How to calculate shipping cost of importing handicrafts from India to different countries? – Craftezy

How to calculate shipping cost of importing handicrafts from India to different countries?

If you are new into the world of e-commerce and are planning to set up an online handicraft business. You can either do it through digital platforms like Craftezy, Etsy, or can develop your own website for selling handicrafts. You will need to know how to calculate shipping cost and fulfil your orders in the most cheap and effective manner possible. 

Shipping costs vary depending on numerous factors from weight, location, dimensions of the commodity, shipment type and more. There are a couple of options which can come handy when it comes to calculating shipping costs for handicrafts or any other goods for say.

TABLE OF CONTENT

TABLE OF CONTENTS







Method 1

1. Pack the product and measure the dimensions for shipping calculation 


2. Prepare and weigh your product for shipment


3.  Get a quotation


4. Insurance for high-value products


5. Key to successful e-commerce handicraft business



Method 2

1. Integration with top e-commerce platforms 


2. Pre-negotiated discount rates 


3. Saves time and money 





Frequently Asked Questions

1. How is import price calculated?


2 How will the export of handicrafts be treated under GST? 


3 Where can I pay customs duty in India? 


4. Which Indian handicrafts are most demanded in the international markets?



METHOD 1- DO IT YOURSELF

As the above lines suggest, in this method, you do things manually. You can follow these simple steps to know or estimate the amount of cost required for shipping:

PACK THE PRODUCT
  1. PACK THE PRODUCT AND MEASURE THE DIMENSIONS FOR SHIPPING CALCULATION

Apart from the weight of the order, dimensions are also to be measured since it forms part of the shipping cost. Mostly, handicrafts are fragile in nature. Thus, extra care needs to be taken while packaging of these products. Do this before weighing because the weight of packaging also adds into the shipping cost. 

2. PREPARE AND WEIGH YOUR PRODUCT FOR SHIPMENT

Purchase a weighing scale from the market. It would be great if you buy a digital scale rather than a manual one since the former would give you a precise measurement and avoid undercharging or overcharging. A digital weighing scale can cost about ₹ 200 to ₹ 2000. Weigh the product. The heavier and larger the product, the more expensive it will be to ship.

3.  GET A QUOTATION

Contact a shipping agent or go to the carrier website of your choice, like UPS, FedEx, DHL, SNCF, or USPS. Enter the information in their website and choose the service you want to offer and get a shipping quote from their shipping calculator. You can also mail or directly contact them through a mobile network to get a quotation. Quotations differ from country to country. 

You can compare them from different shipping platforms to get the cheapest rate possible. Carriers use shipping zones to calculate shipping rates. Shipping zones measure the distance between a package’s point of origin to its place of destination. The higher the shipping zone, the more expensive the package will be to ship. You can also get quotes from already established aggregators who tie up with platforms like DHL, Wix and so on and send parcels worldwide daily. These aggregators can get you exclusive rates.

4. INSURANCE FOR HIGH VALUED PRODUCTS

If the handicrafts you are exporting are high in value, you can get it insured with the insurance companies. These insurances offer reimbursement to senders whose orders are lost, stolen or damaged in transit. These services while being extremely useful can add to your shipping cost significantly.

5. KEY TO SUCCESSFUL E-COMMERCE HANDICRAFTS BUSINESS

There is a rising appreciation for handicrafts by consumers in the developed countries. People in these countries seek widespread novelty and have large discretionary income at their disposal to spend. E-commerce platforms have facilitated direct marketing too. The key to a successful e-commerce handicrafts business lies in the cost efficiency and the time efficiency of your shipping platform. Most of the customers worldwide don’t like to wait a lot for their products to be delivered. Timely delivery of the product has a great impact on your business, and it gets positive reviews from your customers too. This in turn attracts various other clients and helps flourish your business.

METHOD 2 – USE A SHIPPING SOLUTION

USE A SHIPPING SOLUTION

The first method of calculating the shipping cost manually can consume a lot of time and energy. You can try out an alternative method of using shipping solution platforms like ShipStation, Easyship, and ShipHawk to arrive at fair and accurate price options for sending products. These platforms integrate with top e-commerce market platforms like Craftezy,  Amazon and so on to help you manage all your orders and shipping activity. They can take care of the entire shipping process for you and not just the quote. 

  1. INTEGRATION WITH TOP E-COMMERCE PLATFORMS

These shipping solution platforms integrate with top e-commerce players on the internet like Craftezy, eBay and so on as well as crowdfunding sites and helps in minimizing your hardships.

2. PRE- NEGOTIATED DISCOUNTED RATES

Platforms like ShipHawk give you side-by-carrier and service provider comparisons, so you do not have to contact multiple carriers for this information. One can get pre-negotiated discounted rates from top carriers like UPS, USPS, DHL, FedEx and so on. This means that you need not pack an item beforehand to get a quote. These quotes are instant and accurate for items for any size. Pricing for packing and shipping your item will be present on their websites so you can easily choose the best option.

SAVES TIMES AND MONEY

3. SAVES TIMES AND MONEY

The shipping solution platforms will help you save your time as well as money. The transaction speed will be greatly enhanced which will help you grow your business and optimize the shipping processes and customer experience of your clients.

FREQUENTLY ASKED QUESTIONS

1. HOW IS IMPORT PRICE CALCULATED?

Import duty varies from country to country. There are namely two methods used by countries across the globe to charge import duty and import taxes:

i) Free On Board
The import duty is charged on the “Free on Board” value of the products. The price includes all expenses incurred until goods are actually loaded on the board ship at port of shipment.

ii) CIF
The import duty is charged on the cost, insurance, and freight value of the products. CIF price includes Free on Board and cost of freight and insurance.

2 HOW WILL EXPORT OF HANDICRAFTS BE TREATED UNDER GST?

According to the Central Board of Excise and Customs (CBEC), all exports of handicrafts will be considered as Inter-State supplies. Exports of goods and services will be treated as zero-rated supplies. By zero rated supplies, it is meant that the whole value chain of the supply is exempt from tax. The export has the option of either to export under bond or Letter of Undertaking without payment of tax and claim refund of Input Tax Credit (ITC) or pay IGST by utilizing ITC or in cash at the time of export and claim refund of IGST paid.

3 WHERE CAN I PAY CUSTOM DUTY IN INDIA?

i) You can complete your payment process of custom duty using simple steps mentioned below:
Visit the website of IceGate and login into its portal. IceGate is an e-commerce portal of the Central Board of Excise and Customs.

ii) Enter the import or export code provided by IceGate.

iii) After entering the code, click on the payment button where you will be able to check all e-challans under your name.

iv) You can choose from the challans that you wish to pay. Then choose the payment method, after which you will be redirected to the payment gateway.

v) Complete your payment. Do not forget to either print or save your payment receipt.

4. WHICH INDIAN HANDICRAFTS ARE THE MOST IN DEMAND IN THE INTERNATIONAL MARKETS?

The demand for Indian handicrafts is gigantic across the globe. Here is the list of the handicrafts which the are mostlydemanded mostly:

i)Textile hand embroidery which includes embroideries like chikankari, zari, gota, banjara, kashmiri, Baluch Chari and a lot more.

ii) Art metalware demands intricate workmanship which are manufactured across parts of India. They are in high demand and contribute to a considerable share of annual turnover.

iii) Imitation jewellery which helps women flaunt in style. We have seen many Hollywood actresses promoting imitation jewelry made in India. These jewelleries also cater to various other countries namely the United Kingdom, Germany and so on.

iv) Leather footwear industry has had a record of manufacturing and exporting customised footwear worldwide. There is also a research centre named Central Leather Research Institute in Chennai which promotes intense research and growth of this sector.

v) Handloom Shawls are exquisite masterpieces which demand high working hours. According to a statistical report, India produces 85% of the shawls. They are highly demanded and are famous around Bhuj, Kashmir, Varanasi, Nawan and various other places of India.

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