Hi, I've purchased an embroidery machine from China. As I'm based in Birmingham the supplier has put Birmingham as the destination port. So it will be Ningbo to Birmingham. I asked for FOB. I questioned the supplier that there is no port in Birmingham but they insisted there was ..im just worried I'm going to get stung with additional charges. Is it possible to have FOB from a sea port to a city?? Don't know who else to ask!
Get in touch with a UK forwarder (there are a number on this forum) and request door to door quotes. If you are relying on your supplier to make the shipping arrangements, you will be in for a surprise (actually, probably a shock). Your shipment will arrive in Felixstowe port.
Factory quotes in "FOB", it means they are only responsible to send the products to vessel, it's up to you (and your forwarder) where the vessel is up to. Consult an experienced forwarder for the best option for you.
As above. If FOB terms then you need to arrange (and pay) for the goods to be shipped from Ningbo to the UK.
Double check that their interpretation of FOB is the same as posted here. Some exporters get confused with other terms.
Well on my invoice it says FOB but the Bill of Lading states "Freight Prepaid" so I'm guessing its CIF or CFR. I've contacted a couple of freight forwarders but none can give me clearer picture on working out costs. Not sure what my options are now.
That's unhelpful. Freight prepaid can sometimes be a case of the clerk who cut it, did a typo or was using a template where some fields are pre-completed and did not correct it. I see that you consider this to be a FOB movement but what does your contract say?
My proforma invoice says FOB. The forwarders I contacted both stated its no FOB once I gave them the bill of lading.
I suspect that the forwarders are correct. BOLs on their own are not conclusive evidence. Strictly speaking to be valid FOB on it's own is not acceptable it should specify a location (Birmingham has a port, an airport, possibly your supplier has made a mistake as your purchase is coming by sea). Sorry but you are going to have to go back to your supplier to clear this up
Well one of the forwarders is looking into it all for me. The bol states Ningbo to Felixstowe then onto Birmingham. Will wait and see what happens. Bottom line is I'm in for extra charges!
Extra charges are a certainty! If you can find out, ASAP, who the forwarder is you might be able to get some control of the charges
I have contacted them. They told me their Ningbo Office sets the UK Rates and charges. They can't confirm charges yet as they are awaiting the document from the Ningbo Office. I've emailed the Ningbo Office to find out costs..still waiting to hear back.
I'd suggest that you tell them to forward a copy of of the documents to you before they make any Customs clearance. As its FOB then you are paying them so have a right to the documents (and as the clearance is in your name you will also require a copy of the declaration they make). Not sure if you have done this before so sorry if I'm telling you something you already know but double check the supporting documents against the SAD (formally know as a C88) to make sure that the details are correct. If in doubt post back here and help can be given
No I've not imported like this before. I'm going to email their Ningbo Office in the morning. Thanks for your advice
If you have a Bill of Lading already then it's almost certainly CIF/CFR (Freight prepaid) terms. Are the goods on the water already as this would indicate they are? If so unfortunately you will be hit with extra costs on arrival UK. If the supplier has agreed FOB and have shipped prepaid then I would be slightly wary of them. (They may be getting a kickback from the additional UK costs). If you want to email me over a copy I can take a look for you - [email protected]
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