The Role of a Licensed Customs Broker in the Logistics Industry: A 2024-2025 Guide

One factor contributing to the growth of the world economy is the logistics industry, which has been boosted when international freight forwarding becomes more relevant. In fact, the global logistics market was expected to elevate its value to 15.79 trillion in the year 2028.

While this growth has proved that importing and exporting goods are significant to the economy, the procedures have also become more intricate. Hence, hiring a licensed customs broker is vital. They serve as an intermediary to assist importers and exporters. They also provide services in acquiring and processing the documents and applications needed in international trade.

Licensed Customs Broker: The Bridge for Smooth International Shipping

A customs brokerage service processes importing and exporting applications. It oversees all customs-related transactions, including documentation, tax collections, and the importation and exportation of goods.  

A customs broker also enables importers and exporters understand the laws and requirements needed for shipping. They have become invaluable assets for companies as they have enough networks with shipping lines, freight forwarders, and trade authorities. This has led them to eliminate complexities in the international shipping process, making the clients’ shipment operations seamless.

The Roles of Licensed Customs Broker in the Logistics Chain

Below are the duties and roles of a licensed customs broker in logistics:

Dealing with Customs Transactions

For importers or exporters, the arduous process of transporting a product takes a lot of time. To lessen the time consumed in processing, customs brokers can help clients with their paperwork. This includes transferring documents needed for the customs department, reviewing, protecting, and clearing goods or supply chains, and processing the entire shipping process.

Fee Management

Broker customs also manage customs expenses. They calculate all the fees, duties, taxes, and expenses, which are then paid and delivered directly from the client’s account.

Client Representative

With customs brokerage, clients are represented when they need to engage with customs-related operations. A licensed customs broker usually deals with authorities and communicates with their clients about changes in regulations or the progress of procedures.

Customs Operations’ Documentation

Similar to freight forwarders, customs brokers are involved in record-keeping their clients’ confidential and necessary transaction records. They also monitor the shipping of goods to ensure their safe entry and arrival at the destination.

Why Hiring a Licensed Customs Broker Matters?

Working with a customs broker is crucial for businesses and shippers, as it hugely offers value in the logistic chain:

Lesser Expenses

In customs, specific software or hardware is required to automate the process, which can be costly for clients. But brokers already offer services using the latest technology to streamline goods shipping.

Proactive Shipment Solution

Items’ shipping occasionally causes undesirable delays due to unforeseen circumstances. A reliable customs broker can help clients deter conflicts and propose a solution. They are also knowledgeable in various customs regulations and have established connections with authorities, allowing them to accomplish logistics needs without problems.

Boost Sales

The efficient and streamlined service provided by licensed customs brokers in shipping a client’s goods opens a vast opportunity for business owners. Since most consumers want their products to be received in a short period, new markets will be reached, and more sales are most likely to boost.

Hassle-Free Shipment

Hiring brokers is a tremendous advantage for clients who strive to achieve a hassle-free customs transaction. These brokers are capable of handling operations in export and import-related matters. They can get things done fast and can ensure a smooth operation without letting the clients worry.

Searching for the Best Licensed Customs Broker

The logistics industry remains developing, and this transformation creates a more complex process. Dealing with the customs regulations and authorities takes time.

Therefore, the best solution to start faster and seamless shipping is to foster collaboration with licensed customs brokers from Excelsior. Excelsior is a logistics corporation that delivers high-quality shipping services. They can assist clients achieve a hassle-free logistics transaction, guaranteeing protection to their shipped goods to safely arrive at the right destination.

Read more:

Why are Customs Brokers Critical in Crises?

Why Your Business Needs a Licensed Customs Broker?

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What is Breakbulk Shipping? Everything You Need to Know

Many shippers are knowledgeable in traditional cargo transportation methods, such as container shipping and international freight forwarding. However, instances where cargo exceeds the container’s capacity or weight limit can make it more challenging to transfer goods to their destinations.

Breakbulk shipping serves as a practical solution to this dilemma. Understanding how breakbulk shipping works is fundamental to efficiently hauling oversized cargo and ensuring timely delivery.

What is Breakbulk Shipping?

Breakbulk shipping refers to a type of cargo transportation that includes handling and shipping large, heavy, and non-containerized items, including:

  • Barrels
  • Metal drums
  • Machinery
  • Vehicles
  • Crates
  • Boxes
  • Building materials

Unlike container shipping, breakbulk offers tailored handling and secure transport for oversized or irregularly shaped goods to fit into standard ISO (International Organization for Standardization) shipping containers.

Moreover, since breakbulk shipments are not containerized, they do not always necessitate a dock crane for unloading. This gives entities access to various port options, such as Roll-On/Roll-Off and Lift-on/Lift-off services.

Advantages and Disadvantages of Breakbulk Shipping

While breakbulk shipping is an excellent option to transport cargo efficiently, it has its set of advantages and disadvantages. These include:

Pros

  • Breakbulk shipping strengthens the security of goods with dedicated handling and stowage methods. This can be especially crucial for promotional products, which often need special care to prevent damage or breakage.
  • Due to its customized approach, breakbulk offers faster transport times. Container shipping often makes multiple stops at different ports for cargo goods to be loaded or unloaded, whereas breakbulk can proceed more directly. This prompt technique is helpful for urgent or time-sensitive shipments, allowing businesses to effectively meet critical project deadlines or customer demands.
  • Breakbulk shipping does not require cargo to be segregated individually. Rather, bulky or heavy items are loaded using specialized machinery. This streamlines the handling of large cargoes, making them easier to haul.

Cons

  • Project cargo is often highly valuable and, therefore, risky to transport. If this cargo gets impaired, it can be costly to repair or replace. Fortunately, many modern methods allow complete enclosure of more oversized items, thereby ensuring they remain secure from damage during transportation.  
  • Unlike standard-size shipping vessels, break bulk and multi-purpose vessels are not always available on specific schedules. This can complicate the process of finding the appropriate carrier at the right time and location needed. 

Preparing for Breakbulk Shipping

Preparing for break bulk shipping is imperative for successfully handling bulk cargo. This preparation reduces risks, lowers transportation costs, and ensures on-time delivery, making breakbulk shipping a dependable option for specialty deliveries. 

The following discusses key steps to effectively arrange breakbulk shipping:

  1. Determine the Type of Break Bulk Cargo – Understand the equipment or material needed to be transported.
  2. Choose Appropriate Break Bulk Packing – Different break bulk cargo necessitate varying packing methods. For example, packed cargoes are typically shipped in bags, boxes, or cartons. On the other hand, unpacked cargoes are either not packed or cannot be packed due to their nature. 
  3. Select the Right Handling Equipment – Use suitable equipment, such as cranes, forklifts, and conveyor systems, to efficiently load and unload breakbulk cargo.
  4. Choose a Breakbulk Fleet – This is crucial as it carries and handles cargo across seas to its destination port. These vessels differ in size, capacity, and specialization. Many outdated vessels have been replaced by modern alternatives that are equipped to manage diverse cargo needs efficiently.
  5. Determine the Break-of-bulk Point – Identify the break-of-bulk point to establish where cargo shifts between transportation modes to ensure smooth logistical transitions.

Leverage Reliable Breakbulk Shipping Solutions

Efficient transportation of goods is critical for businesses, particularly when meeting the demands of supply chain resilience. Breakbulk shipping plays a fundamental role in the global logistics ecosystem because it provides a secure and effective method for transporting large commodities. For businesses seeking breakbulk shipping solutions, Excelsior Worldwide Freight Logistics Corporation is a logistics company in the Philippines that offers reliable breakbulk services to accommodate oversized cargo. We are also committed to providing clients with time-conscious, client-oriented, and exceptional delivery service. Visit our website  https://excelsior.ph/  for more information.

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Important Questions to Ask Before Choosing a Logistics Service Provider

Logistics Service

Logistic services contribute to the economic growth as it incorporates a wide range of services, including transportation and cargo distribution. They play a vital role in the Philippines in terms of enabling the movement of goods and products.

Outsourcing logistic services for your business is an excellent way to guarantee efficiency and prevent disruptions to your business operations. While you may be able to find several companies offering logistic services, you must partner with a reputable logistics company in the Philippines whom you can trust for the transfer and shipping of your provided commodities.

Here are the main questions that you must ask to ensure you select a reliable and trustworthy logistic service provider for your business:

How long have you been in operation?

The number of years is not the basis for you to trust them right away. You have to ensure that the logistics provider can prove that they have established relationships with other business partners. Understanding their history is one of the most important things to consider; knowing their identity, purpose, and goals help you to finalize a decision to hire them to provide logistics service for your business.

What kind of customs services do you offer for my business?

Looking for brokerage services in Manila with a firm grip on your business is vital – they should always meet an accurate perspective in your establishment. A logistics provider that can recommend what’s best for your customers through a supply chain movement means that they can be a good partner – and that is a good sign for you to choose them; substantial knowledge for your service needs reflects their accountability.

Also, this can help you to learn more about the services they can provide; you can understand their service limitations.

Is your company technology integrated?

You have to look for a company that is technology deft. Everything is faster and seamless with technology. The technology operates information such as order information, real-time access to inventory, and others; technology-driven applications can notify delivery status.

If you choose a logistics provider that can process and analyze operations swiftly, that would be much helpful for your business.

How do you anticipate disruptions?

In business operations, unexpected disruptions happen. You have to look for a firm offering logistics freight in Philippines that can deal with unforeseen events and provides an efficient solution to solve concerns. Besides, logistic service providers should think of some challenges that might happen during the operations.

Can you provide references from clients with the same businesses?

It is also a good idea to ask for references from a logistics service provider to ensure that you chose the best one. In that way, you can list down all the minimal concerns that you can tell them for improvement. You can trust them with their services since they have catered to similar businesses like yours.

Logistic service providers, like Excelsior Worldwide Freight Logistics, serve as a dominant component in the success of every business company that takes part in dealing at a national and international level. They take part to achieve competitive advantages from business operations that involve buying and selling in global commerce.

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.

Excelsior Worldwide Logistics Corp.