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There are many different types of ship used for international sea freight; the differences reflecting the various requirements of importers and exporters, with particular vessels used to transport different types of cargo. Below is a summary of the different types of vessels used:

• Roll-on roll-off, or ‘ro-ro’ vessels are used to carry both haulage and passenger vehicles
• Container vessels are used to transport standard 20′ or 40′ containers
• Tankers are used to carry bulk liquids, such as oil and gas
• General cargo ships will carry all types of loose packed cargo
• Bulk carriers are used for the transportation of large volume, single commodity loads, such as coal, grain and ores

Trade vessels essentially operate in two ways:

• As liner vessels operating on fixed routes, and usually with a standard tariff. This sector is dominated by roll-on roll-off vessels, container and general cargo ships
• Or as charter vessels operating according to the demands of the organsiation chartering them.

The way in which goods are transported onto ships

There are three main ways in which goods are transported on ships:

Loaded in containers

Container shipping dominates international shipments. The benefits of container shipping is the ease of intermodal transit, (ie containers can be off-loaded and transferred directly to a road or rail vehicle); the ability to offer a door to door service; the speed and efficiency of loading / unloading and the obvious financial impact of such and finally, the security of the goods during transit.

There are many different types of container, such as refrigerated and open topped containers, however the most commonly used containers are the 20ft & 40ft containers. Their respective dimensions and capacity are as follows:

20ft: 589cm x 235cm x 239cm (h) – capacity 33.2 cubic metres

40ft: 1,203cm x 235cm x 239cm (h) – capacity 67.7 cubic metres

Break bulk

Break bulk is a term used to refer to any non bulk goods which aren’t containerised, such as goods on pallets, crates, or in drums or sacks. This form of transportation tends to be used for specialist trades, such as fresh fruit and vegetables, or for transport to smaller ports which may not have the necessary infrastructure to handle container cargo.

In bulk

Used for the transportation of large quantities of certain commodities, such as coal, ore, oil etc.

Key international shipping routes

The main international shipping routes reflect the flow of world trade, with sailings being most frequent on those routes where the trade volumes are the largest and therefore demand the greatest.

For sailings into the UK, by far the busiest routes are those from the Far East, especially China. The North Atlantic route, which links Western Europe with the USA and Canada, is also a busy route. Sailings from the Middle East for the transport of oil, as well as routes to India, Australia, East and West Africa and Central and South America are also particularly busy.

Although there are services from the UK to all the main trading economies, if your goods are destined for a country with little trade with the UK, they may need to be transshipped to another local sailing during the final leg of the journey.

There will normally be a number of different options by which your goods can reach their final destination. These can be explored in detail by discussing them with freight forwarders who will have knowledge of the most cost effective and time efficient routes.

The costs of international shipping

There are a variety of factors which will impact the cost of moving goods by sea. Essentially there are two elements: the actual cost of the sea freight charged by the vessel operator, and the costs related to the handling and clearance of the goods at the ports of origin and destination.

Various factors will influence how these charges are calculated:

• The actual ocean freight is usually charged according to the shipping lines standard tariff, although larger shippers and certain freight forwarders may be able to negotiate preferential discounts
• Rates for charter vessels will depend on the supply and demand conditions prevalent at the time of charter

Other factors that will impact the final price include:

• The different rates for specific categories of cargo
• Congestion charges at the busier ports
• Currency adjustment factor (CAF), which takes into account the exchange rate changes during transit
• Bunker adjustment factor (BAF), which takes into account fuel price fluctuation
• Surcharges levied by the ports or shipping lines to cover the costs associated with different regulatory regimes

Another factor relating to containerised goods is whether or not you are shipping a full container load (FCL). Most shipping lines have tariffs based on container rates, making it far more economical to ship a full container. If your consignment is less than container load (LCL), it may be worth consolidating your cargo with that of other importers / exporters, in which case you will only pay for the weight and volume related to your own goods.

Establishing the most cost effective way to transport your goods can be a complicated task. You can either research and cost the various different options yourself, or employ the services of a freight forwarder to handle these issues for you..

Documentation for moving goods by sea

Transporting your goods by ocean shipping, as with most aspects of international trade requires the completion of a wide variety of documents. Below is a summary of the key documents:

Firstly you will need an Export Cargo Shipping Instruction which is a document that you provide to the shipping company which details your goods and your instructions for the shipment

. If you employ the services of a freight forwarder they will complete this for you. You will also require one of the following:

• For hazardous cargo, a Dangerous Goods Note (DGN), which details the nature of the goods and the hazards they present
• For non hazardous cargo, a Standard Shipping Note (SSN), which provides the port of loading the information they require to handle your goods correctly.

In addition to the above, you will also require one of the following:

• A Bill of Lading. This is issued by the carrier and shows that the goods have been received. It also provides proof of a contract of carriage and acts as a document of title to the goods
• A Sea Waybill. This is similar to the bill of lading, the main difference being that it doesn’t confer title, therefore making it quicker and easier to use. A Sea Waybill is used where there exists a well established relationship between a buyer and seller or when ownership doesn’t actually change hands, for example when the goods are being shipped between divisions of the same company

For a detailed breakdown of industry terminology you may want to visit the Baltic Exchange website.

Marine transit insurance

Marine transit insurance doesn’t just cover the ocean shipping; it also covers the transport of the goods by road, rail or air.

To ensure that your cover is valid, you need to prove that you have an ‘insurable interest’ in the goods, which means proving that the goods belong to you. A shipping lines liability for the goods they transport is set by various international conventions and doesn’t always amount to the full value of the goods, which is why it is important to ensure that you have your own cover.

Contract of sale & insurance

There are several risks involved in international trade such as loss, damage and delay (such as detention at customs). How the risks are shared between the buyer and seller should be detailed in the sales using Incoterms.

Incoterms are a standard set of terms detailing precisely when responsibility for costs and risks moves from the seller to the buyer, and can impact your insurance costs as the more costs you are responsible for, the greater the insurance cover you will need.

In an ex-works (EXW) transaction, a seller is considered to have delivered the goods once they’ve been collected from the factory or warehouse. Therefore, from that point onward all risk passes to the buyer, as such the buyer needs to ensure that the goods are insured from that point onwards.

In a delivered-duty-paid (DDP) sale, the risk passes to the buyer only when the goods have arrived at their destination and have been cleared. In such a scenario a seller needs to insure the goods up to that point after which the risk is transferred to the buyer. Under a DDP sale the buyer or seller is under no obligation to contract for insurance. There are only two terms in Incoterms (CIF and CIP) which require insurance to be contracted; in both cases it is the seller’s obligation to insure.

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The answer: by overseas freight.

There are many different options for you to choose from when deciding to ship your cargo to another country. We discuss these options below.

Most services will offer you a pick up and drop off scheme where the company will collect your possessions, pack them accordingly (so that fragile items do not break etc), transport them to the cargo ship which will then transport them to their destination.

At the destination the same company (if they have a depot / office) or an affiliate company will collect the possessions and transport them to their new home.

When transporting cargo you need to take into account the size and the weight of everything to be transported as there are different types of containers that can be used to transport the items.

Barrels/drums are used for small items that are less likely to break and easy to pack into smaller spaces. These are usually the cheapest way when transporting items. A lot of people tend to use this way when they want to ship items to their families overseas without having to actually take the items there themselves.

Small crates are the next way of shipping items overseas. These are usually used again for smaller items but are a bit more fragile and will either need the extra space or extra protection when being transported. These can be used for items such as small beside lamps, DVD players or small TVs, vacuum cleaners, computers, coffee tables, etc, etc.

Larger crates are used for large items that need a lot of space or needs to be in a fixed position for transport because of it being fragile. Items that could be stored in a large crate could be from bigger televisions, small desks or tables, chairs, stools, or floor lamps to lawnmowers, ladders, gym equipment and large kitchen appliances.

Containers are the biggest thing you can choose when shipping your possessions abroad. Containers are more expensive but they are worth it when you need to ship a lot of items. Containers do come in different lengths but the height is more or less the same. Containers can be used to house things from cars to king size beds and can fit most things that you own in them.

Companies usually charge for the transportation of your possessions by calculating the weight of what is being transported. The cost usually covers everything from labour, transportation to and from the ship and includes the shipping itself, to the hire of the crate or container itself and fuel costs.

We feel that shipping overseas is the best and cheapest way of moving your possessions from where you live to your new home.

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A freight forwarder is a specialist working for a logistics company, offering professional assistance with important rules and regulations. The same person will take care that your package is sent to the destination of choice, in accordance with all regulations. If you choose sea freight forwarding services, then you will be informed on the documents needed for such type of shipment and presented with additional information on the subject. Handling sea freight is not such an easy job and it might require someone with a little bit more experience. Take care whom you choose.

Apart from preparing your package for its destination, the freight forwarder might also impart valuable info on existing rates, other charges and fees. Depending on the logistics package you choose, you will be informed upon recommended packaging solutions. Sea freight forwarding services include full container loads for transportation but there are also part container loads for those with smaller packages. It might also interest you to know that a professional company can deliver any type of cargo to the destination you desire. We are talking about cargo that is kept cold by refrigeration, dangerous or out-of-gauge.

Why is so important to choose the right freight forwarder? The answer is obvious, as you can figure out that you need to best. If you want your package to arrive safely at the destination and in one piece, then you should consider sea freight forwarding services. Choosing a professional company to take care of your freight forwarding needs, it means that your package will be protected throughout its entire journey. In fact, you can reserve additional space on the vessel if you desire (for your package).

Probably one of the greatest advantages derived from using a freight forwarder comes from the safety offered. Once your package is ready to be shipped out, there will be a complete verification of the transportation vessel and the necessary documentation that comes with the logistics package. Sea freight forwarding services are 100% and completely professional. You must understand that and let these professionals take care of your requirements. They can deal with everything needed in such a situation, including preparing the bill of lading and other similar documents.

It’s only natural that you want your goods to arrive at the destination safely, while in compliance with the rules of that specific country. Sea freight forwarding services are based on offering a professional logistics package, one that is in accordance with export and import rules/regulations of the country. Before suggesting a type of transportation, these professionals will analyze your package and the goods. Taking into consideration your requirements, they might suggest sea freight forwarding or other types of transportation (by air, for example). No matter which type they suggest, you can be certain that it is the most effective and secure solution!

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Cost
Given the lower fuel consumption associated with sea freight in comparison to it’s air and land based counterparts: the overall cost is generally lower. Allied with the higher capacity of short sea shipping vessels, the result is a lower cost to the customer when opting for sea freight. As short sea shipping is a ‘door to door’ service, all quoted costs are inclusive of transfers, making it not only more economical but also much simpler to action.

Environmental Repercussions
In addition to the cost reducing benefits of sea shipping’s low fuel consumption, this lower level of fossil fuel combustion has a noticeable environmental benefit. Not only do sea-borne shipping vessels use remarkably less fuel than aircraft, but also a good deal less than trucks and lorries. Many providers of short sea shipping aim to use the rail network for land based transit, once again lowering emissions. The resulting reduction in carbon footprint helps clients to adhere to sustainability commitments and push towards carbon neutral operation.

Speed
Despite the seemingly meandering pace of short sea shipping vessels in comparison to aircraft and trucks, due to the streamlined port procedures, low traffic and absence of road-works etc, it can regularly turn out to be the fastest means of shipping goods from A to B. Although air freight is obviously considerably faster in terms of the bulk of the journey, the time that containers and pallets spend being processed and then loaded on to trucks soon mounts up and renders this considerably more costly method no quicker overall than the more affordable and eco-friendly sea freight option.

Providing a speedy, low-cost, environmentally aware service: sea freight is not only historically important but as relevant today as it ever was. Its versatility and tremendous application for transit between the UK and mainland Europe, makes it something that all companies associated with import and export should bear in mind ahead of the alternatives.

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Here are some guidelines for grading your air freight company.

Reliability In Shipping, working with a reliable company is a must. You need to know that if your air freight services provider says your shipment will reach its destination on Friday, it really will reach its destination on Friday. You also want to make certain theyre always careful with your shipments so that they arrive in good condition. If your shipping company isnt reliable, youre better off taking your business to another provider.

Knowledge and helpfulness of customer serviceCustomer service is important in many cases. The best shipping companies employ knowledgeable, friendly customer service agents who will give you answers to all your questions. Good customer service agents can also assist you with completing your documentation and choosing the right air freight service to match your needs.

Services availableShipping by air isnt a one-size-fits-all kind of thing. There are many different types of air freight services, including express air, small package air, oversized air shipping, international air, and more. Make sure your shipping company provides you with different options so you can find the service that best matches your budget and your shipping deadline.

Air freight rates You may have been paying the same air freight rates for years without thinking twice about it. But you might not be getting the best value for your dollar. Spend time comparing the air freight rates youre currently paying with the rates offered by other companies. You can easily get free shipping quotes online with most shipping companies, helping you find the best rate so you can stretch your budget farther. But remember, reliable service is key.

Additional featuresThe best shipping companies offer value-adding features that help you get more for your dollar. Examples of these features include:

• Online shipment trackingMany shipping companies now allow you to track your shipment in real-time on their website. At the time you purchase your shipping service, youll be given a tracking number that you can enter online to see exactly where your shipment is at any time day or night.
• Customs clearance and brokerage servicesIf you use air freight services to ship internationally, your shipment will need to clear customs before it can enter the destination country. Choose a shipping company that works with trusted customs brokers who can expedite the process.
• Assistance with completing documentationWhenever you ship something internationally, there is always documentation that needs to be completed. Good shipping companies will help you complete the documentation properly.

Grade your air freight services today to make sure youre getting the best service available.

Read more: http://www.articlesbase.com/business-articles/are-you-satisfied-with-your-air-freight-services-2382934.html#ixzz0yFGQPuUb
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A good way to start is to make a list of possible candidates. This list must be populated with air forwarders that meet all the requirements of your particular line of business. Your air freight forwarder must have a reputation for being efficient and cost effective. They must also be knowledgeable about the products your company deals with.

Ensure that the air freight forwarder is knowledgeable as to how to handle and package your products and ensure its safety from the time the goods leave your hands to the time they reach your consumers. Your air freight forwarder must also be aware of the markets your company deals with and the laws and practices of import and export in the countries that your products will be shipped to.

Try to find a forwarder that offers customers competitive prices and discounts. Also, check to see if the air freight forwarder has reliable customer service representatives and efficient shipment tracking services. Although it is not necessary, any membership that the air freight forwarder has to known and trusted freight organisations will increase credibility and should put it higher on your list.

A good air freight forwarding company can be a valuable asset to any importing and exporting international business. These companies can provide reliable and up-to-date advice regarding shipping costs, packaging techniques and matters related to shipment documentation. They are also responsible for providing their customers with detailed price quotations regarding shipping, airport charges, documentation, clearance expenses and handling fees. Some airfreight companies even provide their customers with in-house packaging services. This is a definite plus for companies dealing with fragile commodities like electronics and glassware.

The airfreight company of your choice must be able to meet all of these requirements. A good airfreight company will help importers and exporters save money on shipping costs and more importantly, will ensure that they deliver their customers goods to their destinations on time and in a good condition.

Read more: http://www.articlesbase.com/small-business-articles/a-guide-to-choosing-air-freight-forwarders-979720.html#ixzz0yF9M0a7x
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