Re-Export or Entrepot trade is a means of importing goods and services from one foreign country and exporting them to another with higher prices or decreased tariffs. Nowadays, with fluctuating trade costs and the high sanctions imposed due to trade conflicts, many foreign businesses practice re-exportation for ease of trade and convenient B2B transactions.
The re-exported goods are exported again in the same state as they were imported from an area that does not involve processing, custom checking and commercialization. These products do not go through any value-added processes thus they are not counted as a nation’s regular exports. For instance, the UAE is involved in the re-exportation of goods to Iran – sending products and services imported from the USA as a way for Iran to circumvent the trade sanctions imposed by the US. None of the goods is processed nor transformed.
Why Do Businesses need to optimize themselves for Re-Exportation?
To act as a re-exporter, your business needs to focus on a number of strategies. One such example is from China. Despite the rapidly scaling China B2B Marketplace, many foreign businesses in the US can’t explicitly trade in the Chinese markets due to trade conflicts and the high tariffs imposed by the US government. This, however, gives an opportunity to many other business companies in the West and the Middle East to act as re-exporters.
If you’re also looking out for such an opportunity, follow the practices below to optimize your business and become proactive in re-exporting activities.
1. Change your Marketing Plans
The first step to begin re-exporting is to update your sales and marketing campaigns. You need to clearly explain that you are interested in exporting and importing products from foreign nations. Make it obvious because many investors don’t really notice overseas businesses because of massive competition among China B2B platforms.
2. Check your Distribution Channels
Before you start, know and identify your markets. If you plan to re-export to nations with free or lower tariffs, you must be aware of the export taxes and regulations within the countries you’d be re-exporting to. In addition, investigate all types of risks such as payment, climate, political and economic in both the places you will be importing from and re-exporting to.
As you explore international opportunities and favourable trade agreements, many potential partners will offer new business structures, joint ventures and trade bargains. Determine each carefully prior to entering the international forum.
3. Update your Digital Platforms
Since digital media is everything nowadays, you must optimize your business websites and update digital platforms in order to stay in the hunt for global opportunities. Expanding to new foreign markets may require websites to be according to the needs and demands of the local people. To do that, create different versions of your website and social media so people from different regions can easily go through and hit you up for any potential trade transactions. You can also register your imported products on many e-commerce platforms, China B2B trade sites and shopping portals to attract a larger customer base.
4. Follow Export Regulatory Rules
Despite how little your re-export goods are, you still have to follow and comply with the Export regulations worldwide. In most countries, re-export goods aren’t considered as exports since they are not manufactured by the country itself. However, even then, you need to make sure they comply with the international standard and regulations.
5. Understanding Logistics and Packaging
When working with foreign partners, it is important to be very particular with logistics and product packaging so you can not only be competitive but also put up a good impression. Although you can’t change the state or refurbish the already imported goods, you can understand and update other requirements like labelling, packaging, documenting etc. Make sure to provide complete export forms and documentation for each product and goods you re-export. For instance, in the past couple of years, Dubai has emerged as one of the major re-exporters for the entire region of Middle East – with importing products from the West and Europe due to the bilateral trade ties and then re-exporting them to the Middle East and South Asian Region.…
In 2016, according to EU import data, out of UK’s £550 billion, £240 billion worth of exports went to nations in the EU. That’s mere, 43% of the UK’s overall exports.
Though this figure may seem pleasing to you, it has declined over the years, and the same is expected in the coming year. It’s not because of any relationship problem of UK with the EU. It’s just that over the past few years, developing nations have shown more significant growth than the developed countries. Therefore, the demand for UK exports has risen in non-EU nations.
Not only that but after going through EU export data, we’ve also seen a decline in the UK importing goods from EU nations. In 2016, it was recorded that UK imported 54% from other EU nations. This share fell from 58% in the year 2002.
How vital are the Import-Export Stats to each Party?
There are many ways to analyze the importance of international trade between the UK and EU. However, we have focused on the three major ones.
What’s the Trade Ratio between the Two Bodies
After going through the EU export and import data, we can conclude that the UK is currently in a trade deficit situation with EU. The numbers show that the rest of the EU export £80 billion more to the UK, then what they import from them.
UK exported goods and services valued at £240 billion to other EU nations. On the other hand, the nations of the EU shipped £320 billion to the UK.
UK-EU exports are a more significant part of the UK’s NI than the EU’s
Even though less of our exports are presently going to other EU nations, these fares are still similarly as essential to UK’s economy.
The £240 billion worth of exports of products and ventures to other EU nations were worth around 12% of the estimation of the British economy in 2016. It's been at around 12-15% over the previous decade.
Exports from whatever is left of the EU to the British economy were worth around 3-4% of the measure of the rest of the EU's economy in 2015. The correct number relies upon whether you utilize the £390 billion from EU statistics or £300 billion figure from UK’s data.
The EU’s second largest export market is the UK
It's been guaranteed in the past that the UK is the EU's biggest single export market for products.
This used to be the situation on the off chance that you regarded the UK as though it were not in the EU and spotlight on EU exports to non-EU nations. In the most recent year, it has changed with the goal that the USA is presently marginally ahead. Utilizing the most recent figures for 2016, 16% of EU products sent out went to the UK, contrasted with 17% heading off to the USA.
In case you're checking EU nations too then Germany gets the most significant measure of products exported from other EU nations.
After going through all these stats, we can conclude that regardless of the shift in the percentage of exports and imports, the UK and EU countries have always had positive trade relations. Even though the rate has witnessed a decline, we can’t blame any nation as it’s due to the growth of developing counties all around the world. If we look closely, we’ll even see the figures increasing.
In addition to that, in the coming years, I predict that the trade ratio between the two parties will become better as the economic growth of countries that come under the developing category stabilize.…
Are looking for import and export data of USA? The U.S. Census Bureau on Foreign Trade is the main resource for all international trade stats of the USA. It is also the governing body responsible for issuing all regulations there are for trade to go smoothly. However, we have a few other places where you can get your hands some of the best stats for international trade of USA.
This is the main blog of the U.S. Census Bureau. You can start from this place first.
2.Trade Document Reference Library
If you are looking for a place loaded with data, then this is the place to be. All the information you’ll find on this page is related to international trade. This page also has content on how the Ex-IM Bank supports small business owners in increasing their global operations. In addition, you’ll also learn all regulations that need to be met while doing business within the USA for International trade.
This serves as an internet filing system. This allows businesses to file Electronic Export Information (EEI) online while staying in their comfort zone. This free service doesn’t require any special hardware or software to run. However, the network will scan your computer to check if it meets their minimum configuration requirement.
In addition, AESDirect also has a smooth registration process that all newcomers can efficiently use. Apart from that, if you require training, then this will help you as well. AESDirect provides a natural training process for free to all small and new business owners related to international trade.
This cloud service lets you download export data of USA files within no time. Just for your information, these folders are customized requests or subscription files order from their Data Dissemination Branch. All you have to do is enter the file name and press retrieve this file to get access to it.
5.Guide to Foreign Trade
Everything you’d ever want to know about the export and import data of USA is here. All the data in this guide is compiled through automated forms. It records all imports and exports of the USA. However, all exports to Canada can be found from the import data of Canada. The following content can be found in the guide to foreign trade.
•Description of Foreign Trade Statistical Program
•U.S. Merchandise Trade: Special Reports, Services, and Data Products
•Conversion Tables and Units of Quantity
6.Foreign Trade Products
In this, you can get your hands on products that have been traded in the past or are currently being imported and exported. All you have to do is tick the checkbox beside the name of the product to receive data. Click the report name for all data like record layout and product descriptions.
7.USA Trade Online
This network is known as the main resource for U.S. Merchandise Trade Data. With this network, you can gain access to export and import data of more than 24000 imports and 18000 exports. After subscribe for USA Trade Online you can get annual and monthly reports on all imports and exports of the USA. With the help of this exceptional tool, you can create reports of your own and charts so that you can always be ahead of your international competitors.
With the help of technology, it has become more accessible than ever to get your hands on trade stats of just about any country out there. If we talk about the USA, this nation has never hesitated in offering all international trade data publicly. If they start enforcing laws on keeping these stats private, I am afraid you won’t be able to access it anymore. Therefore, its best for your B2B marketplace to capitalize on this opportunity before it’s too late.…