A company that spends time preparing its goods before shipping them overseas, will have their products arrive on time and at the right cost. Choosing the right shipping method is vital to a company’s export success.
A Company’s products have to be shipped to its customer’s doorstep. Choosing the right choice of transport, or combination of transport methods, is vital to the success of the delivery of shipment. As the company needs to get its products to its destination on time and at the right cost.
The following is a list of factors that affect the choice of transport for your shipment, to be used for the dispatch of goods to customers.
Although the cost of haulage increases with distance, the cost of rail and shipping services does not increase in proportion to distance travelled. Thus, it is more economical to use rail or shipping services over distances, while road transport is faster and cheaper for short distances.
Nature of The Goods
Perishable goods need quick delivery and minimum handling. Specially constructed trucks can be used to transport vegetables, fish and milk. In terms of export, air transport can be used to transport perishable goods.
Bulky goods are normally transported by road or rail in domestic trade and by sea for exports. The shipment value can only be accurately determined after the weight, dimensions and volume of the product to be transported is found.
Value of Goods
Expensive goods, which are small and light, are normally transported by air. In domestic markets, road transport is more suitable for expensive goods since the problem of trans-shipment does not arise.
Risk of Damage
Fragile goods, which are easily breakable and need careful handling, are normally sent by sea or air. Read More on 5 Crucial Characteristics of Risk Management
Goods, which are urgently needed, are sent by air. The cost increases dramatically as the weight and volume of the shipment increases.
The most convenient mode of transport is the one most available with the least formality. Road transport is considered to be the most convenient mode of transport, with its door-to-door delivery service.
The consignor would normally choose the most economical mode of transport, unless the factor of urgency arises. Sea and rail (when available) would be the most economical for bulk goods. Air and road would be most economical for delivery of urgent goods.
Once everything has been arranged, steps need be taken to ensure that the goods are packed, documented and shipped properly. When transporting goods internationally, proper documentation and correct packaging are critical to the export process.
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