Importing goods for your business is an excellent way of growing your enterprise and increasing your clientele base. However, before you get your first shipment, there are a lot of costs that you have to incur. Most of these relate to the process of bringing goods into your country and clearing them with the customs department.
If you are not careful, importing products can cost you a lot of money which you may not recover even after making sales. There are import taxes, duties and other hides fees that you have to incur, and if you are not wise, these amounts can be so high. That's why you need to learn the following tricks that will help you reduce imports costs.
Understand local import rules
Different states have varying rules surrounding the imports process. For example, there are rules for importing counterfeit goods, how products should be packaged, quality standards and so forth. The first step to reducing your imports costs is to know what the local importing regulations are, especially concerning the kind of goods that you are importing. Failure to do so can get your goods withheld by the customs officers until you sort issues out with them. This not only increases the risk of being charged more, but you will also incur storage fees as well.
Opt for full container load
When shipping, you have the option of going for less-than-container load (LCL) or full container load (FCL). LCL is where your goods are not enough to fill a whole container; therefore, they are shipped together with products from other businesses. FCL shipping is where the container you ship with contains your products only. LCL shipping is more expensive as good sit at the customs for a prolonged period. It can also inconvenience your business. However, with FCL, the container has your products only, and this enables you to get cleared fast and with minimal complications.
Take advantage of end-user tariffs
Various end-user tariffs apply to different kinds of products in different states. Some product applications allow you to get waivers and pay less duty and other fees. For example, a product that is useful in the medical industry can get waived to reduce its cost in the local market. This will enable it to be cheaper for use in health facilities. Before importing, think about the many ways your product can be used and choose favourable end-user codes. These can help you to lower the imports cost.
Importing goods can be a difficult process that requires a lot of expertise, especially if you want to cut costs. Consider working with customs brokerage services so that they can handle the process and help you reduce taxes, duties and other charges.Share
14 September 2018
Hello there. My name is Keith and, even though I'm retired, I feel like I have a full-time job helping my very talented son. He's a successful artist which means that he often buys materials from overseas or sends works of art internationally to customers. I wish that I could say that he paints tiny pictures; however, he actually creates massive sculptures from various materials. I spend a lot of time consulting with professionals about the best shipping options. Considerations include import/export regulations, taxes, transport time, insurance and price. I have started this blog so that those of us who share an interest in this area have a place to learn and extend our knowledge base. I hope that you enjoy my little tidbits of wisdom about shipping.