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Advice on getting products made in china.

  • 02-04-2015 01:55PM
    #1
    bayles
    Registered Users, Registered Users 2 Posts: 258 ✭✭


    Hi Guys

    I have a new product that is in "pre production" at the moment , I'm having a demo/trial version made here in Ireland but eventually if all goes according to plan will be looking to have it produced in China were its cheaper .

    I'm looking for a bit of advice from anyone who has been down this road before particularly in dealing with "agents" into Chinese manufacturing Companies like these guys i came across http://www.mgtrading.com/ ... are companies like this to be trusted or am i better going direct ....

    Any advice at all would be great , thanks


Comments

  • #2
    martyoo
    Closed Accounts Posts: 872 ✭✭✭martyoo


    You need to get in touch with Rudy who is very active on here and knows this area inside out. He's helping me at the moment with an issue similar to yourself and I find him very good to deal with.

    Profile link


  • #3
    bayles
    Registered Users, Registered Users 2 Posts: 258 ✭✭bayles


    martyoo wrote: »
    You need to get in touch with Rudy who is very active on here and knows this area inside out. He's helping me at the moment with an issue similar to yourself and I find him very good to deal with.

    Profile link

    Thanks a million for this .. Ill give him a shout , unless he sees this post first .


  • #4
    [Deleted User]
    Posts: 2,822 ✭ [Deleted User]


    If you deal with an Agent in china to get your product manufactured you have to factor in the Agents commission. Its not really the way to go since the whole reason your doing it in the first place is to save margin points! If you do go the route of the agent however, you need to have a really tight contract with them to make sure they are responsible and LIABLE for quality control.

    You'll also have to deal with high MOQ's usually a minimum of 10,000 units to get any sort of decent price.

    Problems I have had with china - I had the rights to an organic skincare product, but it needed packaging redesigned with special bottles etc. So factory makes a couple samples sends them over and they are perfect. Then we order 10,000 and they make them a different colour, funk up the labels etc etc.
    When I go to fix it the company say we are really sorry it was a student responsible for this mistake, he is gone now, but we can't replace or refund anything. 10 emails later the chinese guy slips up and I notice that this student he's talking about is in fact him and he was just lying to save some money.
    I told him i would report his company to Beijing and begin a lawsuit against him from my company in HK and he would be fu***** if he didn't refund me, so he did in the end.
    Ive had to deal with a variety of things like this the last few years. Depending on your product and where its being sold the factory that produces it may have to pass some ethical tests. These can be expensive and a nightmare to get done.
    That just a few things to consider when going that route it aint easy thats for sure!


  • #5
    bayles
    Registered Users, Registered Users 2 Posts: 258 ✭✭bayles


    Deleted User wrote: »
    If you deal with an Agent in china to get your product manufactured you have to factor in the Agents commission. Its not really the way to go since the whole reason your doing it in the first place is to save margin points! If you do go the route of the agent however, you need to have a really tight contract with them to make sure they are responsible and LIABLE for quality control.

    You'll also have to deal with high MOQ's usually a minimum of 10,000 units to get any sort of decent price.

    Problems I have had with china - I had the rights to an organic skincare product, but it needed packaging redesigned with special bottles etc. So factory makes a couple samples sends them over and they are perfect. Then we order 10,000 and they make them a different colour, funk up the labels etc etc.
    When I go to fix it the company say we are really sorry it was a student responsible for this mistake, he is gone now, but we can't replace or refund anything. 10 emails later the chinese guy slips up and I notice that this student he's talking about is in fact him and he was just lying to save some money.
    I told him i would report his company to Beijing and begin a lawsuit against him from my company in HK and he would be fu***** if he didn't refund me, so he did in the end.
    Ive had to deal with a variety of things like this the last few years. Depending on your product and where its being sold the factory that produces it may have to pass some ethical tests. These can be expensive and a nightmare to get done.
    That just a few things to consider when going that route it aint easy thats for sure!

    Thanks for this , my lecturer in college told me last night that he has some contacts over there and will put me in touch , he also informed me that i might have problems with packaging alright , i will also require a licence of some description ...


  • #6
    RUDOLF289
    Registered Users, Registered Users 2 Posts: 794 ✭✭✭RUDOLF289


    bayles wrote: »
    Hi Guys

    I have a new product that is in "pre production" at the moment , I'm having a demo/trial version made here in Ireland but eventually if all goes according to plan will be looking to have it produced in China were its cheaper .

    I'm looking for a bit of advice from anyone who has been down this road before particularly in dealing with "agents" into Chinese manufacturing Companies like these guys i came across http://www.mgtrading.com/ ... are companies like this to be trusted or am i better going direct ....

    Any advice at all would be great , thanks

    Hello Bayles,

    I saw your post ......

    There are sourcing companies based in Ireland and China who have Irish and Chinese employees on both sides (e.g. located in Ireland and China).

    Whilst it is true what El Rifle indicates, a sourcing company does have to take a margin somewhere for their services, doing business in China (as El Rifle has experienced) can be tedious and the potential for problems are there.

    Dealing with a (reputable) sourcing company can eliminate the pitfalls of dealing with Chinese suppliers. The people I work with (as a freight forwarder / logistics service provider) have extensive experience in doing business in China. They understand the way business is done, are skilled negotiators and have people on the ground that can do factory visits and pre-shipment inspections. They have access to extensive databases across a wide range of industries. Also, because they understand the Chinese mindset,
    they are able to negotiate at the sharp end, which may help mitigate the additional costs of their involvement. One thing is for sure, if anything goes wrong you are dealing with an Irish origanisation, under Irish law (as opposed to dealing with Chinese law half way around the world).

    I am sure that in time you would be able to acquire the expertise that El Rifle has gained in his dealings with China. The fact that he has a Hong Kong based organisation is an obvious asset. Starting out the assistance of a sourcing company may be able to put you on the right track in China.

    If you PM me, I would be happy to put you in contact.

    Cheers,
    Rudolf289

    PS : I have no involvement, financial or otherwise with these sourcing companies, other than that I provide freight / logistics services to them.


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  • #7
    bayles
    Registered Users, Registered Users 2 Posts: 258 ✭✭bayles


    Hi Rudolf

    Thanks a million for your help , PM on its way ...


  • #8
    merlin2012
    Registered Users, Registered Users 2 Posts: 5 ✭merlin2012


    bayles wrote: »
    Hi Rudolf

    Thanks a million for your help , PM on its way ...

    Hi Bayles,

    i m chinese and maybe i can help you, if you think i m worth to trust, im also in dublin and also very interested in business between ireland and china.


  • #9
    Mearfada
    Registered Users, Registered Users 2 Posts: 16 ✭Mearfada


    Hi Rudolf
    Could you give me a ballpark idea of what a 40' container via sea freight would cost from Poland to Ireland (preferably Limerick/Foynes). It would contain timber products (26 tonnes and a value of 2 - 3k). The aim is to have this recurring?
    Regards
    Adam


  • #10
    tarmon
    Registered Users, Registered Users 2 Posts: 67 ✭✭tarmon


    Also if you are sourcing from China be careful to find out whether your product would require CE certification. If it does chances are you will have to organise this yourself (unless the Chinese Company already supplies to EU and has done it themselves but this is usually rare) which can be a very complicated process.


  • #11
    merlin2012
    Registered Users, Registered Users 2 Posts: 5 ✭merlin2012


    tarmon wrote: »
    Also if you are sourcing from China be careful to find out whether your product would require CE certification. If it does chances are you will have to organise this yourself (unless the Chinese Company already supplies to EU and has done it themselves but this is usually rare) which can be a very complicated process.

    business is not so easy.


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  • #12
    kaloshma
    Registered Users, Registered Users 2 Posts: 55 ✭✭kaloshma


    You could order your product directly from site like the alibaba and aliexpress directly from the manufacturer.
    But if you are ordering in a very large quanity, if is better you other anonymously, and also other for samples before you close the deal.
    And another thing, never pay directly. Process you payment through escrow payment service ALONE.


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