import · landed cost · purchase
Landed cost of imported polymer: a worked example
By PolyTro Team ·
Short answer: Landed cost is the purchase price of imported polymer plus every cost to bring it into your godown — freight, insurance, customs duty, surcharges, port, clearing and inland transport — divided by the quantity received. Most importers under-estimate it by 4–8% when they only add freight and duty.
Demo article — figures are illustrative. Replace with your own numbers or current rates before publishing.
Why landed cost matters
Polymer margins are thin. If you price a sale using only the supplier invoice plus freight, you can easily sell at a loss once duty, port and clearing bills arrive weeks later.
The components
| Component | Example (1 container, 24.75 MT PP) |
|---|---|
| CIF value (USD 1,050/MT × 24.75 MT × ₹84) | ₹21,82,950 |
| Basic customs duty @ 7.5% | ₹1,63,721 |
| Social welfare surcharge @ 10% of BCD | ₹16,372 |
| Port, terminal & DO charges | ₹28,000 |
| CHA / clearing | ₹9,500 |
| Inland transport to godown | ₹22,000 |
| Total landed cost | ₹24,22,543 |
| Landed cost per kg | ₹97.88 |
The supplier price alone works out to ₹88.20 per kg. The real cost is almost ₹10 higher.
How PolyTro handles it
In Purchase & Import, every shipment can carry additional cost lines. When you validate them, the system allocates each cost to the received lot, so stock valuation, margin reports and quotations all use the true cost per kg.
Try the numbers yourself with our free landed cost calculator.
FAQs
Is IGST part of landed cost?
Usually not, because IGST paid on import can be claimed as input tax credit. Basic customs duty and the social welfare surcharge are costs and must be included.
Should I allocate costs by weight or value?
For a container of one grade, it does not matter. For mixed containers, freight is usually allocated by weight and duty by assessable value.