Expert Eye

Ian Mallon, Neon Freight Ltd 01477 668 003 Ian.mallon@neonfreight.co.uk www.neonfreight.co.uk

The “Ever Given” has got a lot to answer for. (and Brexit of course..) For years, we freight forwarders quietly sat in the background and didn’t make the papers. Now due to a wayward vessel in the Suez canal and huge queues into Dover, these days, saying you are a freight forwarder is no longer met with a puzzled look. I was honestly quite shocked to read the term “customs broker” on the front page of The Times last year. Logistics appears to be cool now. Who knew?!

It's clear that there is a lot of confusion with world trade and logistics at the moment. We as freight forwarders try to find clarity in the murky waters ahead of us.

I believe it all starts with the scope of the shipment. (import or export) So many shipments do we see where there isn’t a clear set of requirements and the trade isn’t really discussed properly in advance. If you are able to confirm the following items then you are on the road to a much smoother shipment for sure.

_ If you want to reach out to see how we assist and navigate these “interesting times” please get in touch.

Numbers - Weight and dims, pieces, cartons, pallets etc. What exactly are you shipping?. The measurements must be correct. Guesswork might mean that the shipment won’t fit into the container or through the aircraft cargo doors. Or if the pallet is very small and awkward, then you might get charged for “wasted space” above it. Then the paperwork (commercial invoice and packing list has to match the numbers)

Mode – Air, sea or road? Full container (FCL) or part load (LCL) Sometimes it’s better to start small and increase the size of shipment in time.

Incoterms – So important to agree in advance. Lots of confusion in recent years between DAP (delivered at place) and DDP (delivered duty paid) Especially across the EU. (Many carriers have refused to handle DDP into EU) Do your clients have their own customs broker forwarder in place?

Payment terms – important to discuss and agree your payment terms with your client in advance. Will you require original bill of lading (to hold onto whilst awaiting payment) or “express release”?

Destination – Please do check with your clients for accurate delivery address. Is it accessible? Do they require a forklift truck? Do they close at 2 pm on a Friday ? (Checking out all these parts goes a huge way to make the job easier to handle)

Leadtimes – Double check again where the goods are going to and how long it will take to get there. (Discuss with your client to manage expectations) Making an effort to avoid holidays like Christmas to avoid costly storage charges. Particularly with large countries like the USA!

Customs – Are there any local restrictions on the goods? For instance, “FDA” if sending medical goods to the States or does your client in China have appropriate import license. Don’t be afraid to ask direct questions of your potential clients. It will show that you are taking time to check out any potential pit falls. Do you have the HS commodity codes / EORI numbers / are the goods sensitive “controlled” (military for example) or do they fall under agricultural headings? Is there a free trade agreement with the country you are dealing with?

Hazardous- Anything with hazardous parts (eg. lithium batteries) must be declared and you may need to employ the services of a dangerous goods safety advisor. (DGSA) Other paperwork is then required like MSDS (material safety data sheets) and DGN (Dangerous goods note)

Packing – Shipping anything with wood (pallets / cases etc) need to be HEAT TREATED showing clearly the stamp. Australia has some strict rules about packing requirements!