Importing goods internationally for the first time is a significant milestone for any business. Due to a lack of experience, first-time importers often face unexpected costs, administrative penalties, or cargo holds at customs terminals.
In this guide, we break down 5 essential steps to help you organize your first import to Armenia smoothly, safely, and without unnecessary financial risks.
1. Verify Product HS Code and Non-Tariff Requirements
Before issuing an advance payment to a supplier, determine your product's precise 10-digit FEACN / HS code.
- Why It Matters: The code determines duty rates (0-20%), 20% import VAT, and mandatory permit requirements (e.g., food safety approvals, health permits, or declarations of conformity).
- The Risk: If cargo arrives at the border without required permits, it will be held at the terminal, incurring daily storage fees.
2. Audit Suppliers and Choose the Right Incoterms
- Supplier Verification: Request technical data sheets, product photos, and sample commercial invoices previously issued to other export markets.
- Selecting Incoterms:
EXW (Ex Works): You collect goods from the seller's factory; all transport and transit risks fall on you.
FOB (Free on Board): The seller loads cargo onto the vessel/truck; main carriage is your responsibility.
CIF / DAP: The seller organizes freight up to the named port/destination.
- Tip for Beginners: Choose delivery terms where transport liabilities and insurance coverage are explicitly defined.
3. Calculate Total Landed Cost
Relying solely on the purchase price is a common mistake. Total landed cost includes:
- product invoice price,
- international freight and transit insurance,
- customs duties and 20% import VAT,
- state filing fees,
- terminal storage and certification fees (if applicable).
4. Conduct a Pre-Shipment Document Audit
Before cargo departs, request draft copies of all commercial paperwork (Draft Invoice, Draft Packing List) from your vendor.
- Check Data Consistency: Net/gross weights, piece counts, product descriptions, and values must 100% match across all documents (Invoice, Packing List, CMR). Even a 1 kg discrepancy can trigger customs penalties or physical audits.
5. Work with a Licensed Customs Broker
Navigating digital filing systems (Trade.gov.am / e-Customs) independently carries high operational risks for beginners. A customs broker:
- audits paperwork before shipment dispatch,
- assigns the exact 10-digit HS code,
- calculates duties and taxes precisely,
- completes electronic filing rapidly and without errors.
Summary
A successful first import depends on proactive planning and flawless documentation.
In many cases, hiring a customs broker is essential to ensure a safe first shipment. You can submit your request for free on brokers.am to receive multiple offers from experienced customs brokers and choose the best option for your business.
Frequently Asked Questions (FAQ)
Q1. What is the first step when organizing your first import?
A: The first step is accurately determining the product's 10-digit HS code and pre-calculating customs duties, taxes, and non-tariff permit requirements.
Q2. What are Incoterms and why are they important?
A: Incoterms are internationally recognized commercial terms that define the division of costs, risks, and transport responsibilities between buyer and seller.
Q3. How can first-time importers avoid financial losses at customs?
A: By auditing supplier paperwork in advance, verifying customs value calculations, and hiring a certified customs broker to manage filing.
