Main stages of container transportation
The steps involved in container shipping may seem confusing, especially if you are new to the business. The process involves various parties, including the supplier, importer, freight forwarders, customs officials and others. There is also a list of permits and documentation.
1. Place an order
The first step is for the importer or consignee to place an order with the supplier/manufacturer or shipper. The importer receives a price quotation or proforma invoice (preliminary invoice) from the supplier, which indicates the total cost of the goods. Once the proposal is approved, a purchase order is created; At the same time, the order and the total cost of the goods are detailed. It may also include other details such as destination address, cargo dimensions, etc.
2. Search and attraction of a forwarder
Once a purchase order is placed, a freight forwarder is hired to arrange the transportation of the goods from the country of origin to the country of destination. A freight forwarder is an individual or company that coordinates and arranges for the delivery of goods using one or more carriers by land, sea, rail or air. The forwarder prepares the containers that will be used to transport the products.
3. Receiving documentation for shipment
Once the order is placed, the supplier receives a letter of credit and issues a confirmation order and commercial invoice to the importer.
4. Organizing the export of goods
If the forwarder works independently, he organizes the collection of the cargo by a foreign partner. The freight forwarder or foreign partner then arranges for the goods to be exported. This will require key documents to be prepared. These are the packing list, certificate of origin, shipper's letter of instruction (SLI), and manufacturer's declaration letter, which states whether the item is toxic or hazardous.
5. Sending the goods to the port.
The goods are packed into containers and transported to the port. At the port they undergo export clearance. Before the shipper picks up the goods, a bill of lading is issued to him. The goods then undergo export customs clearance, where all documentation is checked. The containers are then placed on ships for international transit. The ship delivers cargo from the point of departure to the port of destination. The shipper provides documentation and data about the cargo to the destination country. Once the ship arrives at its destination port, the cargo containers are unloaded using cranes.
6. Arrival
Upon arrival in the destination country, goods must clear customs. Depending on the type of goods, they are subject to customs duties and import duties. They may also be subject to inspection if required by the customs authority. Certain goods may be subject to quarantine depending on the regulations of the destination country.
7. Delivery from the port to the buyer.
After customs clearance, the containers are loaded onto a special trailer or train for travel to the distribution center or the agreed location for acceptance of the cargo by the buyer.
