FCL EXPORTATION, Unfolding The Trade’s Hidden Facts

FCL EXPORTATION, SHIPPING KNOWLEDGE ON HOW GOODS ARE EXPORTED

FCL exportation

The use of containers in the maritime has grown massively, and as such, FCL exportation (full container load) has remained vital when it comes to the sphere of dry trade. This is because a huge volume of seaborne trade is shipped with the aid of this rigid metallic box (container). However, since we already have an overview of freight forwarding, it’s important we dive quickly into our core area of focus.

Bearing in mind that a unit load is a TEU, trade shipped via the sea that is shipped with the aid of containers come in a different dimension, predominantly 20 feet and 40 feet respectively. As such, trade under this category includes less than a container load, which is shipped as a single shipment. It’s important, we understand that our discussion will be a practical-based approach, and this is owing to the fact that it’s structured to enable freight forwarders to become professional especially when one finds himself in a position of advising a client. So let’s focus on the logistics behind FCL exportation.

  • Identify the commodity, goods or cargo to be exported.
  • Identify and draft a letter of application to the appropriate authority responsible for the exportation of such goods.
  • Proceed with the approved letter coupled with other shipment documents of the cargo to a shipping company or shipping line for export booking.
  • Commercial documentation is required.
  • Make all documentation payments (bill of lading, packing list, and so on, depending on the trade policy of your country).
  • Identify the equipment (container type and size) needed for such export.
  • Shipping and terminal charges are required.
  • Documents required for customs inspection and documentation process.

Now, the stages of its logistics process.

STAGE ONE.

Identifying the goods to be exported, after you have established contact with your client (consignee(s)). However, for example, exporting agricultural produce, timber or wood board, charcoal, electronics gadgets and equipment, machinery, vehicle, and so on.

STAGE TWO.

Register the cargo with the right government agency or agencies responsible for its approval and exportability. For example, the National Forest Reserve or Plant Quarantine is responsible for the exportation of charcoal, timber, and wood board. The National Food and Agricultural Agency is responsible for the approval of agricultural produce. The Ministry of Mines and Steel Development for solid minerals export authorization. But you have to figure out the agencies that are responsible for the approval and authorization of goods exportation in your country.

Sample letter to written with your agency or company’s default letter”.

                                                ABC EXPORT LOGISTICS LIMITED

                                                 Ports and Trade Center

                                                 Lagos.

                                                 Tel: ******2727

23 January 2019

Your Ref: *******

Our Ref: ********

The Director-General

National Forest Reserve

Federal Secretariat

Abuja.

Dear Sir,

REQUEST TO EXPORT GOODS

In our letter dated 22 December 2018, we introduced our freight company to you and as well, stated our goals and objectives in the area of freight logistics that was honored and approved.

Today, we are pleased to inform you that our organization has client goods to export, with this development you have reasons to take us seriously as a freight forwarder.

Attached here are the goods documents, and with this, we, therefore, request your agency approval and will be delighted to bring along, all relevant documents for screening. 

Yours Faithfully

For: ABC Export Logistics Ltd

Mike.

General Manager.

STAGE THREE.

Once your application has been authorized, you or the logistics agency is expected to proceed with the approved documents from the agency to a shipping company or shipping line for export booking with a shipping line that goes through that route to its final destination. Note that prior to the approval of your application, the goods will undergo inspection by personnel of these agencies. Then an officer from the shipping line will have to inspect and allocate a container that is appropriate for the cargo export.

Work on all commercial documentation and make all necessary payments, which include the export documents, equipment (required container), freight and handling charges. After booking with a shipping company or liner and the cargo has been loaded into a container which will then proceed to the terminal or port.

STAGE FOUR.

Prior to the goods’ arrival at the port or terminal, the freight forwarder ought to have submitted the documents (all approved and shipping documents) relating to that shipment to the customs export section. Then while the goods are on the verge of entering the port terminal, the customs (OC & DC) will be informed, then a customs officer from the export section will be assigned to inspect and verify if the content in the container actually tallied with the approved government and shipping documents. Once that is verified and confirmed, the cargo will be endorsed to be shipped and allowed into the port terminal.

Lastly, the cargo will be transferred to the stacking point within the port premises where it will be stored while it awaits the vessel’s arrival. Once the vessel berth, it goes through the right process and is then loaded onboard. The shipping line uploads the state of the cargo for the purpose of tracking until it gets to its final destination.

Next, we will be looking at less than container load (LCL) exportation.

  • I hope you found this article (FCL exportation), helpful?