How to select a broker ?

  • 1
    Understand the industry and target market segment

    the exporter is entering.

  • 2
    Find broker candidates

    -Visit trade events and study the product to know how it is sold and who is selling it.

  • 3
    Evaluate the candidates

    – Trust and understanding are two primary criteria for finding a broker.

What are the Logistical Options in Exporting to the United States?

  • 1. Importer who owns the product
    • and sells to distributors, retailers, or foodservice buyers directly

    As noted earlier, imports of food products to the United States require an official importer. This company must have a presence in the United States, either through a brick and mortar installation or as an importer of record through an agent/representative. This agent/importer must file the Prior Notice of Imported Foods and is responsible for filing the import declaration and related documents. This work is
    done by a Customs Broker on behalf of the importer. The broker will either require prior payment of import costs or require a bond be in place to cover import duties and costs.Even with GSP in place, this bond will be required.

  • 2. Exporter-owned importer
    • with broker or other sales network in place to sell to distributors, retailers, or foodservice buyers directly

    Exporters can opt to be their own importers by establishing an operation in the United States. This can take many forms, from brick and mortar to working with any number of companies providing this type of service to foreign manufacturers. In this scenario, the exporter owns a company in the United States that is its importer and often its master broker/distributor. Through this mechanism, the exporter’s U.S.company can promote the product and subsequently a retailer or distributor can buy the product from the U.S.-based warehouse and inventory.

  • 3. Retailer or foodservice company
    • buying directly

    An exporter may have the option to sell directly to a retailer or foodservice. This, however, presents risks without a thorough knowledge of the market. For example, the exporter would then be liable for all duties and taxes.
    In 50 percent of the cases, imports go through distributors to reach the consumers—39 percent retail and 11 percent foodservice. Major companies are involved in this way with Mediterranean imports and are also their own distributor, as described above