Product Sourcing Agent: How an India-Based Agent Saves You 22–35%

Factory shortlisting — 3 vetted options with FOB pricing, MOQ, lead time.

Sample management — sample brief, courier, approval cycles.

Price negotiation — based on transparent factory cost breakdown.

PO management — terms, advance, production tracking.

Quality inspection — initial production check, during-production, AQL 2.5 pre-shipment.

Export logistics — FOB / FCA / CIF / DDP, freight booking, ISF, documentation.

Compliance — social compliance audits, CPSC, Prop 65, lab testing.

Commission model: 5–10% of FOB value, billed after PO. Standard for repeat sourcing relationships.

Flat-fee model: $500–$2,500 per project. Standard for one-off or low-volume projects.

Retainer model: $2,000–$5,000/month plus reduced commission. Standard for large brands with continuous flow.

Inspection: $250–$400 per man-day, billed at cost. Avoid agents who hide markup.

Freight: billed at cost with carrier invoice copy. Avoid agents who quote freight as a flat number.

Alibaba / IndiaMART: best for $0–$50K/yr, simple SKUs, accept QC risk.

Sourcing agent: best for $50K–$5M/yr, multi-SKU, multi-factory, professional QC required.

In-country employee: best for $5M+/yr, single category, you want exclusivity.

Avoid: anyone who refuses to share factory identity after PO.

Avoid: 'free' agents who pad factory pricing with hidden commission.

Avoid: agents who quote freight as a flat number with no carrier invoice.

Look for: registered company, GSTIN, IEC code, multi-year client references.

Look for: in-house QC team (not subcontracted), photo/video reports.

Look for: transparent commission stated upfront in writing.

Section 301-free landed cost.

FTAs with UK, AU, UAE, Japan, (pending) EU.

English-language factory communication.

Mature export documentation and freight ecosystem.

Stronger IP environment for design-led brands.