• Deanna Clark-Esposito

Export Transaction Applications and SNAP-R

The Simplified Network Application Process Redesign (SNAP-R) is an information system created by the Bureau of Industry and Security (BIS), which allows exporters to apply for license applications, reexport licenses, commodity classification requests, and license exception agricultural commodity (AGR) notifications.

License Applications Overview

An exporter needs a license whenever they wish to perform a transaction that is either highly regulated or generally prohibited by the Export Administration Regulations (EAR). Licenses are needed for particular goods, end uses, or end users as mandated by the three agencies that regulate U.S. exports. Exporters may use the Export Control Classification Number (ECCN) system to be informed of transactions that need a license or prohibited transactions regarding given items.

Before making any request, it is important to confirm and gather the following information for each transaction: all parties, descriptive literature related to the cargo, brochures related to the cargo, precise technical specifications of the cargo, signed statements about the end use and end users of the cargo, and information about prior related transactions or licenses. Additionally, it is important to note that the individual who submits the license application must be physically located in the U.S.. If a foreign party is facilitating the transaction, they must give permission to an agent or the exporter in the U.S. to obtain the license.

The average processing time for license applications is 19 days. Completed applications are given an application number (ACN), which can be used to check the status of the application in the System for Tracking Export License Applications (STELLA).

General Prohibitions

BIS has ten General Prohibitions that supersede any general license or prior general approval of an export. General Prohibition 8 mandates that exporters obtain a license whenever their products have any contact with particular countries. General Prohibitions 9 and 10 prohibit any violations stated by the BIS and gives the BIS discretion to heighten penalties for exporters who knowingly violate BIS orders. Violations of orders issued by BIS may result in the suspension or revoking of licenses. BIS may also order a transaction to be halted or even order the return of shipments.

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