International Discount Freight Shipping in Australia
Freight shipping in Australia is the only way for businesses to survive if they depend on exporting their goods to foreign countries. However, international freight can be quite expensive – especially for smaller businesses and start-ups. Finding sensible shipping solutions that will save you money is important for any business that wants to survive and continue to grow. Despite what you might believe there are ways of saving money when freight shipping – without having to compromise on quality service and/or confidence in your shipper. Although your international freight provider might not readily offer you the best shipping rates – if you have a budget in mind, there are ways of making your shipment costs fit within it.
International Freight Shipping in Australia
One of the easiest ways of cutting down on shipping costs is to opt for the least expensive form of shipping. If you have an international freight shipping need, then sending your shipment by sea is the most economical. If you are connected by land bridges to your ultimate destinations, then shipping by road is often the cheapest option. Find out what Freight Shipping Company in Australia would best work for your needs money-wise and then request that option. However, bear in mind that if your shipment is time-sensitive, you will most likely have to compromise cost for expediency.
International Freight Shipping From Australia
There are different types of containers available an those that provide the greater amount of security and protection for your Freight shipping in Australia will cost more than the others. Here we will look at four options when it comes to containers:
1- Closed container: most secure and protected option, but most expensive. Most commonly used sizes are 20 foot and 40 foot – but if you have a small shipment you may not need so much space.
2- Sharing a container: If your shipment is too small to warrant a regular container you can save money by requesting to share the container with another shipment heading to your same destination.
3- Smaller container: There are smaller container options that are available, however, they are not the cheapest option, but are a good compromise if you want the protection without the very big price.
4- Open pallet: An open pallet is exactly what its name implies – a pallet onto which your goods are stacked and then secured using cello-wrap or something similar. It is by far the cheapest option available, however, your goods must be very securely packed and it is best if the goods were not breakable.
The next way to save money when it comes to freight shipping is to request a longer or more circuitous route. If you are not in any hurry for your goods to arrive at their destination, then you can booked them on a carrier that will make several stops before reaching its ultimate destination. It is a good way of freight shipping your goods without having to pay the full, high price-tag that comes along with a direct shipment with no stops.
International Discount Freight Shipping in Australia
LTL or Less than Truck Load freight shipping provides shippers the convenience of transporting smaller volume shipments at affordable prices. This is an emerging trend that is fast becoming popular among shippers.
LTL Freight Shipping Process
LTL shipping takes place in several steps. First, the operator collects shipments from several customers. These shipments are then taken to a terminal where they are sorted according to their destinations. Consolidated shipments with like destinations are then placed in an outbound vehicle and taken to the regional terminal. Here, the shipment is unloaded and distributed to individual destinations.
LTL Freight Shipping as an Emerging Industry
Less than Truck Load freight shipping is a new trend in the shipping industry that is providing significant costs savings to shippers. However, it is a highly volatile segment of the trucking industry, since it involves frequent handling of packages. The process involves picking up, sorting, consolidating and the delivering of packages, making it a labor-intensive exercise. As a result, the LTL shipping industry works on smaller margins, covering fixed costs with huge shipment volumes.
Due to trucking deregulation, the industry is hypercompetitive. The increased competition has also forced many LTL shipping companies to buy trucks with modern technology, such as diesel-efficient engines and accident-reducing mechanisms. They also tend to employ the latest technologies to optimize the efficiency of their operations. Relative to the full truckload industry, the LTL segment requires more capital investment.
Benefits of Less than Truck Load Shipping
Less than Truck Load shipping of freight is beneficial to shippers because:
- Regional terminals facilitate delivery of shipments even to the remotest areas.
- Small shipments can be delivered cost-effectively with LTL freight shipping, since customers do not have to pay for the whole truck.
- Customers can ship their goods at discounted prices if they use the services of one LTL freight company for all their delivery needs.
- Most LTL freight companies provide modern tracking technology to help users track their shipment in real time.
Australia Freight Shipping in Australia
Speaking of accounting and terms that are related to export import business; even if you have a bookkeeper or an accountant that will take a good care of your books, there are some things and terms that you should know. Before starting to talk about terms, I want to tell you mt story. When my husband and I just started this business, we had no experience in this field at all. We even didn't have any experience in running any kind of business, so all the financial and non-financial terms were new for us. When we first time went to talk to a custom broker I thought he was speaking in some different language with us. Even the word freight sounded very weird to me, "Why wouldn't you call that shipping??" I though. So, I know your pain when it comes to business slang.
FOB destination - title of the goods passes from a seller to a buyer AT destination. That means that seller is responsible for loss or damage of goods until shipment is delivered to a buyer. For example, you bought a car from Germany with FOB destination terms. In this case if anything happens to a car while it's been shipped, you have NO responsibilities for that, and you will not have to pay for any damage or loss of the car. You even don't have to buy the car when it arrives, if it is not in the acceptable condition. All expenses are handled by the seller.
Freight out (Transportation out) - the terms to record the transportation costs or delivery expenses, when the seller is responsible for delivery (FOB destination). (The seller will record the transportation cost as Freight-Out, Transportation-Out, or Delivery Expense.)
FOB shipping point:
FOB shipping point (FOB origin) - title of goods passes from a seller to a buyer at the seller's shipping doc. That meant that a buyer is has to pay for the delivery. Basically, If you bought a car with FOB shipping point or FOB origin terms, you are the one who is responsible for delivery and damage or loss of the car. If the car arrives in a poor condition because of an accident that happened WHILE the car was shipped, you cannot ask for money back.
- Destination Freight Prepaid - the seller pays and takes all the freight charges and. (Pretty much the same as FOB destination)
- Destination freight Prepaid and Charged Back - The seller pays the freight charges, but charges them back on the buyers invoice. (For instance, when you buy something from Amazon.com, they usually include the price of the shipment in the receipt. That means they pay for shipment, but they charge you back for that.)
- Destination Freight Collect - The buyer pays and takes all the freight charges. (However, the buyer pays all expenses, just when the car arrives to the destination.)
- Destination Freight Collect and Allowed - the buyer pays the freight charges, but the seller takes the charges in the invoice. (For example, you bought a car that cost you $5,000 and you paid for shipment $1000. Total: $6000. When the car arrives and you receive the invoice from the company that sold you the car, you see that they charge you just $4000, because they made an allowance of $1000 for shipment.)
Freight in (Transportation in) - the terms to record the transportation costs or delivery expenses when the buyer is responsible for delivery (FOB shipping point, FOB origin) (The buyer will record this cost as Freight-In or Transportation-In.)
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