Question 1

What are the most common red flags when sourcing from India?

Accepted Answer

The biggest warning signs are: demanding full advance payment before any shipment, prices significantly below what other suppliers quote for the same product, no valid GST or IEC (Import Export Code) number, reluctance to do a video call or factory walkthrough, unwillingness to send a paid sample before a bulk order, and bank account details that do not match the registered company name. Any one of these should prompt extra caution. Two or more together are a strong signal to walk away.

Question 2

How can I verify whether an Indian supplier is legitimate?

Accepted Answer

Start by checking their GST number on the government GST portal (services.gst.gov.in). Crucially, look at their filing history, not just whether the number is active. A company that has been filing returns consistently for years is far more trustworthy than one registered last month with no filings. Also verify their IEC on the DGFT website if they claim to export. Ask for trade references from past buyers, request a video call showing the factory floor, and insist on a paid sample before committing to a large order.

Question 3

Is it safe to pay Indian suppliers in advance?

Accepted Answer

Some advance payment is normal in Indian trade, typically 30% to 50% against a proforma invoice, with the balance paid before or upon shipment. What is not normal is a demand for 100% payment upfront, especially via personal bank accounts or informal channels. Use secure payment methods such as bank transfers to verified company accounts, letters of credit for large orders, or escrow services. Always confirm that the bank account name matches the company's registered name exactly.

Question 4

Are most Indian suppliers genuine, or is scamming widespread?

Accepted Answer

The vast majority of Indian suppliers are genuine businesses. India is one of the world's largest manufacturing economies, and millions of legitimate factories operate across textiles, chemicals, engineering, food products, and more. Scams exist, as they do in every sourcing market, but they are a small fraction of overall trade. The goal is not to avoid India but to filter out the few bad actors using straightforward checks like GST filing verification, references, samples, and sensible payment terms.

Question 5

How does Sauda verify suppliers, and what does the process look like?

Accepted Answer

When you send Sauda your sourcing requirement on WhatsApp (wa.me/9987549010), it finds matching Indian factories, then checks each supplier's GST filings and returns to confirm they are an active, tax-compliant business. Sauda contacts the verified suppliers, calls them, negotiates pricing on your behalf, and returns the cheapest verified live quotes within 24 hours. You receive quotes only from suppliers that have passed this GST verification step, which removes a major layer of risk before you even begin a conversation.

Question 6

Is Sauda really free for buyers? How does it make money?

Accepted Answer

Yes, Sauda is completely free for buyers. There are no fees, no commissions on your purchase, and no hidden charges. Sauda earns from the supplier side of the transaction. This means your interests as a buyer are aligned with getting the best verified price, since Sauda's job is to present you with competitive quotes from GST-verified factories. You can reach Sauda on WhatsApp at wa.me/9987549010 to try it with any sourcing requirement.

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