Jun.19 – Foreign wine has been pleasing in China market, For feeding the growing wine taste of Chinese consumers, almost one out of five bottles opened in China is now imported from elsewhere around the world. Importing more wine into China is on the rise. Guide to import wine to China is documented, and wine importers in China are in demand.
Imported wine in China
In fact, in China wine market, French wine holds the dominate position which praised by the Chinese consumers for years, consequently, French wine is still the main player in today’s China market, where sales totaled 1.15 billion ($) in 2013 and accounted for nearly half of all wine imports in China. Argentine wines in China occupied promising position which made China the eighth largest export market for Argentine wines in 2014. America exports of wine to China were close to 23 million bottles in 2013. Italian wine surprisingly counted for only 6.5 percent of the market in 2013. Chile’s wine exports to China increased 157 percent in March 2014. There is a catch with imported wine in China, at this moment; Italian wine in China is favorable on the substantial rise which is aiming at sales worth almost US$10 billion over the next four years.
Guide to import wine to China
Imported wine is first subject to a port inspection, and then Customs clearance. Alcohol importers should present both a Health Certificate and a Certificate of Origin from the exporting country (region) in order to clear the inspection. The imported wine should also be affixed with a Chinese label in accordance with the General Standards for Food Labeling and other relevant regulations. Those that pass the inspection will be affixed with an “Imported Food Health Supervision and Inspection Mark.” Upon presentation of the requisite documents for approval, the Customs will clear the product after collecting duties and other taxes, including value-added tax and consumption tax.
To avoid any business risk with wine importing to China, consult the Chinese Customs website for your specific Import Duties & Import Vat issues, to avoid sending shipments without the correct documentation etc. and subsequently having the goods returned or destroyed. According to China the Administrative Rules for Importing Alcohol to the Chinese Market, a wholesale enterprise dealing in imported alcohol should possess, among other things:
- The registered capital, business venue and warehousing facilities in compliance with the relevant regulations;
- A qualified wholesale management system;
- Professionals familiar with the wine and spirits industry and its imports;
- A consolidated wholesale network;
- A health certificate issued by the Sanitation Administration Department;
- Other conditions as required by laws and regulations.
Import duties & import VAT in China
The tariff / duty rates for imports into China fall into two categories; general tariff rates and preferential tariff rates.
- The general tariff rates apply to the imports originating in the countries with which the People’s Republic of China has not concluded most-favored-nation trade agreements. The general tariff rates for importation range from 0%, 8% to 270% with over 20 different rates.
- The preferential tariff rates apply to imports originating in the countries with which the People’s Republic of China has concluded most-favored-nation trade agreements. The preferential tariff rates vary from 0%, 1% to 121.6% with over 50 different rates.
- The standard rate of VAT that is imposed on import of goods into China is 17%. This is calculated against the CIF value (Customs value + cost of insurance and freight).
- A lower rate of 13% applies to goods such as books, newspapers, magazines, cereals, edible vegetable oils, tap water, heaters, coal products for residential use and other goods as prescribed by the State Council.
- In respect of goods sold by certain small scale taxpayers, a special VAT rate of 6% is applied.
Wine importers/agents in China
If you considering importing wine into China, it is highly advisable that you connect with wine importers in China, link you wine exporting business with the right Chinese distribution channels. The List of Foreign Wine Importers/Agents in China is available, for further information, please email email@example.com or visit www.dccchina.org