Office of Export Licensing - Explained
What is the Office of Export Licensing?
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What is the Office Of Export Licensing (OEL)?
OEL (Office of Export Licensing) is responsible for issuing licenses to any organization that is exporting certain goods that require permission to be exported. International standards concerning importing and exporting goods are different from US Federal standards. The difference in these standards can be based on the geographical spectrum, type of goods, and the destination for goods. OEL helps individuals in the import and export business understand the specific rules and regulation for different industries and how they can comply with them.
What does the Office of Export Licensing Do?
In the US, different federal agencies are authorized to issue the import-export license. These agencies identify the types of products exported to certain international destinations before issuing any license. A license is only required when exporting certain designated products that are on OEL list.
CIB (Council for International Business) of US issues the ATA document (a temporary license) for the transportation of goods.
What Laws Govern the issuance of an Export License?
The mechanism to acquire a license regarding the import-export of goods related to certain categories is different according to the legal requirements of different regions. The exporting organization needs to observe the legal framework of the second country.
There are different types of licenses used in the US for shipping purposes concerned with the export-import of different merchandise. For example:
Concerning the import of automobiles, all the documents from the manufacturer as well as the recipients are sent to NHTSA (National Highway Traffic Safety Administration). The letter includes every type of product information, such as the name of the manufacturer, address and data related to the products. It is mentioned to show that all the regulations have been observed and certification is affixed on the vehicle.
EAP (Environmental Protection Agency) has introduced the TSC Act (Toxic Substances Control Act) to issue a license for chemical import-export. EAP grants safety certificate before the shipment stating that shipment has observed all the requirements of TSCA. The regulations concerning pesticides import in the US are considered stricter and must be observed by exporters.
AEC Act (Arms Export Control Act) is required to be followed by organizations that are involved in exporting arms trade. There are certain documents to be filled in by the exporter while doing arms dealing with NATO.
For any arms trade, the business parties need to file an application to DDTC (Directorate of Defense Trade Controls). DDTC binds the Importer-exporters to provide all the information regarding shipping items along with their application.
There are certain US Government regulations regarding the export as well as re-export of goods concerned with military and commercial use. BIS (Bureau of Industry and Security) of USDC (United States Department of Commerce) is responsible for investigating all types of exports related to these industries.
The requirement of licensing for the import-export of foods and certain beverages is different according to their categories.
The Farm Bill of 2002 binds merchants to label agricultural as well as meat products with details of their origin country. The import of beverages from EU countries requires European Union Health Certificate.
Similarly, the import of grains should be in accordance with USGS Act or The Agricultural Marketing Act of 1946. It is vital for industrial organizations to comply with the FTZ (Foreign Trade Zone) policies while importing industrial items internationally. The similar type of procedures necessary for the import of steel products in the US.