What is Harmonised Code (hs code)? How To Find Your Hs Code? How Will you Determine Your Harmonised Codes in International Trade?

What is Hs Code?

The Harmonized System (HS) code, also known as the Harmonized Commodity Description and Coding System, is an internationally standardized system for classifying goods in international trade. Developed and maintained by the World Customs Organization (WCO), the HS code assigns a unique numerical code to each type of product or commodity traded internationally.

The HS code is used by customs authorities around the world to identify and classify goods for the purpose of assessing customs duties, taxes, and regulations. It consists of a six-digit numerical code, which can be further extended to provide more detailed classification up to ten digits. The HS code covers a wide range of products, including raw materials, finished goods, machinery, chemicals, and more.

The structure of the HS code is hierarchical, with the first two digits representing the chapter level, the next two digits representing the heading level, the following two digits representing the subheading level, and so on if additional digits are used.

For example, let's consider the HS code for coffee:

• Chapter: 09 (Coffee, tea, mate, and spices)
• Heading: 0901 (Coffee, whether or not roasted or decaffeinated)
• Subheading: 0901.21 (Not roasted)
• Sub-subheading: 0901.21.10 (Not decaffeinated)

This system allows for uniformity and consistency in the classification of goods, facilitating international trade by providing a common language for customs authorities, traders, and other stakeholders involved in the movement of goods across borders.

How to Find Hs Code?

Finding the correct HS (Harmonized System) code for a specific product involves several steps:

• Determine the Product: First, you need to clearly identify the product you want to classify. This may involve understanding its composition, characteristics, and primary use.
• Consult the Harmonized System: The Harmonized System is organized into sections, chapters, headings, and subheadings, each with its own code. You can consult the Harmonized System directly, which is available online through various sources, including official websites such as the World Customs Organization (WCO) or your country's customs authority.
• Use Online Databases and Tools: Many online databases and tools are available that allow you to search for HS codes by entering keywords related to your product. These databases often provide suggestions based on the description you provide.
• Check Customs Tariff Schedules: Your country's customs authority typically publishes a customs tariff schedule that includes HS codes for various products. This can be a valuable resource for finding the correct code.
• Consult with Experts: If you're having difficulty determining the appropriate HS code for your product, consider seeking assistance from customs brokers, trade consultants, or other experts familiar with international trade classification.
• Verify with Customs Authorities: Once you have identified a potential HS code for your product, it's a good idea to verify it with your country's customs authorities or relevant trade agencies to ensure accuracy.

When searching for HS codes, it's important to be as specific and accurate as possible in describing your product to ensure the correct classification. Misclassification can result in delays, fines, or other complications in international trade transactions.