Peak Season Surcharge: The Ultimate FAQ Guide

Peak season surcharge is yet another important freight term you should know.

So, if you want to learn more, read this guide.

What Is Peak Season Surcharge In International Shipping?

This is the varying extra charges that carriers add for their services during seasons of peak demands.

The fluctuating surcharges are common during summer, before winter and Chinese’s New Year.

It is the extra fee add to the basic transport cost.

Why Do Carriers Apply The Peak Season Surcharge?

  1. When the demand of shipping space goes high the cost of shipping also rises.
  2. Ocean carriers inflate their rates higher to make extra money
  3. During holidays there is an increased demand in shipping services.

  Carriers are forced to employ seasonal employees to meet the demand.

The cost of this extra employees or automation is then passed on to the consumer.

  1. A carrier may apply various surcharges on shipment in order to offset the cost offered for other services or additional handling of the package.
  2. Service level residential charges are meant to punish shippers of high volumes of packages exceeding the acceptable volume per week.

When Do Peak Seasons Happen?

Peak seasons happen during busy shipping periods in the year.

That is, when there are high volumes of packages being shipped.

This makes the cost of shipping to rise.

This   normally begins from mid-August up to October of every year.

They happen several months before holidays such as thanksgiving, Christmas and Chinese New Year.

Sales are usually high in days such as Black Friday and cyber-Monday

During such periods people buy more foods and presents

Is Peak Season Surcharge The Same As General Rate Increase?

Peak Season Surcharge is not the same as General Rate Increase.

Two most common way of adjusting rate by carriers are Peak season surcharge (PSS) and General rate increase (GRI).

PSS are special charges that carriers add on base rates of shipment, due to an increase in demand for shipping space.

This happens majorly during high peak periods. Like Christmas, major sales and thanksgiving.

GRI are additional costs added to shipping services due to an increase in operational costs.

GRI takes place anytime and even during peak season.

Does Peak Season Surcharge Apply To Ocean Freight Only?

No PSS does not apply to ocean freights only. It is applicable to air carriers too.

What Is The Difference Between Peak Season Surcharge And Emergency Bunker Surcharge?

PSS are special charges that carriers add on base rates of shipment, due to an increase in demand for shipping space.

Emergency Bunker Surcharge is the extra charges carriers implement to cushion them against the rising cost of fuel.

Does The Peak Season Surcharge Apply Only To Imports From Asia?

No. the peak season surcharge does not apply to imports from Asia.

It may also apply to some imports from some Africa from countries such as Nigeria, Togo, Ghana and Benin.

They cover additional operational costs experienced during the peak season.

Are Peak Season Surcharge Rates The Same For All Carriers?

No.

PSS are not same in all carriers as each  carrier calculates its PSS.

This depends on size of the goods, how urgent it is to transport, temperature and sensitivity of the goods.

Having an understanding of how the surcharges are calculated by a carrier can help you in determining which carrier to use.

How Is The Peak Season Surcharge Calculated?

The peak season surcharge is calculated by each carrier in terms of from port to port.

This depends on size of the goods, how urgent it is to transport, temperature and sensitivity of the goods .

Can Peak Season Surcharges Be Negotiated?

Yes Peak season surcharge is negotiable though this is not known to many shippers.

This is the best way of reducing the coast of shipment.

This can be used to influenced your choice of one carrier over another.

Is The Peak Season Surcharge Legal?

Yes peak surcharge are legal and are supported by the US shipping act

How Do Carriers Notify Of Peak Season Surcharges?

The carriers propose their intention to increase Peak seasons surcharges with the effective dates.

The additional PSS are assessed by the carriers.

The basic rates remain the same.

Mitigation may come up to stop the increment.

The flexibility of the of the carrier will be determined by the market

How Do I Avoid Or Minimize Peak Season Surcharge?

There are varied ways of avoiding or minimizing peak season surcharge.

  1. Have a better understanding of how shipping surcharges are affecting your shipping cost.
    Find out what options are there that can help you avoid or minimize the surcharges.
  2. As a shipper you can ensure that you have a better understanding of the networks that are ideal for specific packages.
  3. You can negotiate with your other carrier to reduce or waiver the surcharges to your advantage.
  4. You need to understand surcharges and the various types so that you can make an informed decision on how your packages are shipped.
  5. Make use of third-party logistic provider, they can help you prioritize your shipments and other shipping details.
    They will also give you future rates forecasting so that you can plan your shipment.
  6. Combine shipping analysis and re -negotiating contracts with carriers can help minimize shipping expenses.
  7. Avoid transfer of goods from one conveyance to another.
  8. You can order your shipping to be done before or after the peak season.
  9. Always check online for lower adjustment rates on PSS.
  10. Consider having longer transit times for they reduce the risk of the cargo being rolled.

Why Is Proper Planning Important In Combating Peak Season Surcharges?

Proper planning is important in combating peak season surcharge for these reasons;

  • So that you can ship extra packages before the peak season and avoid surcharges
  • Logistics providers can provide you with future rates forecasting and the best strategies to adopt

What Are Some Common Misconceptions About Peak Season Surcharges?

Some common misconceptions about PSS are;

  1. Accessorial charges occur only during the Peak Season Surcharge. The truth is that they occur throughout the year.
  2. The belief that Peak Season Surcharge occur during holiday season.
    After The Chinese New Year, the peak season lasts for one and a half months.
  3. Peak Season Surcharge and peak accessorial charges affect the US only.
  4.  It is not possible to organize for landed coast
  5. Not being keen with carriers and the rates they demand.

 What Other Accessorial Charges Should I Be Wary Of When Shipping During Peak Season?

Accessorial charges are extra charges assessed by a carrier for additional services rendered beyond basic shipment delivery.

They vary between carriers and they can change any time.

These are:

  1. Detention – this is a fee you are charged when a carrier comes to pick a container and finds that you are not ready.
  2. Special Equipment surcharge- It is an extra cost you pay for hanging garments.
    This is because they need special care during transportation.
    Depending on how long the carrier waits you will be charged these waiting charges.
  3. Storage – If shipments have to be stored before delivery, you will be asked to pay storage fee
  4. Demurrage – this is a charge impost on your container for staying at the port longer than the acceptable free time.
  5. Out of gauge surcharge – this is the additional fee for your container that is not within the standard dimensions.

You will be required to pay for the space that is left vacant because no other container can be loaded

You May Also Be Interested In:

For any questions or inquiry about shipping from China, contact Tj chinafreight now.

The Complete Guide for Product Standards

In this guide, you will learn everything that interests you about product standards.

We will cover what a product standard is, what content is included, what regulations require and makeup product standards, product standards differences among countries, necessary certifications, how to choose a product standard, how to establish one, and what testing options are there.

Here, we have compiled all this information for an ultimate guide.

Definition of Product Standards

The meaning of a product standard refers to quality, safety, and other standards for any product.

A product standard is a technical guide of how to make a product safe, efficient, and compatible with others.

Product standards establish accepted practices, technical requirements, and terminologies for diverse industries.

Because they are easy to recognize and reference, standards enable companies to manufacture and sell their products safely.

Advantages of Understanding Product Standards for Importers

If you know product standards, you can be sure that your manufacturer is supplying the best quality products to your market.

Products that follow standards are suitable for import into many countries, which allows you to expand your target audience and grow your business.

This is your competitive advantage.

Also, if you are developing your own product with a new product standard, you can create a unique set of qualifying conditions that set your products apart from the products of your competitors.

For some products, standards and certifications are compulsory, for some they are optional.

Although, products must still comply with the country’s official legislation, if relevant.

Compulsory standards mean that only by fulfilling them, you can legally import your goods into a given region.

Understanding them allows you to freely import your goods.

As for voluntary or optional standards, most of the EU standards are like that.

Complying with these gives you a competitive advantage and an indication of quality for your customers.

Choosing the Right Product Standard for You

Here, we will answer how to choose a product standard to follow.

To start importing goods from China, you need to choose the right product standards that would allow you to legally import quality products.

1. Define your product category.

Sometimes, similar product categories may have different regulations.

This is why it is important to be sure that you can place your product into a category.

2. Check for any country-specific compulsory standards

You can consult a list of harmonised standards to find the suitable standard for your product.

Further in the guide, we include resources to help you with that.

If you are looking to import into the EU, then you can:

  • Check the official journal of EN
  • Check IEC standards in CE directives
  • Check EU national standards
  • Use codes of practice within the European zone

Some of the most significant directives are REACH and CPSIA.

If you need product standards for the US, you can:

  • Check CPSC standards for children’s products and household items
  • Check FCC standards for electronics
  • Check FDA standards for food-contact and medical products
  • Check ASTM standards for general guidance

3. Check relevant voluntary standards

You also have to determine which voluntary requirements may apply to your product.

Once this has been determined, you can use the standards to cover these requirements.

You can check the same resources as above, as well as ISO standards.

4. Check labelling requirements

Proper labelling is an important part of importing your goods.

You should have quality marks, safety labels, warnings, and so on.

You can check CE or FTC guidelines for labelling.

5. Check for facility requirements

This includes GMP and ISO standards. GMP stands for Good Manufacturing Practice, and it requires manufacturers to minimize the chance of contamination, error, and other risk factors.

This ensures that the products are high-quality and that the manufacturer conducts the process accordingly.

Also, you may need the product standard GHG protocol.

This protocol covers greenhouse gases—so whether the manufacturing process of a given product emits GHGs.

This protocol would allow you to establish your products as eco-friendly, which is an important competitive advantage.

Country-Specific Product Standards

Many countries have their own standards institutes, regulations, and legislation.

Thus, if you have a specific country in mind where you want to import, you should check the official websites of those countries.

These standards are what would allow you to import your goods there.

You can find country-specific commercial guides and standards of import for any country.

You can also follow international standards to ensure compliance.

The ISO has about 24 000 international standards that you can find the right one from.

Most standards you have to purchase, and one product standard costs around 40 USD.

Certifications

Product standards will often include necessary certifications, either of the product or of the manufacturer.

Some examples of required certifications include:

  • in the European Union (EU), your product may need a CE marking and certification.
  • in China, you may need the China Compulsory Certification (CCC).
  • in the member countries of the World Trade Organization (WTO), you may need to report all proposed technical regulations.
  • worldwide, the International Organization for Standardization (ISO) and CB set up international standards.
  • in Canada, the CSA standard may be required.
  • in the US, UL certifications are important, as well as any industry-specific certifications like IP ratings
  • in Russia, you may need the EAC standard.

Contents of Product Standards

Each product standard includes several parts: description of its purpose, detailed technical conformance requirements, and specific testing requirements.

  • Formal name of the product standard
  • Description of the product standard
  • Conformance requirements
  • Operational environment
  • Overriding standards
  • Indicators of compliance

Now, let’s take a look at each of these parts of a product standard in more detail, starting from the description.

A product standard description is a short summary of the purpose and nature of the product standard.

Conformance requirements make up the most important part of any product standard.

Conformance requirements define conditions of quality using the concepts specific to your standard type.

In other words, what characteristics make a product good.

Operational environment explains where and under what conditions the product is designed to function.

This section can help you market and advertise your imported goods.

This section would also describe other products and softwares compatible with your product of interest.

Your manufacturer must keep this compatibility in mind.

Overriding standards are the standards that a given product standard is based on.

These are national or international guidelines and formal documents that an importer must be aware of to ensure quality compliance.

Most of the conformance requirements usually refer to other documents and are uniquely identified by the title, version number, date, and so on.

Product standard registers requirements referring to a specific version of any higher-order regulation, and the product standard is not updated when a new version of the referenced regulation comes out.

Indicators of compliance are the tests conducted during quality control.

Testing requirements can be based on UL, CE, ISO, RoHS, and other regulations.

Testing can be done to assess flammability, electrical safety, physical properties, etc.

In general, a product standard includes:

  • Requirements lists
  • Technical files
  • Label requirements

Requirements lists may include checklists of quality, safety, factory auditing, etc.

Technical files include detailed product specifications, options, blueprints, formulas, recipes, etc.

Label requirements include safety warnings, user directions, chemicals, ingredients, country of origin, etc.

We discuss labelling standards further in this guide as well.

Some more specific contents may include manufacturing hygiene, disaster preparedness, fail-safety, error tolerance, childproofing, and more.

A product standard may also include formulas, recipes, specifications, and manufacturing procedures for suppliers to follow.

Types of Product Standards

Product standards can be divided into standard type and product category type.

Types of standards include performance, prescriptive, design, and management system standards.

Performance standards outline how products must perform during use.

For instance, how long they should function for, what temperature they can withstand, will they work after impact, and so on.

Prescriptive standards identify product specifications.

This includes material thickness, material type, product dimensions, etc.

Design standards focus on more global product characteristics, such as the overall shape, added features, and assembly specifics.

Management system standards specify the company’s quality compliance policy, factory audits, and other organizational specifics.

As for product categories, this describes your product.

Is it a type of medical equipment?

Perhaps, it is a type of children’s toy or an electronic device.

When importing, it is important to keep in mind these standards as well .

Developing Product Standards

How are product standards developed?

International standards follow the process of identifying a new standard, approval by National Bodies, designating technical experts to carry out tests, and approving the document via many committees.

The experts conduct a study to define the best product criteria, and the public is allowed to provide feedback.

It is also possible to participate in the development of national and international product standards by participating in technical committees and providing comments on the draft document.

Most businesses opt for using a national, international, or foreign standard that fits their needs.

Alternatively, a company can develop its own product standards.

Businesses can conduct product standardization, which creates protocols to ensure that the product meets the company and the industry standards.

Developing a company standard requires technical experts, reference to international standards, and study of the market.

If your company develops a product standard, it will not be equivalent to certification, but it will be something your business set up to guide manufacturing and ensure good quality.

The products may still need official certification.

Product Standard Labels

As mentioned before, product standards often include specific labelling and marking guidelines.

These may concern the country of origin, restricted substance, age group, and warnings.

Mentioning the country of origin is a legal requirement in some places (e.g. “Made in China”).

Restricted substances are crucial, also for legal reasons. Chemicals like lead, uranium, heavy metals, corrosive, flammable, and allergenic substances need to be labelled accordingly.

Age-group labels simply set an age limit for the product in order to protect young children (e.g. “3+”).

Warnings can include bag suffocation hazard, slipping hazard, explosive substance hazard, and any other risk factor concerning your product.

Many product standards outline such labels, and importers need to ensure that these labelling requirements are fulfilled.

Examples of Product Standards

You can find some examples of product standards on official websites, like ISO.

Often, there is a wide variety of standards, with different versions for similar products that have slightly altered features.

ISO Product Standard Example

Product Standards Testing and Conformance Assessment

To show compliance with product standards, you would have to conduct proper testing outlined in the standard.

The testing depends on the type of standard as well—different products need to be tested differently.

For that, you can contact a third-party testing facility that is knowledgeable about your requirements.

Some testing companies include UL, QIMA, SGS, and others.

You can request a quotation from them by:

  1. Listing your product type and category
  2. Attaching a photo of your product
  3. Declaring the target age demographic
  4. Identifying both the manufacturing country and the consumer country

Testing companies and labs can provide all sorts of testing that your product standard requires.

This may include testing the product for corrosion, flammability, impact, radiation aging, chemical, optical, mechanical, food contact safety, water ingress, and more.

Testing for product standards may cost around $200, depending on your needs.

Conformity assessment provides assurance to consumers that the personnel, products, systems, processes or services are evaluated against the requirements of a voluntary standard.

Conclusion

Product standards are a crucial part of manufacturing, importing, and distribution.

There are a lot of things to take into consideration when choosing the right standard, developing one, showing compliance, and understanding the entire concept.

Hopefully, this guide served as a helpful resource for you!

Shipping From India To UK: The Complete Guide

If your relative lives in the UK, you may want to send them gifts. Or, if you are doing a business, you must know how to ship goods from India to the UK.

For that, follow the below article.

What Is The Shipping Process From India To UK

If you want to ship goods from India to the UK, you need to gather some necessary documents first.

You need an export license, HS code, invoice, certification of origin, fumigation certification, packing list, value, and description of goods.

You also need to present your contact information as the supplier or sender, destination of the products, and the recipient.

After that, follow the below steps.

Verify Your Products If Any Prohibited Items

 You can ship restricted or prohibited goods but only with a license. You can hire third-party companies like CIS to inspect the goods on your behalf. Read here more about CIS.

You can’t send any flamboyant objects, medicine, alcohol or drugs, weapons etc. without license.

Know The Amount For Taxes And Duties

 Know the amount of money you will pay for duties, taxes, customs clearance, shipping agents, and delivery.

You can take the help of HS code in classifying products and determining classification numbers.

To know about classification number, read this guide on export control classification number.

Choose Shipping Carrier

Choose a shipping carrier to ship your products. You need to choose carefully.

Some carriers can take a long time, some can take so much money, and some don’t care about your products well.

So, choose a reputed shipping carrier company that doesn’t charge you much.

Custom Clearance

You’ll need to have an export license if your product is not under Free On Board (FOB).

The export license contains information about the supplier, the cargo, its value, the buyer, and the preferred mode of transportation.

You can get a license from the Ministry of Commerce.

How To Pack Your Goods When Ship From India To The UK

 You need to pack your products very correctly.

Because in international shipping, the chance of getting damage of the product is high if not packed correctly.

Different types of products need different kinds of packaging depending on size, weight, material, and if it’s fragile or not.

You should separate the items by separately wrapping them because if they are packed together, they can be damaged by bumping on each other.

Wrap your products with a cushiony material and then seal them. Use tapes, which are made for shipping to seal.

If you want to send a fragile product, double pack it by packing it in a box and then place the package onto another box and pack it.

Always label outside of the package and inside the package as well.

What Is The Costing Of Shipping From India To UK

 Shipping cost from India to the UK depends on the package weight and shipping carrier.

Courier charges:

  • For a package of 1 kg is almost 1800 rs.
  • For a package of 5kg is almost 4000 rs.
  • For a package of 10 kg is almost 5400 rs.
  • For a package of 20 kg is almost 500rs. Per kg

There will be a Good and Service Tax (GST) of 18% on the total bill.

There are also custom charges on some products. The customer or person whom you are sending products to has to pay customs charges of about £2.75 per heading. 

Factors That Decide The Cost Of Shipping From India To UK

 There are several factors that are considered before determining the actual cost of shipping a package from India to UK. Broadly, some of these factors include:

  • Total weight of the package or shipment
  • Volume and size of the package or shipment
  • Preferred mode of shipping – air or ocean
  • Distance of transportation
  • Type of service selected – door to door, port to port, door to port, or port to door

Remember, if you are using ocean freight, then they will not consider packages that are less than 35 kg.

Do You Need Insurance To Ship From India To UK

 International shipping has risks. It can get lost, hijacked or get damaged by any natural disaster.

For that, you need to have good insurance. So, if something unexpected happens, you will get compensation.

Types of insurance-

  • Export Credit Insurance– The most popular export insurance is credit insurance or trade credit insurance. Credit insurance will give you financial support when needed.

If your buyer is unable to pay due to any serious situation, credit insurance can give you an 80-90 percent money back.

For that, you will know that if something happens to your foreign purchaser, your business won’t get into trouble.

  • Marine Insurance- Marine Insurance should be considered by exporters. The insurance will give you financial support in case your goods get lost or damaged by any natural disaster.

But common carriers do not have any marine insurance as the cover is restricted. Exporters also need to check if the policyholder can claim the cover globally.

  • Product Liability Insurance- Product liability insurance will provide you support in case your shipped products don’t meet the legal criteria.

The insurance will give you compensation if something happens like this.

But it will only help you if you followed the guidelines and provided all the information, but some error happened, or unknowingly you shipped any damaging or illegal goods.

  • Political Risk Insurance- Political Risk insurance will cover any situation like political uncertainty, war, protests, foreign discrimination, etc.

Because of any political or governmental situation, if you have to face any loss, this policy will give you compensation.

Which Mode Of Transport You Can Choose While Shipping From India To UK

You have two choices of transportation mode when you want to ship your goods from India to the UK, by the ocean or by the air.

Ocean freight shipping takes longer than air freight shipping, and air freight shipping costs are more than sea freight shipping.

The difference in the delivery times is because of the speed at which the freight travels.

An aircraft moves at an average speed of 970 km/h, whereas cargo vessels move at an average speed of 35 km/h.

Air Freight – Although a tad bit expensive, air freight is a wise choice, especially when you have deadlines to meet.

There are businesses that need to have their products delivered to their clients.

Or there may be an expensive gift that you wish to send to your loved one for a certain occasion.

Then air freight is a great option.

Some advantages of air freight include:

  • Fulfills urgent consignment or orders on time
  • Refutes the problem of delays
  • Saves perishable goods
  • Easy to send high-value goods safely
  • Insurance of air freight is lower

Delivering a package from India to UK on an average may be anywhere between 3 to 9 days.  It depends on the air route taken and the delivery destination.

Ocean Freight – There are two types of consignments that ocean freight from India to UK carries:

  • LCL or Less than Container Load where your consignment is placed in a container on sharing basis because your consignment is small.
  • FCL or Full Container Load where your consignment is an entire container. You just need to pay a single flat rate for it and you get to use it exclusively.

The consignment is carried in either 20 ft or 40 ft containers. You are also asked whether you would require a container with ventilation or refrigeration.

Delivering goods from India to UK through ocean freight may take anywhere between 21 and 41 days.

It depends on the trade lane taken, the port of dispatch and the port of arrival.

Some advantages of ocean freight include:

  • Ocean freight is advantageous when you need to ship heavy goods and equipment
  • If your cargo or package is not time-sensitive, then ocean freight is the perfect way to have your goods delivered to UK – cheap, safe and the best
  • Large volumes of products or packages can be shipped at a go when using ocean freight
  • Ocean freight is cheaper than air freight

Choosing the best carrier option will benefit you in your business. Both air and ocean freight are available to deliver goods and packages from India to UK.

You can choose one that is favorable for your requirement.

Legal Paper Works You Have To Do For Shipping Goods From India To UK

 You need to do some documentation for shipping goods from India to UK. These are the following.

  • You need to provide a Packing Slip to show the details of the goods to the customer. It will help the customer to know the exact order.
  • You need to provide a Bill of Lading to show goods information.
  • You need to provide a Certificate of Origin to show where the products are from.
  • You need to provide the Commercial Invoice to show the value of the goods.
  • You may need to include health and safety Certificates.
  • Your customer needs to sign on the Bill of Lading (BOL) as a Proof of Delivery (POD).

 To know in detail about BOL and POD, check out this cross border shipping guide page.

Are There Any Restrictions In Shipping From India To UK

 Some products are prohibited, and some are restricted for shipping.

Prohibited items are those which are banned and cannot be shipped at any cost. However, restricted items are not totally banned.

You can ship them with a few restrictions. You may either need a license or they might have a limitation.

To know more about export license, read this Tj chinafreight export licence page.

Prohibited Items:

  •  Live animals
  • Any animal parts, like- ivory, the skin of any animal e.t.c. or any animal products that are prohibited by the CITES Convention or local law
  • Cash
  • Bullion
  • Human ashes and remains
  • Loose precious stones
  • Illegal goods such as narcotics
  • Complete firearms or explosive devices

Restricted Items:

  •  Flammable liquids
  • Flammable solids
  • Flammable gas
  • Spontaneously Combustible flammable solids
  • Dangerous when wet flammable solids
  • Non-flammable and non-toxic gas
  • Biological agents, etiological agents
  • Hosts and vectors of human disease
  • Class 9 miscellaneous
  • Class 8 corrosive
  • Oxidizers
  • Organic peroxides
  • Toxic substances
  • Gems
  • Medical devices
  • Household goods
  • Precious metals
  • Art work
  • Retail tobacco products
  • Radioactive materials

How Much Time It Takes To Ship Goods From India To UK

 In the case of regular shipping, by sea, from India to UK, it takes almost 20 days to 40 days. The time may vary based on traffic.

If you need to ship your goods urgently by air, then shipping can be reduced by one week, for an extra charge.

Is There Any Custom Duties/Tax

In the UK, you have to pay customs duty or VAT on gifts or other goods if they are more than a certain value.

The customer or the receiver of the goods or gifts has to pay the customs  within 3 weeks.

  • If your goods are under £135, you don’t need to pay any customs duty.
  • If your gifts are above £135 but below £630, you need to pay 2.5% customs duty.
  • Gifts above £630 and goods above £135 have a custom duty, depending on the type of the goods and gifts.

Use HS Code to know the exact rate of the customs duty on particular goods or gifts.

Are There Any Hidden Fees?

 There can be hidden fees in some cases in shipping from India to UK. The reason can be various.

You may need to give extra charge if the destination is in remote areas.

Or you may need to give an extra charge as a delivery fee if the destination is residential. Same rule is applied if the goods get delivered on weekends.

How To Track Your Goods?

 Tracking your goods or gifts in international shipping is almost the same as domestic shipping. Your shipping carrier will provide you a tracking ID.

Ocean Freight – In order to track your cargo, you must have the exact container number/Bill of lading/booking number and shipping line. You can use either of these references to track your container.

There are tracking systems installed on containers that help in tracking their real-time status, including important data such as tamper reports and temperature of the container.

Some sites that will help track your container:

Track Trace

Searates

Container Tracking

Air Freight – Like ocean freight, you are given a tracking id when you ship your package or cargo using air freight. Some sites that will help track your air freight:

Alltrack

Track Trace

The above sites are one-stop solutions and will help you track air or ocean freight for almost all types of companies. However, you may individually track your cargo or package through the company website which you have sent your package through to UK. 

Is There Any Return Policy In Shipping From India To UK

Yes, there is a return policy. You can get goods returned in case of damaged goods or if the recipient country denies.

Or if the goods went to the wrong destination, or if the address of the delivery didn’t match.

But not every product is eligible for return policy, some are and some aren’t. Also, you can apply for a certain number of days to accept returned products.

What If You Provide Wrong Information Accidentally

 If you provide wrong information accidentally, your goods can get lost, or it can get shipped to another address.

You need to pay an extra charge to fix the error and also your shipment gets delayed.

So, make sure that you provide correct information; otherwise you have to face disadvantages.

Things You Should Consider Before Shipping From India To UK

 There are some things you need to consider.

  1. Know allowed, restricted, and prohibited items in UK.
  2. Consider the transit time and work accordingly.
  3. Don’t miss any paperwork. Without them, you can’t ship your products.
  4. Choose the right shipping partner. By choosing the right shipping partner, you will be profited.
  5. Pack your products well. Otherwise, your products can get damaged.
  6. Know the Custom Duty of UK. Use HS Code.

Some Best Reviewed Carrier Partners

 These are some carrier partners who will ship your goods or gifts from India to the UK on your behalf.

  • FedEx
  • DHL
  • DTDC
  • Delhivery
  • Aramex
  • Ecom Express
  • An all in one solution- Shiprocket
  • E com shipping solutions Pvt Ltd
  • TNT India
  • India post
  • Bombino express

How To Choose The Best Shipping Carrier Partner

  When you ship any goods or gifts from India to the UK, you need to consider the following things for choosing the best carrier partner.

  • Check their reviews
  • Check how many complaints of missing products are there against the carrier partner
  • Check if any complaints of hidden charges are there against that Carrier Partner.
  • Look for affordability. If the shipping charge is too high, don’t go for it. Because excess shipping charges can hamper your business
  • Know how much time the shipping carrier partner usually takes to ship products from India to the UK.
  • Fast and safe delivery will impress your customers and it will help your business to grow.
  • Check how many compliments are there against the shipping carrier partner of product damage
  • Check the shipping carrier partner’s popularity

Choosing a good shipping carrier partner when you are shipping internationally is very important. It can change your experience, good or bad.

Your experience in shipping from India to the UK can depend on you to some extent.

Your research about the best courier services, your packing style, your seriousness in providing information will make your experience good.

For all freight forwarding services, contact us now.

Is dhgate.com Safe and Legit? The Secret Guide

DHgate is a major online platform that connects businesses to businesses—wholesalers and Chinese suppliers.

It also includes a dropshipping platform MyyShop for full-sale distribution of goods.

DHgate hosts a large variety of suppliers to suit your every interest.

However, many question whether DHgate is a safe and legitimate business.

We are here to answer that question for you!

Is DHgate Legit?

 

Is DHgate real or fake? DHgate is most certainly a legitimate and real platform that hosts real suppliers selling real products.

While the website itself is reliable and working, there may be some questionable sellers (you can read about that further on). 

Products are not sold and shipped from DHgate itself, but rather from individual sellers.

DHgate ranks 21st among all marketing websites and have a consumer rating of 3.54 stars from 6,650 reviews.

Consumers satisfied with DHgate usually mention good quality, fast delivery, and low prices.

Is DHgate Safe for Card Payments?

The short answer is yes: DHgate is safe for both credit and debit card payments. 

Here’s why. 

Transactions are usually handled via the DHgate platform itself, instead of allowing for direct buyer-seller transactions.

This adds a layer of security for the money you pay. 

According to DHgate’s buyer protection policy, funds are held in escrow until the buyer has confirmed delivery.

The policy also ensures that the payment is only released to the supplier after the buyer has confirmed the arrival and condition of your goods. 

This way, your card information is held securely, and your funds are protected from scammers.

The supplier has no access to your information or your money until you confirm the delivery. 

You should never disclose your credit or debit card details to a seller.

Do not carry out transactions directly with a seller, because then you are not protected from scam. 

 DHgate was the first merchant in China to offer MasterPass, a service offered by MasterCard.

Besides major credit cards, the platform accepts Skrill, Western Union, and many other methods of payment — all of which are safe.

Overall, it seems that DHgate is safe from monetary fraud, and employs good buyer protection services.

You can trust the platform; DHgate will not steal your money. 

Does DHgate Provide Refunds?

DHgate has a Returns & Refund Guarantee.

According to it, if you are not satisfied with the quality of your goods, or if the products are significantly different from what was described, you are eligible for a refund.

A dispute may be started and you will receive your money back.

As soon as you receive your DHGate order, you must inspect it for quality immediately.

You can hire an agency to do that for you in China before shipment, or you can do it yourself with small orders.

If you happen to be disappointed with the quality, then you must contact DHgate within 90 days to get a refund. 

Here is why you may want a refund for your products: 

  • Item not delivered
  • Item does not function 
  • Item is missing some parts
  • Item is counterfeit
  • Item does not match the description.

Is It Safe to Buy From DHgate?

As mentioned above, buying from DHgate is completely safe. 

  • DHgate employs an escrow service
    • Sellers are not paid until you accept the goods
  • DHgate will help you resolve disputes regarding product quality
  • DHgate tracks your shipment to ensure delivery

The low cost of buying on DHgate itself is not indicative of a scam.

Here are the reasons why DHgate is so cost-effective:

  • Buying directly from the manufacturer
  • Low taxes in China
  • Buying in bulk
  • Low production cost in China

However, there are some issues that make people doubt DHgate.

Below, we will discuss these issues to help you avoid them.

Specifically, we will mention counterfeit production, product quality, and scammers. 

Does DHgate Sell Fake Products?

Unfortunately, just like many other e-commerce sites, DHgate has sellers that engage in counterfeit marketing. 

A recent report released by the United States Trade Representative cited a large presence of fake products, as well as the availability of some consumer products unsafe for reselling.  

DHgate has been improving its image recognition and seller vetting systems, increasing the number of inspectors who manually review listings for suspected counterfeits, and preventing the second registration of banned sellers.

However, the problem of fake products is still relevant. 

Most commonly, DHgate suppliers sell fake branded shoes and handbags, so be wary of these products.

Additionally, an Australia-based merchant monitoring and online safety company Austreme has also partnered with DHgate to ensure the safety of DHgate goods.  

However, you should also keep in mind that reselling fake branded products is illegal, especially in the US.

Thus, be careful when buying from DHgate. 

Does DHgate Sell Low-Quality Products? 

On DHgate, listing photos may not be representative of the final product.

This is because some sellers take images from other sources. Such copied images are indicative of counterfeit items and scamming vendors.

Often, items purchased through DHgate could be safe and legit but may have serious quality issues.

There are also categories of items, where flawed quality results in substantial consequences.

If you consider poor quality to be a scam, then you can be scammed on DHgate by certain sellers.  

It is advised that you buy in small quantities first—maybe 1 item, since DHgate has no MOQ.

You can then thoroughly examine and test products before placing your bulk orders. 

DHgate itself may be safe, but the sellers and their quality may not be.

The quality standards of the sellers on DHGate may not match the standards of your home country.

In fact, you may get caught up reselling dangerous or even illegal products.

Your products can be seized in customs and you may face criminal prosecution!

To avoid such quality issues, be especially careful with the following types and categories of goods branded counterfeit, electronics, personal care items, beauty products, and products that enhance the safety of the end customer (e.g. eye goggles). 

Can I Get Scammed by DHgate?

As mentioned, DHgate is just a platform for connecting B2B, so the website does not scam the buyers.

However, individual sellers may deliver poor quality products. 

DHgate itself is a legit marketplace, but some sellers on it are not legitimate.

Therefore, you need to research the supplier before making a purchase.

Scammers are everywhere but DHgate can immediately blacklist and ban scam seller accounts.

How to Tell If a DHgate Seller Is Legit?

To avoid getting scammed by sellers on DHgate, follow the steps below.

They will help make your experience on DHgate as safe as possible. 

To ensure a safe DHgate purchase:

  1. Check supplier background
  2. Order in small quantities
  3. Inspect large orders by hiring a Chinese inspection agency
  4. Examine your delivery at once

Checking the supplier background is the first and very important step.

If you buy from well-established sellers with the top ratings, you will have a greater chance of receiving quality goods.

Such sellers:

  • Have been selling for at least 2-3 years
  • Have a 95+% positive feedback
  • Have ‘Top Merchant’ or ‘Premium Merchant’ badges
  • Have a ‘Return Promise’ set up
  • Have a listed product quality of ‘above average’
  • Have a listed customer service of ‘above average’
  • Have a niche of products they specialize in 
    • Don’t sell a random catalogue of stuff

A note about the ‘Top Merchant’ and the ‘Premium Merchant’ badges—an excellent seller may not always have these, but it is a guarantee of great service and high-quality products. 

As for the ‘Return Promise,’ if a seller does not have it, you will not be able to request a refund, so purchasing from such sellers is risky. 

Additionally, you can try looking for a seller that has a local warehouse in your country.

While most products on DHgate are shipped out of China, some of the best sellers have warehouses in other countries like the United States.

If you find a suitable seller like that, then your shipping costs will be lower and you can be sure that the seller has a high demand and reliability. 

Another piece of advice: look at the general formatting of the seller store page.

If it is personalized, then it is likely to be a responsible seller.

However, some sellers leave the page in its stock format, and that may be indicative of an inexperienced or irresponsible seller. 

How Do DHgate Sellers Scam Buyers?

Overall, DHgate sellers can scam businesses in the following ways:

  • Untimely responses or ignoring
  • Customer service not mediating a dispute
  • The delivery time is too long
  • Charging shipping fees on products with free shipping
  • Raising the price when buyers place an order.

While these things are not directly scams, they can feel like one.

DHgate usually bans sellers that engage in such things. 

However, this is something to keep in mind when ordering from not-so-reliable sellers on DHgate. 

Is DHgate’s Shipping Safe?

DHgate’s shipping is generally safe and reliable, with delivery times ranging from 3 to 15 days.

In reality, sometimes shipping may take a very long time. 

Conclusion

DHgate is an e-commerce website that focuses on connecting suppliers of daily consumer goods with small and medium-sized businesses. 

Can you find a reliable seller on DHgate?

Yes, you can.

However, building a brand and establishing a stable supply chain via DHgate may be tough. 

DHgate is legit and safe to order in bulk from.

It is also safe for credit cards and debit cards.

Its buyer protection system is highly reliable. 

However, you need to research specific sellers to make sure that they deliver quality products. 

We have also compiled a similar guide about AliExpress, so feel free to check it out! 

Is Alibaba Safe and Legit? The Ultimate B2B Guide

Alibaba is the largest business-to-business marketplace across Asia. It connects international online distributors and importers with manufacturers. Even some Amazon and eBay sellers source products from Alibaba. 

Many start-up businesses use Alibaba to: 

  1. Purchase bulk products at a discounted price
  2. Import custom items cost-effectively
  3. Stock up price-sensitive items

Unlike DHgate, Alibaba hosts suppliers of industrial products, instead of daily consumer goods. 

Similar to other e-commerce platforms, many start-up buyers are unsure of the website’s safety. Here, we will discuss what you need to know about that.

Is Alibaba Legit?

Being Asia’s—and in some ways, the world’s—largest online marketplace, Alibaba is a real and legitimate business. They host legit suppliers that you can really develop your business partnerships with.  

However, some suppliers on Alibaba are not legit and they will scam you. For example, you may not receive your products after payment goes through. In such cases, Alibaba will investigate and ban that supplier.  

You must also be able to research your seller to ensure their legitimacy. 

Is Alibaba Good?

Alibaba is generally good and safe if you know how to avoid scams. Most suppliers on the platform are actually reputable and trustworthy. 

The website has a rating of 4.59 from over 12 000 reviews, indicating that Alibaba is good to order from. 

What Is The Safest Way To Pay on Alibaba?

Is Alibaba safe for credit card payments? If you are paying through Alibaba, then yes, your card information will be safe from fraud. 

Alibaba uses AliPay to process credit/debit cards. 

Secure Payment is one of the safest payment methods available on Alibaba. If you make a payment using Secure Payment, Alibaba keeps your money in escrow until you confirm that you have received your products. 

Escrow allows for protection for both buyers and suppliers. Your money is held in a separate account and managed by a third party. 

This way, the supplier knows the money is there, and the buyer knows that the supplier will not get the money until the products are received and examined.  

If there is any problem with the products, then you can dispute the payment and Alibaba may refund your money.

Paying through PayPal is also generally safe, but take care not to send money to an individual, but rather to a company. 

Western Union is not recommended because it is easy to scam buyers through. You will not be able to receive a refund if you paid via WU. 

Is It Safe to Buy Products From Alibaba?

Ordering from Alibaba is generally safe. 

You just need to know what to do when looking for a potential supplier. 

Does Alibaba Have Buyer Protection?

Alibaba offers buyer protection in the form of a Trade Assurance.

What is a Trade Assurance?

A Trade Assurance is Alibaba’s own platform for placing orders and managing payments. If the supplier accepts TA, then you can have a little more trust in that supplier. When orders go through Trade Assurance, you will get protection for your order payments. 

Alibaba has strict rules to keep transactions secure, but you should be informed either way. 

Trade Assurance is free for the buyer, and it places fees on payment methods other than Secure Payment. This is to deter suppliers from scamming buyers. 

Also, the amount of the TA order affects the supplier’s Alibaba ranking. The higher the amount of the order, the more visible the products published by the supplier will be.

However, suppliers can use schemes to increase their TA rating dishonestly.

Does Alibaba Sell Fake Products?

Unfortunately, just like many other e-commerce sites, Alibaba has suppliers that sell counterfeit items. 

Most commonly, DHgate suppliers sell fake branded Xboxes, Apple Products, and fashion clothing. 

If a deal seems too good to be true, like Gucci apparel for $10, this is a scam. 

You should also keep in mind that reselling fake branded products is illegal, especially in the US. Thus, be careful when buying from Alibaba. 

Can I Get Scammed on Alibaba?

As mentioned, Alibaba is just a platform for connecting B2B, so the website does not scam the buyers. However, individual sellers may engage in a variety of scam. Some of the most common scams include: 

  • Selling branded counterfeit items
  • Increasing the quote after you place an order
  • Providing a high-quality sample, but poor-quality order
  • Faking certificates
  • Shipping wrong, but similar products
  • Not shipping products at all
  • Registering an off-shore company

While other points may make sense, let us explain the last one. 

To increase the number of trade assurance orders, some Chinese companies register foreign companies. Then, these suppliers order products from themselves to improve their ratings and image.  

Below you will learn more about how to avoid this and other scams, so keep reading!

Scammers are everywhere, but Alibaba can immediately blacklist and ban scam seller accounts.

You can also consult Alibaba Scammer Lists and Supplier Blacklist. Additionally, you can run a google search for recent Alibaba scam forums. 

How to Find a Legit Alibaba Supplier?

Finding a legit and reliable supplier on Alibaba requires some dedication and research. If you follow the advice below, your chances of getting scammed will be minimized. 

  1. Check for a Gold Supplier status.What is a Gold Supplier status on Alibaba?It’s a premium, paid account for suppliers, costing several thousand dollars per year.While this status does not always indicate a legit supplier, but know that scammers do not usually pay for this status.Be careful with free Alibaba accounts, because scammers prefer these.Also, there has been a fraud when scammers hack or buy Gold Supplier accounts off of businesses that are closing.

    In these cases, such accounts would try selling a lot of random branded items, and there would be a noticeable change in the products published before and after.

    But, generally, Gold Supplier status is a good indication.

     

    Gold Supplier status

  2. Check how many years the supplier has been on Alibaba.
    If you find a supplier that has been on Alibaba for 5+ years, you can be sure that this is an established, real supplier.
    This is because scammer accounts get caught and banned fairly quickly, not lasting for more than a couple of years.Supplier experience
  3. Stay away from deals that seem too good to be true.
    If a supplier is trying to give you products for free, or offer free delivery, know that this is likely a scam.
  4. Use the Verified Supplier filter.
    Using this filter will also give you a good indication of which suppliers are trustworthy on Alibaba. However, if your product is very niche, not many good suppliers will have a “Verified” badge, so keep that in mind.
    The verification of a supplier is done by a third party inspecting company. For example, SGS, TUV SUD, and others. Verification involves checking:
  • Company profile
  • Enterprise qualification
  • Business scope
  • Product R&D
  • Quality assurance
  • Cooperative factory
  • Aftersales service
  • Factory audit video

    Verified Information
  1. Check the supplier’s legal status.
    If a supplier on Alibaba has the “legal status checked,” then Alibaba employees have verified that the business exists in real life. However, this only implies that the physical place exists.
  2. Check transaction history.
    ​​Transaction history is indicated by the small, orange diamonds next to the supplier’s name.These indicate how many sales a supplier has done on Alibaba: the bigger these numbers are, the better.
  1. Check ratings and reviews.

Generally, the more reviews, the better. Also, read through any bad reviews to see what potential problems the manufacturer has. Watch out for the following:

  • Low product prices and complaints about low quality
  • Reviews of defective parts 
  • Complaints that the first shipment was good, but the second shipment was not
  • Poor working conditions in factories
  1. Check supplier’s certificates.
    Many suppliers will show the scanned certificates for their products, their manufacturing facility, and other parts of their business. This provides further proof that they are a genuine supplier.
    There also may be products requiring specific certificates for legal import. Make sure that your potential supplier complies with them and can prove that.Now, it could be the case that the certificates are fake. If you want to check, contact the company that issued the certificate and ask for a confirmation.Usually, you can do that quickly and for free online. For example, you can contact SGS to verify industrial certificates.
  2. Check trade show attendance.
    Look for indications that the supplier attends trade shows, like the
    Canton Fair.A genuine Alibaba supplier may post pictures or videos from the recent show.Scammers do not attend trade shows.Trade show attendance
  3. Check the supplier’s factory videos.
    If a supplier has a video on their Alibaba account, watch it! It may be produced by Alibaba, in which case, you can be sure that the company is legit.
    If the video is produced by the supplier, look for their custom signs. Things like logos, specific goods, etc. Watch out for generic footage of office buildings and random factories, as well as for stock photos.
  4. Check Global Sources.
    If the company has a verified profile on
    Global Sources, then you can be sure that the supplier is legit.This is because Global Sources takes its verification process very seriously and has extremely strict requirements for authentication.
  5. Check the supplier’s website.
    Another piece of advice: look at the general formatting of the seller store page.
    If it is personalized, then it is likely to be a responsible seller. However, some sellers leave the page in its stock format, and that may be indicative of an inexperienced or irresponsible seller.You can also visit the company’s official website, if it exists. Bonus points if the website is in English—this indicates that the company is partnered with businesses globally.Example of good website
  6. Check product categories.
    If a supplier has many different product categories (e.g. home decor and electronics), this is a sign that the supplier is either a trader or a scammer.
    A manufacturer will offer you a better deal than a trader, so if you are looking for a long-term supplier, a manufacturer is better.Legitimate and established suppliers often have a niche of products within one category. This indicates that the manufacturer specializes and is an expert in one area.
  7. Check return policy.
    It is recommended that you always ensure that the supplier has a return policy before placing the order. This protects your order and it will be easier to get a refund if something goes wrong.

Conclusion

Alibaba is an e-commerce website that focuses on connecting suppliers of industrial products with large and medium-sized businesses. 

Can you safely buy from Alibaba? Yes, you can. However, you should be careful about choosing your supplier because you get scammed. 

Alibaba is legit and safe to order in bulk from. It is also safe for credit cards and debit cards. Its Secure Payment and Trade Assurance systems are highly reliable. 

We have also compiled a similar guide about AliExpress and about DHgate, so feel free to check them out and start your dropshipping wholesale business! 

Pallet Exchange Fee: The Ultimate FAQ Guide

If you have any questions or you would like to learn more about pallet exchange fee, read this guide.

It has all information you’re looking for – keep reading.

What Is A Pallet Exchange Fee?

It is a fee charged by the carrier to the owner of the cargo in case the owner’s appointed trucker does not provide another pallet.

Which is to be exchanged at the time of collection of the cargo.

When Do Carriers Charge A Pallet Exchange Fee?

It is charged when cargo is shipped through cargo consolidation such as less-than-container load (LCL), buyer’s consolidation (BC), and air freight shipment.

In cargo consolidation, the local vendors usually supply the cargo to the carrier loose or palletized cargo before they can consolidate them.

After shipping the cargo, the consolidated cargo is taken to a deconsolidation center where the consignee’s appointed truckers collect the cargo.

In case the trucker does not provide the empty cargo pallets on pick up, the carrier charges a pallet exchange fee.

The fee is used to account for the loaded pallet given to the trucker.

How Much Is The Pallet Exchange Fee?

The pallet exchange fee varies depending on the carrier and location.

It is billed to the consignee as a destination fee.

The fee accounts for the cost of the pallet and ranges from $3.00 to about $10.00 per pallet

Will The Number Of Pallets Used Affect The Pallet Exchange Fee Rate?

The exchange rate for a single pallet is rather very cheap.

In cases of a large volume of consignment, the number of pallets will also increase.

The cost for the pallets will add up quickly.

In such situations, the consignee can negotiate for a better rate and if possible, to be waived completely.

Do All Carriers Charge A Pallet Exchange Fee?

Pallet exchange fee exists in the shipment industry.

The fee acts as a way of recovering the cost of the pallet in case it is given to the trucker.

Most carrier factor in this fee in the CBM (cubic meter) rates when consolidating LCL or air freight cargo

Is Pallet Exchange Fee Legal?

The pallet exchange fee is legal.

It is charged for the pallets that are handed to the receiver without a replacement.

The fee is used to recover the cost incurred by the carrier to acquire the pallet.

What Is The Difference Between Pallet Rental Fee And Pallet Exchange Fee?

A pallet exchange fee is a levy charged to exchange pallets between carriers and the consignees.

The pallet rental fee, however, is a fee charged by the pallet rental company to use their pallets in shipping for cargo.

How Can I Reduce/Avoid Pallet Exchange Fees?

Pallet exchange fee can be reduced or avoided through the following methods:

Cargo consolidation: you consolidated your cargo to fill Full Container Load (FCL).

It is cost-effective if you can fill the container.

Alternatively, evaluate the shipper’s ability to hold the cargo until you fill the FCL container rather than shipping LCL cargos frequently.

Here, the carrier will not use its pallets when consolidating your shipment.

This method is rather difficult.

It may need a proper case study to compare the shipping cost to the extra pallet exchange fees.

Negotiating for lower rates:

When shipping large consignments, pallet charges may add up quickly even though the price per piece is very low.

It is advisable that you negotiate a better exchange fee or even waived depending on the quantity of the cargo.

Procuring your pallets:

It is very economical to use your pallets since the pallets have no markup.

This saves the cost of shipment in the long run.

Pallets are available both as new and refurbished and are very durable.

Fixing worn-out pallets has a very minimal fee compared to replacing them.

Pallet pooling: this is relying on pallet rental companies to provide and manage pallets.

It relieves the supply chain companies from the management of pallets.

It offers a scalable pallet supply even on short notice.

Is There ‘Free Time’ In Relation To Pallet Exchange Fees?

The pallet exchange program lacks the flexibility to accommodate the rapidly changing demand.

The management of the pallet fleet by suppliers and warehouse managers is very tedious.

The pallet exchange program has limited control over the quality of the pallets exchanged and their state of the hygiene

Does The Pallet Exchange Fee Apply To All Shipments?

The pallet exchange fee mostly applies to air freight and LCL shipments.

Airfreight and LCL shipment involves cargo consolidation by the carrier of freight forwarder.

During the consolidation of cargo, the carrier may return the pallets to the cargo delivery truckers.

In this case, they will have to use their pallets in the Container Freight Station (CFS) or at the airport consolidation center.

At the consignee location, the cargo is moved to the deconsolidation center.

Upon pick up, the appointed trucker must provide empty pallets to replace the loaded pallets.

In case the trucker does not have empty pallets, the carrier has to give up their pallet for transportation of the cargo.

Once the pallet is given, the consignee is charged the pallet exchange fee to account for the pallets given.

Will The Pallet Exchange Fee Impact The Ultimate Cost Of Shipping?

Pallet exchange fee today is most incorporated in the CBM rates during the consolidation of LCL cargo or at the air freight cargo facility.

It is rarely featured in the invoice or shipping quotation.

If it does feature, it is usually addressed as a destination fee.

It increases the overall shipping cost of cargo to its designated destination.

Additional Resources:

Pallets Manufacturers In China

Shipping Pallets

Pallets Size And Dimensions

How To Prepare Pallets For Global Shipment

For all your shipping needs from China, contact Tj chinafreight now.

Per Diem Charge: The Ultimate FAQ Guide

If you have any question about per diem charge, you will find the answer right here.

So, keep reading to learn more.

What Is A Per Diem Charge In International Shipping?

Per diem charge refers to the fee charged once a container exceeds the set free days. The charges will vary based on the type of equipment and carrier.

Per diem fee is charged daily until the container is returned to the port.

Who Is Liable For The Per Diem Charge?

The importer is responsible for settling the per diem charge with the respective carrier(s).

Why Do Carriers Charge Per Diem?

Per diem is charged to ensure the efficient circulation of containers.

Aside from that, it prevents importers from overstaying with the containers and caters to any losses incurred during the period.

Is Detention Fee The Same As Per Diem Charge?

Per diem is a type of detention fee with a fixed rate that containers are charged daily once they exceed the free time.

However, per diem and detention are often used synonymously as both are fees charged on late containers.

How Does The Per Diem Charge Work?

To get a proper understanding, here is a brief example of how the per diem charge works. For instance, you intend to import a container to the US via a shipping line.

As soon as your container is cleared by customs you will be given a certain number of days to freely use it.

If these “free days” lapse, the ocean carrier will charge you a per diem fee each day after the expiration of the free days.

Charges often range between $125 and $175 for each extended day until you return the container.

Such amounts can escalate to a higher value when dealing with several containers annually and thus it’s always important to avoid per diem charges.

What Is The Difference Between Demurrage Fee And Per Diem Charge?

Demurrage fee refers to a charge imposed by the shipping line on cargo that overstays at the port terminal without being transferred for unpacking within the free days.

On the other hand, a per diem charge is applicable when you overstay with carrier equipment such as a container past the allocated free days.

How Are Per Diem Charges Calculated?

For instance, let’s say you have a 20ft container arriving on the 10th of April and can be ready for pickup on 4th May.

This means you will have 25 days before the container is collected. Other figures you will need in the calculation of the charges include;

  • The number of free days: 5
  • Total days charged with detention and demurrage: 20
  • 20ft rate after 10 days: 120,00
  • 20ft rate on the first 10 days: 60,00

With 25 days available for container pick up, you will pay for the 20 days since you have 5 free days. Meaning, you will be paying;

10days x 60,00 =600,00

10days x120,00 =1.200,00

Total =1.800,00

When calculating demurrage or detention, It is advisable to use demurrage and detention charge calculator.

How Can Per Diem Fees Impact My Supply Chain?

When shipping, you’ll want to consider detention, demurrage, and per diem charges as they can greatly impact your shipping business.

And it’s easy to see why.

Every small fee charged on every container can sum up to hundreds if not thousands of dollars per shipload of cargo.

And that’s not enough, per diem fees can also cause delays.

As a business, such charges should be avoided at all costs if so, you are projecting on increased profit margins within the supply chain network.

Knowing these fees is critical in coming up with possible ways to avoid the charges and reduce negative impacts on the supply chain.

Can I Negotiate The Per Diem Charge Per Day With My Carrier?

Per diem charge is a fixed amount. However, you can negotiate free days with your carrier. This is mostly valid for “large shippers”.

How Do I Avoid Per Diem Charges?

Below are some of the ways you could avoid per diem charges;

  • Contract specifications – You can negotiate the number of free days with your carrier detailing specifics that might hinder you from returning the container at the allocated time.
  • Labeling, Cleaning, and packaging – inspections done at the customs can result in your container being delayed in turn incurring per diem charges.
  • Ensure that your goods are properly labeled and you possess every required documentation to avoid falling into such a situation. Also, clean your container as this also causes delays when passing goods through customs.
  • Draymen Scheduling – With some ports being congested and busy, it’s important to book a drayman in advance to avoid any container pickup delays.

Can A 3rd Party Logistics Company Help Me Avoid The Per Diem Charge? How?

Yes, 3rd party logistics company keeps track of your container’s movement from arrival to delivery.

Since most use systems to handle the cargo, expect fast supply chain cycle times.

In cases where a per diem charge is imposed due to their operations, they shall be liable to the charges and not the customer.

What Happens If I Need To Keep Storing Cargo?

To save money, offload your cargo and store it in a warehouse as it is much cheaper than per diem charges.

By so doing, you also allow the container to be returned to the port at the required time.

How Is The Per Diem Charge Different From Port Storage Charges?

We can easily define per diem charges as “equipment rental fee” while storage charges are incurred as a result of using the physical space at the port once the free time lapses.

Are There Any Special Considerations In Relation To Per Diem Charges?

No. Per diem charges are fixed and it’s only the free days that can be negotiated upon.

Why Are Per Diem Charges Controversial In The Shipping Industry?

Per diem charges are controversial since shipping lines have been accused by importers and exporters to have unfair practices (e.g., unreasonable charges and less free time).

This has led FIATA and USFMC to introduce practice guides and recommendations to curb such practices.

More Resources:

Chinese Freight Forwarders

Demurrage

Importing From China

Shipping From China

For all your shipping needs from China, contact TJ China Freight now.

Port Filings: The Ultimate FAQ Guide

If you have any question on port fillings, you will find the answer right here.

So keep reading to learn more.

What Is A Port Filing In Shipping?

A port filling refers to a message sent to the port to notify the presence of a container on board a particular vessel and the destination location of the vessel.

This notification also includes the export declaration documents as this step comes as soon as export clearance is done.

Why Are Port Filings Needed?

Port filing is important since it assists in detecting high-risk shipments and prevents any dubious activities such as the smuggling of goods.

During importation or exportation, some goods can be restricted or banned either due to health, safety, and environmental reasons.

Port filing helps identify and control such goods and ensure that they have proper certifications before entering the country.

Who Is Obliged To File Container Port Notification?

The party obliged to file container port Notification is the shipping company who is the contractor of carriage.

The shipping company is obligated to file container port notifications since they know every detail about the cargo as per the ocean B/L level from a loading port.

And that’s not enough. Given that the Non-Vessel Owning Common carrier (NVOCC) knows the cargo information as per the House B/L level during departure, they are also obligated to file cargo information.

Nevertheless, you need to be aware that at the beginning, consignors who are contractors of freight forwarding businesses can also file cargo information. Such freight forwarding businesses work with shipping companies.

Importers can also file Container Port Notification.

How Are Port Filings Done?

After cargo has passed through export clearance, port filing commences.

Port filing can either be done by a shipping company, NVOCC, or by yourself if you wish to.

Take into account that the port filing information and commercial invoice are uploaded during the submission of a clearance request.

What’s more, all port filings are electronic and submitted to the Automated Manifest System. The importer needs to provide around 10 pieces of information.

Such information include;

  • Buyer, seller’s and stuffer’s contact information
  • Name, address of the destination
  • Country of origin
  • Number of consignees
  • Record number of the importer among others.
  • Numbers of commodity Harmonized tariff Schedule

This information needs to be submitted no later than 24 hours before the arrival of the ship in the United States. Failure to observe this attracts fines and penalties.

Is It Possible To File Container Arrival Information Through Shipping Agents In Origin Country?

Yes, you can file container arrival information with help from a shipping agent in the origin country.

Is It Only Maritime Cargo Carried By A Container Vessel Required To Be Filed?

No. Every container cargo entering a foreign destination port needs to be filed including maritime container cargo carried by any vessel.

What Data Elements Are Required On A Port Filing?

Below are some of the data elements you will require on a port filing;

  • Name and address of the manufacturer, buyer, seller, and consolidator
  • Consignee number
  • Country of origin
  • Location of container stuffing
  • Harmonized Tariff schedule number
  • Importer of record number

Are Port Filings The Same As AMS (Automated Manifest System) And ISF (Importer Security Information) Filings?

While port filings notify the presence of a container on board a particular vessel and the destination location of the vessel, AMS is a document describing the inbound cargo and it is normally submitted to the US customs.

On the other hand, ISF requires importers to submit information to CBP about their shipment before departure from the port.

What Is The Deadline For Port Filings?

The deadline for port filings is 24hours before departure from the loading port. By so doing, the date and time of departure can be confirmed early enough by customs or the fillers.

What Are The Consequences Of Late Port Filings?

Late port filings not only attract fines and penalties but also delays clearance.

What Happens If A Port Filing Cannot Be Completed Because Of A System Outage?

The fillers should reach out to customs and if the identified issue is caused by electronic or communication problems, fillers will be required to file cargo details in writing.

The filing of the cargo information should be done by the deadline set by the country’s customs.

Filing exemptions will only be valid if the issue occurred as a result of a natural calamity.

Is It Possible To Amend Or Cancel A Port Filing?

Quite frankly, yes. The party responsible for making the original filing can amend or cancel a port filing before the shipment accesses the limits of the destination port.

What Is The Port Filing Fee?

The port Filing Fee varies from one country to the other and it’s a flat fee per bill of lading will which is charged on the filed cargo. This flat fee is normally included in the Bill of lading as port filing.

If you have any question on various freight terms, Tj chinafreight is here to help – contact us now.

Pier Pass Fee: The Ultimate FAQ Guide

This guide will answer all your question on the pier pass fees.

So, read this guide if you want to learn more.

What Is A Pier Pass Fee?

Pier pass fee is an extra fixed charge for every cargo container passing through ports of Long Beach and Los Angeles during daytime and nighttime.

This fee was implemented by the two ports in a bid to ease congestion and reduce traffic in the region.

The Pier Pass fee caters to extra labor needed during off-peak hours to handle the operations at the port.

Who Pays For Pier Pass?

The owner of the cargo or shipper is responsible for paying the pier pass fee for import/export containers moving during all shifts.

What Are The Benefits Of the Pier Pass Fee?

Pier pass fee is designed to control pickups and deliveries during peak and off-peak hours via an extra fee.

This in turn has several benefits for other parties along the supply chain.

Cargo Owners

Since importers have a longer time to pick and deliver cargo, cargo owners can continuously receive cargo.

Additionally, it ensures that production schedules are on time.

The continuous flow of cargo also allows cargo owners to efficiently make plans on available resources.

Community And Environment

The implementation of the pier pass fee has also resulted in environmental benefits since there is a pollution reduction.

Less traffic and waiting times are the two main reasons why less pollution has been achieved.

Not to forget that there is minimal congestion around port areas and surrounding port roads.

Port Operators

During off-peak hours there is less congestion experienced by port operators due to the even spread out of container reposition.

What this means is that trucks consistently deliver cargo in and out of the port without any delays.

Aside from that, there are efficient vessel operations and utilization of port space.

Trucking Providers

The reduced waiting times benefit trucks when picking and delivering containers.

They can make extra trips per day owing to the fast services.

How Did The Pier Pass Fee Come About?

Pier pass fee was launched in 2005 by marine terminal operators of Los Angeles and Long Beach.

Its main purpose was to address port issues such as security, congestion, and air quality.

The off-pick program initiated regular Saturday shifts and nightshifts to control trucks that were delivering and picking up containers in the two ports.

Pier pass fee was created at a time when the largest port in the US was a fast-growing container getaway.

All international container terminals in the two ports started extra shifts every week.

With time, advancement in technology and industry growth surpassed the shift-based program.

This in turn fueled the launch of Off-Peak 2.0 later in 2018.

How Much Is The Pier Pass Fee?

Pier Pass fee is a fixed charge imposed on containers moving at the port of Los Angeles and Long Beach during daytime and nighttime.

From August 1st, 2021, the fee was set to be $34.21 per TEU or $68.42 for all other container sizes.

Are Pier Pass Fee Charged By Container Or Appointment?

Pier Pass fee is charged by the container. This is because it is included in the existing Off-peak program.

How Often Does The Pier Pass Fee Change?

Pier Pass fee rates are revised every year, and announcements are made on the 1st day of August annually.

Does The Pier Pass Fee Apply To All Shipping Services?

Pier pass charges are only applicable when using FCL service and moving your cargo through the port of Los Angeles or Long Beach.

Pier pass fees will however not be applicable when using LCL, courier service, or air shipping to the US.

What Are Some Pier Pass Fee Exemptions?

Some of the containers that are exempted from the Pier Pass fee are not limited to;

  • Domestic cargo
  • Rail intermodal containers
  • Bare chassis
  • Transshipped containers
  • Empty containers
  • Bobtail trucks

What Is The Difference Between Pier Pass Fee And Clean Truck Fee?

A clean truck fee was implemented by the ports of Los Angeles and Long Beach.

As a component of the Clear Air Action Plan, it aims at decreasing air pollution.

On the other hand, the Pier Pass fee is imposed on containers moving via the Ports of Los Angeles and Long Beach during daytime and nighttime.

Related Resources:

Incoterm 2020

International Freight Forwarder List

For any shipping needs from China, contact us now.

Warehouse Equipment Checklist -The Ultimate Guide

To successfully run a warehouse, having certain essential equipment is vital regardless of the function and space.

Talking of essential equipment, below are some classifications of the commonly used warehouse equipment.

You might want to consider when purchasing warehouse equipment;

  • Lifting equipment
  • Storage equipment
  • Docking equipment
  • Safety equipment
  • Conveyors
  • Packing equipment
  • Bins and Containers
  • Facility accessories

Warehouse Lifting Equipment

As the name implies, lifting equipment is used to move pallets of inventory from one location to another.

Some of this equipment includes;

  • Forklifts -They are used to move heavy inventory.

Not only does it reduce accidents and fatalities but also decreases financial loss caused by damaged goods.

  • Hand trucks – Hand trucks are used when lifting both light and heavy goods.

They minimize strain and facilitate the efficient moving of inventory.

  • Service carts – Service carts aid in moving goods from one point to the other around the warehouse.

This way, work is done fast and accidents are minimized.

  • Pallet Jacks – Not only does it manually lift pallets but also transports small goods over short distances.

If at all you want to ease your work, pallet jacks are the solution to help you shift and lift goods effortlessly as well as stack things at the warehouse.

  • Cranes– Cranes help in lifting very large and heavy goods that could otherwise not be lifted manually.

Using cranes in the warehouse facilitates the efficient movement of loads and increases employees’ safety.

  • Dollies and casters – Dollies are wheeled equipment designed to move heavy loads from one area to the other.

Casters are undriven wheels that are normally fixed on large objects to facilitate easy movement.

Not only are casters used in carts and wagons but also materials handling equipment.

Warehouse Storage Equipment

Proper storage equipment helps to identify and locate goods faster when needed thus lowering response.

Also time and ensuring the accuracy of items picked are lowered.

Below are some types of storage equipment that are commonly used in warehouses;

  • Flow racks – This equipment uses gravity to move inventory to the pick-up point. They separate the operator work zone from the delivery area thus controlling the flow of inventory.
  • Pallet racks – Pallet racks help in storing pallets on metal shelves.

If you want fast access to store goods, you should consider having pallet racks included in your warehouse equipment.

  • Industrial shelving – This storage equipment is mostly applicable on hand stacked inventory that is not stored on pallets.

Most warehouses have industrial shelving as it is not only strong but also space-efficient for the storage of small goods.

  • Cantilever racks – Cantilever racks are the ideal equipment for storing long, bulky, and oversized goods.

This can range from steel sheets, metal pipes, furniture, PVC, sheetrock, lumber, and steel bar stock just to mention some.

Cantilever racks allow quick access to such types of goods thus saving time and money while at the same time increasing productivity.

  • Reel and Spool rack – These types of racks are used to store items such as wire, chain, cable rope, and hose among others.
  • Drums and barrel racks – As the name implies, this storage equipment is used to store drums and barrels.
  • Note that the drums and barrels must not contain any hazardous liquids.

Storing liquid in such equipment makes it easier to move them as well as avoid spillage.

Warehouse Docking Equipment

Docking equipment facilitates the efficient movement of cargo to and from your dock doors. The safety of your docking area should come fast since it is the junction of receiving and shipping procedures.

Below is some docking equipment you might want to consider;

  • Dock plates – Dock plates act as a bridge between the loading dock and the trailer. Not only can they be easily positioned by hands but also are designed to be portable.
  • Yard ramps – Yard ramps aid in loading and unloading processes in a warehouse. They facilitate the effortless lifting of cargo from ground level to dock height.

One of the top benefits of this equipment is its portability as it can be used in almost any location.

  • Edge-of-dock levers – An edge of dock lever is normally fixed onto an edge of a wall to the trailer to facilitate the loading and unloading of trailers.

Essentially, it reduces the effort used to lift cargo up and down the trailer.

  • Dump hoppers – Just as the name suggests, a dump hopper is used for storing items awaiting to be dumped.

It ensures that the items are easily dumped.

You will find dump hoppers in warehouses, agriculture, and construction sites just to mention a few.

Warehouse Safety Equipment

Safety equipment is a must-have in any type of warehouse owing to the high risks involved when handling inventory.

As such, having the following equipment in your warehouse will ensure the safety of all employees.

  • Safety mirrors – Proper visibility is essential when working in a busy warehouse. Mirrors in a warehouse help to see everything from different angles.

Dome or convex mirrors are used in warehouses to provide proper visibility to employees when operating in high-traffic areas.

  • First aid kits – First aid kits come in two classifications namely class A and class B kits. Both kits have all the basic items required when administering first aid.

However, the class B kit is specially designed for use in workplaces that have extra risks.

  • Barrier rails – Barrier rails offer protection to valuable equipment, structures, and workers from damage caused by forklifts.

This equipment reduces the occurrence of injuries as it limits access to forklift areas with high traffic.

  • Handrails – Handrails are used to ensure that employees’ safety is upheld as they walk around the warehouse.
  • Wire partitions – A wire mesh is used to make a wire partition that generally separates two or more areas.

Wire partitions are not only used to store tools but also hazardous materials as it also functions as a security cage.

  • Warehouse safety signs – Just as seen on highways, warehouses also have safety signs which indicate safety precautions to be adhered to.

In as much as this might not sound very effective in preventing accidents, they help curb them especially in areas with heavy forklift traffic.

It’s worth noting that the signs used need to comply with OSHA standards.

  • Anti-slip mats/ anti-fatigue mats – These mats not only provide a comfortable standing surface but also prevent slip.

Keep in mind that standing for long periods on a hard surface can lead to health problems and reduce productivity.

Thus, anti-fatigue, mats offer a greater solution for this to warehouses that have their employees standing for long.

  • Hard hats -Hard hats are a type of helmet specifically used in some workplaces such as warehouses and construction sites to prevent head injury.

Some hard hats are designed to reduce electric shocks and are mostly used by employees working near exposed electrical conductors that pose risk on the head.

Warehouse Conveyors

Generally, conveyors are used to move inventory from one point to the other without physical handling.

Not only does this reduce injuries but also saves time and labor in processes such as picking, packing, and dispatching.

That said, below are some examples of conveyors.

  • Belt conveyor
  • Chain conveyor
  • Spiral conveyors
  • Flexible conveyors
  • Dustproof conveyors
  • Automotive conveyors
  • Vertical conveyors
  • Plastic belt conveyors
  • Gravity roller conveyors

Warehouse Packing Equipment

Packing equipment facilitates efficient and fast packing of inventory by warehouse staff.

Moreover, labor costs are reduced and consistency in wrapping packages is adhered to.

What’s more, items cannot be easily separated while using packing equipment.

That said, below are some packing equipment used in warehouses;

  • Stretch wrap machines – Just as the name implies, a stretch wrap machine is used to wrap products with a protective film before they are stored.
  • Industrial scales -Primarily used to weigh goods packed in boxes, pallets, and barrels.
  • Packing tables – Packing tables are used when stacking, sorting, and packing products before they are shipped.
  • Strapping and banding equipment – This equipment not only bands but also bundles goods for storage and shipment.

Bins And Containers

Bins and containers help in organizing and grouping items in a warehouse to facilitate accessibility and save time. Some of these include;

  • Bulk boxes – These are pallet-sized boxes that not only help in storing but are also used when shipping bulky cargo.
  • Totes – Totes are stackable containers used to store both small and medium-sized solids and liquids.
  • Bins- Bins aid in the organization and quick accessibility of stored merchandise.
  • Wire mesh baskets -As compared to bulk boxes, wire mesh allows air, dust, and light through and can be collapsed.

Warehouse Facility Accessories

Having known most of the vital equipment used in a warehouse,

there are some other accessories you can never miss in some warehouses. Some of these are not limited to;

  • Warehouse gloves -Gloves serve as a piece of protective equipment to employees as they handle inventory. However, they are normally not required in most warehouse environments.
  • Rolling ladders – Rolling ladders make it easier to efficiently move products that are not contained in pallets.
  • Fans and heaters – This equipment regulates temperatures in a warehouse that lacks central systems.
  • Mezzanines – Mezzanines refer to raised platforms that can be used to store items or as a working space among other uses.

The main function of mezzanines is to add to the floor area of the warehouse without necessarily expanding the structure.

Warehouse Scales And Check-Weighers

Scales and weighers are equipment used in measuring the weight of goods in a warehouse. They can be integrated with other warehouse equipment such as barcode scanners,. Conveyors, or any software systems and increase productivity.

Some of the common scales and check-weighers include the following;

  • Small parts scale
  • Pallet scale
  • Floor scales
  • Check-weighing and cubing
  • High-speed check-weighing conveyor scale

Further Reading:

Bonded Warehouse

How To Find Warehouse In Guangzhou

Amazon FBA Warehouse Locations

Shenzhen Warehouse

Yiwu Warehouse

For all your shipping needs from China, contact Tj chinafreight now.