When is pre-shipment inspection required? | | Pre-shipment inspections (PSI) are required when mandated by the government of the importing country. Governments impose pre-shipment inspections to ensure that the price charged by the exporter reflects the true value of the goods, prevent substandard goods from entering their country, and mitigate attempts to avoid the payment of customs duties.Contracts for pre-shipment inspections are usually reviewed on an annual basis and exporters may contact the local Chamber of Commerce, inspection companies, or freight forwarders for up-dated information.Kindly note that many aid and charity organisations are exempt from the inspection procedure, since the vehicle importation is not a commercial transaction but a donation from the NGOs head office to their country office. This should be checked with the local authorities. | | Who carries out the pre-shipment inspection and who pays? | | Pre-shipment inspections are performed by contracted private organisations. In most cases, importers can select from a short list of these organizations when planning inspections. Occasionally, however, one firm is appointed to carry out inspections for a specific country.Typically an exporter does not pay for inspections, although it is possible that exporters may incur costs associated with inspection. | | Who is responsible for arranging the pre-shipment inspection and what is the process? | | Although the importer is responsible for arranging the pre-shipment inspection, the exporter must make the goods available for inspection at the country of origin.Generally, the inspection company starts the inspection process once it receives a copy of the inspection order from the importing country. An inspection order states the value of goods, the name and address of the importer and the exporter, the country of supply and the importer's declaration of customs code. The inspection company then contacts the exporter to