freight logistics Archives - Excelsior Worldwide Logistics Corp.

Break Bulk vs. Container Shipping: What is the Best Option for 2025?

excelsior on December 24, 2024

When it comes to international freight forwarding, it is adequate to understand the various methods of shipping goods, especially for businesses that are aiming to optimize their supply chain. Two of the most known methods in shipping are break bulk and container shipping, which play a robust role in guaranteeing safety and efficiency during cargo transport.

While both are integral to global trade, they vary significantly in some ways, such as what items are transported, the kind of products they regulate, and the logistics concerned. To better understand which is the best shipping option for 2025, here are the differences between the two.

What is Container Shipping?

Shipping containers are usually transported by ships, rail, road, or air. In this method, the items are loaded into secured containers that will be delivered from the point of origin to its destination port. Through container shipping, the item will either be transferred to another form of transport or will be directly delivered to the location.

Some advantages of operating container shipping are its flexibility to transport goods, be it on flatbeds or platform containers, efficiency in maximizing space to deter container imbalance, enhanced security against damage or theft, and streamlining the loading and unloading process. In this method, the items can be shipped in vast quantities, which is more acceptable when international shipping.

What is Break Bulk Shipping?

Break bulk shipping is the transport of cargo items without using standard containers. These goods are usually oversized, heavy, or irregularly shaped, making them unfit for container shipping. Instead, they are loaded straight onto the ship’s deck or into the break bulk cargo hold, occasionally requiring cranes, specialized equipment, or custom-built containers to facilitate the transportation.

More so, break bulk shipping has a more complex logistics setup, and it is more labor-intensive, requiring detailed planning to ensure that the cargo is loaded, secured, and transported without damage. It is commonly managed by professional freight forwarders, especially when goods need to be shipped to locations with restricted access or lack sufficient port infrastructure.

Differences Between Container and Break Bulk Shipping

Both shipping options have their different characteristics, making them beneficial when used in transporting goods. Here are the differences that you might want to consider as a shipping option for 2025:

Packaging and Handling

One of the most substantial differences between container and break bulk shipping is the way goods are packaged and handled. Container shipping relies on standardized containers, which can be quickly loaded and unloaded.

Meanwhile, break bulk shipping concerns handling individual items that may demand specific equipment or labor to load, unload, and secure. While cargo shipping is simplified, break bulk shipping is more time-consuming and expensive due to its intricacy.

Cargo’s Nature

Moreover, both shipping methods also differ in the type of goods or materials carried. Container shipping is best suited for items that are uniform in shape and size, such as electronics, clothing, and packaged goods. It’s ideal for businesses looking to ship products that fit well into standardized containers.

In contrast, break bulk cargo shipping is used for oversized, rare, or weighty cargo that cannot be accommodated in a container. Items such as construction materials, machinery, or large vehicles are generally transported using break bulk forms.

Cost Considerations

Container shipping is more cost-effective than break bulk shipping due to the standardized qualities of the process. Shipping containers are created to maximize space and lower costs. However, while considered as generally reducing expenses, its cost-efficiency depends on the volume and nature of goods.

Break bulk shipping, on the other hand, is pricier due to its more complicated logistics process, the need for manual labor, and custom solutions for securing and transporting goods.

Speed and Efficiency

When it comes to logistics trades, the operation of container shipping is faster due to its automated nature, preventing shipment delays. It is optimized for speed, with designated routes and ports that promote quick handling and minimal delays.

Break bulk shipping, however, is less efficient because of the extra time required to load and unload the cargo, especially if special equipment or labor is needed. This method is appropriate to use if the cargo is not time sensitive.

Port Infrastructure

Container shipping benefits from modern port facilities that are equipped to handle containers with minimal human intervention. Ports specializing in containerized shipping often have cranes and systems to manage large volumes of containers efficiently.

In breakbulk shipping, assessing the qualifications of ports is essential as it may require more facilities for loading and unloading cargo, which may not be suitable for all piers.

What’s the Best Shipping Method for Your Business in 2025?

When picking between container shipping and break bulk shipping, several factors need to be considered, such as the type of goods being shipped, the destination, budget constraints, and the required timeframe.

If you are a business looking to import or export large quantities of goods that are uniform and well-suited for containerization, cargo shipping is the best option for you. However, if you are transporting oversized or irregularly shaped products, break bulk shipping will likely be the more suitable choice despite the additional costs and time involved.

Container Shipping for 2025! Cover Image 0023

Final Thoughts

Understanding the differences between container and break bulk shipping is vital for businesses engaged in international trade. While container shipping is preferred for its efficiency and speed, breaking bulk is also necessary when shipping huge items. The choice of which shipping option to take is yours, depending on your needs.

By partnering with a reliable and skilled logistics company in the Philippines like Excelsior, businesses like you can acquire shipping tips, ensuring that your goods are transported with the most suitable method without any risks and obstacles on their way.

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.

What is Transportation Management? What Every Enterprise Should Know– Infographic

excelsior on October 20, 2021

Transportation management is a comprehensive discipline concerned with realizing the transportation requirements of an organization. This requires the systematic analysis of an organization’s transportation processes and systems and the identification of the key relationships among these processes and systems.

Transportation management system or TMS is a powerful software application that integrates multiple real-time systems and algorithms that align a business supply chain, logistics process flow, warehouse process modeling, linehaul express shipping, freight capacity planning, and off-loading.

With this software, the speed and efficiency of an organization’s transportation and warehousing activities can be improved through the collective efforts of the transportation and warehousing staff. In fact, real-time transportation and warehousing data can significantly improve the operational productivity of an organization.

A well-designed transportation management system can achieve this by reducing logistical errors, schedule delays, excessive over-crowding in the warehouses and delivery locations, and other factors that hinder the smooth flow of goods and materials. TMS can help in the:

Real-time inventory management – A major advantage of a truck and delivery tracking applications and TMS is that they provide real-time inventory reports of loads carried by vehicles in the system. These reports are used by trucking personnel to assess their routes, forecast their loads based on past performance, and plan for additional routes or route changes that help in optimizing fleet performance. In addition to this, the tracking of loads and other parameters provided by the software, such as route, time value of money, and fuel consumption of the vehicle, can also be useful for controlling costs. An example of the common usage of truck tracking reports is for companies involved in transporting hazardous waste. TMS can also track hazardous material shipments by alerting companies when specific routes or shipments are being used by the shipper, for example, for hazardous drugs.

Real-time information about the land and sea-borne freight – In today’s fast-changing and interconnected world, a company need not wait for shipment or cargo arrival time to evaluate the cargo status. Real-time information about the land and sea-borne freight in the system allows organizations to evaluate their inventories more efficiently. The information includes estimated unloaded weight, destination, and date of shipment, among others. Trucking companies can access and evaluate all this information through real-time tracking systems using GPS-enabled handheld devices.

Visibility and availability of resources – It is no longer enough to rely on paper records to monitor inventory, supply chain, and shipment status. Trucking and Logistics companies need to have access to real-time visibility and availability of personnel, trucks, resources, and vehicles. This is essential, especially during emergencies when supplies and services may be badly needed. TMS can also help minimize the impact of emergencies and other unexpected events on logistics operations and business. Trucking and Logistics companies need to have TMS applications that provide real-time visibility of resources. In addition, the system should allow for flexible scheduling of deliveries, route mapping, reroute management, and other activities.

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.

Attracting Foreign Buyers for Your Products Infographic

excelsior on July 15, 2021

In this age of technology, finding potential foreign buyers for your products is now more convenient. As simple as setting up a business website can expand your target market on an international scale.

If you have an online store, you can easily list your products for sale and attract buyers from all over the world. Most of the time, when a buyer searches for products on the internet, they are looking for the best deal. They want to save money and find a good quality product. With the current economic situation in the US, finding potential buyers of your products has never been easier.

Why is Online Commerce Booming Nowadays?

One of the main reasons that so many people are turning to the internet to sell their products is because it is cost-effective. The shipping costs are one of the biggest expenses for shipping products from one country to another. Even if you do not ship your items yourself, the shipping costs associated with shipping your items can eat into the profits you are trying to make.

Freight Forwarders Can Save Your Day

When you list your products on an online store, they will be shipped by freight forwarders. Freight forwarders are companies that will specialize in shipping merchandise from one country to another. They have storage space, and they have specialized shipping trucks that will be able to transport your items from place to place. The great thing about these types of companies is that they have access to various global ports. This means that your products will be shipped all around the world.

Finding the Best Freight Company

If you are only going to ship your items to Asian countries, you will need to make sure that you keep a few things in mind. You need to make sure that the freight company that you use has low shipping rates. You also need to make sure that the shipping rates do not hurt your bottom line. If you are only shipping to Asia once a year, and that is all you do, then you will not need to worry about the shipping costs as much as if you were frequently shipping.

If you are selling to non-Asians regularly, you will be able to take advantage of eBay’s marketplace. eBay has an interface for international sales. All you will need to do is register an account, login, and take a look at the listings. There, you will see the various countries around the world that someone might be interested in buying from you. You can also locate sellers near you that may be interested in selling to your customers. You will just need to advertise your products on eBay and wait for potential buyers to contact you.

So, there you have it. Now that you know the best ways for finding potential foreign buyers for your products, all that remains is for you to start your search. You should also remember to add your country of origin to your site’s address line, so you can be found by people who are searching for your products. Good luck!

Minimizing the Effects of Supply Chain Disruption during the Pandemic-Infographic

excelsior on August 31, 2020

Due to the worldwide spread of COVID-19, many surviving enterprises started to introduce new methods and techniques when it comes to keeping their operations intact. This is pretty much evident, especially in the aspect of supply chain management.

Sudden disruptions in the supply chain can occasionally strike during natural disasters and other public health emergencies. However, in extreme cases such as the pandemic, the severe effects of supply chain disruptions are more noticeable since it usually takes a lot of time to develop a vaccine and eradicate the virus. Even if a company is fortunate enough to resume its operations, there’s a high chance that its suppliers and other business partners won’t be able to keep, making it difficult to make any successful deals.

Do you want to protect your business against supply chain disruptions? Here are some of the best ways of minimizing its negative impact:

Communicate with Your Suppliers

Your suppliers are essential in maintaining the stability of your supply chain. The challenge that you have to face with your suppliers is that they are separate entities with different contingency plans that they implement in response to the pandemic. You should have an idea of how your suppliers operate and maintain their products so that you can make the necessary adjustments and keep them coordinated to your needs.

Go for Bulk Containers

When delivering products to your clients, you can reduce the risk of virus infection by limiting the number of product touches and points of contact during the shipping process. Letting your products exposed to possible cross-contamination can hurt the reputation and reliability of your company, so simplifying your shipping processes is like a precautionary measure against the ongoing pandemic. For instance, you can have a forklift carry used bulk containers when transporting goods to prevent your workers from touching a number of smaller containers.

Prepare Supply Chain Protocols

Aside from being a global health concern, pandemics can also hinder international trade, affecting millions of businesses worldwide. The facility of your business must be able to implement emergency supply chain protocols at any moment. These protocols may include crucial decisions that are planned carefully in order to immediately develop contingency plans and adjustments that can help your business survive.

Keep Your Workers Safe

The success of a company may depend on its ability to take care of its workers in times of crisis. COVID-19 is a virus capable of infecting a large group of people in public places. If you allow your workers to work during the pandemic, you have to equip them with the necessary gear so that they can work while preventing any risks of infection. You can have them wear face masks, face shields, and other protective clothing if needed. Regular sanitation of your company’s workplace is also a must, as well as promoting the practice of proper hygiene.

Sources:

https://www.universalcargo.com/4-lessons-for-mitigating-supply-chain-disruption-during-a-pandemic/

https://www.ghsupplychain.org/keeping-supply-chain-workers-safe-during-pandemic

Freight Forwarding in the Philippines: Tips to Achieve Competitive Cost Saving When Importing From China?

excelsior on January 15, 2019

One of the most critical success factors of an import business is learning how to minimize shipping costs. Whether you’re just new in the international trading industry or have already established a big company, managing shipping cost is an aspect that warrants extreme scrutiny and judgement as it can impact your business’ bottom line really hard.

With that being said, here are some tips that can help you ship from China to the Philippines in a cost-effective way:

1. Choose a Reputable Chinese Supplier

The first step to ensure you get a competitive cost-saving when importing from China is to choose a supplier that is reliable and trustworthy enough to cater to your needs.

If your supplier doesn’t comply with regulations and doesn’t have any certifications, it can lead you to serious legal problems once your cargoes arrive at the port destination, which can ultimately result in delays, additional logistical headaches and shipping costs.

2. Hire a Freight Forwarder in the Philippines

Most freight forwarders in the Philippines are affiliated with numerous international transport organizations and companies worldwide, including local Chinese logistic companies. Hence, you should choose a freight forwarder that can and will use its connections to negotiate for better prices on your behalf.

Furthermore, your chosen Philippine freight forwarder should also be knowledgeable about the freight peak seasons in China (e.g., Chinese New Year) because during peak seasons, importing can become complicated due to high demand, high prices, and a probability of container shortage.

3. Choose Incoterms Wisely

Incoterms are international commercial terms that serve as the basis of agreement between the supplier and the buyer that trades internationally. There numerous Incoterms to choose from, so selecting the most competitive one can be quite challenging.

In general, Incoterms often used to import from China, such as EXW, FOB, and CIF, are the most ideal as they put you in charge of choosing a freight forwarder, shipping routes and times, and other details that allow you to balance all costs so you can stay competitive. However, keep in mind that your negotiation skills and the type and value of goods could also affect the type of Incoterms you should choose.

If you’re unsure of which Incoterm to choose, do read our post on how to select a competitive and safe Incoterm.

These are the steps to follow in order to achieve significant cost saving when you import goods from China to the Philippines.

Here at Excelsior Worldwide Freight Logistics, we have equipped people who are knowledgeable regarding import procedures and are committed to reducing your expenditures as much as you are.

We also conduct free orientation for those who are willing to learn about importation & exportation. It is our advocacy to share our knowledge & experience for 17 years in the business.

Steps to Get An Accurate Freight Rate Quote

excelsior on December 14, 2018

There is a famous proverb that says, ‘There is nothing certain, but the uncertain.’ Yes, this statement is true and evident in our daily lives but in doing business and transactions, it’s better to dip your toes first into the water before taking the plunge ̶ you need to know what to expect before closing a deal and that is what a freight rate quote can provide you.

Through these steps, you will be able to have an accurate information on your total shipping expenses and obtain the best freight rate:

Decide where to get a freight quote

Deciding where to get a freight quote can be quite tricky because of the number of options available. To make it easier for you, here are some details on shipping partners that you can choose from:

• Freight Forwarders

If you’re looking for a “one stop shop” that can provide you brokerage, carrier, and international freight forwarding services, then freight forwarders are your best pick.

Be specific with your shipment details

In order for your freight forwarder provide you with an accurate freight quote, you must provide them with the following details:

What are you shipping?
What is the value of your shipment?
What is the size and weight of your shipment?
Where is your shipment going?
When does it need to arrive?

Prepare an RFQ (Request For Quotation)

Once you’ve prepared all the details above, the next step to provide them to your chosen shipping provider. Depending on the services they provide, you may receive just one quote or several to choose from. After you pick a price and service, review all the details to make sure it’s accurate and in order.

Here at Excelsior Worldwide Freight Logistics, we treat our clients as partners. We also conduct free orientation for those who are willing to learn about importation and exportation. It is our advocacy to share our knowledge and experience for 17 years in the business.

Sources:

https://fitsmallbusiness.com/how-to-get-a-freight-quote/
https://learn.org/articles/What_Does_a_Freight_Broker_Do.html

Freight Forwarder In The Philippines: 6 Things You Should Look For (Infographic)

excelsior on November 30, 2018

Choosing a freight forwarder is a crucial decision for every business because you need someone whom you can rely on and entrust the safety of your goods.

It is no secret that there are freight forwarding companies who get banned, imprisoned and fined for illegal operations.

There are also some who just aren’t knowledgeable with the ins and outs of the industry, leading to mistakes and inefficiency.

Having that said, here are seven things that you should look for in a freight forwarder in the Philippines to make sure that your transaction goes smooth:

Expertise

When a freight forwarder has been in business for more than a decade, it’s a good indication that they have sufficient knowledge on transport rules and regulations and have already encountered and overcome lots of challenges in the past, given the fact that they outlasted other freight forwarding companies in the competitive industry.

That is why choosing an accomplished freight forwarder over a newbie will give you more assurance that your transaction will be a satisfying one.

A good business reputation

In connection to expertise in the industry, a good business reputation also comes along with it. They wouldn’t last long in the industry if their services aren’t satisfying, and if they aren’t professional when it comes to dealing with customers because negative customer feedbacks are a deal-breaker.

The good thing is aside from word-of-mouth, you can now check their customer reviews online to know whether their customers are satisfied with their service or not.

A vast network

Another benefit of choosing a freight forwarder who has been in the industry for a long period of time is that they’ve already built connections with multiple logistics companies worldwide, and they can use it negotiate for better prices on your behalf, wherever you’re importing from around the globe.

Accreditation

Aside from long industry experience, you can also evaluate whether a freight forwarder can be trusted or not through checking if they are accredited or not.

Before any transaction, look for a certificate of accreditation from the Department of Trade and Industry first or check the recent list of accredited Non-Vessel Operating Common Carriers (NVOCCs), International Freight Forwarders (IFFs) and Domestic Freight Forwarders (DFFs) at the official website of DTI.

A customs broker’s license

If the freight forwarder also offers customs brokerage services, you should look for a custom’s broker license to ensure that they are really knowledgeable on preparing necessary documents, country-specific rules and regulations, and calculation of duties and related taxes. Otherwise, you might end up wasting money and your shipments held at customs.

Excellent customer care

Good customer service should always be a priority when looking for partners in business, especially when you will entrust them to deliver your goods on time and in good condition.

A freight forwarder with excellent customer care manifests effective communication skills and good business etiquette.

Try to inquire first to determine whether or not they are polite, willing to answer your questions, and attentive to details. If they aren’t, better look for another one that you can get along with, understands your needs and is truly concerned with your business.

Otherwise, your transaction might fail due to miscommunication and misunderstanding. In worse cases, it might even result in lawsuits.

Sources:

Why You Need a Freight Forwarding Partner in Your Supply Chain (Infographic)

excelsior on August 30, 2018

Your company is getting bigger, and so are your market and the number of shipments to be made. The problem is, you don’t have your own shipping function. Why not get it outsourced through a freight forwarding partner so that you can focus on expanding your core business further?

To help you fulfill the required documents

Document processing is one of the most crucial and complex stages in every business transaction. Especially in importing and exporting products, wherein there are many different documents, clearances, and permits to be processed. Through partnering with a freight forwarder, the fulfillment of your commercial, transport, financial, and government documents will be hassle-free because you will be assisted throughout the process.

To reduce expenditures

Freight forwarders ship loads of products on a regular basis, that is why they can use their affiliation with multiple transportation companies across the globe to negotiate for better prices on your behalf. Your freight forwarding partner can also cut back your costs through consolidating several small shipments with products from several clients into one large shipment.

To avoid product damage and delay

The main goal of every product-driven business is to have its goods delivered to the right location, intact and on-time. Teaming up with a freight forwarder will help you achieve it through cargo insurance document management services, route optimization, and transport tracking.

Products in transit are inevitably exposed to risks and dangers that is why cargo insurances are highly essential. In case of accidents, theft, and other unfortunate events during the transportation, damaged insured goods can be converted to cash claims.

While route optimization will make the delivery of your time-sensitive products faster by using the shortest and most convenient path. Most freight forwarding companies now use modern technology to find the best routes in order to avoid late deliveries.

Transport tracking, on the other hand, works through using tracking numbers as identification in determining the current location of a shipment.

Indeed, hiring a freight forwarding partner helps in optimizing a supply chain. But in choosing one, aside from the above-mentioned services and benefits, you must also ensure that the freight forwarder is dependable, trustworthy, and experienced to make sure you’re in good hands.

Excelsior Worldwide freight logistics have been in the business for seventeen years and counting. With trained and experienced employees who uphold the principle of integrity, we provide only the best services to our clients.

Visit our website today at www.excelsior.ph to learn more about our services.

Sources:

Importer Facts: What to Pay and Not Pay? (Infographic)

excelsior on October 11, 2016

Importation is quite tricky, especially if you’re not aware of the costs that come with it. It is important to understand the basic charges you have and you don’t have to pay in order to come up with a solid figure you have to prepare when your goods have finally arrived in the port; cleared and delivered to your warehouse.

Aside from the product you have purchased abroad, here are some of the costs that you should assume from the importing process.