Each manufacturer thinks about the largest possible ranges for his sales. The export of manufactured goods offers great opportunities for business development and opens doors to new markets and new consumers. Belonging to the European Union gives Polish entrepreneurs attractive opportunities to establish new business contacts. Are you a producer of food products yourself and you wonder how to become a food exporter? Then this article is for you!
Analyze your situation
The analysis of the situation of your own company and the manufactured product is the first step you must take when thinking about exporting. First of all, take a closer look at the product you plan to export: what is its position on the domestic market? Has it been successful? Is it a product that can have the same demand on the foreign market? The second fundamental question concerns your company's situation: does it have sufficient financial, time and human resources to take up the export challenge?
Other questions may be that you already have some initial strategy for overseas market entry and do you have the appropriate legal resources? Do you have to create a financial and marketing plan for entering a foreign market? Does the product you plan to export require specific standards in each country? If so, do you have the ability to adapt to these very requirements? Remember that food standards can be quite restrictive in many cases.
Of course, there are many more issues to consider before making a decision to enter a foreign market. However, the above questions can be an excellent introduction to export considerations and plans.
Sales market identification
The target direction of exports will have the greatest impact on the situation and activities of the exporter. Market identification should be carried out and the direction of shipment of goods selected (especially at the beginning of an exporter's career). Of great importance to the procedures is whether the country to which we plan to export is a member of the European Union or not. Of course, while in the European Community we can count on certain facilitation and simplification of procedures, we should not limit ourselves only to this area. It may turn out that the most attractive sales market is outside the EU, and taking steps to export to this area will prove profitable. However, this decision should be preceded by a solid market analysis. It will definitely be necessary to analyze the trade statistics of a given market and to evaluate the attractiveness of your product. Does a similar product exist on a given market? Is the competition big? How is the demand evolving?
The one who can help you identify the market is your trading assistant. If you feel that you need an advisory voice when starting export activities, do not hesitate to use professional help. The voice of the advisor can help you enter the foreign market and fulfill all procedures smoothly.
You can also look for information on potential outlets in chambers of commerce and even in banks - some of them offer assistance services and export consultations for entrepreneurs.
Conditions for exporting food products outside the EU
In order to be able to export certain products outside the European Union, certain basic requirements must be met. First of all, keep in mind that a product can be exported in various ways. It is possible to export a product directly to a buyer on a foreign market (and that buyer may be a specific company or consumer). E-commerce platforms are an alternative to such export targeting. They enable the indirect export of goods. This option is often used by small and medium-sized enterprises.
What do you have to do to be able to export outside the European Union? Several requirements must be met:
- be based in the EU - registration for VAT purposes is required;
- be registered in the national trade register;
- have a work permit (if you are not an EU citizen);
- submit an application to the competent customs administration for an economic operator registration and identification number (EORI). EORI is an identification number valid throughout the European Union and required for all customs export declarations.
Check the rules and restrictions
The export of certain goods from the territory of the European Union is prohibited or restricted. These regulations may change, so you should follow the update of the regulations with the competent authorities. Food products are also subject to certain restrictions (including some live animals, meat or plants, some food products), so before you start trying to become an exporter, check how these restrictions apply to your product.
Summary
The first steps you need to take to become an exporter can be summarized in specific points:
- Check your own potential and the company's readiness to expand its business with exports;
- Consider whether you want to trade with countries belonging to the European Union or export goods outside the Community;
- Find your first export market by assessing your business potential and competitiveness in a given market;
- Calculate all costs related to the export of goods (tariffs, transport costs, costs of employees, duties);
- Carefully consider the structure of the division of responsibilities between the seller-exporter and the buyer-importer;
- Check the legal requirements for an exporting company;
- Register as an exporter and obtain an EORI number;
- Check the duty rates - whether they are regular or preferential;
- Check export restrictions and possible trade agreements between the destination country and the EU;
- Evaluate the product verification and certification process in the target market;
- Check the packaging and labeling rules for your target market.
Entering a foreign market is not an easy matter, but it can open up new prospects and business paths. Appropriate preparation (both financial, legal and substantive) to become an exporter can certainly improve initial activities.