Before departure, the Master must provide a full report of all outward goods and is legally bound to "answer, to the best of his knowledge and belief, all questions" regarding the vessel's cargo and destination asked by a Customs officer.
When goods are exported from Papua New Guinea by sea, air, or land, the owner is obliged by law to correctly declare those goods to Customs.
- Lodge a Declaration: The owner must lodge an Export/SAD declaration - through a licensed Customs Broker.
- Required Details: The entry must describe the nature, quantity, value, supplier, and country of origin of the goods.
- Identification: The entry must contain the name, address, and Tax File Number (TFN) of the owner.
- Accuracy: This is a legal document. Errors or omissions may attract administrative penalties.
Step-by-Step Export Clearance Procedure
The process begins with the exporter gathering all essential commercial documents. This includes the commercial invoice, a detailed packing list, and any specific export permits required for restricted commodities (such as timber, minerals, or agricultural products).
- A licensed Customs Broker prepares and submits a Single Administrative Document (SAD) through the ASYCUDA system. This digital entry must accurately reflect the quantity, value (FOB), and Tax File Number (TFN) of the owner.
- Customs officers review the submitted SAD. They verify that the classification of goods is correct and that all required permits are attached. If the data is inconsistent, the entry may be queried or rejected.
Based on risk assessment, Customs may select the cargo for a physical examination. During this stage, officers check that the physical goods match the descriptions provided in the electronic declaration.
While many exports from PNG are duty-free, any applicable administrative fees or industry-specific levies must be paid in full before the "Release" status is granted.
- Once all requirements are satisfied, Customs issues a "Release" notification in ASYCUDA. This authorizes the port or terminal operator to load the cargo onto the departing vessel or aircraft.
- Before departure, the Master of the vessel or aircraft must present the final manifest to Customs to receive a Certificate of Clearance. This is the final legal step that permits the conveyance to leave PNG waters or airspace.
Export Permit Authorities
| Commodity Type | Permit/License Type | Issuing Authority |
|---|---|---|
| Coffee | Export License / Contract Registration | Coffee Industry Corporation (CIC) |
| Cocoa | Export License | Cocoa Board of PNG |
| Coconuts | Export License | Kokonas Indastri Koporesen (KIK) |
| Timber | Timber Export Permit | PNG Forest Authority |
| Fish & Seafood | Export License / Health Certificate | National Fisheries Authority (NFA) |
| Minerals (Gold/Copper) | Export License | Mineral Resources Authority (MRA) |
| Flora/Fauna | CITES Permit / Environmental Permit | Conservation & Environment Protection Authority (CEPA) |
| Cultural Artifacts | Export Permit | PNG National Museum & Art Gallery |
Penalties for Non-Compliance
| Breach Type | Possible Consequences |
|---|---|
| Making an Incorrect Declaration (Wrong value, classification, etc.) that is false or misleading in a material particular | Administrative Penalties: Typically 20% to 100% of the duty value or a set statutory fine. |
| Delivering a declaration or invoice that is wilfully misleading | Forfeiture: The goods are seized by the State without compensation. |
| Failure to maintain or produce commercial records for five (5) years | Prosecution & Fines: Liability for back-dated duties and criminal charges for record-keeping failures. |
| Departing a PNG port without an official Certificate of Clearance | Detention: The vessel/aircraft may be detained; the Master or Agent faces heavy fines. |
| Attempting to export Heritage Items (WWII relics) or Native Wildlife without permits. | Criminal Prosecution: Immediate seizure of items and potential imprisonment. |
| Failure of the Master to answer a Customs officer's questions "to the best of his knowledge and belief." | Statutory Penalty: Obstruction of an officer and denial of outward clearance. |
ℹ️Pro-Tip: To avoid these penalties, use the "Uncertainty Clause" (Section 147C). If you are unsure about a specific detail (like value or classification), disclose that uncertainty in writing on your entry at the time of lodgement to protect yourself from administrative fines.
Other Critical Legal Responsibilities for Importers
Prohibited and Restricted Exports
Certain goods are controlled to protect PNG’s heritage, environment, and security.
- Heritage Items: Cultural artifacts and WWII relics require specific permits from the National Museum.
- Wildlife: Exporting native flora and fauna is strictly regulated under the International Trade (Flora and Fauna) Act.
- Dangerous Goods: Weapons, firearms, and ammunition are heavily restricted.
- Illegal Items: Illicit drugs, pornographic materials, and copyright-infringing goods (counterfeits) are strictly prohibited.
Record Keeping
Importers and exporters have a legal responsibility to maintain records.
- Five-Year Rule: Under Section 131A, you must keep all commercial documents, invoices, and shipping records for at least five (5) years.
- Audit Access: These records must be made available to Customs officers for audit purposes upon request.
Register for Importing/Exporting
Importing a vehicle
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