With the rise of e-commerce, small and medium-sized businesses have gained increased opportunities to expand internationally. At this point, the Electronic Trade Customs Declaration (ETGB) stands out as an application that facilitates micro-exports, reduces bureaucratic processes, and saves time. Offering significant advantages for both express delivery companies and exporters, ETGB increases the competitiveness of companies in the digitalizing world of trade.
What is ETGB? Definition and Key Features for Micro-Exports
ETGB is an electronic customs declaration used for the export of shipments weighing less than 150 kilograms and valued at less than 15,000 euros. Instead of the lengthy and complex customs declaration used in traditional exports, ETGB allows transactions to be carried out entirely in a digital environment.
Key features:
- Fast Processing: Transactions are completed electronically without the need for paper declarations.
- Authorized Operators: ETGB can only be used through express cargo and postal operators.
- VAT Refund: Companies engaged in micro-exports can also benefit from VAT refunds.
- Cost Advantage: It provides significant cost savings as there is no requirement to hire a customs consultant.
With these features, ETGB plays a significant role in helping small businesses engaged in e-commerce expand into the global market.
The Role and Importance of ETGB in Micro Exports
The biggest advantage of micro-export is the opportunity to enter the global market at low cost. However, traditional export procedures create a significant time and budget burden for small companies. ETGB removes this burden and paves the way for micro-export.
- Time Savings: Tasks are completed in hours instead of days.
- Convenience: Paperwork is minimized.
- Competitive Strength: Small businesses can trade on equal terms with global companies.
- E-Commerce Compliance: ETGB speeds up the shipping process, especially for sales made through e-commerce platforms.
In short, ETGB provides both practicality and reliability for micro-exports.
The Scope of Micro-Exports with ETGB
The scope of ETGB is limited to shipments that meet specific criteria. Thus, micro-export is defined as an area covering small-scale product sales.
Products exported under the ETGB:
- Products sold abroad through e-commerce websites,
- Small and medium-sized enterprises’ low-volume export shipments,
- Sales made in samples or small batches.
This system is used extensively in sectors such as textiles, accessories, gift items, software, and electronics.
Micro Export Limits and Current Legal Regulations
There are established limits for micro-exports to be made with ETGB. According to current regulations in Turkey:
- Weight Limit: The total weight of the shipment must not exceed 150 kilograms.
- Value Limit: The invoice value of the shipment must not exceed 15,000 Euros.
For shipments exceeding these limits, standard export procedures apply. Additionally, certain product groups (e.g., hazardous materials, prohibited goods) are not eligible for export under the ETGB.
These limits, set by the Ministry of Trade of the Republic of Turkey, are applied to support small exporters in easily participating in global trade.
Documents Required for ETGB Application
There are some basic documents that exporters must prepare to conduct micro-exports using ETGB. These can generally be easily arranged in a digital environment:
- E-Invoice or E-Archive Invoice
- Exporter Company Information
- Recipient Information (name, address, country, tax number, etc.)
- Information Describing the Content of the Post
- Authorized Shipping Company Forms
Once these documents are prepared, the customs declaration is completed electronically through an authorized express shipping company, and the shipment is sent abroad.
How Does the Electronic Declaration Process Work in Micro Exports?
The ETGB process begins with the exporter preparing the product and issuing the invoice. The authorized freight company then creates the electronic declaration by entering the necessary information into the system.
Süreç şu şekilde işler:
- Invoice Issuance: The exporter issues an e-invoice or e-archive invoice.
- Delivery to the Shipping Company: The product is delivered to the express shipping company along with the necessary documents.
- ETGB Preparation: The shipping company creates the ETGB by entering the Ministry of Trade system.
- Customs Approval: The electronic declaration is approved at customs.
- Shipment Departure: The product is shipped abroad.
- VAT Refund: After the ETGB is approved, the exporter can apply for a VAT refund.
Thanks to this system, small exporters can send products to the international market with minimal paperwork and costs.
Advantages of Micro-Export with ETGB for E-Commerce Companies
E-commerce is one of the most effective channels for small businesses to enter global markets. However, shipping products abroad can be challenging in terms of time and cost due to traditional export procedures. ETGB (Electronic Trade Customs Declaration) provides a significant advantage for e-commerce companies in this regard.
- Fast Shipping: Orders can be declared and shipped internationally on the same day.
- Cost Savings: The cost of a customs consultant is eliminated.
- VAT Refund: E-commerce companies benefit from VAT refunds after export.
- Simple Process: Paperwork is reduced to a minimum.
- Customer Satisfaction: Faster delivery builds trust with international customers.
This convenience provided by ETGB supports the global growth of e-commerce companies.
The Role of Transport Companies in the Use of ETGB
Express cargo and postal operators play a significant role in the ETGB process. This is because exporters cannot directly carry out ETGB regulations; authorized transport companies undertake this process.
The role of transport companies is as follows:
- Enter the invoices prepared by the exporter into the system,
- Submit the electronic declaration to the Ministry of Trade system,
- Monitor the customs process,
- Ensure the shipment’s departure abroad.
Choosing the right carrier company is critical for the smooth progress of the ETGB process. Experienced logistics companies prevent exporters from making mistakes and speed up the process.
Problems Encountered in Micro-Exports and Solutions
As with any system, problems may arise in ETGB processes. These are usually caused by missing documents, incorrect data entry, or disruptions in the transportation process.
Common problems:
- Incorrect invoice information,
- Incomplete declaration,
- Exceeding the limits,
- Technical delays at customs.
The solutions lie in proper preparation and expert support:
- The documents must be prepared completely and correctly.
- Regular communication with the authorized shipping company,
- Paying attention to limits,
- Obtaining professional logistics support.
When these steps are implemented, most of the problems encountered in micro-exports are eliminated.
VAT Refunds and Tax Benefits with ETGB
One of the most important advantages of ETGB is that exporters can receive VAT refunds. Normally, VAT is not paid on exports; however, it is necessary to prove that the goods have left the country. ETGB is a document that officially provides this proof.
VAT refund benefits:
- Micro-exporters reduce their costs by recovering the VAT they pay.
- Cash flow improves.
- Financial sustainability is ensured for small businesses.
From a tax perspective, ETGB not only provides VAT refunds but also helps businesses gain exporter status. This creates opportunities to benefit from various government incentives.
ETGB Applications and Legislation in Turkey
The ETGB application in Turkey is administered and supervised by the Ministry of Trade. According to the regulations, ETGB is only:
- Not exceeding 150 kg,
- Applies to shipments valued at less than 15,000 euros.
Additionally, exports must be made through express cargo or postal companies. There are numerous authorized companies in this field in Turkey.
Regulatory amendments aim to pave the way for micro-exports while also providing the necessary infrastructure for exporters to receive VAT refunds.
Professional Support with Hazar Logistics for ETGB and Micro Export Processes
Working with a reliable logistics partner is crucial for companies aiming to succeed in micro-export. Hazar Logistics provides comprehensive support to exporters in ETGB processes.
Services offered by Hazar Logistics:
- Consulting on the preparation of ETGB documents,
- Tracking electronic declaration processes,
- Management of transportation and customs operations,
- Custom solutions and guaranteed fast delivery.
With its professional approach, Hazar Logistics helps exporters not only ship their products but also manage their commercial processes with confidence.