Must Know Terms for Overseas Printing
Conquering Paper Product Production: Essential Terms for Overseas Manufacturing
So you've dreamed up the perfect paper planner, notebook, or greeting card design, and now you're considering overseas manufacturing to bring your vision to life.
But before you dive headfirst into international production, there's a new language to learn – a world of acronyms that govern the process. Don't worry, this guide will equip you with the essential terms you need to navigate overseas paper product manufacturing with confidence!
1. MOQ: Minimum Order Quantity
Imagine you've found the perfect factory to print your planners, but they require a minimum order of 5,000 units. This is the MOQ, and it's crucial to understand this number upfront. Knowing the MOQ helps you plan production costs effectively and avoids surprises down the line.
2. HS Code: Your Product's Passport
Every product needs a unique identifier when crossing international borders – that's where the HS Code comes in. This Harmonized System Code classifies your paper goods for customs purposes. Understanding HS codes ensures a smooth passage through customs clearance, preventing delays and unexpected fees.
3. Delivery Duties: Who Pays What?
Incoterms are international codes that define who (buyer or seller) is responsible for various costs like transportation, insurance, and customs clearance at different stages of the shipping journey. Here are some common Incoterms you'll encounter:
FOB (Free On Board): The seller loads your goods onto your chosen vessel at the origin port, but you, the buyer, cover the remaining transportation costs, insurance, and customs clearance.
EXW (Ex Works): The most basic option. The seller simply makes the goods available at their factory. You're responsible for arranging all transportation, insurance, and customs clearance costs from that point.
DDP (Delivered Duty Paid): This is the most comprehensive option. The seller handles everything! They'll deliver your goods to your designated location, including taking care of customs clearance.
4. Lead Time: Planning for Success
How long will it take to receive your beautiful paper products after placing an order? This timeframe is known as the lead time. It encompasses the entire manufacturing and shipping process. Understanding lead time is crucial for planning your inventory levels and ensuring a successful product launch.
Ready to Take Your Stationery Dreams Global?
Now that you're equipped with this essential terminology, are you excited to explore the exciting world of overseas paper product manufacturing?
(Bonus! Want to learn more?) Check out my online course - Stationery Startup - that delves deeper into the world of overseas manufacturing and shipping specifically for stationery, planners, and other paper goods.
