HOW TO IMPORT GERMAN PRODUCTS TO VARIOUS COUNTRIES

The German economy is considered to be one of the biggest in the European Nation. It is also very stable, with more number of consumers and a massive number of small scale and medium scale enterprises. The German economy is giving out many opportunities for merchants across the globe.

Here is one reason why German is considered to be one of the power horse countries and the biggest European Nation, among others.

If you look at the German market stats from 2019, Germany has imported USD 1.236 trillion worth of goods in the form of products from around the globe, and this is an all-time staggering high up by 17% from that of 2015 but have also seen a downfall of -4% from 2018 to 2019. Based on the exchange rate in 2019, Germany makes use of the Euro compared to that of the 2015 high USD. The weaker EU currency makes Germany in the high ground because the imports are paid in a more substantial sum in 2019 when you consider the conversion. The German imports stand out with 6.3% of global imports, with an estimated 19.665 trillion in 2018. Most of Germany’s import value was purchased by fellow European countries valuating to 63.6%. Asian trade plays a huge part in the imports with 22%, while 7.8% comes in from North America, with other countries like Africa, Latin America, Caribbean, and then Australia contributing to the share. When you consider the population of Germany that has at least 83 million people, the $1.236 trillion translates to a rough $14,900 in the yearly product demand from each of the citizens who are living in the European Union countries- Austria, Bulgaria, Croatia, Republic of Cyprus, Czech Republic, Denmark, Estonia, Germany, Greece, Hungary, Ireland, Italy, Belgium, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Finland, France, Portugal, Romania, Slovakia, Slovenia, Spain, and Sweden.

 So, if you want yourself to gain an entrance to the German market, you will need to be very cautious, pull off complete research, and bring out a strategy before setting foot into the market.

Market research is an essential thing in this aspect because you have to reach potential distributors or agencies who will help you give out the best result. 

We all know that the term ‘IMPORT’ means bringing in goods. There is always full traffic of goods between the EU countries where the trading takes place, and within the European market, it is strictly referred to as transportation, procurement, or acquisition of goods. Irrespective of the Custom and Foreign regulations, there must also be attention paid to the prohibitions and other restrictions.

The German federal agency, The Federal Office for Economic Affairs and Export Control (Bundesamt fur Wirtschaft and Ausfuhrkontrolle, short BAFA), publishes certain conditions on applying the granting of specific import licenses and observation as the declarations in Federal Gazette. Since Germany also falls under the European Union, there is a standard trade policy for them to adopt the import of most of the products. There are also separate rules and regulations that are to be applied to specific products when you perform importing and exporting called Integrated Tariff of the European Communities (TARIC code). For any kind of Import, Export, or any forms of transit in the EU countries, an EORI number is essential. EORI means Economic Operator Registration and Identification. The European Union legislation is now wanting all state members to adopt the Economic Operators Registration and Identification Scheme. All importers, exporters, and other transporters will now have to use the EORI number for all electronic communications with customs and government agencies who are a part of the international trade. This only indicates that anyone who is involved with the export, transit, or import operations must have the EORI number in hand.

So, Let’s see the key steps to make your German imports easy and hassle-free.

Let’s begin with the country in which you want to import your German goods.

You need to make sure the product that you want to import from Germany is legal in your country. Each country has its own list of banned imports, and the most common ones being firearms and GMOs (Genetically modified organisms). 

Say, for example, your country might be imposing restrictions on dairy imports from other countries in order to prevent loss for its farmers.

There are always import restrictions, and that shouldn’t surprise you. So, as an importer, you have the responsibility to ensure that your products meet the standards and legality.

Now that you have checked everything and ensured that your product could be imported in your country, go on to find the right supplier for you.

You need to be sure of the materials and the process by which your product is being manufactured, and confirm every specification of your product right from the packaging with your supplier.

Next comes the paperwork. First, request an invoice for your purchase from your supplier, which should include the value per item, the system number, the description, weight, and dimensions (packed) of your product.

You would also need:

Ø Bill Lading

Ø Commercial Invoice,

Ø Customs Invoice

Ø Packing list

Ø Certificated of Origin.

Some questions need to be answered:

Ø Will there be any kind of restrictions/prohibitions for the import and for which of the countries?

Ø What are the other import regulations that need to be followed?

Ø How high can be the custom duties risk (customs duty, import VAT, specific excise taxes?)

Ø What are the important papers required for the import clearance and the formalities that you will likely encounter?

Ø What are the other regulations that are regarded for the imported goods, for the Federal Republic of Germany and other countries in the EU that needs to be observed?

We shall now see your payment for your products. Movement of Goods from Germany to any country with the EU is free of cost, and also to Canada after the 2009 agreement.

After your payments, you need to arrange the shipment of your goods. Get your supplier to ship your product from the nearest airport or port.

Your products will be taken through custom clearance once the package reaches your country, so ensure all your documentations are correct.

After a successful customs clearance, you can finally get your product. Finding the valuable product, checking its legality, finding the right supplier, and then getting your product shipped would definitely take a long time. If you prefer shipment over the sea, you may have to wait at least for a month before you can get your product.