How to export ceramic tiles from India
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Introduction of Indian ceramic tiles industry
India is a major producer of tiles & producing wide variety of designs & style. Tiles export firms is a profitable venture in international market. Tiles industry is situated in state of Gujarat, Andra Predesh & Tamil Nadu. Morbi is a hub of tiles manufacturing city. Morbi is also called Ceramic city. It is producing tiles more than 50000cr. India is exporting billions of dollars tiles in International Market. In 2023-24, 16500cr tiles is export from India. Many categories of tiles are exported from India like Ceramic Tiles, Porcelain Tiles & Mosaic Tiles.
Top destinations of Indian tiles in USA, Russia & UAE. US is the largest market worth 1375cr, Russia 1100cr & UAE 900cr. Tiles export industry is significant contributor to the economy. Indian tiles industry is growing in future, because government is promoting Indian tiles industry in the international market. And, Providing financial assistance to manufacturer & exporter.
Procedure of export tiles from India
1) Determine target market & target audience
First step: identify target market and target customer. Verify the demand of tiles in different countries and regions and then select which market is best for exporting tiles from India.
2) Choose the right export partner (Freight Forwarder/CHA)
Choose the right partner who know to handling logistics, custom clearance, documentation & another process. Choose the right export partner who will make your successful venture. Choose different partner and compare with other Freight forwarder, experience, services, credibility, charges, support, connection etc.
3) Register Licenses & Certificate
Register export import licenses & necessary certification. DGFT is responsible for issuing licenses & certificate of export.
4) Follow the export regulation
If we exporting tiles from India, check tariffs, container loading specification, packaging details, which countries have a trade barrier from India. Business should check with DGFT & other relevant government agencies to ensure. That they are aware & follow all the export regulation.
5) Finding buyers in International Market
Finding a buyer is most critical thing in export tiles from India. Tiles is a competitive market. So, we have to adapt the right strategies & facing competition in market. There are many ways to finding buyer in international market.1) B2B Website 2) Exhibition 3) Visit Personally to buyer 4) India Embassy 5) Open office in abroad 6) Adopt salesman in abroad 7) Custom Data
6) Prepare the necessary document
Documentation is important factor for exporting tiles from India. Document include Performa invoice, commercial invoice, packaging details, bill of lading, Fumigation Certificate, Certificate of Origin.
India is a best producer of tiles with wide variety of designs, style, superior, quality & competitive pricing. Tiles global demand is increases, because government is supporting to that industry & promoting Indian tiles in international market.
Understanding the ceramic tiles market
It is important to gain knowledge about international tiles market. Analyze to importer preference which type of product they want. In each, different countries importers have a different choice of tiles.
Global demand of tiles: –
According to research, High Demand of ceramic tiles from India, considering factor like population growth, construction growth & Urbanization. There are some best markets for export ceramic tiles is Middle East, Europe, Australia & U.S.A.
Foreign buyer is move forward from China to India, due to competitive rate, high quality, design & style etc.
Market segment in Ceramic Tiles: –
There are different type of product like (Ceramic tiles, Wall Tiles, Floors Tiles, Parking Tiles). There are also different types of customers like Residential, Commercial, Contractor, Tiles Agent, Industrial Etc.
Competition Analysis in International: –
Analysis of competition in International Market and compare witbh other countries. Like analysis designs, style, Quality, Price etc.
Quality Standard & Certification of product
For becoming a successful exporter, it is mandatory to follow quality standard obtaining necessary certificate is building trust with international buyer.
BIS Certificate: –
Bureau of Indian Standard certificate is necessary for export market. It is ensuring product quality & safety.
Product testing report: –
In this report included information related to tiles like tiles water absorption, fire resistance strength, size, thickness & thinness etc.
ISO Certificate: –
ISO certificate International Organization of Standard. ISO certificate is ensuring the tiles quality is international standard & fulfilling the expectation of customer & It is also increasing brand credibility & reputation.
Documentations & Procedure in tiles export
Company Registration & Licensing: –
First, we have to register our company then obtain export import license from DGFT (Directorate General of Foreign Trade). There is also another document is mandatory that is CAPEXIL certificate. This certificate is providing by CAPEXIL board which is under Minister of Commerce & Industry.
Documentation: –
Preparing all the essential document like Performa Invoice, Packing list, Bill of Lading, Lorry Receipt, Insurance Certificate, Fumigation Certificate, Testing Report, Certificate of Origin. There is a maintaining accuracy & completeness to avoid delay & penalties.
Payment Terms: –
Payment Terms is a most important factor choose the right payment terms which is suitable for your business like Letter of Credit, Advance Payment, Document Against Acceptance, Document Against Payment.
Finance Arrangement: –
Examine your choice for export financing including export credit insurance to reduce risk & efficiently handle cashflow.
Shipping & Logistics
Packaging: –
Use high quality of packaging material for protecting tiles from damages during transits. Use strong pallets, boxes & also use air bags for prevent damages.
Container Space: –
Use maximum container space for reducing sipping costs. Considering factoring like quantity, quality, weight & size of tiles.
Shipment Insurance: –
Protect our shipment against potential losses & damages in shipment like Drown in Sea, Fire, Explosion, stealing etc.
Freight Forward/CHA: –
Freight forwarder is handling custom clearance, documentation & shipping arrangement. Choose those freight forward who have a proper experience of work.
Pricing & Payment terms in export tiles
Cost analysis: –
Determine the cost analysis of the production & export cost of ceramic tiles. Consider factor like raw material, packaging, energy, labor, transportation & logistics, documentation & other expenses.
Pricing Analysis: –
Create a pricing plan based on profit margin; competitor analysis & market research maintain profitability while offering competitive prices.
Payment Terms: –
International buyer is prefer flexible payment terms like Letter of Credit, Telegraphic Transfer (TT), 30% Advance & 70% Against Bill of lading, Document Against Payment.
Establishing strong business relationship
Trade fair & Exhibition: –
Attend a trade fair & exhibition for spreading a brand awareness & build a network with buyers.
Market Research: –
Conduct market research to identify potential buyer & their specific requirement through market research, we get an idea customer preference, quality, style, budget etc.
Customer Service: –
Proper customer service is building a trust & faith relationship between buyer & seller. Solve all the problems which is given by customer.
Government Support & Incentives in Export Tiles
Government support & Incentives in ceramic tiles export, which is enhance ceramic tiles export from India.
CAPAXIL & FIEO: –
CAPEXIL is an export promotion council which is promoting Indian tiles & FIEO is also promoting Indian ceramic tiles. Gathering all the information which is offered by EPC (Export Promotion Council) like Trade data, Buyer Data, Trade fair & exhibition & all activities related to promoting export.
Government Support: –
Check available subsidies, financial incentives & tax benefits. It can be reducing cost & improve competitiveness.
Trade Agreement: –
Use the benefits of free trade agreement & preferential trade agreement to gain market access & reduce tariffs.