Trade is not new to humankind. It is as old as humans. Pr-historic humans traded shells and salts and we trade every item that you can think of. Things have changed 360 degrees with the advent of modern technology. Trade has emerged as the hottest industry because it benefits both parties.
Imports and exports are the two major aspects of trade. Import means to buy certain products from other countries to meet the needs of the people of your country. Exports are products produced by your country and sold to other countries to meet their requirements.
Import and export companies have emerged to make this process easier for the people. It has turned into a lucrative business so more and more players are coming into the industry. You can make a trade inquiry from these import and export companies. They charge a certain amount for this job.
Main Reasons for Imports
The main reasons for imports are price and availability. There are many things that you cannot grow in your country due to unfavorable condition. A product needs feasible condition to grow. Some products are cheaper when imported from other countries as compared to producing it in your country.
It is important for import and export business to target the market they want to cater. Determine who your clients will be. Which geographical location would you focus on? Proper market research can make a big difference and play a key role in success of your import and export business.
To start new business, you need to make an investment in the first place. For an import and export business, you need to invest between $5000 and $20000 depending upon the scale of your business. You have to spend money to earn it in business.
What you will need
If you want to start a new import and export business then you will need the following items.
- Internet connection
- Fax machine
- Travel expenses for marketing research on foreign land
Import and export companies charge 10 percent as fees. These fees are based on the cost of the product from the manufacturers. They charge you 10 percent of the price of the product. Additional cost include shipping, packaging and insurance.