Importing With A Company That Offers Door To Door Service

[tool84]

Hi,

We will be importing food products from Germany to Bkk and our supplier works either with DSV or Kuehne and Hagel depending air or sea freight. Both these companies offer door to door service and I got a quote for 1 pallet of 200kg about 700 euro by plane. According to the quote document I received, it seems DSV handles everything related to customs at Bkk airport and then bring the pallet to our store. I would just like to know the process of working with a company like them since this will be the first time we will import something to Thailand. We will have our import license and FDA license in order to be able to import, but I'm just wondering what we need to do in the import process since these companies do door to door service. Once the order is put through, do we need to do anything or it will all be handled by DSV? Is it us that need to submit the import information with customs prior to the shipment arriving or it will be handled by the shipper? I'm just not sure if door to door means we do not need to handle anything in the process, save for having the needed licenses to import.

Thanks

[glegolo]

You should be aware that it all depends on how you have bought the goods. As being shipped door to door

that should mean that you have bought it CIF or C&F your address in Thailand.

But nevertheless even if it is being bought on CIF-premises you are the one that shall have you import-documents in

order. The seller´s agent in Thailand will perform the actual customs clearence and do it based on your paperwork......

So papers from you and the practical work is being done by the sellers agent.

Glegolo

[TobiasML]

If this is door to door than it would be DDU - Delivered Duty Unpaid or DDP - Delivered Duty Paid. In both cases you will need to provide your import and FDA license numbers to the forwarder. Usually the forwarder DSV or KN will do all formalities for you. In case it s DDU you will most likely prepare as well the payment for duties and vat. This will be collected before the shipment is released into your custody. Should you have more questions PM me.

[TobiasML]

Forgot to mention that you will need as well to pay VAT if the term is DDP.

[glegolo]

TobiasML. I hope you know what you are doing when offering to deal with this via PM.... Are you a freight forwarder or??? If not,

stay back a bit and deal with this in the open....There are actually freight forwarders here on this forum....

Glegolo

[onthemoon]

Whatever freight forwarder you use, a customs clearance has to be done, and the appropriate import licences are required.

DDU does not exist any more in the INCO terms 2010, there is DAT and DAP now.

[raro]

Door to door means that you paid for everything that the logistics concern. Not included are duties and taxes unless the terms are ddp which would be rather unusual.

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[TobiasML]

TobiasML. I hope you know what you are doing when offering to deal with this via PM.... Are you a freight forwarder or??? If not,

stay back a bit and deal with this in the open....There are actually freight forwarders here on this forum....

Glegolo

Hi Glegolo,

I am working since over 13 years in logistic and would not give a recommendation if I do not know this topic. There are just topics or advices I am not providing to the public as it might only be user relevant.

[CWMcMurray]

^{Looks like you have received answers to your questions... and confirm there are a fair number of members on here that are forwarders.. including myself, at least two others that replied on this thread..}

The additional comment I would make is that If in your shoes, I would also get a quote from forwarder(s) here in Thailand under EXW terms and FOB as well for comparison.

Exworks terms means that your nominated forwarder would handle all of the activities from pick up from shipper in Germany to arrival at your door here in Thailand.

FOB would mean that the shipper handles all the local stuff in Germany with their forwarder and drops at the airport. You nominated forwarder will then make the flight booking and arrange for customs and delivery upon arrival.

One reason to do this is that you may be able to get a better cost as for 200 kg, EUR 700 seems a bit high...

Second reason is that it gives you more control. You nominated forwarder will be the one responsible for confirming flights and will also then receive shipping docs in a more timely fashion (in many cases). This will allow your customs import entries to be drafted in advance of flight arrival and speed up the customs and delivery process.

Which for food items (especially is perishable) is very important, can also help to control storage charges, as cargo terminal here in Thailand only offer 2 days of free storage. So if shipper uplifts end of the week with an ETA on Fri or Sat, you could get stuck with some additional storage.

Also in many cases (not all), if shipper is arranging under DDU, their nominated agent's Thai office may not end up contacting you until they receive the shipping docs from their Germany station or in worst case, not until cargo actually arrives. This again can lead to higher storage costs.

[p_brownstone]

You will also have to Register your Company with the Thai Customs Departments "Paperless" Import Entry system and receive a Company ID from them.

You only need to do this once obviously - the same Company ID is used for all future shipments.

In addition you should make sure you know the Harmonised Customs Tariff Code for the Products and give this information - plus a Thai translation of the items Imported - to whatever Company you decide to use for the Importation. Much better to do this before the goods arrive otherwise you may find that the Thai Customs Department arrive at their own determination on what Tariff Code your Products fall; once they make that decision by themselves it is not always easy to persuade them otherwise. If they get the correct information from the Importer beforehand they tend to accept it and base their Income Tax assessment on that.

Patrick

[Terratrader]

I need a freight forwarder for regular shipments from from France. Do I also need tarif codes, import licence; etc?

Peter

[CWMcMurray]

I need a freight forwarder for regular shipments from from France. Do I also need tarif codes, import licence; etc?

Peter

Depends on the product, not all products require import permits

What are you planning on importing?

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[Terratrader]

Food that does not yet have a permit.

As far as I know ALL food products need a permit for Thailand.

And I found out they ship from the UK, not Fance. My wrong.

[CWMcMurray]

Yep, you are right

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