Export Control Management - Denied Party Screening, Export Control Classification and more

Overview

Export control compliance is a challenging task for exporting companies. Global supply chains are constantly at risk because companies must adhere to numerous regulations which are quite complex and change frequently. This includes export control classification, denied party screening / restricted party screening resp. checking sanctions lists and embargos, determining licensing requirements (including license management), as well as checks of end use and/or end users. Therefore, commitment to export control compliance and effective risk management requires the use of appropriate software tools.

MIC’s Export Control Management (MIC ECM) allows for central management of all company transactions under export control law and detailed checks of  business transactions with respect to the relevant regulations. Clear status information and comprehensive check reports for each transaction ensure a complete and consistent audit trail. This includes screening of the persons and organizations involved in a given transaction against different sanctions lists, checking of the goods in consideration of dispatch and destination country, and documentation of end use and end users.

MIC Export Control Management modules enabling Export Compliance Automation

  • Central administration of all information relevant for export controls
  • Supports both interactive and transaction-oriented real-time screening of transactions
  • Configurable transaction types (e.g. export, customer visit, data transmission)
  • Embargo check (total embargos and screening based on tariff number, export control classification, country of dispatch and destination, business partners)
  • Check of end user and end use including configurable red flag questionnaires
  • Assessment of licensing requirements
  • Assessment of import control regulations
  • ELAN-K2 integration for request of licenses
  • Use of general licenses
  • Administration & monitoring of individual licenses (deadlines, obligations, approved quantities/values, documentation of use, deduction by quantity/value, etc.)
  • Configuration of rules for application of licenses
  • US re-export checks
  • De-minimis calculation
  • Manual compliance checks
  • Overview and full transparency of the entire process  (workflow & escalation management)
  • Interface integration with different ERP systems (e.g. SAP) including blocking of suspicious transactions directly in ERP systems
  • Integration with other MIC modules (MIC DPS, MIC CCS ECC, MIC-CUST® Import and Export)
  • Up-to-date export control content through integration of MIC’s Global Trade Content Service (GTCS) for different countries (e.g. country lists, reasons for control, embargo regulations)
  • Complete audit trail
  • Standard reporting as well as data analytics

Denied party screening: MIC DPS

  • Denied party screening against sanctions lists based on a configurable screening algorithm and configurable screening profiles
  • Supports interactive, transaction oriented real-time screening as well as batch screening
  • Automation by “white lists” and “positive lists”
  • Daily updated content of sanctions lists by integration of MIC’s Global Trade Content Service (GTCS) for EU, US, UN, JP, UK, CH and many other sanction lists
  • Screening against internal “blacklists” and keywords
  • Ultimate Beneficial Owner (UBO) screening for more than 200 million companies worldwide with automated interfaces to the Orbis data base of Bureau van Dijk (BvD) as well as Dun & Bradstreet's (D&B) Bisnode database
  • Integration with MIC-CUST® and/or ERP systems (e.g. SAP) for automatic blocking of the consignment in the event of a positive screening result
  • Definition of stop words to be ignored for screening, e.g. GMBH, LTD, LIMITED etc.
  • Comprehensive audit trail of screening results and decisions including individual documentation (file attachments and comments) 
  • Standard reports included
  • Overview and full transparency across the entire process (workflow & escalation management)

Export control classification: MIC CCS ECC

  • Identification of controlled products
  • Manage an unlimited number of export control classifications for each product. (e.g. ECCN, German Export List number, relevance for embargo)
  • Workflow management for export control classification tasks
  • Automated and/or semi-automated allocation of export control classifications based on intelligent suggestion logic using artificial intelligence and machine learning (AI&ML), as well as user-defined selection and matching rules
  • Up-to-date export control commodity list content including correlation tables by integration with MIC’s Global Trade Content Service (GTCS) for multiple countries (e.g. EU Dual-Use Regulation, German Export List, US Commerce Control List, US Munitions List or in general item-lists that are subject to the Export Administration Regulations (EAR)) 
  • Support of correlation tables
  • Complete audit trail in case of changes
Benefits

01

Central administration

of all information relevant for export control

04

Daily updated content

by integration of MIC’s Global Trade Content Service

02

Overview

across the entire process and thus full transparency

05

Ultimate Beneficial Owner (UBO)

screening for more than 200 million companies worldwide 

03

Comprehensive audit reports

for each transaction ensure a consistent audit trail

06

Detailed examination

of business transactions based on relevant export control regulations incl. blocking of suspicious transactions in ERP systems (e.g. finance, logistics) through seamless return interfaces

Resources

Food and drink sector raises concerns over new EU-UK rule of origin requirements

Imports and Exports | | MIC Customs Solutions |

New EU-UK rule of origin requirements are hampering food and drinks providers who regularly move goods back and forth between the UK and Europe.


Food and drinks producers exporting goods between the UK and the EU have expressed concerns over new rule of origin requirements they now have to abide by under the terms of the Brexit trade deal, which came into force last week.

Industry figures warned that the current rules place significant extra burdens on businesses, which could result in major disruption to pan-European supply chains.

Many firms import goods from the EU to the UK for processing, which are then shipped back to Europe for sale to consumers. However, this could now lead to new duties being applied to such items.

Dominic Goudie, of the Food and Drink Federation, told the Financial Times: "Goods shipped to distribution hubs in Great Britain face the payment of full EU tariffs when they return to the EU and as a result, suppliers are being forced to cancel the delivery of products to customers in Ireland."

Director-general of the EU's Association of Chocolate, Biscuits and Confectionery Muriel Korter, also called for an "immediate solution" to the issues.

"Our EU-UK supply chains are so interdependent ... especially businesses that have factories across the Channel and use the facilities to store goods and re-ship them," she said.

Retailers in Northern Ireland trying to import goods from the rest of the UK were also affected, with supermarket chain Sainsbury's removing hundreds of product lines from shelves, despite government promises there would be no border in the Irish Sea as a result of the trade deal, the Loadstar reported.

Elsewhere, problems have also emerged with shipments across the English Channel. Reuters reported, for instance, that branches of Marks & Spencer in Paris were left with empty shelves due to the new trading rules.

The chain usually depends on items including fresh sandwiches, salads and pasta that are shipped daily from distribution sites in the UK, but these deliveries were disrupted as the transition period came to an end on December 31st.
 


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