Is the export agency business full of pitfalls? Six steps to help you avoid them

Mr. Zhang recently received an overseas order but was overwhelmed by the complex documents during customs declaration; Ms. Li's ceramic handicrafts were detained by the customs due to not understanding the standards of the destination country, causing heavy losses... Export trade seems full of business opportunities, but in fact, it hides thresholds. How to bypass these pitfalls? Today we will break down the full process of export agency companies to help you easily achieve "goods reaching the global market".

According to industry data, about 68% of small and medium-sized enterprises fail in transactions due to not being familiar with international trade rules. An export agency company is like a "foreign trade guide" that can help you solve:

• Avoid fines due to incorrect customs declaration documents
• Match the optimal logistics plan to save 20%-35% of costs
• Handle professional compliance requirements such as destination country certifications

Step 1: Qualification review and contract signing

A regular agency company will require the enterprise to provide documents such as business licenses and import and export rights certificates. Professional institutions such as Zhongshitong will also additionally review whether the products meet the export standards to avoid subsequent risks.

Step 2: Customized logistics plan

According to the characteristics of the goods (fragile/dangerous goods, etc.), time requirements, and budget, the agency company will provide combination plans such as full-container ocean shipping/LCL shipping, air freight, and China-Europe railway express. A customer once reduced the transportation damage rate of glass products from 15% to 3% by optimizing the plan.

Step 3: Preparation of customs declaration documents

Including 8 core documents such as commercial invoices, packing lists, and certificates of origin. A clothing factory once was taxed 48% anti-dumping duty due to incorrect HS code declaration, and a professional agency can accurately avoid such problems.

Step 4: Assistance in destination country customs clearance

The EU requires CE certification, the US requires FDA documents, and the Middle East requires Halal certification... The agency company will inform the requirements in advance and assist in handling. A food enterprise once had an entire container of goods destroyed because it did not undergo Australian quarantine treatment.

Step 5: Foreign exchange settlement support

Receiving and paying through the agency company's foreign exchange account can avoid the risk of exchange rate fluctuations. A machinery manufacturer adopted the locked exchange rate service and recovered 72,000 yuan more per single order.

Step 6: After-sales follow-up service

An excellent agency will provide continuous services such as logistics tracking and return goods processing. During last year's Double Eleven period, an agency company helped a customer shorten the cross-border e-commerce return goods processing time to 72 hours.

• Industry experience: At least more than 5 years of operating experience in the main category
• Global network: Have a cooperation customs clearance agency in the target market
• Risk plan: Have supporting services such as freight insurance and legal consultation

Now leading agency companies such as Zhongshitong have achieved:

• Real-time online tracking of goods location
• AI intelligent identification of customs declaration document errors
• Big data analysis of the optimal tax rebate plan

After reading this strategy, do you have a new understanding of the export process? Welcome to share your foreign trade story in the comment area, or send a private message to obtain the 2024 White Paper on Export Compliance in Emerging Markets. Next time, we will reveal the hidden costs of "import agency", stay tuned!