Exporting to Australia from the UK

[Zahid.Bilal]

I run a greeting card business and we are in talks with an Australian distributer and they has asked for an export price list.

We sell our cards at wholesale at £1.35 with a min order of 10 per a design.

For export we are looking at min order of 500 per a design.

Do you think this is many for a minimum?

What other costs should I be including?

What price should i be setting for each card?

 

[Mr D]

Presumably you are exporting to someone who is going to sell on to other sellers?

500 per design I don't see as bad - if I want to get some Chinese place making up a design for another small product they have a minimum of 1000 per.

Other costs - who is paying shipping?

Price? Your costs plus something for profit. However if buying 500 of something that sells for £1.35 when buying 10, I'd be wanting some sort of discount for volume.

 

[Zahid.Bilal]

What should an export pricing list include?

 

[Mike Godwin]

An export price list will usually consist of the ex works price of your product plus all shipping charges to the delivery point of the customers' choosing. This may or may not include local duties & taxes. Try to establish an agreed set of incoterms with your customer and that will dictate who pays for what throughout the supply chain. https://www.export.gov › article › id=Incoterms-Overview

 

[Paul Kelly ICHYB]

You could look at getting a local (Australia or, maybe, China) and get them to print and deliver.

This will reduce shipping costs, may reduce your volume production cost and improve leadtimes (assuming you make to order).

 

[KellyBDE]

It is also worth taking into consideration currency fluctuations, depending on whether you are selling GBP and if they are paying in AUD to a GBP bank account.

 

[Matthew J]

Also consider the state they are going to in OZ, costs may vary.

 

[Joshua Boast]

Really cool idea, best of luck!