What You Need to Know
A significant portion of goods purchased by Australians are imported from China, making this trade route vital for businesses. While importing might seem straightforward, the way you manage the shipping process can significantly affect the success and cost of your operations.
This article highlights common pitfalls Australian importers encounter when relying on Chinese suppliers for door-to-door shipping. We’ll also explain why partnering with a seasoned customs broker in Australia like Platinum® Freight can help you avoid unnecessary costs and delays.
The Risks of Relying Solely on Your Chinese Supplier
Many Chinese suppliers assure their buyers with statements such as, “We ship to Australia regularly.” While this may sound reassuring, you need to consider that suppliers have varying levels of experience managing international shipping.
Generally, they fall into one of three categories:
1. Suppliers with no experience in shipping to Australia often lack understanding of both the Australian Border Force (ABF) and Department of Agriculture, Fisheries and Forestry (DAFF) requirements, creating compliance issues and delays.
2. Suppliers with limited experience shipping to Australia may provide incomplete or inaccurate documentation, which can cause additional costs and logistical issues.
3. Suppliers with regular experience shipping to Australia – While they are more knowledgeable, their focus remains on selling their goods, rather than ensuring an efficient delivery process for you. Your overseas supplier is in sales; their role is to sell you the goods.
Even suppliers in the third category present risks. By allowing your supplier to manage door-to-door shipping under terms such as Delivery Duty Paid (DDP) or Delivered at Place (DAP), you are giving them control over a critical part of your logistics and compliance responsibility.
This often results in the following issues:
- No Australian customs broker involvement upfront. Without a customs broker (on your side), your paperwork is unverified before the goods have been shipped.
- Delayed communication. Typically, you will only hear from the supplier’s nominated customs broker a few days before the goods arrive in Australia.
- Unexpected costs. Port charges and freight fees presented by the supplier’s agent are often inflated, leaving importers stranded with (1) limited knowledge and (2) no understanding of what is standard and what is inflated.
Securing oversight for your shipments through a dedicated Australian customs broker is essential to avoid these challenges.
Why CIF Is Preferable to DDP or DAP
Rather than leaving the entire shipping process to your supplier, Platinum® Freight strongly recommends opting for the Cost, Insurance, and Freight (CIF) INCOTERM.
Choosing CIF offers several advantages:
Cost transparency. Unlike DDP or DAP, CIF allows you to remain in control and to also reduce your risk overall. It allows you to not ‘re-invent the wheel’; you can ask your Chinese supplier to ship the goods as CIF but have an Australian customs broker like Platinum® assess all of the finer details before the goods have been shipped to Australia.
Pre-arrival clearance. By choosing CIF, Platinum® can intervene early, ensuring that you and your goods are compliant with both the Australian Border Force (ABF) and Department of Agriculture, Fisheries and Forestry (DAFF) rules. We’ll also pre-clear your shipment before it arrives.
Platinum® One Touch®. You will work directly with one of our customs brokers one on one; a customs clearance expert who will handle your shipment from the very beginning through to the end. There are no multiple points of contact to manage; we simplify the entire process.
By adopting CIF INCOTERMS and receiving Platinum® Freight’s support, Australian importers can avoid the headaches and financial risks associated with supplier-led shipping.
Platinum® Freight Solutions for Australian Importers
Tailored Customs Brokerage Services
Platinum® Freight offers customs clearance services designed to address the unique needs of Australian importers. Whether your goods are to arrive via sea freight or airfreight, we ensure everything complies with local regulations, avoiding unnecessary delays.
Seamless Freight Forwarding Services
With our Platinum® freight forwarding service, you can rest assured that we will effortlessly coordinate with your supplier overseas and manage all logistics up to delivery in Australia. Our expertise means fewer delays, optimised costs, and a smoother importing experience.
A Commitment to a One Touch® Service
We understand how confusing importing can be, especially when dealing with multiple parties. That’s why Platinum® offers an unmatched One Touch® service. This approach ensures that you will only ever deal with one dedicated customs broker who prioritises your shipment from preparation to delivery, providing transparency and control.
Cost Savings You Can Trust
Importers are often caught off guard by inflated port fees or extra shipping costs. With Platinum®, you will receive transparency so that every charge is clear and understandable. We will ensure that you don’t spend more than necessary.
Critical Questions for Australian Importers
Before committing a deposit to your Chinese supplier, consider the following:
- Does my supplier have adequate experience shipping to Australia?
- Have I partnered with a professional Australian-based customs broker to review my documentation and monitor the process?
- Am I fully aware of all shipping, freight forwarding, and port-related costs?
The answers to these questions could determine whether your importing experience runs smoothly or is riddled with costly complications.
Platinum® Freight is here to serve as your trusted customs broker when importing from overseas. With over 25 years of experience, we bring the knowledge, compliance, and logistics expertise necessary to streamline your import operations.
The promise of “door-to-door service” from a Chinese supplier may appear convenient, but it often disadvantages importers. These arrangements prioritise suppliers instead of Australian businesses, leading to inflated fees, compliance risks, and delays.
Platinum® Freight offers a superior alternative. With comprehensive customs clearance services and expert freight forwarding, we simplify the importing process while maximising value. Our solutions are designed to protect your business interests and deliver hassle-free results.
Platinum® is a customs broker, we work for you, we want to make sure that you are not being ‘ripped off’ and that you are also compliant.
Take control of your importing process with the guidance of Platinum®. Call us on 1300 882 877 or visit Platinum® Freight Management to request a no-obligation quote. Start saving time and money on your imports today.