Why is trade compliance training important? Simply, because companies can reap it’s return and benefits rather than paying monetary penalties or imprisonment. Not only that, but export compliance manager from Curt Manufacting Joan Kelly states, “As a direct result of my training at Amber Road’s Global Trade Academy, we have been able to review differences in classification for our imports and exports resulting in risk mitigation, less internal contention, and the ability to speak with confidence with our vendors and customers. The return on investment far exceeds the cost of these courses.”
Based on a survey of 300 U.S. based international companies, researchers found that a little more than half (56%) of executives do not invest in trade compliance training, even though 28% of these companies were already fined and penalized by the government for their noncompliance. Possible consequences include:
- 20 years imprisonment and $1 million PER violation (violation of EAR)
- $11,000 per violation and $120,000 for items controlled for National Security reasons (administrative monetary penalities)
Companies that utilize and enforce trade compliance take more advantage and save their companies million of dollars by utilizing preferential trade programs such as FTA and free trade zones to its highest potential. Therefore, providing employees with the tools and knowledge of trade compliance through dedicated training can lead to company’s international success.
Original article: http://www.globaltrademag.com/global-trade-daily/news/disregarding-trade-compliance-is-risky-business
Original article written by Peter Buxbaum