International Shipping- The Do’s

International Shipping- The Do’s

For anyone who is new to the Shipping Industry, International Shipping process seems to be a bit difficult. There are some formalities and procedures that need to be followed to make those process easy.

These procedures are jotted down below.

Invoice

An invoice is a commercial document for the goods that are shipped from a buyer to the seller. The information in the invoice includes general information such as name and location of the seller and the buyer or receiver.

In addition to this information, there is some information related to the goods such as the quantity and cost of each product and the sum of all the products.

Payment related information is the most important of all this information. The delivery charges, tax charges and discounts are mentioned in the invoice. All these charges are mentioned in the currency that was used in the quote. The method of delivery is also mentioned in the invoice.

Packing list

A package list is important for domestic shipments, this is known as Export package list. The Export package list contains more detailed information that helps the freight forwarder to create the transport document for the shipment. When there is a need for payment under the letter of credit, a set of documents is required which includes export package list too.

The Export package list is important during the customs to check in the arrival and destination country to identify what the package contains and location of the package. This helps them to examine a part of the package rather than checking the whole shipment.

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The Export package list contains the information of the net and gross weight and also the dimensions of the items in the package. Any special instructions to handle the package like “Handle with care” for glass products are enlisted in the package list.

Certificate of Origin

Exporting goods from one country to another country requires a Certificate of Origin in order to identify from where the goods were originated. The Certificate of Origin needs to be attested by some semi-official organization such as the Chamber of Commerce or any such organizations. Certificate of Origin is important if the invoice contains the information about the country of origin.

Usually, the chamber of Commerce charges a fee to attest the certificate. You’ll need to deliver a complete form to the chamber office where they will stamp, sign and notarize it for you.

Cargo Insurance

For International shipping, it is better to insure the package that we ship. This protects the shipments against all the risks of physical damage, or damages by air, water or land. This is helpful for covering in financial loss and damages incurred. There are some limitations that can’t be insured.

Transport documents

There are many ways for shipping goods, by means of water, air, land or combination of any two means. Since the trade occurs internationally, the transport documents will be more in number and it is importing to know the origin and significance of each document. The transport document must importantly contain the name of the carrier.

The transport documents must contain the information about the name, address of the sender and the receiver, date of booking, places of origin and destination, description of the items in the shipment package along with the net and gross weight of items and the freight charges.

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Different modes of transport need different transport documents such as

1)Lorry Receipt

Lorry Receipt or simply LR is a copy issued by the transporting company who is responsible to transport the shipment via road.

2)  Railway Receipt

If the goods are sent through railways, an official from the railway’s department would issue the Railway Receipt. This acts as a proof or acknowledgment from the respected railway department for sending the goods from source to destination.

3) Bill of Lading

Bill of Lading or BL document is issued by a shipping carrier as a contract for shipping the goods from one place to another. It also acts a receipt for the shipment and allows it to be tracked before delivering it to the receiver.

4) Airway Bill

If a package is transported via an airplane, then the flight authority issues a bill denoting the items that the package has and the details regarding the time of shipment. The Airway Bill allows tracking a shipment in the airline.

Get to know and understand everything which helps you from starting your shipping business to ending in one of the top places among your competitors with Logistics and Shipping courses, available at Logwiz.

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