Exports is a lucrative business avenue that can generate significant profits for your organisation. It can help you achieve new heights and expand your business beyond borders. With globalisation making it easier for businesses to find buyers in other countries, many businesses are moving towards export. For someone who is new in the export business, it is vital to understand that there are several strict regulations that need to be followed. Export documentation should be done by experienced professionals as any lapse can land you in huge trouble. One such crucial part of exporting is denied party screening.
What is Denied Party screening?
Many Governments and Organisations such as the United Nations (UN) publish a list of restricted or denied parties. To put it simply, these could be Individuals , Organisations, and businesses with whom you should not do business. These entities on the denied list are considered as a threat not only to the security of one nation but on a global scale as well. These parties are found to have been involved in the proliferation of weapons of mass destructions, could be involved in
drugs or arms trafficking, could be a terrorist organisation, or might have been involved in corruption. The Denied Party list is dynamic and continuously changes with time. So, exporters need to screen these regularly to continue being on the right side of the law. However, once an entity is added to this list, chances of it coming out of it are next to negligible. It is recommended that businesses regularly screen the Denied Party list's before exporting.
Scope and Purpose?
It is a process followed by business entities to ensure that their business partners are not on the Denied Party list. This is done to ascertain that you don’t end up doing business with any entity that you are not supposed to do. It is essential to understand that there could be significant consequences if you are found in violation. Depending on the country you are exporting to, the fines and penalties could vary. From having your export privileges revoked to paying huge fines or even landing up in prison is a possibility. If you are found to be dealing with an entity that is on the Denied Party list.
To avoid such undue situations. Denied Party screening should be one of the priority protocols to be followed by every business.
Automated Denied Party screening
The Denied Party list is dynamic and keep on changing regularly making it impossible to conduct manual screening. The ideal solution is to automate the process using software that is designed for the very purpose of denied party screening. The automated software is bound to simplfy the entire screening process while substantially improving efficiency. The Automated Denied Party screening solution offered by Expodite is capable of pulling out every Denied Party screening list
With exports, there is nothing termed as 'almost compliant', you are either fully compliant or you are in violations. Using automated export solutions will ensure that you don’t spend your time worrying about the compliances. Expodite offers complete export management software that takes care of every aspect of your export. so that you can focus on your business. Get in touch with our Executives to know more about our Automated Denied Party screening software and other export solutions.