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02 May 2020 • 2 min basahin
International Container Shipping - Export Process
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The success of international trade transaction is more often than not dependent on how one manages the entire shipping process.
Shipping is an integral and critical part of international trade. The success of international trade transaction is more often than not dependent on how one manages the entire shipping process.
To understand how the international shipping process works, first, let’s take a look at the main participants in the procedure:
1. Importer - Importer is the buyer. He identifies the need for a product (goods) at a specific location, searches for the best supplier - globally, and places an order for purchase.
2. Exporter - Exporter is the seller. He manufactures or procures the products required by the buyer.
3. Banks - Banks play multiple roles in international trade. They act as financiers, negotiators of the trade contract, and custodians of the goods/documents.
4. Insurance Company - Insurance is a crucial part of the shipping process. Insurance companies help cover the risks involved in transportation.
5. Freight Forwarders - Freight forwarders are agents who coordinate with the other participants in the shipping process on behalf of the importer/exporter.
6. CHA - Customs House Agents assist the exporters and importers in getting clearance from custom authorities.
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