Ocean Freight Shipping – After you have selected your manufacturer / exporter for your product from the source country, the next step is to ship it either by air or ocean freight. Ocean freight shipping as other parts of the world, has a much longer Transit Time (T/T) ranging anywhere from 15 days to 45 days, depending on the source country .Ocean freight is either LCL (less than container load) or FCL ( full container load). FCL works out cheaper if you plan on filling more than 60% of the container.
Read – Customs duty rates after GST
Ocean Freight Shipping – Charges
As far as pricing goes, the difference between air freight and ocean freight is that air freight is charged as per weight basis,whereas ocean freight is charged per CBM (Cubic metres) which is a unit of volume or space.This is only ocean shipping charges and not clearing charges at the port.Shipping charges are quite less, and starts from USD 30/CMB for countries in Asia. This of course varies according to the shipping line, the goods and the country of origin.
Here is a sample quotation is received for a small consignment i imported from China.The goods were computer peripherals.
Clearance charges:- USD 119 (Port Customs clearance charges)
SHIPPING LINE CHARGES:- USD 119 (Actual Shipping charges ,CBM based)
CFS CHARGES:- USD 119 (Container freight Station charges)
MISC EXPENCES:- USD 100 (Packaging,Strapping,Labour etc)
DUTY & TAX:- ACTUAL (This depends on the goods that you are shipping and can be found in the HS CODE booklet )
DELIVERY CHARGES:- ACTUAL ( If you want it delivered to a particular location or doorstep)
Ocean Freight Shipping – Documents
Assuming that you appoint xyz logistics to handle all shipping and freight issues,customs etc. These are the documents you have to furnish and keep ready.
1. A letter Address to Deputy Commissioner of Customs authorizing xyz Pvt. Ltd.
2. A Letter addressing to Deputy Commissioner of Customs explaining Merchandise end use of the Product with RSP -Retail Sales Price
3. Importer – Exporter Code number with BIN and confirmation if EDI registration is done with customs.
4. A letter addressed to ICSAIPL with Custom Tariff Number and Rate of Duty mentioned.
5. Technical Write Up /Literature/Value Evidence / Price List / Catalogue.
6. Special Valuation Bond Copy if Shipper and Consignee are Related.
7.Commercial Invoice with the packing list for the mentioned consignment.
8. Three set of N – Fonn and One Undertaking signed and stamped in Original alongwith Factory licence/Sales Tax Regn Copy
9. Original Export Documents alongwith Freight and Insurance copy for Repair and Return shipment.
10. Any other supporting Documents for speedy clearance of the cargo.
11. Customs Notification No. for Duty Exemption if any
12. If Chemical provide Certificate of Analyses
13. Certificate of Origin if any