What is Imports?
As import word meaning; The process of nationalizing the products and services purchased from a foreign country through the customs area is called import.
Compared to exports, the import process is a more procedural process both in terms of legislation and documents to be supplied. It will be in the interest of the companies to investigate many details from the country where the import will be made, to the quality of the product to be imported, and to decide on the import following the feasibility studies. The products coming to the customs are either abandoned or sent back just because the price, market, legislation and cost calculations are not made beforehand.
You gave it up to import, found your product, ordered the exporter company, and made the necessary agreements with the places where the product will be sold. The real process begins after that. Contrary to what most companies do, you have left many applications that you should do in the beginning. You have not received the legislation information. You did not receive any information about customs, you do not have information about the documents you need to supply.
In order to become an importer;
A) Documents that should be included in the Customs File:
1-Trade Registry Gazette (original or notarized)
2-Activity certificate (original)
3-Tax liability letter (original or internet printout)
4-Signature Circular of Authorized Signatories (notarized)
5-The person authorized to sign, T.C. Notarized copy of identity card (notarized) with ID number
6- Power of attorney to be given to customs brokerage (notarized)
After your customs file is submitted to customs and all documents are approved, there is no obstacle to import / export.
The most important factor to consider in this process is to supply the legislation information about the product you want to import before ordering the product. Trying to bring products from abroad with the idea of buying it 3 and selling it to 5 is to accept the loss from the beginning. You can consult a customs brokerage from the very beginning to learn about the tax rates of the product and learn the permissions required for import in advance.
If it is necessary to exemplify;
On a trip to China, we found a rechargeable battery far below the market, without any research, we approved the battery order of 25,000 USD and came to our country with peace of mind.
We will contact X customs brokerage through an acquaintance during this period, which will be available in 1-1.5 months. We request the documents required for the X customs consultancy firm file from us until we receive the products, we also provide these documents and present them to our new customs official. Since we make the payment to the exporter company, the invoice of the products reaches us with an agency such as DHL, FEDEX, UPS. Since you do not have any information about the documents, we take the documents to our customs official. The real problem starts after this point
1) The way of delivering the products is FOB, so the responsibility of the seller ends on the ship deck. From now on, we think that all costs belong to us, we will handle 3000 USD freight + 100 USD insurance at the beginning (our cost is 28100 USD for now)
2) We need to pay 18% VAT + 2.7% customs tax on the CIF value of the products (28100 USD). Although VAT is not counted as a cost, if your financing is not available, this is a big problem (we will need to pay 1350 TL G.V + 9350 TL VAT.
3) For all these costs, we will need to add 3000 USD for the service fee of the customs clearance company, such as port warehouse fee, domestic transportation, etc.
4) I kept the part that will cause the problem to the end. We can not import batteries. Our necessary permits are our environment compliance letter. It is also necessary to consider the application for environmental compliance permit to the MINISTRY OF ECONOMY.
As you can see in the above-mentioned items, the battery you ordered for 25000 USD is very cheap, without question, and the raw cost is 41000 USD and this is just our entry cost and optimistic table. Traveling in unfamiliar markets will come back to us as loss, not profit. If you do not organize the market you will sell in case you import the product we know, the result will be disappointment.
Therefore, before starting the import process, we must establish all organizations successfully and prepare all our plans from the beginning. There is no need to be from bulgur at hand when going to Midyat rice.