Add freight, insurance, customs duty, the 10% surcharge and IGST to the factory price, divide by the units shipped, and price from that, not the quote.

IGST, commonly 18%, is charged on the CIF-plus-duty total and can be claimed back as input credit if you are GST-registered. Run your HS code through ICEGATE's duty calculator or DutyDecoder before you order, since duty rates swing by category, and keep a per-SKU spreadsheet with a currency buffer. Pricing off the factory invoice alone, which leaves out freight, duty and packaging, is how margins quietly go.

The steps 7 answers

How do I calculate my true landed cost per unit, including duty, freight and GST? D2C
How do I estimate my true landed cost before I commit to an order? D2C
What's the actual difference between COGS and landed cost, and why does mixing them up wreck my margins? D2C
What import duty and GST will I actually pay bringing goods into India? D2C
What free tools or calculators can I use to model landed cost before I place an order? D2C
My factory quote and my actual landed cost are miles apart, what am I missing? D2C
How do I estimate the real landed cost before I promise a delivery date and price? D2C

The readingMost used across these answers

Calculation of Import Duty in India, Formula, Online Tools and Exemptions Read · 2 answers
Understanding Landed Costs for Ecommerce Read · 2 answers
What Is Landed Cost and How Do I Calculate It? Read
How to Calculate Cost of Goods Sold (COGS) Read
Understanding Landed Cost: What It Is and How to Calculate It Read
Landed Cost: The Hidden Factor in Your Pricing Formula Read
Landed Cost and Margin Spreadsheet Tutorial Watch
Better Global Buying Experiences With Duties & Import Taxes at Checkout Read
Shopify Duties and Taxes Support (Shopify Markets) Read

The terms

Cost of Goods Sold Goods and Services Tax

eChai Partner Brands The partnership →