Commercial Import in Small Quantities: What You Need to Get Started (Even as an Exempt Dealer)

Last updated: September 30, 2026

Yes, you can import commercially even in a small quantity. The law sets no "minimum quantity" for commercial import, and according to the Ministry of Economy and Industry's guide for new importers, import into Israel is generally free: anyone can import without a general "importer's licence", and only some products require registration, approval or a licence (as of September 2026). What you do need is a business registered with the Tax Authority, a customs agent who represents you, and a product that meets the import requirements. The real limit is financial. Every shipment carries fixed costs, and on an order that is too small they eat up the profit.

This guide is for small business owners importing for the first time, from overseas or from anywhere else. It covers VAT status, registration, the economics, and the cases where it is better not to import at all.

What counts as commercial import

The distinction between personal and commercial import is set by purpose, not by amount. The Tax Authority defines personal import as the import of goods for personal, private use, in a quantity reasonable for one's own use. The same page states explicitly that import for a business's own use, or for trade, is not personal import but commercial import.

In practice: fifty units you will sell in a shop, and a single machine that will stand in your workshop, are both commercial import.

The numbers, as of September 2026 and according to the Tax Authority page: for postal parcels and shipments under personal import, goods worth up to $75 are exempt from taxes (except tobacco and alcohol). Between $75 and $500 there is a customs duty exemption, but you pay VAT, and purchase tax where it applies. Above $500 you pay the full taxes, much like commercial import. The VAT exemption ceiling was changed and then reinstated during 2026, so check the official page before relying on it.

These exemptions are meant for private consumption. Anyone who orders goods for sale and splits them into small parcels to stay under the ceiling does not turn them into personal import, because the definition depends on use. For an organised business there is no benefit in it anyway: it gets import VAT back, as explained below.

Which status you can import under

Customs does not require any particular type of business. The difference between the statuses is in VAT, and it changes what your goods actually cost you. As of September 2026 the VAT rate is 18%, imposed under the Value Added Tax Law on imported goods as well.

This section presents general rules only. Before choosing a status, sit down with an accountant or tax adviser who knows your business.

Exempt dealer (osek patur)

An exempt dealer can import: as noted, according to the Ministry of Economy anyone may import. There are two limits worth understanding before the first order.

The first: an exempt dealer does not charge VAT to customers, and therefore may not offset the VAT they pay. This is explained on the exempt dealer page at Kol Zchut: the VAT paid becomes part of the expense. In import, this means the VAT you pay when the goods are released from customs stays with you as a cost, and the goods cost you 18% more than they cost a licensed dealer importing them at exactly the same price.

The second: the turnover ceiling. According to the Tax Authority, an exempt dealer is someone whose annual turnover does not exceed ₪122,833 in 2026. The amount is updated every year. Turnover is total sales, not profit, and when trading in goods you reach it quickly. Anyone who passes the ceiling must change their registration to licensed dealer.

When does it still make sense? For a trial order, a small side activity, or when your customers are private individuals and you are far from the ceiling.

One more point for the conversation with your accountant: the micro business owner track in income tax allows you to deduct expenses at a fixed rate of 30% of turnover instead of actual expenses. In a business that buys and sells goods, the purchase cost alone is usually higher than 30% of turnover, so it needs checking whether the track suits you.

Licensed dealer (osek murshe)

A licensed dealer pays import VAT on release and offsets it in the periodic VAT report, against the VAT charged to customers. The document that allows the offset is the import declaration (the "reshimon"). The Chamber of Commerce describes it as a receipt for payment of the taxes and as a document that serves as a tax invoice for VAT offset purposes.

That is why it matters that the import declaration is in your business's name. Section 38 of the Value Added Tax Law allows deducting input tax included in an import document bearing the dealer's name as owner of the goods. If the goods entered in someone else's name, that person is the importer, and they will sell the goods to you with a regular invoice.

For a licensed dealer, VAT is a cash flow matter: you pay on release and get it back through the report. You need to be prepared for it in cash, but it is not a cost.

Limited company (Ltd.)

A company is registered for VAT as a licensed dealer, and it cannot be an exempt dealer. As far as import is concerned it acts like a licensed dealer: it pays VAT on release and offsets it.

The differences lie outside customs. A company is a legal entity separate from its owners, and its bookkeeping and reporting cost more. Whether it is worth setting up a company now is a business and tax decision, not an import question.

Comparison table

As of September 2026:

How to register as an importer

There is no general "importer's licence" you have to obtain. Registration is made up of a few short steps:

1. Open a business file with the Tax Authority. Exempt dealer, licensed dealer or company. The import declaration is filed in the business's name, and without a registered business there is no name to file it under.
2. Choose a customs agent and give them a power of attorney. The import declaration is produced by the customs agent, or by a service bureau of the Chamber of Commerce. A customs agent may act in your name only after receiving a letter of authorisation. The authorisation is transmitted to the customs "Shaar Olami" system as an online form with a digital signature, by you or with the help of the agent's office.
3. Submit an importer's affidavit, if required. According to the Tax Authority, an importer declaring commercial import worth more than $5,000 in a single import declaration submits a periodic affidavit about their suppliers. The affidavit describes the terms of the transaction and the related costs, so that customs can determine the full value for tax purposes. It is submitted online, free of charge, and is valid for one year. Someone without an identification method can fill it in and pass it to the customs agent for submission.
4. Register in the importers registry, if the product is subject to an official standard. The registry is managed by the Ministry of Economy and Industry. According to the Chamber of Commerce, an importer who is not registered in it cannot submit an application to import a product to which an official standard applies.

And what is an "importer number"? There is no certificate by that name. In the importers registry you are identified by the company number (ח"פ) or ID number under which you registered. When a customs agent or a supplier asks for an "importer number", they usually mean your business number. If you are not sure, ask the customs agent which number they need.

How small is "small": the economics

The viability question is a question of fixed costs. Some import costs grow with quantity: the price of the goods, the volume of freight, the taxes. Others hardly depend on quantity:

• The customs agent's fee and the production of the import declaration
• Handling fees, documents and minimum charges in freight forwarding
• Port or cargo terminal charges
• Local delivery to your business
• Laboratory testing, if the product is subject to a standard
• Bank transfer fees to the supplier

To give a sense of scale for one component only: the Tel Aviv and Central Region Chamber of Commerce publishes that producing an import declaration at its service bureaus costs between ₪250 and ₪400, depending on the product and quantity (checked September 2026). The other components vary by product, volume, country of origin and season, so you get quotes for them before you order.

The logic is simple. The same fixed costs are divided over a hundred units or over a thousand. When they are divided over a thousand, the addition per unit is ten times smaller. That is why the same product can be worthwhile in one order and not worthwhile in a smaller one.

An example for the VAT part, in round numbers for illustration: suppose the shipment's value for tax purposes is ₪20,000, with no customs duty or purchase tax. The VAT on release will be ₪3,600. A licensed dealer will offset that amount in the next report, and the goods cost them ₪20,000. For an exempt dealer the goods cost ₪23,600, even before the fixed costs.

The way to check viability: calculate the cost per unit once it is in your warehouse, everything included, and compare it with the price at which you could buy the same product from a local importer or wholesaler. If the gap is small, the risk and the time do not justify importing. In our procurement and import service, the quote breaks the cost down into components, from the factory price to your warehouse, so that this comparison is made before the order.

How to bring in a small quantity in practice

A small quantity does not fill a container, so you choose one of these routes:

Cargo consolidation. If you buy from several suppliers in the same area, the goods can be gathered in one warehouse and sent as a single shipment. That way you pay once for clearance and for local delivery.

Samples. Samples that a business orders before placing an order are commercial import, even when they arrive by courier. They go through customs like any other shipment of the business.

Which method suits you? It depends on volume, urgency and the value of the goods. A light, expensive product can justify air. A bulky, cheap product will almost always travel by sea.

MOQ: what to do when the factory demands more than you need

MOQ is the minimum quantity the factory is willing to produce in a single order. It exists because the factory also has fixed costs: setting up the production line, and buying raw materials and packaging in its own minimum quantities. So an MOQ is not an arbitrary number, and there is usually room to negotiate it.

Some common ways to lower it:

1. Agree to a higher price per unit. Many factories are willing to produce less if the order covers their costs.
2. Choose a catalogue product. A model the factory already makes, in an existing colour and packaging, does not force it to set up special production. Private branding and printed packaging are what push the minimum up.
3. Present the order as a trial order. A supplier who understands that this is the start of a relationship, and that a larger quantity will follow, is more flexible.
4. Split the quantity between models. Sometimes the minimum is measured on the whole order and not per model or colour.
5. Look for another supplier. A smaller factory, or a trading company that holds stock, often works with lower quantities.

What not to do: order a quantity you have no one to sell to, just to get a good price per unit. Inventory sitting in a warehouse cancels the discount.

When finding suppliers and manufacturers, the minimum quantity is one of the data points compared between offers, alongside the price, production time and samples.

Standards and licences apply to a small quantity too

Import requirements are set by product type, not by order size. The Ministry of Economy explains that the requirements depend on the product's customs classification, and that they can be found in the Free Import Order. A product subject to an official standard or a licence requires them even when you bring a single carton.

On a small order this directly affects viability: the cost of testing or approval is one more fixed expense. The Standards Institute of Israel recommends bringing a sample of the product for model testing before importing the entire shipment. The model approval serves as a basis for later shipments of the same model from the same manufacturer.

The right order: first classify the product and check what is required, and only then pay the supplier a deposit. A check with the customs agent before ordering is far cheaper than goods waiting at the port.

Checklist for a first order

1. You have a registered business, and you know what its VAT status means for the cost of the goods.
2. The product's customs classification is known, and you have checked which taxes apply to it.
3. You have checked in the Free Import Order whether a standard, licence or approval is required, and what it costs.
4. You received a sample and tested it against the specification.
5. You have a written quote from the supplier: price, quantity, delivery terms (Incoterms), payment terms and production time.
6. You calculated the cost per unit in your warehouse, including the fixed costs, and compared it with the price in Israel.
7. You chose a customs agent and gave them a power of attorney.
8. If the shipment value is above $5,000, you submitted an importer's affidavit.
9. You agreed on a shipping method and cargo insurance.
10. You agreed in advance on a quality inspection before shipment, and before the final payment.
11. You have set aside an amount for VAT and taxes on release, even if you will get the VAT back.
12. You know which documents the supplier needs to send: an invoice, a packing list and a bill of lading.

If you want to see how these steps fit together, you can read about our process, step by step.

When it is better to buy from a local importer and not import

Not every business needs to import, and not at every stage. It is better to buy locally when:

• The price gap is small. After you add the fixed costs, the cost per unit comes close to the local wholesale price.
• The product is subject to a standard and the quantity is small. The cost of testing is spread over few units.
• You need the goods now. Import takes time, and local stock is available immediately.
• The product requires warranty, service or spare parts. A local importer carries that, and if you import it yourself the warranty will be yours.
• You are an exempt dealer close to the ceiling. The VAT stays as a cost, and the sales will take you past the ceiling.
• It is not yet clear that there is demand. Buying a small quantity locally is a cheap way to test the market before committing to a factory's minimum.

And when should you import? When the product does not exist in Israel, when you need your own adaptation or branding, or when the price gap remains significant even after all the costs. In such cases, small-quantity import for businesses, meaning a trial quantity before a large order, is a reasonable way to start.

Frequently asked questions

Can I import commercially in small quantities?

Yes. The law sets no minimum quantity, and according to the Ministry of Economy import into Israel is generally free. The limit is financial: the fixed costs of each shipment need to be spread over enough goods. Certain products require approvals regardless of quantity.

Can an exempt dealer import?

Yes, but they pay VAT at 18% on release and cannot offset it, so the VAT becomes part of the cost of the goods. In addition, their annual sales turnover is capped at ₪122,833 (as of 2026). Before importing as an exempt dealer, it is worth checking with an accountant whether moving to licensed dealer pays off more.

What do I need to open an import business?

A business registered with the Tax Authority (exempt dealer, licensed dealer or company), a customs agent holding a power of attorney from you, and a product that meets the requirements of the Free Import Order. There is no general importer's licence. Products subject to an official standard also require registration in the Ministry of Economy's importers registry.

How do I open an importer file, and what is an importer number?

There is no general importer's licence or certificate. You give a customs agent a power of attorney in the "Shaar Olami" system, and if the shipment value exceeds $5,000 you submit an importer's affidavit. An "importer number" is usually your business number, the company number or ID number under which you are identified in the systems.

What is the minimum order value that is worth importing?

There is no single number that is right for every product. It depends on the level of the shipment's fixed costs, on the standard requirements, and on the gap between the cost in your warehouse and the price in Israel. Calculate the cost per unit with everything included and compare. If the gap is small, it is better to buy from a local importer.

What do I do when the factory's MOQ is too high?

Negotiate: a higher price per unit in exchange for a small quantity, a catalogue product with no customisation, or splitting the quantity between models. If that does not help, look for a smaller factory or a trading company that holds stock. Do not order a quantity you have no one to sell to.

Do you pay customs duty and VAT on a small order too?

Yes. The exemptions by shipment value are defined for personal import, and import for a business or for trade is not personal import. A commercial shipment is subject to VAT and to the other import taxes that apply to the product according to its classification. A licensed dealer and a company offset the VAT in the periodic report.

Want to check whether your order is worth it?

Send us the product, the quantity and your target price. We will check what is required to import it and send back a quote that breaks down the cost up to your warehouse.

Send a purchase request

The information is general and does not constitute legal or tax advice. Check the current provisions on the authorities' websites.