How to build an import landed-cost model

Start from one comparison point

Fix the product, quantity, currency, Incoterms 2020 rule and named place. Incoterms allocate certain costs, risks and obligations, but do not replace the sale contract or determine every tax and service charge.

Separate known amounts from assumptions

Keep separate lines for goods, tooling or samples, packaging, origin transport, international freight, insurance, broker, duty, import taxes, conformity work, bank fees, warehouse and final mile. Show the source and date of every rate.

Model scenarios rather than one precise number

Build base, favourable and stress cases for exchange rate, freight, lead time and defects. Allocate shared costs using an explained driver—weight, volume, value or units—and show the landed result per sellable unit.

Source: Primary guidance

Source: Supporting standard