17 January 2023 • 7 min read
Cargo Ready Date
The pickup and delivery of the container may be delayed if certain tasks are not finished in advance.
The party hired by the shipper or consignee to handle the transportation is given the shipment once the cargo is ready.
The booking request from the shipper must include a cargo readiness date (CRD). The shipper is typically in charge of communicating the cargo's anticipated readiness depending on a variety of elements, including the production process, internal logistics setup, and the expected time of departure (ETD).
The CRD is the date that a shipper (producer or exporter) indicates they will make their cargo available for pickup, which is arranged by the trucker or freight forwarder.
Importance to Indicate Cargo Ready Date
The movement of containers at the point of origin is a challenging undertaking since they must be picked up from the carrier's container yard (CY) and brought to the shipper to be loaded when the cargo is ready.
A late delivery of a container could result in a congested shipper's warehouse. The container and trailer must, however, be parked at the location if it is delivered too early, which may result in detention and demurrage fees.
Person Responsible to Indicate Cargo Ready Date
The shipper, the seller, supplier, or manufacturer, will typically be the one to know when the cargo will be available. A business might use its supply and demand division or logistics team to assess the readiness of the goods.
The shipper may also arrange a target ETD based on the sailing timetable, considering the consignee's preparedness to take the products and its supply chain in the destination country.
Cargo Ready Status
When a cargo is ready for pickup and all outstanding tasks have been finished, it is available for pickup. The following actions show whether a cargo is prepared:
- Availability: The cargo has been transferred from warehouse storage to the staging area in front of the loading bay because it is ready. This makes sure that loading the cargo into the empty container takes the shortest amount of time possible.
- Packaging - the goods are packaged to be seaworthy, and a quality assurance check has been performed to ensure that all cargo is in good condition.
- Documentation: All paperwork, including packing lists, is completed to allow the warehousing team to plan container stuffing. Normally, when the container has been sealed, the final packing list and invoice are produced.
- Arrangement: In accordance with the arrangement, the trucker or freight forwarder has been informed when the cargo is ready, and they are responsible for providing the empty container and delivering it to the port once it has been filled.
As you can see, there are specific duties that need to be finished before a cargo can be considered ready.
Important Characteristics of Cargo Ready Date
There is a transit period, also known as a delay, between the time the goods are no longer in the seller's possession and the time they are in the buyer's possession when there is international transportation of goods between the seller's and the buyer's, or the shipper's and the consignee's, premises.
As a result, it is appropriate for the seller and the buyer to specify in their contract a time when the items would ordinarily be prepared for delivery to the customer. The day the items are prepared for delivery at the seller's location is known as the "cargo readiness date" and is indicated by three factors:
- The shipment is complete and available at an agreed location.
- The shipment is packed so it can be despatched by the agreed mode of transportation.
- The documents for international shipping are ready
Next Steps After Cargo is Ready
In most cases, it would be agreed upon between the buyer and seller (or exporter and importer) that the seller must notify the buyer and the freight forwarder of the cargo's readiness and obtain their confirmation. The acronym NOR is frequently used to refer to this (Notice of Readiness).
Many small and medium-sized businesses (SMBs) still struggle to manage their freight shipping and logistics to increase customer satisfaction due to the increasing competition in the market, where established enterprises have made their mark among their consumers with quick delivery.
While the established giants already have complex volumes of shipments and well-planned logistics, it is the SMBs and e-commerce start-ups who must exercise good judgement to streamline their logistics at a cost that will not harm their profitability and satisfy their customers at the same time.