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Import rates into N.Z ex Asia are at an all-time low and as they say “What goes down must…”

This period of ‘golden weather’ is over.

Shipping-lines have signalled periodic increases to all import sea-freight rates ex Asia starting in August.

Expect to hear specifics shortly.

Chinese New Year (CNY) aka the Lunar New Year or the Spring Festival, is the most important holiday season in China.

So when is the Chinese New Year?

Well it’s the 23rd day of the 12th lunar month of the Chinese calendar.

Okay you don’t know the Chinese lunar calendar.

In short the ‘new year’ falls on different dates.

In 2017 it starts on Saturday, January 28th.

In 2018 it changes to Friday, February 16th.

Lasts for 7 days.

Hardworking Chinese live for the Chinese New Year Holiday.

For many factory workers CNY is the only major holiday they get all year.

In reality it is THE holiday celebrated by ALL Chinese.

Everything stops.

It’s not like Christmas here where companies run on skeleton staff, trucks travel, shops are open, ships sail etc.

When we say everything stops – we mean it.

From a freight perspective the pressure goes on to get space and ensure the product leaves the factory to make the sailing.

Invariably there is always a backlog.

Vessel’s are over-booked, space is tight.

Prior booking months in advance and keeping-the-pressure on the supplier to schedule release before they close-up, things close-up are the keys.

Parcel-PostYou go on-line and purchase some books ex Amazon which duly arrive at your doorstep G.S.T free, with no border costs.

Now just imagine the Government changes the law, creates an ‘even playing-field’ situation when it comes to imports.

You’ll need to now add the N.Z Customs Import Transaction Fee of $25.44 a MPI Biosecurity levy, which with GST totals $49.24.

After-all these costs are paid by the N.Z Publishing Agents for the books when they import their stock – so it’s only fair the rules should be consistent.

And why should a private importer get their goods Customs Cleared free by the state when a commercial importer has to employ a Customs Broker or go to the trouble themselves?

So on to that $49.24 you will need to add say another $75.00 = NZ$125.00 on top of the price of anything crossing the border.

But wait there’s more!

Then there’s the 15% G.S.T itself that’s payable not just on the books but the freight as well.

Those books suddenly don’t look such a good deal.

The Government can’t simply exempt one set of importers from the costs of border control, collection of taxes when this sector is so large, and growing.

Yes, this is ‘a can of worms’ but politicians need to act consistently and fairly.

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