JAG-UFS was asked to review the processes in place at a major toy manufacturer for their sample shipments.
The customs rule for samples states that samples should be mutilated making the product impossible for resale into the open market.
JAG UFS wrote to the local customs officer and represented the customer in the meeting. It was clear that the salesman’s samples being imported from the Far East prior to bulk orders would be deemed pointless if the samples were mutilated.
The argument was made that, which company in their right mind would buy from a mutilated sample and not seeing the completed product.
After hours of deliberation it was agreed that a high tack label with “SAMPLE ONLY, NOT FOR RESALE” would be placed on the packaging or product, if an attempt was made to remove this label it would deface the product or ruin the packaging.
Customs granted a ruling that the customer would be allowed to import up to 60 items of each sample duty free. This had never been considered by the customer and with the representation of JAG UFS, saved the customer over £250,000.00 per annum in import duty and VAT.