Table of Contents
- What Does HS Code Mean?
- What Is the Harmonized System (HS)?
- Why Tariff Codes Are Important for Imports and Exports
- How Tariff Codes Are Structured
- How to Determine the Correct Tariff Code in South Africa
- How to Write a Tariff (HS) Code
- Important Note
A tariff code, also known as a Harmonized System (HS) code or commodity code, is a numerical classification used by customs authorities to identify goods traded internationally.
Every product that crosses an international border must be assigned a tariff code. This code determines:
- the customs duties and taxes payable
- whether permits or licenses are required
- which regulations or restrictions apply to the goods
Tariff codes are used by customs authorities around the world to ensure goods are correctly classified when imported or exported. Businesses involved in international trade often rely on import and export services to ensure goods are correctly documented and cleared through customs.
Understanding how tariff codes work is essential for companies importing, exporting, or manufacturing goods.
What is a tariff (HS) code?
An HS code refers to the Harmonized Commodity Description and Coding System, an international classification system used to categorize traded goods.
This system allows customs authorities in different countries to:
- classify products consistently
- calculate duties and taxes
- monitor international trade
- enforce import and export regulations
Although tariff codes may vary slightly between countries, they are based on the same international HS framework. This ensures that goods are classified similarly across most customs jurisdictions.
What Is the Harmonized System (HS)?
The Harmonized System (HS) is a standardized product classification system developed and maintained by the World Customs Organization (WCO).
The system divides all traded goods into:
- 21 sections
- 99 chapters
- thousands of product categories
Each category represents a specific type of product used in global trade.
South Africa’s tariff schedule is built on this international HS framework and forms part of national customs compliance regulations. Businesses that trade internationally often rely on customs compliance services to ensure goods meet regulatory requirements.
Why Tariff Codes Are Important for Imports and Exports
Tariff codes play a critical role in international trade. The classification of a product determines how customs authorities treat the goods when they enter or leave a country.
A tariff code determines:
- customs duty rates
- VAT or import taxes
- permit or licensing requirements
- trade restrictions or quotas
- statistical tracking of international trade
Incorrect tariff classification can lead to customs delays, shipment inspections, penalties, or incorrect duty payments. Accurate classification is therefore an essential part of international trade compliance.
How Tariff Codes Are Structured
Tariff codes follow a hierarchical structure.
A standard HS code contains six digits which represent different levels of product classification.
| Digits | Meaning |
| First 2 digits | Chapter |
| Next 2 digits | Heading |
| Next 2 digits | Subheading |
Many countries add additional digits to create more detailed classifications. In South Africa, tariff codes typically contain eight digits plus a check digit used by SARS.
Example structure:
0901.21.00
- 09 → Chapter (Coffee, tea and spices)
- 01 → Heading (Coffee)
- 21 → Subheading (Roasted coffee)
- 00 → National subdivision
How to determine the tariff/HS/commodity code for your import or export
Step 1 – Find your chapter
To determine your tariff code, we’ll look at Schedule 1 of the South African Customs and Excise Act.
This Schedule is divided into sections which are subdivided into chapters. Click the button below to consult the Schedule 1 Chapter Index and determine which sections and chapters may be relevant to your goods.
Step 2 – Consult Schedule 1 Part 1
Schedule 1 Part 1 of the Customs and Excise Act lists all the tariff codes that exist within the HS system in numerical order, according to section and chapter. Click the button below to open Schedule 1 Part 1, and navigate toward the chapters you’ve identified in Step 1.
Step 3 – Read the relevant section and chapter notes
Each section in Schedule 1 Part 1 starts with a few section notes, and each chapter starts with a few chapter notes. These notes often contain exceptions to what is included in the section or chapter and can give you a good indication of where else to look if your goods happen to be the exception.
Step 4 – Find your heading and subheading
Each chapter in Schedule 1 Part 1 is divided into tariff headings. Headings are the lines with only 4 digits in the first column called “Heading/Subheading”. These lines are easily visible because they are highlighted in grey.
Look through your chapter for the most applicable heading to your goods.
The codes under a heading are also divided into subheadings – these can help you further narrow down your search.
Step 5 – Identify your tariff (HS) code
Carefully read the text in the “Article Description” column for each of the codes that fall under your heading or subheading.
The description best suited to your goods corresponds to your tariff code.
You may find more than one description relevant to your goods. In this case, it is advisable to have a tariff classification done. To enquire about a professional tariff code classification click the button below.
How to write a tariff (HS) code
Tariff codes must be written in the below format.
Where a 7th and 8th digit (subdivision) is not provided by the tariff book .00 is used.
The check digit that goes at the end of the code is only relevant in a South African context as a means for SARS to double-check the code’s relevance. The check digit for your tariff code can be found in the column of Schedule 1 Part 1 called CD.
Important Note
This document serves merely as a guide. Import Export License does not take any liability for any incorrect interpretation of this information. For an in-depth understanding of tariff codes and doing your tariff classifications, we recommend signing up for online training on tariff codes and the HS system.
Frequently Asked Questions
What is an import export license?
It is a number, or code, that you receive when you register at customs as an importer, exporter, or both. It is also referred to as a customs code, CNN number, customs client number or customs registration number. It allows an individual or business to clear goods through customs and to make international payments for imported and exported goods.
When do I need an import export license?
An import export license is officially required when:
- The total imported/exported cargo is R150 000 or more in one calendar year; or
- You are importing for resale or commercial gain and not for your own personal use.
- You are making an advance payment above R50 000 for goods still to be imported and require an APN (advanced payment notification) number.
- You are not a natural person, for example a company
- You are involved in other customs activities such as trade agreements, rebates or bond stores.
You also require a customs license if you want to make or receive an international payment for imported or exported goods through your bank (this is not necessary if you use your credit card, but credit card transactions typically involve very high forex costs).
Can I use an import export license to import or export anything from or to any country?
Yes, one import export license covers all goods traded across the South African border. Note that some regulated goods require an additional permit. You can search your product in our prohibited and regulated goods look up to see if there are any additional requirements.
You can use the same license to import from or export to different countries. If you export goods to a country that has a trade agreement with South Africa we recommend that you get the associated certificate of origin so that your buyers benefit from the import duty tax saving.
Do I need to pay any yearly fees once I've received my license?
No, yearly fees are not applicable to import export licenses.
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