India is a rapidly developing nation and also a great market for products manufactured in Chinese factories. It has a massive population to cater do, a stable economy and robust port infrastructure. 95 percent of the international trade from the country is carried out through ports.

There are 13 major and 176 minor seaports in the country. If you are wondering how to import goods from China to India to kick start your own business, then this guide will prove to be of great help.

1. Shipping from China to India
2. Popular products imported from China to India
3. How to import from China to India?
4. Major ports in India
5. Shipping goods from China to India: The major steps involved
6. How to import from Alibaba to India? 
7. Prohibited items for importing from China into India
8. Transit times from China to India
9. Why rely on DFH?

Shipping from China to India

It is first and foremost important to understand the trade regulations that exist between the two nations. It is vital to understand the import regulations, product regulations, safety, labeling and, customs procedures.

India has established standards for all importers and local manufacturers. These have been laid down by the Bureau of Indian Standards (BIS). Stringent standards have been laid down for automobile, cement, steel, medical and, food products being imported. 

There is a separate requirement for labeling. The name, description, price, country of origin and batch number have to be specified in either English or Hindi language. Customs requires a lot of paperwork to be managed. You will need a bill of entry, bill of lading and other relevant supporting documents to accompany your cargo. Customs duty needs to be paid at the collection port. The rate charged is 12 percent which is quite high in comparison to other nations.

Popular products imported from China to India

Here are the most profitable products imported from China.

• Clothes
• Toys
• Sports equipment
• Electronic goods and machinery
• Mobile phone accessories
• Footwear and accessories
• Cosmetic products
• Auto parts and tires
• Transport equipment

China presents a myriad of options to any buyer. Choose a product that fits well into the current market requirement in India.

How to import from China to India?

For importing goods from Chinese factories, you need to first identify a reliable seller in China. Once, you are done with this step, you need to connect with a reliable freight forwarding agent in China. It is crucial to choose a dependable and trusted freight agent as they will assist with a majority of the import procedures. They will help you ship goods from China and deliver them to you in your country.  

If you are importing samples, a service from a courier company that does door to door shipping is preferred. If you are importing heavy goods, then sea freight is the best option. Whatever the case is, choosing a reliable freight forwarder can simplify the entire process for you.

License requirements for importing goods from China to India

The license requirement is dependent on the kind of goods that you are importing from China. If you are importing goods for personal use, then you don’t need any license for it. If you are importing goods for further manufacturing or trading purpose, then you need to apply for Import Export Code (IEC).

You will be penalized if you try to import goods from China without this code. Obtaining this code is pretty simple. You just need to submit the documents requested by the concerned authorities. Further, if you are importing goods for trading, then you need to register as an importer.    

Major ports in India

India has numerous ports both on the east and west coast. These serve as major points for goods being imported from China.

1. Chennai

This east coast port is the largest container ports in India. It is managed by P&O Ports, Australia,and Chennai Port Trust. Also, it is the second-largest container port in India. It manages more than 60 million tons of cargo. 

2. Kolkata

This is the oldest port in India. It is managed by Kolkata port trust and PSA International which is a Singapore-based company. It is the second busiest port of the east coast of India.

3. Vishakhapatnam

This port commenced its operations from 1993. It is the third major port of the East Coast and is managed by Vishakhapatnam Port Trust and DPW, an Emirati Group. 

4. Kandla

It is one of the biggest ports in India. It manages over 106 million tons of cargo. It is currently a major port for importing oil, grains, iron, chemicals, petroleum, and types of machinery.

5. Jawaharlal Nehru Port

This port is also known as Nhava Sheva. It is the largest container port in India. It manages 55 percent containerized cargo of the country. It is ranked in the top 100 container ports in the world. It has over 30 container freight stations and connectivity of 52 deports across the country.

DFH Global logistics provides swift deliveries to all the above-mentioned ports and other ports in India. We provide a range of dependable ocean freight services to India.  

Shipping goods from China to India: The major steps involved  

Shipping goods from China into India requires you to follow certain procedures. Following these will help you import products from the factories of your choice in China without any hassles.

Step 1: Identify the products that you want to import

Before importing, you need to first decide which product you are going to import to India from China. This can be a tedious process if you don’t know how to do market research. You can search for the products yourself or take help from a professional who can study the market trends and tell you what can the most profitable product for you.

Attending exhibitions and trade fairs can also prove to be immensely beneficial. You can interact with suppliers and decide which product you would want to import to your country. You can also choose from the popular import options from China to India. However, there will be massive competition over selling such goods. 

Step 2: Connect with the suppliers

This is not an easy task. There are several suppliers in China and finding someone who can provide you exactly what you need can take some time. You can rely on manufacturers or distributors. Connecting with Chinese factories directly can be profitable for your business.

• Aliexpress/Alibaba
• Made-in-China
• Trade shows
• Canton fair
• Global Source
• Referrals

Step 3: Convey your requirements to the supplier

It is crucial to maintain good trade relations with a supplier. You need to clearly communicate with them and convey what you are looking for in a product. Once you have found a reliable supplier, make sure to establish a lasting relationship with them. This will add to the convenience of shipping goods from China over time.  

Step 4: Understands the laws associated with importing goods from China

There are specific laws that govern imports from China into India. Not adhering to these can invite serious consequences. Hence, it is crucial to have a better understanding of such laws. The first thing that you need to do is to procure an import license. 

• Getting an import license

Before importing goods from China, you need to own a license that gives you the freedom to import. The process is quite simple. You need to first get an Importer Exporter Code (IEC). This is a 10-digit number issued by the Directorate General of Foreign Trade (DGFT).

It is mandatory to submit necessary documents and pay a fee in order to get IEC. Here are the documents that you need to submit.

• PAN Card details
• List of partners in the business and their identity proofs
• Bank account statement

You can file an application online from the official website. Furnish all the details requested and you are ready to go. Once your application is processed and you have your 10-digit IEC, you can proceed to the next step.

• Learn the associated trade terms while importing goods from China

International trade involves the use of several trade terms that are understood by any trader all over the world. These are referred to as Incoterms and are used all over the world.  

• FOB (Free on Board)

Free on Board of FOB trade agreement specifies who needs to bear the liability for goods if they get damaged while in transit. If a trade agreement states the FOB shipping point, then it implies that the seller has to bear the risk of loss until the goods are shipped. 

FOB destination means that the seller has to bear the risk of loss until the goods reach the buyer. This term is usually used while sending goods in non-containerized inland waterway transport or sea freight. You can have complete control over your order if you opt for this incoterm. 

• CIF (Cost, Insurance and Freight)

This is the most commonly used incoterm. Under this incoterm, you will have to bear the cost of your cargo shipment and customs clearance at the port of destination in India. You need to take up the responsibility of transporting the cargo to your warehouse. Your supplier will take care of shipping the cargo to the port; manage customs clearance at the port of origin. Once the goods are delivered to the destination port, the responsibility shifts to you. 

• EXW (Ex Works)

Under this incoterm, you have to take up certain responsibilities. You will have to manage the cost cargo and also customs clearance at both ports of origin and destination. You will also have to take care of freight charges and the insurance cover over your imported goods. Your supplier will just deliver the goods to your chosen freight forwarder’s location and provide them the necessary documents required further. The maximum responsibility is on your under this incoterm.  

• DDU (Delivered Duty Unpaid)

This incoterm vests the responsibility forthe delivery of goods on your supplier. This includes paying for transportation at the port of origin, customs clearance, and insurance. Once the goods have been delivered, the responsibility shifts to you.

• DDP (Delivered Duty Paid)

This incoterm holds the supplier in China responsible for shipping your cargo to your chosen destination in India. Your supplier is responsible for paying for the customs clearance and taxes during the shipment. This incoterm puts maximum responsibility on the supplier. 

Step 5: Understand the documents required for importing goods from China to India

While importing goods from China, it is essential to be aware of the vital documents involved in the trade. Having these ready will ensure quick clearance of your cargo by the customs officials. Not having these documents will invite longer clearance time by the customs officials.

• Bill of Entry

This is a document that describes the exact nature of the goods being imported by you. It specifies the quantity and also the associated value of goods. Either you or your supplier has to create this bill and hand it over to the customs.

Usually, it is the supplier who is responsible for providing this document. They will send you a copy so that you can produce it to the customs officials at the destination port. This is also used for estimating the taxes that you will incur.

• Invoice

This document specifies the number of goods and also the price. It is provided by the supplier.

• Airway Bill/Bill of Lading

This document is the source document used by the customs official. This bill is provided by the freight forwarder you rely on for shipping your goods.

• Letter of Credit

This document plays a crucial role when it comes to making a payment to the supplier. This is the undertaking by your commercial bank to pay to the supplier for the consignment you have requested from a supplier in China. You receive other vital documents in return for this Letter of Credit.

Step 6: Calculating import duties

You need to pay taxes as well as import duties while shipping cargo from China. These are estimated based on the value of goods that you are importing from China. Here are the following duties on importing goods.

• Customs duty

Customs duty is applicable over all the goods imported into India. It is categorized into standard and preferential duty rates. The standard-duty is applicable over goods imported from China as there is no trade agreement signed between the two nations. If there was any agreement, then the preferential rate would be applicable over your trade order.

• Integrated Goods and Services Tax (IGST)

The customs officials levy IGST on all goods imported from China. There is an exception over certain commodities such as petroleum. You will also have to bear compensation for tobacco products and motor vehicles. 

Step 7: Decide on the payment terms with the supplier

Once your cargo has been shipped, you will have to pay your supplier the amount that has been decided. Agree on the payment mode beforehand to avoid any hassles later on. Here are the most popularly used payment modes between Indian importers and Chinese suppliers. 

• Telegraphic Transfer

Though this mode of payment is not widely used these days, it enables you to transfer the amount directly from your account. All you need is the bank details of the supplier in China that you have chosen. The amount is usually processed within three to four days if you opt for this payment mode.  

• PayPal

This payment mode is utilized only if the volume of goods being imported is small. 

• Letter of Credit

This is the conventional way of paying the supplier in international trade. This protects both the supplier and you. There are several advantages to choosing this payment mode. You are providing assurance to your supplier in the form of a letter of credit. They will supply the goods to you without any apprehensions. They will do this because they have assurance from your bank.   

Step 8: Choose a reliable freight forwarder to ship your goods from China

This is the most crucial step involved in international shipping. This can make or break the deal. A freight forwarder manages the shipment from a factory in China to your chosen address. They care about the complicated customs procedure and also ensure the safety of your goods. They arrange warehouse facility for your goods in China.

There are many freight forwarders available in China. But no all of them are reliable. To find a trustworthy partner from China, you need to look into the background of the company, experience, international licenses and membership, office network and their reputation for meeting deadlines.

DFH Global has been operating for over a decade and has sent several successful consignments to India from China in a secure way. You can take a look at the testimonials from Indian businesses that are reliant on us for their trade needs. We have a strong network and reliable team to manage all the processes involved in trade between China and India.

Tip: DFH provides free warehousing service for clients for three to six months in its secure and controlled warehouse in China.

Step 9: Choose the shipping mode for your goods

While importing goods from China to India, you need to first have an understanding of what would be the best option for you.

The popular options are

• Sea freight

This is an ideal shipment mode to rely on if you are importing a large volume of cargo. This is one of the cheapest modes of transport but it does take a lot of time to deliver goods to your destination port. Container shipping is done either via FCL or LCL shipping from China to India.

FCL Shipping allows you to import a large volume of goods from China at a cheaper rate. You get an exclusive container that consists just of your goods. LCL, on the other hand, is preferred while importing a small volume of goods. This is economical as you pay for the space that your goods occupy. You share the container with several other importers from India.

• Rail Freight

Despite sharing borders, there is no well-developed rail network between China and India. This mode of transportation is quite expensive as there is no direct link between the two nations. The transit time from Beijing, Shanghai, and Shenzhen to major Indian cities such as Delhi, Mumbai, Bengaluru, Kolkata, and Chennai are around 15 days.                                                                              

• Airfreight

This shipment mode is preferred if you are importing high-value goods from China. However, this shipment mode can prove to be slightly expensive in comparison to sea freight. It is also the quickest means to import goods from China to India.

• Courier service

You can opt for courier service from China while requesting a sample from any supplier. There is a restriction over cargo weight and dimensions while opting for this service. If you want doorstep delivery within 2-3 days, then this is the shipment mode you need to rely on.

Step 10: Estimate shipping costs from China to India

Shipping cost plays a significant role in international trade. Being aware of it will help you plan your business model.

Step 11: Collect your goods at the destination port in India

Once you have decided on the mode of shipment with your chosen freight forwarder, you can pay the costs and the insurance amount. Your goods will be shipped and you will be able to keep a tab on them. You will be notified when your goods arrive at the destination port. You can take of the customs to release your goods. 

We at DFH understand that international freight shipping is not an easy process. Hence, we make sure that we remain connected without clients throughout so that they don’t have to face any hassles. We take care of getting the goods from factories, warehouse services, packaging, customs clearance, insurance and a lot more. Rely on us for while importing goods to India from China.  

How to import from Alibaba to India? 

Alibaba is a reliable platform that provides you with an opportunity to connect with different suppliers in China. Finding a supplier on the platform is really easy. You need to first identify the product that you want to import from china.  This will help you plan the shipping process and get a rough estimate of the costs that you will have to bear.

Identifying reliable suppliers requires you to engage with them and understand their offerings. You can request for quotations, get a sample and decide which supplier you wish to collaborate with based on your budget. You can try negotiating the costs with the supplier. You can do this by deciding the incoterms that favor you. 

Once you have decided the supplier you wish to team up with, hire a reliable freight forwarder and decide the mode of transportation. Choose the port of destination and origin. Collect the product once the shipment reaches the destination port. Your freight forwarder will take care of the incoterms, customs, insurance, and others on your behalf. Hence, it is crucial to rely only on an experienced freight forwarder in China. They will ease your burden. Make timely payments to your supplier to maintain a friendly working relationship with them.

Prohibited items for importing from China into India

All governments release a list of items prohibited from being exported into their country. There are certain items that you cannot import into India. If you do so, the customs officials will confiscate the items at the destination port.

Hence, it is essential to be aware of what is allowed and what is not.

• Wildlife and associated products
• Obscene materials
• Narcotic drugs
• Pirated goods that infringe intellectual property rights
• Antiquities
• Certain chemicals
• Literature and maps that depict inappropriate information about the external boundaries of India

It is best to identify the prohibited items from being imported into India from the concerned departments. You will be provided with a detailed list.

Transit times from China to India

The time taken is not the same to ship goods from China to India. The transit time is dependent on the loading ports, destination ports and the container system opted. LCL shipments take more time to be delivered.

Port in China	Mumbai	Chennai	Nhava Sheva
Shenzhen	17	15	15
Shanghai	23	17	16
Tianjin	23	20	18
Guangzhou	17	12	15
Ningbo	21	17	14

On average, it takes 20 days for your shipment to reach to your destination from China. 

Why rely on DFH?

Importing from China into India is not an easy process. You need to have a better understanding of the shipping process and must also be aware of the subsequent terms encountered. To facilitate shipping from China, a reliable freight forwarder can prove to be of greater advantage.

DFH Global Logistics has been operating for over a decade. We have sent numerous shipments to our Indian clients over the period. We are aware of the customs regulations, taxes and other associated aspects in trade.

Get in touch with us today to request a quote for import goods from China to India.