Who should take care of the shipping and insurance, importer or exporter?
Post 1 of 112
When buying from overseas is it better for the exporter or the importer to take care of the shipping and insurance?
06 Jun 2006 20:51
Post 2 of 112
Replying to [KING8]:
King8,
Personally, I like to get two quotes from my suppliers...CIF and FOB, this way I can determine for myself if I can arrange shipping for less cost than the seller is quoting. In your case it depends on your comfort level in dealing with freight companies and how much effort you are willing to expend contacting and comparing prices between forwarders. I would also note that assuming your seller exports frequently, he/she may have a good deal with a freight forwarding company and will pass those savings on to you.
Hope that helps.
Good and Safe Trading!
Sharla
King8,
Personally, I like to get two quotes from my suppliers...CIF and FOB, this way I can determine for myself if I can arrange shipping for less cost than the seller is quoting. In your case it depends on your comfort level in dealing with freight companies and how much effort you are willing to expend contacting and comparing prices between forwarders. I would also note that assuming your seller exports frequently, he/she may have a good deal with a freight forwarding company and will pass those savings on to you.
Hope that helps.
Good and Safe Trading!
Sharla
06 Jun 2006 22:32
Post 3 of 112
Replying to [tworiverstradingco]:yeah,you are experienced.![[em19]](http://img.alibaba.com/images/eng/style/icon/emoticons_great.gif)
06 Jun 2006 22:58
Post 4 of 112
Replying to [KING8]:
I find getting CIF terms usually works out cheaper coz the rates in china are a lot cheaper than elsewhere.
I find getting CIF terms usually works out cheaper coz the rates in china are a lot cheaper than elsewhere.
07 Jun 2006 02:03
Post 5 of 112
Replying to [KING8]:
I agree with tworiverstrading.
I personally always get CIF prices. Reason is that Chinese Suppliers send out that much that most of them have great deals with their shipping agent due to the business they give them.
Besides that, it is easier to let them arrange everything and do all the work and worry, and you can just take over when the goods arrive in your country.
Easy.
![[em3]](http://img.alibaba.com/images/eng/style/icon/emoticons_grin.gif)
I agree with tworiverstrading.
I personally always get CIF prices. Reason is that Chinese Suppliers send out that much that most of them have great deals with their shipping agent due to the business they give them.
Besides that, it is easier to let them arrange everything and do all the work and worry, and you can just take over when the goods arrive in your country.
Easy.
07 Jun 2006 06:58
Post 6 of 112
Replying to [grigo]:
Dear 2 and Grig,
Here is a quick quetion for you. When having your China (or whoever) supplier do CIF have you ever had to claim back against the Insurance?
I have been led to believe that CF is generally better since if something goes wrong it is much easier for me as the buyer to claim against a US company rather than a China one.
Would appreciate input on this one from all.
Dear 2 and Grig,
Here is a quick quetion for you. When having your China (or whoever) supplier do CIF have you ever had to claim back against the Insurance?
I have been led to believe that CF is generally better since if something goes wrong it is much easier for me as the buyer to claim against a US company rather than a China one.
Would appreciate input on this one from all.
10 Jul 2006 13:43
Post 7 of 112
Replying to [tworiverstradingco]:I overlooked at your reply and you seems to be the perfect person to explain to me what is CIF and FOB means? ![[em9]](http://img.alibaba.com/images/eng/style/icon/emoticons_dizzy.gif)
Thank you for your attention..![[em1]](http://img.alibaba.com/images/eng/style/icon/emoticons_smile.gif)
Thank you for your attention..
18 Jul 2006 04:53
Post 8 of 112
Replying to [KING8]:
CIF and FOB are better for clients.
CIF and FOB are better for clients.
24 Jul 2006 17:47
Post 9 of 112
Replying to [KING8]:A smart buyer always controls their own freight. I love it when a lazy buyer asks me to quote CIF because I can make a profit on the freight.
Having lived in Asia for the past 17 years, I know that we can often get lower freight rates here than when I was buying freight froim North America. However, sometimes the problem with a North American buyer buying CIF is that the Asian freight forwarder has a very weak relationship with their agent in North America. Sometimes the Asian freight forwarder won't even have a freight agent in the destination prot and will search around frantically at the last minute trying to set one up. In the rush, communication between the two freight agents gets mixed up, a cost factor missed, and the importer might face some unexpected costs when they are ready to clear the goods.
It is a good idea to build a relationship with a few local forwarders. Be reasonable, but tell them the freight rate you need to make the deal workable. I was once exporting Borax from USA to Korea and managed to get 20' FCL rates at $400/pc on a shipment of 5 containers.
There are always empty containers going back and forth across the Pacific. It is possible to negotiate special contract rates, especially with the non-conferance carriers.
Having lived in Asia for the past 17 years, I know that we can often get lower freight rates here than when I was buying freight froim North America. However, sometimes the problem with a North American buyer buying CIF is that the Asian freight forwarder has a very weak relationship with their agent in North America. Sometimes the Asian freight forwarder won't even have a freight agent in the destination prot and will search around frantically at the last minute trying to set one up. In the rush, communication between the two freight agents gets mixed up, a cost factor missed, and the importer might face some unexpected costs when they are ready to clear the goods.
It is a good idea to build a relationship with a few local forwarders. Be reasonable, but tell them the freight rate you need to make the deal workable. I was once exporting Borax from USA to Korea and managed to get 20' FCL rates at $400/pc on a shipment of 5 containers.
There are always empty containers going back and forth across the Pacific. It is possible to negotiate special contract rates, especially with the non-conferance carriers.
24 Jul 2006 17:57
Post 10 of 112
Replying to [Binsk]: Nice answer, If your going to import regularly it's best to build your own relationships. But as stated before..get pricing for both..
24 Jul 2006 21:00
Post 11 of 112
Replying to [KING8]:if u have experience in exim than FOB is better than CIF.![[em20]](http://img.alibaba.com/images/eng/style/icon/emoticons_victory.gif)
24 Jul 2006 21:57