Protecting Your Business: Scam Prevention in the Export Industry 

Online frauds and scams have become widespread at an alarming rate, and the food export industry is no exception. In today’s global marketplace, a promising email from an international buyer can feel like a major win. But not all trade leads are what they seem to be.  

Food Export recently hosted an online webinar titled “Thats an Order: Avoiding Online Frauds and Scams,” featuring Dennis Lynch, Export Education Coordinator and his expertise in identifying fraudulent activities. The webinar featured topics affecting exporters, particularly the notorious “419” scams, ways to identify them, and how to address them. 

Dennis discussed the 419 scams to which many small- to medium-sized businesses have fallen victim to. Originating in Nigeria, the code refers to the Nigerian criminal code dealing in fraud. However, it happens all over the world, especially in the food exporting industry. The scam convinces the supplier to give money to a stranger, with the expectation that a much larger sum of money will be returned. In most cases the money is never returned, resulting in additional payments. 

6 Characteristics of a Fraudulent Email 

1. Starting with the introduction, the email would be asking to place an order for a small quantity of products, assuring the supplier that it will be an effortless process  

2. There will be a hook asking for the order in all caps to bring attention to the email.  

3. They try to convince the supplier that their shipment will be covered and direct you to a “shipping company.” 

4. They promptly ask the supplier for their credit information  

5. Once a payment is made, the “buyers” stop responding. 

6. The email information the business has provided to the “buyer” will then go into the network of online scammers. 

However, there are ways to prevent this from occurring.  

• Pay attention to email and vocabulary used. 

• Does the email address go to a legitimate website? No website is a major red flag. Use search tools and scam databases to confirm legitimacy. 

• Are they using industry terms?  

• Can they offer U.S. references or show familiarity with your products and business conditions? 

If something feels off, it probably is. 

When corresponding keep track of the consistencies of the information given such as changing shipping companies, names, and emails. 

Being able to identify and catch email as fraud during the introduction phase is crucial. There are many signs in the way they write and the formalness of it. There are also scam survivor websites to identify past scammer emails or websites. 

Suppliers can be surprised about how detailed and efficient the scammers were in their crafted story of potential buyers. Despite the slight inconsistency of their emails, many small businesses have been tricked. 

Know What Real Orders Look Like: 

A quality trade lead won’t just say, “I want to place an order.” A real buyer: 

• Will ask about specs, ingredients, and labeling. 

• Will reference local market trends or regulatory needs. 

• Will provide a professional email and phone number. 

• May pass you along to a colleague for further steps—a standard practice in countries like South Korea. 

It’s not how the message is worded; it’s what the message says that matters. 

Online fraud isn’t going away, but with the right knowledge, you can protect your business and your brand. As Dennis said in the webinar, it’s OK to be selective. Put your effort where it matters. Know who you’re dealing with before you ship, and you’ll keep your exports—and your peace of mind—safe. 

Food Export’s continued efforts to educate and protect businesses through programs like this seminar are invaluable. Awareness is the first line of defense and with the right knowledge, companies can confidently protect themselves from fraudsters. 

Want more export education tips? Visit foodexport.org and check out our upcoming webinars.