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RADAR Limits – What is it? How to calculate?

When researching news for the business, companies choose to purchase goods abroad as an alternative. In Brazil, among the products most imported by the market today are clothing and electronics.

However, the import needs to be successful and, for that, one of the fundamental rules of this process must be respected: the RADAR limit.

How it works
Every company that operates with Foreign Trade in Brazil, obligatorily, must have an active RADAR registration and prove, in a legal way, its performance in the import and export market.

In this register, three categories of limits can be enabled for the importing operator:

$50,000;
$150,000;
Unlimited.
RADAR calculation
If the importer’s limit is 50 or 150 thousand, the calculation for use must be made based on the customs value of the import, which is composed of the cost of the goods + freight + insurance.

For example:

Let’s say company X owns RADAR with a $50,000 threshold. Your cost of shipping and insurance totals $10,000. That leaves $40,000 for merchandise spending, bringing the total cap to the $50,000 limit.

Detail: these limits only occur on imports. There is no limit on exports, because once the company is enabled on RADAR, it can export any value.

For information on RADAR registration validity and renewal, watch the video below:

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