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Subject:
Reducing import shipping costs to the USA
Category: Business and Money Asked by: denny1965-ga List Price: $2.00 |
Posted:
24 Jul 2005 21:15 PDT
Expires: 23 Aug 2005 21:15 PDT Question ID: 547468 |
I would like to know some inexpensive ways to ship merchandise for my new business globaly. I was given a quote of $8-$10 per kg using UPS,DHL and EMS. For example, I was going to buy 100 shirts from India and have them shipped to me in the USA. The cost of the shirts which has a total weight of about 66lbs or 30 kgs is $500. But, I am going to have to pay $250 -$300 on top of that to have them shipped by a carrier with a delivery time of about 7 days. They are coming in 4 boxes with dimensions of 14x14x14 inches. Is there a shipping service that may be cheaper but would have a longer delivery time? Could I possibly get lower rates since I will be shipping items on a regular basis globaly? Could I join forces with another company and share the cost with other business? Are their any suggestions to lower my worldwide import shipping costs to the USA? |
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There is no answer at this time. |
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Subject:
Re: Reducing import shipping costs to the USA
From: borisshah-ga on 25 Jul 2005 04:46 PDT |
Hi There. For a question as large and multi-faceted, you definitely need to offer more money. |
Subject:
Re: Reducing import shipping costs to the USA
From: scovel-ga on 25 Jul 2005 12:05 PDT |
Have you tried http://www.uboxworldwide.com/ Not knowing where from or where to you are shipping- a quick estimate on FedEx from my house in NC to Delhi Sadar Bazar using the dimensions you gave came back with a quote of $422.05 for FedEx International Economy which has a time definite delivery in 4 to 5 business days. |
Subject:
Re: Reducing import shipping costs to the USA
From: lawclerknyc-ga on 12 Aug 2005 17:32 PDT |
Hello, I will offer some BASIC guidance. To import from India into the USA, in addition to the cost of frieght, you will have to pay duty (tax) to US Customs for each shirt, and hire a customs broker to clear the shipment through the US Customs process. It is important to distinguish the cost of the frieght from the cost of the duty. It appears the rates you were given include the customs duty. Your shipper should quote you the duty rate and frieght seperately. By going to the US Customs website and doing a search you can find the duty rate for your particular item you are importing. You need to know the exact content of the shirts to arrive at the duty amount. I would guess the rate is between 9% of your first cost (charged by manufacturer) to 29% of first cost. As you found out by going to Fedex, UPS, etc the frieght rate is high, duties notwithstanding, because you ar enot a volume shipper yet. If you contact a customs broker (google: customs brokers, your city) they will be affiliated with a commerical air frieght carrier and/or commercial frieght airliner and probably offer you a rate to start of US$3.00 - US$6.00 per kilo. If you truly will be importing higher quantities more often the rate will probably be reduced to under $3.00 a kilo. The weight measurements is usually a volume weight as opposed to actual weight, so make sure your supplier packs the merchandise as efficently as possible. If they loosely pack or hang 100 shirts the cost will be more than if they fold flat each shirt and leave no space in the box. As far as shipping to your customers, UPS is the most reliable service. Open your own account. Include the cost of UPS in the selling price, or add it to the invoice totals. In time UPS will grant a discount to you. ~~~~~~~~ Here is some extra guidance that I sense you might benefit from: When you markup your product and decide on your selling price. Make sure you include cost of frieght and duty, and additional handling materials such as cartons, tape, etc. You should always know this total cost of goods before you produce or buy in quantity, because then you can know upfront your price needed to break even. Only then can you determine if the deal is a profitable one. Eg: If you need to sell the items at $40.00, you should know your total cost including frieght and duty before you place an order because you might find out later the particular garment and fabric content has a high duty which might bring your cost to close to or above your selling price ! Or maybe you realize you need to see the item at $60.00 and there is no marlet or too much competition to sell at $60.00. Best of luck ! |
Subject:
Re: Reducing import shipping costs to the USA
From: seller28300-ga on 23 Aug 2005 09:53 PDT |
Below are some information I came accross in the web site. http://www.customs.ustreas.gov/linkhandler/cgov/toolbox/publications/trade/iius.ctt/iius.doc The best way is to break down into smaller portion. MAIL ENTRIES Importers have found that in some cases it is to their advantage to use the national postal service ? that is, a country's mail system, rather than courier services ? 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 $2,000 or less are collected by the letter carrier who delivers the parcel to the addressee (see note below). ? Savings on shipping charges. Smaller, low valued packages can often be sent less expensively through the mails. ? No formal entry required on duty free merchandise not exceeding $2,000 in value. ? No need to clear shipments personally if under $2,000 in value. Joint Customs and postal regulations provide that all parcel post packages must have a Customs declaration securely attached to the outer wrapping giving an accurate description of the contents and their value. This declaration can be obtained at post offices worldwide. Commercial shipments must also be accompanied by a commercial invoice enclosed in the parcel bearing the declaration. Each mail parcel containing an invoice or statement of value should be marked on the outer wrapper, on the address side, ?Invoice enclosed.? If the invoice or statement cannot be conveniently enclosed within the sealed parcel, it may be securely attached to the parcel. Failure to comply with any of these requirements will delay clearance of the shipment through Customs. Packages other than parcel post ? for example, letter class mail, commercial papers, printed matter, or samples of merchandise ? must bear on the address side a label, Form C1, provided by the Universal Post Union, or the endorsement ?May be opened for customs purposes before delivery,? or similar words definitely waiving the privacy of the seal and indicating that Customs officers may open the parcel without recourse to the addressee. Parcels not labeled or endorsed in this manner and found to contain prohibited merchandise, or containing merchandise that is subject to duty or tax, are subject to forfeiture. A Customs officer prepares the Customs entry (a form) for mail importations not exceeding $2,000 in value, and the letter carrier at the destination delivers the parcel to the addressee upon payment of duty. If the value of a mail importation exceeds $2,000, the addressee is notified to prepare and file a formal Customs entry (also called a consumption entry) for it at the Customs port nearest him. A commercial invoice is required with the entry. A Customs processing fee of $5.00 will be assessed on each item of dutiable mail for which a Customs officer prepares documentation. The postal carrier will collect this nominal fee on all dutiable or taxable mail along with the duty owed. There is also a postal fee (in addition to prepaid postage) authorized by international postal conventions and agreements as partial reimbursement to the Postal Service for its extra work in clearing packages through Customs and delivering them. NOTE: The following general exceptions apply to the $2,000 limit: Articles classified in Subchapters III and IV, Chapter 99, HTSUS Billfolds and other flat goods Feathers and feather products Flowers and foliage, artificial or preserved Footwear Fur, articles of Gloves Handbags Headwear and hat braids Leather, articles of Luggage Millinery ornaments Pillows and cushions Plastics, miscellaneous articles of Rawhides and skins Rubber, miscellaneous articles of Textile fibers and products Toys, games, and sports equipment Trimmings The limit for these articles is $250, except for textiles (fibers and products). Virtually all commercial shipments of textiles require formal entry, regardless of value. Unaccompanied shipments of made to measure suits from Hong Kong, a category that includes single suits for personal consumption, also require a formal entry regardless of the suit?s value. |
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