The business of Importing goods into Colombia

[fathertime]

Hola!
 
As a longshot I’m looking for any poster here who has some knowledge/experience regarding importation of goods to Colombia on a relatively large scale.  I seem to recall some time ago a person mentioned they imported tractors or something like that into Colombia and I believe it was working for him. 


We have a few large products and accessories that have been selling well here in the states and are considering giving it a go in the Colombian market, if I decide it is feasible.  I don't want to go into the nature of the product except to say that it is a larger piece of equipment that you might find at stores similar to Home Depot or Costco here in the states.


If anybody would like to share experiences or horror stories about  businesses in Colombia, that would also be interesting to hear.
 
Thanks,
Fathertime! 

[Elexpatriado]

Try the ex-PBH guys on the Colombia vanilla sites..

[AndyLee]

There are new opportunities for US exporters now under the new US-Colombia Free Trade Agreement. Everything is regulated, of course, so you will need to start with the US Department of Commerce. There is a division that helps companies expand their export businesses. Here's a link to get you started. The site is set up to help US companies export: http://export.gov/colombia/doingbusinessincolombia/traderegulationsstandards/index.asp
Two of my Colombian friends run import-export businesses here in Colombia and for 20 years have been employing 15 or 20 people operating out of a large warehouse in Cali and the other in Buenaventura. One is importing Chinese consumer goods, the other is exporting Colombian seafood.
The headaches of starting a business in Colombia are massive, time consuming, frustrating, expensive, ad infinitum. However, if you are only looking to export US Goods to existing Colombian companies your task will be much simpler.

[Stevieboy]

The headaches of starting a business in Colombia are massive, time consuming, frustrating, expensive, ad infinitum. However, if you are only looking to export US Goods to existing Colombian companies your task will be much simpler.

.
I've done some of the import side and found it to be a headache myself. The exporting seems safer, except for how to transfer monies back and forth seller to buyer visa versa. Does anyone recommend a good system? Opening a bank account was too difficult, and Western Union is another pain in the azz. Has anyone used Paypal, or other means that's quick, simple, and safe? 

[Elexpatriado]

Importing money in and out of the country in sums over $10,000 us requires paperwork, including formalario 210. What you guys are talking about is small time "black Market" stuff which you can do by just getting cash out of a Cajero...

[michaelb]

Confirmed irrevocable letter of credit, for CIF (Cost, Insurance, Freight), D/P (Documents against Payment)--means when you produce the bill of lading proving that the goods have been shipped, the funds are released. Any large bank with an international business department can show you how to set it up.

Downside:
1. Naturally, the bank charges a fee for this.
2. Foreign customer has to front the money before receiving the goods.....some might not be willing or able to do so.

[fathertime]

There are new opportunities for US exporters now under the new US-Colombia Free Trade Agreement. Everything is regulated, of course, so you will need to start with the US Department of Commerce. There is a division that helps companies expand their export businesses. Here's a link to get you started. The site is set up to help US companies export: http://export.gov/colombia/doingbusinessincolombia/traderegulationsstandards/index.asp
Two of my Colombian friends run import-export businesses here in Colombia and for 20 years have been employing 15 or 20 people operating out of a large warehouse in Cali and the other in Buenaventura. One is importing Chinese consumer goods, the other is exporting Colombian seafood.
The headaches of starting a business in Colombia are massive, time consuming, frustrating, expensive, ad infinitum. However, if you are only looking to export US Goods to existing Colombian companies your task will be much simpler.

Thanks Andylee, that is interesting information and link...


Also thanks to all other replies.  I'm in the very early stages at this point, just gathering information slowly.


Fathertime! 

[whitey]

Ahh FT, I see you are trying to cut into my booming t-shirt business in Barranquilla!  Back off - there's not enough room for two gringos!


I just imported another 40 t-shirts last month ... the market is saturated ...

[fathertime]

Ahh FT, I see you are trying to cut into my booming t-shirt business in Barranquilla!  Back off - there's not enough room for two gringos!


I just imported another 40 t-shirts last month ... the market is saturated ...

No worries old Whitey...I'm get help them get their shirts dirty and you sell them new ones!


Fathertime!