Understanding Import Duty and Landed Cost, China to India

A factory quotation is the start of the cost, not the cost. Landed cost is what the goods actually cost you once they are sitting in your warehouse, and it is the only number worth comparing suppliers on.

The lines that make it up

• Product or factory cost, where sourcing is part of the job
• China pickup, loading and export handling
• Freight, ocean or air, depending on size and urgency
• Estimated duty and taxes at the destination
• Customs and clearance charges
• Final mile delivery to your address

Why duty cannot be quoted as a fixed number

Duty follows the classification of the exact product, its declared value, and the policy in force at the time of assessment. Two items that look similar can classify differently because of a material or a component. That is why we give an estimate and say so, rather than a figure that looks certain and moves later.

Final assessment and release remain subject to Indian Customs.

Documents decide how smoothly it goes

Most clearance delays are document problems, not cargo problems. Before anything moves we check that the invoice, packing list and product description agree with each other and with what is in the carton. A description written for a purchase order is often not the description customs needs.

Ocean or air is a cost decision, not a habit

Air makes sense for samples, for urgent stock and for small high value cargo. Ocean is almost always cheaper per kilo and rewards planning. The mistake is defaulting to air because the order ran late, then paying for that on every reorder.

Estimate before you commit

Ask for the landed cost picture before pickup, not after. If a supplier looks cheaper on the unit price but ships from a further port, in smaller cartons, or with a description that invites a customs query, the cheaper option is not cheaper.

Send us the product, the quantity and your delivery city and we will set out the estimated landed cost before anything moves.