Lupus
Honorary Master
- Joined
- Apr 25, 2006
- Messages
- 89,904
- Reaction score
- 60,466
Hasn't been a thing since earlier this year, it's now part of the price.
-
Join the MyBroadband community
South Africa’s biggest forum. Discuss, discover, and connect with thousands of members.
-
Question of the Day: Are you keeping your Prime subscription?
Your temu orders
- Thread starter Sideshow Bob
- Start date
Zellephant
Expert Member
- Joined
- Aug 4, 2023
- Messages
- 2,796
- Reaction score
- 2,827
Now it would be great if they could actually provide a proper itemised invoice for the duties and VAT that are apparently now included in the price - as all the other major international platforms do.
I also prefer that they include it at the checkout - makes things much easier, but its not okay that I dont receive a breakdown of the taxes and duties I am paying - and I suspect TEMU is doing some pretty dodgy stuff in this regard in order to avoid ad valorem duties and so forth on many of the thing they are shipping to us.
Might be a good idea for @Jan to look into doing an article on this.
sometimes one shouldn't scratch if it doesn't itch
Zellephant
Expert Member
- Joined
- Aug 4, 2023
- Messages
- 2,796
- Reaction score
- 2,827
What do you mean? How does it not itch?
- It itches, because if I am paying VAT and Duties on something, I want to know what I am paying.
- It itches because come tax season, one kind of needs to know these things
- It itches because it's all good and well to be able to buy stuff cheaply from TEMU, but it's not exactly fair if the only reason it's so much cheaper is that they are cheating the system.
chickenbeef
Executive Member
No one is stopping you from being proudly South African and buying locally at inflated prices.
Zellephant
Expert Member
- Joined
- Aug 4, 2023
- Messages
- 2,796
- Reaction score
- 2,827
Firstly, it's about a little bit more than that, mate. What's good for the goose is good for the gander, and all that you know.
If TEMU pricing is only attractive because they don't pay the taxes that "local" sellers are expected to pay, then they aren't really cheaper - they are just cheating the system.
We have some absolutely crazy import duties in South Africa on certain goods - but that is a separate issue. If TEMU isn't paying the duties that local distributors or sellers are expected to pay, then that is a problem. If they are, and they are still significantly cheaper, then all is good. But, if they advertise a product at a specific price, and claim all duties and VAT are included, it is only reasonable to expect to get a proper tax invoice for this. It's literally the first and most basic rule every business trading in South Africa is expected to comply with.
I think EU customers are getting a lot of pain. The European Union imposes a mandatory €3 customs duty on low-value e-commerce parcels (under €150) shipped from outside the EU. Per item category, a shitshow.
Sideshow Bob
Honorary Master
Sites such as TEMU are already under radar and as time goes on, it will get worse for them.
At end of the day, TAL and others import from China as well and I don't think we will know what these companies do, local or not. At times, TAL prices are almost same as Temu so I wonder sometimes.. Of course TAL prices are closer to Temu only when there are specials.
That's not it though.
Zellephant
Expert Member
- Joined
- Aug 4, 2023
- Messages
- 2,796
- Reaction score
- 2,827
It is only right that operators like TEMU get some more scrutiny. I get that people love being able to buy cheap stuff - but that "cheap" price does essentially come at a price somewhere, to someone. Like they say, there is no such thing as a free lunch.
The guys importing directly from China the same cheap trinkets available on TEMU and then selling them at a markup I dont really feel sorry for them. If TEMU takes them out of business, so be it. They and typical dropshippers are a scourge to the entire retail industry anyway. But what people need to realise, is that if you are happy to support TEMU, who are most likey dodging taxes and carrying out other very questionable business paractices in order to beat everyone and their dog on price - they are also cutting into the viablity of legitmate importers and distributors in the local market, who are subject to all the normal taxes and duties - but also importantly add value in the forms of local product support, warranty handling, and importantly - quality control (essentially playing "middle man" by doing the legwork, sourcing product from reputable manufacturers and keeping the really bad, knock offs and junk out of the market). If those guys lose too much market share to the tax dodgers like TEMU and SHEIN, soon, all you will be able to buy is absolute nonsense - and when you want to get a quality product, or need to source something that will have backup and support, you won't be able to, because all the proper distributors would have closed up shop.
We are seeing this in a big way in my industry. We are a B2B distributor for high-end sports and outdoor apparel. A lot of our products are also imported from China, but we, like everyone else in the apparel/textiles game, are subject to between 30-45% duties on most of our products. Supposedly this is to protect the local industry, but that is so to say none existent anymore - especially for technical apparel, waterproofs, thermals etc. We are definitely losing a lot of market share to TEMU - with customers choosing to roll the dice on products off of TEMU at prices we could never even dream of matching. a prime example would be something like this:
Somehow, TEMU can get this delivered (with free shipping), to someone's door for R473 (VAT and duties included). Our cheapest similar product, which is also made in China, sells at wholesale for R1650.00 (retailing at around R2250). When you consider that this product is charged 45% import duty on the CIF price, before VAT is added - even if we were able to source this directly from the manufacturer at R200.00 - which is simply not possible, we would not be able to match TEMU price in South Africa. There is simply no way anyone is manufacturing that product, even if they use the lowest quality of materials, and slave labour, for R280 (thats ignoring shipping and logistcs costs). It simply isnt possible. The material cost of that product alone is significantly higher than that.
This is where the problem comes in with TEMU's claimed "VAT and Duty Included" angle. No supplier who is subject to 45% duties and 15% VAT could ever dream of matching that price. Now, at the moment, this isn't affecting us too much, because we target a clientele who is shopping at a much higher price point - but it is hammering the likes of Mr Price Sport, or Sportsmans Warehouse, who play a critical role in supplying the entry level market. if they end up deciding to exit the industry because they can't compete with TEMU and Shein, that will massively influence us, though, because we rely on them supplying the entry-level market to keep the entire pipeline going. Most people don't wake up out of the blue one day deciding to take up a sport and jump straight into high-end equipment. Once Temu kills the mass market retailers, the pipeline for everything upstream dries up pretty quick.
It's a money grab, nothing else.
Sideshow Bob
Honorary Master
Apparently, Temu is the only dishonest seller and everyone else is as honest as Dalai Lama.
Last edited:
does it concern you that others in SA are reselling Temu stuff from SA? Ask them for their import details......
If this bothers you, this much, surely SARS must be concerned and looking at it with all their powers
Are you just looking for attention? or some warped value signalling?
airborne
Honorary Master
- Joined
- Jul 13, 2007
- Messages
- 28,684
- Reaction score
- 14,937
It’s much worse than you think, they have to pay £3 per item type, so if your package contains clothes, kitchen goods and car spares they will charge you £3 per group £9 in total.
"The flat fee is charged per distinct product type (by customs tariff heading) rather than per parcel. This means if a single package contains different item types like clothes, kitchen goods, and car spares, you will indeed face multiple €3 charges"
Retail markups on clothes aren't that slim are they, I've seen figures of 200-300% being the norm?
airborne
Honorary Master
- Joined
- Jul 13, 2007
- Messages
- 28,684
- Reaction score
- 14,937
Like what kind of stuff?
Last I walked into one of their branches it all looked like legit brands.
Puffer jackets, shorts, and cargo pants branded Fashion.
Puffer jackets, shorts, and cargo pants branded Fashion. There are legit brands as well (although I question the source of them).
Another one who cries crocodile tears. As of every puffer jacket everywhere is a K Way knock off
www.bizcommunity.com
K-Way vs. knockoffs: The hidden cost of fake fashion in SA
Martine Vogelman, director of strategic brands for Cape Union Mart, unpacks how counterfeit K-Way products are quietly damaging local jobs, skills, and trust in the local retail economy...
Speedster
Honorary Master
Author is a board member of the company...Another one who cries crocodile tears. As of every puffer jacket everywhere is a K Way knock off
K-Way vs. knockoffs: The hidden cost of fake fashion in SA
Martine Vogelman, director of strategic brands for Cape Union Mart, unpacks how counterfeit K-Way products are quietly damaging local jobs, skills, and trust in the local retail economy...