Importing commercial goods from overseas for resale is cumbersome, stressful, and expensive. It’s been this way for many years and continues to be a hot-button issue for supply chain managers in the U.S. and all around the world.
The Traditional Importing Model Is Difficult and Costly
Any supply chain manager who has imported directly from oversees (especially China) knows firsthand how involved and often frustrating it can be. In addition to understanding the intricacies of customs duty, tax, documentation, and clearing, supply chain managers need to:
- Source the foreign products and manufacturers
- Manage transportation costs
- Deal with warehousing, inspections, and port of entry fees
- Pay customs brokers and dealer fees
Depending on the product being imported, permits from federal agencies (FDA, EPA, DOT, CPSC, FTC, USDA, TTB) may be needed. Additionally, a customs bond is typically required when importing from China.
Aside from these costs, supply chain managers must also ensure the products they receive have met their quality control standards. Then, when all items have been addressed, the issue of actual payment for these goods must be dealt with. While it might not seem complicated in today’s day and age, paying for imported goods isn’t as simple as pressing a button. In most cases, banks will have to be engaged to manage and handle wire transfers and currency exchange rates.
Even if all the items above are taken care of, supply chain managers then have to worry about long lead times for delivery, delays, as well as quantity and quality issues with the products themselves once they actually arrive.
It isn’t uncommon in the world of importing for Chinese labor strikes, order backlogs, and dock/cargo ship issues to delay shipments.
These hard and soft costs of global trade can very quickly erode already thin profit margins on commoditized products like fasteners.
The Zirks 21st Century Importing Model Simplifies Everything
Zirks was built to eliminate the hassle of importing while at the same time increasing profit margins on commoditized products.
Here’s how the magic of Zirks can reduce your import costs and add value:
Zirks loads full containers with 40,000 pounds of one item of finished goods from factories that have been vetted and validated. These larger quantities drive down costs 40-50% compared to the minimum run.
Once the ship actually leaves port, supply chain buyers and managers can then order parts in pallet quantities at container rates. Additionally, Zirks manages factory relationships, paperwork and delays, reducing labor and management costs in the supply chain.
If you’re ready for a better and easier way to reduce the hassle of importing direct and increase your margin in the process, view our current inventory below and learn how the Zirks importing model can streamline your supply chain while simultaneously increasing your profit margin on imported commodities.