How to claim preferences under the Developing Countries Trading Scheme (DCTS)

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1. How to establish proof of origin as an exporter

Proof of origin

Exporters in countries covered under the DCTS or a trade agreement with the UK must prove the origin of their goods. To prove origin, you must:

confirm that you can claim preferences for the goods imported into the UK
give the person receiving the goods evidence of origin so that they can claim preferences

However, you may not need to prove origin if the trade agreement permits it and if you also sent the goods in a small consignment.

Types of proof of origin

There are 2 types of proof of origin, including:

an origin declaration
Form A: this can be a template instead of an invoice or commercial document. The UK does not require it to be stamped by the exporting customs authority.

You can read the guidance on understanding proof of origin for more information about these types.

The type of proof of origin you need depends on:

the types of goods
where the goods are imported from

Validity of proof of origin

A proof of origin, once made, will remain valid for the length of time stated in the trade agreement between the exporting country and the UK.

Supporting evidence

If the UK government carries out a verification of your proof of origin claim, you will need supporting evidence in the form of:

production records: exporters must keep production records for 3 years
invoices
accounting details
suppliers’ declarations

Documents to prove compliance with the rules of origin

Countries covered under the Developing Countries Trading Scheme (DCTS) must provide documents showing that goods meet the rules of origin requirements under the DCTS.

These may include documents relating to:

the processes carried out to produce the goods of the components or materials used in their production
the purchase, cost, value and payment of the product, or the components or materials used in their production
the originating status of the goods and components or materials
evidence to determine the regional value content of the product, where applicable

2. How to make an origin declaration as an exporter

Origin declaration

An origin declaration is also known as an ‘invoice declaration’ or ‘statement of origin’. It is a statement declaring where a product originates from or was manufactured.

As an exporter from a DCTS country, you must make an origin declaration for any consignment. You must fulfil 2 conditions when creating an origin declaration:

maintain appropriate commercial accounting records for the production and supply of goods that qualify for preferential tariff treatment
provide the customs authority of the exporting country with supporting documents or written statements from producers demonstrating the origin of the goods

You can make an origin declaration on a commercial document with enough detail to identify the origin of the goods. Examples of these commercial documents include an invoice, a packing list, or a delivery note.

An origin declaration must contain these essential elements:

exporter’s name and business address
date of direct shipment to the UK
other references, for example, purchase order number
consignee’s name and business
purchaser’s name and address (if not the consignee)
country of transhipment
country of origin of the goods. If the shipment includes goods of different origins, enter details against data element on specification of commodities
transportation details
terms of sale
currency
number of packages
specification of commodities
quantity
unit price
total price
net weight
gross weight
invoice total

An origin declaration is valid for 2 years after the exporter provided it. You may present it to HM Revenue & Customs (HMRC) within these 2 years.

Origin declarations submitted after 2 years may be accepted if they were not presented earlier due to exceptional circumstances.

You can read the guidance on origin declaration.

3. How to claim preferential tariffs for importers

Importers must claim preferential tariffs using an origin declaration or Form A.

As an importer, you must include all claims for preferential tariffs in the customs import declaration.

If you did not claim preferential tariffs at the time of importing, HMRC might grant preferential tariff treatment if:

you claim preferential tariffs no later than 2 years after the date of importation
you provide a valid origin declaration
the goods originate from a DCTS country
you would have met all the requirements for a preferential claim at the time of importation

HMRC will repay and remit any excess customs duty paid if you fulfil these conditions.

You can read the Customs (origin of chargeable goods trade preferences scheme) (EU exit) regulations for more information.

4. Identifying the relevant customs forms for importing into the UK

There are 5 categories of customs forms needed to import goods into the UK:

guarantee, payment and deferment forms to interact with HMRC
import and export authorisation and approval forms for requests to HMRC
clearance of goods forms to request this for goods imported into the UK
declaration forms for imports and exports for goods entering the UK
customs Declaration Service forms and guidance with HMRC

These forms are all available on the forms for import and export page.

5. Evidential requirements for cumulation

There are certain documents required to establish cumulation under the DCTS, including:

Type of cumulation	Documents required
Bilateral cumulation	An origin declaration provided by the UK exporter
Bilateral cumulation with the European Union, Norway, Switzerland or British Overseas	Proof of origin provided by the exporter, issued in line with the relevant rules of origin
Inter/Intra-Regional cumulation	Evidence confirming the cumulated materials meet the DCTS rules of origin
Extended cumulation for Least Developed Countries (LDCs)	Proof of origin provided by an exporter in the country with which the UK has a trade arrangement, issued in line with the relevant agreement; or evidence that the goods are duty-free and quota-free if imported from the partner country

This guidance is also available as a PDF: