Pricing products for export

To price your product for export, you would normally start with cost of production. Allow for special designs, special runs, modification and costs necessary to produce a marketable product. Rather than using your normal administrative cost, it is much better to add a direct export administrative cost, which may include representative’s commissions, direct cost for attorneys, freight forwarders, accounting, telephoning, mail, labor, etc. Some costs for exporting will be less than for domestics sales and some will be more. When you quote a price to your customer, you want to be sure there is reasonable profit margin left for you.