No country in the world is self-sufficient in all the things they need. But in case of specific some products, one country can be self-sufficient. In Bangladesh, one of those particular products is footwear. Bangladesh produces a lot of footwear products that exceed our national demand.
That’s why we export a lot of footwear products in many countries over the year. Export is an international trade function in which one country sells products to another country for further sale or trade. After meeting one country’s demand for a product, if they have much, they export it for getting foreign currencies. Generally, export is done on a large scale.
In this article, we will be discussing what the process of exporting footwear from Bangladesh is.
Process of Exporting Footwear From Bangladesh
Exporting footwear is a lengthy process, and it takes many days, sometimes months, to finish the process. This process generally starts with orders from buyers and ends in shipping goods. We are explaining the full process of exporting footwear by some steps which are as follows:
At first, the exporter sends the quality, price, color, grade, weight, size, packaging details, delivery terms, payment method, etc. of the footwear to the buyer. If the buyer likes all the details about products or goods agree to all of the terms have given by exporter, then he places an order.
Confirmation of order
After getting requests from buyers, exporters want to know more about the buyer, his credibility, his identity, history in importing products. After the inquiries, the exporter confirm his order.
In this step, the exporter asks for a letter of credit for making sure the payment and trustworthiness of the buyer. “Letter of credit” is critical here.
Manufacture of order
After the confirmation of the order, the exporter starts the production of the ordered footwear. In the production section, the exporter must be very careful. He must produce buyer footwear by fulfilling all of their requirements.
If buyers get any fault, then they will no be agreed to take the products. So the color, design, size, and all the requirements of footwear should be maintained well.
Inspection by importers
Importers investigate to ensure the quality of the products. It is generally performed by some agents who are appointed in exporters country for the examination.
It’s a big part of exporting leather and footwear products as well as every product. This step should be done very carefully. A strong container should use in it. And the container should be sealed and filled enough. You have to make sure that total weight should be distributed equally everywhere.
Packages should be moisture resistant. Packages should also be sealed and wrapped enough, which can prevent theft or many other things like this. After packaging, a packing list should be made, and it should be attached on the outside of the package. All the materials and products should be enlisted in the packing list.
Labeling is another critical issue. It indicates the specific marking of the products. It has to be done for meeting shipping regulations. It ensures the proper handling of all the products. It helps the buyer to receive the product.
The exporter should give some marking on every carton which will be shipped:
- Shipper’s sign
- Origin of the product
- Weight of the products
- Number of packages
- Handling numbers
- Cautionary quotes like “This Side Up” or “Use No Hooks” etc.
- Port of entry
A lot of documents are needed in exporting footwear. All required documents are given below:
1. Insurance certificate: This a negotiable instrument generally provided by exporters.
2. Destination Control Statement: This statement is for notifying the carrier and all the foreigner parties for knowing the destination of the product.
3. Dock receipt and warehouse receipt: These receipts are used when the products are moved from domestic port to international port for export.
4. Inspection certification: Some buyer requires the certificate of inspection for making sure the quality of the products.
5. Certificate of origin: It’s a vital certificate that ensures the origin of the product. Sometimes a buyer may require a certificate.
6. Commercial invoice: It’s a bill for the buyers. If you are an exporter, you must provide it to your buyers.
7. Bill of lading: It’s a contract between the owner of the products and the carrier of the products.
8. Consular invoice: Some certain countries require this invoice.
9. Export license: This license certifies you that you are an exporter.
Finally, the products are shipped to the destination. The buyer will get it after the customs clearance.
Sometimes, export shipments are insured by seller or buyer against the loss, damage, or delay in transit issues.
Benefits of being the highest priority sector:
In the case of exportation, footwear is the highest priority sector in Bangladesh. For being the highest priority sector, this footwear industry gets a lot of benefits and opportunities.
Few are discussed below:
I. This sector gets a massive loan for their project at a lower interest rate on a priority basis.
II. They get a lot of assistance in the production system.
III. They get help in the marketing department and searching in the market.
IV. They get a lot of help in taxation.
V. A lot of financial support they get from the government.
VI. The government helps to expand their business; they provide them all technical support.
VII. Important initiatives will help this sector to get foreign investments.
VIII. They get an export loan at a low-interest rate and some bond facilities.
IX. The government makes less complexity in airport and seaport also for them.
Mainly these are the assistance they are getting from various sources.
Footwear is one of the fastest-growing export sectors in Bangladesh. That’s why a lot of people are interested in starting the footwear business to take remittance for our country.
In this article, we have discussed what the process of exporting footwear from Bangladesh is. This article might be beneficial and useful for those persons who want to start a footwear business and export footwear products in many other countries.
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