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Good practices for accessing the food industry export market

We have listed the effective ways of accessing the export industry by a food exporter. Here is the kick-off.

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Market Needs

Once we have identified a target market to export our food products, It is crucial to grasp the conceptual desires of customers of that specific market niche. We will need to understand the emotional and practical needs of our audience to secure our volume of business. When a Food Industry’s Exporter wants to be successful while making the first impression in the international market, they identify the gaps.

Product Fits

Another good practice for accessing the food industry’s export market is to ensure that the value your product is offering must match the customer needs. If the competitors do not appropriately serve a targeted segment in that particular export market, it is your cue to jump right in and balance the product fit. Your product’s core value should match the effectiveness of the distribution channel. The supply chain is crucial in providing the right product fit to meet the precise demands of customers.

Food Safety Standards

There is a trend in the food industry’s export markets, which is on the rise in recent years, to favour the products that have food safety standards in place. Packaging Food Standards, for instance, are vital to ensure the safety and quality of the goods in transit. Furthermore, Labelling standards are required by law in many countries, and you might be exporting to one of those regulated countries. It is obligatory to label the food products to caution end consumers with any sensitivities they might have. Gluten, grain or other food allergies should be mentioned on the product to make its mark in the export industry.

Production Capacity

An excellent practice to access the food industry’s export market is to ensure you have the means and facilities to meet the increased demand. If your production capacity is not up to the mark or if you are not equipped to produce in bulk, you might have repercussions beyond imagination.

Budgeting

Budgeting is not the same when it deals with the food industry’s export market. An organization needs to consider the placement of extra staff, not only senior levels but junior levels as well. Extensive travelling comes into play for the initial research and period of exporting the food industry’s products. All in all, a company needs to be prepared financially to access the export market. An export business might take one year to flourish exponentially, and the firm needs to have advance budgeting for that period, based on estimates.

It is safe to assume that the food industry’s Exporter will not fail while accessing the international markets if he follows these effective practices. It starts at pinpointing the market needs and finding the right product fit. A business which considers food safety standards gains the best customer satisfaction. If a trader adopts these good practices, and he has the production capacity and appropriate budgeting; the sky is the limit.

Tips for food and beverage products successful export

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Behind every successful Wine and Dine, there is a background of chain events. Multifold Companies and Individuals fill this supply chain. They are trading day and night for the right food and beverage products in the right markets. Amid so much competition, how could your business flourish? Eating and Drinking come hand in hand, but the exporting organizations do not always deal with both types. We will focus on the Tips, which will work for the benefit of both products. The advantages you could have for your business to make it shine.

 

 

Niche

If you set about selling your product anywhere you can, the overheads will be skyrocketing. It is critical that you thoroughly research and identify the market niches that have the most demand for your products. These factors could include a Price Advantage or less Competition. Price benefit means that you can upsell your product at a higher profit margin if you could find the exact demography with the top-paying customers. Since the products similar to your business are high-priced, your company can make a fortune if you make a move to export into that country/area. That is to say, you could make your product the right fit for that marketplace. Another area of research is the competition. The sweet truth of marketing is the first-mover advantage. If you can’t be the very first Exporter in a market, choose the market with a lesser quantity of traders. If your Area Niche is adequately studied before entering, and you find the exact option, your business will be booming in no time.

 

Quality

Product Quality will beat the competition, position your company best in consumer’s heads, and the market image will enhance any given day. If you have Quality Items, you have the keys to the city. Your business needs to be superior to the products available in the area where you are exporting your products. If you conclude that your quality is not according to the industry standards of that area, choose another demography. The bottom line is, the excellent product has room everywhere.

 

 

Familiarity

Know your target market! Period. If you are not familiar with the market, hire a local professional. You need contacts, references, information, data, and analysis for the target market for your product. You need to think like the locals and then indulge your product accordingly. It is also essential to be knowledgeable about the country/state’s laws about trades and business activities. Your Lawyers can work closely with the local Lawmakers, or Solicitors to come up with a solid plan. Legal hindrance for your export business is not good.

 

Advertisement

If you are well established in your country, it is brilliant! Show it to your new audience that you are a well-known company. The best advertisement is vital to your business’ success. You need to advertise according to the country as well. Wine, for instance, cannot be announced in a Muslim country. You cannot market your meaty products in an Indian community. The right advertisement will mushroom your organization’s success.

 

Common Import / Export Documents

Start your day with Continental breakfast, Moroccan Couscous for the Lunch Hour, and finish off with a Chinese take-away for Dinner. Everyone fancies a versatile food-day. In today’s global world, people want to relish food items from all around the world. They like to share their mealtimes on Social Media, create small digital stories with the different types of gourmet from a diverse variety of countries. Food Industry has given meaning to the term GLOCAL in the real sense by exporting/importing the Local foods on a Universal scale. People want to eat their Olives from California, Mangoes from Pakistan, Pasta from Italy, Spices from India, and the list goes on. The industry that serves the international edible needs requires documentation. We have jotted down a listing for your comfort so that you can check the list when you are exporting your items or importing those.

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These papers are of following natures:

  1. Lading Bill

    is a paper requirement of the Government, which is a signed contract between carrier and seller. It is to emphasize the Cargo procedures, which include goods type, destination, origin, and it serves as a receipt. The shipping company compiles this document with the help of Exporter. It also comes with waybills of airways or

  2. Commercial Invoice

    is another obligation, produced by the Exporter to interpret the complete transaction from start to end. It includes essential information for each party involved in the process. These parties are banks, brokers, customs, shippers, and importer.

  3. The Export Packing List

    that allows authorities to know precisely what is in the container you are sending. It contains a piece of detailed information about which product is being exported, the quantity, the packaging… It is a mandatory document when shipping your product as it permits to customs, insurance and other partners to clearly evaluate the value of the transported goods and protects you as well when goods are missing at arrival or from any other inconvenient that might cause losing products before it gets to your client.

  4. Certificates of Origin

    , Manufacturer, and Inspections come in Food items are perishable; this credential ensures Quality and Quantity. Traders need to declare the origin as many countries have restrictions in place, and the importing authorities need to verify the source. Production certification requires a notarized paper depicting the Manufacturer’s details to make sure the product is ready for shipment.

  5. The Health Certificate

    is a document delivered by the competent authorities. It officially certifies the quality of the product. It is a crucial document, as countries do not have the same standards when it comes to quality, origin and ways the products have been manipulated. Indeed, before entering a country, the authorities need to make sure that your product is allowed in it and won’t breach the norms.

  6. Insurance

    papers are generally the insurance policy for the goods on-board. One needs to buy Insurance to prevent any significant losses or to take care of the liability. It needs to list down the specifications of the product, the extent of coverage, and proof of Insurance to satisfy buyers or the host country. The Exporter could produce this with the help of a broker, or the Insurance Company can issue the report to provide security of the goods in

  7. Commercial Demand Note

    or the Invoice is the reflection of the Sales Contract, which shows the agreement between both parties. The details contain Payment Conditions, Goods Sold, and the Trade Terms. The importer will use it for Customs’ clearance, and the document provides a legal binding for the Exporter. It is best to consult your legal advisor beforehand to work on this vital

  8. Quotation. of Terms is the detail of delivery, payment, import, export, quality, quantity, and price of the products shipped. The seller is to cultivate a Quotation before actually starting the process, and it is roughly the first step of the trade

  9. Letter of Credit

    is a Bank’s guarantee to the Exporter to pay the decided amount and to emphasize on the satisfactory completion of essential documentation. This financial document secures both parties involved in the

If you have closed a sale/purchase successfully and are getting the documents ready for the process, the list mentioned above will sort you out. Some countries might require other documents.

Customs procedures for food industry sector

Customs procedures of a country need to be modernized in such a way, which encourages its food industry sector’s growth. If you are a food trader, either it is importation or exportation, customs clearance remains a hindrance in the back of your head until it is cleared. When you are selling or purchasing your food items in a foreign location, the statuary requirements of different countries vary. Therefore, one needs to apprehend the legislations and regulations of the state where you intend to buy or sell the merchandise. These obligations must be met before aiming to clear the customs.

 

Customs is the state department, which controls the flow of imported goods and collects fees levied by the Government. Customs agency makes sure that the animals you are trading, or perishable food items, are according to the laws of importing land. Although every country has a couple of measures specific to their geographical needs, we will discuss standard customs procedures below.

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Customs Documentation

Firstly, you must gather the required documents for the customs process. These compulsory papers are Bill of Lading, Commercial Invoice, Insurance Certificate, Purchase Order, and Bill of Entry. The documented materials you include must have the perishable details of your food products. Because your products could expire, the dates and other charts need to be interpreted in the documents. Shipping paperwork is essential and could vary from country to country. You could be trading canned food, or fresh fruits & vegetables, or farm machinery; it also needs to go through proper credential work. The customs certifications or bills must be obtained to clear the customs procedure.

 

Customs duty

The duty paid on imports, or in a few cases on exports too, is centered on the food items’ value or the size, etc. A Foreign food trader might be exempted from customs duty in most countries. Still, it will depend on the particular state where you are headed. There could be a tariff charge as well, a tax on importation and exportation, which is decided between governments. One needs to pay all the customs related fees to speed up the procedure. Especially for the food industry sector because you don’t want your goods stuck at the port and perish.

 

 

Electronic systems

Everything is transforming into online and digital forms, and customs is no different. European Union has programmed a CDS. A food trader will need to contact the designated portal and create an application. Many countries have adopted these electronically processed applications, and you need to understand the selected state’s automated procedures if any.

 

 

Declaration

The official paperwork of customs declaration provides details of shipment under trade. It would contain all the imported or exported food industry’s items in a list. Any company or individual, who is the owner of the shipment, can lodge the customs declaration by themselves or by representatives.

 

 

Inspection & Presenting the goods

Customs inspectors or relevant officials can check the shipment at any time. The person-in-charge of the consignment needs to present the merchandise to the customs office as part of the procedure.

How to choose freight solutions for export?

Exports business could turn tricky if you don’t get your shipments right, and things could go south quickly. You should choose the appropriate freight solution for trading internationally by considering the following tips.

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Prepare well

When you visit freight forwarder, and you have no homework with you, it will waste a lot of time and effort. You need to identify your objectives and research your industry niche. Decide which form of transportation and the size of the shipment you are going to require. You should chart out the job-specific services that your task demands. You must research the export treaties and other obligations as are necessary for your exporting business. Also, verify if the freight forwarder is authentic and registered with the relevant organizations. A company should always plan the required speed of delivery and cost of service, including the options of rail, sea, roads, and air.

 

 

Consider your options

There are many factors when transporting merchandise internationally. Freight rates, or the infrastructure costs like warehouses and the way-fare, play the deciding factor. Price impacts your decision, but one should not always go for the cheapest possible option, instead find value for money. The face-price might be more affordable, but when all the additional services, some of which are essential, are considered, then the process might be expensive. You should not fall for the asking price, and due research is what you must conduct, and this is how you choose freight solutions for export.



Arranging the right documents using a software

Many software is available in the market to do this task for you. When you need to confirm whether you have arranged all the necessary documents and those are typo-free, you can use the digital tools to save time. These apps/tools also enable you to email directly from the interface. Screening the package against the export regulations in place is possible as well. It would help you avoid the penalties. Using computer tools for exports is an excellent strategy. If you are using software for the surface work, you will choose the freight solution without much trouble and lesser costs.

 

 

The reputation of the freight service

Use your corporate network to gain knowledge of the reputation the freight service provider possesses. You could check their website for reviews, but it is always best to use your reference to conduct the research. Once you have determined that the transporter has the right reputation in the market, you could decide easily. The legitimate freight solution company would be able to provide you testimonies from their respected clientele. Additionally, their licensing documents and registration certificates could guide you as well.

 

 

Choose one with experience in your field

The freight solution, you are going to choose, needs to be professional and expert in handling the goods of your business. The food industry, for instance, could be a naïve field for the general shipment services. The products are perishable and delicate, which would require a skilful shipment. Take a look at the freight solutions your competitors are using. Best of luck!

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