From:
HKTDC Research
Basic Export Procedures
1. Market Research and Setting Objectives of Distribution
Selecting target markets, methods of exportation and channels
Setting foreign market objectives on pricing and terms
2. Trade Regulations
Export regulations and requirements
Overseas import regulations and requirements
Patent, trademark and copyright
3. Making Contacts
Enquiries from interested overseas buyers
Checking buyer's background from ECIC and / or banks
4. Quotation and Terms
Making offers and quotation for potential buyers
Costs, quotations and pro forma invoices, and terms of sale
5. Sales Contract
Confirming the sales contract and terms of transaction such as payment terms
6. Contract Execution
Producing or sourcing goods
Packing and labelling
Arranging shipment
Preparing exports documentation
Arranging insurance, if necessary
7. Customs Clearance
Arranging export declaration and applying for export licence when necessary
8. Getting Paid
Subject to the payment terms specified in the sales contract, the exporter should present the required documents to the relevant parties for payment
Basic Import Procedures
1. Setting Market Objectives
Setting market objectives on pricing and terms
2. Sourcing Products
Identifying potential suppliers
Sourcing channels of distribution
3. Trade Regulations
Import regulations and requirements, and checking whether import licence is required
Patent, trademark and copyright
4. Making Contacts
Sending enquiries to suitable suppliers
5. Settling Quotation and Terms
Analysing the supplier's quotation and offers
Costs and terms of sale
6. Financing the Purchase
Preparing for working capital
Types of bank financing and application, such as exporter credit or other bank facilities
7. Sales Contract
Confirming the sales contract and terms of transaction such as payment terms
8. Preparing Payment and Insurance
Preparing payments and insurance specified in sales contract (eg. when payment term is D/C, submit D/C application to the issuing bank; when trade term is FOB, arrange cover note with an insurance company)
Preparing insurance, cover note, when necessary
9. Acquiring Goods
Receiving shipping advice and arrival notice
Receiving export documents from the exporter
Collecting goods from the specified shipping company or forwarder
10. Customs Clearance
Arranging customs clearance and import declaration
Basic Outward Processing Procedures
1. Manufacturing Base
Setting up / liaising for overseas production facilities (e.g. a joint venture partner)
2. Confirming Contract
Confirming the outward processing contract with the processing partner
3. Transporting Materials
Arranging shipment of the raw materials, parts or semi-manufactures to the overseas processing partner
Arranging imports of the finished / semi-finished products
4. Manufacturing Completed
Further processing the products into the final end-product
Inspecting the finished / semi-finished products
Arranging exports of final products to the Hong Kong consignor
5. Preparing Payment
Preparing payments of the processing fee to the overseas processing partner