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Everything you need to know about successfully shipping your products internationally
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Everything you need to know about successfully shipping your products internationally

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  • 1. Everything you need to know abouthow to successfully ship yourproducts internationallyGo Global workshopOctober 2012 Page 1
  • 2. Page 2
  • 3. What we will cover 1. Select your Carrier 2. Terms of Trade 3. Think Customs 4. Descriptions 5. Duties & Taxes Page 3
  • 4. 1. Select the right carrier Main Criteria Think about  Cost  Brand image  Coverage  Speed  Ease of Use  Trust/Relationship  Flexibility  Size Page 4
  • 5. 2. Terms of trade EXW Ex Works Buyer bears all costs & risks to destination Incoterms 2010 FCA Free Carrier At  Establishes responsibility Seller hands goods cleared for export to  Covers sales, transport & risk carrier CPT Carriage Paid To  Internationally recognised Seller pays freight to destination, buyer bears  11 different terms risk during carriage. Duties paid by buyer  Agree them upfront DAP Delivered At Place  Quote on your customs documents Seller pays freight & bears risk to named place. Duties & clearance by importer DDP Delivered Duty Paid Seller pays freight, bears risk , customs duties & costs to named place. Page 5
  • 6. 3. Think customs Customs Collecting Duties & Taxes Counter Terrorism Enabling trade agreements Enabling duty relief schemes  Enforcing embargos  Protecting against illegal substances & counterfeiting  Collecting statistics Page 6
  • 7. 4. Product descriptions Unacceptable descriptions Descriptions really count Dolls, remote controlled Gifts cars, Board Game  One of the main causes for delays Cardboard packaging or  Causes incorrect duties & taxes Samples Cotton fabric sample  Avoid generic descriptions Mobile phone, LCD, CD  Give a full description Electronics player, circuit boards  HS Codes Machine Pump, Rubber Seals,  What is the product Parts Engines  What does it do  What is it made of Mens wool trousers, ladies  How many there are Textiles cotton dress Page 7
  • 8. 4.1 Product descriptions - Harmonised System Codes A “universal” means of classifying goods that are being imported or HS Codes exported. First six digits are fixed The code for International Trade Eliminates errors classification for export. The remaining digits are for import. Enables the correct import tariffs They are also known by a variety of to be applied terms such as CMCDs, HS codes, Used for Export entries Tariff numbers, Taric, or HTS Used for Import entries Codes HS codes used in HMRC statistics Find the HS code that fits your product – use GOV.UK, Market Identify other controls Access Database or DHL Trade Automation Services Page 8
  • 9. 5. Destination Duties & Taxes • Take advice from your carrier • Landed Costs = Value + Transport +Duties + Taxes+ Fees Destination Duty & Taxes  Landed Costs Avoid the risks when selling DDP Provides opportunity for inclusive prices Needs to be considered if Terms of Trade DDP  HS codes are essential Market Access Database Page 9
  • 10. Help for new exporters & importers- printed Page 10
  • 11. Help for new exporters & importers - online Page 11
  • 12. Trade Automation Services Landed Cost Restricted Party Screening Product Compliance Trade Documentation Comparative Services HS codes essential Page 12
  • 13. Thank you.Please get in touch if you needany further information.events@dhlmarketing.co.uk Page 13