Gift parcels and humanitarian donations

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1. Two uses of License Exception GFT

License Exception Gift Parcels and Humanitarian Donations (GFT) in the Export Administration Regulations (EAR) covers two things: gift parcels sent by individuals, and humanitarian donations by groups or organizations (15 CFR 740.12). Each has its own scope, item limits and conditions.

2. What a gift parcel is

A gift parcel is sent by an individual donor to an individual, or to a religious, charitable or educational organization, in any destination (15 CFR 740.12(a)(1)). It must be for the use of the donee or the donee’s immediate family, not for resale, and it must be free of charge to the donee. Handling charges and fees the importing country levies, such as import duties and taxes, are not treated as a cost to the donee.

A footnote to the rule notes that many countries let conforming gift parcels in duty free (15 CFR 740.12(a)(1)). To secure that, the sender should show the words U.S.A. Gift Parcel on the addressee side of the package and on any required customs declarations.

3. Items that may not go in a gift parcel

For all destinations, no item controlled on the Commerce Control List (CCL) for chemical and biological weapons, missile technology, national security, nuclear proliferation or encryption item reasons may be included (15 CFR 740.12(a)(2)(i)(A)). For Cuba, the only CCL items allowed are those listed in section 740.19(b). For Country Group D:1 or E:2, military wearing apparel is barred even with all distinctive U.S. military insignia, buttons and markings removed. Gold bullion, gold taels and gold bars are prohibited, as are items intended for resale or reexport.

4. Items that may go

Eligible items for all destinations include food, including vitamins, and medicines, medical supplies and devices, including hospital supplies and equipment for the handicapped (15 CFR 740.12(a)(2)(i)(B)). Also eligible are receive-only radios for commercial and civil AM, FM and shortwave bands, with batteries, and clothing, personal hygiene items and seeds. Veterinary medicines and supplies, fishing equipment and supplies, soap-making equipment, and other items normally sent as gifts between individuals, except the prohibited items above, are eligible too.

Quantities must be those normally given as gifts between individuals (15 CFR 740.12(a)(2)(i)(B)). The rule gives the example that one watch or piece of jewelry is a normal gift, but several watches, in one package or later shipments, are not. A sewing machine or bicycle within the value limit may be a suitable gift, but later shipments of the same item to the same donee would not be.

5. Import, frequency and value limits

The recipient country must accept the items in type and quantity for import as gifts, and items above its import limits may not be included (15 CFR 740.12(a)(2)(ii)). Except for food parcels to Cuba, no more than one gift parcel may go from the same donor to the same donee in a calendar month (15 CFR 740.12(a)(2)(iii)(A)). There is no frequency limit on food parcels to Cuba (15 CFR 740.12(a)(2)(iii)(B)).

Compelling humanitarian concerns, such as certain gifts of medicine, may justify exceeding the frequency limit. Parties seeking to do so should apply to the Bureau of Industry and Security (BIS) for a license under sections 748.1, 748.4 and 748.6, with full justification (15 CFR 740.12(a)(2)(iii)(C)). The combined domestic retail value of everything in one gift parcel may not exceed $800 (15 CFR 740.12(a)(2)(iv)). That limit does not apply to food sent to Cuba.

6. Recipients barred in Cuba

Gift parcels may not go to listed officials of the Cuban government (15 CFR 740.12(a)(2)(v)(A)). The list includes ministers and vice-ministers, members of the Council of State and the Council of Ministers, and members and employees of the National Assembly of People’s Power. It also covers employees of the Ministry of the Interior and the Ministry of Defense, director generals, sub-director generals and higher officials of ministries and state agencies, and chief editors, editors and deputy editors of state-run media. No gift parcel may go to any member of the Politburo, or to organizations administered or controlled by the Cuban Government or the Cuban Communist Party (15 CFR 740.12(a)(2)(v)(B), 15 CFR 740.12(a)(2)(v)(C)).

7. How a gift parcel is sent

A gift parcel must go directly to the donee from the individual donor, or for the donor through a commercial or other gift-forwarding service (15 CFR 740.12(a)(3)(i)). The outside wrapper must show the names and addresses of the donor and the donee. The addressee side must carry the notation the rule prescribes: the word GIFT, a dash, and the words Export License Not Required. In addition, any required customs declaration must show the symbol GFT (15 CFR 740.12(a)(3)(ii)).

8. Humanitarian donations

The second part authorizes exports or reexports by groups or organizations of donations to meet basic human needs (15 CFR 740.12(b)(1)). The groups must have experience in keeping a verifiable distribution system that ensures delivery to the intended beneficiaries. Basic human needs are health, food, clothing, shelter and education, and extend beyond emergency needs and mere subsistence (15 CFR 740.12(b)(2)).

Eligible donors are U.S. charitable organizations with an established record in donative programs and in verifying distribution (15 CFR 740.12(b)(3)). Distribution may rest on permanent staff in the recipient country, periodic spot checks by the exporter’s staff, or an agreement with a charitable organization that has a monitoring system. Items must be free of charge to the beneficiary, apart from normal handling charges and import fees (15 CFR 740.12(b)(4)).

Items controlled for national security, chemical or biological weapons, nuclear nonproliferation, missile technology or crime control reasons are not eligible (15 CFR 740.12(b)(5)). Nor are exports for large-scale economic projects such as dams and hydroelectric plants, or exports to Cuba of medical items excluded by section 746.2(b)(1). Eligible items are listed in supplement no. 2 to part 740 (15 CFR 740.12(b)(6)). In addition to part 762, donors must keep records of their identity and experience, countries served, projects and items, classes of beneficiaries, and funding sources and projected annual export value (15 CFR 740.12(b)(7)).

Key terms

GFT	License Exception Gift Parcels and Humanitarian Donations.
Donee	The individual or organization receiving a gift parcel.
$800 limit	The most a single gift parcel’s contents may be worth.
Basic human needs	Health, food, clothing, shelter and education.
Verifiable distribution	A monitored system that ensures donations reach beneficiaries.

Every statement above links to the document behind it. The full source list for this piece is on the sources page.

This page describes public United States government programs for general information. It is not legal, regulatory or procurement advice, and it does not address the facts of any particular case.

How Sentfore supports this

Humanitarian programs often ship donated goods abroad. Sentfore works at the delivery end of defense programs in difficult environments, providing secure movement, protective security, facilities and life support. Requirements can be sent through the contact page.