Ports in France, Switzerland and Germany have decided to co-operate more closely in developing the Rotterdam-Genoa freight corridor. All are inland ports on the Rhine, and will especially aim to enhance rail freight connections. The nine ports currently handle about 33% of container barge traffic and 20% of Rhine borne bulk freight.
In the shipping process, for terms like Delivered Duty Paid or Cost, insurance and freight, there s nothing you need to do but wait on their arrival. For some shipping where you use terms like Freight on Board, an effort has to be made to keep things organized. Remember, even if you re lucky enough to take on DDP or CIF at this time, it is not a guarantee.
Like any new task, organizing logistics can be complicated in the beginning. If you do them well, however, you can save money, so they are worth the extra amount of work.
You must make sure that teach partaker in the process is one upon whom you can rely. Remember that costs tend to add up as each phase takes place, so it is up to you to make sure that each phase is as easy on the budget as possible. Do some research to determine the most excellent freight company, shipping and storage alternatives. In the beginning, it may take you a little time, and appear difficult. Once you learn the process, augmenting profits will be a breeze. Here s how whole process for the importer process goes:
- Manufacture/Wholesaler/SupplierManufacturers receive payment for the cost of their goods and its packaging. All documentation required for exporting is prepared by the manufacturer. Shipping terms like Delivered Duty Paid (DDP) and Cost, Insurance & Freight (CIF) are preferred to Freight on Board (FOB). The supplier undertakes the inbound risks and have the delivered products paid off. Whichever shipping term you have, always verify insurance terms. You need to insure the container for 110% of the FOB cost.
- Road Haulage CompanyThe collecting from suppliers and delivering these to the docks/airport, is the responsibility of the road haulage company.
- Sea Freight CompanyYou, or the supplier if CIF, DDU or DDP, will have to negotiate with the sea freight company to determine a rate for the process of having your goods transported. If less than a container load is necessary, then you only have to contact a freight forwarder. The Sea Freight Company is responsible for verifying the goods, documentation, and loading them into the vessels. Usually, costs range between $1500 and $4500 depending on the volume of the shipment. Freight associated charges are computed per kilo on the volume weight of your goods and small lightweight consignments are issued with the least charges. Professional freight agents will advise you of these charges when the quote for shipping of your products is given.
- Discharging of GoodsWhen you merchandise arrives, it is unloaded. If your documentation is organized, the merchandise is usually quickly cleared as soon as you verify payment of the necessary duty and tariffs. If you have not established credit facilities with your selected shipping line and Customs ahead of time, you are responsible for paying everything before the goods are discharged. If there is a delay, you must pay for additional storage fees.
If you pay the shipping charges by check, it will take working days to clear. While it is clearing, fees for storing the merchandise are added at approximately $0.14 per kilo per day. It doesn t sound like a lot, but a delivery of 1000 kilos of merchandise that has to be stocked for four days can have additional storage fees of up to $560.00 of store charges, but the rates vary.
- Payment Methods: You can choose from the following methods of payment:
- Deferred payment Importers with deferred accounts can avail of this payment.
- Broker deferred Agents with broker deferred accounts can avail of this payment.
- Transportation to Warehouse and Warehouse Storage Once the merchandise reaches the docks or the airport, you must have the merchandise picked up and delivered by a freight company to a warehouse.
For warehouse storage, yet another stage of the import process, you will need a few more hundred dollars, because you will have charges for:
- Receiving the product
- Cost of labor
- Long-term storage costs
- Broker and/or freight forwarder fees
Bargaining about the cost of this step in the storage process is usually possible. If you look and compare, you can probably save money. You can t just have your merchandise stored in a warehouse without considering its location. There are a lot of areas in the USA that offer less expensive warehousing than others.
You can obtain a breakdown of the sea freight costs, importing procedures, etc., by visiting http://www.skymartworldwide.com/t_help_simpleguideimporting.htm1.
- Customs Duties and Taxes Duties and taxes of goods you import will vary from one country to another. While importing from China, Hong Kong, India and others, you are likely have to pay import duties. Of course, there are exceptions. If the goods are items you can t avail in your own country, usually the tariffs and duties are minimal. For other goods which are subjected to FDA jurisdiction, you will need to have special licenses. The process involved is complicated.
To determine the charges, visit your country s customs website for information. Information such as phone and other contact information can be found at these sites:
Once you ve been through the process a few times successfully, you probably can handle the process of importing on your own. First-time importers, however, should obtain a broker to help with the process. Classification is necessary, and if your products are not classified properly, you may end up paying inaccurate duties and tariffs. Through the help of a broker, you can avoid paying the inaccurate charges. Your documentation must also be accurate. A broker can help with that as well. If it is inaccurate, it can cause delays and higher charges. When this happens, you aren t able to transport the products while obtaining correct documentation. Items will need to be stored longer than the original agreement, so you are then responsible for paying demurrage.
- ^ http://www.skymartworldwide.com/t_help_simpleguideimporting.htm (www.skymartworldwide.com)
A meeting was held last month to discuss progress on the freight corridor planned for Northern India. Work should begin shortly in the territory of North Central Railway from Mughalsarai to Khurja. Tendering process for the work of stretch from Bhaupur to Khurja has already been initiated.
Land acquisition between Mughalsarai-Bhaupur is continuing at a fast pace and compensation for nearly 70% of the land has been paid. The total length of the freight corridor from Mughalsarai to Dadri is about 780 km.
Trade volume figures for the first quarter of 2012 suggest that growth will be slower than in 2011.
Deepsea imports to Europe are forecast to increase by 2.3% in 2012, with a 2.8% gain anticipated in North Europe and a 1.3% gain projected in the Mediterranean and Black Sea region. North European imports in Q1 compared with Q4 were virtually unchanged, but were down by 2% on the same period in 2011. Exports, however, were up nearly 6% year-on-year, but down 1% on the previous quarter.
The improvement in the relative performance of China compared with Japan is encouraging news to the freight forwarding sector in China , that has been battling with the global downturn in trade in recent years
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Improvement in the relative performance of China
Despite the global slowdown, China managed to show impressive growth in its logistics and freight transport infrastructure in 2009, according to the China Logistics Development Report 2010.
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Despite the global slowdown, China managed to show impressive growth
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What is LCL? LCL is less than a container load. Meaning you can import or export as little as only one cubic meter rather than importing an entire container. LCL is a common shipping term used in Australia and helps people who can not fill up an entire 20 foot container.
What is BAF? In freight forwarding terms BAF refers to Bunker Adjustment Factor it is commonly used in import and export of sea freight and is essentiall a fuel surcharge. It is important to check if you are importing a container to check the shipping lines BAF as this rate can fluctuate and have an impact on your overall cost.
How long does it take to import from China? You can now import a container from China in as little as 14 days ( on the water ) however there are many transhipment services available 20+ days for a cheaper service. Most containers imported to Australia from China are sold on the terms FOB. Meaning the buyer in Australia has lots of control over the freight costs and who clears the shipment upon arrival into Australia.
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