How much does it cost to import milk as an agent? Find out now!

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I'd like to import milk as an agent, but I'm unsure about the capital required. Are there any friends familiar with this who can explain? What are the expenses to consider? Approximately what is the range for each cost? I hope for a detailed explanation so I can have a clear understanding and assess if my capital can meet the demands of agent-importing milk.
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Kevin Huang
Kevin HuangYears of service:3Customer Rating:5.0

E-Commerce Export AdvisorStart a Chat

The cost structure for agent-importing milk is relatively complex. First, there's the payment for goods, which depends on the brand, type, quantity, and purchase price of the milk, with significant variations among different products. Next are transportation costs, including international sea or air freight. Sea freight is relatively cheaper, charged by container, and full container shipping costs can range from several thousand to tens of thousands of RMB; air freight is faster but more expensive, usually charged by weight.

Then come customs clearance fees, which include declaration fees, inspection fees, and taxes. Tax rates are determined by the type of milk and country of origin, with a general comprehensive tax rate of around 20% - 30%. There are also warehousing fees; if goods cannot be picked up promptly after arrival at port, storage costs will incur. Additionally, agency fees are an expense; for agency companies like Zhongmaoda, agency fees are typically charged as a percentage of the cargo value, possibly between 1% - 5%. Overall, a small-scale agent start-up may require preparation of hundreds of thousands of RMB, while large-scale operations may need several million or more.

References: The Secret Weapon of Tianjin Import Technology Agency Supply You Don’t Know
Anthony Luo
Anthony LuoYears of service:10Customer Rating:5.0

Trade Compliance ExpertStart a Chat

Besides what's mentioned above, don't overlook some miscellaneous expenses, such as document fees for processing bills of lading, packing lists, etc. While individual items might not be much, they add up to a considerable amount. There might also be quarantine treatment fees; if goods have issues during inspection, resolving them will incur costs.

Thomas Li
Thomas LiYears of service:7Customer Rating:5.0

Import Licensing AdvisorStart a Chat

Insurance costs during transit must also be factored in. In case of damage or loss to goods, insurance can mitigate losses. Insurance premiums are generally charged as a percentage of the cargo value, typically around one to three per mille.

Emma Zhao
Emma ZhaoYears of service:3Customer Rating:5.0

Export Documentation SpecialistStart a Chat

If the imported milk has special requirements, such as cold chain transportation, then transportation costs will significantly increase. Expenses for cold chain equipment rental, refrigeration, etc., must all be considered. Moreover, some milk may require specific storage conditions, which will also lead to different warehousing costs.

Robert Tan
Robert TanYears of service:5Customer Rating:5.0

International Market Development AdvisorStart a Chat

Don't forget the impact of exchange rate fluctuations. If there's a long interval between signing the contract and actual payment, exchange rate changes could cause the cost of goods to increase or decrease. Additionally, design and modification fees for product labels may also arise.

Olivia Liu
Olivia LiuYears of service:6Customer Rating:5.0

Foreign Exchange Risk ManagerStart a Chat

There are also costs in the sales phase, such as marketing and promotion expenses. To make consumers aware of your imported milk, advertising and publicity will require expenditure. Furthermore, operational costs like sales staff salaries and venue rental must be considered.

David Chen
David ChenYears of service:10Customer Rating:5.0

Trade Compliance AdvisorStart a Chat

If the imported milk requires certain product certifications, such as organic certification, the certification fees must also be included in the costs. Different certifications have varying fee standards.

Sophia Wang
Sophia WangYears of service:6Customer Rating:5.0

International Logistics CoordinatorStart a Chat

Communication and contact with overseas suppliers will also incur costs, such as international call charges, mail and courier fees, etc. While these may seem minor, they can add up to a considerable expense over time.

Richard Wu
Richard WuYears of service:8Customer Rating:5.0

Global Trade Operations ExpertStart a Chat

Handling and loading/unloading fees after goods arrive at port cannot be overlooked either. These fees depend on factors such as the port and quantity of goods, and while generally not very high, they are still a part of the overall cost.

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