Discusses pricing formula and other fees, value-added tax (VAT), etc.
Last Published: 3/26/2019

U.S. exporters will find that pricing in CFA Francs (CFA), especially for repeat sales of deliveries over a six-to-twelve month period, provides a substantial commercial advantage over quoting prices in U.S. dollars.  Including cost, insurance, and freight (CIF) price quotations to an Ivoirian port are more useful to Ivoirian buyers than direct factory quotations.  When calculating selling prices, U.S. businesses should compare their prices to competitors, and build into their cost structure an allowance for additional costs that often arise when selling into a developing market.

Payment via confirmed irrevocable letter of credit is often preferred by U.S. exporters, particularly at the beginning of a commercial relationship.  However, insistence on L/C payment terms may limit the U.S. exporter‘s rate of market penetration.  European suppliers often effectively use seller-financing in the Ivoirian market to accommodate customers and capture market share.  Foreign competition often grants credit of 60 to 90 days for consumer goods and 24 months for machinery and equipment.  European banks often quote liberal terms and may discount paper for their exporters who are pursuing long-term credits.  Competitive credit terms are an important factor in purchasing decisions and may be part of an effective marketing strategy in Côte d’Ivoire.

Pricing is liberal and directed by the market (supply and demand), except for a few sectors such as petroleum and gas, power, and water.  In these exceptions, the government oversees or regulates pricing. 
 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.