Importing office furniture isn’t just about finding the cheapest unit price. Many buyers get caught by unexpected charges after goods arrive.
Landed cost includes product price, freight, customs, port fees, and inland delivery—not just FOB or CIF terms.
Understanding the full breakdown protects your margins and helps you quote confidently to your end customers.
How do you calculate import landed cost?
Many buyers think only about the EXW or FOB price, but forget the rest.
To calculate landed cost1, include product price, international freight, insurance, import duties2, VAT3, port fees, and local delivery charges.
Components of Landed Cost
Cost Element | Description |
---|---|
Product Cost | Base unit price from supplier (EXW or FOB) |
Freight | Ocean or air freight to destination port |
Insurance | Optional, but often included in CIF |
Import Duties | Based on HS code, country of origin, and declared value |
VAT/Tax | Country-specific tax rules |
Port/Terminal Fees | Charges for unloading, container handling (THC), and documentation |
Inland Delivery | Trucking from port to final warehouse or address |
We’ve helped clients avoid overpaying by highlighting these charges during the sample approval stage—not after delivery.
What is the standard cost of landed cost?
Some clients ask us, “Can’t you just give me a flat landed cost?”—but the truth is, it varies.
There is no standard landed cost. It depends on destination country, trade terms, volume, HS code, and even peak season timing.
Factors That Affect Landed Cost
- HS Code Duties4: For example, recliner sofas and office chairs have different rates.
- Shipment Mode: Air freight is faster, but more expensive. LCL vs FCL also changes handling fees.
- Country-Specific Fees: Importing to the U.S. involves different documentation than importing to South Africa or Brazil.
- Seasonality: Peak season congestion increases port fees and delays.
This is why we always recommend forecasting costs per shipment, not per unit alone.
What are landing charges for import?
Buyers often ask about “landing charges5” without realizing how many are not included in their CIF quote.
Landing charges are destination port fees like THC (Terminal Handling Charges), customs clearance, documentation, and delivery to the final address.
Typical Charges After Arrival
Charge Type | Description |
---|---|
Terminal Handling (THC) | Container unloading, stacking, and gate fees |
Customs Clearance | Broker fees, inspection charges |
Documentation Fee | Port authority paperwork |
Port Storage | If container stays longer than free days |
Inland Trucking | To your final warehouse or fulfillment center |
Clients who miscalculate these often find that “cheaper” CIF offers cost more overall.
What is the difference between landed cost and CIF?
This is the most common confusion point we hear.
CIF includes cost, insurance, and freight—but not import duties, local port fees, or final delivery. Landed cost = CIF + all destination costs.
CIF vs Landed Cost Breakdown
CIF | Landed Cost | |
---|---|---|
Factory Price | ✅ Included | ✅ Included |
Freight to Port | ✅ Included | ✅ Included |
Insurance | ✅ Included | ✅ Included |
Import Duties | ❌ Not Included | ✅ Included |
Port Charges (THC) | ❌ Not Included | ✅ Included |
Local Delivery | ❌ Not Included | ✅ Included |
At QYRASIEL, we help you understand where CIF stops—so you can calculate the rest.
Conclusion
At QYRASIEL, we’ve worked with buyers across 30+ countries. The number one cost-related mistake? Not calculating the full picture. A unit price that looks cheap often hides $1,000+ in unexpected fees. We don’t offer DDP service ourselves, but we work closely with reliable freight forwarders and guide our clients in preparing all the right data: packaging sizes, CBM estimates, weight, and documentation.
We believe true profitability doesn’t start at the factory—it starts with accurate landed cost forecasting. Let us help you avoid hidden charges and quote smarter.
“Buyers who understand their landing cost, win their market.”
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Understanding the formula for landed cost is crucial for accurate budgeting and avoiding unexpected expenses in international trade. ↩
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Learn how import duties are calculated to ensure compliance and optimize your import costs effectively. ↩
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Exploring VAT rules can help you navigate tax obligations and avoid costly mistakes when importing goods. ↩
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Learning about HS Code Duties can clarify how different products incur varying import costs, aiding in better financial planning. ↩
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Exploring typical landing charges will help you budget accurately and avoid surprises when importing goods. ↩