Logistics, Trade Administration and Supply Chain

Transportation usually represents the most important single element in logistics cost for most firms. Freight movement has been observed to absorb between one-third and two-thirds of total logistics costs. Thus, the logistician needs a good understanding of transportation matters. Although a comprehensive discussion of transportation is not possible within the scope of this text, this subject highlights what is essential to the logistician for his or her managerial purpose. The focus is on the facilities and services that make up the transportation system and on the rates [costs] and performance of various transport service that a manager might select. Spefcifically, we wish to examine the characteristics of the transportation service alternatives that lead to optimal performance. It is performance that the user buys from the transportation service. Importance of an Effective Transportation System One needs only to contrast the economies of  developed nation with those of a...

The Shipper's Export Declaration (SED) is a document prepared by the shipper and presented to a government authority specifying goods expected along with their quantities, weight and destination. Each country has its own SED form. Certain elements are likely to be required in the SED for all countries. The SED typically includes the following elements: Name and address of seller, Name and address of buyer, Issuance date, Export license number (if required, based on certain countries' requirements and goods exported), Country of origin of the goods shipped, Country of final destination of the goods, Quantity and description of the goods, Country of export statistical classification number (some countries do not require this information for shipments under a certain level), Shipping details like, weight of the goods, number of packages and shipping marks and numbers. The SED is used by a nation's customs authority to control exports and compile trade statistic...

An air waybill is a non-negotiable transport document covering transport of cargo from airport to airport. A complete air waybill contains the following criteria: Name of carrier with a signature identified as that of carrier or named agent for and/or on behalf of the carrier, An indication that the goods have been accepted for carriage as well as the date of issuance or date of loading, In a documentary letter of credit, an indication of the actual date of dispatch if required by the documentary letter of credit or if the actual date of dispatch is not required by the credit, the issuance date of the document is deemed to be the shipment date, An indication of the airport of departure and the destined airport, Appears on its face to be the original for consignor/shipper, Terms and conditions of carriage or a reference to the terms and conditions of carriage in another source or document, Meets any other stipulation of the sales contract or documentary letter of credit. C...

C-TPAT qualifications for air carriers: Active air carrier transporting cargo shipments to the US; Have an active Airline Code registered with CBP; Possess a valid continuous international carrier bond registered with the CBP; Have designated company official that will be the primary cargo security officer responsible for the C-TPAT program; Commit to maintaining C-TPAT security guidelines for air carriers; Create and provide CBP with a C-TPAT supply chain security profile, which identifies how the air carrier will meet, maintain and enhance internal policy to meet the C-TPAT security guidelines for air carriers. Security Guidelines for Air Carriers Air Carriers must conduct a comprehensive assessment of their international supply chain based on the C-TPAT security guidelines. Where an air cargo outsource or contracts elements of their supply chain such as conveyance, foreign facility, domestic warehouses or any other elements, the air carrier must work with these busi...

Order Fulfillment: Another activity area that logistics may control is order fulfillment, which generally consist of activities involved with receiving and completing customer orders. Initially, one might question why the logistics area would concern itself directly with order fulfillment. However, one important physical distribution factor is the time elapsing from the time when a customer decides to place an order for a product until the time those goods are actually delivered in a satisfactory condition, i.e. the lead time. Forecasting: Another activity essential to the logistics area is inventory forecasting. Accurate forecasting of inventory requirements and materials and parts is essential to effective inventory control. This is particularly true in companies using a just-in-time (JIT) or materials requirement planning (MRP) approach to control their inventory. Logistics personnel should develop forecasts in those situation to ensure accuracy and effective control. Too fre...

If a LMW finished goods are of a class prohibited on import/export he will be allowed to carry on with the manufacturing but the finished goods when released to domestic market or exported will have to be subjected to the prohibition orders. Import or export license, whichever applicable must be obtained from the International Trade and Industry Ministry and the approval must presented to the Customs at the port/place of import/export. Control on Premises Generally, LMW are documentary controlled by the Customs. As such, customs officers will not be stationed at the licensed premises. Manufacturing process can be carried out without limitation to the time but no dutiable goods shall be brought in or taken out of the licensed premises outside the normal opening hours without due written permission from the State Customs Director where the LMW is located or based at. Valuation Dutiable value of the manufactured goods released for home consumption will be determined on the ...