Import Costs

Discussion in 'International Business' started by leslie81, Jul 25, 2010.

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  1. leslie81

    leslie81 UKBF Newcomer Free Member

    18 0
    Hello,

    Could someone out there please give me some sound advice?

    I am planning to import some paper goods into the UK from China. I am aware of the shipping costs and understand that there are additional costs like, import duty, VAT, custom charges, etc.
    My question is, where can i find exact information on the exact cost that i am going to have to spend from beginning till i have my container in my hands?
    The only information that i have managed to get is for what i am going to be charged for, but before i can update my website and begin advertising my product i need to know how much i am going to be selling it for, but i have not managed to do that yet, because i have no idea how much money this whole transaction is going to be for.

    Any advice would be appreciated.

    Leslie
     
    Posted: Jul 25, 2010 By: leslie81 Member since: Jun 29, 2010
    #1
  2. JoeHe

    JoeHe UKBF Newcomer Free Member

    33 1
    Hope you can find solvution from europa dot com

    Joe He ————from China
    ----------------------------
    Sarine Perfections Bags Co., Ltd
    sarineyin at hotmail dot com sourcing at bagcn dot info
     
    Posted: Jul 25, 2010 By: JoeHe Member since: Jul 24, 2010
    #2
  3. Paul Kelly ICHYB

    Paul Kelly ICHYB UKBF Legend { Moderator }

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    Leslie,

    You can't get an exact cosst until the goods have landed and all has been paid for, as exchange rates shift, you may have a customs examination etc.

    When calculating landed/waehouse cost, get all of the variable you know and then add 5-10%, which should give you a safe buffer for calculating your selling price. When you have all of the infomation, for you accounts, you can them calculate the exact cost.
     
    Posted: Jul 25, 2010 By: Paul Kelly ICHYB Member since: Jan 21, 2008
    #3
  4. leslie81

    leslie81 UKBF Newcomer Free Member

    18 0
    Thanks for the advice consultant.
    What other varables do i need to consider in order to calculate the 5-10%?
     
    Posted: Jul 25, 2010 By: leslie81 Member since: Jun 29, 2010
    #4
  5. Paul Kelly ICHYB

    Paul Kelly ICHYB UKBF Legend { Moderator }

    5,946 858
    As long as you have the purchase price, shipping, clearance/handling, duty, (VAT), UK delivery charges, that should be about it.

    Other things to bare in mind are licensing/royalty, anti dumping duty (if you get this, forget the commercial opportunity of your product) and exchange rates.

    The 5-10% is a safety buffer that gives a bit of comfort with you margins. If you add this and you cant make a profit, you are doing something wrong!
     
    Posted: Jul 25, 2010 By: Paul Kelly ICHYB Member since: Jan 21, 2008
    #5
  6. leslie81

    leslie81 UKBF Newcomer Free Member

    18 0
    Hi Consultant,

    How do i find out the most specific price on clearance/handling and VAT?
    I have heard so many different amounts, do you have any suggestions?
    How will i know if i have to pay for licensing/royalty fees?

    Also, what is anti dumping duty, i have never heard of this,

    Thank you so much for your time

    Leslie
     
    Posted: Jul 26, 2010 By: leslie81 Member since: Jun 29, 2010
    #6
  7. china

    china UKBF Newcomer Free Member

    28 4
    It is a duty imposed on a product which was considered to have cheaply exported.

     
    Posted: Jul 26, 2010 By: china Member since: Jul 20, 2010
    #7
  8. Paul Kelly ICHYB

    Paul Kelly ICHYB UKBF Legend { Moderator }

    5,946 858
    Clearance & handling - have you assigned an import agent/logistics company? All of these companies will charge similar pricing, but make sure you speak to 2 or three to get a range of quotes.

    How will I know if i have to pay for licensing/royalty fees? - this depends on the products/many/most do not, but some electronics items like MP3 players, DVD (i.e. technology) can. The first port of call is the supplier, if you do not know the category, in detail.

    What is anti dumping duty - this is an EU measure to protect European manufacturing and trade - look here.
     
    Posted: Jul 26, 2010 By: Paul Kelly ICHYB Member since: Jan 21, 2008
    #8
  9. leslie81

    leslie81 UKBF Newcomer Free Member

    18 0
    Hi Consultant,

    Do i need to have an import agent/logistic company??

    Thank you
     
    Posted: Jul 27, 2010 By: leslie81 Member since: Jun 29, 2010
    #9
  10. Paul Kelly ICHYB

    Paul Kelly ICHYB UKBF Legend { Moderator }

    5,946 858
    Ideally, yes.

    Whilst it can be possible to clear the goods without their help, in the early days, I would advise against it.
     
    Posted: Jul 27, 2010 By: Paul Kelly ICHYB Member since: Jan 21, 2008
    #10
  11. Wavecrest Ltd

    Wavecrest Ltd UKBF Enthusiast Free Member

    739 137
    Leslie - I've sent you a PM.

    Glen
     
    Posted: Jul 27, 2010 By: Wavecrest Ltd Member since: Oct 31, 2007
    #11
  12. frontierforwarding

    frontierforwarding UKBF Newcomer Free Member

    2 0
    Leslie,

    One place that will be able to offer you some important information is HM Revenue & Customs' Tariff Classification department. There office is based in Essex and you can call them on 01702 366077. They will give you a tariff heading/commodity code and a % figure for any import duty due on the goods.

    Once you have this, please pm me for more details.

    Good luck.

    James
     
    Posted: Jul 30, 2010 By: frontierforwarding Member since: Jul 27, 2010
    #12
  13. leslie81

    leslie81 UKBF Newcomer Free Member

    18 0
    great advice thanks, i will give them a call
     
    Posted: Jul 31, 2010 By: leslie81 Member since: Jun 29, 2010
    #13
  14. vinaayreddy

    vinaayreddy UKBF Newcomer Free Member

    12 0
    Hi do i need to hv an importers and exporters license to do the business
     
    Posted: Aug 4, 2010 By: vinaayreddy Member since: Aug 4, 2010
    #14
  15. Tony Tsui

    Tony Tsui UKBF Newcomer Free Member

    8 0
    I think you have better find the shipping agent in UK,then it's more easy to know about them
     
    Posted: Aug 15, 2010 By: Tony Tsui Member since: Aug 11, 2010
    #15
  16. JoeHe

    JoeHe UKBF Newcomer Free Member

    33 1
    The charge will be collected at UK port is THC,DOC,CAF,Processing/Service fee-You can get the detail information from UK shipment agent who can help you clear custom. Then you need to pay VAT etc, you can get the information from your custom. If the port is far away from your door, you need to plus the charge by cargo or other methods to your door or the place you wanted.

    For different products, other charge may be collect, details you can contact with custom first.

    Joe from China
    ==============
    Sarine Perfections Bags Co., Ltd
    [email protected] [email protected]
     
    Posted: Aug 18, 2010 By: JoeHe Member since: Jul 24, 2010
    #16
  17. jaskari

    jaskari UKBF Newcomer Free Member

    2 0
    I would like to import 2,000 to possibly 5,000 t-shirts per month from China to Los Angeles. What is the list expensive way to import those t-shirts and what is the cost of shipping and handeling? Also what other cost should I take into consideration for my final selling price of the t-shirt?
     
    Posted: Aug 18, 2010 By: jaskari Member since: Aug 18, 2010
    #17
  18. amerie2007

    amerie2007 UKBF Newcomer Free Member

    5 0
    there is no way to find the exact information on the cost from beginning to the end.
    You should calculate it by your self.
    Before your import from China, you should do some preparations:
    1.do a research and find out the retail price on your market and pricing your product.
    2. According your price on certain product, you should calculate the purchasing price which will left profit margin.
    3.find a supplier and let them give an quotation. See if it is acceptable, if is not ,tell
    them your target price, usuallly the supplier will try to meet with your price by recommend alternative product.( remember a penny worth its value)
    4.do not only focus on price, but also look at quality and service and credit of the supplier
     
    Posted: Sep 6, 2010 By: amerie2007 Member since: Sep 6, 2010
    #18
  19. Paul Kelly ICHYB

    Paul Kelly ICHYB UKBF Legend { Moderator }

    5,946 858
    you shouls at least ask you supplier.

    You can also investigate via standard means e.g. google.
     
    Posted: Sep 6, 2010 By: Paul Kelly ICHYB Member since: Jan 21, 2008
    #19
  20. Timpane

    Timpane UKBF Newcomer Free Member

    20 1
    The Other things to bare in brain are licensing/royalty, anti discarding obligation (if you get this, overlook the financial opening of your product) and exchange rates.
     
    Posted: Sep 6, 2010 By: Timpane Member since: Aug 10, 2010
    #20
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