China Supplies Basics

As China supplies are getting hotter by the year, more and more businessmen are evincing interest in it. While it is not impossible to have a direct shipment of China supplies, it pays to know the basics in terms of dollars saved; after all China supplies are sought because of the strong business sense it makes. China Supplies Basics It makes sense to contemplate China supplies in your core business area in which you have established distribution setup. This applies to both niche marketers as well as general importers/distributors. Workout import licenses, bankers' support and distribution strategies etc as supply side management is relatively easier. Basic Steps to Prepare For China Supplies 1. Workout the cost difference between domestic and China supplies. If the differential doesn't workout to around 30%, there is hardly any scope for that product. This is a blanket rule which applies across all products China supplies. 2. It is time and cost effective to move forward through agencies such as China Supply Chain Council and China B2B HUB. The former assists with information and regulatory matters, the latter in all other things related to China supplies including arranging for samples, quotation and logistics. Alternately, you can arrange your C&F for bulk shipping; consider 'drop shipping' for smaller consignments. 3. If you are ordering your first China supplies, begin with the minimum specified quantity. While there is no minimum amount for orders, you are required by China supplies companies to commit a minimum quantity, no matter you order a single item or mix many. This benefits both of you in terms of optimized container/shipping cost. 4. Payment modes accepted generally by China supplies companies are wire transfer, check and Paypal. For amounts above $5,000, wire transfer is preferred by them as it is faster. Checks take a long time to realize, so calculate your lead times if you should choose this option. Paypal may not be worthwhile for big-ticket orders considering the higher charges. 'Letter of credit' option may have to be negotiated individually with each manufacturer. Most China manufacturers need advance payment of 35-50% which you need to checkout beforehand. 5. Most China supplies quote are FOB (Free over Board), so export/import duties, insurance, inspection charges and logistics upon arrival will be to your account. 6. If you make your own shipping arrangements, it is better to inform your China supplies company at least before making the final payment to avoid last minute confusions. 7. You must be prepared for a lead time ranging from 3-30 days depending on the product mix, stock position and quantity ordered by you. So, plan your domestic distribution commitments inline with this. 8. Have your shipment inspected by an authorized inspection service to certify. Without this, you are deemed to have agreed as having received the consignment in completely satisfactory shape.

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