What is a commodity code?
A commodity code is a sequence of numbers used to describe items in which are being imported/exported so that border officials can check the items are safe, legal & also that tax is calculated correctly.
The commodity code is made up of 10 digits- it is made up of 2 elements. The first 6 digits are part of the globally recognised harmonised system that has been used since 1988!
It is a way of labelling goods, logically ordered, split into sections, chapters, headings & sub-headings. The next 2 digits are known as a ‘CN code’ & this is a combined nomenclature code used by EU authorities to track trade & calculate customs duty. The last 2 digits are known as ‘Taric code’, this shows any relevant trade policy or tariff quota imposed on that specific item.
