I wish PayPal would add first class international packages. I have written to them for years about this, but nobody there cares.

You are lucky that your customers will go through the $1 buy-it-now on ebay to allow you to open the ebay shipping program. I designed my website to break free of ebay, so I won't go through that process. Fortunately, my international orders tend to be higher value so I can absorb the lack of a shipping discount. (I only charge $10 shipping for orders outside US/Canada, but I may adjust it now that the post office prices have gone up so much)