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All you need to know about export

All you need to know about export

Export” in trade means transferring goods or sending them from the place of origin to the destination. According to the definition of the Customs Administration, “export” means the departure of goods from the customs territory of the country of origin in compliance with existing laws and regulations.

Who is an exporter?

An exporter is any natural or legal person who has a business card or a license from the Ministry of Commerce and exports goods.

Definition of export

Export means transferring goods and products or transferring these from one place to another; it can happen inside the country or from inside to outside of the country. Export is about connecting and working with professional and global markets across borders. Exports are the starting point for communication with other nations, and we use them to earn more money in foreign currencies.  It can also help to establish a trade balance and economic balance in the origin country.

Types of export

Export is divided into two general types. These well-known types are direct and indirect, and the export procedure is different for each type.


Direct export

Companies that encourage foreign buyers to export usually use this method. Vendors whose exports have increased so much that they can bear the costs of running their exporting organization also use this method. product of Companies can be exported directly to undertake all the necessary activities to sell their products in the destination country. These activities include: determining the market capacity, finding a buyer, determining distribution channels, and carrying out exporting affairs such as preparing documents, measures related to transportation and cargo insurance.

A direct one is done in the following ways:

  1. A) Exporting agents: they are the buyer’s middle man in the exporting country who buys goods from the seller and receives a commission. Agents can be distributors or manufacturers.
  2. B) Mobile sales representatives: The Company can send its representatives to other nations at certain times for business activities.

Indirect export

An indirect export is more common among companies that are just starting their business. This type requires less capital, and the company is not forced to hire sellers or execute various contracts abroad. Also, there is less risk to exporters. Indirect methods can be done in several ways.

  1. A) Commercial companies: These companies are a broader form of exporting traders who buy different goods from different manufacturers and export them to their target markets. The most important trading companies in modern markets today are Japanese companies running most of the present market. Sales through this type is just like domestic sales, with the difference that it is less stable due to lack of control and lack of market information.

B) management companies for exporting: These intermediary companies agree to perform all steps related to exports, including advertising, discounts, transportation, etc. for business in exchange for a payment.

I hope you are familiar with the types of export by reading this article

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