import and export business Archives - Excelsior Worldwide Logistics Corp.

How to Be a Successful Importer – Infographic

excelsior on February 28, 2020

Selling products that came from abroad can be a pretty rewarding business, especially if there is a growing local market that can buy your goods. Imported products tend to be available for a cheaper price, and usually in high quality. And with the rapid spread of globalization, new and commercial items from an international supplier could emerge, which gives importers instant access and offer it their own country maximizing their profits in the long run.

If you’re one of those aspiring entrepreneurs who are planning to start an importing business, then you should be aware of some tips that can help you thrive and succeed as the competition becomes tougher as the years go by.

Have a piece of in-depth knowledge about your products

While this might sound like a no-brainer, conducting research about the products that you wanted to import is critical for your success. Know more about the existing market and have an assessment to identify if there are people who will be willing to purchase your imported products. You also have to make sure that the products are allowed to enter the country.

In case you’re from the Philippines, below are some examples of items that are either prohibited or restricted for importation as mandated by the Philippine law according to the International Trade Administration:

Toy guns
Used motorcycle parts, except engine
Specific narcotics, or synthetic drugs (i.e., marijuana, opium, heroin, among others)
Gambling paraphernalia
Dynamite, ammunition, explosives
Laundry and industrial detergents containing hard surfactants

You can view the full list here.

Negotiate effectively with your supplier

Dealing with suppliers from another country can sometimes become a challenging task as the diversity of culture can hinder your chances of getting a favorable deal. Study more about the culture of the exporting country so that you can implement suitable strategies once you negotiate with your supplier. Have a thorough understanding of the terms before placing an order so that you avoid mistakes that often lead to additional expenses. Check if the calculations of all the costs that you have to pay are correct.

Analyze your insurance coverage

Make sure that you analyze the insurance aspect of your import transaction. Unexpected events might happen as your products are being transported, and this could help you identify the party responsible in case of a loss or damage.

Contact the customs authorities

There’s a good chance that you will have to comply with several permits as well as submit documents and forms before you can clear your imported products during the shipping process. This could be a very time-consuming stage for those who are relatively new in this kind of industry. Since time is a valuable resource that must never be allocated alone for shipping processes, it’s highly recommended to hire a licensed customs broker to prevent unnecessary delays on your shipment.

Maintain good relationships within your network

Every person or agency that you’re doing business with will always play an essential role in your success. From your supplier, freight forwarder, customs broker, carrier company and even the customs authority, you must treat them with utmost professionalism and respect. Maintaining social harmony in your business sphere will make your daily importing operations as smooth as possible.

Excelsior Worldwide Freight Logistics conducts free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

5 Most Common Shipping Problems

excelsior on February 15, 2020

The shipping industry in countries like the Philippines is often involved with a lot of requirements when it comes to transporting goods from one place to another. Due to the complexity of the shipping process, it’s not surprising to know that issues and other problems might arise which could disrupt the supply chain of those businesses who rely on services like freight shipping.

Fortunately, such issues can be apprehended by hiring a trusted freight forwarder and customs broker. But still, it would be an advantage for those who are investing a lot in import and export business to be aware of the most shipping problems.

Problem #1 – Missing Documents

The most important document that must always be present at hand during the shipping process is no other than that original copy of the Bill of Lading (BOL). It might sound like a no-brainer but believe it or not, many shippers tend to misplace them due to certain reasons. If you ended up losing your Bill of Lading, there’s a high chance that you will experience delays with the release of your shipment. Make sure that your Bill of Lading is always secured via a reliable channel.

Problem #2 – Unanticipated Closures and Cancelations

One troublesome shipping problem that frustrates many businesses nowadays is when unexpected events happen, leading to the port getting closed or the freight carrier canceling its trip to the destination. The reasons may include strikes by port workers or truckers, and natural disasters. In cases of natural disasters, it’s always better to face the delays instead of the carrier risking the safety of everyone on board and your shipment.

Problem #3 – Overweight Cargo

Failure to properly check the weight of the cargo often results in several problems throughout the shipping process. First, there’s going to be inaccuracies to the documents as the cargo’s weight is essential information that must be submitted. Second, the shipment might become so heavy that it will require different lifting equipment, wasting you a lot of time and (and most likely, money) in the long run.

Problem #4 – Lost Shipment

In addition to missing documents, every shipper must know that if they’re going to have their goods transported on a massive carrier, chances of it going missing are quite high. Ports are now starting to grow larger, and with a plethora of other shipments, you will have to hire a trusted third-party agent to keep an eye on your products.

Problem #5 – Holidays

National holidays can be a good time for being merry and taking some rest from work, but it could mean delays on your part as the shipper. To prevent such problem, do some research on the upcoming port or terminal closures at both origin and destination. Anticipate the holidays by scheduling your shipment before the specific dates, unless you have to suffer a stressful shipping process filled with tons of other cargoes and port congestion.

Tips Before Starting an Import/Export Business

excelsior on November 15, 2019

Setting up a business is not a simple task, let alone offering products that can reach more people on an international scale. If you’re an aspiring entrepreneur looking to plunge into the tough competition of foreign commerce, you must be equipped with adequate skills and knowledge in order to survive.

Running an import-export business is now much more convenient than before with the advent of modern technology. The use of the internet to communicate with customers has become commonplace and the learning curve in managing different operations mostly requires competent organizational skills.

While you don’t have to be an expert in this kind of industry, it is still a necessity to be aware of certain things that can optimize your chance of growth as well as minimize the effects of potential risks. The possibility of failure is always present in any form of business, so you should always pay attention to every detail.

Here are some of the best tips that can help you when starting out an import or export business:

Consider Your Products

Since you will be taking on an import-export trade, the products that you’re going to sell can become the X factor for fate of your company for the following years. Think carefully when deciding which product should you sell and be sure to stick with it. Once you figured out the best products for you, use your judging skills to know whether these products are worth your investment or not.

Always keep these two important questions in mind:

Do people want those products?
Do you know how to sell it properly?

If you are confident that your products can become something that is sought-after by many people across cultures and you know at least the fundamentals of selling it properly, then you now have a set of products to sell.

Find Your Target Market

So you already have some products to sell, and the next problem you need to solve is how you can find the people that are more than willing to buy them. Those people are your customers, your target market. Identifying them from a specific country can be a herculean task, so you’ll be needing extra time and probably a hand to do this the right way.

Prepare in-depth research regarding the latest market trends of the particular location where you desire to offer your products. There are several agencies that can do this for you in case you have a pretty hectic schedule.

Set up a Website and Develop an Online Presence

Creating a website provides your company and your products the needed exposure for online users around the world. Take advantage of multiple online platforms to market your products especially your target market. Be responsive to customer feedback and complaints and establish an online community that can enhance their loyalty and ultimately accumulate sales for your company.

Amp up Your Logistics Connection

One of the most challenging things that your import-transport business will have to overcome is making a solid system or plan on transporting your products. With a bunch of legal processes that concern your line of profession, you must be ready to outsource services in logistics. Take for example freight forwarders. Hiring a freight forwarding agency can significantly lessen your load of tasks in complying with customs requirements and other legal processes. They can even help you find the best carrier so that you can cut down your expenses in shipping.

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5 Important Tips for New Importers

excelsior on May 16, 2019

Importing basically refers to the act of buying goods and services from abroad in order for it to be sold for the customers of the home country. Many business owners nowadays prefer to sell imported products due to its ability to increase profit margins. Moreover, an importer can provide higher quality goods that can potentially surpass those produced by local competitors. If done in moderation, importing can help bolster the national economy as well as widen up the global market.

Despite the benefits of this practice, importing can be a pretty risky option especially for those who are still establishing their foothold in the world of commerce. Purchasing goods from a foreign land requires a specific set of knowledge and skills and a deeper understanding of complex processes of importation.

If you’re starting to think that importing is the next big step for your business, here are some of the most important tips you should be aware of before making any move:

Make sure you are legible to do the importing

Speaking about legibility, it means that you have to be legally allowed to bring those imported goods to your home country. Before you can spend any time, money, and effort into something such as importing, you’ll need thorough research about the laws especially the restrictions of items that you are going to import. Some chemicals and medicines, in particular, are examples of products that could have certain restrictions. Check the legality of the products that you wanted to import first.

Assess all the possible expenses

Planning your budget ahead of time is very important if you wanted to be a successful importer. Be mindful of all the possible expenses before you can place an order to a company abroad. These charges can range from the transport and insurance costs, as well as other legal documents that you need to go through. A good way to limit or minimize these expenses is by hiring freight forwarders and customs brokers since they have the expertise to guide you through the process and find all the best deals for shipping available.

Pay attention to sudden exchange rate fluctuations

One notable example of risks that every importer should know is sudden fluctuations in the exchange rate. Remember that you are buying goods from another country with prices that are not the same as your local currency. So be mindful of the current exchange rate as it greatly affects the final amount that you will need to pay. The rate could either become beneficial or detrimental to your success.

Learn to interact with your foreign suppliers

It’s not easy to deal with suppliers from another country. Language and culture barriers are some of the challenges an importer has to face. Miscommunication could become pretty common in these areas, so better study a lot about the business industry of their country as much as possible.

Determine if there is a local market for the goods you wanted to import

It is your responsibility as the importer to know if there is a growing demand for the goods that you are opting to resale. Determining your potential customers in the local market can help you identify the profitability of that imported product. Conducting some surveys is also a good way for you to come up with a decision on whether importation is definitely the right choice or not.