International freight shipping in Geelong is a complex procedure that requires the services of an international freight forwarder.
A freight forwarder is essentially a company or a person whose duties are to organize shipments of corporations or individuals, and to get large orders from manufacturers to the market or to the final point of distribution.
Freight Shipping Company in Geelong contract carriers to facilitate the shipment of goods. The forwarder himself is not a carrier per se, but is skilled in supply chain management. Basically, these forwarders can be thought of as a travel agency for the cargo industry or as a third party logistics provider.
Australian Freight Shipping Service Geelong
Freight Shipping can be booked for a whole host of carrier types, which include ships, trucks, planes and railroads. Some shipments can use multiple carrier types on route before it reaches its designated destination.
Freight shipping in Geelong calls for very specific documentation as it has to go through multiple custom checks before being allowed to pass through. The forwarder would organize the carriage of your international shipment, along with helping the handling and processing of all the necessary paperwork. International forwarders also make sure that your shipment is arriving at the correct place at the specified time.
An international freight Company in Geelong should traditionally guide you through the complicated process of international shipping, as they are the experts on the international freight shipping process. This way you can understand and aid your shipment and your freight forwarding company can benefit from this information.
A day in the life of a freight forwarder would consist of the following tasks:
The primary task of a Freight Shipping Company at work would be conversations and negotiations with clients and warehouses that they deal with worldwide. This is because they need to gather information for the purpose of passing it on to the concerned parties that they are doing business with or need to report to as authorities. These would include an SSL – Steam Ship Line, the United States Customs or they might even be the customer themselves.
International Discount Freight Shipping in Australia
Ocean freight is the process of sending cargo commercially. There are several different types of ocean freights and mainly three goods labels - freight shipment, express parcels and household goods. The shipment would be a freight shipment when a cargo is too large to be sent as a parcel. There are several different types of shipments which can be sent through ocean. Businesses that have to deal with international shipping generally have to try and get the best rates in order to determine the company with which it would be dealing in the long term.
International cargo which is sent through the ocean can be quite expensive so it would be necessary for businesses to try and find shipping companies which would offer them the best deal. For businesses that have to deal with international clients on a regular basis, cost is very important. A reasonably priced shipping service can help businesses save a large amount of money. Finding a shipping company which satisfies all of their needs along with a good price can do wonders for any business. Several businesses also employ an agent to help them keep track of the shipping prices and companies which would offer them the best rates.
Agents also help businesses to track the shipments and find out the type of extra charges which would apply to the cargo. Ocean freight is more convenient, faster and even cheaper when compared to air transportation for several businesses. Air transport can sometimes be too costly if you are planning to send out a massive cargo. However, air transport is faster than shipping. All of these factors would have to be kept in mind before deciding which services would be better suited for business needs.
The International Cargo Regulations
There are several regulations which apply to international cargo transportation and there are several regulation companies which control these. The Federal Maritime Commission regulates ocean freight and shipping companies need to be licensed by FMC. There are several shipping companies which operate throughout the world and help businesses manage their cargo needs in a stress free way. Checking the website of these companies would give you a general idea about the type of services offered through them.
Through these websites you would also be able to ask for a quote online which is a more convenient way to get quotes rather than physically visiting their offices. Some shipping companies also provide an instant quote which means you would just have to provide your shipping needs and details and the company would provide you a quote instantly. Shipping rate is an important factor which would determine the company that you would go for in the long term. There is quite a lot of information available on the internet which might sometimes be overwhelming for those who are new to shipping services. Finding the right shipping service provider is vital to businesses so it is advisable to do some research and compare quotes before sending out ocean freight.
Australian Freight Shipping Service Geelong Australia
"Cost and Freight". What does that mean? These were the very questions I asked when I first heard of it. Well today, I am going to give my explanation as best as I can about this shipping term.
Ok, I have previously gone through in my blog about Ex Works and FOB, if you have read about them, it will definitely help. CFR simply means you add your Ocean Freight cost, which is the cost you pay for booking a container to the other costs you are incurred when making a purchase. As I mentioned before, the container is a steel box that is used to contain all the goods you desire to ship. It comes in a 20 footer size, 40 footer size and 40 footer high cube size. I will dwell into that some other time.
So this is how CFR works. A buyer from Africa wants to buy 10 container loads of ginger bread man dolls from you and he asked you for a quote CFR (Tema Port). So what do you do? Well, firstly you calculate the quantity you can load, into the container, and then calculate the product's total price per container. This friend is ex works.
So now let's proceed to add the forwarding charges, which include the forwarding fee and also the haulage charges. Now with that done, you get yourself an FOB price.
Then we proceed by adding the ocean freight on top of the FOB price. This gives you the CFR price.
Recap: CFR = Product price + Forwarding and Haulage Charges + Ocean Freight Fee
So what is the benefit of quoting your customer CFR? The thing is, it will help your customer get the most accurate costing available to him at that period of time. If he is a serious buyer who needs to make a purchase confirmation within the next few days or week, then this is the most accurate cost he can rely on. Of course he will have to be aware of the import duties in his country to get a final nett price which he will be paying for your ginger bread man dolls.
Again, always remember to get your currency exchange rates correct and note the trend, is the US dollar going up or down these past few days, what's the movement going to be tomorrow and onwards, especially the time the products are meant to be shipped.
Remember to place a short validity to your CFR quote because it will protect you from the crazy fluctuations of transportation and ocean freight prices. Always double check your shipping costs before you make your delivery. Get a verbal confirmation AFTER you get a black and white or documented quote from your transporter, forwarder, haulier and forwarding agent. This way, you free yourself from the risk of quoting the wrong prices. Your ginger bread man dolls would really blow your business away!
So there you go, the meaning of CFR made easy for you. If you are new to shipping, make sure you consult your shipping agents to learn these terms better. If you do your homework, it will just make your job and theirs easier. Ultimately, making your customer's job of buying from you an easy as ABC 123!