Avoid these three most common mistakes African businesses make when exporting products to the USAadmin 30th April 2019 0 COMMENTS
The USA is the world’s largest market and it buys a lot of products from the rest of the world. In 2018 alone, the US spent more than $2.6 trillion on imports from over 200 countries.
This huge and lucrative trade opportunity will open up markets for Africans in the diaspora. According to this article, uniquely African products such as shea butter, spices, moringa tea leaves, local foodstuffs, tropical fruits and nuts have become promising business opportunities on the international market. It’s these types of products that present unique opportunities for African entrepreneurs and businesses looking to enter the export trade.
In an interview with smallstarter.com, Danny Lennarz, co-founder of Registrar Corp, a company that ensures exporters around the world meet the compliance requirements of the US Food & Drug Administration (FDA), highlighted three mistakes exporters make when exporting products to the world. Read below.
Labelling mistakes are one of the leading causes of FDA detentions.
FDA’s labelling rules for all products are strict and extensive, with regulations particular to everything down to the font size.
Here is a list of the top five food labeling errors to help new exporters avoid these same mistakes.
Failure to do comprehensive research before exporting
Again, compliance is especially important in the early stages of exporting to the United States, and some products have unique requirements.
For example, companies that handle canned foods may require a second FDA Registration called a “Food Canning Establishment” or “FCE” registration. Products are frequently detained from companies that don’t have an FCE registration but should. This is just one example.
Accidentally not finishing an FDA Registration
Most companies must designate a U.S. Agent when registering with FDA. For food and medical device companies, FDA does not consider an FDA registration complete until the designated U.S. Agent accepts the designation electronically.
Many companies assume they are registered once they click “submit”, but this is not the case. For this reason, it’s important to designate a reliable U.S. Agent that will successfully complete the required steps.