External Transit: The Ultimate FAQ Guide

If you have any question about external transit, you will find the answer right here.

So, keep reading to learn more.

What Is External Transit in Customs?

External transit is a term used to describe the transportation of non- Union goods.

Under What Circumstances Does The External Union Transit Procedure Apply?

It concerns the following:

  1. Non-Union goods with excellent import levies
  2. Union goods which:

Are being exported to common transit country through the union or being transported beyond the territory of a common transit country during export but:

  • Are entitled to the repayment of import duties as long as they are transported from the area of the Union, or
  • Have gone through customs export formalities to allow compensation on export to non-Eu countries under the CAP, or
  • Are stocks detained by the national intervention agencies in the EU and have gone through export regulations on export to third countries under the CAP

What Are The Modes Of External Transit?

In the world of trade, external transit movement occurs by:

  1. By post
  2. Under the EU transit procedure
  3. Under the cover of ATA using a transit document
  4. Under a TIR carnet as long as that journey starts or end outside the EU.
    It’s attained between two positions in the EU to the third-country territory, or concerns the shipment that must be unloaded with customs territory of EU.
    Which are transported with shipment that must be to be unpacked in the third country.

How Does External Transit Differ From Internal Union Transit?

The main difference between these two terms is;

External transit deals with the transportation of non-Union goods whereas internal transit concerns the transportation of Union goods.

It’s pretty clear; external is outside the Union, internal is in the Union.

What Is The Difference Between TIR (Transports Internationaux Routiers) And External Transit?

Both of them are types of transit. However, they are different in terms of:

TIR- Here goods are transported internationally via one or more borders. Road operation is involved in between the journey.

External transit on the other hand is classified under Union Transit, where goods are transported within the region of the union.

What Are The Principal Regulations Governing External Union Transit In The EU?

The principals and laws of custom transit procedure are below:

  • Commission Delegated Regulation (EU) 2015/2446 of 28 July 2015,
  • Commission Implementing Regulation (EU) 2015/2447 of 24 November 2015
  • Commission Delegated Regulation (EU) 2016/341 of 17 December 2015.

Does The External Transit System Apply When Goods Are Being Transported Under Another Internationally Agreed System?

No, it doesn’t.

This includes:

  • The carriage of goods by post
  • Conveyance of goods outlined in TIR carnet, or
  • Transportation of cargo is covered by an ATA carnet that works as a transit document.

What Are The Controls On External Transit Goods?

Control measures are kept in place due to risks of fraud. Here are control measures of transit goods:

  1. Shipments with incorrect information don’t qualify for external transit procedures.
    This includes all goods whose documents don’t match the shipment
  2. EU external transit system formulates the process of customs formalities and payment of duties and declarations.

When Is The External Transit Procedure Applicable To Movements Via A Third Country?

It is only applicable in the following circumstances:

  1. When supply is made as a result of an international agreement
  2. The freight through that region or country is symbolized by a single transport document prepared by the Union

Does The External Transit System Relieve Goods Of Prohibitions And Restrictions?

No, it doesn’t.

In fact, all goods transported under transit must have licenses and comply with any prohibition and restrictions available.

Who Is Responsible For An External Transit Operation?

Transit Operation is executed by the Holder of Procedure; s/he acquires transit duties.

This individual issues a transit declaration through NCTS indicating interest perform a transit operation.

The Holder of Procedures is responsible for:

  • Presenting intact shipment with transit declaration to the customs office at a given time frame.
  • Also pays duties and any arising charges.

Additionally, an Authorized Representative appointed by the holder may act in his/her place.

The carrier or recipient of goods should produce intact goods if s/he receives goods knowing they were transported under a transit procedure.

What Is The Purpose Of Guarantees For Goods Moving Under External Transit?

It’s used for transit operation and also ensures any arising custom debts can be recovered in case of any deformity.

What Types Of Guarantees Are Available For External Transit Operations?

They include:

  • Exception from Union transit guarantee
  • Individual guarantee
  • Comprehensive guarantee

How Do You Apply Guarantee For External Transit Procedure?

It’s simple than it sounds.

All applications are done electronically. Submit an application for a comprehensive guarantee using the EU trader portal.

You will receive a certificate for comprehensive guarantees through a guarantee office, a receipt that is can be used throughout the Union.

What Are The Requirements For Guarantor For External Transit Procedures?

Guarantor’s conditions include:

  1. Must be a reliable person or third parties like a bank
  2. Should be accepted by customs authorities
  3. Should pay for duties and other arising charges

Are There Exemptions From External Union Transit Guarantee?

Yes. In the following scenarios:

It’s not required for transportation by air or sea especially where the airline or shipping company as the holder of the procedure.

Allowed to use the paper-based Manifest or an electronic Transport Document in place of the transit declaration.

How Do You Submit External Transit Declarations?

The documents can be issued online by the trade declarant. Also, the customs transit declaration service on the customs website can be used.

Can An Unauthorized Trader Initiate An External Transit Procedure?

Yes.

The trader should initiate export transit procedure by keying in the required information into NCTS.

This is to include Guarantee Reference Number (GRM) access code and transported shipment.

Transit Accompanying Document (TAD) will be released once the information is correct. Master Reference Number MRN may also be generated.

Shipments are submitted for a checkup in the customs office.

After the examination, transit is released in NCTS and TAD which MRN are produced and issued to the dealer.

Can You Use Simplified Transit Procedures For Goods Moving Under External Transit?

Yes, this depends on the subject of shipment and the circumstance.

Traders that have been accepted by the customs as authorized consignors/consignees have the benefits of having transit formalities completed at their place.

When Does An External Transit Procedure End?

External transit ends when the holder meets all his responsibilities and submits all the required documents to the customs office of destination.

Customs clearance authorities are responsible for releasing procedure.

This is when established on basis of comparison with available information in the office of departure and destination.

Goods should be presented flawlessly at a specified time and all terms and conditions must be met.

Customs authorities at the office of destination should examine goods to ensure any delays in completing transit are accounted for.

What Are The Customs Obligations In Relation To External Transit Goods?

Customs obligation applies to:

  1. The driver/carrier should clear goods whether known or not
  2. Exporter/importer- the receiver of goods who accepts them bearing in mind they are from community transit.

They should present intact goods to customs at the specified time.

Here are some useful links for you:

For all your importing needs from China, contact Tj chinafreight now.

Is AliExpress Safe and Legit to Buy Goods from China – The Ultimate FAQ Guide

Whether AliExpress is safe and legit is a question people ask me every day.

That’s why today, I will answer all your questions on safety, avoiding scams, verifying suppliers, buyer protection and return policy, amongst others.

By the end if this guide, you will have skills and knowledge on how to buy safely from AliExpress.

Let’s dive right in.

How Do You Avoid Scams On AliExpress?

The following are tips on how to avoid scams on AliExpress:

  • Ensure you purchase from sellers with good reputation– Always ensure you go through the seller’s reviews and ratings to find out how good or trustworthy a seller is. Buy from sellers with good reviews and high ratings of at least 4 or higher.
  • Buy from sellers with a good number of successfully shipped orders– When buying from AliExpress it is advisable to seek sellers that have successfully shipped lots of orders.
    You are likely to encounter less or no problems from sellers with many successful sales.
  • Always pay through AliExpress: – At no given time should you pay money directly to the seller.
    Instead, always use the AliExpress platform to avoid fraud and maintain legibility for the buyer protection policies.
  • Never be in a hurry to confirm delivery– You should not confirm delivery before actually receiving your shipment and making sure it is alright.
  • After you are satisfied with the product you can go ahead and confirm the receipt.
  • Avoid ‘too good to be true deals’– Although AliExpress is known for its affordable prices, it is better to keep away from those really irresistible deals.
    Items with unbelievably low prices are likely to be counterfeit or of really low quality.
  • Make sure to check the seller’s guarantees– check what offers and guarantees the seller offers.
    For instance; returns and refunds, shipping and delivery timelines and quality assurance.
  • Get in touch with the seller before making your order– The AliExpress platform has a ‘contact the seller’ option.
    You ask all the necessary questions like their refund policy, quality of the product, discounts, warranty, etc.
  • Check how long the seller has been on the platform– The longer they have been open, the more credible they are likely to be.
    It is best to avoid stores that have been open for less than a year.
  • Confirm the store has a buyer protection policy – The seller should guarantee you a refund if the item you purchase does not arrive it has other issues.
  • Stay away from free shipping when buying expensive items– most scammers will indicate free shipping on expensive items in order to lure buyers.
  • Mark the logos/hallmarks on real brands so that you can identify knockoff or counterfeits. This way you can avoid being scammed to buying a fake item being sold as the original.

How Can You Tell If Sellers On AliExpress Are Genuine Or Not?

The following are ways to determine if sellers on AliExpress are genuine or not:

  • Check the seller’s credits– AliExpress has a credits system which allows you to evaluate the credits of the seller.
  • Customer reviews and rating– genuine sellers will obviously have positive reviews from satisfied customers. Their ratings also are high; 4 stars and above.
  • The sales– Sellers with lots successful sales are most likely to be genuine. You should think twice about sellers with really low sales.
  • Return rates– if a seller has a high rate of returns, it is apparent that they are either selling counterfeit or low-quality goods. The lower the seller’s return rate the better.
  • The time their store has been open for– Not to say that new stores are not genuine, but buying from a store that has been there for longer guarantees an experienced seller.
  • The number of followers they have– Stores with a huge following are most likely to be genuine. This is not to discredit stores with few followers but if many people follow a certain store, it’s because they’re reputable and trustworthy.
  • How the handle inquiries or complaints– before making a purchase, contact the seller for any question about the product, their buyer protection or any other questions you might have. How the seller engages and responds will communicate whether they are trustworthy or not.
  • Store’s buyer protection policy– sellers that are willing to give refunds, take returns and make replace are most likely to be genuine and vice versa.

It is always advisable to do your due diligence before making a purchase from any seller.

How Can You Verify Sellers On AliExpress?

  • Make use of the AliExpress Sellers Checker– This feature allows you view the ratings, reviews and feedback about the seller.
  • Check the seller’s history– check for how long they have been in business, how many successful orders they have shipped, the amount of returns they have etc.
  • Check for actual pictures of the product– You can find this in the customer’s reviews. This will help you know if the product is exactly as advertised by the seller or not.
  • Contact the seller– this will allow you to know if the seller is keen to the customer’s complaints or enquiries.

Is There Way Of Evaluating Quality of Good on AliExpress?

The following are ways to evaluate the quality of goods on AliExpress:

  • Do not rush to purchase the cheapest product– Different sellers always have different prices for the same item. The cheapest might mean it that it is of a lower quality.
    This is not always the case but it is best to avoid the goods with suspiciously low prices.
    Check the customer’s reviews, both positive and critical– This will help you determine the quality of the product before purchasing it.
  • Check if the product is copyrighted and trademarked– this is essential in ensuring you buy the legit product and not a knockoff or low quality.
  • If you are buying in bulk, you can order a few samples and inspect the quality of the product yourself.
  • Check the description and pictures of the product– sometimes though the pictures provided by the seller could not show clearly the quality.
    You can find actual pictures on reviews left by buyers and they can help you determine the quality of the item.

Is It Safe To Use AliExpress Mobile App?

The AliExpress mobile app is not only safe and reliable to use, but also has some cool features. It has features like a message center which allows you to contact the seller directly for inquiries or complaints.

It also allows you to know the status of your order, search and sort products by category and also add products to your Wishlist. It has a section which shows the deals of the day.

Lastly, it allows you to share products to your friends and family through social networks like Facebook, twitter, email etc.

Always make sure to download the verified AliExpress app.

Is Everything Sold On AliExpress Legit?

AliExpress does its best to ensure they keep their platform legit and free of scams.

There is however no guarantee that everything sold on AliExpress is legit. There are thousands of merchants and it may be hard to track all their activities.

You are likely to encounter counterfeit items and low-quality items. Sellers can disguise counterfeit products and pass them as real.

In other cases, they can use false pictures and write catchy descriptions for an item that does not match those standards.

That is why it is important to do your due diligence.

Check the product’s reviews and ensure you are buying from a reputable seller.

How Can You Avoid Buying Counterfeit Goods From AliExpress?

Tips on how to avoid buying counterfeit goods from AliExpress are:

  • Detect the fake reviews– Mostly, people rely on customer reviews to determine if a product is fake.
    It is important to scan through the reviews and ensure they are genuine as some sellers put up fake positive reviews for their counterfeit products.
  • Be aware of the original brand’s hallmark– This way you can be able to identify the real product from the counterfeit.
  • Inspect the packaging– Mostly brands put their logos not only on the product but also on the product itself. If a product or the packaging do not have the logo, then it is most likely counterfeit.
  • Keep of impractical deals and offers– Always shy away from unrealistic pricing. For instance, if a seller is selling say a Gucci bag for a ridiculously low price of 10$ its most likely counterfeit. In this case it best to avoid buying it.

Do Low Prices On AliExpress Imply Low Quality Items?

AliExpress is best known for lower prices compared to other platforms. This means that the lower prices do not necessarily mean the items are of low quality.

Most of the sellers on AliExpress are from China and source their products from Chinese manufacturers.

Therefore, this allows to maintain low prices and that is why some sellers are able to offer very affordable or free shipping.

However, in a case where several sellers are selling the same product but the prices are very different.

The one with the lowest price could be of low quality as well. Also extremely discounted items could mean that they are not of good quality.

Does AliExpress Provide Ways Of Solving Buyer Seller Disputes?

AliExpress has Buyer Protection which is a way of settling disputes between buyers and seller.

A buyer has to be an eligible member of the Buyer Protection to benefit from it.

Normally, when the buyer does not receive their product/service or receives a substandard product they open a dispute to report the incident to AliExpress.

In the time of the dispute procedure, some of the factors that AliExpress will look into are as follows:

  • If the product or service that the buyer received is substandard, faulty damaged or essentially not what they ordered.
  • Whether the conditions leading to the goods/services not being delivered are within or beyond its control.
  • If the non-arrival of the goods/services is the fault of the buyer. For instance; whether they provided the wrong address or other shipping details.
  • If the reason for returning the goods to the seller is because customs would not clear it.

During the dispute procedure the seller will be required to provide any relevant documents or evidence to support their claims.

After evaluating both the seller’s and buyer’s claim, AliExpress will make a final resolution which is not subject to appeal.

If the final decision is made in favor of the buyer, they will be entitled to a refund 15 days after finishing the dispute procedures.

Is It Safe To Use Credit Card When Buying From AliExpress?

It is absolutely safe to use a credit card on AliExpress. When you enter your credit card details, that information does not go directly to the seller.

Instead, it stays with AliExpress who make payments to the seller after you successfully receive your order.

You should never disclose your credit card details to a seller. You should not also make payments directly to the seller using your credit card.

This is to avoid any type of fraud and scams that can arise.

Also, if you use your credit card to pay a seller directly, then you do not qualify for AliExpress’ Buyer Protection.

Are Other Modes of Paying Sellers on AliExpress Safe?

It is perfectly safe to use other modes of payments on AliExpress.

It is however important to note that you should not pay the sellers directly.

This is ideal for you to avoid being scammed or your cards hacked. Always pay via the AliExpress platform.

Some of the common safe payment modes that are safe to use on AliExpress include:

  • PayPal
  • Payoneer
  • Debit cards
  • Western union
  • Bank transfers
  • Other less common modes of payment include: Webmoney, iDeal, Ticket, tefPAY, DOKU etc.

Does AliExpress Have Buyer Protection?

AliExpress has a Buyer Protection system for every payment made on its platform.

For a payment to be protected by Buyer Protection system, it must not bypass AliExpress.

This means that all payment must be made though the AliExpress platform

This is why it is advisable never to pay sellers directly in to their accounts. If a seller asks you do so, you should report them immediately.

The Buyer Protection comes in handy in situations like:

  • When you receive products/services that are not exactly as they were described; and your claim to get a refund from the seller was unsuccessful.
  • If your order does not arrive within the agreed delivery date and time.
  • When you receive knockoff or counterfeit version of the item you had ordered. In this case if you open a dispute, you can get up to 3 times the money you paid as compensation.

Is Everyone Eligible For Buyer Protection?

Not everyone is eligible for Buyer Protection.

To be an eligible member for Buyer Protection, you must have a valid AliExpress account and also a registered member.

You must have also successfully bought either goods or services from AliExpress.

Can AliExpress Sellers Refund Money After Failing To Deliver Product?

If you do not receive your product within the stated delivery dates then you can claim a refund from the seller.

The delivery period set by sellers is mostly a maximum of 60 days and if your delivery has not arrived, they should give a full refund.

The steps on how to request a refund are:

  • Open and sign into ‘My AliExpress’. Click on the ‘open dispute’ button after selecting the transaction.
    In order to begin the process for your full refund, complete the required steps as per the instructions.
    After completion, you can start negotiations with the seller.
  • Some times when the system automatically files a claim or even when a buyer files a claim before the delivery time/
    The AliExpress Case Management Team will deal with the case based on the stated delivery times.

Does AliExpress Have Product Return Or Replacement Policy?

The sellers on AliExpress set their own return, refund and replacement policies.

If you wish to return an item or have it replaced, you will have to deal directly with the seller.

However, if you- the buyer and the seller cannot reach an agreement, you can request for AliExpress to intervene.

They will then make a determination according to the available evidence.

Circumstances under which an item can qualify for return or replacement include:

  • Item that got delivered is not the right one
  • Product does not function properly or as it should.
  • Item is missing some parts
  • Product is defective
  • Product is fake/counterfeit.
  • Item took too long to arrive and the buyer has no use for it anymore.
  • Item is not what the buyer was anticipating or it does not match the description.
  • Product was the wrong size.

Are Sellers On AliExpress Registered Business Or Individuals?

AliExpress permits individual sellers as well as registered companies/businesses.

That being the case, AliExpress can register you as a seller as long as you have the following:

  • VAT number
  • Updated contact information- this includes a valid email and telephone number.
  • Your company’s operating license
  • The ID of your legal representative.

Can You Trust Sellers Feedback On AliExpress?

AliExpress has thousands of sellers selling the same merchandise.

This means that the competition is very high and some sellers may have false feedback for obvious reasons. This does not mean that there are no trustworthy sellers.

That is why it is advisable to do your due diligence and scan through the sellers’ feedback and try and weed out the real from the fake.

Sellers also try to support each other’s business by leaving positive reviews and feedback that is not necessarily true. So, it is best to watch out for such scenarios too.

Is Shipping From AliExpress Safe?

Shipping from AliExpress is perfectly safe and secure.

After making a purchase, the seller provides all the shipping details to help you with tracking your order.

AliExpress has the AliExpress Standard Shipping which is the most affordable and usually takes 15 to 45 days from the time your package is sent.

They have also the AliExpress premium Shipping which takes a shorter time of 7 to 15 days from the time the parcel is shipped.

AliExpress also partners with other private couriers like FedEx and DHL. These are not only safe and reliable but also offer relatively fast shipping.

Does AliExpress Verify All Sellers On Its Platform?

To be accepted as a seller on AliExpress, they need to verify your contact and legal details. These include your:

  • Name
  • Email address
  • Telephone number
  • Company details
  • VAT number
  • Business license
  • Legal representatives ID

Before a seller can set up an account with AliExpress, they verify the above details and only if they are correct do, they proceed.

After reviewing the information and the application the seller can then be allowed on the AliExpress platform.

Verifying sellers ensures that only legitimate sellers are on the platform.

Are Coupons AliExpress Sellers Offer Legit?

All coupons on AliExpress; (AliExpress Coupons, Store Coupons and Select Coupons) are legit and safe to use.

Sellers give out store coupons that can only be used in their stores only. Also, you only use one coupon per order.

Sellers give out store coupons for free on their pages or you can get them by exchanging your coins for coupons.

Select coupons are legit and safe to use. You can only use these in selected stores.

Check the items product detail page to find out if select coupons are accepted.

The number of coupons you can use per order depends on the store’s policies.

Just like store coupons you can get select coupons by exchanging your coins or by playing games.

Can I Trust Discounts On AliExpress?

There are quite a number of ways to enjoy discounts on AliExpress you can accept them without any doubt.

There are discount sales, coupons, promo codes, discounted shipping among others.  Discounts on AliExpress are trustworthy and a good way of saving our money.

However, you should always be on the look out for possible scams.

For instance, sellers that place irresistible discounting on their substandard items in order to attract gullible buyers.

It is also advisable to shop around for the same item as some sellers put up fake discounts to entice buyers.

But in real sense they have not reduced the price even a little.

Is AliExpress Standard Shipping Reliable?

AliExpress standard shipping not only reliable, but also safe and affordable.

Sometimes AliExpress offer buyers this method of shipping for free.

AliExpress standard shipping takes from 15 to 45 days for standard size packages to be delivered.

It is quite easy to track your order while using AliExpress Standard Shipping.

This way you can know the status of your package and its location while on transit.

AliExpress standard shipping works in partnership with other companies like Singapore Post, Posti Finland, Correos, etc.

How Long Will It Take to Solve Disputes on AliExpress?

After opening a dispute, the seller has up to 15 days to give a response and for them and the buyer to reach common ground.

If 15 days go by and still no agreement has been reached, the file now becomes a claim.

AliExpress has to intervene now. The AliExpress Case Team Management has to review and try to settle the claim. This could take 15 to 60 days.

Is Free Shipping On AliExpress Trustworthy?

Free shipping on AliExpress is actually safe, trustworthy and reliable.

However, it can be very slow taking from 30 to 60 days for your package to arrive.

Free shipping normally uses the National Post service and hence the longer the delivery time.

You should avoid free shipping for costly goods.

This is to avoid the risk of them being damaged or mishandled.

For expensive items it is best to use faster and private couriers like DHL or EMS. Free shipping is perfectly fine for inexpensive items.

It is advisable to track your package when using free shipping to ensure it reaches on time and does not get lost.

If you do not receive it on time, then you can open a dispute.

Are Buyers Review on AliExpress Genuine?

Buyers leave reviews according to their shopping experiences.

You have to be a buyer to be able to leave a review under a certain product or store.

It is good to go through all the reviews, old and new, positive and critical in order to get the most from them.

Buyer reviews can be of great help in determining if a seller or their items are genuine.

Although some people argue that some reviews could be fake, it is impossible to leave thousands and thousands of fake reviews.

I would say it is important to scan through the reviews and find out which are genuine and helpful and those which are not.

For any questions or inquiry about shipping from China to any global destination, contact Tj chinafreight now.

Partner Government Agency: The Ultimate FAQ Guide

If you want to learn more about partner government agency, read this guide.

It provides an in-depth understanding of all information you’re looking for about partner government agency.

Keep reading.

What Is Partner Government Agency?

Partner Government Agency (PGA) is a government bureau that works in conjunction with

Customs and Border Protection (CBP) that controls certain products entry into the U.S.

What Are The Functions Of Partner Government Agency?

The function of Partners Government Agency include;

  • ensuring national safety by making sure that no person or commodity enters the US illegally
  • ensure all US guidelines are followed in trade, customs, and immigration
  • Ensure terrorist and dangerous weapons do not get into the US
  • Regulate the safety of food, its quality, and nutritional value.
  • Protect endangered species from extinction because of the value of parts of their bodies.
  • Ensure custom levies and taxes on imports are decided appropriately
  • Regulate manufacturing and importation of vehicles

What Are Partner Government Agency Regulated Commodities?

Some of the main product include:

  • Animal and plant products
  • Organisms and vectors
  • Veterinary services
  • Food and drug administration
  • Pesticides and devices
  • Ozone -Depleting substances
  • Chemical substances
  • Vehicles, engines, and fuels
  • Firearms
  • Alcohol and tobacco

Which Partner Government Agencies Are There?

Mention each partner agency followed by a brief explanation of about 15 words for each

Department Of Agriculture

It controls the imports and exports related to animal and plant health.

These commodities should be free from pests and diseases.

Food and safety inspection service scrutinizes all imported consumable animal products are to ensure they are safe

Department Of Health And Human Services.

They are promotes good health and well-being of Americans.

This is in terms of medicine, public health and social services, and dangerous chemicals.

Department Of Commerce

The department protects American industries against unfair competition.

They ensure adherence to trade agreements.

They also prevent harmful trade practices such as overfishing

Department Of Justice

They ensure that the safety of the public against crime.

It is involved in the importation of firearms and curbs trafficking of drugs

Department Of Interior

They manage the Us natural resources and her cultural heritage

They provide scientific information on the resources.

It controls national parks, protects endangered animals such as elephants, whales, and tortoises.

Department Of The Treasury.

Promotes economic development and ensures the financial security of the US.

It collects taxes on imports entering the US.

Besides, it ensures the shipments are valued correctly

The Department Of Food And Drugs Administration

It controls how foods and drugs are manufactured, stored, transported, and customs clearance.

Department Of Transportation

Issues licenses to manufacturers of vehicles and importers of vehicles spare parts.

This ensures that vehicles in the US comply with mandatory safety standards.

The department restricts the uncontrolled importation of vehicle spare parts.

What Roles Does Partner Government Agency Play In Import-Export Business?

Partner Government Agencies in the US have a regulatory role in the import-export business.

CBP enforces these regulations on behalf of PGAs.

PGAs provide guidelines that help importers understand their duty.

The roles of PGAs can be identified through the various departments as follows:

US Department Of Agriculture (USDA)

Its main role is to promote production in agriculture.

They monitor the export of products from the US against unfair international trade

Restrictions.

They provide detailed information on exports and research reports.

USDA ensures that all agricultural products imported to the US are free from pests and diseases.

USDA provides guidelines on the labeling of products.

They also inspect and t grade imported products.

US Department Of Commerce

It provides the important information needed in commerce.

They help in the enforcement of international trade compliance laws

  • US food and drugs administration reviews all foods products, cosmetics, for compliance
  • Department of Commerce oversees several important compliances and implementing export administration regulations (EAR)
  • Department of treasury

It enforces trade sanctions on targeted countries, terrorists, and drug traffickers.

Besides, it collects shipment taxes entering the USA.

Also, it ensures proper valuing of shippers goods coming into the US.

US Customs And Border Protection Agency

It controls and promotes international commerce.

They collect import duties and fees.

They do border patrols to curb illegal immigration.

Department Of Interior

This department provides restrictions on wildlife entering into the USA.

They prohibit the entry of products from endangered species into the U.S

They issue permits to importers of endangered animals who have good reasons.

Department Of Justice

It deals with requirements for dangerous imports such as firearms explosive s, alcohol, and drugs.

Importation of alcohol and tobacco products must meet the requirement for commercial sale.

They also limit the sale of explosives and firearms

Department Of Transportation

It handles the following:

  • It ensures all vehicles imported into the US comply with safety standards and fuel laws.
  • Issues licenses to vehicle manufacturers and importers.
  • Prohibit the importation of uncontrolled vehicle spare parts.

Department Of Health And Human Health

It has a duty to protect consumers.

They ensure foods and drugs produced locally or abroad meet the required standards.

When the imported goods do not meet the standards of the FDA they are destroyed immediately.

They provide CDC import permits for those who want to import pets.

Does Partner Government Agency Work With Customs Border Protection?

Yes, PGA works with Customs Border Protection (CBP).

This is done in order to regulate the entry of products that are commercially imported into the US.

CBP enforces the PGAs regulations.

CBP is an agency that controls international travel and trade into the US.

They examine documents such as commercial invoices and lists of packing,

They also collect import duties and perform customs exams,

When a product is rejected by a PGA, CBP cannot allow it to enter the US.

What Is Partner Government Agency Clearance?

Is the process of PGA scrutinizing export and imports and ensure that they go through all the required procedures before being accepted in the US.

This is in an effort to ensure that goods entering the country meet acceptable standards.

It is a measure to ensure goods are safe for use, of acceptable standards, and custom levies are paid

What Is The Main Function Of Partner Government Agency In Customs?

The main function of Partner Government Agency is;

To regulate the entry of imports in the US and ensure these imports meet the required safety standards

What Documents Do You Need For Partner Government Agency Clearance?

Some of the documents you will need include:

The Notice Of Arrival:

This is an alert by the shipper to the recipient on the arrival of the cargo.

this document gives the details of the goods being exported, to the customs broker.

House Bill Of Lading;

This is a transportation contract of transportation between you (the shipper) and the forwarder.

This document contains information on the quality, type, and destination of the goods.

The HBL confirms receipt of the export goods by the forwarder.

The HBL document is important because it ensures the exporters get their money and the importer gets their cargo.

Packing List

This is a list used by CBP to verify the cargo being shipped.

The list shows the quantity, weight, and any additional information.

Commercial Invoice.

This is a legal document between the supplier and the importer.

This is a document that gives the cost of the goods being exported.

The document is used by the customs to determine the taxes and import duties on the commodities.

The Certificate Of Origin

It is a document that shows the country of origin of the goods.

The document helps the PGA decide if the goods are appropriate for importation.

The document helps in deciding if the product requires special levies or treatment.

What Are Partner Government Agency Acceptable Payment Methods?

Both the importer and exporter require acceptable methods of payment.

The methods of payment should be safe and have favorable terms.

These include:

Open Account

Here the commodities are shipped before payment is done.

It’s favorable to the importer and very risky for the exporter.

Document Collection

It’s done in two methods

  1. Document against payment – the shipper deposits with the bank ownership documents.
    The bank gives the documents to the importer after payment is made.
    Normally, the bank then sends the payment to the shipper’s bank and the shipper is paid.
  2. Documents against acceptance -the exporter’s bank asks the importer’s bank to release documents used in transacting to the importer.
    The importer makes payments and receives the documents and goods.
    Also, the exporter is paid after the importer’s bank makes payment to the exporter’s bank.

Cash In Advance

Payment is made through wire transfers or using a credit card and escrow services.

It is safe for the exporter because they paid before the commodities are shipped.

This method helps the exporter avoid the risk of non-payment by the importer

Importers do not like this method because of the risks of goods not being sent.

Letter Of Credit

This is a pledge by the bank to pay the shipper once goods are shipped.

It is most secure for both the importer and the exporter.

The letter of credit protects the importer from making any payments until the goods are shipped.

How Does Partner Government Agency Work?

PGAs are government agencies that regulate imports and exports business in the US.

Each agency has specific goals to achieve, depending on the commodities being imported.

An example is the Department of Transportation which deals with safety standards for a manufactured and imported vehicles,

On the other hand Department of Interior provides restrictions on wildlife entering the USA.

They prohibit the entry of products from endangered species into the U.S.

As a shipper, you are expected to comply with the requirements set by the concerned agency

Due to the complexity involved a shipper is advised to use the services of expert brokers.

Custom brokers understand all the required PGAs laws concerning your shipment.

This is because your commodities may have to meet standards set by more than one PGA.

Customs Border Protection (CBP) enforces the regulation set by PGAs on their behalf.

If a PGA has rejected import commodities CBP will not allow the commodities into the US.

Other Related Resources:

Partner Government Agency Import Guides

List Of Partner Government Agencies

Guide To Partner Government Agencies

For all your freight forwarding needs from China, you can contact Tj chinafreight now.

Peak Season Surcharge: The Ultimate FAQ Guide

Peak season surcharge is yet another important freight term you should know.

So, if you want to learn more, read this guide.

What Is Peak Season Surcharge In International Shipping?

This is the varying extra charges that carriers add for their services during seasons of peak demands.

The fluctuating surcharges are common during summer, before winter and Chinese’s New Year.

It is the extra fee add to the basic transport cost.

Why Do Carriers Apply The Peak Season Surcharge?

  1. When the demand of shipping space goes high the cost of shipping also rises.
  2. Ocean carriers inflate their rates higher to make extra money
  3. During holidays there is an increased demand in shipping services.

  Carriers are forced to employ seasonal employees to meet the demand.

The cost of this extra employees or automation is then passed on to the consumer.

  1. A carrier may apply various surcharges on shipment in order to offset the cost offered for other services or additional handling of the package.
  2. Service level residential charges are meant to punish shippers of high volumes of packages exceeding the acceptable volume per week.

When Do Peak Seasons Happen?

Peak seasons happen during busy shipping periods in the year.

That is, when there are high volumes of packages being shipped.

This makes the cost of shipping to rise.

This   normally begins from mid-August up to October of every year.

They happen several months before holidays such as thanksgiving, Christmas and Chinese New Year.

Sales are usually high in days such as Black Friday and cyber-Monday

During such periods people buy more foods and presents

Is Peak Season Surcharge The Same As General Rate Increase?

Peak Season Surcharge is not the same as General Rate Increase.

Two most common way of adjusting rate by carriers are Peak season surcharge (PSS) and General rate increase (GRI).

PSS are special charges that carriers add on base rates of shipment, due to an increase in demand for shipping space.

This happens majorly during high peak periods. Like Christmas, major sales and thanksgiving.

GRI are additional costs added to shipping services due to an increase in operational costs.

GRI takes place anytime and even during peak season.

Does Peak Season Surcharge Apply To Ocean Freight Only?

No PSS does not apply to ocean freights only. It is applicable to air carriers too.

What Is The Difference Between Peak Season Surcharge And Emergency Bunker Surcharge?

PSS are special charges that carriers add on base rates of shipment, due to an increase in demand for shipping space.

Emergency Bunker Surcharge is the extra charges carriers implement to cushion them against the rising cost of fuel.

Does The Peak Season Surcharge Apply Only To Imports From Asia?

No. the peak season surcharge does not apply to imports from Asia.

It may also apply to some imports from some Africa from countries such as Nigeria, Togo, Ghana and Benin.

They cover additional operational costs experienced during the peak season.

Are Peak Season Surcharge Rates The Same For All Carriers?

No.

PSS are not same in all carriers as each  carrier calculates its PSS.

This depends on size of the goods, how urgent it is to transport, temperature and sensitivity of the goods.

Having an understanding of how the surcharges are calculated by a carrier can help you in determining which carrier to use.

How Is The Peak Season Surcharge Calculated?

The peak season surcharge is calculated by each carrier in terms of from port to port.

This depends on size of the goods, how urgent it is to transport, temperature and sensitivity of the goods .

Can Peak Season Surcharges Be Negotiated?

Yes Peak season surcharge is negotiable though this is not known to many shippers.

This is the best way of reducing the coast of shipment.

This can be used to influenced your choice of one carrier over another.

Is The Peak Season Surcharge Legal?

Yes peak surcharge are legal and are supported by the US shipping act

How Do Carriers Notify Of Peak Season Surcharges?

The carriers propose their intention to increase Peak seasons surcharges with the effective dates.

The additional PSS are assessed by the carriers.

The basic rates remain the same.

Mitigation may come up to stop the increment.

The flexibility of the of the carrier will be determined by the market

How Do I Avoid Or Minimize Peak Season Surcharge?

There are varied ways of avoiding or minimizing peak season surcharge.

  1. Have a better understanding of how shipping surcharges are affecting your shipping cost.
    Find out what options are there that can help you avoid or minimize the surcharges.
  2. As a shipper you can ensure that you have a better understanding of the networks that are ideal for specific packages.
  3. You can negotiate with your other carrier to reduce or waiver the surcharges to your advantage.
  4. You need to understand surcharges and the various types so that you can make an informed decision on how your packages are shipped.
  5. Make use of third-party logistic provider, they can help you prioritize your shipments and other shipping details.
    They will also give you future rates forecasting so that you can plan your shipment.
  6. Combine shipping analysis and re -negotiating contracts with carriers can help minimize shipping expenses.
  7. Avoid transfer of goods from one conveyance to another.
  8. You can order your shipping to be done before or after the peak season.
  9. Always check online for lower adjustment rates on PSS.
  10. Consider having longer transit times for they reduce the risk of the cargo being rolled.

Why Is Proper Planning Important In Combating Peak Season Surcharges?

Proper planning is important in combating peak season surcharge for these reasons;

  • So that you can ship extra packages before the peak season and avoid surcharges
  • Logistics providers can provide you with future rates forecasting and the best strategies to adopt

What Are Some Common Misconceptions About Peak Season Surcharges?

Some common misconceptions about PSS are;

  1. Accessorial charges occur only during the Peak Season Surcharge. The truth is that they occur throughout the year.
  2. The belief that Peak Season Surcharge occur during holiday season.
    After The Chinese New Year, the peak season lasts for one and a half months.
  3. Peak Season Surcharge and peak accessorial charges affect the US only.
  4.  It is not possible to organize for landed coast
  5. Not being keen with carriers and the rates they demand.

 What Other Accessorial Charges Should I Be Wary Of When Shipping During Peak Season?

Accessorial charges are extra charges assessed by a carrier for additional services rendered beyond basic shipment delivery.

They vary between carriers and they can change any time.

These are:

  1. Detention – this is a fee you are charged when a carrier comes to pick a container and finds that you are not ready.
  2. Special Equipment surcharge- It is an extra cost you pay for hanging garments.
    This is because they need special care during transportation.
    Depending on how long the carrier waits you will be charged these waiting charges.
  3. Storage – If shipments have to be stored before delivery, you will be asked to pay storage fee
  4. Demurrage – this is a charge impost on your container for staying at the port longer than the acceptable free time.
  5. Out of gauge surcharge – this is the additional fee for your container that is not within the standard dimensions.

You will be required to pay for the space that is left vacant because no other container can be loaded

You May Also Be Interested In:

For any questions or inquiry about shipping from China, contact Tj chinafreight now.

The Complete Guide for Product Standards

In this guide, you will learn everything that interests you about product standards.

We will cover what a product standard is, what content is included, what regulations require and makeup product standards, product standards differences among countries, necessary certifications, how to choose a product standard, how to establish one, and what testing options are there.

Here, we have compiled all this information for an ultimate guide.

Definition of Product Standards

The meaning of a product standard refers to quality, safety, and other standards for any product.

A product standard is a technical guide of how to make a product safe, efficient, and compatible with others.

Product standards establish accepted practices, technical requirements, and terminologies for diverse industries.

Because they are easy to recognize and reference, standards enable companies to manufacture and sell their products safely.

Advantages of Understanding Product Standards for Importers

If you know product standards, you can be sure that your manufacturer is supplying the best quality products to your market.

Products that follow standards are suitable for import into many countries, which allows you to expand your target audience and grow your business.

This is your competitive advantage.

Also, if you are developing your own product with a new product standard, you can create a unique set of qualifying conditions that set your products apart from the products of your competitors.

For some products, standards and certifications are compulsory, for some they are optional.

Although, products must still comply with the country’s official legislation, if relevant.

Compulsory standards mean that only by fulfilling them, you can legally import your goods into a given region.

Understanding them allows you to freely import your goods.

As for voluntary or optional standards, most of the EU standards are like that.

Complying with these gives you a competitive advantage and an indication of quality for your customers.

Choosing the Right Product Standard for You

Here, we will answer how to choose a product standard to follow.

To start importing goods from China, you need to choose the right product standards that would allow you to legally import quality products.

1. Define your product category.

Sometimes, similar product categories may have different regulations.

This is why it is important to be sure that you can place your product into a category.

2. Check for any country-specific compulsory standards

You can consult a list of harmonised standards to find the suitable standard for your product.

Further in the guide, we include resources to help you with that.

If you are looking to import into the EU, then you can:

  • Check the official journal of EN
  • Check IEC standards in CE directives
  • Check EU national standards
  • Use codes of practice within the European zone

Some of the most significant directives are REACH and CPSIA.

If you need product standards for the US, you can:

  • Check CPSC standards for children’s products and household items
  • Check FCC standards for electronics
  • Check FDA standards for food-contact and medical products
  • Check ASTM standards for general guidance

3. Check relevant voluntary standards

You also have to determine which voluntary requirements may apply to your product.

Once this has been determined, you can use the standards to cover these requirements.

You can check the same resources as above, as well as ISO standards.

4. Check labelling requirements

Proper labelling is an important part of importing your goods.

You should have quality marks, safety labels, warnings, and so on.

You can check CE or FTC guidelines for labelling.

5. Check for facility requirements

This includes GMP and ISO standards. GMP stands for Good Manufacturing Practice, and it requires manufacturers to minimize the chance of contamination, error, and other risk factors.

This ensures that the products are high-quality and that the manufacturer conducts the process accordingly.

Also, you may need the product standard GHG protocol.

This protocol covers greenhouse gases—so whether the manufacturing process of a given product emits GHGs.

This protocol would allow you to establish your products as eco-friendly, which is an important competitive advantage.

Country-Specific Product Standards

Many countries have their own standards institutes, regulations, and legislation.

Thus, if you have a specific country in mind where you want to import, you should check the official websites of those countries.

These standards are what would allow you to import your goods there.

You can find country-specific commercial guides and standards of import for any country.

You can also follow international standards to ensure compliance.

The ISO has about 24 000 international standards that you can find the right one from.

Most standards you have to purchase, and one product standard costs around 40 USD.

Certifications

Product standards will often include necessary certifications, either of the product or of the manufacturer.

Some examples of required certifications include:

  • in the European Union (EU), your product may need a CE marking and certification.
  • in China, you may need the China Compulsory Certification (CCC).
  • in the member countries of the World Trade Organization (WTO), you may need to report all proposed technical regulations.
  • worldwide, the International Organization for Standardization (ISO) and CB set up international standards.
  • in Canada, the CSA standard may be required.
  • in the US, UL certifications are important, as well as any industry-specific certifications like IP ratings
  • in Russia, you may need the EAC standard.

Contents of Product Standards

Each product standard includes several parts: description of its purpose, detailed technical conformance requirements, and specific testing requirements.

  • Formal name of the product standard
  • Description of the product standard
  • Conformance requirements
  • Operational environment
  • Overriding standards
  • Indicators of compliance

Now, let’s take a look at each of these parts of a product standard in more detail, starting from the description.

A product standard description is a short summary of the purpose and nature of the product standard.

Conformance requirements make up the most important part of any product standard.

Conformance requirements define conditions of quality using the concepts specific to your standard type.

In other words, what characteristics make a product good.

Operational environment explains where and under what conditions the product is designed to function.

This section can help you market and advertise your imported goods.

This section would also describe other products and softwares compatible with your product of interest.

Your manufacturer must keep this compatibility in mind.

Overriding standards are the standards that a given product standard is based on.

These are national or international guidelines and formal documents that an importer must be aware of to ensure quality compliance.

Most of the conformance requirements usually refer to other documents and are uniquely identified by the title, version number, date, and so on.

Product standard registers requirements referring to a specific version of any higher-order regulation, and the product standard is not updated when a new version of the referenced regulation comes out.

Indicators of compliance are the tests conducted during quality control.

Testing requirements can be based on UL, CE, ISO, RoHS, and other regulations.

Testing can be done to assess flammability, electrical safety, physical properties, etc.

In general, a product standard includes:

  • Requirements lists
  • Technical files
  • Label requirements

Requirements lists may include checklists of quality, safety, factory auditing, etc.

Technical files include detailed product specifications, options, blueprints, formulas, recipes, etc.

Label requirements include safety warnings, user directions, chemicals, ingredients, country of origin, etc.

We discuss labelling standards further in this guide as well.

Some more specific contents may include manufacturing hygiene, disaster preparedness, fail-safety, error tolerance, childproofing, and more.

A product standard may also include formulas, recipes, specifications, and manufacturing procedures for suppliers to follow.

Types of Product Standards

Product standards can be divided into standard type and product category type.

Types of standards include performance, prescriptive, design, and management system standards.

Performance standards outline how products must perform during use.

For instance, how long they should function for, what temperature they can withstand, will they work after impact, and so on.

Prescriptive standards identify product specifications.

This includes material thickness, material type, product dimensions, etc.

Design standards focus on more global product characteristics, such as the overall shape, added features, and assembly specifics.

Management system standards specify the company’s quality compliance policy, factory audits, and other organizational specifics.

As for product categories, this describes your product.

Is it a type of medical equipment?

Perhaps, it is a type of children’s toy or an electronic device.

When importing, it is important to keep in mind these standards as well .

Developing Product Standards

How are product standards developed?

International standards follow the process of identifying a new standard, approval by National Bodies, designating technical experts to carry out tests, and approving the document via many committees.

The experts conduct a study to define the best product criteria, and the public is allowed to provide feedback.

It is also possible to participate in the development of national and international product standards by participating in technical committees and providing comments on the draft document.

Most businesses opt for using a national, international, or foreign standard that fits their needs.

Alternatively, a company can develop its own product standards.

Businesses can conduct product standardization, which creates protocols to ensure that the product meets the company and the industry standards.

Developing a company standard requires technical experts, reference to international standards, and study of the market.

If your company develops a product standard, it will not be equivalent to certification, but it will be something your business set up to guide manufacturing and ensure good quality.

The products may still need official certification.

Product Standard Labels

As mentioned before, product standards often include specific labelling and marking guidelines.

These may concern the country of origin, restricted substance, age group, and warnings.

Mentioning the country of origin is a legal requirement in some places (e.g. “Made in China”).

Restricted substances are crucial, also for legal reasons. Chemicals like lead, uranium, heavy metals, corrosive, flammable, and allergenic substances need to be labelled accordingly.

Age-group labels simply set an age limit for the product in order to protect young children (e.g. “3+”).

Warnings can include bag suffocation hazard, slipping hazard, explosive substance hazard, and any other risk factor concerning your product.

Many product standards outline such labels, and importers need to ensure that these labelling requirements are fulfilled.

Examples of Product Standards

You can find some examples of product standards on official websites, like ISO.

Often, there is a wide variety of standards, with different versions for similar products that have slightly altered features.

ISO Product Standard Example

Product Standards Testing and Conformance Assessment

To show compliance with product standards, you would have to conduct proper testing outlined in the standard.

The testing depends on the type of standard as well—different products need to be tested differently.

For that, you can contact a third-party testing facility that is knowledgeable about your requirements.

Some testing companies include UL, QIMA, SGS, and others.

You can request a quotation from them by:

  1. Listing your product type and category
  2. Attaching a photo of your product
  3. Declaring the target age demographic
  4. Identifying both the manufacturing country and the consumer country

Testing companies and labs can provide all sorts of testing that your product standard requires.

This may include testing the product for corrosion, flammability, impact, radiation aging, chemical, optical, mechanical, food contact safety, water ingress, and more.

Testing for product standards may cost around $200, depending on your needs.

Conformity assessment provides assurance to consumers that the personnel, products, systems, processes or services are evaluated against the requirements of a voluntary standard.

Conclusion

Product standards are a crucial part of manufacturing, importing, and distribution.

There are a lot of things to take into consideration when choosing the right standard, developing one, showing compliance, and understanding the entire concept.

Hopefully, this guide served as a helpful resource for you!

Shipping From India To UK: The Complete Guide

If your relative lives in the UK, you may want to send them gifts. Or, if you are doing a business, you must know how to ship goods from India to the UK.

For that, follow the below article.

What Is The Shipping Process From India To UK

If you want to ship goods from India to the UK, you need to gather some necessary documents first.

You need an export license, HS code, invoice, certification of origin, fumigation certification, packing list, value, and description of goods.

You also need to present your contact information as the supplier or sender, destination of the products, and the recipient.

After that, follow the below steps.

Verify Your Products If Any Prohibited Items

 You can ship restricted or prohibited goods but only with a license. You can hire third-party companies like CIS to inspect the goods on your behalf. Read here more about CIS.

You can’t send any flamboyant objects, medicine, alcohol or drugs, weapons etc. without license.

Know The Amount For Taxes And Duties

 Know the amount of money you will pay for duties, taxes, customs clearance, shipping agents, and delivery.

You can take the help of HS code in classifying products and determining classification numbers.

To know about classification number, read this guide on export control classification number.

Choose Shipping Carrier

Choose a shipping carrier to ship your products. You need to choose carefully.

Some carriers can take a long time, some can take so much money, and some don’t care about your products well.

So, choose a reputed shipping carrier company that doesn’t charge you much.

Custom Clearance

You’ll need to have an export license if your product is not under Free On Board (FOB).

The export license contains information about the supplier, the cargo, its value, the buyer, and the preferred mode of transportation.

You can get a license from the Ministry of Commerce.

How To Pack Your Goods When Ship From India To The UK

 You need to pack your products very correctly.

Because in international shipping, the chance of getting damage of the product is high if not packed correctly.

Different types of products need different kinds of packaging depending on size, weight, material, and if it’s fragile or not.

You should separate the items by separately wrapping them because if they are packed together, they can be damaged by bumping on each other.

Wrap your products with a cushiony material and then seal them. Use tapes, which are made for shipping to seal.

If you want to send a fragile product, double pack it by packing it in a box and then place the package onto another box and pack it.

Always label outside of the package and inside the package as well.

What Is The Costing Of Shipping From India To UK

 Shipping cost from India to the UK depends on the package weight and shipping carrier.

Courier charges:

  • For a package of 1 kg is almost 1800 rs.
  • For a package of 5kg is almost 4000 rs.
  • For a package of 10 kg is almost 5400 rs.
  • For a package of 20 kg is almost 500rs. Per kg

There will be a Good and Service Tax (GST) of 18% on the total bill.

There are also custom charges on some products. The customer or person whom you are sending products to has to pay customs charges of about £2.75 per heading. 

Factors That Decide The Cost Of Shipping From India To UK

 There are several factors that are considered before determining the actual cost of shipping a package from India to UK. Broadly, some of these factors include:

  • Total weight of the package or shipment
  • Volume and size of the package or shipment
  • Preferred mode of shipping – air or ocean
  • Distance of transportation
  • Type of service selected – door to door, port to port, door to port, or port to door

Remember, if you are using ocean freight, then they will not consider packages that are less than 35 kg.

Do You Need Insurance To Ship From India To UK

 International shipping has risks. It can get lost, hijacked or get damaged by any natural disaster.

For that, you need to have good insurance. So, if something unexpected happens, you will get compensation.

Types of insurance-

  • Export Credit Insurance– The most popular export insurance is credit insurance or trade credit insurance. Credit insurance will give you financial support when needed.

If your buyer is unable to pay due to any serious situation, credit insurance can give you an 80-90 percent money back.

For that, you will know that if something happens to your foreign purchaser, your business won’t get into trouble.

  • Marine Insurance- Marine Insurance should be considered by exporters. The insurance will give you financial support in case your goods get lost or damaged by any natural disaster.

But common carriers do not have any marine insurance as the cover is restricted. Exporters also need to check if the policyholder can claim the cover globally.

  • Product Liability Insurance- Product liability insurance will provide you support in case your shipped products don’t meet the legal criteria.

The insurance will give you compensation if something happens like this.

But it will only help you if you followed the guidelines and provided all the information, but some error happened, or unknowingly you shipped any damaging or illegal goods.

  • Political Risk Insurance- Political Risk insurance will cover any situation like political uncertainty, war, protests, foreign discrimination, etc.

Because of any political or governmental situation, if you have to face any loss, this policy will give you compensation.

Which Mode Of Transport You Can Choose While Shipping From India To UK

You have two choices of transportation mode when you want to ship your goods from India to the UK, by the ocean or by the air.

Ocean freight shipping takes longer than air freight shipping, and air freight shipping costs are more than sea freight shipping.

The difference in the delivery times is because of the speed at which the freight travels.

An aircraft moves at an average speed of 970 km/h, whereas cargo vessels move at an average speed of 35 km/h.

Air Freight – Although a tad bit expensive, air freight is a wise choice, especially when you have deadlines to meet.

There are businesses that need to have their products delivered to their clients.

Or there may be an expensive gift that you wish to send to your loved one for a certain occasion.

Then air freight is a great option.

Some advantages of air freight include:

  • Fulfills urgent consignment or orders on time
  • Refutes the problem of delays
  • Saves perishable goods
  • Easy to send high-value goods safely
  • Insurance of air freight is lower

Delivering a package from India to UK on an average may be anywhere between 3 to 9 days.  It depends on the air route taken and the delivery destination.

Ocean Freight – There are two types of consignments that ocean freight from India to UK carries:

  • LCL or Less than Container Load where your consignment is placed in a container on sharing basis because your consignment is small.
  • FCL or Full Container Load where your consignment is an entire container. You just need to pay a single flat rate for it and you get to use it exclusively.

The consignment is carried in either 20 ft or 40 ft containers. You are also asked whether you would require a container with ventilation or refrigeration.

Delivering goods from India to UK through ocean freight may take anywhere between 21 and 41 days.

It depends on the trade lane taken, the port of dispatch and the port of arrival.

Some advantages of ocean freight include:

  • Ocean freight is advantageous when you need to ship heavy goods and equipment
  • If your cargo or package is not time-sensitive, then ocean freight is the perfect way to have your goods delivered to UK – cheap, safe and the best
  • Large volumes of products or packages can be shipped at a go when using ocean freight
  • Ocean freight is cheaper than air freight

Choosing the best carrier option will benefit you in your business. Both air and ocean freight are available to deliver goods and packages from India to UK.

You can choose one that is favorable for your requirement.

Legal Paper Works You Have To Do For Shipping Goods From India To UK

 You need to do some documentation for shipping goods from India to UK. These are the following.

  • You need to provide a Packing Slip to show the details of the goods to the customer. It will help the customer to know the exact order.
  • You need to provide a Bill of Lading to show goods information.
  • You need to provide a Certificate of Origin to show where the products are from.
  • You need to provide the Commercial Invoice to show the value of the goods.
  • You may need to include health and safety Certificates.
  • Your customer needs to sign on the Bill of Lading (BOL) as a Proof of Delivery (POD).

 To know in detail about BOL and POD, check out this cross border shipping guide page.

Are There Any Restrictions In Shipping From India To UK

 Some products are prohibited, and some are restricted for shipping.

Prohibited items are those which are banned and cannot be shipped at any cost. However, restricted items are not totally banned.

You can ship them with a few restrictions. You may either need a license or they might have a limitation.

To know more about export license, read this Tj chinafreight export licence page.

Prohibited Items:

  •  Live animals
  • Any animal parts, like- ivory, the skin of any animal e.t.c. or any animal products that are prohibited by the CITES Convention or local law
  • Cash
  • Bullion
  • Human ashes and remains
  • Loose precious stones
  • Illegal goods such as narcotics
  • Complete firearms or explosive devices

Restricted Items:

  •  Flammable liquids
  • Flammable solids
  • Flammable gas
  • Spontaneously Combustible flammable solids
  • Dangerous when wet flammable solids
  • Non-flammable and non-toxic gas
  • Biological agents, etiological agents
  • Hosts and vectors of human disease
  • Class 9 miscellaneous
  • Class 8 corrosive
  • Oxidizers
  • Organic peroxides
  • Toxic substances
  • Gems
  • Medical devices
  • Household goods
  • Precious metals
  • Art work
  • Retail tobacco products
  • Radioactive materials

How Much Time It Takes To Ship Goods From India To UK

 In the case of regular shipping, by sea, from India to UK, it takes almost 20 days to 40 days. The time may vary based on traffic.

If you need to ship your goods urgently by air, then shipping can be reduced by one week, for an extra charge.

Is There Any Custom Duties/Tax

In the UK, you have to pay customs duty or VAT on gifts or other goods if they are more than a certain value.

The customer or the receiver of the goods or gifts has to pay the customs  within 3 weeks.

  • If your goods are under £135, you don’t need to pay any customs duty.
  • If your gifts are above £135 but below £630, you need to pay 2.5% customs duty.
  • Gifts above £630 and goods above £135 have a custom duty, depending on the type of the goods and gifts.

Use HS Code to know the exact rate of the customs duty on particular goods or gifts.

Are There Any Hidden Fees?

 There can be hidden fees in some cases in shipping from India to UK. The reason can be various.

You may need to give extra charge if the destination is in remote areas.

Or you may need to give an extra charge as a delivery fee if the destination is residential. Same rule is applied if the goods get delivered on weekends.

How To Track Your Goods?

 Tracking your goods or gifts in international shipping is almost the same as domestic shipping. Your shipping carrier will provide you a tracking ID.

Ocean Freight – In order to track your cargo, you must have the exact container number/Bill of lading/booking number and shipping line. You can use either of these references to track your container.

There are tracking systems installed on containers that help in tracking their real-time status, including important data such as tamper reports and temperature of the container.

Some sites that will help track your container:

Track Trace

Searates

Container Tracking

Air Freight – Like ocean freight, you are given a tracking id when you ship your package or cargo using air freight. Some sites that will help track your air freight:

Alltrack

Track Trace

The above sites are one-stop solutions and will help you track air or ocean freight for almost all types of companies. However, you may individually track your cargo or package through the company website which you have sent your package through to UK. 

Is There Any Return Policy In Shipping From India To UK

Yes, there is a return policy. You can get goods returned in case of damaged goods or if the recipient country denies.

Or if the goods went to the wrong destination, or if the address of the delivery didn’t match.

But not every product is eligible for return policy, some are and some aren’t. Also, you can apply for a certain number of days to accept returned products.

What If You Provide Wrong Information Accidentally

 If you provide wrong information accidentally, your goods can get lost, or it can get shipped to another address.

You need to pay an extra charge to fix the error and also your shipment gets delayed.

So, make sure that you provide correct information; otherwise you have to face disadvantages.

Things You Should Consider Before Shipping From India To UK

 There are some things you need to consider.

  1. Know allowed, restricted, and prohibited items in UK.
  2. Consider the transit time and work accordingly.
  3. Don’t miss any paperwork. Without them, you can’t ship your products.
  4. Choose the right shipping partner. By choosing the right shipping partner, you will be profited.
  5. Pack your products well. Otherwise, your products can get damaged.
  6. Know the Custom Duty of UK. Use HS Code.

Some Best Reviewed Carrier Partners

 These are some carrier partners who will ship your goods or gifts from India to the UK on your behalf.

  • FedEx
  • DHL
  • DTDC
  • Delhivery
  • Aramex
  • Ecom Express
  • An all in one solution- Shiprocket
  • E com shipping solutions Pvt Ltd
  • TNT India
  • India post
  • Bombino express

How To Choose The Best Shipping Carrier Partner

  When you ship any goods or gifts from India to the UK, you need to consider the following things for choosing the best carrier partner.

  • Check their reviews
  • Check how many complaints of missing products are there against the carrier partner
  • Check if any complaints of hidden charges are there against that Carrier Partner.
  • Look for affordability. If the shipping charge is too high, don’t go for it. Because excess shipping charges can hamper your business
  • Know how much time the shipping carrier partner usually takes to ship products from India to the UK.
  • Fast and safe delivery will impress your customers and it will help your business to grow.
  • Check how many compliments are there against the shipping carrier partner of product damage
  • Check the shipping carrier partner’s popularity

Choosing a good shipping carrier partner when you are shipping internationally is very important. It can change your experience, good or bad.

Your experience in shipping from India to the UK can depend on you to some extent.

Your research about the best courier services, your packing style, your seriousness in providing information will make your experience good.

For all freight forwarding services, contact us now.

Is dhgate.com Safe and Legit? The Secret Guide

DHgate is a major online platform that connects businesses to businesses—wholesalers and Chinese suppliers.

It also includes a dropshipping platform MyyShop for full-sale distribution of goods.

DHgate hosts a large variety of suppliers to suit your every interest.

However, many question whether DHgate is a safe and legitimate business.

We are here to answer that question for you!

Is DHgate Legit?

 

Is DHgate real or fake? DHgate is most certainly a legitimate and real platform that hosts real suppliers selling real products.

While the website itself is reliable and working, there may be some questionable sellers (you can read about that further on). 

Products are not sold and shipped from DHgate itself, but rather from individual sellers.

DHgate ranks 21st among all marketing websites and have a consumer rating of 3.54 stars from 6,650 reviews.

Consumers satisfied with DHgate usually mention good quality, fast delivery, and low prices.

Is DHgate Safe for Card Payments?

The short answer is yes: DHgate is safe for both credit and debit card payments. 

Here’s why. 

Transactions are usually handled via the DHgate platform itself, instead of allowing for direct buyer-seller transactions.

This adds a layer of security for the money you pay. 

According to DHgate’s buyer protection policy, funds are held in escrow until the buyer has confirmed delivery.

The policy also ensures that the payment is only released to the supplier after the buyer has confirmed the arrival and condition of your goods. 

This way, your card information is held securely, and your funds are protected from scammers.

The supplier has no access to your information or your money until you confirm the delivery. 

You should never disclose your credit or debit card details to a seller.

Do not carry out transactions directly with a seller, because then you are not protected from scam. 

 DHgate was the first merchant in China to offer MasterPass, a service offered by MasterCard.

Besides major credit cards, the platform accepts Skrill, Western Union, and many other methods of payment — all of which are safe.

Overall, it seems that DHgate is safe from monetary fraud, and employs good buyer protection services.

You can trust the platform; DHgate will not steal your money. 

Does DHgate Provide Refunds?

DHgate has a Returns & Refund Guarantee.

According to it, if you are not satisfied with the quality of your goods, or if the products are significantly different from what was described, you are eligible for a refund.

A dispute may be started and you will receive your money back.

As soon as you receive your DHGate order, you must inspect it for quality immediately.

You can hire an agency to do that for you in China before shipment, or you can do it yourself with small orders.

If you happen to be disappointed with the quality, then you must contact DHgate within 90 days to get a refund. 

Here is why you may want a refund for your products: 

  • Item not delivered
  • Item does not function 
  • Item is missing some parts
  • Item is counterfeit
  • Item does not match the description.

Is It Safe to Buy From DHgate?

As mentioned above, buying from DHgate is completely safe. 

  • DHgate employs an escrow service
    • Sellers are not paid until you accept the goods
  • DHgate will help you resolve disputes regarding product quality
  • DHgate tracks your shipment to ensure delivery

The low cost of buying on DHgate itself is not indicative of a scam.

Here are the reasons why DHgate is so cost-effective:

  • Buying directly from the manufacturer
  • Low taxes in China
  • Buying in bulk
  • Low production cost in China

However, there are some issues that make people doubt DHgate.

Below, we will discuss these issues to help you avoid them.

Specifically, we will mention counterfeit production, product quality, and scammers. 

Does DHgate Sell Fake Products?

Unfortunately, just like many other e-commerce sites, DHgate has sellers that engage in counterfeit marketing. 

A recent report released by the United States Trade Representative cited a large presence of fake products, as well as the availability of some consumer products unsafe for reselling.  

DHgate has been improving its image recognition and seller vetting systems, increasing the number of inspectors who manually review listings for suspected counterfeits, and preventing the second registration of banned sellers.

However, the problem of fake products is still relevant. 

Most commonly, DHgate suppliers sell fake branded shoes and handbags, so be wary of these products.

Additionally, an Australia-based merchant monitoring and online safety company Austreme has also partnered with DHgate to ensure the safety of DHgate goods.  

However, you should also keep in mind that reselling fake branded products is illegal, especially in the US.

Thus, be careful when buying from DHgate. 

Does DHgate Sell Low-Quality Products? 

On DHgate, listing photos may not be representative of the final product.

This is because some sellers take images from other sources. Such copied images are indicative of counterfeit items and scamming vendors.

Often, items purchased through DHgate could be safe and legit but may have serious quality issues.

There are also categories of items, where flawed quality results in substantial consequences.

If you consider poor quality to be a scam, then you can be scammed on DHgate by certain sellers.  

It is advised that you buy in small quantities first—maybe 1 item, since DHgate has no MOQ.

You can then thoroughly examine and test products before placing your bulk orders. 

DHgate itself may be safe, but the sellers and their quality may not be.

The quality standards of the sellers on DHGate may not match the standards of your home country.

In fact, you may get caught up reselling dangerous or even illegal products.

Your products can be seized in customs and you may face criminal prosecution!

To avoid such quality issues, be especially careful with the following types and categories of goods branded counterfeit, electronics, personal care items, beauty products, and products that enhance the safety of the end customer (e.g. eye goggles). 

Can I Get Scammed by DHgate?

As mentioned, DHgate is just a platform for connecting B2B, so the website does not scam the buyers.

However, individual sellers may deliver poor quality products. 

DHgate itself is a legit marketplace, but some sellers on it are not legitimate.

Therefore, you need to research the supplier before making a purchase.

Scammers are everywhere but DHgate can immediately blacklist and ban scam seller accounts.

How to Tell If a DHgate Seller Is Legit?

To avoid getting scammed by sellers on DHgate, follow the steps below.

They will help make your experience on DHgate as safe as possible. 

To ensure a safe DHgate purchase:

  1. Check supplier background
  2. Order in small quantities
  3. Inspect large orders by hiring a Chinese inspection agency
  4. Examine your delivery at once

Checking the supplier background is the first and very important step.

If you buy from well-established sellers with the top ratings, you will have a greater chance of receiving quality goods.

Such sellers:

  • Have been selling for at least 2-3 years
  • Have a 95+% positive feedback
  • Have ‘Top Merchant’ or ‘Premium Merchant’ badges
  • Have a ‘Return Promise’ set up
  • Have a listed product quality of ‘above average’
  • Have a listed customer service of ‘above average’
  • Have a niche of products they specialize in 
    • Don’t sell a random catalogue of stuff

A note about the ‘Top Merchant’ and the ‘Premium Merchant’ badges—an excellent seller may not always have these, but it is a guarantee of great service and high-quality products. 

As for the ‘Return Promise,’ if a seller does not have it, you will not be able to request a refund, so purchasing from such sellers is risky. 

Additionally, you can try looking for a seller that has a local warehouse in your country.

While most products on DHgate are shipped out of China, some of the best sellers have warehouses in other countries like the United States.

If you find a suitable seller like that, then your shipping costs will be lower and you can be sure that the seller has a high demand and reliability. 

Another piece of advice: look at the general formatting of the seller store page.

If it is personalized, then it is likely to be a responsible seller.

However, some sellers leave the page in its stock format, and that may be indicative of an inexperienced or irresponsible seller. 

How Do DHgate Sellers Scam Buyers?

Overall, DHgate sellers can scam businesses in the following ways:

  • Untimely responses or ignoring
  • Customer service not mediating a dispute
  • The delivery time is too long
  • Charging shipping fees on products with free shipping
  • Raising the price when buyers place an order.

While these things are not directly scams, they can feel like one.

DHgate usually bans sellers that engage in such things. 

However, this is something to keep in mind when ordering from not-so-reliable sellers on DHgate. 

Is DHgate’s Shipping Safe?

DHgate’s shipping is generally safe and reliable, with delivery times ranging from 3 to 15 days.

In reality, sometimes shipping may take a very long time. 

Conclusion

DHgate is an e-commerce website that focuses on connecting suppliers of daily consumer goods with small and medium-sized businesses. 

Can you find a reliable seller on DHgate?

Yes, you can.

However, building a brand and establishing a stable supply chain via DHgate may be tough. 

DHgate is legit and safe to order in bulk from.

It is also safe for credit cards and debit cards.

Its buyer protection system is highly reliable. 

However, you need to research specific sellers to make sure that they deliver quality products. 

We have also compiled a similar guide about AliExpress, so feel free to check it out! 

Is Alibaba Safe and Legit? The Ultimate B2B Guide

Alibaba is the largest business-to-business marketplace across Asia. It connects international online distributors and importers with manufacturers. Even some Amazon and eBay sellers source products from Alibaba. 

Many start-up businesses use Alibaba to: 

  1. Purchase bulk products at a discounted price
  2. Import custom items cost-effectively
  3. Stock up price-sensitive items

Unlike DHgate, Alibaba hosts suppliers of industrial products, instead of daily consumer goods. 

Similar to other e-commerce platforms, many start-up buyers are unsure of the website’s safety. Here, we will discuss what you need to know about that.

Is Alibaba Legit?

Being Asia’s—and in some ways, the world’s—largest online marketplace, Alibaba is a real and legitimate business. They host legit suppliers that you can really develop your business partnerships with.  

However, some suppliers on Alibaba are not legit and they will scam you. For example, you may not receive your products after payment goes through. In such cases, Alibaba will investigate and ban that supplier.  

You must also be able to research your seller to ensure their legitimacy. 

Is Alibaba Good?

Alibaba is generally good and safe if you know how to avoid scams. Most suppliers on the platform are actually reputable and trustworthy. 

The website has a rating of 4.59 from over 12 000 reviews, indicating that Alibaba is good to order from. 

What Is The Safest Way To Pay on Alibaba?

Is Alibaba safe for credit card payments? If you are paying through Alibaba, then yes, your card information will be safe from fraud. 

Alibaba uses AliPay to process credit/debit cards. 

Secure Payment is one of the safest payment methods available on Alibaba. If you make a payment using Secure Payment, Alibaba keeps your money in escrow until you confirm that you have received your products. 

Escrow allows for protection for both buyers and suppliers. Your money is held in a separate account and managed by a third party. 

This way, the supplier knows the money is there, and the buyer knows that the supplier will not get the money until the products are received and examined.  

If there is any problem with the products, then you can dispute the payment and Alibaba may refund your money.

Paying through PayPal is also generally safe, but take care not to send money to an individual, but rather to a company. 

Western Union is not recommended because it is easy to scam buyers through. You will not be able to receive a refund if you paid via WU. 

Is It Safe to Buy Products From Alibaba?

Ordering from Alibaba is generally safe. 

You just need to know what to do when looking for a potential supplier. 

Does Alibaba Have Buyer Protection?

Alibaba offers buyer protection in the form of a Trade Assurance.

What is a Trade Assurance?

A Trade Assurance is Alibaba’s own platform for placing orders and managing payments. If the supplier accepts TA, then you can have a little more trust in that supplier. When orders go through Trade Assurance, you will get protection for your order payments. 

Alibaba has strict rules to keep transactions secure, but you should be informed either way. 

Trade Assurance is free for the buyer, and it places fees on payment methods other than Secure Payment. This is to deter suppliers from scamming buyers. 

Also, the amount of the TA order affects the supplier’s Alibaba ranking. The higher the amount of the order, the more visible the products published by the supplier will be.

However, suppliers can use schemes to increase their TA rating dishonestly.

Does Alibaba Sell Fake Products?

Unfortunately, just like many other e-commerce sites, Alibaba has suppliers that sell counterfeit items. 

Most commonly, DHgate suppliers sell fake branded Xboxes, Apple Products, and fashion clothing. 

If a deal seems too good to be true, like Gucci apparel for $10, this is a scam. 

You should also keep in mind that reselling fake branded products is illegal, especially in the US. Thus, be careful when buying from Alibaba. 

Can I Get Scammed on Alibaba?

As mentioned, Alibaba is just a platform for connecting B2B, so the website does not scam the buyers. However, individual sellers may engage in a variety of scam. Some of the most common scams include: 

  • Selling branded counterfeit items
  • Increasing the quote after you place an order
  • Providing a high-quality sample, but poor-quality order
  • Faking certificates
  • Shipping wrong, but similar products
  • Not shipping products at all
  • Registering an off-shore company

While other points may make sense, let us explain the last one. 

To increase the number of trade assurance orders, some Chinese companies register foreign companies. Then, these suppliers order products from themselves to improve their ratings and image.  

Below you will learn more about how to avoid this and other scams, so keep reading!

Scammers are everywhere, but Alibaba can immediately blacklist and ban scam seller accounts.

You can also consult Alibaba Scammer Lists and Supplier Blacklist. Additionally, you can run a google search for recent Alibaba scam forums. 

How to Find a Legit Alibaba Supplier?

Finding a legit and reliable supplier on Alibaba requires some dedication and research. If you follow the advice below, your chances of getting scammed will be minimized. 

  1. Check for a Gold Supplier status.What is a Gold Supplier status on Alibaba?It’s a premium, paid account for suppliers, costing several thousand dollars per year.While this status does not always indicate a legit supplier, but know that scammers do not usually pay for this status.Be careful with free Alibaba accounts, because scammers prefer these.Also, there has been a fraud when scammers hack or buy Gold Supplier accounts off of businesses that are closing.

    In these cases, such accounts would try selling a lot of random branded items, and there would be a noticeable change in the products published before and after.

    But, generally, Gold Supplier status is a good indication.

     

    Gold Supplier status

  2. Check how many years the supplier has been on Alibaba.
    If you find a supplier that has been on Alibaba for 5+ years, you can be sure that this is an established, real supplier.
    This is because scammer accounts get caught and banned fairly quickly, not lasting for more than a couple of years.Supplier experience
  3. Stay away from deals that seem too good to be true.
    If a supplier is trying to give you products for free, or offer free delivery, know that this is likely a scam.
  4. Use the Verified Supplier filter.
    Using this filter will also give you a good indication of which suppliers are trustworthy on Alibaba. However, if your product is very niche, not many good suppliers will have a “Verified” badge, so keep that in mind.
    The verification of a supplier is done by a third party inspecting company. For example, SGS, TUV SUD, and others. Verification involves checking:
  • Company profile
  • Enterprise qualification
  • Business scope
  • Product R&D
  • Quality assurance
  • Cooperative factory
  • Aftersales service
  • Factory audit video

    Verified Information
  1. Check the supplier’s legal status.
    If a supplier on Alibaba has the “legal status checked,” then Alibaba employees have verified that the business exists in real life. However, this only implies that the physical place exists.
  2. Check transaction history.
    ​​Transaction history is indicated by the small, orange diamonds next to the supplier’s name.These indicate how many sales a supplier has done on Alibaba: the bigger these numbers are, the better.
  1. Check ratings and reviews.

Generally, the more reviews, the better. Also, read through any bad reviews to see what potential problems the manufacturer has. Watch out for the following:

  • Low product prices and complaints about low quality
  • Reviews of defective parts 
  • Complaints that the first shipment was good, but the second shipment was not
  • Poor working conditions in factories
  1. Check supplier’s certificates.
    Many suppliers will show the scanned certificates for their products, their manufacturing facility, and other parts of their business. This provides further proof that they are a genuine supplier.
    There also may be products requiring specific certificates for legal import. Make sure that your potential supplier complies with them and can prove that.Now, it could be the case that the certificates are fake. If you want to check, contact the company that issued the certificate and ask for a confirmation.Usually, you can do that quickly and for free online. For example, you can contact SGS to verify industrial certificates.
  2. Check trade show attendance.
    Look for indications that the supplier attends trade shows, like the
    Canton Fair.A genuine Alibaba supplier may post pictures or videos from the recent show.Scammers do not attend trade shows.Trade show attendance
  3. Check the supplier’s factory videos.
    If a supplier has a video on their Alibaba account, watch it! It may be produced by Alibaba, in which case, you can be sure that the company is legit.
    If the video is produced by the supplier, look for their custom signs. Things like logos, specific goods, etc. Watch out for generic footage of office buildings and random factories, as well as for stock photos.
  4. Check Global Sources.
    If the company has a verified profile on
    Global Sources, then you can be sure that the supplier is legit.This is because Global Sources takes its verification process very seriously and has extremely strict requirements for authentication.
  5. Check the supplier’s website.
    Another piece of advice: look at the general formatting of the seller store page.
    If it is personalized, then it is likely to be a responsible seller. However, some sellers leave the page in its stock format, and that may be indicative of an inexperienced or irresponsible seller.You can also visit the company’s official website, if it exists. Bonus points if the website is in English—this indicates that the company is partnered with businesses globally.Example of good website
  6. Check product categories.
    If a supplier has many different product categories (e.g. home decor and electronics), this is a sign that the supplier is either a trader or a scammer.
    A manufacturer will offer you a better deal than a trader, so if you are looking for a long-term supplier, a manufacturer is better.Legitimate and established suppliers often have a niche of products within one category. This indicates that the manufacturer specializes and is an expert in one area.
  7. Check return policy.
    It is recommended that you always ensure that the supplier has a return policy before placing the order. This protects your order and it will be easier to get a refund if something goes wrong.

Conclusion

Alibaba is an e-commerce website that focuses on connecting suppliers of industrial products with large and medium-sized businesses. 

Can you safely buy from Alibaba? Yes, you can. However, you should be careful about choosing your supplier because you get scammed. 

Alibaba is legit and safe to order in bulk from. It is also safe for credit cards and debit cards. Its Secure Payment and Trade Assurance systems are highly reliable. 

We have also compiled a similar guide about AliExpress and about DHgate, so feel free to check them out and start your dropshipping wholesale business! 

Pallet Exchange Fee: The Ultimate FAQ Guide

If you have any questions or you would like to learn more about pallet exchange fee, read this guide.

It has all information you’re looking for – keep reading.

What Is A Pallet Exchange Fee?

It is a fee charged by the carrier to the owner of the cargo in case the owner’s appointed trucker does not provide another pallet.

Which is to be exchanged at the time of collection of the cargo.

When Do Carriers Charge A Pallet Exchange Fee?

It is charged when cargo is shipped through cargo consolidation such as less-than-container load (LCL), buyer’s consolidation (BC), and air freight shipment.

In cargo consolidation, the local vendors usually supply the cargo to the carrier loose or palletized cargo before they can consolidate them.

After shipping the cargo, the consolidated cargo is taken to a deconsolidation center where the consignee’s appointed truckers collect the cargo.

In case the trucker does not provide the empty cargo pallets on pick up, the carrier charges a pallet exchange fee.

The fee is used to account for the loaded pallet given to the trucker.

How Much Is The Pallet Exchange Fee?

The pallet exchange fee varies depending on the carrier and location.

It is billed to the consignee as a destination fee.

The fee accounts for the cost of the pallet and ranges from $3.00 to about $10.00 per pallet

Will The Number Of Pallets Used Affect The Pallet Exchange Fee Rate?

The exchange rate for a single pallet is rather very cheap.

In cases of a large volume of consignment, the number of pallets will also increase.

The cost for the pallets will add up quickly.

In such situations, the consignee can negotiate for a better rate and if possible, to be waived completely.

Do All Carriers Charge A Pallet Exchange Fee?

Pallet exchange fee exists in the shipment industry.

The fee acts as a way of recovering the cost of the pallet in case it is given to the trucker.

Most carrier factor in this fee in the CBM (cubic meter) rates when consolidating LCL or air freight cargo

Is Pallet Exchange Fee Legal?

The pallet exchange fee is legal.

It is charged for the pallets that are handed to the receiver without a replacement.

The fee is used to recover the cost incurred by the carrier to acquire the pallet.

What Is The Difference Between Pallet Rental Fee And Pallet Exchange Fee?

A pallet exchange fee is a levy charged to exchange pallets between carriers and the consignees.

The pallet rental fee, however, is a fee charged by the pallet rental company to use their pallets in shipping for cargo.

How Can I Reduce/Avoid Pallet Exchange Fees?

Pallet exchange fee can be reduced or avoided through the following methods:

Cargo consolidation: you consolidated your cargo to fill Full Container Load (FCL).

It is cost-effective if you can fill the container.

Alternatively, evaluate the shipper’s ability to hold the cargo until you fill the FCL container rather than shipping LCL cargos frequently.

Here, the carrier will not use its pallets when consolidating your shipment.

This method is rather difficult.

It may need a proper case study to compare the shipping cost to the extra pallet exchange fees.

Negotiating for lower rates:

When shipping large consignments, pallet charges may add up quickly even though the price per piece is very low.

It is advisable that you negotiate a better exchange fee or even waived depending on the quantity of the cargo.

Procuring your pallets:

It is very economical to use your pallets since the pallets have no markup.

This saves the cost of shipment in the long run.

Pallets are available both as new and refurbished and are very durable.

Fixing worn-out pallets has a very minimal fee compared to replacing them.

Pallet pooling: this is relying on pallet rental companies to provide and manage pallets.

It relieves the supply chain companies from the management of pallets.

It offers a scalable pallet supply even on short notice.

Is There ‘Free Time’ In Relation To Pallet Exchange Fees?

The pallet exchange program lacks the flexibility to accommodate the rapidly changing demand.

The management of the pallet fleet by suppliers and warehouse managers is very tedious.

The pallet exchange program has limited control over the quality of the pallets exchanged and their state of the hygiene

Does The Pallet Exchange Fee Apply To All Shipments?

The pallet exchange fee mostly applies to air freight and LCL shipments.

Airfreight and LCL shipment involves cargo consolidation by the carrier of freight forwarder.

During the consolidation of cargo, the carrier may return the pallets to the cargo delivery truckers.

In this case, they will have to use their pallets in the Container Freight Station (CFS) or at the airport consolidation center.

At the consignee location, the cargo is moved to the deconsolidation center.

Upon pick up, the appointed trucker must provide empty pallets to replace the loaded pallets.

In case the trucker does not have empty pallets, the carrier has to give up their pallet for transportation of the cargo.

Once the pallet is given, the consignee is charged the pallet exchange fee to account for the pallets given.

Will The Pallet Exchange Fee Impact The Ultimate Cost Of Shipping?

Pallet exchange fee today is most incorporated in the CBM rates during the consolidation of LCL cargo or at the air freight cargo facility.

It is rarely featured in the invoice or shipping quotation.

If it does feature, it is usually addressed as a destination fee.

It increases the overall shipping cost of cargo to its designated destination.

Additional Resources:

Pallets Manufacturers In China

Shipping Pallets

Pallets Size And Dimensions

How To Prepare Pallets For Global Shipment

For all your shipping needs from China, contact Tj chinafreight now.

Per Diem Charge: The Ultimate FAQ Guide

If you have any question about per diem charge, you will find the answer right here.

So, keep reading to learn more.

What Is A Per Diem Charge In International Shipping?

Per diem charge refers to the fee charged once a container exceeds the set free days. The charges will vary based on the type of equipment and carrier.

Per diem fee is charged daily until the container is returned to the port.

Who Is Liable For The Per Diem Charge?

The importer is responsible for settling the per diem charge with the respective carrier(s).

Why Do Carriers Charge Per Diem?

Per diem is charged to ensure the efficient circulation of containers.

Aside from that, it prevents importers from overstaying with the containers and caters to any losses incurred during the period.

Is Detention Fee The Same As Per Diem Charge?

Per diem is a type of detention fee with a fixed rate that containers are charged daily once they exceed the free time.

However, per diem and detention are often used synonymously as both are fees charged on late containers.

How Does The Per Diem Charge Work?

To get a proper understanding, here is a brief example of how the per diem charge works. For instance, you intend to import a container to the US via a shipping line.

As soon as your container is cleared by customs you will be given a certain number of days to freely use it.

If these “free days” lapse, the ocean carrier will charge you a per diem fee each day after the expiration of the free days.

Charges often range between $125 and $175 for each extended day until you return the container.

Such amounts can escalate to a higher value when dealing with several containers annually and thus it’s always important to avoid per diem charges.

What Is The Difference Between Demurrage Fee And Per Diem Charge?

Demurrage fee refers to a charge imposed by the shipping line on cargo that overstays at the port terminal without being transferred for unpacking within the free days.

On the other hand, a per diem charge is applicable when you overstay with carrier equipment such as a container past the allocated free days.

How Are Per Diem Charges Calculated?

For instance, let’s say you have a 20ft container arriving on the 10th of April and can be ready for pickup on 4th May.

This means you will have 25 days before the container is collected. Other figures you will need in the calculation of the charges include;

  • The number of free days: 5
  • Total days charged with detention and demurrage: 20
  • 20ft rate after 10 days: 120,00
  • 20ft rate on the first 10 days: 60,00

With 25 days available for container pick up, you will pay for the 20 days since you have 5 free days. Meaning, you will be paying;

10days x 60,00 =600,00

10days x120,00 =1.200,00

Total =1.800,00

When calculating demurrage or detention, It is advisable to use demurrage and detention charge calculator.

How Can Per Diem Fees Impact My Supply Chain?

When shipping, you’ll want to consider detention, demurrage, and per diem charges as they can greatly impact your shipping business.

And it’s easy to see why.

Every small fee charged on every container can sum up to hundreds if not thousands of dollars per shipload of cargo.

And that’s not enough, per diem fees can also cause delays.

As a business, such charges should be avoided at all costs if so, you are projecting on increased profit margins within the supply chain network.

Knowing these fees is critical in coming up with possible ways to avoid the charges and reduce negative impacts on the supply chain.

Can I Negotiate The Per Diem Charge Per Day With My Carrier?

Per diem charge is a fixed amount. However, you can negotiate free days with your carrier. This is mostly valid for “large shippers”.

How Do I Avoid Per Diem Charges?

Below are some of the ways you could avoid per diem charges;

  • Contract specifications – You can negotiate the number of free days with your carrier detailing specifics that might hinder you from returning the container at the allocated time.
  • Labeling, Cleaning, and packaging – inspections done at the customs can result in your container being delayed in turn incurring per diem charges.
  • Ensure that your goods are properly labeled and you possess every required documentation to avoid falling into such a situation. Also, clean your container as this also causes delays when passing goods through customs.
  • Draymen Scheduling – With some ports being congested and busy, it’s important to book a drayman in advance to avoid any container pickup delays.

Can A 3rd Party Logistics Company Help Me Avoid The Per Diem Charge? How?

Yes, 3rd party logistics company keeps track of your container’s movement from arrival to delivery.

Since most use systems to handle the cargo, expect fast supply chain cycle times.

In cases where a per diem charge is imposed due to their operations, they shall be liable to the charges and not the customer.

What Happens If I Need To Keep Storing Cargo?

To save money, offload your cargo and store it in a warehouse as it is much cheaper than per diem charges.

By so doing, you also allow the container to be returned to the port at the required time.

How Is The Per Diem Charge Different From Port Storage Charges?

We can easily define per diem charges as “equipment rental fee” while storage charges are incurred as a result of using the physical space at the port once the free time lapses.

Are There Any Special Considerations In Relation To Per Diem Charges?

No. Per diem charges are fixed and it’s only the free days that can be negotiated upon.

Why Are Per Diem Charges Controversial In The Shipping Industry?

Per diem charges are controversial since shipping lines have been accused by importers and exporters to have unfair practices (e.g., unreasonable charges and less free time).

This has led FIATA and USFMC to introduce practice guides and recommendations to curb such practices.

More Resources:

Chinese Freight Forwarders

Demurrage

Importing From China

Shipping From China

For all your shipping needs from China, contact TJ China Freight now.