Importing goods into Australia.
A cheat sheet for Australian business owners.
So you’re a small business who currently imports good into Australia, or maybe you’re an entrepreneur with awesome ideas on how to develop a new online or traditional retail/wholesale business – but you’re struggling to make some headwind. Many small business owners feel they’re doing this all on their own, learning as they go, and more often than not, making mistakes along the way.
Before we get into the details of importing goods into Australia, here’s a simple reminder of what you’ll need to declare to the Australian Border Force.
- Here’s what I’m bringing into Australia. (detailed description of the goods)
- This is how much I paid for it. (commercial invoice supplied by the sender/consignor)
- This is where it’s coming from. (senders address)
- Here’s where it’s going. (delivery address)
Isn’t it refreshing to get free advice and support when you need it?
That’s what we’re about here at One World Courier – developers of Australia’s popular Free Freight Management software platform, especially for business owners who are tired of paying just to use what we call SaaS, Software as a Service.
Our freight platform is one of a kind, it’s like having your own freight and shipping marketplace, right at your fingertips. A secure online website where transport, freight and courier companies gather and compete with one another for your business. When you need to move samples or products from anywhere in the world into Australia, you need the flexibility to choose the best freight service to match your requirements.
A few things to keep in mind
You see, whilst you don’t need years of experience, it pays to know the basics of importing (and exporting) – which is what we’ll be going through in this article.
Getting your products from overseas to your doorstep isn’t just about shipping. There’s the whole deal of pacifying Australian Border Force (Customs Service) when the goods hit Australian shores, and of course lining up all your ducks in a row at the point of origin in order to clear customs, and show the freight carrier your goods do not pose a threat to the integrity and safety of aircraft, vessel etc.
Lithium Batteries
Lithium batteries contained in or packed with imported goods are classed as Dangerous Goods (DG’s). Electronic devices containing Lithium Ion and Lithium Metal batteries are a popular product with Australian importers, therefore it really pays to understand how to properly declare goods containing batteries containing Lithium to Australian Border Force. Additionally, it pays to find out more about what you can and can’t ship when the items being imported contain batteries and are classed as Dangerous Goods.
Importing Dangerous Goods
The transport of items classified as Dangerous Goods is administered by the Civil Aviation Safety Authority (CASA), the International Civil Aviation Organisation (ICAO) and the International Air Transport Association (IATA). Therefore, there are other imported products that do not contain batteries which can be classed as Dangerous Goods. These can be, but not limited to, perfumes, liquids, aerosols and sprays, paint and oil, commercial explosives, fireworks, ammunition, pesticides, petrol and alcohol.
Importing and Paperwork
Then there’s the paperwork, such as commercial invoices, licenses, etc, which you want to get right first time round. Importing is like planning a big road trip. Sure, you could just jump in the car and drive, but having a solid road map makes the journey way easier.
That’s where the One World Courier Customer Service team come in. Think of us as your co-pilot, your navigator. We’re not just about creating online freight and shipping booking systems, we’re here to give you the advice, the know-how, and the personalised support you need.
Whether you need help sorting stuff out with customs in the country you’re sending from, or dealing with the Australian Border Force here at home, we’re with you every step of the way.
We’ve got your back!
Bottom line? We’ve got your back, making sure that importing journey of yours feels less like a gamble and more like a smart move.
Using recommendations from Australian Border Force, let’s simplify the considerations and requirements for small business operators who are looking to import samples and products into Australia to begin their own business using imported goods.
Declaring Imported Goods to Australian Border Force
As we said earlier, think of a declaration being a bit like telling Australian customs, “Hey, here’s what I’ve got, this is how much I paid for it, and here’s where it’s going!”
Based on the type of products and irrespective of their cost, you might have to get special permits to release specific types of goods from the possession of Australian Border Force. Among other requirements, it’s really important to make sure all labeling of imported items are accurate and authentic.
Not forgetting products that require a trade descriptor must carry the name of the country where they were created or manufactured, along with when indicated, an accurate description of the item. So it really does pay to do your homework and make sure the correct labelling of samples and products are clearly visible and detailed enough for an assessment to be made by customs officers.
Don’t leave it to chance. Australian Border Force know every trick in the book. They know what to look for, especially for first time importers who appear in their system. Be aware, as a first time importer, your shipment may be flagged and subjected to inspection, so it’s always also best to allow for this in your delivery timeline.
The Import Declaration
An Import Declaration is a statement made by you, the Importer/Consignee (owner of the goods), or a licensed customs broker;
- describe the goods being imported
- give details of the importer
- how the goods are being transported (air, sea etc); and
- the tariff classification and customs value
Find out more on Declarations for Imported Goods on the Australian Border force website.
Import entry costs and processing charges
Alright, let’s break this down so everyone gets the gist, because this is always a sore point for every importer. The last thing we all want is to be ‘slugged’ with additional fees and charges we never budget for, and eventually eat into your profit margins.
So, thinking about bringing goods into Australia? First, let’s go over some of the costs you might bump into along the way:
- Transportation & Handling: You’ll need to pay for getting your goods here. That means covering transport, maybe some insurance to keep things safe, storage if your items need to hang around in a boded warehouse before moving on, and any other little fees that may sprout along the way. Remembering. One World Courier can help you with the entire process of importing goods into Australia, however, ultimately, the responsibility to make sure everything is compliant, rests purely on your shoulders. However, with that being said, we do our utmost best to help and will always be available to answer any questions, and we’ll even jump in and offer advice when we we feel you’ll need it.
- Broker Fees: Customs brokers can help get your goods through Australian Border Force and clearance through the Customs Service in the consignor country. Customs Brokers are super handy but come with their own fees.
- Import Charges: This one’s a government thing. It’s a charge for processing your imports.
- Clearance and Permits: Sometimes, you need special permission or clearances. Yep, that comes with its own set of fees.
- Customs Duties: Think of this as a kind of tax for bringing items into the country. Not everything has it, but some goods do.
- Biosecurity Fees: Australia’s pretty serious about keeping its environment safe. If you’re bringing in anything that needs checking for pests or diseases, you might attract this fee.
- GST: That’s the Goods and Services Tax, which currently sits at 10%.
- Other Fees: Every now and then, there might be some other taxes or costs that pop up, depending on what you’re bringing in.
Duties and other charges
Imported goods with a value over AUD1000 and some imported goods like tobacco, tobacco products and alcohol, are subject to the payment of:
- customs duty, and
- taxes and other charges
Goods and Services Tax (GST) is payable on taxable importations. For further information, see the GST and other taxes webpage on Australian Border Force website.
In a nutshell, always budget a little extra when importing. There are various costs along the way, and it’s best to be prepared!
One of the biggest issues importers face is understanding the different fees and charges which must be payable when importing goods into Australia. Import Processing Charges (IPCs) are applied when you make a declaration for imported goods.
For everyone who is looking to become an importer, let’s break down the lodgement fees, depending on your consignment value and how you’re bringing it in:
Note: When we talk about a “consignment”, we’re basically looking at whether a bunch of goods are being shipped as a single package from the “consignor” (that’s the sender) to the “consignee” (the receiver).
Typically, a consignment happens when the sender (the person or company you are purchasing the goods from) ships out the items because you, the receiver, placed order for them. Most of the time, a consignment refers to one order. And usually, it’ll come into Australia on a single vessel (ship, plane). However, there are many times when there are multiple packages being sent by the consignor. In this case they’re all part of the same order, and therefore be treated as one consignment.
OK – we got off track a bit there, so let’s keep talking about what you’ll need to pay when importing goods into Australia. If all of the packages (goods contained inside) in one consignment total more than AUD$1000, then they have to be properly documented and declared.
Here’s a brief overview of the basic import fees.
- Electronic Lodgement:
- If your consignment is valued at $1,000 or less, whether it’s coming by sea, air, or post, you’re in luck. It’s on the house – $0.00!
- Got something between $1,000 and $10,000? Again, doesn’t matter if it’s sea, air, or post – you’ll be looking at a fee of $50.00.
- And for the big guns, if your consignment is $10,000 and above, the electronic Lodgement Fee is $152.00.
- Documentary Lodgement:
- For goods valued between $1,000 and $10,000, regardless of the transport method, there’s a $90.00 charge.
- If you’re going over the $10,000 mark, the fee jumps up to $192.00.
Hope that helps give you a clearer picture of the Electronic Lodgement charges! Remember, it’s always good to factor these costs in when planning your imports.
Figuring Out Tariffs
When you’re importing stuff into Australia, you’ve got to classify it under the Customs Tariff Act 1995 – they just call it “the Tariff” to keep things simple.
Now, as importers, you guys have to roll up your sleeves and figure out the right tariff classification for your goods. And heads up: if you slip up, or give inaccurate info, there might be penalties waiting for you.
Ever heard of the “Working Tariff Pages”? They’re pretty much an online version of the big official document named ‘Combined Australian Customs Tariff Nomenclature and Statistical Classification‘. It’s a mouthful, so we just call it the Working Tariff. Make sure you check out that link above for more information. One again, if you’re using a broker, then raise the issue of which tariff is being used to categorise the goods being imported.
You need an ABN
If you’ve got an Australian Business Number (ABN), you’re going to need to share it with Australian Border Force when getting your goods into the country. And, if you’re looking to claim back some GST credits or tap into the GST deferral scheme, make sure you’re registered for GST and have that ABN on hand.
Prohibited Goods
Before importing goods into Australia, we highly recommend reviewing the Prohibited goods section on Australian Border Force website.
vice System that’s pretty neat. It gives you the lowdown on how to use the system and get some early decisions on specific items before you actually import them. Handy, right?
If you’re a small business owner who is looking to import goods into Australia, then find out more about how to create a FREE One World Courier account, and start using our Freight Management Platform. Get access to a wide range of International Air Courier services from DHL, UPS and FedEx, plus unlimited help, assistance and support from our Freight Operations Teams. You’ll never be left alone to figure all this out – we’ll always be there to help.
Recap
In this article we’ve covered the basics of how to import goods into Australia. Just remember to follow this checklist.
- Make sure you’re accurately describing the goods to be imported
- Provide accurate details of the sender (the consignor)
- how the goods are being transported (air, sea etc); and
- Be fully aware of all transportation and freight handling costs. One World Courier can help with the process of importing goods into Australia, however, the responsibility lies on you, the consignee to make sure everything has been done to make the import as smooth as it can be.
- If you’re using a third party broker. Customs brokers can help get your goods through Australian Border Force and also help with customs clearance in the sender’s country. Customs Brokers are super handy, although, just remember to check all fees and charges are what you expect to pay.
- Electronic Lodgement Fees: This one’s a government thing. It’s a charge for processing your imports.
- Clearance and Permits: Sometimes, you need special permission or clearances. Yep, that comes with its own set of fees.
- Customs Duties: Think of this as a kind of tax for bringing items into the country. Not everything has it, but some goods do.
- Biosecurity Fees: Australia’s pretty serious about keeping its environment safe. If you’re bringing in anything that needs checking for pests or diseases, you might attract this fee.
- GST: That’s the Goods and Services Tax, which currently sits at 10%.
- Other Fees: Every now and then, there might be some other taxes or costs that pop up, depending on what you’re bringing in.
Quick links
International air freight door to door service 200 destinations
International Air Courier Freight
Warranty and Insurance – Which is Best For International Shipping
Shipping Lithium Batteries
A guide to shipping Dangerous Goods
Warranty or Insurance? Protecting your goods in transit
How to Calculate Chargeable Weight for Air Freight?
How to Pack Goods Correctly for Shipping
Tips and Hints for Trouble Free Importing and Exporting
How to Import Goods into Australia