It is important for an exporter to be aware that there are risks that may come up in the cause of export business and to proactively mitigate them.

Even though business risks cannot be totally eliminated, potential risks should be known, calculated and mitigation plan emplaced.

Below are four steps that have been used to measure and manage the entire portfolio of export risks:

- Identify all potential risks.

- Rank each risk according to the likelihood of occurring and potential severity.

- Evaluate strategies to manage these different types of export risks

- Monitor risks over time as circumstances and conditions change and adjust risk management and mitigation approaches according to new information.

Export Risks to consider as you plan to export products beyond your country’s borders include the following:

- Political Risks: Stability of political practice, consistency of policies, and reliability of financial systems of the country to export your product need to be closely monitored and reviewed’ historically.

 - Legal Risks: Laws and regulations vary around the world. As a result, exporting companies could face legal issues related to a number of areas of the business. One of the best ways to mitigate the legal risks of exporting is to hire legal advisors either located in a given country jurisdiction or with proven expertise in dealing with local laws.

- Credit / Financial Risk: Mitigate risks of non-payment by opting for a payment method that guarantees payment e.g. bank guarantee, letter of credit, and insurance agencies coverage.

- Quality Risks: Rejection or dispute on product shipped can be avoided by ensuring pre-shipment inspection of goods by an Agency acceptable to the importer. Otherwise, first send a sample of the goods to the importer for acceptance, before the shipment.

 - Transportation / logistic Risk: Damage or spoilage of goods in the course of conveyance to the other country may occur. Has the consignment been duly insured by a local insurance company to mitigate this risk?

 - Language /Cultural Risk: Language barriers and Culture differences can constitute a risk. Have a fair appreciation of the values of the country of the importer and possibly establish an Associate that assists to guide or settle issues relating to language and culture.