Wednesday, April 21, 2010

Buying and Shipping from ebay!!

There are few shops that stock high end bicycles, in Bangalore, but not many high-end components. I always first check with Venkatesh before I order stuff from ebay. He is a frequent visitor to Singapore and he might get that for you.

Though there are no problems with buying stuff from ebay, just need paypal account, the shipping process is not very pleasant experience IMO. Most of the sellers use USPS to ship internationally. Before I get into that, here is the general information on Bangalore Customs. Any postparcel that lands in India first has to go through the Postal Appraising Department. Here is the procedure followed by Postal Appraising Department for parcel, same content here also.

"Every thing looks so simple, what is your problem?". Delay! I don't take any chances and always use USPS Express mail. It has a tracking number. Although the USPS website updates with "Out of Foreign Customs" I don't receive my parcel. It is still stuck in customs. It usually takes a week. The procedure is manual after it enters PAD. I find big ledgers where they keep track of all the parcels. Here is where the human error creeps in. When they say "In cases where the details available with the parcels are not sufficient for assessment, a call memo is sent to the addressee requesting them to produce necessary documents for assessment of the goods.", they mean the addressee is contacted by sending postcard, oops.. the person in-charge forgot to send the postcard! So, I have to call them couple of times to check the status, find the contact information on PAD site. After producing those necessary documents, EMS of India Post delivers your parcel.

"If delay is your problem, why don't use expensive DHL?" For two reasons, it gets expensive to ship small things, like derailleur, and many sellers on ebay don't entertain DHL. In past, shipping by DHL, I have received them the very next day it lands in India. Yes, the other option is to use a mail/parcel forwarding service like Bongo. Bongo ships via DHL. After going thr' the rates/charges of a few forwarding services, I found Bongo VFM. I'm quite happy with it. They have very good web interface and + is that they have fast+prompt replies.

There was a discussion on Bikeszone about duties and taxes applicable in India. Below calculator is based on that information and the usual disclaimer. Talk to any CA to get exact value.

Disclaimer: The calculated duties and taxes are not exact.

Value of goods:     VOG:
          Custom Duty:     CD :% VOG         
 Counter Vailing Duty:     CVD:% (VOG + CD)  
          Cess on CVD:    CCVD:% CVD         
 Cess on Total Duties:     CTD:% (CD + CVD)  
Additional Customs Duties: ACD:% all of above

Taxes + Duties Payable: 


Edit 28May10: Duties receipt from Fedex that show above calculations.


For complete info on taxes and duties visit www.cbec.gov.in

[Update 15Aug13] 'post card' is not used, I received a registered post this time but still takes a week's time :( . The taxes were close to 30% for a geared hub.

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