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Q: First Time FOB from China How do I find a shipper and some basic Importing Info ( Answered 5 out of 5 stars,   1 Comment )
Question  
Subject: First Time FOB from China How do I find a shipper and some basic Importing Info
Category: Business and Money
Asked by: gtomab-ga
List Price: $20.00
Posted: 09 Feb 2005 21:46 PST
Expires: 11 Mar 2005 21:46 PST
Question ID: 472136
Hi, I would like to start of by thanking google.com and the answers
team for what I consider one of the best services on the web. With
that said here is my question.

I am looking to import hats from china. My supplier uses FOB shipping
by sea. My amount shipment will be under 1sq meter. I understand that
it is best for me to use a customs agent to do the paperwork for
customs classification and clearance. This is my first time importing
by FOB Sea.
Will my supplier be able to supply the shipper?
If they can not, how can I find a shipper?
How and when do I pay the shipping company?

To summarize, I basically need to know how to get my product from my
supplier, using FOB shipping to my port city (Miami). After that it is
my understanding the customs agent or I can just go get it from the
port.

Thanks and best regards

Mike
Answer  
Subject: Re: First Time FOB from China How do I find a shipper and some basic Importing I
Answered By: hummer-ga on 10 Feb 2005 11:52 PST
Rated:5 out of 5 stars
 
Hi  Mike,

I'll answer your specific points first, but there may be a better way
of shipping the hats, depending on their value.

>>> Will my supplier be able to supply the shipper?

Normally, no, it will be up to you to find a shipper.

>>> If they can not, how can I find a shipper?

"... if you are importing your goods in small quantities, try to
contact a forwarding company who may have agents in the country where
you are importing. Many forwarders also act as consolidators, i.e.,
they gather small shipments from different shippers and consolidate
them into one 20 feet or 40 feet containers. Then they ship the
containers by SEA freight. Costs are far cheaper than using AIR
freight. Although the shipping time may take longer because there
might not be enough cargo to consolidate and shipped to your
destination..."
http://www.powerhomebiz.com/guide/cases/azharnach.htm

Freightnet:
"Welcome to Freightnet the ultimate freight resource for forwarders,
shipping lines, sea port authorities, airlines, airport authorities,
household removers, warehousing, packers and fulfilment, freight
software, track & trace, cargo and marine insurance, recruitment and
freight associations.
Exporters and importers regularly use our freight enquiry email
facility to source freight rates as well as forwarders and others
using the listings to find new contacts for co-operation and
representation."
http://www.freightnet.com/

Following is just a partial list (9 of 55 pages) of freight forwarders
located in Miami.

FLORIDA - MIAMI
http://www.freightnet.com/country/c153-U.S.A.

American Fast Cargo
7339 N.w. 54 Th Street, Miami, Florida, 33166, .
Tel: 305-888-1088 Fax: 305-889-3377

Afc Worldwide Express
7339 N.w. 54 Street, Miami, Florida, 33166, .
Tel: 305-888-1088 Fax: 305-889-3377

Ifs, Inc.
Po Box 526548, 6521 Nw 87th Avenue,, Miami, Miami-dade, 33152, .
Tel: 305-477-6797 Fax: 305-477-6496

Express Freight International, Inc.
8519 N.w. 72nd Street, Miami, Fl 33166,, Miami, Miami Dade, 33166, .
Tel: 305-597-9595 Fax: 305-597-9678

Advantage Cargo Service
8784 Nw 18th Terrace, Miami, Fl, 33172, .
Tel: 305-477-5990 Fax: 305-477-5346

Natasha Intl.Freight,inc.
12912 Sw 133rd Ct Ste A, Miami, Florida, 33186, .
Tel: 3059710033 Fax: 3059716053

System Line Cargo
6955 Nw 52 Street, Suite 201,, Miami, Fl, 33196, .
Tel: 305 599 2500 Fax: 305 599 3500

Tower Global Logistics, Inc.
7220 N.w. 36 Street Suite 646, Miami, Florida 33166,, Miami, Miami Dade, 33166, .
Tel: 305-500-9828 Fax: 305-500-9837

Expressair Cargo
11091 Nw 27th Street, Miami, Florida, Usa, 33172, .
Tel: (305)592-1650 (800)722-7469 Fax: (305)471-0606

Pro Cargo
Miami, .
Tel: 888 778 8125 Fax: 281 449 0839

Minoica Global Logistics
13416 Sw 131st. Street - Miami, Florida, Usa, 33186, .
Tel: 305-234-8005 Fax: 305-234-0038

Rolim Freight Forward
7957 Nw 64 Street, Miami, Dade, 33166, .
Tel: 305 477-4265 Fax: 305 594-5757

Ccb Logistics
8100 Nw 29th Street, Miami, 33122, .
Tel: 305 592 5300 Fax: 305 592 6472

Nobel Cargo Systems
3571 Nw 82nd Ave, Miami, Fl, 33122, .
Tel: 3054719874 Fax: 3054719792

Oceanair Logistics
10925 Nw 27th Street, Miami, Florida, 33172, .
Tel: (305)599-0966 Fax: (305)599-0766

Global Consolidators
9370 S.w 31 Terrace, Miami, U.s.a., 33165, .
Tel: 305 222 2290 Fax: 305 222 1830

M.C. Int'l Freight Forwarders
8601 Nw. 81 Road, Miami, Usa, 33166, .
Tel: 305-805.8228 Fax: 305-805.8227

>>> How and when do I pay the shipping company?

Normally, you will pay your shipping bill when the goods arrive at the
Port in Miami but before the shipper hands any documents over to you.

"FOB Port of Loading means that the shipper will deliver the goods to
the ship or to the carrier. You will pay for the freight + Insurance
of the goods until it arrives to the Port of Destination. This is
usually charged to you by the carrier before you can claim the
documents of your shipment. FOB is short for Free On Board."
http://www.powerhomebiz.com/guide/cases/azharnach.htm

FOB Shipping Terms:
http://www.chassis-plans.com/PDF/fobterms.pdf

>>> Additional information

The first thing to consider is the value of the hats. If you can send
smaller lots valued at $2000 or less each, rather than larger lots
worth over $2000, it may be to your advantage to use the USPS.

"Importers have found that in some cases it is to their advantage to
use the mails to import merchandise into the United States. Some
benefits to be gained are:
* Ease in clearing shipments through Customs. The duties on parcels
valued at $2000 or less are collected by the letter carrier delivering
the parcels to the addressee.
* Savings on shipping charges. Smaller, low-valued packages can often
be sent less expensively through the mails.
* No entry required on duty-free merchandise not exceeding $2000 in value.
* No need to clear shipments personally if under $2000.
Joint Customs and postal regulations provide that all parcel post
packages must have a Customs declaration securely attached giving an
accurate description and the value of the contents. This declaration
is obtained at post offices. Commercial shipments must also be
accompanied by a commercial invoice enclosed in the parcel bearing the
declaration.
Each mail article containing an invoice or statement cannot
conveniently be enclosed within the sealed article, it may be securely
attached to the article. Failure to comply with any of these
requirements will delay clearance of the shipment through Customs."
http://www.itds.treas.gov/entry_process.html

If using the mail system isn't possible, here is what you will need to do. 

Someone needs to be at the port of entry to receive the goods. It can
be you or you will need to designate someone (usually a Customs
Broker) to pass the shipment through customs. A broker will be
familiar with the proper protocol, but basically he will need:

Entry Manifest, Customs Form 7533 [broker will supply]
Commercial invoice [from China]
    http://internet.ggu.edu/~emilian/ops113/ch6.html
Packing lists [from China]
The following items are not covered by the labeling requirements: Hats
(unless made of wool);
    http://www.ftc.gov/bcp/conline/pubs/buspubs/thread.htm#not%20covered
    * Country of Origin
        http://internet.ggu.edu/~emilian/ops113/ch25.html
    * Manufacturer or Dealer Identity

>>>>>>>>>> U.S. CUSTOMS

US Customs Guide to Importing:
"When a shipment reaches the United States, the importer of record
(i.e.. the owner, purchaser, or licensed customs broker designated by
the owner, purchaser, or consignee) will file entry documents for the
goods with the district or port director at the port of entry.
Imported goods are not legally entered until after the shipment has
arrived within the port of entry, delivery of the merchandise has been
authorized by Customs and estimated duties have been paid. It is the
responsibility of the importer of record to arrange for examination
and release of the goods."
"If the goods are to be released from Customs custody on entry
documents, an entry summary for consumption must be filed and
estimated duties deposited at the port of entry within 10 working days
of the time the goods are entered and released."
"Goods may be entered for consumption, entered for warehouse at the
port of arrival, or they may be transported in-bond to another port of
entry and entered there under the same conditions as at the port of
arrival. Arrangements for transporting the merchandise to an interior
port in-bond may be made by the consignee, by a customs broker, or by
any other person having a sufficient interest in the goods for that
purpose. Unless your merchandise arrives directly at the port where
you wish to enter it, you may be charged additional fees by the
carriers for transportation to that port if other arrangements have
not been made. Under some circumstances, your goods may be released
through your local Customs port even though they arrive at another
port from a foreign country. Arrangements must be made prior to
arrival at the Customs port where you intend to file your duties and
documentation."
"Within five working days of the date of arrival of a shipment at a
U.S. port of entry, entry documents must be filed at a location
specified by the district/area director, unless an extension is
granted. These documents consist of:
* Entry Manifest, Customs Form 7533;...
* Evidence of right to make entry.
* Commercial invoice ...
* Packing lists if appropriate.
* Other documents necessary to determine merchandise admissibility. 
http://internet.ggu.edu/~emilian/ops113/ch2.html

Right to Make Entry:
Customs brokers will prepare and file the necessary Customs entries,
arrange for the payment of the duties found due, take steps to effect
the release of the goods in Customs custody, and otherwise represent
their principals in customs matters. The fees charged for these
services may vary according to the Customs broker and the extent of
services performed."
http://internet.ggu.edu/~emilian/ops113/ch3.html

Entry Documents
Within five working days of the date of arrival of a shipment at a
U.S. port of entry, entry documents must be filed at a location
specified by the district/area director, unless an extension is
granted. These documents consist of:
* Entry Manifest, Customs Form 7533; or Application and Special Permit
for Immediate Delivery, Customs Form 3461, or other form of
merchandise release required by the district director.
* Evidence of right to make entry.
* Commercial invoice or a pro forma invoice when the commercial
invoice cannot be produced.
* Packing lists if appropriate.
* Other documents necessary to determine merchandise admissibility. 

Examination of Good and Entry Documents:
"Examination of goods and documents is necessary to determine, among other things: 
The value of the goods for Customs purposes and their dutiable status. 
Whether the goods must be marked with the country of their origin or
require special marking or labeling. If so, whether they are:
* marked in the manner required.
* Whether the shipment contains prohibited articles.
* Whether the goods are correctly invoiced. 
* Whether the goods are in excess of the invoiced quantities or a shortage exists.
* Whether the shipment contains illegal narcotics.  
http://internet.ggu.edu/~emilian/ops113/ch4.html

Well, that should keep you busy for awhile! If you have any questions,
please post a clarification request *before* closing/rating my answer
and I'll be happy to reply. I'm sorry for the delay in posting an
answer but GA released your question only today.

Thank you,
hummer

I was able to use my extensive research on the subject.

Request for Answer Clarification by gtomab-ga on 11 Feb 2005 06:54 PST
Thank you for your very detailed information.  one more question I
have is ; since I'm importing items under $2,000.00.  I would like to
take your recommendation and use the post office As my shipper.  Will
I still need a frieght forwarder to do so? I'm guessing my manufacture
will drop the product off at the frieght forwarder, from their the
forwarder will ship it via the post office.  Is this correct?

Thanks again for your Extensive knowledge on this topic.

Clarification of Answer by hummer-ga on 11 Feb 2005 08:09 PST
Hi Mike,

Oh good, I'm glad to hear the value of a parcel will be under $2000,
that will make everything so much simpler and less costly for you.

No, you won't use a freight forwarder. Your supplier will just mail
the parcels at their post office. As long as they comply with postal
regulations, everything should be fine. You could have them send a
smaller test parcel, just to see how it goes and to make sure they do
everything right at their end.

China:
Parcels** Surface:  Around Y55 [less than US$6] per kg [2.2 pounds]
    ** Parcel rates vary depending on the country of destination and
the post office you send it from.
    - Post offices are very picky about how you pack things,
therefore, don't finalise the packing until the last customs
clearance.
    - Put the receipt of the goods (if any) in the box when you're
mailing it, as it may be opened again by customs further down  the
line.
    - The registration fee for international mail is Y1 and
acknowledgement of receipt is Y0.80 per article.
http://www.tiglion.net/china/gen_info/post.htm

"During the past two decades, a modernized postal network has been
developed in China, providing quality domestic and international
coverage."
"The international postal service is also efficient."
 "Post offices are very particular about how you pack a parcel. So
pack the items you want to post in the post office, as you will have
to get customs clearance for your parcel."
http://www.travelchinaguide.com/essential/post_telecom.htm

Please let me know if you have any other questions.
hummer
gtomab-ga rated this answer:5 out of 5 stars
Agian, google answers is one of the best resources on the web. This
google agent is top notch.

Comments  
Subject: Re: First Time FOB from China How do I find a shipper and some basic Importing I
From: hummer-ga on 13 Feb 2005 15:28 PST
 
Thank you, Mike, I'm happy you are happy and good luck with your hats!
Sincerely, hummer

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