In cross-border trade, there are certain elements that make it clear that a transaction has taken place, beginning with someone wanting to buy something.
They buy the thing and hand over money in exchange for the thing. A transaction has taken place and value has been assigned to the goods being traded.
But this isn’t necessarily true in the service supply chain.
While goods do cross the border, there is not necessarily an intention to sell them to a buyer. Rather, they may be used to service or replace faulty products in local markets, in line with prevailing service support programmes that end users signed up for.
This often leads to confusion, disputes, and ambiguity at the border because there’s no sale or transactional value tied to the goods.
So how do we assign value to service supply chain goods, to ease their passage through customs?
The <next video> will discuss this a little bit further.
Click <here> to receive access to the full series.