FREIGHT FORWARDING AND HOW GOODS ARE SHIPPED IN FORM OF AIRFREIGHT
To deepen our minds, and as well, have a proper view of freight, a look at freight forwarding will help shape things in the right proportion. Based on this, it’s significant to 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 seaborne trade.
Going forward, since we’re familiar with shipment documents which was discussed in our previous posts, the knowledge of which 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, identify 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 company, and cargo airline that ships 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 freight 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 often come in different dimensions and weight based on their need to be exported with the aid of a cargo plane. These shipments 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 that 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 significant to figure out before taking up a trade export.
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.
ABC EXPORT LOGISTICS LTD
7/8 Tincan – Apapa Center
16 January 2019
Your Ref: *******
Our Ref: ****** *
The Director General
National Food and Agricultural Agency
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.
For: ABC Export Logistics Ltd
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 notably with the appropriate 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 shed before its exportation even as the exporter of the goods merges the approved letter with other documents, which will be submitted to the customs for inspection before the trade entry to the port. Once that is done, the trade goes on-board.
- I hope you found my article on freight forwarding, helpful?