FREIGHT FORWARDING AND HOW GOODS ARE SHIPPED AS AIRFREIGHT
To deepen our minds, and as well, have a proper view of freight, it’s evident a look at freight forwarding will help shape things in the right proportion. Based on this, it’s important we have an overview of our expectations. That means our core areas of discussion will feature air freights and sea freights (full container load (FCL), and less container load (LCL)) coupled with break-bulk cargoes. However, more emphasis will be laid on sea freight.
Since we already have the knowledge of shipment documents that were analyzed in our previous posts, it will help simplify things as we dive into freight forwarding.
There are important factors that one must identify before embarking on freight forwarding. These include,
- Firstly, identifying what you desire to export.
- Government policies, government agencies to be contacted for such exportation, and foreign trade policies in force.
- Application letters to the agencies responsible for such exportation of goods.
- Contact with shipping line or shipping company, and cargo airline that goes through that route.
- Obtaining the license(s) required.
Sample letter(s) to agencies responsible for our analysis will be included, and to that effect, we are starting with air freights exportation. This will be a purely practical approach experience that will come in stages.
Stage one (1) is identifying cargo to be exported as air freight.
Cargoes to be exported through this medium comes in different dimensions and weight based on their need to be exported with the aid of a cargo plane. These freight range from perishable goods, machinery, and other goods.
When you have identified the goods to be exported as air freight, bearing in mind, the license required of you to have such cargo to be exported coupled with established contact of your client (consignee), you can then proceed with your application.
Here, your application letter is to be addressed to the appropriate government authority or agency authorized to oversee the exportability of such goods, which are dependent on foreign trade policy and laws.
Since country trade policies differ, it’s important you find out about yours.
For example, the exportation of office equipment, machinery, and wood boards. Considering the exportation of wood boards, it will require the exporter, write to plant quarantine or National Forest Reserve, for an inspection and the approval of such goods to be exported.
‘Sample letter’
ABC EXPORT LOGISTICS LTD
7/8 Tincan – Apapa Center
Lagos
16 January 2019
Your Ref: *******
Our Ref: ****** *
The Director General
National Food and Agricultural Agency
Federal Secretariat
Ikeja, Lagos
Dear Sir,
REQUEST FOR EXPORT APPROVAL
In our letter dated 22nd of December 2018, we introduced our logistic firm to you and as well, stated our organizational goals in the area of trade and freight logistics that was approved.
Today, we are pleased to notify you that our organization through a client has goods to export, and with this development, you have reasons to take us seriously as a freight forwarder.
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
Export Manager.
After the approval has been obtained from the appropriate authority or agency, then the exporter would have to contact a shipping company that will, in turn, contact a cargo airline (DHL, UPS, FedEx, and so on), with the approved documents from the agencies responsible coupled with documents of those goods, which will be presented to a cargo airline that goes through that route to the port and country of destination.
The exporter of the goods, while booking with a cargo airline is required to submit the approved documents for such goods to the airline. Then the airline will assign an officer to inspect and determine its nature and how the goods should be packaged, also the right equipment (either cargo bin or pallet) that should be deployed. Equally, the airline documentation and freight charges should be met as well.
Lastly, the cargo should proceed to the port or terminal warehouse prior to its exportation. While the exporter of the goods will therefore merge the approved letter with other documents, which will be submitted to the customs for inspection prior to cargo entry to the port. And once they are done the freight goes onboard.
- I hope you found my article on freight forwarding, helpful?
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