Importing from China : Help needed.

masonuk

Free Member
Feb 4, 2009
116
8
Hello,

I am currently in negotiation with a fishing tackle supplier in China and I would like to import from there to the UK. However, I have no idea how it works!

I have a number of questions and if anyone could answer any of them I would be very happy :).

Firstly, is it wise to organise an initial delivery of samples prior to making a large order?

In ordering from China, what are the costs involved? Apparently, they deal with everything at their port and it is my responsibility thereon? Is there an import duty or handling fee to pay? Are there any other 'hidden' costs?

The supplier delivers to Southampton port. Do I need to contact an import agent to organise getting the product through customs? Ideally, I would like to collect the goods in person and avoid further delivery charges.

Do I need a license to import from China?



As you can probably tell, this is all completely new to me. All advice welcome :)

Thank you
 

khalid1

Free Member
Apr 16, 2007
261
26
39
Edinburgh
Firstly, is it wise to organise an initial delivery of samples prior to making a large order?

Yes, order a sample, you'll probably need to pay for it though. That way you can ensure they are legitimate and the quality they offer.

In ordering from China, what are the costs involved? Apparently, they deal with everything at their port and it is my responsibility thereon? Is there an import duty or handling fee to pay? Are there any other 'hidden' costs?


You'll need to pay for the international transfer, about £14 per transaction. The supplier will charge you for the goods and delivery. After that you'll probably get a bill for import tax from the delivery agent.

The supplier delivers to Southampton port. Do I need to contact an import agent to organise getting the product through customs? Ideally, I would like to collect the goods in person and avoid further delivery charges.

The supplier should be able to deliver to your door using DHL or some other provider.

Do I need a license to import from China?


No, just need to pay import tax.

I hope this helps
 
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Just be warned though, it is not unusual for the Chinese to supply quality samples which bear little relation to the final order products, if you are looking to do a decent sized order it could be advisable to use an agent based in China who will check the quality of the goods and packing etc before shipment, and more importantly before final payment is made.

Good samples with a low price are often used to attract larger orders.
 
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Silky

Free Member
Oct 29, 2007
1,170
210
Stockport
How large a quantity are you ordering? If it's a sizeable order - and likely to be a regular event - I really would investigate some kind of QC inspection from an independent body (SGS for example), otherwise you may not know of a problem until the whole consignment has arrived....

Just a note on CIF delivery (i.e to Southampton port). Freight prices are falling at the moment but unfortunately there are more cost being added at port for unloading / onward shipment of LCL deliveries (these are deliveries that do not fill a full container). These charges can be difficult to anticipate, my recent employer ended up with an additional fee of £1,400 for a relatively small consignment. As the manufacturer is covering costs to port, the loading etc would fall on you. I'd either consider FOB delivery where you can organise the whole freight through a forwarder, giving you ultimate control, or DDP, where the consignment is delivered all the way through to your warehouse. This final option (Delivery Duty Paid) would be the easiest for you.

Silky
 
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Silky

Free Member
Oct 29, 2007
1,170
210
Stockport
p.s. It's always worth getting references from a new supplier. The best Chinese factories will be able to give you names/ email addresses of Western contacts for this purpose.

Are you buying direct from a factory or via a Trading Company? How did you find your supplier?

Silky
 
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Mister B

Free Member
Aug 31, 2007
2,658
639
Hello,

I am currently in negotiation with a fishing tackle supplier in China and I would like to import from there to the UK. However, I have no idea how it works!

I have a number of questions and if anyone could answer any of them I would be very happy :).

Firstly, is it wise to organise an initial delivery of samples prior to making a large order?

In ordering from China, what are the costs involved? Apparently, they deal with everything at their port and it is my responsibility thereon? Is there an import duty or handling fee to pay? Are there any other 'hidden' costs?

The supplier delivers to Southampton port. Do I need to contact an import agent to organise getting the product through customs? Ideally, I would like to collect the goods in person and avoid further delivery charges.

Do I need a license to import from China?



As you can probably tell, this is all completely new to me. All advice welcome :)

Thank you

Slighly different advise from myself compared to my learned friend Khalid:)

1. Absolutely. You need to get a full set of shipping samples which need to be spot on before you pay them. Dependent on the size of the order, I would consider using a QC house to inspect the shipment.

2. I would have thought that you are buying on an FOB basis, This means that you take responsibility for the goods as soon as the goods are on board the vessel. You therefore have to arrange the freight and insurance to the port of destination. Get yourself a good freight forwarder who will do this for you.

3. In addition to the freight and insurance, you will also need to pay VAT, import duty, port & clearance fees and delivery to your office address. (Cancel the last bit if you're collecting yourself:)) Again, your freight forwarder will sort this out for you. You can get the rates of duty from here, assuming that you know the tarriff number.

4. Import license? Depends on the goods. I need a license for some of my gear but not for others. You need to give the DTI importation banch a call to clarify. Their number is 01642 364333/334

Finally, have a read of the Business Link website and see what they have to say on the matter.

Finally, unless it's a really small shipment which is dead urgent, don't use DHL or any other courier as you'll pay an absolute fortune:eek:

Let us know how you get on.

Mister B
 
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F

FluxServices

Hi masonuk,

For the set price I need the information below.

Dimentions in Cms
Weight in Kg
Number if pieces

If you can get me that then I will be able to get you a price, Also you need that information because any import and export even agents will ask you for the information.

Cheers
 
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masonuk

Free Member
Feb 4, 2009
116
8
Thank you for the large volume of answers. This is the first time I discovered this forum and it seems like a very good place to know :).


Samples
It seems clear from your replies that samples are a good idea when importing from China. It is also apparent that the quality of goods is often not as good as these samples, and one should be careful when selecting a supplier. Your advice on this aspect seems to include:
1) Use an organisation to investigate the suppliers in China.
2) Get European references from customers who have used the supplier before.

I think in this case I will rethink about my current choice of supplier and perhaps explore other avenues. Any suggestions?

Delivery
Delivery from China seems to be quite complicated. Some have said that the supplier can deliver directly to my door (although DHL was suggested to be expensive :eek:). Some have also noted FOB, in which the supplier is responsible for the goods until they reach Southampton dock. What is the best way to organise this? Obviously, I would like to take a cheaper option, but I would also like a simple option!
How would I arrange freight and insurance for the shipment?
How do I pay VAT, Import Duty and clearance/port fees?
Is a freight forwarder the best way and if so, does anyone have any recommendations?
Will suppliers mind using different delivery methods or will some only do FOB, for example?

Thank you Mister B for the information you provided. I am currently reading through the links that you gave and they are looking very useful. :)

3 Stage Approach...
It is evident that there is some sort of flow of which I should follow:
1) Select Supplier (use agent/testimonials)
2) Order Sample
3) Arrange delivery of sample and calculate other costs :(
- includes getting weight and dimensions of package

...(probably more steps thereafter)

A theoretical question...as an example

So If I am ordering samples of 100 items from the supplier at $1.00 each, which includes FOB to Southampton dock, what other charges do I need to add on to find out the actual cost? e.g. add VAT at 15% = $1.15, etc.
I don't want to miss out any important factors and make a loss! :eek:


Thank you very much for your advice. I hope that I can also help others around here soon :). I look forward to hearing more from you all.
 
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Ian PES

Free Member
Nov 19, 2008
280
35
Battle, East Sussex
I have been working with a company based in HK for a couple of years. I have imported 2000 items of clothing and will get 10,000 paintbrushes in March (about a half dozen projects at various stages). The key thing is to have people on the ground to check stuff out!. This avoids problems such as good quality samples and low quality goods (they need to be QC checked to industry standards before shipping). I charge a 10% mark-up on the suppliers cost and all logistics are handled at cost price. Thus the client just focusses on selling in the uk. Let me know if interested.
 
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epokh

Free Member
Sep 10, 2008
4
0
Hi I'm a consultant for an outsourcing company based in Beijing,

Ocean 51 Co. Ltd.

1507/08 Jianda Mansion
Dong Tu Cheng Road, 14
Chaoyang District – Beijing
100013 – P.R.China


if you need any advice I'm kind to help you.

P.S.
(Argh i cannot post website links!)
Regards.
 
Upvote 0

please help

Free Member
Feb 2, 2009
90
13
Hi I'm a consultant for an outsourcing company based in Beijing,

Ocean 51 Co. Ltd.

1507/08 Jianda Mansion
Dong Tu Cheng Road, 14
Chaoyang District – Beijing
100013 – P.R.China

if you need any advice I'm kind to help you.

P.S.
(Argh i cannot post website links!)
Regards.
warning scammer alert, we have blacklisted this guy before, he pretends to find a supplier then steals your payment!!!!!!!!
 
Upvote 0

Mister B

Free Member
Aug 31, 2007
2,658
639
Samples
It seems clear from your replies that samples are a good idea when importing from China. It is also apparent that the quality of goods is often not as good as these samples, and one should be careful when selecting a supplier. Your advice on this aspect seems to include:
1) Use an organisation to investigate the suppliers in China.
2) Get European references from customers who have used the supplier before.

I think in this case I will rethink about my current choice of supplier and perhaps explore other avenues. Any suggestions? Depends on the volume involved and your future plans. If it were me, I'd buy a cheap flight to HK when a trade show was on, trawl the halls and meet a few prospective suppliers. You can gauge a lot more by meeting face to face-also goes down well in the eyes of the supplier:)

Delivery
Delivery from China seems to be quite complicated. Some have said that the supplier can deliver directly to my door (although DHL was suggested to be expensive :eek:). Some have also noted FOB, in which the supplier is responsible for the goods until they reach Southampton dock. What is the best way to organise this? Obviously, I would like to take a cheaper option, but I would also like a simple option!
How would I arrange freight and insurance for the shipment?
How do I pay VAT, Import Duty and clearance/port fees?
Is a freight forwarder the best way and if so, does anyone have any recommendations?
Will suppliers mind using different delivery methods or will some only do FOB, for example?
Most prefer to use FOB, whereby you take ownership at the foreign port and not the UK port. Some like to use a variety of terms, CIF, DDP etc Best thing to do is to use a freight forwarder local to you who will guide you thtough the process. Be careful though as an FOB price will be less than a CIF price but you will have to pay more for the freight. The forwarder will sort it all out for you-in my experience smaller forwarders are more understanding of newbies but you will pay a little more for the priviledge. Again, IMHO, worth it if you need somebody to hold your hand

Thank you Mister B for the information you provided. I am currently reading through the links that you gave and they are looking very useful.

3 Stage Approach...
It is evident that there is some sort of flow of which I should follow:
1) Select Supplier (use agent/testimonials)
2) Order Sample
3) Arrange delivery of sample and calculate other costs :(
- includes getting weight and dimensions of package

...(probably more steps thereafter)

A theoretical question...as an example

So If I am ordering samples of 100 items from the supplier at $1.00 each, which includes FOB to Southampton dock, what other charges do I need to add on to find out the actual cost? e.g. add VAT at 15% = $1.15, etc.
I don't want to miss out any important factors and make a loss! :eek: Assuming that you are buying FOB Shanghai, you will need to pay the cost of freight to the UK, devanning & misc port charges, duty, VAT and delivery to your address.


Thank you very much for your advice. I hope that I can also help others around here soon :). I look forward to hearing more from you all.

Hope this helps:)

Mister B
 
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Please note vat calculation is based on goods value+import duty+freight cost,handling fee etc, for small amount of item eg less then 30kg you can try ems which I believe is the cheapest door to door service. For more detailed answer please visit goldenpartners.com
 
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ALLAROUNDTHEWORLD

Free Member
Jan 25, 2009
5
0
Hi everyone. I'm setting up a company in the UK, but i dont quite know how to go about it. Well, i will be doing most of my work from China, and i will be looking for products to sell to retailers in the UK, but setting up a company in China is to expensive, so i am going to set up in the UK, but it will be a virtual company that is online.
Is this something i can do my-self, or will i have to pay someone to do that. You see, i have to register my company name in the UK, because that is where i will be supplying.
I think you know what i mean, even tho i am not really explaining this very well at all.
 
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Hi, I work for a large freight forwarder. We do a lot of imports from China and have facilities all over the country. As stated in some of the other replies, there are a lot of issues to take into account when importing goods from the PRC.

If you would like to PM me with any further details you have, I can look into providing some costing ideas for you.

Regards,

Oli.
 
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C

coolstuff.ltd

Have a look on my site and get in touch with me. I have been dealing with China for over 20 years - it's easy once you know how. Cheers

Hi there I'm very intrested in your services above, we have started importing goods from china, but need to arrange alternative methods etc. Could you be so kind to pm me more details about your company please.

Kind reagards

Shaun
 
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