Your eyes and hands in India · Est. 2019 · Replies within one working day

How do I handle a quality claim with an Indian supplier?

Act fast, stop using the goods, collect evidence, test a properly drawn sample and notify the supplier in writing within the contract period. A clear claim with proof is far more likely to be settled.

· 3 min read · Creston & Co

Handle a quality claim by acting quickly, keeping the goods separate, collecting evidence, testing a properly drawn sample and notifying the supplier in writing within the period your contract allows. A clear, documented claim is far more likely to be settled than a complaint sent weeks later.

Most claims are won or lost on what was agreed before shipment: the spec, the sampling method and the claim clause.

Steps in the first days

  • Stop using or selling the goods, and keep them separate from other stock.
  • Photograph the container on opening, the seal, bag markings, damage and the product itself.
  • Record the container seal number and compare it with the bill of lading.
  • Draw samples in a documented way, ideally with an independent surveyor present.
  • Notify the supplier in writing, stating the problem, the lot numbers and that you are testing.
  • Tell your insurer if the problem might be transit damage, such as water or condensation.

Build the evidence

Send the sample to an accredited lab, naming the method and the parameters in your spec. Compare the result with the pre-shipment report and your counter-sample. If the supplier's pre-shipment result was clean and yours is not, the sampling and the lab will be questioned first. That is why who draws the sample matters so much.

Keep all evidence together: contract, spec, pre-shipment report, loading photos, arrival photos, lab reports and correspondence.

Present the claim

  • State the contract clause, the spec parameter and the result found.
  • Attach the evidence, including original lab reports.
  • Say what you want: replacement, price reduction, return, or cost of rework such as re-cleaning or sterilisation.
  • Show your actual losses with invoices where you claim costs.
  • Offer a joint retest of the sealed counter-sample if facts are disputed.

Outcomes and prevention

Many claims settle as a discount, a credit against the next order or a reprocessing cost. Full rejection and return is costly for both sides and is usually reserved for unsafe goods. Where goods are refused at the border, the options narrow quickly, as explained in what happens if a shipment is detained.

If the supplier will not engage, the dispute clause in your contract decides the next step. Arbitration under a named set of rules is common in agri trade.

Every claim shows a gap. After settlement, review what failed: the spec, the sampling, the packing or the supplier's process. Update the spec and the contract. Tighten pre-shipment inspection for the next lots. If the same supplier fails again, consider whether the relationship is worth keeping. The most useful step is often to take control of who draws the pre-shipment sample.

How we help

Because we draw and seal the pre-shipment sample, we can retest the counter-sample and present the evidence to the factory in person. We then negotiate a settlement on your side of the table. Ask for a free sourcing review.

More from the blog

Free · 20 minutes · No obligation

Start with a free 20-minute sourcing call.

Tell us the product, the spec and the volume. We'll tell you what it should cost from India, what to test for and where the risks are. No fee, no obligation, and you keep the notes.