The Know Your Goods Trade + ESG Attestation Platform and Marketplace™
21st century compliance for $20 trillion in cross border trade.
Tax, Trade and ESG Attestation Landscape.
$20 trillion in complex manufactured goods cross international borders each year and another $12 trillion is spent on logistics.
Every item shipped that crosses an international border requires three or more trade attestations. Incorrect attestations can cause costly border clearance delays, detentions, fines and penalties.
Shippers of manufactured goods spend from 1% to 3% of COGS, or from $200 billion to $600 billion per year complying with complex customs and other government agency regulations.
As of 2019, the volume of small parcel eCommerce cross-border shipments reached 600 million imports…a 168% increase since 2013. The consumer, rather than big box retailers, now initiates most imports.
New laws and regulations regarding country of origin, forced labor, and other SESG claims add complexity, cost, and disruption to supply chains.
80% of trade compliance effort and cost is spent on gathering product attribute data. Requesting and obtaining product attribute data from brands and manufacturers occurs via email and attachments.
Sustainable, Environmental, Social and Governance Attestation
Lawmakers, investors, shareholders and governments around the world are pressuring businesses to incorporate Sustainability, Environment, Social and Governance (ESG) practices into their operations and strategies, and this focus is only going to grow. Social responsibility, reputation, leadership and corporate transparency have never been so important.
Companies are expected to take responsibility for every aspect of their production, and those who fail to measure up in a transparent way may face the repercussions –social media notoriety, consumer boycotts, regulatory action, and lasting reputational and commercial impact.
Consumers want retailers to show them how items are made and what materials are used.
NGOs often champion the interests of workers in factories where practices are unethical and see it as their moral duty to shine a light on these issues.
Source: S&P Global Rankings: ESG Industry Report Card, May 2019
Benefits of KYG.Trade’s SaaS and Marketplace
Eliminates redundant data requests
Cuts compliance costs by 50% to 75%
Provides access to a global network of independent verified credentialed expert attestors
Reduces regulatory risk by validating origin, forced labor, and other sustainable, environmental, social and governance product claims
Reduces intellectual property rights violations, counterfeits, and product safety risk
Increases compliance rates while reducing border clearance delays and government regulator fines and penalties
Increases cost savings through higher utilization of preferential tariff programs
Extends legacy system and blockchain platform KYG capabilities without the need for expensive system upgrades
“Associated with the challenge [of parcel shipments] is a new class of importers—everyday consumers who are unfamiliar with trade laws and requirements.”
Source: US Customs and Border Protection FY19 Trade and Travel Report
KYG.Trade Attestor Marketplace
World’s first global attestor marketplace with tax, trade, product safety, sustainability, ESG, factory audit and other product admissibility experts.
Identity, credentials, training, education and employment of experts are verified by KYG.Trade prior to listing.
Attestation engagement terms and conditions, confidentiality, dispute resolution, and ownership of deliverables are universally established by KYG.Trade.
Billing for attestation services to customers including cross border taxes is facilitated by KYG.Trade.
Pricing for attestation services are determined solely by attestor and negotiated directly with customers.
SaaS EDI-API Key Features and Capabilities
Fully interoperable between legacy ERP, supply chain, logistics, compliance, risk management, procurement, EDI, and global trade management systems:
Utilizes the latest blockchain DLT methods and crypto techniques for securing trade secrets, while remaining blockchain agnostic
Utility and Design Patents Pending
Unique consumer friendly user interface including 3D product rendering
Incorporates open-standards to streamline and reduce integration time and costs including:
W3C Decentralized Identifiers (DIDs) and Verifiable Credentials
UN/EDIFACT message sets
UBL message sets
OASIS Baseline Open Standards
Others
End-consumer’s can search the KYG.Trade registry by product code (bar code), GTIN, SKU, batch, lot, etc., to obtain visibility into:
Each country and company involved in the production process
Sourcing of components, ingredients and packaging comprising a raw material, intermediate or finished good
Sustainable, environmental, social, and governance attestations
Intellectual property rights owner
Importers/Exporters of Record, Customs and other government agencies can obtain instantaneous permissioned visibility into all of the above, plus:
All source documents used (i.e, Bill of materials, schematics, product images, etc.) and analyses by attestors in determining a goods’ trade attributes such as:
HTS code
Country of Origin
Certifications of Origin for preferential trade
Sustainable Development
Diversity and Inclusion
Forced Labor Declarations
Conflict Minerals Declarations
Export Controls and Licenses
Customs Value
100’s of others
Customers
Manufacturers and Brand Owners
Retailers
Trade Finance
Customs brokers
SMEs
eCommerce platforms and merchants
NGOs
Chambers of commerce
Customs and other government agencies
Supply chain management platforms
Track and trace platforms
Carriers and forwarders
Industries
Apparel and Footwear
Automotive
Industrials
Metals and mining
Chemicals
Trade Finance
Technology
Pharmaceuticals
Medical Devices
Retail