Costing

Landed Cost Calculator

For importers, wholesalers, and food traders. Stop quoting from supplier price — see the true delivered cost per unit before you place the PO.

Best used for: Import pricing, supplier comparison, PO planning, customs cash-flow.

Inputs

Fill in what you know. Optional fields can be left blank.

Text label only — no FX conversion.

USD
USD
USD
%

Applied to CIF (goods + freight + insurance).

USD
USD
USD
USD
%

VAT may be recoverable depending on your business.

Results

Enter a product cost and quantity to see results
  • The other fields are optional but improve accuracy.

When to use this calculator

Before sending a PO, before quoting a wholesale price, before deciding between two suppliers in different countries — anywhere supplier price alone misleads you.

Inputs explained

Product cost is the EXW or FOB price your supplier quoted, per unit. Freight and insurance are total amounts for the shipment, not per unit. Customs duty is a percentage applied to CIF. Broker / port / local delivery / other are flat amounts.

Outputs explained

Total landed cost is your true cost basis for pricing. Per unit is what each unit really costs you. Cash at import includes VAT outlay, which matters for cash-flow planning even when VAT is recoverable later.

Worked example

You import 1,000 units at $4.00 each. Freight $600, insurance $40, duty 5%, broker $150, port handling $80, local delivery $120. CIF is $4,640, duty $232, total landed (excl. VAT) $5,222. Per-unit landed cost is $5.22 — not the $4.00 the supplier quoted.

Common mistakes

  • Forgetting customs clearance and broker fees.
  • Quoting margin off supplier price instead of delivered cost.
  • Ignoring currency movement between PO and arrival.
  • Treating VAT as a cost when it is actually recoverable.
  • Forgetting last-mile local delivery to the warehouse.

What this tool does not do

  • Verify customs duty rates or HS code classifications.
  • Replace advice from a customs broker or freight forwarder.
  • Convert currencies live — enter amounts in a single currency.
  • Store, save, or share the numbers you enter.
  • Guarantee compliance with import or VAT regulations.

Frequently asked questions

Is landed cost the same as cost of goods sold (COGS)?

Landed cost is the basis for COGS, but COGS as reported in accounting may also include warehousing, handling, and overhead allocation depending on your accounting policy. For pricing decisions, landed cost is the right starting point.

Should I include VAT in landed cost?

If VAT is recoverable for your business, exclude it from landed cost used for pricing — but plan for the VAT outlay at the time of import. If VAT is not recoverable, include it.

How do I handle currency?

Convert all amounts into a single currency before entering them, ideally using the rate you actually expect to pay. Currency drift between PO and arrival is one of the biggest hidden costs in trade.

What about freight per unit?

Enter the total freight for the shipment. The calculator divides it across your quantity automatically when computing landed cost per unit.

Disclaimer. These tools provide estimates for general informational purposes only. They are not financial, tax, customs, legal, or professional advice. Always verify calculations with your accountant, customs broker, freight forwarder, or relevant professional before making business decisions.