Step to Step Guidance to Importing Products from China
Whether you need hardgoods, electronics, machinery or home appliances, virtually anything can be found in the world’s leading producer, China which presently acts as the “world’s factory”.
However, for the newcomers, it can be a difficult task. In order to buy products from china, there are five basic steps to follow. Following these basic step-by-step procedures will not only save your money but will also save your time.
1. Identify your rights.
Various countries have different regulatory policies. These regulations could be meant to reduce imports of certain products into the country. Sometimes they may serve to fight against smuggling and such activities. Heavy tax policies induced by the government on the customs may also affect how you are going to import the product to your country. It is, therefore, vital to check whether you have the legal rights to import certain goods with not only ease but also without incurring excess expenses.
You should confirm whether you need a license, as in many countries, and acquire one before buying the goods.
2. Identify your products.
This is the basis of importing goods from China. Identifying the ideal goods to import have a significantly great impact in both the import process and your business or personal use. Remember that import tariffs vary considerably with regards to the type and kind of goods.
Electronics imported from China, for example, differ in rates from textile products. If you are a business person, you would want to make profits from reselling. Choosing a product that will provide a wider profit margin after tariffs would be essential.
You should carry out a research on the specific products by taking on reviews and other statistical sources so as to be sure about what you are going to import.
It is important for you to get the samples and carefully review and test the samples. Make sure it passes all the rules and regulations of your country.
3. Find a suitable supplier.
Finding a suitable supplier can be very tricky. Many importers choose their suppliers from a sample shown at a trade show. This is not a good idea.
You better run a background check on your supplier. If he claims to own a factory then you should pay a visit. Get some customer references too.
Once you have selected your supplier, request a Preformat Invoice for your purchases. Remember that your PI must show the weight and the packed dimensions.
4. Do a calculation of the landed cost
Before you can order the goods, it is important to classify the goods and approximate the total cost to your home. The landed cost will include the initial cost of the product, the transportation fee, customs duties, all the taxes, currency conversion and other expenses. Generally, it is an account of what your pocket will have to incur. A tariff classification of each goods you wish to import is important as it determines the tariff duty required.
You can contact the responsible individuals: the supplies, shipping agents and the custom check officers for this information. This is important for ensuring efficiency and minimizing errors of insufficiency when the goods has started its journey.
5. Place your order
You can then locate the supplier and make your order. Communicate with both the vendor and the shipping personnel to identify the terms of the transaction including shipping.
You should make sure to give detailed information about the product you want. This will reduce cases of confusion and receiving the wrong item. Do not always opt for the cheap product. Cheap may turn expensive due to quality and quantity issues and the risks that may be involved. To reduce costs, you can inquire if the vendor will agree to ship in the nearest port.
5. Ensure product quality:
It’s important to make sure that your supplier met your product specifications. A visit to the factory by you or a reliable QC company will better ensure the product quality.
The most type of quality control used by many vendors is a final random inspection. Professional inspectors from a reliable QC company should visit the factory and draw random samples from an entire batch, and conduct thorough function and appearance check.
6. Organize your cargo for transport
Shipment could be a little costly. But with proper plan and negotiations, you will freight your goods easily. You may have to pay for packaging, container, brokerage and terminal handling. It is essential that you choose a goods logistics provider. This will ensure a smooth flow of operations and ease of coordination and communication. It will also reduce the delays in the port that do normally happen for about two to three days. As soon as these arrangements are through, sit back and wait for your goods. You may have to wait for some time since traveling by ocean is quite slow.
7. Track your shipment
Water transport, though convenient, is much slower since it takes a couple of days before arriving at the shore. You will have to give it some time before you can expect your goods. During this period, you should process your freight document and ensure that the shipment will have an easy procedure at the port. The bill of lading, packing list, and commercial invoice are among the documents required as soon as the ship docks.
8. Collect your cargo
Contact the customs brokers to help you clear at the customs office. You will need to submit your documents for customs clearance. When you are cleared, you can then transport the goods to your desired destination.
With these simple guidelines, you can import the goods you need from China with much ease. Make sure to follow these steps before you start negotiating with potential suppliers. Doing this will not only benefit you but will also let them know that you are a professional buyer.