Question: Dear sir, I come from the state of Punjab. I wish to start an export business of stoles and scarfs. However, I don’t have an export license and cannot afford to have one. Neither do I have a friend, who can lend me his license. Despite these handicaps, I am raring to start an export business? Is exporting goods through VPP order a reliable way of starting this business? Rising courier cost is another bottleneck.
Answer: I see the zeal in you, but unfortunately, you are not aware of the ways. Never mind. Where there is a will there is always a way. And we are here to show you the ways.
The first and foremost requirement is to make your presence known. This would help you reach out to buyers and sellers of those countries and in the process whip up demand for your products. By the time you are ready to export, the demand for your stoles and scarves would be staggering.
Now coming to your questions, I think you are reeling under some wrong notions. I don’t think you will be permitted to send goods using your friend’s license. Lending license to you entails lot of risk for the license holder. What if you get into illegal exports? Moreover, no one would part with his license for charity. This would significantly eat into your gains. Instead, going for an own license makes more economic sense.
It’s wrong to believe that sending goods through VPP courier is not reliable. What about the millions of VPP orders being transacted across the length and breadth of the globe? Had companies been duped, they would have wounded up by now. On the contrary, they are growing by leaps and bounds, thanks to VPP orders. You can blindly rely on a secure parcel delivery service. And coming to the cost factor; courier companies’ offer discounted rates to exporters, because they transfer goods in bulk. And even if this happens to be too much, you can recover the cost from your customer. Courier agencies generally go out of their way to keep clients in their good books, because they earn their dollars by keeping you pleased.
Another easy way out is to sell from a credible marketing platforms like Amazon or eBay. These sites collect money from customers and deposit it in seller accounts. Most marketing sites accept payment through electronic systems, including its own PayPal system. The shipping fee is automatically set based on the item being sold.
Another possible way out is to have your own outlet in foreign countries. The Indian consulates located in the United States has commercial attaché which can guide you on how to go about.. The US consulate in India can also provide you with a list of their own import / export enterprises.. Get in touch with these enterprises to take your interests forward. Carry out a massive mail campaign. Remember the response may not be encouraging, but you should be relentless in your endeavors.
With all these available platforms, it is possible to start an export business without much of a hassle. All that is required is grit and the determination to succeed. And last but not the least: Aim for earning a good reputation than earning money. Money will soon follow.