What to do if your shipment is stuck in customs

what to do if your shipment is stuck in customs

Whenever you ship internationally, there is always a risk that your goods may be stuck at customs. Some of the ways to lower that risk are to ensure all the paperwork is correct, the HS codes are properly declared, and that the duties & taxes are paid before shipping. However, even if everything is done right, your shipment still has a chance of being stuck in customs. In the unfortunate circumstance that your shipment has been held, the first thing you should do is to figure out the reason why.

Why is your shipment stuck in customs and what can you do?

Due to the many regulating bodies involved with shipping internationally, there are many reasons why your shipment may be stuck in customs, especially if you are shipping IT Equipment (routers, servers, switches, etc.) and are using hub-and-spoke carriers like FedEx / UPS / DHL. Hub-and-spoke carriers are generally equipped to import shipments that are low in value (less than $1000 USD), small in size, and not subject to additional regulations. Whereas IT Equipment is typically high in value and have specific clearance requirements, or may even need an import permit or license.

Here are a few reasons why a shipment may be stuck in foreign customs and what you can do:

  • The HS Codes were improperly declared or are missing
  • When importing goods, duties & taxes must be paid on the specific commodity based on the HS Code it is declared under. If your carrier didn’t declare the correct HS Code, or failed to declare one, the shipment will be held until the declaration is resolved.

    If you contact your carrier and they require an HS Code to provide to customs, use an HS Code classification tool like www.simplyduty.com to determine the applicable code.

  • The paperwork was submitted with consignment errors
  • Most countries require at least a commercial invoice indicating the value of each line item for the shipment to be cleared. Without a commercial invoice, customs will not be able to determine the value of the shipment and determine the duties & taxes payable. Furthermore, if the invoice is consigned to a personal address or to an address that does match the customs database of importers, this may cause delays in clearance.

    If your carrier requires a commercial invoice, search for a “Commercial Invoice Template” and fill out as much information as possible. Ensure that the full description of goods, quantity, and unit value are filled out accurately. Also ensure you have correctly specified the importer of record on the commercial invoice and include their local tax ID.

  • Customs flagged the shipment and it requires an inspection
  • Random inspections occur frequently when shipping internationally, especially when shipping to countries with stricter import controls. For example, in China and Brazil, almost each shipment is inspected to ensure import regulations are met, and if the proper permits and declarations aren’t met, the shipment will be subject to lengthy delays and potentially confiscation.

    If your shipment has been flagged for inspection and the officer reviewing the shipment needs more information, it’s important to ask your carrier for exactly what information is required by the customs official. Unfortunately, if you’ve attempted to import and don’t have the proper licenses, authorizations, or permits in place, the only method we have seen success with is to re-export the shipment back to the origin and start the process over from there, working with a company that can provide importer of record services and is experienced with the country in question.

  • The declared value of the shipment is inconsistent with the accepted pricing customs has on file
  • A problem that you may face when importing into more regulated countries is how their local customs values the goods. When an item is imported, customs may deem the declared value of the item is not in-line with what they have seen in the past. If the declared value falls outside a valuation range customs deems acceptable, they will not clear the shipment and will require new paperwork is submitted with a higher valuation.

    In the unlikely scenario this occurs, you will have to contact your carrier to understand what their process is for you to amend your shipping paperwork with a higher valuation that is more inline with customs. If they are unable to amend the paperwork, you may have to have the shipment sent back to the origin, and re-attempt the import with a more acceptable declared value.

  • The incoterms were not appropriately specified to the carrier and customs is waiting for the duties & taxes to be paid
  • If the value of your shipment is above a certain threshold, many carriers may not advance the duties & taxes due to customs on your behalf. Until duties & taxes are paid, customs will hold the goods. A consolidated carrier like DHL, FedEx, UPS, etc. may not be able to pay the duties & taxes on your behalf, if the incoterms have been incorrectly specific, and thus the shipment will be stuck in customs until the incoterms are amended and the carrier pays the taxes on your behalf.

    If your carrier is not willing to, or unable to pay the duties & taxes on your behalf; you may have to hire a customs broker to liaise the transaction, or hire a local agent to complete payment to customs on your behalf. We recommend all import fees are paid prior to shipping, under the incoterms DDP; however if the shipment is already lodged in customs, you will need to check with your carrier to see if the incoterms can be amended to DDP.

This list doesn’t include the commodity specific issues that often arise when importing IT Equipment into a foreign country. For example, in Hong Kong, IT hardware classified as dual-use / encrypted technology requires a permit from the HKTID department before the shipment can be successfully imported.

If you’ve shipped devices that utilize encryption technology to Hong Kong without first obtaining a permit, there’s a good chance the shipment will be blocked, confiscated, or sent back to the origin.

If you’ve tried the above or don’t feel confident moving forward, what can you do?

If your shipment is already stuck in foreign customs, the chances of successfully clearing the shipment are low. Just to reiterate on the above, the first thing you can try is calling your carrier and providing them any additional information they request. Usually your carrier will ask you for additional product details, specific part numbers, and the value of each item in the shipment. They will try to re-declare the equipment and with luck, clear it into the country. However, when dealing with IT hardware, simply providing your carrier more information, may not be enough as certificates, import permits or licenses may also be required.

The best course of action to ensure you meet the local import requirements is to have the shipment returned to you and re-exported the proper way. IT Equipment is subject to many compliance and trade regulations that must be met prior to shipping to avoid the goods being confiscated and held in foreign customs. This includes the timely payment of duties & taxes, obtaining all the relevant permits, having a business entity in the foreign country that is set-up to import IT Equipment, and meeting logistical and packing requirements.

Fortunately, having the right logistics & trade services partner, like FGX, will take away all of the stress and uncertainty typically experienced when shipping internationlly. Please feel free to reach out to us for a free consultation or if you have any questions regarding international technology shipping.

FGX – First Global Xpress provides door-to-door IT deployment solutions into over 130+ countries. Combining in-house logistics with importer of record and trade services, enables FGX to manage all aspects of international shipping. Our global team works on your behalf to ensure the timely delivery of your IT hardware to your international offices, data centers, or colo locations. If you want to learn more about shipping IT equipment internationally, visit our stories page. Or if you want to reach out, feel free to contact us here.

How the US-China Trade War Impacts the Channel

us china trade war

The escalating trade tensions between the United States and China has left global businesses in a tenuous situation. New tariffs on finished goods and raw materials are steadily increasing supply chain costs and leading to delays in customs clearance. Many businesses are now reconsidering long established supply chains and logistical partnerships. If you’re planning to do business with or export to China, it’s important to understand the chain of events that led to this situation.

How did the trade war escalate?

  • USA – April 2018
  • In response to China’s alleged trading practices, ie. the forced technology transfer policy, the Trump Administration announced that it will impose a 25% tariff on $50 billion worth of high-tech industrial imports from China.

  • China – April 2018
  • In retaliation, China announces its own 25% tariff on $50 billion worth US goods.

  • USA – April 2018
  • The Chinese company ZTE was penalized for doing business with Iran and North Korea. US bans ZTE from purchasing from US suppliers for seven years.

  • China & USA – June 2018
  • China agrees to lift tariffs on some agricultural products in exchange for lifting the US supplier ban on ZTE.

  • USA – June 2018
  • The Trump Administration announces plans to enforce the 25% tariffs on $50 billion of Chinese imports.

  • USA – June 2018
  • The Trump Administration announces plans to impose a 10% tariff on $200 billion worth of Chinese imports.

  • USA & China – July 2018
  • Both sides officially implement tariffs on $34 billion worth of each other’s imports. An additional $16 billion is expected to go into effect soon.

  • USA – July 2018
  • President Trump said in an interview that he was willing to impose a tariff on all $505 billion of Chinese imports.

In this bout, we have seen two global powers trade punches back and forth. Unfortunately it’s becoming clear that American firms doing business in China are caught in the middle.

Why did the trade war start?

When discussing this trade dispute, it is important to note the trade imbalance that exists between the two countries.
2017 Import Numbers (via US Census Bureau)

  • United States imported around $505 billion of goods from China
  • China imported around $130 billion of goods from the United States.
  • US has a $375 billion trade deficit with China.

us china trade imbalance

What is the impact of the trade war on IT hardware imports?

Even if China put tariffs on every United States import, it is nowhere close to covering the potential tariffs the US can enforce. The Trump Administration has already imposed tariffs on $34 billion worth of goods, with plans for $216 billion more. President Trump has even come out and said he is prepared to impose tariffs on all $505 billion of Chinese imports.

China will have to think of alternative measures to respond to escalations by the United States. Many believe China’s response will come in the form of holding shipments at port, stringent licenses controls, surprise compliance inspections, or fines for multinationals without the proper legal documents covering their imports. This added pressure on supply chains, especially around customs compliance and processes, will become costly for businesses when the necessary safeguards are not put in place. China has a notoriously rigid import process that has the potential to become even more strict.

How to continue importing to China:

To ensure that deploying IT gear into China is still a viable option in the future, it is critical to partner with an IT shipping specialist with vast experience and a strong local presence in China. Whether you’re planning to support your offices in Shanghai, Beijing, or elsewhere in mainland China, working with an Importer of Record will be critical to stress-free and successful deployments.

FGX’s importer of record service in China provides the local expertise needed to properly import IT equipment; we handle all the paperwork, hold the necessary licenses/authorizations, and manage the customs clearance process on your behalf.

By working with FGX, your data center rollouts, office infrastructure upgrades, or end-user technology deployments will stay on schedule. We will also monitor this trade dispute closely through our partners in China for our clients. This will allow your business to continue to react quickly despite the changing political climate.

FGX – First Global Xpress provides door-to-door IT deployments solutions into Beijing, Shanghai and great Mainland China. Our global team works on your behalf to ensure the timely delivery of your IT hardware to your local offices and data centers in China. Contact us for more information at hello@fgx.com or call: (212)-352-9390.

Shipping IT Hardware to Data Centers in Singapore

singapore importer of record

Client Need

A global product certification company needed to urgently replace critical resources at their central APAC data center, located in Singapore. They wanted to source IT equipment in the United States for their APAC region. They were under a tight deadline to replace critical resources at their central Singapore data center. Purchasing the hardware in Singapore was not an option as they did not have a local business entity setup. Their stack was located at a colocated data center facility, therefore they needed a logistics partner with importer of record capabilities to assist with customs clearance.

Background

Singapore is quickly becoming the ideal shipping hub for IT providers and re-sellers worldwide. Not only is Singapore the safest country in the world, its close proximity to Hong Kong, Tokyo, and other major Asian cities has made it the perfect gateway for technology. Singapore has a low risk environment for natural disasters, decreasing the need for extensive disaster recovery strategies; another driving factor for the growth in data centers. Singapore is the home of over 44 data centers with several more under construction.

Execution

FGX received a direct drop shipment from the manufacturer, and immediately ran a customs simulation to confirm the equipment met all requirements for import into Singapore. All shipping documents were prepared by our team and sent to Singapore for final approval. Once we received the green light to export, the equipment was tendered on a direct flight into Singapore Changi airport.

While in the air, our customs team in Singapore provided all necessary clearance documents to the local authorities and filed an import permit utilizing our importer of record service. Upon arrival, clearance was expedited and a same day delivery to the data center was achieved.

Results

The shipment was delivered in 3 working days, allowing the client to replace the faulty component and restore their servers to normal operation. FGX was able to fully manage the entire process from start to finish, the client and the end-user in Singapore did not need to be involved in the shipping process.

“I was truly impressed at how fast FGX was able to safely ship much needed backup resources to Singapore.”
-Engineering Manager, Infrastructure & Operations, Global Inspection Company

SONCAP Certificates Simplified with Importer of Record Services

nigeria

Client Need

A global managed service provider needed to deliver telecom devices to support their local office in Lagos, Nigeria. They were looking for a partner that had experience with the complicated SONCAP product certification process in Nigeria. Without a local business registered in the country, our client also required an Importer of Record service.

nigeria services

  • Form ‘M’ Procurement
  • Direct Door-to-Door Shipping
  • SONCAP Certification Processing
  • Customs Clearance
  • Importer of Record Services
  • Last Mile Delivery

Background

Lagos, Africa’s largest city, has experienced rapid growth in their startup and technology scene. In 2016, Nigerian startups raised the most direct investment on the continent. As Africa’s most promising tech startups continue to see success, large global companies are taking notice. Most notably, well-known silicon valley tech companies have announced plans to open developer spaces in Lagos. All this investment in technology startups makes Lagos the most promising tech hub on the continent.

The Plan and Execution

Importers need to provide both a Form ‘M’ and a SONCAP certificate for each product they are looking to import into Nigeria. The client had no experience with this process and was looking for a partner to manage the shipment from start to finish. As a full service global logistics provider, FGX worked directly with an accredited product certification company and our customs agents in Lagos to complete all the documentation and inspections needed on the clients behalf. After FGX received the required approvals, the equipment was booked on a direct flight to Lagos, Nigeria. When it landed in Lagos, the gear was lodged into customs immediately.

Import Documentation & Certification

nigeria import form M
The Form ‘M’ is a document issued by the Central Bank of Nigeria (CBN) that declares the intention of the goods entering the country. The shipment cannot move without this form. We worked with our customs specialists in Lagos to complete the invoice and Combined Certificate of Value and Origin (CCVO) with the required information. We ensured the harmonized tariff codes for each specific product was properly chosen and declared on the documents. Once this was complete, our local agents submitted the documents to receive this form. After 4 business days the approved Form ‘M’ was issued.

nigeria soncap certificate
The Standards Organisation of Nigeria (SON) oversees the SON Conformity Assessment (SONCAP) program that ensure all imports comply with countries guidelines. The two step process consists of receiving a PC certification and passing an inspection by an accredited testing firm. We received the PC certificate by providing all of the required product test reports (sourced from our manufacturer contacts) as well as copies of the export documentation. Once the PC certificates were in hand, we arranged for an on-site inspection with our product certification partner. The shipment passed the inspection on the first attempt and we were promptly issued the final SONCAP certificates to proceed with import.

Importer of Record / Customs Clearance

FGX’s Importer of Record service allowed our client to import IT hardware into Nigeria without a registered business entity or an import license of their own. Our local team was able to clear the shipment through customs in 5 days with the proper Form ‘M’ and SONCAP certificates. After clearance, the shipment was recovered from LOS airport and promptly delivered to our client’s local office. Telecom gear is highly regulated in many countries and Nigeria is no exception. The expertise of our local agents ensured there were no delays during the entirety of the import and customs clearance process.

importer of record service nigeria

The Results

FGX’s full suite of logistics services allowed us to manage the shipment door-to-door with little involvement from the client. Working directly with government agencies and customs agents, we procured all the required approvals and certifications to import the gear properly. In the end, our client saved 12% overall by purchasing telecom gear in the USA and deploying it to their local Nigeria office. After experiencing a shipment with FGX, our client now sees it is possible to purchase IT equipment domestically and deploy it internationally; even into countries with complex import processes.

How to Reclaim VAT on Imports

What is import VAT?

Import Value-Added Tax (VAT) is a consumption tax that is placed on goods entering countries (like the 28 EU member states). VAT is designed to distribute the tax burden across the supply chain, but ultimately must be borne by the end-user/consumer. Therefore, any VAT-registered business conducting an import of IT hardware to support their operations or provide a service to consumers, will be able to reclaim the import VAT.

How VAT Works:

What is Import VAT

VAT Reclamation

If your overseas office is VAT registered and has a VAT ID or EORI number, FGX will strongly encourage your company to be the Importer of Record (IOR). This will make VAT reclamation a simple process for your internal accounting team. FGX maintains all import documentation to support your internal teams. We give you / your internal team the tools so you don’t have to hire third-party VAT reclamation services.

Required Documentation*

  • Commercial Invoice
  • Shipping Waybill
  • Customs Clearance Entry
  • Duty and Tax Payment Receipt

How to Reclaim Import VAT

*May vary by country; check with your internal accounting team for more information

EU IMPORT VAT RATES

U.K.

VAT Rate: 20%

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Germany

VAT Rate: 19%

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France

VAT Rate: 20%

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Spain.

VAT Rate: 21%

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Netherlands

VAT Rate: 21%

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Ireland

VAT Rate: 23%

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Belgium

VAT Rate: 21%

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Italy

VAT Rate: 22%

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Poland

VAT Rate: 23%

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Denmark

VAT Rate: 25%

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Greece

VAT Rate: 24%

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Austria

VAT Rate: 20%

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Sweden

VAT Rate: 25%

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Portugal

VAT Rate: 23%

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Why Does FGX Prepay VAT?

Prepaying all taxes and duties, or shipping with incoterms Delivered Duty Paid (DDP), allows the shipment to immediately enter the customs clearance process when it arrives at the destination port. FGX only ships via DDP incoterms, to avoid any unnecessary delays once the shipment reaches customs.

Mission Critical Data Center Deployment to Egypt

argentina

Client Need

A social media company needed to deliver technical gear to better support their customer base in Egypt. The arduous document preparation, regulatory, and customs processes required a logistics partner with a unique set of expertise. They also required an Importer of Record service, as their local business entity was not a registered importer and was furthermore not authorized by the Egyptian government to import technology hardware.

egypt services

  • Import Documentation Legalization
  • Direct Door-to-Door Shipping
  • NTRA Type Approval
  • Customs Clearance
  • Importer of Record Services
  • Last Mile Delivery

Background

Egypt has made it a priority to invest in their telecommunications industry by developing technology parks around the country. The plan is to spur economic growth by attracting multinationals and educating a new generation of young Egyptian entrepreneurs. Global enterprises that wish to gain a foothold in a growing industry are starting to build out their IT infrastructures in Egypt, but difficulties in local sourcing result in delays, and the inability to procure the exact components they need.

Working with an experienced technology deployment partner, like FGX, enables enterprises to procure their gear centrally and export it to Egypt, in a secure, cost effective, and timely manner.

The Plan and Execution

1) Legalization of Documents

Shipments to Egypt require a set of attested and legalized Commercial Invoices and Certificates of Origin. Our team of export coordinators handled the process by liaising with the Egyptian Consulate, the local chamber of commerce, county clerk, and state department. The necessary document legalization & attestation was completed without any client involvement.

document legalization

2) Direct Door-to-Door Shipping

Our IAC status allows us to work with any major commercial or car go airline. The shipment was booked on a flight from New York to Cairo and arrived at the destination port in 4 days. Upon arrival, the shipment was lodged into Egyptian customs and began the NTRA approval process.

door to door

3) NTRA Type Approval

All telecommunications equipment entering Egypt must gain type approval from the National Telecom Regulatory Authority (NTRA). FGX reached out directly to each manufacturer to procure the documentation and certificates needed. Once all the paperwork was obtained, our local team worked with NTRA officials to get the gear approved for import.

ntra approval

4) Importer of Record / Customs Clearance

FGX’s Importer of Record service allowed our client to import telecommunications gear into Egypt without a having a registered business entity or an import lice nse of their own. Our local team was able to clear the shipment through customs in 5 days after gaining NTRA approval. After clearance, the shipment was recovered from CAI airport and promptly delivered to the destination data center.

customs support

Spotlight: Legalization of Documents

All shipments of IT Equipment being imported into Egypt require attested and legalized Commercial Invoices (CI) and Certificates of Origin (COO). Figuring out all the requirements for each agency and procuring the authentications is a time-consuming process.

As a fully managed service, FGX took on the task of procuring the necessary legalizations. First, our export team had the documents notarized. Next, the notarized documents needed a certificate of authentication from the county clerk. Once the notary was authenticated, the next stop was the US State Department to Apostille the documents and verify them for international use. Next, the documents were brought to the local chamber of commerce for attestation with a stamp and seal. Finally, the documents were taken to the Egyptian Consulate, and were legalized for commercial use in Egypt.

The Results

FGX allowed the client to purchase all their data center infrastructure domestically in the US and deploy it to Egypt in 3 weeks. Our team of export coordinators were able to swifty legalize all the required documents to to ensure no issues during customs clearance. Once the shipment arrived in Egypt, the NTRA approval process and customs process were fully managed by FGX without any client involvement. In the end, the $500k of data center hardware was delivered 3 days ahead of schedule.

egypt results

Get the Most Out of Your IT Budget

it budget header
There is a growing chorus of voices that have predicted a jump in corporate IT spending in 2018. Most notably Oracle CEO, Mark Hurd, was quoted by the WSJ saying:

“Spending on enterprise information technology is set to accelerate, after years of more modest growth, fueled by U.S. corporate tax cuts, global economic gains and a backlog of aging corporate IT systems.”

Several factors have many thinking this year will see a spike in IT spending.

Factors

  • U.S. Corporate Tax Cuts
  • Aging Corporate IT Infrastructure
  • Growth of Global Economy
  • Advances and Adoption of Consumer Technology
  • Increase in Data Capturing, Processing, Analysis Demands

For businesses that are investing in their IT infrastructure, there are a few things to consider to get the most out of your IT purchases in 2018.

Am I getting the best deal on my IT equipment?
The more competitive the market, the better deal you are going to get. If you are a global enterprise, it is import to locate where that market is. In most cases, the US or UK will give you the best deals on IT equipment.

In a less competitive market, there is no reason for the reseller to bring down price. This results in IT buyers paying a premium even though the same exact gear is being sold.

The businesses that buy domestically in large volumes and work with a global logistics partner to deliver the gear globally, have seen significant cost savings.

Am I architecting my infrastructure to meet my customers/clients demands?
IT departments can fall into the trap of being reactionary to the needs of the enterprise and customer. This is not ideal, especially as continuous innovation demands IT infrastructure managers to be proactive and forward looking.

To be proactive, IT departments need to play a larger role in the success of the business. This means IT spending and network design must be directly connected with the strategic direction and goals of the organization.
A centralized hub that sources and fulfills IT infrastructure hardware will bring a strong sense of direction and continuity to the global network. In this way, the enterprise IT network can be built in line with the goals and needs of the business.

Am I building the right partnerships with manufacturers, OEMs, and VARs?
It is important to find technology manufacturers and resellers that work in your best interest.

Many will explain that importing technology into X,Y, or Z country is impossible, thereby making purchases in country X, Y, or Z from a local VAR the only option. This is the case because your partner is either unaware of the options from the USA or they are protecting the international “channel” and its profit interests.

Partnering with VARs that have direct relationships with global logistics and import services can allow businesses to take advantage of all the benefits of centralized purchasing. By purchasing IT equipment at discounted prices domestically, you can work with an international logistics partner to import the IT gear into all your international offices and data centers.

What does a logistics partner have to do with my IT infrastructure?
An experienced global logistics provider allows you to take advantage of domestic pricing. The IT equipment you purchased for your global offices can then be delivered seamlessly with the right partner.

FGX provides a fully managed global logistics solution that allows you to import your IT hardware into over 130+ countries. We specialize in making sure your IT equipment is delivered to your international offices or data centers, with little to no effort by your international colleagues.

If you would like to find out more about are global logistics and import services for your next purchase, please contact us at hello@fgx.com or 212.352.9390.

Simplify Imports to Costa Rica with IOR Services

costarica

Background:

A global technology services company need to perform an IT refresh for their San Jose, Costa Rica office, but wanted to import the hardware from the USA. To do this, they required a technology deployment partner that could simplify Costa Rica’s complex import process. They also required an Importer of Record Service, as their local business entity was not a registered importer in the country.

The client was able to purchase the gear they needed for Costa Rica with other domestic hardware, increasing their buying power with their VAR partner. After analyzing the costs it was clear that acquiring the gear domestically in the US and shipping to Costa Rica would be faster and more cost-effective than trying to source the gear in country.

Plan and Execution:

FGX’s understanding of the full customs process allowed us to prepare documentation and manifest the shipment prior to departure, resulting in a smooth import process. In San Jose, our local team worked directly with customs officials to clear the shipment. Our importer of record service allowed us to manage the entire import process on the client’s behalf.

Results:

Our fully-managed solution allowed us to deliver the gear in 2 weeks without any involvement from the client. We managed the entire process allowing our client to focus on the implementation of the hardware once it arrived in the San Jose office.

The success of this shipment has lead the client to regularly partner with FGX to deliver IT gear to their other international offices.

How VARs Can Support Growing Micro Data Center Demands

The rise of the Internet of Things (IoT) has led to a dramatic increase in the creation of data. It is clear that the practice of pushing data analysis processes onto the “cloud” or end-user devices is showing its limited capability. To better distribute workloads and handle greater volumes of data, the processing and analyzing of data has begun to move to the edge of networks in the form of micro data centers.

Edge computing optimizes cloud systems by setting up micro data centers that process and analyze data where it is generated. This method of computing reduces the distance and the volume of data that needs to move through the network. The result is a significant decrease in transmission costs, lower latency, and improved quality of service. Seeing the benefits of an edge computing system, many businesses are now pairing their clouds with strategically placed micro-data centers.

To maintain a tactical advantage in data processing, end-users have been actively looking to build and maintain a micro data center environment, often with the latest in hyper-convergence technology. This means keeping up with the latest in data center technology through constant infrastructure refreshes.

Micro Data Center Graphic

For VAR sales teams, this means a shorter sales cycle, higher revenues, and better margins compared to core data center deals. The VARs that can design the right solutions for their clients will see an uptick in this business in the coming years.

This also presents an opportunity for VARs to distinguish themselves as a trusted business partner. VARs can win clients by proving they can truly support micro data center infrastructure by being flexible, agile, and meeting just-in-time deployment timelines.

Working with a global logistics provider experienced in executing just-in-time shipments of IT hardware will be beneficial in meeting these demands.

At FGX, we do just that. We position ourselves as a global logistics and consulting layer that you can add to your sales and procurement processes. When a client needs to set up or refresh a micro data center you can confidently deliver the hardware they need, where they need it.

If you would like to find out more about how we can provide global logistics and consulting services for your next deal, please chat with us or email us at: hello@fgx.com.

Time Definite Imports to Jakarta, Indonesia

indonesia

Client Need

A global social media giant needed to urgently deliver IT hardware to their Jakarta office. After experiencing delays on past shipments, they were looking for a logistics partner that could provide a time-sensitive solution into the country. They also required an Importer of Record Service, as their local business entity was not a registered importer.

argentina services

  • Import Documentation Support
  • Direct Door-to-Door Shipping
  • Customs Clearance
  • Importer of Record Services
  • Last Mile Delivery

Background

Southeast Asia’s largest economy is one of the world most exciting emerging markets. A fast-growing young population with a financial system heavily backed by a pro-market central government makes Indonesia a golden opportunity for global businesses. As evidence, 2017 saw the largest net inflow of direct foreign investment in over 7 years. Importing goods into Indonesia requires an importer license. A business entity without an import license cannot import goods into the country. A business can either apply for an import license or utilize an Importer of Record service to import into the country.

The Plan and Execution

1) Direct Door-to-Door Shipping

Our client’s major concern was time. To accommodate the project timeline requirements, we planned the most effective route to minimize transport and customs clearance time. Upon arrival in Jakarta, the shipment was immediately lodged into customs.

logistics support

2) Importer of Record / Customs Clearance

FGX’s local team in Jakarta is a frequent importer and was able to clear shipment through customs in 30 days. Once cleared, contact was made with the end-user and the shipment
was delivered the following day.

customs support

The Results

By partnering with FGX, the IT equipment arrived ahead of schedule with little to no client involvement. Knowing that it is possible to effectively shipment IT infrastructure into their international offices put the client in position to strategically set up and refresh their global network to directly support their business. At FGX, we have seen that purchasing domestically and deploying IT hardware to international offices or data centers can save you time and money. To learn more about our “Buy Local – Ship Global” methodology, read our recent client success stories, or contact us today!