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Dos and Don’ts of International Shipping: A Guide

excelsior on February 19, 2025

Shipping: A Guide

International shipping is a robust aspect of the global economy, linking businesses and consumers across borders and continents. While international freight forwarding is a game changer, navigating it is a complex process.

If you are a business expanding globally or an individual seeking personal packages, comprehending the difficulties, as well as the dos and don’ts, when shipping is a great key. This will ensure that packages will arrive efficiently at their destination without any disputes along the shipping process.

Understanding International Shipping

International shipping is the procedure of transporting items across international borders. This often involves logistical challenges like customs clearance, global regulations, product packaging, documentation, and choosing the right shipping mode, be it via air, sea, or land.

When shipping internationally, some businesses rely on logistics companies in the Philippines and other regions to enable a seamless transaction. These firms are experts in handling complex shipping procedures such as the arrangement of break bulk shipments or coordinating with international freight forwarding services.

But in today’s global shipping industry, companies must be aware of the burdens that come with cross-border shipping, as a single mistake could lead to delays, additional costs, or even failure of delivery.

Dos of International Shipping

Following these dos can help secure your shipment reach its destination safely. These tips will streamline the process and help you avoid further issues.

  1. Do Proper Research on Customs Regulations

Every country has its restrictions, and understanding them is integral to assuring that goods will not be deferred or confiscated. As customs regulations differ from country to country, proper research is necessary to guarantee that shipment meets all the legal requirements. It may include an adequate process for paperwork which shall be submitted to authorities in both the origin and destination countries.

  1. Do Choose the Correct Shipping Method

Always select the right shipping method based on timeline and the nature of goods. For instance, air freight is the best method if there is a need to ship an item immediately., yet, air freight’s transporting time is faster but is expensive.

Meanwhile, ocean freight is one of the most common methods, as it carries 80% of the international trade in goods. However, it has longer timescales despite having cheaper costs. But if you are shipping heavy items, break bulk shipping is capable of shipping cargo that does not fit into standard containers.

  1. Do Plan for Packaging and Labeling

Transporting goods might be full of hazards that can damage the item. Therefore, ensure that the items are securely packed to withstand the severities of international transport. This could be accomplished by opting for double-walled boxes, using foams, fillers, and bubble wraps, as well as strong tapes to seal all edges and openings.

More so, proper labelling is crucial to avoid confusion and guarantee that the package is routed correctly. Make sure to put some labels on the package, as well as on the contents of the shipment, which include warnings like ‘fragile‘ or ‘perishable‘.

  1. Do Track Shipments

Utilizing modern technology enables tracking shipments in real time. It is important to pick a trustworthy freight forwarding partner that supplies tracking tools, giving awareness of the progress of the shipment. Monitoring the shipping process can help in planning and anticipating its arrival and respond quickly to any delays or issues.

  1. Do Consider Insurance

International shipping can expose package to risks, such as theft, damage, or loss, but you can protect it by investing in insurance. This will help in mitigating potential financial losses if something goes wrong. Your logistics partner can recommend the best insurance options depending on the shipment’s value and type.

Don’ts of International Shipping

These don’ts highlight common traps to avoid that can direct to costly delays, fines, or damage to your goods. By avoiding the following, you can ensure a smoother and more successful international shipping experience.

  1. Don’t Ignore International Regulations

Overlooking every country’s import and export regulations could result in higher fines and delays. Hence, do not assume that shipping methods are the same everywhere. Research detailed customs guidelines, prohibited items, requirements, and taxes that might apply. Also, confirm that the shipped items meet and comply with all the local customs of the destination country to avert conflicts.

  1. Don’t Disregard Shipping Costs

International freight forwarding is expensive, and costs can vary significantly depending on one package’s weight, dimensions, destination, and mode of transport. Don’t make the mistake of undervaluing these costs when computing the overall price of these goods. It is required to be aware of possible ‘hidden charges’ such as customs duties, detention fees, port fees, fuel tariffs, and other taxes.

  1. Don’t Overlook Documentation

Incorrect and insufficient documentation can cause substantial delays in customs clearance. Make sure that all the required documents, like commercial invoices, certificates of origin, and export declarations, are finished. Missing or unaccomplished paperwork can stop goods from clearing customs, costing you more time and money.

  1. Don’t Use Inadequate Packaging

It is tempting to use minimal packaging to lessen shipping costs, but this can result in impaired goods. Poor packaging not only risks product integrity but can also raise the chances of theft during transit. Always ensure that the packages are safe and meet international shipping standards. To add, guarantee that they arrive in the same good condition they left.

  1. Don’t Ignore ‘Timing’

Shipping times can change depending on the method of transport, the distance, and the destination country. Don’t miss the timing required to move goods as neglecting it will cause delays and cancelled orders. It is fundamental to plan well ahead of time and allow sufficient lead time to account for potential delays due to customs hold-ups, rough weather, or shipping strikes. Doing research is also useful to find out the scheduling, as well as how long an export or import will take.

Final Thoughts

Navigating the international shipping industry can seem daunting, but by following these tips, you can certainly avoid such pitfalls. Whether you are a business operating large-scale shipments or individual shipping goods abroad, teaming up with a reliable logistics company like Excelsior is paramount to guarantee seamless transit.

Understanding the intricacies of freight forwarding to the nuances of break bulk shipping, is necessary for efficiently shipping your goods. By investing time in understanding the best practices in shipping, you can confidently boost your business reach or send items globally without bother or complications.

Dos and Don'ts of International Shipping: A Guide! Cover Image 4456

Logistics Restrictions: List of Banned Products in the Philippines

excelsior on October 8, 2024

While logistics persist to thrive in the global economy, economic growth has also arisen. Logistics plays a powerful role in the global trade industry. It ensures the seamless flow of products and services, allows international shipping and economic integration, boosts the employment rate and operation of small businesses, enables reaching broader markets, and provides essential support in varying industries.

In the Philippines, the freight and logistics market is estimated to reach USD 25.38 billion by 2028 due to the massive growth of the e-commerce sector. As more people purchase products on different platforms online, the freight forwarding industry has become more in demand, as extensive amounts of goods are needed to import or export from suppliers to consumers.

However, countries like the Philippines have laws like Republic Act No. 10863, also known as the Customs Modernization and Tariff Act (CMTA), that restrict and ban the importation of specific items unless permitted by law or regulation.

To ensure the state of national security, order and morality, and environmental and public health protection, below is the list of  some Philippines’ banned and restricted imports:

Drug Substances

The CMTA prohibits the importation of any products containing marijuana, coca leaves, opium and other illicit drugs, narcotics, nicotine or synthetic drugs, tobacco, and other smokeable products. Also, importing items such as e-cigarettes, vape brands, e-liquids, and any drug paraphernalia that is utilized for taking or injecting drugs is banned. All these prohibited and regulated products will only be allowed by the Philippine administration once authorized by the Dangerous Drugs Board for medicinal purposes.

Firearms and Weapons

Unregistered products that could cause harm, such as knives, all sorts of guns, hand weapons, bullets, firearms, explosives, and related accessories used in war, dynamite, gunpowder, explosives, and other paraphernalia that could be mistaken as firearms, are prohibited. These items can only be imported once authorized by law.

Human Remains and Live Animals

Human remains, body parts, and fluids are banned from being imported into the Philippines. Meanwhile, live animals, insects, endangered, exotic, and domesticated species, or any of their parts, are also forbidden as they must adhere to laws and regulations in animal protection.

Gambling Materials and Apparatus

CMTA also refused to import goods such as gambling materials and apparatus. These included roulette wheels, pinball machines, mechanical devices used in gambling, cigarettes, marked cards, and gambling outfits.

Goods That Pose Threat to National Security

CMTA bans the importation of any products or goods, be they printed or written, that advocate treason, insurrection, rebellion, and sedition against the Philippine government. Further, written or printed goods that contain threats in any form, such as inflicting bodily harm and taking life upon any person in the Philippines, are also not allowed.

Adulterated Goods for Human Consumption

Importing misbranded items, such as food products or medicine, meant for human consumption is also prohibited in the Philippines as it could violate relevant laws and regulations. All goods intended for human consumption shall be authorized by regulatory agencies such as the Food and Drug Administration (FDA) and shall secure necessary documents, permits, licenses, and clearances.

Final Thoughts

Logistics plays an integral role in businesses and the global economy. As the logistics industry in the Philippines continues to grow, Philippine laws and regulations regarding the importation and exportation of products become more rigid. Unless approved and authorized by appropriate agencies, these items will remain on the list to ensure the integrity of morality, national security, and public health and safety.

If you are exploring relevant services that offer worldwide logistics, check out Excelsior now. We are a logistics enterprise that provides shipping and logistics services.

Discover more about the freight forwarding and logistics industry by reading these articles:

10 Shipping Tips for Small Businesses

Five Money-Saving Tips for Importers

Logistics Restrictions: List of Banned Products in the Philippines! Infographic Image 44435

Differences Between a Freight Forwarder and a Carrier

excelsior on June 28, 2024


When it comes to global logistics, understanding the distinct roles of a freight forwarder and a carrier is crucial. Both play vital roles in ensuring goods move smoothly from one point to another, but their functions and responsibilities differ significantly. Continue reading and learn about the key differences between a freight forwarder and a carrier and how they interact within the global and local supply chain.

What is a Carrier?

A carrier, often referred to as a common carrier, is the entity that owns the transportation assets and is responsible for the actual movement of goods. Carriers can be shipping lines, airlines, trucking companies, or rail operators.Types of Carriers· Shipping Line: A shipping line operates a fleet of ships that transport goods across seas and oceans. Major shipping lines include Maersk, MSC, and CMA CGM.· Airlines: These carriers transport goods via air, which is crucial for time-sensitive and high-value shipments.· Trucking Companies: They handle overland transport, providing flexibility and direct routes for domestic and cross-border shipping.· Rail Operators: Rail carriers are ideal for bulk goods over long distances within continents.Carriers are responsible for the safe and timely delivery of cargo and for operating the vessels, aircraft, trucks, or trains that physically move the goods.

What is a Freight Forwarder?

A freight forwarder acts as an intermediary between the shipper and various transportation services, such as shipping lines, air freight, and trucking companies. Essentially, a freight forwarder does not transport goods directly. Instead, they arrange the logistics and coordinate with carriers to ensure the efficient movement of cargo.Services Provided by a Freight Forwarder· Logistics Planning: A freight forwarder helps plan the most efficient and cost-effective route for shipping goods.· Documentation: They handle necessary paperwork, including customs documentation, ensuring compliance with international shipping regulations.· Cargo Insurance: Freight forwarders often offer insurance options to protect goods against potential damage or loss during transit.· Consolidation: They can consolidate smaller shipments into one larger shipment, reducing shipping costs.An international freight forwarding company leverages its network and expertise to navigate complex shipping regulations, ensuring timely and secure delivery of goods.

Key Differences Between a Freight Forwarder and a Carrier

When it comes to their roles in the supply chain, a freight forwarder acts as a coordinator, arranging transportation, handling documentation, and ensuring smooth logistics. On the other hand, a carrier owns and operates the transport vehicles and is directly responsible for the physical movement of goods.Here are other differences between the two:

Responsibilities

A freight forwarder offers a comprehensive suite of services, including route optimization, documentation, and shipment consolidation, ensuring efficient logistics management. In contrast, a carrier is dedicated to the actual transportation of goods, focusing on maintaining schedules and ensuring cargo safety throughout the transit process.

Relationship with Shippers

A freight forwarder directly collaborates with shippers to plan and manage logistics, offering customized solutions to meet specific needs. On the other hand, a carrier works with freight forwarders or shippers to deliver transport services according to established schedules and routes.

Can a Carrier Be a Freight Forwarder?

While primarily distinct in their roles, a carrier can offer freight forwarding services. Some large shipping lines and airlines have established logistics divisions to provide end-to-end solutions, acting as both carrier and freight forwarder. This integration allows them to offer comprehensive services, from planning and documentation to the actual transportation of goods.

Conclusion

Understanding the differences between a freight forwarder and a carrier is essential for efficient and effective logistics management. While a freight forwarder arranges and oversees the shipment process, a carrier is responsible for the actual transportation of goods. Both roles are vital, and their collaboration ensures the seamless movement of goods across the globe. Whether working with an international freight forwarding company or directly with a common carrier, businesses can optimize their supply chains by leveraging the strengths of each entity. 

How to Mitigate Currency Fluctuation Risks when Shipping

excelsior on April 11, 2023

For decades, exporting products has been vital to the Philippine economy, allowing entrepreneurs to increase profits through global trading. Despite its downward trend recently, exports still account for more than $5 billion of the nation’s GDP. The continuous expansion of digital trading can provide new opportunities for Filipino business owners to export their products to various countries, potentially increasing export rates moving forward. 

And despite being an essential part of the economy, numerous exporters face unique issues that can hinder their operations in the long run. For starters, not partnering with an international freight forwarding company can significantly risk the packages getting lost or damaged while in transit. But what remains one of the top issues exporters face on a day-to-day basis is foreign exchange, which constantly fluctuates for several reasons. 

Understanding Currency Fluctuations

International forwarding invoices are often complex, with many factors contributing to freight rates around the globe. And one of the significant ones is currency exchange, which mainly refers to how much of each currency is needed when people exchange them. Some factors that lead to currency fluctuations are economic conditions, market sentiment, and political situations. 

Currency exchange rates have always been a massive part of calculating freight costs, and even a tiny change in the rates will significantly affect shipping prices. Besides freight prices, currency fluctuation can negatively impact a company’s potential revenue and profit margins. This can decrease an enterprise’s competitiveness in the market, especially if most of its competitors come from countries with stronger currencies. 

Mitigating Currency Exchange Risks

The risks of currency fluctuations when it comes to shipping prices are not a new thing. Many organizations have already implemented different techniques that allow them to reduce the impact of fluctuating currency rates when shipping their products. 

1.      Use Forward Contracts

One of the most straightforward solutions to decrease the complexities of shipping costs is to use forward contracts. This means that the merchant and buyer will agree to a fixed exchange rate that they can use for future transactions. This will allow both parties to know exactly how much the payment would be without worrying about changes in the currency rate. 

2.      Understand the Currency Adjustment Factor (CAF)

The concept of CAF is mainly used by freight forwarders, enabling them to mitigate the risk of currency fluctuations, especially for long-term contracts. Here, the shipper will have a flat percentage surcharge on the invoices sent to their clients, and this usually is based on the currency where the freight will depart and arrive. Exporters must know this concept to help them plan out their finances in the long run. 

3.      Currency Options

Apart from forward contracts, it will also help if companies consider currency options strategies when exporting their products. Many enterprises have used this risk management technique to protect themselves against currency fluctuations. 

Like forward contracts, this hedging strategy gives businesses the right to export at a fixed price in the future. But the main difference is that the parties are not forced to finish the transaction when the deadline arrives. This is beneficial if the exporter believes they will get a more favorable currency rate, allowing them to mitigate the risks of financial losses. 

Conclusion

With digital platforms opening up new opportunities for merchants to sell their products to international customers, exports are expected to continue to rise in the coming years. And so, firms must know the risks they might encounter when exporting products, such as the ever-changing foreign exchange rate. By understanding this, they can implement the proper currency fluctuation management solution that will protect them from financial losses in the long run. 

Excelsior Philippines, the country’s top freight forwarding and customs brokerage company, has been in the industry for more than two decades, providing our clients with peace of mind that their shipments will arrive at their destination safely. We can also help you negotiate freight charges for the best shipment value. To learn about our services, contact us now by clicking here or calling (+632) 8525-9775. 

How Currency Exchange Affects Freight Forwarding Costs

excelsior on March 15, 2023

Global trading has significantly grown in the past decade as more and more businesses and individuals rely on imports and exports to make money. Experts forecast that international trade will hit more than $32 trillion in 2022 as countless products from different industries are shipped across borders daily. 

And along with the positive development in global commerce is also the rise of the international forwarding industry. Numerous enterprises are now partnering with international freight forwarding companies to effortlessly transports their shipments to their destination. In addition, a freight forwarder can help companies tackle various factors that affect the shipping process, including the constant currency exchange rate fluctuation. 

What is Currency Exchange?

In its simplest form, the currency exchange rate refers to how much each currency is needed to be exchanged with one another. The US Dollars has always been the standard for currency exchange rates and holds the most daily shares with more than 88%. Currency rates are always considered floating as various factors affect them daily, including economic activity, GDP, and the supply and demand for different products. 

The continuous fluctuation of currency rates across the globe can result in shipping surcharges for companies. This makes freight forwarding invoices complicated for organizations to handle. Currency exchange rates affect various factors in how freight costs are calculated, and companies must know how to manage them to avoid massive financial losses in the long run. 

Impact on Freight Forwarding Costs

The primary currency used for freight costs is US dollars, and its value against other currencies can affect the overall shipping prices. Various things contribute to the total freight costs, and currency rates significantly affect whether the amount will increase or decrease. 

Varying Currency Exchange Rate 

The exchange rate in every nation is different, which can significantly impact freight costs. The amount needed to transport goods to one country differs considerably in other nations. Exports to a nation with a weaker currency than the US dollar are a little more expensive. This means that you need to adjust your budget. 

Tariffs

For decades, imports have been subject to taxes even before arriving at the destination port. Authorities do this to generate income and protect local producers, as imported items must be sold at a higher price. A specific percentage of the total value of the shipment usually calculates the tax to be paid. Stronger currency rates between the two nations decrease the overall cost of the freight and offset any increase in the tariff rate. 

Transaction Fees

Apart from tariffs, many exporters also pay different transaction fees based on how the shipment is delivered. The amount may fluctuate based on the currency value of where the importer or exporter is paying. Financial institutions implement foreign currency conversion and transaction fees, which a shift in the exchange rate can significantly impact. 

Conclusion

As global trade continues to expand, it is vital that businesses that rely on shipping understand the various factors that affect forwarding costs. One of which is the exchange rate, which significantly affects the overall shipping expenditures. Currency exchange rates adjust daily, and it can be tedious for importers and exporters to handle them. But partnering with a reputable logistics company can help them efficiently plan the needed amount for every freight. 

Excelsior Philippines, the country’s top freight forwarding and customs brokerage company, has been in the industry for more than two decades, providing our clients with peace of mind that their shipments will arrive at their destination safely. We can also help you negotiate freight charges for the best shipment value. To learn about our services, contact us now by clicking here or calling (+632) 8525-9775. 

How China’s Latest COVID-19 Outbreak Affected the Global Supply Chain

excelsior on February 13, 2023

The COVID-19 pandemic has crippled various industries worldwide. This led to many companies scrambling to keep their business afloat amid uncertain times. Contactless transactions have become the norm, and the adoption of modern solutions has significantly increased as organizations pivot to remote work and digital commerce.

And one sector heavily impacted by the global health crisis is the international freight forwarding industry. Strict lockdowns have led to international freight forwarding companies suffering losses due to a decrease in manufacturing and massive congestion in major ports worldwide. 

It’s been more than two years since the first wave of the pandemic hit the globe, and freight forwarder international firms have slowly recovered since then. But a recent COVID-19 outbreak in China has brought new uncertainties in the global supply chain, with the sudden increase in cases causing worker shortages in ports and important factories across the country. 

The Latest COVID-19 Outbreak in China

After easing their harsh zero-COVID policies amid the wide protests in big cities, China has faced what many experts consider the worst COVID-19 wave recorded. Authorities in the country estimated that almost 250 million individuals contracted the virus during the first 20 days of December 2022, making it the fastest rise of COVID patients in the nation since 2020. 

This unprecedented situation has led to businesses needing to close down again, as most of the workforce is infected or exposed to an infected individual. Reports also said that medical establishments are overwhelmed by the situation, most of which are struggling to cope with the sudden spike in COVID cases right after the government became lenient with their COVID prevention policies. 

Effects on the Global Supply Chain

As home to some of the biggest ports around the world, there is no wonder that the latest COVID surge in China significantly affected the world’s supply chain. Some crucial ports like Shanghai and Shenzhen have recorded a notable increase in shipment cancellations rate, with reports expecting it to go up to 31%. This came as factories found it hard to operate with limited people, especially with many reporting that more than half of workers were infected with the virus. 

The latest COVID surge in China also further decreased the demand, which was already down before the fiasco, for goods and raw materials coming from the country. This led to domestic and international factories experiencing delays in procuring products and consumers seeing a shortage in supply for some necessities. 

The lack of workers and reduced demand has also led to shipping companies decreasing the number of cargo ships sailing. The delays in the acquisition of freights have significantly contributed to the growth of blank sailings, referring to shipping firms skipping one port or altogether canceling their ship’s voyage. This causes delays in the delivery not only of goods but also consumer parcels in many parts of the globe. 

Conclusion

As economies continue to bounce back from the crippling effects of the COVID-19 pandemic three years ago, new disruptions brought fresh challenges to the global supply chain. China’s latest COVID surge led to factories operating at limited capacity and ports experiencing bottlenecks. Countless Chinese manufacturers could not complete orders in time, and freight rates plummeted along with it. 

The fear of another COVID-19 outbreak is already expected, especially with the country celebrating the Lunar New Year in late January 2023. But reports show that port congestion and freight procurement have improved in recent weeks, with pickup charges increasing by almost 10%. This can be a good sign that the supply chain will gradually go back to normal, despite the worries of another COVID surge in China. 

Looking for a Reliable Freight Forwarder in the Philippines? 

The whole shipping fiasco can be daunting for Filipino importers and exporters, but partnering with a reliable freight forwarding company can help you navigate the possible hurdles you’ll encounter. Excelsior Philippines has been in the industry for more than two decades, providing our clients with peace of mind that their shipments will arrive at their destination safely. To learn about our services, contact us now by clicking here or calling (+632) 8525-9775. 

A Guide to the International Freight Forwarding Process

excelsior on December 15, 2022

Import and export of goods via trade is the heart of every economy in the world, which is why  international freight forwarding organizations are some of the most importance firms around. International freight forwarders closely work with sellers and buyers in different countries to make sure that goods get where they need to go.

International freight forwarding companies act like the middlemen of the trade, helping both sides ensure the success of shipping. They strictly follow freight forwarder international standards which helps guarantee that the goods will be delivered on time. So, if you are a merchant or consumer that wonders how freight forwarders work, here is a step-by-step guide to help you out.

Stage One – Export Haulage

Export haulage is the process when an exporter moves their cargo to the freight forwarder’s warehouse. The forwarder use trucks or trains are used to move the cargo and might take a few hours to a couple of weeks depending on the location and other external factors.

Stage Two – Checkpoint

Checkpoint is the process of checking goods for damages or irregularities. When the export haulage stage is over, the freight forwarders who are getting the goods will check the shipment to make sure that the goods aren’t damaged in transit.  

Stage Three – Export Customs Clearance

Every cargo requires clearance from the country of origin before being transported to another nation. Custom brokers do this by submitting details and supporting documents about the cargo. If a freight forwarding company does not offer this service, it is required to find a third-party customs broker service to help with the process.

Stage Four – Import Customs Clearance

The country where the shipment is going has to check the import customs documents once the shipment gets there. The freights forwarder or the customs broker chosen by the shipper can get this done before the cargo arrives as doing so can expedite the next steps of the shipment.

Stage Five – Destination Arrival and Handling

This is the stage where the cargo finally arrives and is taken care of by the freight forwarding company. Once the cargo arrives, international freight forwarders will receive documentation about the shipment from the office at origin. Here, the shipment is also transported to the forwarder’s warehouse before getting delivered or picked up by the buyer.  

Stage Six – Import Haulage

This operation moves the merchandise from the warehouse to the intended receiver’s final location. Freight forwarders usually help deliver the merchandise to the shipping address. However, the consignee can also choose to pick up the shipment directly from the warehouse should they wish to.

How do Freight Forwarders Work?

Many people would think that freight forwarders have planes or ships they use to transport cargo vessels. However, this is not always the case. Instead, these companies simplify the process for both importer and buyer as they act like the main point of contact for these people throughout the shipment process.

The freight forwarder takes care of all the details of the shipment from start to finish. This includes tracking the arrival of the cargo ship and getting in touch with trucking, airline, or shipping companies to make sure the shipment is picked up and delivered on time. The freight forwarding partner handles all of these details and tells clients what they need to know.

Deliver Your Goods Using an Experienced Freight Forwarder

Excelsior is an international freight forwarder with 20 years in the industry. Our company is present in across Luzon, Visayas, and Mindanao and will make sure that your cargo is being transported at the right time safely whether by land, air, or sea. If you want to have your goods delivered by professionals, you can contact us at (+632) 8525-9775 or visit our website at https://excelsior.ph.

The Importance of Sustainability in the Shipping Sector

excelsior on November 14, 2022

According to the World Bank, the international freight forwarding industry is responsible for 3% of the world’s total greenhouse gas emissions (GHG) annually. If no action is taken, the international freight forwarding industry will account for 17% of global GHG emissions by 2050. 

Every international freight forwarding company is responsible for these emissions, and sustainable transport is the biggest challenge for the shipping industry. Shipping is crucial for economic growth, helping nations move essential products to cater to the demand. Every logistics company in the Philippines, freight forwarding enterprise, and shipping company should do their best to make shipping sustainable. 

Here are some reasons why sustainability in the shipping industry is essential. 

Why is Sustainability Important in International Freight Forwarding?

Online e-commerce has grown exponentially since the pandemic, and the global shipping industry is needed now more than ever. Joining the fight against climate change is a way for the worldwide shipping industry to thrive more. Shipping companies choosing to continue their operations via sustainable means reduce environmental threats as they step towards green and sustainable shipping.

Sustainability is also the current trend when it comes to different transport industries. Automobile manufacturers have constantly been developing electric cars for the longest time. The aviation sector is also doing its part to reduce carbon dioxide emissions to the point where flights today generate 50% fewer emissions than flights in the 1990s. 

A sustainable shipping industry does not only reduce global carbon dioxide emissions. It also prevents oceans from having oil spills which can harm various organisms living in different water bodies and limit people’s access to clean water.  

How Can the Global Shipping Industry be More Sustainable?

Compliance with environmental regulations is one of the best ways to have a sustainable shipping industry in a country. Nations and businesses in the maritime world have agreed to comply with the global conservation goals of the following three decades set by the International Maritime Organization and the Sustainable Shipping Initiative. 

Creating a sustainable work environment can also promote sustainability in the sector. Making eco-friendly ports, switching to alternative fuels, and investing in green technologies can go a long way in fighting the rising global greenhouse emissions. Having a greener shipping environment also benefits the safety and trust of workers within the industry, enabling them to build more vital trust and transparency in the workplace. 

In addition, increasing vessel efficiency can also be a game changer for many international forwarding firms. They can do this by using cleaner ballast water, decreasing marine litter, using alternative fuel sources, and enhancing the ship recycling process. And when vessel efficiency is optimized, less carbon footprint is produced. 

Shipping Companies that Go Green

As economies rebuild after the negative impact of the COVID-19 pandemic, the shipping industry will continue to be an essential part of society. But various traditional practices in the sector have led to the rise of GHG emissions over the years, resulting in the need to adopt sustainable methods to protect the environment and workers in the industry. 

If you need a sustainable international freight forwarding company with exceptional service, Excelsior Worldwide Freight Logistics has been one of the leading shipping companies in the Philippines for almost 20 years. We provide freight services for land, sea, and air. Excelsior has everything you need regarding logistics, and our mission is to ensure that your shipment will arrive at its destination safely.

If you want to know more, call us at (+632) 8525-9775, email us at wecare@excelsior.ph, or message us through our contact page. 

Things to Consider Before Engaging in International Shipping-Infographic

excelsior on October 30, 2020

So, you finally started your own business. You managed to find suppliers for your products, gain some brand awareness to attract customers, and you are sure that you are earning a considerable return on investment or ROI. You finally considered to further expand your business by reaching potential markets from other places. This is where you realized that engaging in international shipping is indeed possible.

If ever you come across such thoughts before, here are some of the things to be aware of before taking a big step into the world of international shipping:

Identifying the Countries to Ship Your Products

Finding international locations where you can sell your products can be a crucial and tricky task at the same time. The following tips will help you narrow down which countries should you ship your products to:

  • Look for countries with customer demographics that are similar to your local market.
  • Make sure that your target countries speak a language that you familiar with, and since English iswidelyconsidered as the universal language, going for countries with speakers that are conversant with the English language can be an advantage.
  • Figure whether the countries on your list have an existing demand for what products you can offer.

Familiarize Yourself with the Rules of Regulations

Shipping rules and regulations may vary from country to country, so make sure to do research.  Try to figure out the list of items that are either prohibited or restricted to a specific country where you think you can gain some customers. Knowing some information about the location of your target markets and their existing laws will increase your chances of getting better deals and a seamless shipping process.

What Products Should You Try for Shipping?

The most ideal products to be shipped in cross-country trade are:

  • Smaller and lighter items for lowering downs shipping costs
  • Popular products that can be sold on an international scale
  • Products that can be shipped for longer periods of time.
  • Products that can be easier to package.

Expect Additional Duties and Taxes

International shipping might be a tempting venture for your business, but it will require you to be ready to take new duties and some extra expenses if you wanted to be successful. Learn more about how to deal with customs authorities and taxes-related of some countries that might affect the cost of shipping your products. Another essential thing to consider is introducing new payment processes for making business transactions with international clients more convenient.

Hire a Freight Forwarding Agency

Freight forwarders can offer their services to business owners like you who are trying to enter international trade. These people are skilled in handling logistic networks so that you can have a hassle-free and cheaper shipping process. Partnering with a freight forwarder is basically the best option as they can bear most of the tasks associated with international shipping. They always ensure that your products will go from point A to point B while you focus on other important aspects of your business.

 

Excelsior Worldwide Freight Logistics conducts free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

 

Sources:

https://www.storeautomator.com/prepare-your-business-for-international-shipping/

https://shippingeasy.com/resources/preparing-international-shipping-shipping-platform/

Importance of Bill of Lading-Infographic

excelsior on July 31, 2020

The expansion of international trade for as early as the medieval times led to the development of a system to help merchants keep track of the conditions of goods, as well as to validate its time and location of loading. Over the course of history, this system of validation in the form of receipt has played a major role in the modern world of commerce and is now widely known as a bill of lading or BOL.

 

What is Bill of Lading?

Bill – refers to a written or printed statement indicating the cost of products or services delivered or to be delivered.

Lading – the action or process of putting cargo on a ship or vessel.

Understanding these two terms provide an overview of the actual definition of a bill of lading:

A document issued by a carrier that serves as a receipt for the cargo being shipped. It contains vital information about the goods, such as the type, quantity, and destination. In international trade, a bill of lading can be considered as a legal transportation contract acknowledging the agreement between the carrier and the shipper on movement and delivery of goods.

The Purpose of Bill of Lading

  • The bill of lading is an essential document that is used to certify that a contract has been made tocarry out a transportation service to a specific number of goods. Losing this receipt can mean a lot of trouble, especially for many businesses, as it can hinder the arrival of the products to its receiver.
    • The document also serves as a proof to confirm that the goods match the description listed on the paperwork, indicating its original condition before the transportation process.
    • The bill of lading can be used to identify the person who paid for the freight charges and customs fees, as well as the one responsible or liable for transferring the goods from the sender to the receiver.

    Common Details Listed on a Bill of Lading

    • Piece count (the total number of boxes, skids, or cartons to be delivered).
    • Description of the goods.
    • Shipper’s and consignee’s names together with addresses.
    • The date of the shipment.
    • The exact weight of the shipment.
    • Any special requirements for transportation and delivery.
    • Any instructions given by the shipper to guarantee safe and prompt delivery.
    • Account numbers for order tracking.

    Key Takeaways

    Transporting a large number of goods, especially for business purposes requires a bill of lading with accurate information to ensure a seamless process and keeping the ideal condition of the goods at the same time. For those who wanted to experience an organized issuance of bill of lading, it is recommended to seek the help of a Non-Vessel Operating Common Carrier (NVOCC).

    Excelsior Worldwide Freight Logistics conducts free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

     

    Sources:

Excelsior Worldwide Logistics Corp.