5 Mistakes of Unsuccessful Importers in Pakistan (Why Import Businesses Fail)
We are going to talk about new importers/trader, we will explain here 5 Mistakes of Unsuccessful Importers in Pakistan. If you have the plan to start your own import business in Pakistan so you have to read this article and don’t repeat these mistakes to running a successful business.
What are the reasons why small import businesses fail in Pakistan? you will definitely answer this question after reading this article.
5 Mistakes of Unsuccessful Importers in Pakistan
Followings are the 5 Mistakes of Unsuccessful Importers in Pakistan which are given below:
1) Not Having Correct Information about Import/Export Rules and Regulation
You have to research rules and regulation of a product that you want to import in Pakistan, the first thing you will check your required product must not be in banned, prohibited and restricted items list in Pakistan.
If you fail to collect this information, so ask from your customs clearing agent, your agent will make your life easy, and provide all your required information.
Then you will confirm the list of required documents of that particular product to clear customs clearance, again you will get custom agent’s help to come up with required documents list.
After getting the list, now it’s your job to collect all required documents before your cargo reach at the port and you start clearing process. if you fail to do so, then customs clearance process delay due to not having required documents, due to this you will have to pay demurrage charges, it increases your cost and reduces your profit margin.
2) Hiring an Unprofessional or Inexperienced Customs Clearing Agent
Now a day, freight forwarder also provide clearing agents services but they don’t have any customs license and in Pakistan only licensed Customs broker can clear import/export cargo, so they get work from you and hire an agent so it also increases cost, therefore directly hire a customs agent to save extra cost.
One more important thing, you must hire experience customs clearing agent, inexperienced and unprofessional agent create many problems.
3) Not Declaring the Correct Value in Customs
New importer deliberately not declare correct customs value because they think if they declare low value so customs duty and other taxes calculate less but they don’t understand it’s not going to work anymore in Pakistan, because Pakistan Customs determined the values of importable goods through Valuation Rulings.
What is a Valuation Ruling?
We discussed details video What is Valuation Ruling in Pakistan – Why Customs Values of Imported Goods Determined or Fixed.
4) Lack of Knowledge about Incoterms (FOB, CNF, CIF)
Get more information about What is Shipping Term FOB, CNF, CIF and Difference B/w FCL / LCL, carefully understand incoterms and give quote accordingly.
5) Not Verifying Supplier or Check Fraudulent Suppliers
Lots of new traders start to import business without a verifying supplier, how to distinguished scam supplier from the real supplier, I know it’s difficult but not impossible. Before starting new import business with a new supplier you have to verify about them.
- How to Find Genuine Buyers for Export Business in Pakistan – Pakistan Export Customs Data
- How to Confirm Whether a Company (Buyer/Supplier) is Fake or Real in URDU
- High Value & Most Demanding Import Products in Pakistan – List of High Demand Products, Import From Pakistan
- Invalid HS Codes As Per Finance Budget 2016-17
- Download VGM Undertaking
- Undertaking For Anf Inspection
- SOLAS VGM Requirement for Pakistan
- What is SOLAS Convention
- Online Application of Certificate of Origin In Weboc
- Issuance of Certificate of Origin through WeBOC system
- Use WeBoc in Mobile Phone ( Android or Iphone )
- Implementation Of Electronic “I” Form (Eif) Module
- Select Market For Export Your Product Or Services
- Getting Ready For Export Your Goods Or Services
- Prepare Yourself To Start Your Own Export Business
- Procedure to Get Karachi Port Trust Individual Pass (KPT Entry Pass)
- Download KPT Character Verification Form
- Customs Penalty for Not Placing Packing List and Invoice In Imported / Exported Cargo
- Procedure to Amend Electronic Form-E in Weboc
- How Banks Will Obtain WeBoc User ID and Password
- How to Create Online Electronic Form-E Issuance Request in WeBoc (Video Tutorial In Urdu )
- How to Add Bank Branches In Weboc
- File Request For Issuance of Form E in Weboc
- GD Filing Time In Weboc
- License Renewal Procedure of Customs Clearing Agent
- How to Get Phytosanitary Certificate in Pakistan – Procedure to Get Fumigation Certificate In Pakistan
- What is a Form E – Export E-Form in Pakistan
- List of Certificate Required As Per Import Policy Order
- Create Export GD in Weboc Video Tutorial in Urdu
- Transshipment through Pakistan Railways
- Pakistan Customs Problems and Their Solution
- How to Get Certificate of Origin – How To Get FTA Certificate (China Free Trade Agreement) For Import & Export In Pakistan
- Hs Code of General Products
- How To Get DTRE Approval – What is DTRE Scheme and DTRE Rules – How to Get Approval of DTRE (Duty And Tax Remission Scheme)
- How to Claim Rebate and what documents are required
- Download Duty Drawback Claim Undertaking Format
- Do not file GD till FTA certificate in original is not available
- How To Clear Export Customs – Complete Procedure
- Custom Duty on Solar Panels In Pakistan
- What is Goods Declaration (GD)
- Documents Required For Customs Clearance in Pakistan
- How Can I Get My Goods Declaration (GD) Online
- Car Import Schemes In Pakistan
- Import of Duty Free Car For Disable Person