Page 26 - Export and Trade

• Training staff before exposing them to overseas The labelling laws in each country vary greatly and
customers. must be complied with. For example many markets
• Timing activities to suit the market. UHTXLUH WKDW SURGXFWV EH ODEHOOHG LQ WKH ORFDO ODQJXDJH V ±
‡ %HLQJ ÀH[LEOH DQG RSHQ WR FRPSHWLWLRQ DQG RSSRUWXQLW\ for Canada, both English and French – and include details
such as ingredients, processes and/or recycling/disposal.
New international traders need to be aware of
competitive forces in overseas markets. These range Export regulations
IURP HI¿FLHQW LQQRYDWLYH FRPSHWLWRUV WR FRPSDQLHV ZLWK Exporters must familiarise themselves with any
low labour costs and subsidised cost structures. restrictions that could limit their ability to develop
Many markets still have tariff and non-tariff barriers markets. Governments may legislate to limit the
complicating access and increasing costs. Recent free importation or exportation of certain goods, although
trade agreements have made the process much easier under WTO rules they must have good reason to do so.
but it is necessary to ensure your documentation Products with military application, for example, usually
is accurate and complete to take advantage of the cannot be exported without prior approval.
concessions offered. Changing currency values can also Most New Zealand primary produce (food and
LQFUHDVH SULFHV RU HURGH SUR¿WDELOLW\ )RUPHU FXVWRPHUV DJULFXOWXUDO SURGXFWV PD\ QRW EH H[SRUWHG ZLWKRXW
can imitate then replicate your product. appropriate permits. Exporters should check with the New
0DNH VXUH \RX KDYH VXI¿FLHQW ZRUNLQJ FDSLWDO IRU \RXU Zealand Food Safety Authority or the Ministry for Primary
¿UVW LQWHUQDWLRQDO IRUD\ LQ KDQG RU KDYH VXLWDEOH ¿QDQFH ,QGXVWULHV ZZZ PSL JRYW Q] 2WKHU JRRGV RI VWUDWHJLF
arranged with your registered bank. KLVWRULFDO RU FXOWXUDO VLJQL¿FDQFH PD\ DOVR EH VXEMHFW WR
%HIRUH \RXU ¿UVW WULS RYHUVHDV FKHFN ZLWK \RXU export restrictions. The full list is available from the New
¿QDQFLDO DGYLVRU ,QFUHDVLQJ SURGXFWLRQ XVXDOO\ PHDQV Zealand Customs Service www.customs.govt.nz.
higher variable costs, but a relatively smaller increase in Regulations differ from country to country. Many
¿[HG FRVWV ,QFUHDVLQJ SURGXFWLRQ YROXPH FDQ WKHUHIRUH countries have regulations to protect public health
GHFUHDVH XQLW FRVWV RI SURGXFWLRQ DGGLQJ WR SUR¿WDELOLW\ or safety or the environment. Failure to comply can
Gradually you can invest more in new product be very expensive so it is wise to check early in the
development, improved designs and more features. Your process what, if any, regulations apply to your product
GRPHVWLF PDUNHW SRWHQWLDO ZLOO DOVR EHQH¿W 6HH WKH in your target market. Many countries require their
)LQDQFH FKDSWHU IRU PRUH LQIRUPDWLRQ imports to be covered by Import Permits and if this is
the case it is wise to ensure these exist before sending
Shipping your goods.
The loss of goodwill for the failure of a shipment to
comply with the customer’s requirements can be beyond Passing risk
calculation. Export documentation depends on the source Goods that pass over international borders face greater
GRFXPHQW WKH RUGHU FRQ¿UPDWLRQ DQG WKH OHWWHU RI risks than domestic trade. The use of recognised trade
FUHGLW / & *HW WKHVH ZURQJ DQG \RXU JRRGV PD\ QRW terms will enable you to identify clearly where the
get delivered, much less paid for. (If payment is by L/C, ownership and risk passes. Within New Zealand, the
documentation must absolutely comply with the terms Sale of Goods Act 1908 states that, unless otherwise
RI WKH / & RU SD\PHQW LV MHRSDUGLVHG ,I \RX FDQQRW agreed, risk passes when property passes, regardless of
complete your export documentation yourself, a freight whether delivery has been made.
forwarder can do it well, on time and at reasonable Export law differs. The transfer of the property and
cost. With new port security requirements, initial the passing of the risk are separated, either by express
documentation must be completed before the container DJUHHPHQW RU E\ WKH DFFHSWHG GH¿QLWLRQ RI WKH WUDGH
is delivered to the loading wharf. (See the Freight & terms used. The International Chamber of Commerce
/RJLVWLFV FKDSWHU IRU PRUH LQIRUPDWLRQ publication ‘Incoterms’ is the internationally recognised
Separate the tasks of packing for shipment from the source of this information and is available from your
packaging for resale. While the factory must contain and local chamber of commerce and at the back of this
pack the goods, marketing must have authority over the book. It provides simple and reliable terminology that is
¿QLVKHG SDFNDJLQJ VSHFL¿FDWLRQ recognised and used internationally.

24 NZ Export & Trade Handbook 2018