How Deep is the Water in Agency Export Quotations?

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Uncover the hidden rules of agency export pricing, analyze the impact of exchange rates, tax rebates, and logistics on the final quotation, provide professional price evaluation methods and risk avoidance strategies to help foreign trade enterprises see through low-price traps and establish a scientific cost control system.

"The same product, why is Company A's quote 30% lower than Company B's?" Mr. Wang frowned as he stared at two agency export quotations. This is not just a game of numbers, but a covert battle for supply chain dominance. Today, let's lift the heavy fog surrounding agency export prices.

The Triple Mystery Behind a Quotation

Don't Get Ripped Off by Low-Price Agents!

Agency export prices are never a simple "cost + profit" formula. The variables of exchange rate fluctuations, tax rebate policies, and logistics solutions can cause the final quotation to fluctuate by over 20%. Mr. Wang lesson is typical: last year, she chose the agent with the lowest quote, but due to the latter using a non-registered port, her tax rebate was delayed, resulting in an actual loss of over 170,000 yuan more than the agency fee saved.

  • Exchange Rate Trap: Some agents lock in forward exchange rates, pocketing the difference when the RMB appreciates.
  • Tax Rebate Shenanigans: Inflating commodity codes to obtain higher tax rebate rates, with the risk of subsequent recovery being 100% transferred to the client.
  • Logistics Nesting: A seemingly cheap FOB price may hide high unpacking fees at the destination port.

Zhongmaoda Experts Reveal the Golden Rules for Price Evaluation

Professional foreign trade agents like Zhongmaoda typically provide a comprehensive cost comparison table, visualizing the following elements:

  • Average cost per customs declaration (the watershed between under 200 declarations and over)
  • Bank fee calculation method (per transaction vs. percentage)
  • Inspection fee bearing terms (differences between factory inspection, port inspection, and destination port inspection)

Survival Strategies Amidst Price Wars

When competitors are locked in a price war, smart enterprises are doing three things:

1. Request agents to provide exchange rate execution records for the past 12 months, comparing the deviation between the declared exchange rate and the actual settlement exchange rate.
2. Include a penalty clause in the contract for the arrival period of tax rebates, with a penalty interest of 0.05% for each day of delay.
3. Replace FOB quotes with EXW quotes, keeping transportation control in your own hands.

Have You Truly Understood the Quotation?

The next time you receive an agency quotation, consider asking three questions first:
- Is the validity period of this quotation 72 hours or can it be frozen for 30 days?

- Is the document express delivery fee calculated per instance or included in the service fee?
- Is the letter of credit notification fee charged per instance or bundled annually?

Price is always the surface, while the real game lies in the risk allocation mechanism. Are you ready to redefine the value standards of agency export? Welcome to share your encountered quotation traps or money-saving tips in the comment section.

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