Egyptian government issues risk warning of new import regulations
Affected by the current complex and severe international situation, some countries will temporarily take control measures in response to changes in domestic and foreign situations, and these measures may directly affect the interests of our export enterprises.
The Egyptian government has recently implemented new import regulations, which need to attract the attention of the majority of export enterprises.
In order to strengthen the government's import supervision and stabilize foreign trade, the Egyptian government issued new import regulations on February 14, 2022. From March 2022, Egyptian importers can only use letters of credit to import goods, and instruct banks to stop processing collection documents. After verification, all Egyptian banks are currently strictly implementing the central bank's policy, but some exceptions are not affected by this new regulation, as follows:
1. Goods shipped prior to the issuance of the decision;
2. Purchases from the Group by branches and subsidiaries of foreign companies in Egypt;
3. Mail parcels;
4. Business with a value of less than $5,000;
5. Imported commodities are some medical reagents and food raw materials, including tea, chicken, fish, other meat, wheat, edible oil, milk powder, infant formula, beans, lentils, corn, medicines, serum products and other related chemicals.
In response to the above regulations, Sinosure reminds exporters as follows:
1. Pay attention to the possible risks caused by the new import regulations, please contact the credit insurance company in time, and sign or timely adjust the contract with the buyer according to the policy requirements of the importing country;
2. Pay attention to the foreign exchange collection of the shipped business, if there is any abnormality, please contact the credit insurance company for feedback in time;
3. For export transactions that are not paid by letter of credit, enterprises should pay close attention to whether the specific export commodities, value of goods, and transportation methods meet the policy requirements of the importing country.