Shipping Goods and Logistics

Shipping Goods and Logistics

When it comes to exporting goods, the exporter needs to be aware with a lot of issues, particularly with packing and labelling of the goods, as well as related documentations. The goods itself must comply with the requirements to ensure that it will

  • Arrive in good condition, with the goods are handled properly
  • Arrive at the right time and place specified.
  • And properly insured against potential loss, damage, delay, and in some cases, pilferage and theft.

Because of legal requirements surrounding export business is tedious, supplier of the goods inclined to outsource the works to international freight forwarders.

Freight Forwarders

International freight forwarders acts as an agent specializing in moving cargoes to specified destination, and are well-versed with rules, laws, and regulations concerning shipping and logistics in foreign trade.

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DHL is one of the top freight forwarders in the world

These companies will assist and consult you from the start (such as suitable packaging, port and warehouse charges, related fees, documentations required and etc.) As well as make the necessary arrangements to ensure the goods will arrive safely to the destination, in a reasonable amount of quotation fees.

Concerns in Shipping

Packaging

Considered to be the main component of shipping goods, the shipper must aware of the four concerns regarding packaged goods: weight and/or volume, moisture, breakage, and potential pilferage.

Usually, general items are carried in containers, handled normally, and it comes with the risks of breakage and added strain to package, mainly due to cases such as stacked goods suffered from violent force; or perhaps the containers may be pushed, dragged, or dropped during transporting before reaching final destination.

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Moisture

Humidity also presents a constant issue even with the transport vehicle is equipped with a dehumidifier. Unless known for sure, there’s always a risk of improper storage (likely because destination port does not have adequate and proper spaces) where the goods are at the risk of environmental effects.

And of course, potential pilferage and theft are a nightmare and certainly a constant threat.

As proper packing is essential in exporting, the buyer will provide a specified packing requirements. And in any case, it’s beneficial to have the goods packaged in a way to minimize potential risks mentioned above as much as possible, for peace of mind.

  • Use of strong and sturdy containers, with fillers and adequate seal to prevent moisture
  • Packages are made to ensure easy and proper handling
  • Making sure the weight of the goods is evenly distributed
  • Use of shrink wrapping, seals, and strapping can be useful to minimize potential theft

It’s best to get advice on packing requirements from both buyer and freight forwarders in your respective country and the information will help you to decide on the best kind of packaging as possible. Though the whole process can put a significant cost for first timers, the knowledge will certainly beneficial in the long run.

Labelling

For formal shipping, specific markings and labelling are essential to meet the requirements and ensuring proper handling during the whole process. In most cases, buyers will specify certain marks for easy identification by receivers. Certain markings include:

  • The shipper’s mark (logos, for instance) with country of origin
  • Details such as weight, size of cases and dimensions on the containers
  • Cautionary markings and/or labels of hazardous materials (in English or national language of end country’s destination)
  • Port of entry
  • It should be noted that the measurements used for the goods may be in Metric and Imperial units, hence confirmation is necessary to avoid confusion and delay. Again, it’s best to get advice from your local customs and freight forwarders.

Legibility is extremely important in documentation

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Example of labeling on the box (Source: riskmanagement-unt-edu)

Useful Links on Exporting Goods and Logistics

For more information regarding exporting goods, shipping and logistics, these links can be helpful to gain better understanding for your benefit, especially when it comes to outsourcing. Click here to read more why outsourcing is essential in today’s business.

Reference link

Click here for starter’s guide on freight and shipping goods.

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