Doing business internationally: your import checklist

It’s important to conduct market research to determine whether there’s demand for your product. Identify your target group and business rivals, and gain insight into developments in your sector. Market research will also help you determine your cost price. The cost price also includes the cost of the entire import process, including import duties and transport.

The product you intend to import must be safe. You must comply with product requirements, such as CE marking and food safety requirements if you import foodstuffs. Make sure that you’re aware of Dutch (Commodities Act) and European requirements for your product. The European Commission has a handy tool called Access2Markets that lists all the product requirements. More information about product requirements.

Don’t forget about product liability. If you import a product from outside the EU, you are liable for that product as law sees you as the producer and therefore responsible for any damage caused by, or arising from, the product. You can protect yourself from this risk with business liability insurance (in Dutch).

Most goods can simply be imported, but for certain products you need an import license or permission to import certain products. Use Access2Markets to check whether you can import your product freely.

Don’t forget about import taxes, such as VAT. As the importer, your invoice will show 0% VAT. You must calculate the VAT yourself, and declare this on your VAT return. Don't forget the import duties either. Although you don’t have to pay import duties within the EU thanks to the free movement of goods, you will usually have to pay import duties on goods from outside the EU. Find out whether you must pay import duties on your product, and how much this will be.

What about customs? Generally, you don't need to handle customs formalities when importing a product from another EU country. Products imported from outside the EU need a customs declaration. Don’t forget the import documents, such as the packing list and transport documents. Find out which documents you need for your product.

How do you find a supplier, and how do you know if they’re reliable? There are various ways of coming into contact with foreign suppliers, such as through your own network or at a trade fair. The product must be of good quality and the supplier’s company must be financially healthy. Read here how you can check this.

You and your supplier can now choose the mode of transport. The decision about whether to transport by sea, air or rail largely depends on the product itself, the speed and the costs. Make clear agreements regarding transport based on the standard international Incoterms. Arranging international transport can be a time-consuming, costly business. Engage a carrier to do this for you. A carrier will help with the transport side and deal with the customs formalities.

It’s essential that you make clear agreements about payment. If you agree to pay upon receipt, you avoid all risks as an importer. The supplier then bears the risk. When doing business internationally, make sure you do it with confidence. Bank Guarantees, (standby) Letters of Credit and Documentary Collections provide benefits and certainty for both importers and exporters, enabling them to manage risks and avoid the uncertainty of international trade.

If you have to trade in a foreign currency, trading internationally is much easier with a foreign currency account. You must also be aware of exchange rate fluctuations. A change in the exchange rate can pose a risk to your business.

If all the steps in the import process have been clarified, record the agreements you’ve made. This ensures that the rights and obligations of both you as importer, and of your supplier, are entirely clear. For example, draw up a contract in which your agreements are recorded.