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Logistic & Freight Forwarding - Coggle Diagram
Logistic & Freight Forwarding
Transport Right
Who hires ship and pays carrier
Buyer always pay frieght cost the transportation company
FOB: Buyer pay FOB price to Seller and frieght to transportation company
CIF: Buyer pay CIF price to Seller, Seller pays frieght to transportation company
The one who has the right of transport will directly make payment to the carrier, but the buyer will always bear the freight cost.
TR belongs to Buyer: F & E groups
TR _ Seller: C&D
Logistíc vs Supply Chain
By Sea
Ad: Large Q- low P
Dis: Slow speed - Risk (accident, natural disaster, sinking)- Don't need to be delivered immediately
1.Vessel Charter
Liner Charter
Like a bus (Schedule with fixed route)
Cargo with containers
No contract, only B/L (all stated on the backside B/L)
High fix freight (than voyage charter if ship few containers)
Order process
ship broker find ship -> make order w carrier -> Ship broker negotiate main terms (Q, Port) -> ship broker inform cargo owner -> cargo transported to port - -> B/L issued by carrier for shipper -> shipper show to B/L to bank and transfer to consignee -> consignee pay -> Consignee show B/L + received goods + custom
Bill of Lading B/L
When: by carrier to shipper after cargo is shipped
Who keep B/L = cargo owner -> Can sell good by sell B/L
Endorsement
End when G arrive port
Straight : direct endorser
To order of A: A can endorse to next B
Blank: only signature, any one with B/L last can get G
Without recourse (W/R)
A endorses B -> sell C. Damaged G -> C has to claim A, Only B W/R
Types of B/L
Clean B/L
G with good condition no defects
Carrier cannot check G quality
Unclean B/L - Bank NOT accept
G with damage
=> Fix/replace / Letter of Indemnity Thư đảm bảo (not recommend if qhe mua bán ko tốt)
APS Questions
Why need to hire ship broker
they have more contact than carrier -> easy find ship
Negotiate better (knowledge of customs & market(
Risk of hiring SB
Not as professional as expected - lost n damage
Lack of connect when issue happens
Higher freight
Why B/L isn't contract
Only signature of one party - issuing party
All content in backside no negotiation
Why only OCean B/L ownership
vận tải hàng ko hay đường bộ, hàng và chứng từ đến cùng lúc- ocean - B/L come first - long time- receiver can sell due to price fluctuation
Rules
Carrier Responsibility (G damage)
Hague + Hague-Visby Rules
Tackle to Tackle (on ship)
Favors carrier
Hamburg Rules
Port to Port
Fairer, favors the cargo owner
Voyage Charter
Tramp Vessel
No fixed schedule - find bulk cargo (coal, grain, sugar)
Cheaper if ship thousands of tons
Voyage Charter Party (HĐ thuê tàu chuyến) No B/L
a ship owner place his ship, or part of it to charterer
Negotiated
Airfreight Forwarding
Types
Passenger
Cargo
Mixed
Organization
International Civil Aviation Organization (ICAO)
International Air Transport Association (IATA)
International Federation of Freight Forwarders Association (FIATA)
Documentation
Air Waybill
by carrier
Not document of title to goods, non-transferable
Types
Issuer
Airline AWB
Neutral AWB
Issued by IATA
Operations
House AWB
forwarder and shipper (ng gửi hàng- ng bán)
Master AWB
carrier and forwarder
forwarder issue house AWB to shipper-> transport goods to airport to carrier -> carrier issue Master AWB to forwarder- > transport G to forwarder at port of destination on Master AWB-> Forwarder send F to consignee based on House AWB
Forms
issued in sets of 9 or 12, with 3 originals and 6-9 copies
No Insurance Certificate
as it's complex, can't buy from carrier, only buy from from insurance company or the airline
Freight cost
Total freight = freight rate $\times$ number of units/chargable weight
Types of air freight rate
General Cargo Rate (GCR)
Minimum Rate
guarantee profit for airlines
Special Commodity Rate
certain route
Class Rate/Commodity Box Rate (CBR)
different G
Carrier’s Liability-
Warsaw Convention
From airport to airport
Container
packaging goods with rectangular shape
Decrease complaints of G owners
Carrier don’t know about goods inside container ⇒ cargo owner can’t complain about damages to carrier
Container Ships
Semi-container ship
Mix container +bulk
Full container ship
Carry containers only
RO-RO (Roll on - Roll off)
G can’t be stacked (cars)
LO-LO (Lift on - Lift off)
G can be stacked
LASH (Lighter Abroad Ship)
Big ship stay outside- can't port at dock
Convertible Container Ship- flexible design- can be Semi or Full
S can transform to container ship
Process
Full Container Load: FCL / FCL
1 shipper books entire container for their own cargo, and the consignee will receive the entire container
Shipper sealed G -> transport container to CY1 -> Carrier issues B/L + transport G -> At destination, carrier pay cost to unload at CY2 -> Carrier deliver container to consignee who present B/L + do customs
CY term (Container Yard)
Less than Container Load: LCL / LCL
more than1 shipper n consignee, small cargo
CFS term (Container Freight Station)
Shipper transport goods to carrier at CFS+ do customs....
Combined Container Shipments
: FCL / LCL & LCL / FCL
1 Shipper, Many consignee
At loading port, carrier receives FCL at CY, issue 1 B/L and transport to CFS at destination port.
At CFS: goods are unloaded, carries has consignee list -> sent to many consginees
Consolidation - Gom hàng
Convert LCL/LCL to FCL/FCL.
Consolidator gather individual shipments at CFS + issue House B/L for shipper -> send full container to carrier + get Master B/L-> Agent of consolidation at destination present MBL + get container
NOT work FOB, CIF, CFR
As require goods shipped on board, but in container CY/CFS
Solutions:
Use another term: FOB —> FCA or CIP/CPT —> CFR
Request on-board B/L
Freight cost
Freight All Kind (FAK)
Same F for all G
Commodity Box Rate (CBR)
different rate to Dif G
LCL charge
Time Value Contract (TVC)
Large Q, less than normal rate
Consolidation - Gom hàng
Convert LCL/LCL to FCL/FCL.
Consolidator gather individual shipments at CFS + issue House B/L for shipper -> send full container to carrier + get Master B/L-> Agent of consolidation at destination present MBL + get container