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How to use Commodity code (HS code) in SAP AFS
Introduction: Commodity codes provide a standard way to identify materials for a country's export and
import reporting. Numbering codes are used to identify commodities. Longer the commodity code
number more specific the commodity. Generally in US specific commodity code is 10 digits long.
Example commodity code for: Shirts & Polos of knitted cotton for Mens
Import to
country
HS commodity code
MFN
duty rate
Sales tax Additional duties & taxes
Italy 6105.10.0000 12% 22%
United States 6105.10.0010 19.70%
Depends on
state Merchandise Processing Fee
Sri Lanka 6105.10. 15% 12%
Import Cess (Rs75.00 per pcs)
PAL (Ports and Airport Levy) (5%
CIF)

Commodity code determines following in Import/ Exports
Import/ export duty to pay
Import/export licenses or any special regulations for the goods.
Duty and tax reliefs
Exemptions from licenses etc in certain countries
Customs procedures that apply to your goods
This is one example website to find commodity code of an item:
http://www.dutycalculator.com/new-hs-code-lookup/
From SAP AFS stand point this document explains
- How to define a new comodity code in SAP
- Maintain comodity code in material master
o Material level
o SKU Level for AFS materials if needed.
- What are the SAP tables involved for Comodity code.
Step 1: How to define a new comodity code in SAP AFS
This step will display how to add a new comodity code in SAP. Im going to add the comodity code in
above example is SAP.
Please use the bellow menu path in Customizing (SPRO) to define a new comodity code.

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Bellow screen will be open with existing comodity code data.

To add a new code to the system click in the toolbox.
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Key fields to enter are Country, Comodity code, Comodity code description.

Click to save the new comodity code.
New transport will be created for this task
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Step 2: Maintain comodity code in material master
This step will explain how to maintain the commodity code in material master.
2.1 Maintain in Material level. (Import/ Export)
Go to an existing material master with tcode: MM02 (material Change mode). select Plant and Sales
organization data as bellow and click to continue.

Based on the requirement comodity code can be entered in Import/ Export section In the material
master. Go to the department Tab: Foreign Trade Import Data/ Forign trade Export data. once you
enter data in one section itll automatically visible in both sections.
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Highlighted bellow is the location to enter Commodity code and country of origin.

Key in/ select the new commodity code as bellow.
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Click next to move to next tab and press to save the material.
2.2 Maintain in SKU level for AFS specific materials.
Normally commodity code is maintained in material level. But there are requirements to maintain it in
SKU level for some apparel products.
This step explains how to maintain commodity code in SKU level of a material.
Prerequisites: this material should be an AFS material. It should have a valid grid with grid values.

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When you open the material in change mode with MM02 select the department Tab: AFS- Foreign
Trade.



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Key in the grid value level commodity code data and click Enter to move to next screen and save.

Step 3: What are the SAP tables involved for Comodity code
These are the three main tables use to retreve comodity code master data.
Table
Name Table Description
V_T604 Generated Table for View commodity code data
MARC To view material level commodity code in field: STAWN
/AFS/MARC To view AFS level material commodity code in field: STAWN