Certificate of Origin - Why You Need It for Customs

A single missing document can cost you $550,000 on a $5.5 million petroleum shipment. That document? The Certificate of Origin. Without it, you might pay full import duties instead of preferential trade agreement rates. Or worse, customs might reject your entire shipment, leaving thousands of metric tons of diesel sitting in port while demurrage charges pile up at $10,000 per day.

The Certificate of Origin isn't just bureaucratic paperwork – it's the document that determines how much you pay in duties, whether customs will accept your shipment, and in some cases, whether you can legally import the product at all. Understanding what it is, who issues it, and how to verify it can save you hundreds of thousands of dollars and avoid catastrophic delays.

Let's break down everything you need to know about Certificates of Origin in petroleum trading.

What is Certificate of Origin?

A Certificate of Origin is an official document that states where your petroleum product was produced or manufactured. For petroleum specifically, it identifies where the oil was refined, which country or region produced it, and provides official government attestation of that origin.

Think of it as the birth certificate for your petroleum product. Just as a birth certificate proves where a person was born, a Certificate of Origin proves where your diesel, jet fuel, or crude oil came from. This matters more than you might think – origin determines duty rates, affects trade agreement eligibility, and impacts regulatory compliance.

Who Issues Certificate of Origin?

Not just anyone can issue a Certificate of Origin. It must come from an official, government-recognized entity in the country where the product originated. These are typically Chambers of Commerce, government trade ministries, customs authorities, or specially authorized certification bodies.

For example, if you're importing diesel refined in the United States, the Certificate of Origin would come from the US Chamber of Commerce or a similar recognized authority. Kazakhstan petroleum would require certification from Kazakhstan's Chamber of Commerce. UAE product from the UAE Chamber of Commerce.

This requirement exists for a reason – fake Certificates of Origin are common in petroleum scams. Anyone can create an official-looking document with stamps and signatures. But only genuine certificates from recognized authorities will be accepted by customs. Your destination country's customs officials have lists of approved issuing authorities and know how to verify authenticity.

Why You Need COO

1. Customs Requirement

Almost every country in the world requires Certificate of Origin for imported goods, especially for petroleum products. This isn't optional paperwork that makes customs officials happy – it's a mandatory document without which your shipment won't clear customs at all.

Customs authorities need the COO to prove where your product actually came from. They're not taking your word for it or trusting the seller's invoice. They need official government attestation from the origin country. This helps them assess the correct import duties based on origin, determine which trade agreements apply to your shipment, maintain security and track what's entering their country, and enforce any import restrictions or bans based on origin.

Here's what happens when you try to import petroleum without a proper Certificate of Origin: customs officials flag your shipment immediately during document review. They'll request the COO before proceeding. If you can't provide it, your cargo gets held at the port while you scramble to obtain the document. Each day of delay costs you demurrage fees – typically $5,000-$15,000 per day depending on the quantity and port. Customs might impose fines for incomplete documentation. In severe cases, they can reject the entire shipment and refuse to allow it into the country.

Imagine your vessel arrives with 10,000 metric tons of diesel worth $5.5 million. You have the Bill of Lading, commercial invoice, inspection certificates – everything except the Certificate of Origin. Customs won't release your cargo. The vessel sits at port for a week while the seller tries to obtain a COO from their Chamber of Commerce. That's $35,000-$105,000 in demurrage charges, plus the opportunity cost of having millions in product stuck and unavailable, plus potential contractual penalties if you can't deliver to your customer on time.

All of this is easily avoided by ensuring the COO is part of your shipping documentation from the start.

2. Import Duties and Trade Agreements

Here's where Certificate of Origin can save you massive amounts of money. Product origin directly determines what import duty rate you pay – and the difference between standard rates and preferential rates can be tens or hundreds of thousands of dollars on a single shipment.

Consider this example: You're importing diesel to a country that has a free trade agreement with the United States. If your diesel comes from a US refinery and you have a proper Certificate of Origin proving this, you might pay 0-5% duty. But if that same diesel came from a country without a trade agreement, or if you can't prove the origin with proper documentation, you'd pay the standard rate of 10-20% duty.

On a $5.5 million shipment, that's the difference between paying $0-275,000 versus $550,000-1,100,000 in duties. The Certificate of Origin literally pays for itself thousands of times over.

Trade agreements exist all over the world – USMCA covering North America, various European Union agreements, ASEAN agreements in Southeast Asia, the African Continental Free Trade Area, and dozens of others. Each agreement has rules about what qualifies for preferential treatment, and the Certificate of Origin is how you prove your product meets those rules.

3. Compliance and Documentation

Beyond saving money on duties, Certificate of Origin is essential for regulatory compliance in ways that can make or break your ability to import at all.

Some countries maintain strict import bans or restrictions on products from certain origins. These might be due to international sanctions (like restrictions on Iranian or Russian petroleum products), embargoes for political reasons, or trade disputes between nations. If your diesel came from a restricted origin and you can't prove otherwise with proper documentation, customs will reject the entire shipment – not just delay it, but refuse entry completely.

Quality and safety standards also vary by origin in many importing countries. Customs officials might readily accept petroleum products from European or North American refineries because those regions have stringent environmental and quality regulations. But they might subject products from other origins to additional testing, inspection, or scrutiny. The Certificate of Origin helps customs determine what level of verification is needed.

Traceability requirements are becoming increasingly important in petroleum trading, especially in Europe and other developed markets. Regulators want complete documentation chains showing exactly where products came from, how they were refined, and what route they took to reach the destination. The COO is a critical link in that chain – it's the official government attestation of origin that validates the entire supply chain story.

Environmental and carbon footprint regulations in some jurisdictions treat products differently based on origin. European regulations, for instance, consider the carbon intensity of petroleum products, which varies based on where and how they were refined. Your Certificate of Origin helps demonstrate compliance with these evolving environmental standards.

Without proper COO, you simply can't prove your product meets import requirements. Saying "trust me, this diesel is from Germany" doesn't work. Customs needs official documentation from the German government (via Chamber of Commerce) confirming that origin. No COO means no way to demonstrate compliance, which results in cargo rejection.

4. Buyer Preference and Market Access

Certificate of Origin isn't just about clearing customs – it's also about accessing the right buyers and commanding the right prices in your market.

In many petroleum markets, end customers have strong, non-negotiable preferences about product origin. You'll see buyer requirements that specify "European EN590 only," "No Russian or Iranian origin under any circumstances," "US or European refinery certified," or "Gulf Cooperation Council (GCC) origin preferred." These aren't soft preferences where buyers might accept alternatives – they're hard requirements written into purchase contracts.

These origin requirements exist for several reasons. Quality perception plays a huge role – buyers associate European and North American refineries with higher quality standards and more consistent product specifications. They're willing to pay premium prices for this perceived quality, but they need proof. Regulatory compliance requirements on the buyer's end might restrict them to certain origins – their own customers or regulators might impose these constraints. Reputational concerns matter too – some buyers avoid certain origins due to sanctions compliance, environmental considerations, or political sensitivities.

When your customer demands European origin and you show up with a Certificate of Origin proving your diesel came from a Netherland refinery, you've met their requirement and can close the sale at premium pricing. But if you can't provide proper COO documentation proving the origin they need, you lose the sale entirely – regardless of your product's actual quality.

This creates market segmentation in petroleum trading. Products with verified European or North American origin (proven by proper COO) command higher prices because they access premium buyers. Products from other origins, or products without clear origin documentation, can only access buyers willing to accept unverified or alternative origins – and these buyers typically pay less.

The Certificate of Origin enables you to access the premium market segments and justify higher pricing. Without it, you're forced into lower-priced market segments or potentially can't sell the product at all if buyers universally require origin verification you can't provide.

What COO Contains

A proper Certificate of Origin needs to include specific information for customs to accept it. Missing any of these elements can cause delays or rejection:

The document must identify both parties – the exporter/seller with their full company name and address, and the consignee/buyer (that's you) with your details. Product description needs to be specific: "EN590 10PPM Diesel" not just "diesel fuel." Quantity must be stated precisely in the units you're actually shipping.

Country of origin is obviously the critical piece – where the product was actually refined or manufactured. Port or place of export shows where it's leaving from. A formal declaration of origin statement confirms the information is accurate. The date of issue needs to be recent and align with your shipping timeline.

Most importantly, the document must bear the official seal and signature of the issuing authority – the Chamber of Commerce or government entity. Without proper authentication from a recognized authority, the COO is worthless at customs.

When You Get COO

Timing matters with Certificate of Origin. Here's how it typically flows in a transaction:

Once the product is loaded or ready for export, the seller applies to their local Chamber of Commerce or authorized government authority for the COO. This usually takes 1-3 business days. The seller then provides the COO to you as part of the complete set of shipping documents – typically along with the Bill of Lading, commercial invoice, and inspection certificates.

The cargo ships to your destination. When it arrives at your port, you (or your customs broker) present the COO to customs officials as part of the import clearance process. Customs verifies the COO's authenticity, checks that it matches other documents, applies the appropriate duty rate based on origin, and clears the cargo for import.

The key point: COO should arrive with other shipping documents before or at the time of cargo arrival. You need it in hand to clear customs. If the seller delays sending it, your cargo sits at port accruing storage charges.

How to Verify COO Authenticity

Fake Certificates of Origin exist, and they can look surprisingly convincing. Here's how to verify you're dealing with a genuine document:

Start by checking the issuing authority. The COO should come from an official, government-recognized Chamber of Commerce or trade ministry. If it's from "International Trade Certificate Company" or some entity you can't find online, that's a red flag. Real issuing authorities have websites, physical addresses, and public contact information.

Look for security features. Legitimate COOs are printed on security paper with watermarks, have official seals or stamps (often embossed), include authorized signatures with titles, and contain serial or reference numbers for tracking. They're not just printed on regular paper with a stamp image added in Photoshop.

Verify consistency. The origin country on the COO should match what the seller told you. Product descriptions should match your purchase order exactly. Dates should make sense with your shipping timeline – a COO dated six months ago for a shipment leaving tomorrow doesn't add up.

Most importantly, verify directly with the issuer. Look up the Chamber of Commerce's official website (not contact info from the COO itself), call or email them, provide the serial number from the COO, and ask them to confirm it's genuine. This simple step catches most fake COOs.

If you have any doubts about a Certificate of Origin's authenticity, contact the issuing authority before your cargo ships. Once product arrives and customs rejects a fake COO, you're facing serious delays and costs.

Red Flags with COO

Certain warning signs should make you pause and investigate further:

Seller refuses or can't provide COO. If they claim "you don't need it" or "we can't get one," you have a serious problem. Legitimate exporters know COO is required and obtain it routinely. Inability or unwillingness to provide COO suggests the seller isn't experienced in legal export – or doesn't have legitimate product.

COO from an unknown entity. Documents from "International Certificate Services" or made-up company names instead of official government bodies are worthless. Customs won't accept them, and you're stuck.

Origin mismatch. The seller claimed Kazakhstan origin but the COO shows UAE? That inconsistency needs explanation. Either they lied about origin, or the COO is fake.

Poor document quality. Obvious template formatting, spelling errors, no security features, flimsy paper quality – these all indicate fake documents. Real government-issued COOs are professional quality with security features.

Can't be verified. When you call the listed Chamber of Commerce and they've never heard of the serial number or say it's not one of their documents, you've discovered fraud. Don't proceed with the transaction.

Different Types of COO

Not all Certificates of Origin provide the same benefits. Understanding the distinction between types helps you ensure you're getting the right documentation for your situation.

Non-Preferential COO is the standard certificate that simply states where the product originated. It satisfies basic customs requirements for traceability and compliance, but doesn't unlock any special duty reductions. You'll pay the standard import duty rate for that product category. This type is used when no trade agreement exists between origin and destination countries, or when the product doesn't qualify for preferential treatment under existing agreements.

Preferential COO is specifically designed for use with free trade agreements and enables reduced or zero duty rates. To get a preferential COO, the product must meet the specific "rules of origin" defined in the relevant trade agreement – this might mean a certain percentage of value was added in that country, or specific manufacturing processes occurred there. This type is significantly more valuable because it can save you tens or hundreds of thousands of dollars in duties.

Ask your seller which type of COO they'll provide based on the origin country and your destination. If a trade agreement exists and the product qualifies, insist on preferential COO to access those reduced duty rates.

Impact on Import Costs

Let's look at concrete numbers to understand just how much money proper Certificate of Origin documentation can save you. These aren't hypothetical savings – they're real differences in what you'll pay to customs based on whether you can prove origin eligibility for trade agreement benefits.

Example scenario: You're importing 10,000 metric tons of EN590 diesel at $550 per metric ton, for a total cargo value of $5,500,000.

Without trade agreement benefits (either no agreement exists, or you can't prove origin with proper COO): Your destination country applies the standard import duty rate for petroleum products. Let's say that's 10% – a common rate in many jurisdictions. You pay $550,000 in import duties when the cargo clears customs.

With trade agreement benefits (proper preferential COO proving origin in an agreement country): The trade agreement specifies 0% duty for petroleum products from qualifying origins. You pay $0 in import duties. Your proper Certificate of Origin just saved you $550,000.

That's more than half a million dollars saved on a single shipment just by having the right documentation. The cost to obtain the COO from the Chamber of Commerce? Typically $50-200. The return on investment is astronomical.

The numbers get even more dramatic on larger shipments. Import 50,000 metric tons and you're looking at potentially $2.75 million in duty savings. For companies doing multiple shipments per year, proper COO documentation can save millions annually.

But the impact goes beyond just duty savings. Improper or missing COO can also cost you money through delays and complications. If your shipment gets held at customs for a week due to COO problems, you're paying demurrage fees that can easily reach $50,000-$100,000. Add fines for documentation violations, which vary by jurisdiction but can be substantial. Include opportunity cost of having capital tied up in stuck cargo instead of being deployed productively.

The flip side is also true: having proper COO for premium origins can increase your revenue. European-origin diesel might sell for $10-20 per metric ton more than unverified origin, purely because buyers value the proven provenance. On a 10,000 MT shipment, that's $100,000-$200,000 in additional revenue – if you can prove origin with proper COO.

Bottom line: proper Certificate of Origin documentation can swing your transaction economics by hundreds of thousands or millions of dollars through duty savings, avoiding delays, and accessing premium pricing. It's arguably the highest-value document in your shipping package relative to its cost to obtain.

COO vs Other Origin Documents

Petroleum transactions involve multiple documents that reference product origin, and it's easy to confuse them or mistakenly think one can substitute for another. Understanding these distinctions prevents costly mistakes at customs.

Certificate of Origin (COO) is the official government-issued document specifically for customs purposes. It's issued by a Chamber of Commerce or recognized government authority in the origin country. Customs officials in your destination country require this specific document – it's the only origin proof they'll accept for duty assessment and import clearance. No other document serves this legal purpose.

Product Passport or Product Data Sheet describes the technical specifications, quality parameters, and characteristics of your petroleum product. It tells you sulfur content, density, flash point, cetane number – all the technical details. This document typically comes from the refinery or seller and helps you verify the product meets your quality requirements. But it's not for customs purposes. Customs doesn't care about your cetane number – they care about legal origin. Product passports don't replace COO.

Refinery Letter or Refinery Attestation is sometimes provided by sellers to state which specific refinery produced the petroleum product. It might be a letter on refinery letterhead saying "This batch of EN590 diesel was refined at our Rotterdam facility in January 2024." This can be useful supporting documentation and might help corroborate origin, but it's not an official government document and customs won't accept it in lieu of proper COO.

Bill of Lading indicates the port of loading, which suggests origin but doesn't prove it. Just because petroleum loaded in Rotterdam doesn't mean it originated in the Netherlands – it could have been refined elsewhere and transported to Rotterdam for export. The Bill of Lading proves where the product shipped from, not where it was actually refined or manufactured.

Commercial Invoice from the seller might list origin country in the description ("EN590 Diesel - German Origin"), but this is just the seller's claim. It's not official government attestation. Customs won't accept the seller's word about origin – they need the government-issued COO.

Here's the critical point: only an official Certificate of Origin from a recognized Chamber of Commerce or government authority satisfies customs requirements. Sellers sometimes try to claim "we can provide a refinery letter instead" or "the commercial invoice shows origin." These don't work. Customs officials have strict requirements, and they require official COO. No substitutes are accepted.

If a seller seems confused about this or offers alternative documents instead of proper COO, they either haven't exported petroleum before or they can't obtain a legitimate COO (perhaps because the origin they claimed is false). Either way, it's a red flag.

What If COO is Missing or Wrong?

Problems with Certificate of Origin create immediate crises in petroleum transactions. Understanding what happens in different scenarios helps you respond quickly and minimize damage.

If COO is Missing

Your cargo arrives at the destination port, and during document review you realize the seller never provided a Certificate of Origin. Contact the seller immediately – don't wait or hope customs won't notice. The seller needs to apply urgently to their Chamber of Commerce for COO issuance. Even with rushed processing, this typically takes 3-7 business days minimum.

During this delay, your cargo sits at port. Customs won't release it without proper COO. Every day of waiting costs you demurrage fees – $5,000-$15,000 daily depending on vessel size and port. Those costs mount fast. A one-week delay costs $35,000-$105,000 in demurrage alone.

Customs might also impose penalties for arriving with incomplete documentation. These fines vary by jurisdiction but can be substantial – sometimes thousands of dollars or a percentage of cargo value. Beyond monetary costs, the delay creates business problems. If you have a customer waiting for the diesel, you're in breach of your supply contract. They might cancel, demand compensation, or refuse future business.

The lesson: verify the seller will provide COO before the cargo ships. Once the vessel is already en route or has arrived, you're in crisis mode.

If COO is Incorrect

You have a COO, but it contains errors. Maybe the product description says "diesel fuel" instead of your specific grade "EN590 10PPM Diesel." Maybe the quantity is wrong – showing 9,500 MT when you actually received 10,000 MT. Perhaps the consignee name is misspelled or doesn't match your legal entity exactly.

Customs officials check COOs carefully. They compare the document against your Bill of Lading, commercial invoice, and actual cargo. Discrepancies trigger rejection. They won't just shrug and accept a "close enough" COO – the details must match precisely.

The seller must correct the COO and have it reissued by the Chamber of Commerce. This isn't a quick fix – you can't just white-out the error or print a new version. The issuing authority needs to formally amend or reissue the document, which takes time. While waiting, your cargo is stuck at customs.

Some common errors are simple typos that can be corrected quickly. Others represent substantive problems. If the origin country is wrong (showing Germany when it's actually Poland), that might indicate fraud or fundamental confusion about what you bought. Such errors require serious investigation beyond just document correction.

If COO is Fake

This is the nightmare scenario. You present what looks like a legitimate Certificate of Origin to customs, but when they verify it with the issuing authority, they discover it's fraudulent. The serial number doesn't exist in the authority's records, or they never issued a COO for this shipment.

Customs treats fake COOs very seriously because they represent potential fraud – possibly to evade duties, circumvent sanctions, or smuggle restricted products. Your cargo will likely be seized pending investigation. You'll face substantial fines. In some jurisdictions, presenting fraudulent customs documents is a criminal offense that can result in prosecution.

Even if you didn't create the fake COO and were deceived by the seller, you're still responsible for the documents you present to customs. "I didn't know it was fake" might reduce penalties, but it doesn't eliminate consequences. Your cargo is seized, you lose the money you paid the seller, and you potentially face legal issues.

This is why verifying COO authenticity before accepting it from the seller is crucial. Call the Chamber of Commerce, confirm the serial number, verify the document is genuine. That verification call might save you from a multi-million-dollar disaster.

The bottom line for all three scenarios: Don't attempt to import petroleum without proper, accurate, verified Certificate of Origin. The risks and costs of problems far exceed the small effort required to ensure documentation is correct from the start.

How to Request COO from Seller

When negotiating your petroleum purchase, make Certificate of Origin a clear requirement from the start. Don't assume the seller knows to provide it or wait until shipping time to request it. Address it upfront in your purchase discussions.

Here's a professional way to request COO during contract negotiations:

"Please confirm you'll provide an official Certificate of Origin issued by [origin country]'s Chamber of Commerce or authorized government authority as part of the complete shipping documentation. This is required for customs clearance at our destination port. If you'll be providing a preferential COO for trade agreement benefits, please confirm the product qualifies under the relevant agreement."

This request is clear, professional, and specific. You're asking for the exact document you need (official COO from recognized authority), explaining why it matters (customs requirement), and checking about preferential status if applicable.

A legitimate, experienced seller will understand this request immediately and confirm without hesitation. They export petroleum regularly and know COO is standard documentation. They might respond: "Yes, we'll provide official COO from Kazakhstan Chamber of Commerce with all shipping documents. We can provide preferential COO under the [trade agreement name] if your destination qualifies."

This confirms they understand what you need, know how to obtain it, and are already thinking about which type of COO serves your interests best. It's a green flag indicating you're dealing with a professional operation.

Red flags in seller responses:

If the seller seems confused about what COO is or why you need it, you're probably not dealing with an experienced exporter. Someone who regularly ships petroleum internationally would know COO requirements cold.

If they claim "COO isn't necessary" or "we can just provide our company letter stating origin," they don't understand customs requirements. No legitimate exporter would think company letters substitute for official COO.

If they resist providing COO or make excuses about why it's difficult to obtain, ask yourself why. Obtaining COO from the Chamber of Commerce is routine for any legitimate exporter. Difficulty obtaining it might mean they're not actually located where they claim, the origin isn't what they stated, or they don't have legitimate authority to export the product.

If they offer to "arrange" a COO for an additional fee beyond normal documentation costs, be very suspicious. Legitimate COO costs $50-200 to obtain from the Chamber of Commerce. If someone's charging $5,000 or even $500 extra to "arrange" it, they might be planning to provide a fake document.

When a seller doesn't understand COO requirements or resists providing proper documentation, that's a sign to find a different supplier. You want to work with experienced exporters who handle documentation professionally, not navigate problems with sellers who don't know how international trade works.

COO in Letter of Credit (LC)

If you're using a Letter of Credit for your petroleum purchase, the Certificate of Origin becomes even more critical – and provides you with additional protection.

When you establish an LC with your bank, you specify exactly which documents the seller must provide before receiving payment. Certificate of Origin is almost always one of these required documents. The LC terms will state something like: "Certificate of Origin issued by [origin country] Chamber of Commerce, showing [product description], dated within 21 days of shipment."

Here's how this protects you: the seller ships the cargo and presents documents to their bank trying to collect payment under the LC. The bank reviews all documents carefully, checking that each one complies exactly with the LC requirements. If the Certificate of Origin is missing, improperly issued, contains errors, or doesn't match the LC specifications precisely, the bank rejects the documents. The seller doesn't get paid until they provide compliant documentation.

This creates strong incentive for the seller to obtain proper COO. They can't collect their millions of dollars until they present correct documents. It also gives you control – you specified in the LC exactly what COO you need, and the bank enforces those requirements on your behalf.

The precision matters more than you might think. If your LC specifies "Certificate of Origin from UAE Chamber of Commerce" and the seller presents a COO from a different emirate's chamber, that's non-compliant. The bank will reject it even if the document is otherwise legitimate. If the LC says "preferential COO" and the seller provides non-preferential COO, that's also non-compliant.

When setting up your LC, be very specific about COO requirements. State the exact issuing authority you'll accept, specify whether you need preferential or non-preferential COO, indicate the origin country that must be shown, and require the COO to be dated appropriately relative to shipment. This precision ensures you get exactly the documentation you need for customs clearance and duty benefits.

The bank's document verification doesn't replace your own due diligence, though. Banks check that documents comply with LC terms and appear facially valid. They don't necessarily verify COO authenticity by contacting the Chamber of Commerce. You should still independently verify the COO is genuine, not just compliant with LC terms.

Bottom Line

The Certificate of Origin is one of the most valuable documents in your petroleum shipping package – both for what it enables and what disasters it prevents.

This official document states where your product was produced or refined, and it comes from government-recognized authorities like Chambers of Commerce in the origin country. No other document substitutes for it – not refinery letters, not product passports, not commercial invoices claiming origin. Only official COO satisfies customs requirements.

You need Certificate of Origin for four critical reasons: it's a customs requirement that most countries mandate for petroleum imports, it determines what import duty rates you'll pay (potentially saving hundreds of thousands in duties through trade agreement benefits), it proves compliance with regulations and import restrictions based on origin, and it enables market access to premium buyers who demand verified origin.

Certificate of Origin should arrive with your shipping documents before or when cargo arrives at the destination port. The seller obtains it from their local Chamber of Commerce (typical cost $50-200, timeline 1-3 days) and includes it with the Bill of Lading, commercial invoice, and other documents.

Verify COO authenticity by checking the issuing authority is a legitimate recognized entity, looking for security features like watermarks and official seals, ensuring details match your purchase agreement, and most importantly, contacting the issuing Chamber of Commerce directly to confirm the document is genuine.

The financial impact of proper COO documentation can be enormous. On a $5.5 million shipment, the difference between standard duties (10%) and preferential rates (0%) is $550,000 saved – just for having the right paperwork. The cost to obtain that paperwork? Maybe $100. The return on investment is extraordinary.

Conversely, missing or improper COO creates expensive disasters. Your cargo gets held at port while you scramble to obtain correct documentation, costing $5,000-$15,000 per day in demurrage. Customs might impose fines. In worst cases with fake COOs, your cargo could be seized and you could face criminal penalties.

Always request Certificate of Origin from your seller as part of required shipping documentation. Make this clear in your purchase contract. If the seller doesn't understand what COO is, resists providing it, or offers suspicious alternatives, find a different supplier. Experienced exporters handle COO routinely and professionally.

Don't attempt to import petroleum without proper, verified Certificate of Origin. The document costs almost nothing to obtain but can save or cost you hundreds of thousands of dollars depending on whether you have it, whether it's correct, and whether it's genuine.

Take Action

Ensure your petroleum purchase includes proper Certificate of Origin as part of complete shipping documentation. Submit an RFQ on CommoditiesHub and work with suppliers experienced in export documentation.