Logistics, Trade Administration and Supply Chain

INTRODUCTION Knowledge in shipping i.e. import and export process and documentations is an crucial part of the supply chain process. In import and export activities, there are various kind of documentations involved. During importations, you may require to adhere to various kinds of procedures such as import permit, product certifications, inspection report, pharmaceutical approvals whereas for export, you may require up to found kinds of contract like, sales agreement, contract of carriage, contract of finance and contract of cargo insurance. The shipper or importer is also required to comply to requirements of the consignee’s or exporters country. These requirements changes frequently and very often irregular documents creates confusion and resulting to delay of customs clearance and delivery of goods. Incoterms are the key rules of shipping in determining how costs and risks are allocated to the parties and can reduce conflict among traders, therefore minimise trade disputes an...

Analyst Insight: Global trade compliance remains a topic that most C-level executives successfully ignore. This should not be regarded as an accomplishment but as a serious corporate deficiency that will affect a company's bottom line and its ability to compete on a global basis. Ignorance of global trade compliance is no longer an option. – Beth Pride, president, BPE Global Profit & loss statements still ignore the intricacies and costs of crossing borders. True product landed cost remains buried and unexplored in most companies. The decision to market and sell products in a new country or region seldom considers how challenging it is to accurately clear goods from an export and import perspective. Now the U.S. election has brought this issue front and center. As president-elect, Donald J. Trump announced a goal to impose a 45-percent tariff on Chinese imports. At the very least, C-level executives should look at their current costs for goods sourced from China and es...

Trucking moves freight with smaller average shipment size than rail. More than half of the shipments by truck are less than 10,000 pounds or LTL volume. The inherent advantages of trucking are its door-to-door [DTD] service, involving no loading or unloading between origin and destination as is often true of rail and air modes; its frequency and availability of service and its DTD speed and convenience. Truck and rail services show some distinct differences, even though they compete for many of the same product shipments. First, in addition to the common and private legal classification of carriers, trucking offers services as contract carrier as well. Contract carriers do not hire themselves out to service all shippers as do common carriers. Shippers enter into a contractual agreement to obtain service that better meets their particular needs and requirements without incurring the capital expense and administrative problems associated with private ownership of a trucking fleet. ...

Last year proved tough for transporters on the world’s busiest trade routes between Asia and Europe. Both the sea and air markets suffered from weak demand and overcapacity as new orders of airplanes and ships continued to come on line. The container shipping market was down around three percent worldwide by volume in 2012 compared to the previous year, says Denis Sanguinetti, sea-freight procurement manager at Bolloré Logistics. Routes between Asia and Western Europe suffered the biggest drop of between seven and eight percent, he adds. Similarly, the volume of goods transported by air fell by around 2.5 percent worldwide, says Georges Van Hove, manager of airfreight procurement at Bolloré Logistics. “The air-freight market will remain weak as long as the global economic recovery is uncertain and capacity stays high,” he warns. In particular, the sea container market looks set to continue its record level of volatility as shipping companies seek to balance supply and demand. ...