If you are planning to import goods from China during the festive period or for some other important events, it is vital to allow time for manufacturing. Imagine the level of the misfortune of shipping from China to Canada and getting your offer for bucks of synthetic Christmas trees in the January period!
Importation of goods and products from China and the Far East can be a worthwhile and highly rewarding business, as long as you carry out a comprehensive research and use a reliable import/export agent. Doing “blind” business transaction over the internet can cause lots of troubles, especially if they asked for a cash in advance. The standard means of payment when importing goods from China is via letter of credit and so the demand for cash in advance (unless the payment is made for samples) should keep you on the alert.
A letter of credit is not the ideal means; for instance, an exporter could pack the boxes with paper and you might not know that the goods are absent until your bank confirm the receipt of the letter of credit. However, most scammers are not expected to go through these steps to hoodwink suppliers, as they can be easily traced through the paper trail left behind. Personal recommendations or Trade fairs are considered as the safest and secured means of establishing contacts coupled with the validation of the qualifications of a supplier. You are advised to consider these factors before making any decision.
It seems evident but there are a lot of routes to getting products in China through trading companies, factories, agents, and wholesalers or any no. of “back door” sources. Agents work on a commission basis whilst trading establishments include costs in the quoted price, the majority of the factories and wholesalers don’t have export approvals, therefore, they have to operate through a training establishment or registered agent to export to you at all.
Almost every sales individual that I have encountered in the Asian country of China that’s not the owner of the establishment has shown interest in either doing his own deals on the side through contacts, family or friends or simply setting up on his own by “stealing” his employer’s product designs and customers.
On the internet, there are a lot of dubious “traders” and scams. But accepting that you’re diligent or lucky enough to get a legitimate agent/trading establishment, you will find that Chinese business ethics are really different. The majority of the Chinese contacts and friends that I have talked to on the subject believe that “cheating” happens to be the name of the game for those in business.
Having a great feel for the all-inclusive price from a lot of suppliers for the particular product you want provides you with the buying power to negotiate and get the appropriate product from your selected supplier at an affordable cost of hopefully without any “extras”.
Payment conditions are more often than not 30% down payment with the residue when manufacture has been completed. But beware of the requests for full payment with a money order, these payments are to persons and are generally not traceable once made. No security, no terms and probably no goods and just bitter experience to be gained!