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Freight forwarding business method

by:CNS     2021-07-07
Operation of freight forwarding 2021-06-20 12:27:561. Operation of freight forwarding. Operation of freight forwarding means acting as the agent of the cargo owner, organizing the assembly of the cargo, arranging the arrival of the cargo at the transshipment port container station, and chartering or booking the space from the public carrier. , Handle relevant customs clearance and document procedures, freight settlement, and collect the bill of lading issued by the actual carrier on behalf of the cargo owner, but shall not be responsible for the safe transportation of the goods. One of the profitable ways of operating freight forwarders is to charge the shippers agency fees or labor fees. In the field of traditional foreign trade transportation auxiliary services in Guangzhou-Dezhou logistics, because most of the mainland freight forwarding companies do not have an effective international network, it is difficult to provide value-added services such as full international freight forwarding, and it is difficult to obtain benefits from the cargo owners; even if the freight forwarding can provide value-added services The nature of the extended service, the shipper often thinks that this is a means of soliciting goods by the freight forwarder and does not pay the forwarder agency fee. Another operating income of operating freight forwarding comes from the booking commission paid by the carrier. Under the general declining environment of the international shipping market, shipping companies have turned to rely on their own freight forwarding agencies to collect cargo, and there are fewer and fewer ports that can keep public freight forwarders from the carrier in an amount equivalent to 4.25% of the prepaid ocean freight commission. 2. Booking agent Booking agent, that is, acting as a local agent of a public carrier, obtains authorization to collect cargo, accept bookings and collect freight in the name of the carrier, and issue the carrier bill of lading as an agent (ASAAGENT). This kind of booking agent is often actually the container liner's own cargo or agency in various places. Of course, the fertilizer will not flow out; as an independent freight forwarder, if you want to become a booking agent, in addition to having strong operations In addition to strength, it takes a lot of effort. The reason why booking agents are so popular is that, on the one hand, they have the right to control the booking commission of the public carrier and the commission of the container management agent, which is a long-term flow and sees money every day; on the other hand, when the market for a certain route is optimistic or when the space is tight , There will be an opportunity to obtain huge profits, and both the booking commission and the freight difference will be included in the bag. 3. NVOCC NVOCC (NVOCC in English) accepts cargo from the owner (shipper) as a carrier. At the same time, as the shipper, the liner company was entrusted to complete the international maritime cargo transportation. Guangzhou to Zibo Logistics carried out the whole transportation according to the plan route designed for the cargo owner, and issued the registered non-vessel carrier bill of lading. NVOCC purchases the transportation services of public carriers, and then provides these services to shippers and other transportation service demanders in the form of resale. It pays the freight in accordance with the freight rate book of the ocean common carrier or the service contract signed with the ocean common carrier, and collects freight from the shipper according to the rate announced in its own freight rate book, and earns the freight difference from it. In the case of direct transportation, the NVOCC is also responsible for arranging inland transportation and paying for the inland transportation; in providing international multimodal transport services, international freight forwarders actually carry the goods as the NVOCC. Previously, the business activities of non-vessel carriers in mainland China were mainly through international freight forwarders officially registered in China, plus two brands of overseas non-vessel carriers' representative offices in China, which were jointly reflected in actual business and dealt with domestic and foreign economies. Two sets of management systems for activities. Especially for companies operating American routes, compliance with the jurisdiction of the US Federal Maritime Commission (FMC) is naturally not ambiguous. NVOCC's operating income comes from the difference between the freight charged to the shipper and the freight paid to the ocean-going public carrier. Due to the higher operating threshold, the profit margin is correspondingly larger. At the same time, in the face of interest, the regulation that no commission can be accepted from the actual carrier is obviously lacking in binding force, but the account of the human account is replaced with a freight forwarding brand. According to estimates by industry authorities, foreign companies operating under various names account for 60% to 70% of the market share in mainland China’s non-vessel shipping business. In addition, some international freight forwarders with port advantages also engage in challenging public or exclusive feeder ship (barge) business, trying to feel like being a shipowner, although most of the ships themselves are chartered. These operators often rely on a certain aspect of their resource advantages, usually with deep backgrounds such as COSCO, Sinotrans, Sinotrans or port authorities, and ordinary small companies can't afford to accompany them, and of course they can't expect their profit methods. Freight forwarding companies have turned into public carriers, which is indeed a new issue for industry management. Regardless of the identity or name of the international freight ancillary service provider, it is always the main way for domestic enterprises to make profits to earn the freight difference and obtain the booking commission from the liner company or its agent that provides the public carrier service. Value-added full logistics services charge service fees to shippers or operate barge shipping business. Logistics from Guangzhou to Qingdao is still a distant dream for most industry players. At the same time, this status quo also means the current fierce competition in the international freight forwarding and NVOCC markets and their limited profit margins. 1250
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