Our company designs and manufactures bespoke machinery-for this potential client it will be a machine that produces wound dressings.
A Russian sales agent has offered his services to us as he has the contact with the potential client. We have not previously sold into Russia.
Can you advise of the pitfalls to be aware off in selling into Russia and also using the services of a local sales agent working within an agreed agency agreement?
Following the Russian invasion of the Crimea and the subsequent sanctions that were imposed, you need to ensure that what you’re providing will not breach the sanctions which include use by the military.
I recommend looking at our Agents and Distributors webinar for practical advice on using sales agents in new markets.
You really need to do some homework on this agent initially. The fact they are contacting you implies they are confident you will get the contract. That’s a good thing!
Things you need to do: the agent would expect you to certify the products to EAC Conformity. Find out the cost to do this below by advising your HS Codes.
Biggest country in the world, Russians love to work with British manufacturers and if you make the effort to build relationships with your agent/ distributor, you could enjoy a very lucrative partnership.
All the best.