Sample content — an illustrative example shipped with this site to show the format. Not a real engagement.
The situation
The client was comparing an incumbent CIF Auckland price against a new supplier quoting EXW Ningbo, and the EXW number looked substantially cheaper. Nobody had costed the export handling, inland haulage, origin charges, freight, insurance and clearance sitting between EXW and the client's warehouse door.
What we did
We rebuilt both quotes as fully delivered costs to the client's Penrose warehouse, including the Import Entry Transaction Fee and Biosecurity System Entry Levy, 15% GST shown as a separate cash-flow line, and realistic origin charges from the actual port of loading. We then tendered freight across three forwarders to establish what the lane genuinely costs.
What happened
Normalised, the incumbent was 6% cheaper delivered, not 8% more expensive. The client stayed put and used the independent freight tender to renegotiate the incumbent's CIF rate instead — which produced a real saving, on the line that was actually inflated.
EXW quote rebuilt to delivered cost
NZD per unit
View as table
| Cost line | NZD per unit | Share |
|---|---|---|
| EXW Ningbo | 184 | 80.3% |
| Origin charges | 11.20 | 4.9% |
| Sea freight | 18.60 | 8.1% |
| Insurance | 2.10 | 0.9% |
| Entry fees & levy | 3.40 | 1.5% |
| Clearance & delivery | 9.80 | 4.3% |
| Delivered (ex GST) | 229 | 100.0% |
Delivered under: Beat-Your-Current-Deal Audit