Lower Import Duty on Clothing Equals Greater Profit

Kids Clothing

Whenever you import clothing into Australia it attracts an Import Duty of 17.5%.

From January 2010 the duty payable falls to only 10%. (For many items it is dropping 5-10%).

The lowering of the rate of duty payable is intended to allow Australian businesses to economically source manufacturers and supplies from overseas.  It is hoped that it will boost Australian businesses and make them more competitive in the world market.

This is a wonderful boost for importers especially in the current economic climate where our dollar has hit 92c in the USD.  The opportunity to make significant profit is huge.

If you are in the process of importing clothing it makes sense to wait until January before you bring it into Australia.  A saving of 7.5% may make it worthwhile to delay manufacture or to store the goods overseas for a couple of weeks.   Product prices are not likely to fall, so the 7.5% saving is all profit for you.

Now is the time to be placing your orders for new stock.  The import duty will remain at the new rate but there is no guarantee that the exchange rate will stay favourable to our currency for any length of time.  .

It makes excellent business sense to take advantage of this amazing economic time by ordering your stock now if you can.  You will be ready to start the new year off with fresh stock and nice new profits.