Dear Clients and Business Partners,

We would like to share an important update concerning the export and shipment of goods to the European Union. It is essential to communicate this information with your clients in order to ensure the fast and uninterrupted flow of goods, while avoiding additional costs and delays.

As you are aware, all shipments exported via the UPS system from Bosnia and Herzegovina are processed through the breakdown location in Ljubljana, which is considered the entry point to the European Union market. Accordingly, all accompanying documentation and export invoices must be fully compliant with ICS2 requirements and pre-approved for entry into the EU.

Over the past months, we have been working intensively on aligning with UPS requirements, and we kindly ask you to pay special attention to the following:

1. Mandatory Elements on Export Invoices

• Accurate and detailed product description (type of goods)

• Material from which the goods are made

• Number of units

• Product specification (especially when dealing with spare parts)

• Appropriate HS code

It is the shipper’s obligation to declare the product name correctly, accurately, and completely on the invoice and accompanying documentation. Lack of a complete or precise product description constitutes a violation of regulations and poses a direct risk to successful export.

2. Use of Acceptable Terminology

The European Commission has defined a list of unacceptable (“stop words”) and recommended (“acceptable words”) terms.

For example, terms such as “general cargo,” “parts,” “goods,” “merchandise,” “stuff,” “samples” or “miscellaneous” are not acceptable.
Instead, a precise description must be provided: e.g., instead of “clothes” use “men’s cotton shirts” or instead of “accessories” use “bathroom fittings.”

We are attaching the official European Commission document containing detailed examples of acceptable and unacceptable terms. Please review it carefully and use it as a reference when preparing documentation.

3. Consequences of Incorrect or Incomplete Descriptions

If the shipper fails to provide an accurate and complete description of the product on the invoice accompanying the goods, the following consequences may occur:

• Delivery delays due to shipment being held at customs in Ljubljana

• Additional costs arising from customs inspections, returns, or reprocessing of shipments

• Risk of goods being returned and the export being unsuccessful

• Loss of trust from final recipients due to perceived unprofessionalism and limited export capabilities

Once customs in Ljubljana detain a shipment due to incorrect declaration, in practice it is almost impossible to ensure its return or forwarding to the UPS sorting hub in Cologne, even after subsequent corrections.

4. Recommendation

We recommend waiting with shipment dispatch until all of the above requirements are fulfilled, ensuring that the documentation is fully compliant with ICS2 and acceptable to EU customs authorities. In doing so, you will:

• Avoid delays and unnecessary holds at the entry point in Ljubljana

• Reduce the risk of additional costs due to customs inspections, returns, or reprocessing of shipments

• Ensure smooth flow of goods towards the UPS sorting hub in Cologne and further towards final destinations

• Increase professional credibility with final customers and partners, as timely and accurate delivery clearly demonstrates the seriousness and reliability of the shipper

• Protect both your own and our joint reputation in the market, since incorrect documentation may create a negative impression of the exporter’s and logistics operator’s capabilities

For these reasons, we strongly believe it is in the best interest of all parties that shipments are dispatched only once documentation is fully compliant, ensuring a smooth, fast, and complication-free export process.

5. Mandatory Documentation When Preparing Export Shipments

In accordance with legal regulations and the General Terms and Conditions of International Freight Forwarders in BiH, as well as UPS General Terms and Conditions of Carriage (when the shipment is transported within the UPS system), it is mandatory to use a disposition form for every freight forwarding and customs clearance service order, unless otherwise defined by contract.

The disposition represents a written order authorizing the freight forwarder to act on the client’s behalf in the customs and transport procedure. By issuing this order, the client unconditionally accepts the terms of business and assumes responsibility for the accuracy and timeliness of the submitted documentation, as well as for all obligations arising from the customs declaration, including payment of customs duties and other charges. The freight forwarder, who in this case also acts as the carrier, operates in accordance with applicable laws and based on the provided disposition and/or order. In this regard, the client assumes full responsibility for both customs and transport procedures, including any consequences resulting from inaccurate, unclear, incomplete, or delayed information and documents provided.

The client is obliged to pay transportation costs, customs duties, and other fees in advance, unless otherwise contractually agreed. The disposition is used exclusively for customs procedures and may only be revoked in writing. If the disposition is withdrawn after certain services have already been performed, the client must cover the costs of those services as well as any additional costs incurred.

This procedure is necessary to ensure efficient, secure, and lawful performance of forwarding services, as well as to protect the interests of all involved parties.