Why do I need a power of attorney when shipping?  

In this article we explain a power of attorney’s role in shipping.

What’s a power of attorney? 

Let’s start with the basics: What exactly is a power of attorney? 

A power of attorney, or POA, is a written authorization to represent or act on someone else’s behalf in business, private affairs or other legal matters. 

In shipping, a power of attorney is often needed during the clearance process for imports and exports. A sender or receiver fills in a power of attorney to authorize their carrier to act on their behalf when dealing with customs clearance.

Why do I need to give authorization to my carrier?  

Importing and exporting goods between countries can be complicated. It's hard for buyers and sellers to fully understand all customs requirements and international trade laws. This is where a carrier can step in to help.

By giving your carrier authorization, they can check and submit documents, and pay duties and taxes on your behalf to get your goods cleared.  Customs authorities can request proof of a power of attorney during the clearance process. In most countries it's even a legal requirement.

A power of attorney alone won't speed up the clearance process, but frequent shippers can have a 'permanent power of attorney' in place with their carrier to save some time.    

How to draw up a power of attorney  

Getting a power of attorney isn’t too difficult. You should be able to get a template from your carrier to complete and sign.

But since you’re here, let’s cover the basic information that needs to be on a power of attorney. 

• Your name or your company’s name
• Your address or your company’s address
• VAT number or tax number 
• The name and address of the carrier 
• The services you give authorization for, like paying your duties and taxes and submitting your paperwork
• Date 
• Signature of an authorized person
• EORI number (if shipping from the UK or EU) 

Bear in mind that the style, language or requirements of a power of attorney may differ by country depending on local laws and regulations. Some countries, for example, may want you to include a copy of the Chamber of Commerce extract, while others won’t. 

How to avoid making mistakes on a power of attorney 

To make sure everything runs smoothly at customs, here are three things to remember when filling out a power of attorney: 

• Fill out the form completely and correctly 
• Sign and initial all the pages of the form and make sure your signature matches the signature on your ID – if applicable
• Include a verified copy of your ID with the form

If you keep these three things in mind, your form should be good to go.  

The information provided on this page does not constitute legal, tax, finance, accounting, or trade advice, but is designed to provide general information relating to shipping. The Shipping Channel content, information, and services are not a substitute for obtaining the advice of a competent professional, for example a licensed attorney, law firm, accountant, or financial adviser.  If you’re unsure of the shipping requirements that apply to you, check with your carrier and make sure to check the rules and regulations of the country you’re shipping from and to prior to shipping. You can find this information on government websites.