Benefits of Duty Tracker
1) Savings in material purchase costs
DutyTracker can result in tangible savings in material purchase costs by avoiding the need to pay duty. As duty rates can be up to 22% of the CIF (Cost, Insurance & Freight) value of purchased materials these savings could be substantial.
Where VAT is levied on duty, the avoidance of duty payment will also avoid the payment of this VAT.
With DutyTracker there is the opportunity to examine historical movements (prior to implementation of DutyTracker) retrospectively so even more savings may be identified.
2) Compliance with Customs regulations
Implementing DutyTracker will avoid un-necessary penalties for non-compliance.
3) DutyTracker is Consistent with SAP
- With DutyTracker all relevant SAP transactions are captured.
- The system uses actual material and quantities from production orders.
- There is minimum education required as screens and reporting are SAP consistent.
- DutyTracker is based on same underlying technology as SAP
What value can be derived from DutyTracker?
Based on the benefits outlined above it is reasonable to assume a payback period (on the associated DutyTracker costs) of 6-12 months.