how to import from China for sale?

[fengtree520]

Hi everybody. I am new to be an eBay seller. I plan to import from China for sale. If the goods I purchased from China is shipped by DHL or other express way, must I register import and export number at the Canadian custom? I am in Ottawa. I have no idea about the additional import charges at delivery as well. Please help. Thanks a lot.

[marnotom!]

Start here:

http://www.cbsa-asfc.gc.ca/import/

[surplusdealdude]

I would suggest that you NOT do this at this stage.

China stuff tends to be low quality and there's no guarantee you'll get what you ordered.  You may even get nothing at all.

Sell local stuff until you know more about what you're doing.

[mr.elmwood]

Knew a guy that worked for Air Canada a few years back. They would get a visa, stand-by to Bejing, work the streets. Make a deal with a vendor on price and start filling bags. Stuff would go on the plane, mysteriously around Customs, and into the marketplace.

That is how you import from China to make money.

[bb_cool_stuff]

I seem to recall that.

Were they the ones that were selling the counterfeit watches  in Polo Park ?

I seem to recall the watch seller having their items seized.

Seem to recall the Asian Import seller in Portage Place, the jersey seller in Northgate Mall & the chain of head shops in town all having a lot of items seized as being counterfeit.

Recall tons of counterfeit items being sold in the GTA especially at the Pickering Flea Market & the market close to York if they are even still in operation.

[mr.elmwood]

This was before that, but, same premise. The guy I know about bought designer sunglasses. Make a deal on one, multiply by how many he could take.

The seller in Northgate. I worked across the hall. I wondered how they stayed in business with absolutely zero customers. Ya just knew something was going on.

[bb_cool_stuff]

Wasn't in that area very often but seem to recall that store bursting at the seams with product.

I imagine thay made some great coin before their product was seized.

[mr.elmwood]

These guys wouldn't know each and wouldn't be working together? No, couldn't be.

[bb_cool_stuff]

Sorry, wasn't clear.

Was just referring to the store in the Northgate Mall.

[fengtree520]

Thank you. I fully understand your points. You know, I bought everything locally, but everything was made in China. Computer, tablet, cell phones, cookware, clothes, printer, toys, car seat, chairs.....even the chocolates sold at Dollarama are all made in China. I am just thinking maybe I can import something easy to sell from China.

[fengtree520]

Thank you very much for sharing the information. It is a lot for me to study. It also seems complicated. I can apply the BN easily. But not easy to fill so many docs. One of my suppliers told me, he sent goods in a parcel to USA by DHL, and no BN, no custom docs needed by the receiver. I think so. But maybe not true in Canada. How do you think?

[pjcdn2005]

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@fengtree520 wrote:

Thank you. I fully understand your points. You know, I bought everything locally, but everything was made in China. Computer, tablet, cell phones, cookware, clothes, printer, toys, car seat, chairs.....even the chocolates sold at Dollarama are all made in China. I am just thinking maybe I can import something easy to sell from China.

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The large companies that make brand name cell phones, computers, clothing etc do often make their items in China but they sell their merchandise to other large suppliers and/or stores in North America. The smaller distributing company in China that you or I have access to does not have access to those brand name items so generally, brand names sold directly from China are not genuine. China does not have the same intellectual propety laws that we have here.

[pjcdn2005]

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@fengtree520 wrote:

Thank you very much for sharing the information. It is a lot for me to study. It also seems complicated. I can apply the BN easily. But not easy to fill so many docs. One of my suppliers told me, he sent goods in a parcel to USA by DHL, and no BN, no custom docs needed by the receiver. I think so. But maybe not true in Canada. How do you think?

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Canada and the U.S. do not have the same import laws. The link in post 2 should give you more information.

[zhaca45]

I am not sure if you still need this info, just hope that will help the coming next person who also met that problem:

In fact you could use EMS, DHL, TNT and other express delivery. And for the duty, normally duty depend on the value of the goods, some Customs may does not require lower than USD1000, so before shipping your goods I think you know what should you talk to your supplier. 

ALso, you can ask your supplier give you a price with duty included, they will manage that well. 

[bigscotty]

So, you are ready to purchase a product or products from China. How do you know your costs?

Remember, if you are buying goods overseas, the price is almost always in $US currency. Know the costs of exchanging your money.

Firstly, engage the services of a customs broker. There is no fee until they import the goods into Canada. They will know, based on the amount you are importing and the type of goods your are importing, if you require any Canadian registration(s) or if you are required to have a GST number. They will also be able to provide you with the duty rates of each item you are importing. They will also provide you with a fee structure for their services.

Yes, you can import the goods yourself, but, as you have stated, as you don't know much about importation, it isn't worth the risk and aggravation. The fees a good broker charges are minimal compared to the cost of the product and the freight. I have been importing goods regularly into Canada for 20 plus years and I fully understand what I'm doing, and I would never consider doing it without a broker.

You have the price from the manufacturer. Is it FOB factory, or FOB airport or FOB ocean port. At the time you place your order, you can specify what you would like. It is best to get a price that is FOB port, as the manufacturer will have a much better ability than you of getting the goods to the port for a reasonable price. If it is FOB factory, then you must find out the cost of getting the goods to the port.

Just prior to placing your order, find out from the manufacturer the dimensions of the shipment. The number of boxes and the weights and measures of each box. Trust me they do this all the time.

Now, those dimensions in hand, you contact a courier yourself, or if your smart, a freight forwarder, and get a quote on shipping. I usually contact two or three and freight forwarders for a quote. Freight forwarders have always been cheaper, sometimes way cheaper than a courier. Remember, specify where you want the goods delivered to. It's no use having the goods delivered to the airport, if you can't pick them up yourself. Otherwise, you will have to pay for delivery, which at this point will be an unexpected expense.

So, if you perform all of the steps above, you will end up with the landed costs of your goods. Do this all, before you order anything.

Choosing the the right factory (huge differences in quality control) and the right products are up to you. In the Orient, hardly anything is simply throw away. The products that a major US manufacturer rejects are sold on the open market. Repeat customers or customers they know get the next best and so on, and so on. 

Remember, the rules of business still apply. Know what you are selling. Know your market. Know your lead times. Know your ability to repeat your order at a similar price. Know how your items are packaged. Is a bilingual label going to be an issue? And so on ..... .

Do your due diligence and good luck!

[reallynicestamps]

Have you ever worked retail?

Have you ever been in a management position where you are importing goods for your employer?

Frankly, without a yes to both those questions, I would not try importing from overseas.

Instead, go to the OPL  downtown on Metcalfe St. and get a copy of the Yellow Pages.

Look up liquidators, importers, jobbers and manufacturers.  For the latter, you would actually choose the type of product you want to sell then look up the local manufacturers.

There are not many manufacturers in Ottawa so check Gatineau and the Valley as well. And Montreal, but many companies there operate primarily in French.

Phone and make an appointment. View the goods. This early you want to buy  end of lines and returns. You may be buying pallets of product or bales of garments.

Have your credit card ready. You will not get time to pay for quite a while from the seller, but the card will give you space to turn your credit into product into cash.

Do you have a sales tax number? If the seller is not asking for it, you are paying retail. The seller gets a rebate from the tax man when he sells to a reseller like you or me. 

Since most of your sales will be outside Canada, talk to your accountant about tax credits for exporters.

And do have an accountant if you are going into this in any big way.

Sell what you know. Know what you sell.

Don't bite off more than you can chew. Don't count your chickens before they hatch.

[nuvistors]

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@fengtree520 wrote:

Hi everybody. I am new to be an eBay seller. I plan to import from China for sale. If the goods I purchased from China is shipped by DHL or other express way, must I register import and export number at the Canadian custom? I am in Ottawa. I have no idea about the additional import charges at delivery as well. Please help. Thanks a lot.

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You will need to take some lessons from Canadian Tire and  Dollarama.    They seem to do quite well selling Chinese items.

[pierrelebel]

" I am just thinking maybe I can import something easy to sell from China."

It would help if you could give us a bit more information on your plans.  Back in the 70's and 80's, i gained substantial experience importing from the Far East (China (both PRC and Taiwan), South Korea, Japan, etc...), typically by full container loads. My annual purchasing budget was in the tens of millions. I am quite willing to help you.  That is what experience is for,

You need to decide what kind of business you want to own and manage, its size, its budget, its marketplace.  The key to successful mail order (direct marketing) business has always been the same:

Know what you sell.... Sell what you know.

Do you already know what products you wish to buy and sell? Do you already have reliable suppliers lined up? Do you know how to pay your suppliers (letters of credit is the norm). Have you made arrangements with your bank already? Have you already registered with GST/HST?

Once you have a better idea of exactly what you want to do, come back and ask your specific questions.