If your business has gained demand and importance around the globe, you have to be extremely happy about it. We know there comes a lot of stress when the demand is more for your products, but the good news is that you have shipping service companies. If you have received a good demand for your product from another corner of the world, you should be delighted to sell your stuff without any stress lines on your face. In fact, it is a great opportunity for your business. Once your demand is at its peak in another country, you just have to meet the expectations of your customers and win their heart to get more and more name, fame and respect in the market.
However, when it comes to shipping products to another country, every business is highly stressed. No matter how wonderful your products are, they are bound to go through some sort of problems and changes when they are being shipped. Nevertheless, if you have a good third party shipping service company that promises to maintain the quality of your products, no matter how fragile they are, even when they reach the destination, hire the team for the work.
When it comes to shipping, there is a term that you need to be aware of. We are talking about DDP shipping. DDP is the abbreviation for Delivered Duty Paid.
What is the meaning of DDP?
In DDP, the seller has to deliver the goods to the receiver when the products are available at the place in the country where the items have been imported. All sorts of risks and costs need to be borne by the seller or sender himself. These costs include taxes, customs duties and all the other charges that the goods have to go through to be delivered to the destination of the buyer or receiver. It is like the seller, or the sender, is not only bearing the costs of exporting the items, but also of the importing as well.
You may think this is an ugly situation, but the truth is that a lot of companies do this so that their products reach their destination in the correct manner and the receiver doesn’t have to bear additional costs. In fact, when the deal is finalized between the seller and the buyer, additional costs are added keeping in mind the importation costs that the seller will have to bear.
There are separate documents that need to be prepared and kept ready if the DDP has to be taken care of by the seller himself. The seller and the buyer have to come to this mutual decision. In this case, the buyer or the receiver does not go through any importation issues, especially the ones that are related to money. If the DDP has already taken place, all the receiver needs to do is receive the products and start using them for the purpose he had purchased the same for.
There is one more thing that the sender has to make clear – VAT. If the VAT has been paid by the seller or sender, he has to mention the same on a proper document. He has to mention that the Delivered Duty has been paid, along with VAT as well. On the other hand, if he doesn’t pay the VAT, but only pays the DD, he has to mention Delivered Duty Paid, VAT not paid so that the buyer knows where he stands. Such transparently discussed and mentioned things make the export-import processes a simpler one. Generally, the process is quite complicated.
If you want to hire a good third party shipping service company, make sure you hire a team that has been in the market for a long period of time. Experience is what matters the most in the field of shipping. When a team has a good experience, you don’t have to be worried about how your products are being shipped and in what condition they will reach the destination. If the team is good, it takes care of every single thing, no matter how small or big it is. Thus, spend time in researching about a good company that’s into such services.