I would like to import certain food product. However, I need to do initial registration of the food to my country’s FDA. In order to do that, there is some documentation required to process the registration. However, the food factory asked me to pay 50% down payment before they can provide me with the documentations. My question is whether or not this practice is normal since at the end of the day, there is no guarantee that the food-product passes my country’s FDA requirement. I may lose my deposit if I cannot legally market the product. I am looking forward to your answers. Thanks. Andy
If the documents required are readily available at the supplier, then it does sound strange to me that they would ask for a payment. But keep in mind that everything is up for negotiation when buying from China. So this may be just an effective sales technique. If the documents are common among suppliers, consider finding a new supplier who is more interested in your order.
If the documents require additional expenses on the part of the supplier, then I think it is reasonable to enter into some kind of understanding about who pays for what and why.
Let me know how things work out for you. Hope the ideas above help!
Wishing you successful China sourcing!
Question answered by Mike Bellamy.
Advisory Board Member & Featured Blogger at the not-for-profit China Sourcing Information Center (www.ChinaSourcingInfo.org). Author of “The Essential Reference Guide to China Sourcing” and founder of PassageMaker Sourcing Solutions.