introduced the measurements of customs transit provision envisaged with the Letter of Federal Customs Service of Russian Federation (№ 01-11/45617).

According to Part 1 Article 217 of Customs Code of the Customs Union the measurement for customs transit provision there is envisaged provision of financial support of customs fees and duties payment. This provision may be realized through making funds, banking guarantee, surety or pledge of property.

In order to issue surety it is necessary to apply into the Organizations with which Federal Customs Service of Russian Federation has concluded the appropriate Agreement (Contract). There are two such companies Insurance Company Arsenal Ltd (Moscow, RF) or Adal Ltd (Moscow, RF).

Thou IC Arsenal` Ltd provides the service of responsibility insurance for customs fees and duties payment while moving the goods under the custom procedure of transit, being an authorized before Federal Customs Service surety.

Our Company Rostek Ukraine Ltd., is an authorized representative of Moscow Company Arsenal` Ltd., in providing of customs transit guarantees at any border crossing point with Russian Federation. We issue annexes to the Insurance Contract in electronic form.

It means that the Annex could be issued before arrival of the truck into Customs Crossing Border Point.

Such an approach reduces the degree of risks of the cargo owner and carrier while customs transit at the territory of Russian Federation.

We also has the right to enlist the carrier and the owner into the list of trusted clients which reduces the expenditures of the carrier and owner for customs transit insurance and gives the possibility to come through the customs control procedure in a simplified procedure.

Rostek Ukraine Ltd works in this segment of market from the beginning (2013).

Today we cooperate with more than 100 transportation companies and customs brokers from Ukraine, Moldova, Kazakhstan who transports cargoes in Russia.

Average total turnover of our company is more than 1500 border crossings per month.

  From August 2013 were introduced (IC Arsenal` Ltd) special tariffs regarding the transportation of cargoes in

customs transit regime.

For carriers enlisted in the trusted list the rate is minimal which doesn’t depend of lengths of transportation and restricted only with amount of security.