Which is more beneficial Merchant Exporter or Manufacturer Exporter?

[Praveen Sarda]

Dear Sir

We are going to start business as a merchant exporter. We will export moulded plastic items in Gulf & African countries. Kindly suggest we should trade it on our brand name or should be on Manufacturer brand name?

Also what are benefits under export scheme for merchant & manufacturer exporter?

Thanks

AI Summary

Merchant vs. Manufacturer Exporters: Debate on Transaction Ease, Profit Sharing, and Quality Control. Evaluate Based on Export Rules Expertise. A discussion on the benefits of being a merchant exporter versus a manufacturer exporter highlights differing viewpoints. One participant argues that manufacturer-exporters benefit from fewer transactions and less paperwork, while merchant exporters face dependency on manufacturers. Another agrees but notes that profit-sharing with manufacturers might be a drawback for merchant exporters. A contrasting opinion suggests that merchant exporters can ensure better quality control by personally inspecting goods, and they have the flexibility to use their own brand names. The discussion underscores the importance of weighing pros and cons based on individual circumstances and expertise in export rules.