Nestled in the clear blue waters of the Greater Antilles in the Caribbean Sea, the Dominican Republic is perhaps best known for its white sandy beaches and world-class golf courses. But here's a little-known economic fact: According to the World Bank, the Dominican Republic has actually enjoyed one of the strongest growth rates in Latin America and the Caribbean over the past 25 years.
The Dominican Republic's economy has largely rebounded from the global recession. It remains one of the fastest growing economies in the region. Its top three trading partners include the United States, China and Haiti. As a small island nation, the Dominican Republic relies far more on imports than on exports. In this article, we will take a closer look at importsfrom the Dominican Republic.
What are the main imports of the Dominican Republic?
Destination ship generation: your eyes and ears are there
The world of shippingis huge, complex, and definitely not lacking in regulations. Given the complex systems of this sprawling industry, hiccups are not uncommon. Whether you are an experienced shipper or not, it is always advisable to have an agent at the destination. This avoids unnecessary problems that can result in additional costs, delays, not to mention headaches.
Freight Forwarder: The designated party at the destination who handles your shipment and helps monitor it.
In case of unexpected problems, you can rely on your proxy. It is his/her responsibility to properly identify and resolve these issues. All this without any hassle for yourself - the client. Generally speaking, the responsibilities of an agent include document presentation, customs clearance, and delivery. It can even be a combination of these. But this is just an overview. What an agent is really responsible for varies from situation to situation and largely depends on the scope of the job.
What could be wrong
Shipping regulations and processes vary widely. Typically, they depend on the type of cargo, the country of destination, etc. Certain countries require very specific paperwork, not to mention the different logistics availability at each port. It is a risk not to pre-register an agent at the destination before the shipment leaves. This means having to deal with your own customs clearance, delivery services and any other unexpected issues.
All of this can lead to additional costs and logistical inefficiencies. The shipper/consignee will have a lot of extra work to do to determine what went wrong. This is just the first step. Then he may have to find a provider who can solve his problem. This all translates into unnecessary extra costs and delays.
Shipping without a shipping agent at the destination
At TJ chinafreight we are sometimes hired to deliver to port and told not to entrust to any agent. In this case, we only communicate all relevant information to the shipper. We send final warnings of estimated departure time and estimated arrival time to customers. But no one is responsible for notifying the consignee of the arrival of the goods.
If you use a vetted TJ chinafreightagent, we send alerts to shippers and agents at no extra cost. Our agents don't just check that all documents are correct. They also ensure destination charges meet expectations and adhere to industry and national practices. They can also meet any other requirements the consignee may have.
Shippingis a huge industry. Almost every trade or business has been exposed to ocean shipping at some point. If you're thinking about venturing into the business world and considering ocean shipping as your primary mode of transportation, there are certain misconceptions you need to be aware of.
Get familiar with the facts to avoid nasty surprises that can cost you unnecessary delays. In this article, we'll address major misconceptions about ocean shipping.
Not exactly correct. Yes, there is a cost to shipping. But compared to other international shipping methods, sea freight is definitely the most cost-effective. If you didn't already know, shipping accounts for 90% of world trade. That said, it is clearly the best and most cost-effective option for global importers and exporters.
If you're moving overseas and want to ship your household items by sea, reducing the number of items you bring with you when you move may cut costs. If you're looking for a cheap outlet, maybe it's best to consider leaving these behind (depending on their value) and buying new furniture in your new destination country.
At the end of the day, your final shipping fee depends a lot on how many items you're shipping. This brings us to the next point.
2. I can ship anything I want
Incorrect. Everything you put in the container needs to be listed on the packing slip and then submitted to customs inspection. Each country has its own regulations for certain commodities and commodities. Some items may be prohibited, while others may require you to obtain a special permit to enter. For example, if you're shipping wood-related items or have wood packaging material, you must make sure they're pre-treated. When in doubt, always consult your freight forwarder.
You can't get any further from the truth. Not only do container shipping rates fluctuate regularly, they are also affected by many factors - some beyond your control. These include seasonal, political, and economic (demand and supply) factors. You should also be familiar with the concept of general rate increases or GRIs announced by shipping companies from time to time.
4. The content I post is private and not accessible to anyone but me
Sound the alarm! Even if only a fraction of the world's containers are inspected, you should not assume that your cargo will not be marked (randomly or otherwise) for inspection. For shipments arriving in the United States, the number is higher. But not a lot - 5%. U.S. Customs has only gotten stricter over the years, which means you should always be prepared for inspections that may occur.
5. I can plan my supply chain based on the estimated arrival date of my shipments
The latest figures show that only 74.7% of ships arrive on time. In other words, one out of every four shipments is late. If you think you can plan your logistics based on the estimated arrival date indicated by the shipping line, think again. The reliability of the carrier program has declined compared to last year and is still returning to its previous on-time rate. Late arrivals are not uncommon and can be the result of a variety of factors, including natural phenomena such as hurricanes, large shipments, etc. Keep up with the latest shipping news and keep up to date with the latest industry developments.
In any business where the two companies decide to work more closely together, the overall success will largely depend on the trust and reliability between them. Enterprise data protection should never be underestimated. But let's make a clear distinction between necessary and redundant. Secrecy about costs and opportunities protects our competitive advantage...or does it?
Rate transparency
On average, it takes 4 to 7 business days to negotiate and complete a reservation. This includes time spent sending back and forth emails and phone calls to reconfirm costs and possible discounts between direct customers and overseas quoting agents. With TJ chinafreight, freight forwarders can get the lowest NET NET rates directly online and negotiate with end customers without further delays and share in possible after-sales profits.
Transparency of methods and know-how
Complete and instant information on carriers, transit times and available routes to evaluate options for better decision-making, as well as clear instructions on customs requirements and related regulations, all of which create confidence in professionally managed shipments.
Instant access to timely updates on cargo status is a thorny topic in our industry. Repeating follow-up calls and reminder emails for long-awaited information is a daily routine for too many of us. Now, with our Track & Trace tool, you can get complete information on the status of the latest shipments online directly on your personal dashboard. You can also take advantage of our automatic notifications and receive proactive updates.
Transparency of business opportunities
Leads account for a large portion of customer growth, especially when they are fresh and supported with full details and direct contact information. Instead of dropping an inquiry that interests you, share it with your partner. Let them grow with you and bring more opportunities to everyone involved.
Far beyond the competition, agents can complement each other through service and opportunity. Thanks to TJ chinafreight's innovative online platform, we can now track inquiries and rate searches of all global web users and share these detailed opportunities with our overseas partner agents. Read our post on how agents can benefit from using TJ chinafreight.
Transparency in practice
Strategic thinking and long-term cooperation between freight forwarders assume mutual trust and reliability, as well as a certain degree of transparency. We now operate in a more integrated and fast-paced world, where timely access to complete information is critical for better decision-making and therefore increased productivity.
Working with Holistic Transparency will optimize shipping operations and save time for both parties:
Focus on further development and greater results
Get better solutions for mutual customers in the fastest and most efficient way
Maintain customer satisfaction, enhance corporate image, and win new customers
Global expansion of business scope and achievements
As a practical example, a recent study by Harvard Business School outlines the concept of transparency in restaurant settings, where kitchen staff and customers are effectively separated by clear glass, so both parties can see food being prepared and consumed. Results showed an unexpected 17% increase in customer satisfaction and a 13% increase in service speed when customers and employees could see each other. This is just one of many fascinating powers of transparency in practice.
As the cornerstone of international trade and development, the shipping industry basically maintains the operation of the world economy. Those who know it will tell you that it is an exciting industry and one that involves enormous responsibility. Deciding who you want to work with and how you want to collaborate in this business are two very important decisions that you have to think carefully from the start.
A professional relationship with a freight forwarder can be reduced to two basic forms:
Agent as client
Request your help, rates and services in a specific area and the agent will become your customer. They will receive the utmost professionalism and attention, complete bookings in a timely manner, and send invoices correctly until the next opportunity to meet their needs. From our point of view, we value good service the most and follow up with them for more business opportunities. But at the end of the day, being the client's agent is the one who decides who they prefer to work with.
Agents as partners
This is a more integrated and complex form of cooperation. In this case, we consider agents within our professional network not only as possible customers, but also as suppliers or sub-suppliers. Going further, a good overseas partner might be our eyes and hands (or better, sales and operations) in areas where we don't have a live presence.
Consider long term and short term
For the most part, the cooperation of agents is fairly intuitive and depends largely on external opportunities and personal relationships among company employees. In this way, we find ourselves working with many different agencies on just-in-time shipments and most short-term agreements.
Logically, people will always look for better conditions, prices and available services, which can mean inconsistent and limited business relationships. But by applying some strategic thinking and statistical analysis, we can achieve long-term cooperation, from which both parties can benefit and grow together:
Reliable connections and clear procedures for every shipment
Through direct contact with the relevant responsible persons, we have a better understanding of the standard processes and requirements of both parties.
Deep insight into foreign markets and regulations
Do you know the maximum authorized weight for U.S. inland haulage? Countries and goods for which the EUR1 certificate is applicable? Best Incoterms when shipping from China? All of these and more are useful tips that form part of the solid expertise and local knowledge that partners share with each other.
Better understand customer needs
Either way works. The longer you work with a client, the smoother and faster it will be to manage their bookings. Your customers will rely on tailor-made service and the most competitive prices in foreign destinations/origins, resulting in increased overall satisfaction and, of course, your company image.
Taking a long-term view, more integrated cooperation with overseas agents will provide diversified opportunities for win-win development.
As more of the freight forwarding industry demands technology adoption, more and more freight forwarding startups are springing up. Online freight forwarders also do a lot. But why is digitization urgently needed? How is an online freight forwarder different from a traditional freight forwarder? In this article, we will address this issue.
According to a survey conducted earlier this year by global logistics research and consulting partner LOGISTICS, while 68% of respondents believe that traditional freight forwarders are still important in today's environment, 92% of respondents said that digitalization will provide freight forwarders add value.
The need to go digital is obvious. But how many freight forwarders are doing this, and how does digitization affect workflows and processes?
Website features
While most traditional freight forwarders have websites, they mostly only talk about the services they offer. Only the more advanced online freight forwarders offer documentation and rate features on their website.
Quote request
Some traditional freight forwarders may have a "Request for Quote" feature, but you may not be able to get in touch with them right away. Sending a quote request may only get you a quote via email, sometimes a few days later - if that's the case. According to a survey by TJ chinafreight, 40% of freight forwarders take 4 to 7 days to provide customers with a quote.
Quote now
Perhaps only a few traditional freight forwarders offer instant quotes, often for their own LCL products. They also often come in the form of tariffs, and shippers have to look at ocean freight and surcharges separately. In short, the math is not done for them, and the final cost must be calculated by themselves.
For example, for online freight forwarders like TJ chinafreight, quotes are provided within 15 seconds and all fees are broken down and included for full transparency.
Track
Today, only a few traditionalfreight forwarders offer tracking tools and sailing schedules. Again, these may only apply to their own LCL shipments. Online freight forwarders tend to have tracking tools for various types of shipments.
At TJ chinafreight, we are constantly striving to improve tracking efficiency and transparency. This year, we launched our own Track & Trace feature and automated notification system for shippers. Not many online freight forwarders offer these tools, and those who understand the importance of transparency may be the ones leading the industry's digital revolution.
In ocean shipping, there are two main forms of containerized cargo - Less than Container Load and Full Container Load. As their names suggest, LCL deals with goods that take up less than the entire space of a full container, meaning a container must be shared, whereas FCL simply means owning a full container on its own.
To learn more about these two different types of containers, read our pages on LCL Shipping and FCL Shipping.
LCL Shipping: How It Works
Also known as "LCL", LCL shipping essentially refers to combining various goods in a single container. Since this involves sharing a container, it's a bit more complicated logically and requires more and better coordination to make sure everything runs smoothly and according to plan.
Book LCL
When you decide to ship LCL, you need to provide the freight forwarderwith the dimensions and weight of your shipment. Documents and forms such as bills of lading, commercial invoices, cargo packing lists, etc. must also be completed and submitted. Depending on your cargo type and destination port, additional documentation may be required.
Get your item ready
LCL shipments are usually shipped on a fixed schedule, weekly or bi-weekly, depending on the destination port, so timing is critical. The grouping of LCL goods is carried out in one warehouse, called the Consolidated Warehouse of Origin.
Your freight forwardercan arrange for your shipment to be picked up, which is more common practice. Alternatively, you can also ship the goods to the consolidator warehouse yourself. But remember, if you choose the latter, your shipment needs to arrive fully prepared, packed and ready to load. If you prepare the shipment yourself, be sure to read our guide on how to calculate the volume of a LCL shipment using Tetris.
Whichever method you choose, please note that your shipment must have enough time to reach the warehouse. If the warehouse is located/close to the port of departure, the deadline for your cargo to arrive at the consolidation warehouse is usually 7 days before the sailing date. It depends on the location of the warehouse. For inland warehouses, the deadline will be earlier given that it takes more time to get the container to port.
This is to allow sufficient time for all LCL loads in the container to be properly LCL. Please give us our article on how to properly prepare a LCL shipment to guide you.
Transshipment to port
Once the LCL container is packed and ready, it is shipped to the port of departure as specified in the contract/booking. Port deadlines for containers are usually around three days before the sailing date. After the combined cargo arrives at the port, it is transferred to the shipping company and then shipped to the port of destination.
Transport
If you're shipping to a secondary port, your LCL cargo may be unloaded at a transshipment point, where it's either shipped to another container or waits for more cargo to fill the container before continuing on to its final destination.
In layman's terms, this is similar to what happens with your luggage when you're in transit at the airport. It needs to be unloaded from the plane you landed on and transferred to your next flight.
Reach the destination
After the LCL container arrives at the destination port, it is taken over by the destination agent of the freight forwarder. He/she will collect the containers and deliver them to a warehouse called a destination de-packing warehouse. There, the cargo in the container is broken up into individual LCL loads.
Receive your item
At this time, the consignee can go to the warehouse to pick up the goods. Alternatively, you can have an agent handle the shipment to the consignee, in which case your item will be transferred from the destination unpacking warehouse to the final destination warehousebefore it is delivered to you.
International shipping involves multiple parties, so when something goes wrong, it can be difficult to identify the party responsible for every part of the process. As a participant in this intricate relationship, you need to understand not only your own responsibilities, but the responsibilities of other parties involved. Not knowing the responsibilities of your suppliers or freight forwarders is a huge risk for importers. In an industry as complex as ocean shipping, there is only a very fine line between risk and logisticaldisaster.
Importer's responsibility
1. Submit the necessary shipping data to the agent so that he can coordinate the shipment with the supplier
Such data includes the contact's email, name, phone number, and the name of his company. This information is key to streamlining the process. This is especially true when you are pressed for time. Given the time difference, it is best to provide this data as early and as accurately as possible. It can take up to two days to start processing your import from the moment you provide your supplier's contact information to the freight forwarder.
Advice: Once you confirm your purchase and know your item is in production, you should start managing your bookings with your forwarder to speed things up, rather than waiting days or even weeks for production to complete. The origin agent can update the freight forwarder at any time during the production process so that you can amend your booking if needed.
2. Know the working conditions of the Incoterm you choose for international sales, such as the back of the hand
It is not uncommon for suppliers to want to modify previously agreed terms. They may want to convert from FOB to CIF, which can be risky, or to EXW, where the importer takes care of most of the process.
What is the role of the freight forwarder if the Incoterm has not been agreed at the last hour?
At this point, there is nothing the freight forwarder can do except get a reply from both parties. Ultimately it is up to the importer to ensure that the supplier follows the agreement and most importantly, that the terms and conditions are properly reflected in the contract.
3. Liaise with your supplier to decide who will provide the specific documentation your item may need at origin and destination
Depending on the nature of your product, you may need to submit additional specific documents.
For example, a test report is one of the most common certificates of origin when importing into the EU. It certifies that the shipped goods meet the minimum quality conditions (strength, durability of materials, etc.) required by the European Economic Community.
In addition to different certificates of origin and destination, you may sometimes need to present other specific documents for import. In the case of importing honey into the EU, a certificate of origin is always required. And because it is an animal product, both importers and exporters must be registered in TRACES (Trade Control and Expert System).
The consequences of not preparing these specific files for your imports are dire. If your shipment has reached its destination and the deadline for you to present these supporting documents has passed, customs will ask for one of two solutions: re-export the shipment to the country of origin or destroy it. The important thing to note here is that any additional costs incurred as a result will be fully borne by the importer.
First, a fire in Maersk Honam in the Arabian Sea was a stark reminder of the dangers the crew faced in the ocean. The Singapore-flagged vessel was en route from Singapore to Suez with 12,416 TEUs on board when the fire broke out. At the time of writing, the blaze, which had been raging for five days, was under control, but four crew members were reported to have died in the blaze.
This first underscores the importance of crew safety at sea. But as a shipper, knowing that you have ocean freight on a burning ship is worrying. The Indian Coast Guard classified the blaze as a "chemical fire", which raised questions about the safekeeping of cargo and the declaration and documentation of all cargo, whether dangerous or not.
By law, all carriers are obliged to provide a minimum amount of insurance. But as the word suggests, it offers limited coverage. As a shipper, you can and should purchase additional cargo insurance to further protect your merchandise. This will cover your shipment in storage and in transit until it reaches the buyer's safe hands.
The stowage list for each ship is prepared based on the data on the manifest provided by each shipper carrying the cargo. Accurate cargo declarations play a vital role here. Due to the large volume of shipments by sea, customssimply does not have time to physically inspect and verify each shipment.
As a shipper, you can only ensure that you play your part by filling out all documents and declarations as accurately as possible. This includes bills of lading and packing lists, etc. You may not have control over other cargo on the same ship, or LCL containers, but you should take the worst-case scenario of every shipment - cargo insurance.
What is a general average?
There is a concept in the maritime world that everyone in the industry should be familiar with - generally average.
Legal Definition of General Average
"A principle of admiralty law, in the event of an emergency, if the cargo is abandoned or costs are incurred, the loss is prorated among the parties who have a financial interest in the voyage."
Unless you have general average insurance, general average is separate from the ocean cargo insurance purchased for your cargo. But with insurance, you can at least insure against loss or damage to your cargo.
Cargo insurance varies by cargo, and different insurance companies have different names. In general, however, all cargo insurance should cover physical damage to the cargo due to unforeseen circumstances beyond the owner's control. These apply to marine accidents, shipwrecks, pirates, etc. All this is provided that the goods are properly packaged according to their type of transport. Appropriate declaration forms must also be completed if necessary.
If your cargo suffers damage due to poor packaging, it is unlikely that your cargo insurance company will cover those losses. Please contact your freight forwarder (TJ chinafreight) or insurance company for more information on the policies available to you.
As a shipper, it is not uncommon for your container to be rolled. When seaborne cargo is referred to as "rolling," it means that it was not loaded onto the vessel it was intended to sail on. Containers roll for a variety of reasons, including but not limited to:
This tends to happen more with cargo that needs to be transshipped or has its final destination in lesser-known ports. This is because they need to be loaded onto different vessels multiple times, which increases the risk of them being rolled over and missing connecting vessels.
What happens when your cargo rolls
If your shipment is rolled due to carrier issues, the carrier will automatically reschedule your shipment and place it on its next departing vessel. Any additional costs involved will be borne by the carrier.
However, if your shipment is rolled over due to missing paperwork or customs issues or does not meet certain requirements, you will be charged a rolling fee. Note that the cost of the rollover is usually higher than the shipping price itself.
In the unfortunate case of your cargo being rolled over, the carrier will notify the booking party. If it is due to a carrier issue, the booker will also receive an updated booking confirmation with the new details. If you book through a freight forwarder, your forwarder will receive this information from the carrier and forward it to you.
What to do when your container scrolls
It's never fun to hear that your vessel didn't ship. Right now, you rush to notify your supply chain partners, update your accounts, edit spreadsheets, and basically try to clean up and correct as much of what you end up with (if any) as possible. Whether it's your fault or not, there's still a lot of accounting to do, not to mention the potential delays your supply chain is facing right now.
The first thing you should do when you hear that your container has rolled is to find out why. If it's an issue like overbooking or a missed ship, there's little you can do other than wait for the next voyage and sort out the supply chain. If this happens, you may want to always have a contingency plan in place.
If it's a paperwork issue or missed deadlines or customschecks, make sure to resolve the issue before your next sailing date to reduce further delays. Contact your freight forwarder, they can give you better advice.
