Heritage bank business credit card. The limits, fees and need-to-knows
If you’re on the hunt for a suitable business credit card in Australia, there are several offerings available. A mutual or ‘customer-owned’ bank, Heritage...
In 2020 alone, Australians and Australian companies imported over $19.9 billion AUD worth of Japanese goods into the country, making it one of our main trading partners.¹ If your business is looking at importing goods from Japan you’ll need to know how to get them to Australia.
In this article we’ll let you know a bit about shipping goods to Australia from Japan including the different transportation methods, potential costs and approximate time frames. We’ll also give you some tips for how Wise can help make doing business overseas that little bit cheaper.
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Australia and Japan are both islands so they each rely on sea and air transportation to bring goods into the country. Which transport method you choose to use will depend on many factors including the size and quantity of goods being sent, your preferred delivery time and your budget.
Air cargo is the fastest way to ship goods internationally, especially if you’ve chosen an express shipment option. The cost for air cargo services is dependent on several considerations including the size of the shipment, the overall weight, type of goods and delivery location within Australia.
Air cargo is split into two categories.²
General cargo doesn’t have any special requirements for it to be transported aboard an aircraft.² Here’s some examples of what’s often considered general cargo.
If you’re only sending general cargo to Australia you could look at using Japan Post, a courier, a logistics company or a freight forwarder to handle the transportation.
Some items, known as special goods, have specific handling, documentation or safety requirements to be allowed on an aircraft.² Here’s a few examples.
If you’re buying Japanese electronics for import it’s a good idea to check if they have components such as lithium batteries which can make them special cargo.
When looking for a company to transport your goods you’ll need to keep in mind that not all carriers are willing or able to manage special cargo. You’re more likely to have success with a logistics company, freight forwarder or transport company that specialises in special cargo.
Sea freight is a slower but generally cheaper option, especially when you’re dealing with large or heavy shipments.
For shipments ranging from packages to pallets, you may be best speaking to Japan Post, a courier or a logistics company. If you’re transporting partial or full sea container loads then a shipping agent or freight forwarder might be more suitable.
There are many Japanese and international companies that can organise to ship your goods from Japan to Australia. Here’s a few names to get you started.
Package to Pallet Sized Shipping
Sea Freight Shipping Agencies
Freight Forwarders
As we mentioned, the cost of shipping goods from Japan to Australia varies due to a number of factors. Here’s a few of them.
As an example, here’s what it can cost to airmail goods from Tokyo to Sydney using FedEx.³
Company³ | Cost³ |
---|---|
FedEx International Economy (50kg) | ¥106,136 – approx A$1,137 |
FedEx International Priority Express (50kg) | ¥173,734 – approx A$1,861 |
FedEx International Economy (250kg) | ¥314,062 – approx A$3,364 |
FedEx International Priority Express (250kg) | ¥940,544 – approx A$10,076 |
FedEx International Economy (1000kg) | ¥1,027,982 – approx A$11,015 |
FedEx International Priority Express (1000kg) | ¥1,063,982 – approx A$11,401 |
As you can see air cargo gets quite expensive when you’re shipping larger volumes, weights or quantities of goods. If you want to see what sea freight would cost in comparison, it’s best to contact a company in the industry who can provide you with a personalised quote.
When importing goods into Australia, shipping isn’t the only cost to think about. There are certain fees, duties and charges which may apply, depending on your shipment.⁴
Something else to keep in mind is that you may need to pay for the goods or shipping costs in Japanese Yen (JPY). Converting AUD to JPY can be an expensive exercise depending on the additional fees, exchange rates and exchange rate margin your bank has. This is where Wise comes in handy.
When you send money abroad with Wise your AUD is exchanged for JPY using the real exchange rate and there are no hidden fees. It can work out to being up to 6x cheaper than traditional banks and 19x cheaper than PayPal.
When you organise the shipping and importation of the goods into Australia you’ll need to provide certain documentation. What you’ll need depends on the type of goods, but could include some of the following.⁵
Australia does have rules about what can and can not enter the country, generally based on safety or biosecurity concerns. It’s your responsibility to check if the goods you’re shipping from Japan are allowed to enter Australia.
Certain goods are listed as restricted and you do have to obtain an import permit before you can ship them.
Here’s a general idea of how long it takes to ship goods from Tokyo, Japan, to Sydney, Australia.
Shipping Method | Approximate Time Frame |
---|---|
Airmail³ | 11 days |
Sea Freight⁶ | 29-39 days |
As well as enabling you to send money overseas at the real exchange rate, Wise also offers a multi currency account specifically for businesses.
With a Wise Business account you can hold and convert 53 currencies in a single account. For 10 of those currencies you can get local account details to use as well. There are no monthly account fees to worry about and you can manage your conversions online or through the app.
For convenient spending, the account can be attached to a Wise debit card which automatically takes care of currency conversions for you. You can use it to make payments overseas and can order additional business debit cards for any staff you feel need them.
Paying your suppliers or for shipping is also pretty easy. The Wise Business account enables you to pay invoices in the local currency, sending funds to the recipient's bank or Wise account.
To learn more about Wise why not create a Business account for yourself - it’s free and can be done in minutes.
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Sources:
Sources checked on: 8 July 2022
*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.
We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
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