Getting the goods to you … that's the hard part!
While the Internet has exploded with
many solutions that get suppliers and buyers closer together,
we are still a few years away from the "beam me down Scotty"
transport technology of the Starship Enterprise and cannot
yet send 40 foot containers in an e-mail attachment. Until
that's possible, we will have to deal with the rather primitive
traditional modes of merchandise transport; sea and air cargo.
Two alternatives exist for sea cargo depending on the volume
to be shipped: FCL (Full Container Load) and LCL (Less than
Container Load) basis.
FCL (full container load) means that
a buyers has ordered enough goods to fill or occupy an entire
20 or 40 foot container. This is the most economically feasible
shipping alternative as the price is based on a contract or
fixed rate for a full container. Another benefit of FCL shipping
is that the departure date of the goods is more flexible and
can be more closely synchronized with the production schedule
as the shipper is not forced to wait for consolidation, as
is the case with LCL shipments.
LCL (less than container load) means
that a shipper does not have enough merchandise to fill or
occupy a full container. When many shipper's goods occupy
a single container, each shippers shipment is considered to
be LCL. In this case each shipper must wait until the freight
forwarder accumulates enough goods of other shippers to fill
a 20 or 40 foot container. In fact, in some cases, it's cheaper
to ship a half-full (or half-empty depending on your philosophy)
container than to ship on an LCL basis, as shipping companies
charge a high price per cubic meter for LCL shipments. As
mentioned above, if merchandise is shipped on a FCL basis,
the price is based on a contract rate for the entire container
and not calculated on a per cubic meter basis.
Air cargo is also a feasible alternative if the items being
shipped are small and light weight, or if fast delivery is
critical. Again, two basic levels of service exist: express
courier and standard air cargo service.
Air cargo service is used when freight
is to be moved by air transportation. Selection of this method
to ship merchandise depends on many factors. Normally, air
cargo is used when time is of the essence or the merchandise
being shipped is small, light weight or of high value. For
example, jewelry is normally shipped by air cargo.
Express courier service is used if the
delivery time is extremely urgent. Examples of express courier
service are Federal Express (FedEx), DHL, TNT and Emery. This
is the fastest possible way to get the goods to their final
destination (door-to-door). However, the rate are extremely
high and take a big bite out of profits.
Before the goods can be shipped (sea or air cargo) a freight
forward must be appointed. In the RajaCraft.com marketplace
there are three alternatives.
Appointed Forwarding Agent:
Customer is king! So, if the buyer has has already established
a working relationship or prefers a specific freight forwarding
agent, the buyer can make the appointment at the time the
order is placed and the supplier is obligated to ship the
the merchandise through the designated cargo agent.
Appointed Forwarding Agent:
If the buyer does not have a preferred shipping agent, a supplier
will normally have an existing business relationship with
a forwarding agent. If the buyer is comfortable accepting
the suppliers selection, this is an alternative. RajaCraft.com
does not endorse supplier forwarding agents and cannot offer
any guarantee on the quality of service offered.
Marketplace Appointed Forwarding Agent:
RajaCraft.com has a service alliance with DFDS Transport.
In the event that the buyer and supplier do not appoint a
forwarding agent, RajaCraft.com will appoint DFDS Transport
as the designated forwarding agent for the transaction between
the buyer and supplier. DFDS Transport is a professional organization
with a global logistics network and offers a high standard
of international service and competitive shipping rates.
WHO PAYS WHAT?
If the order placed meets the minimum quantity the buyer will
qualify for the published FOB (port of departure) prices in
the RajaCraft.com catalog. This means that local transportation,
packing, container stuffing, fumigation or treatment costs
and export documentation costs are paid by the supplier. The
buyer is obligated to pay the freight transportation cost,
cargo insurance, import clearance, applicable duties and local
transport at the country of destination, unless the cargo
rate paid is for door-to-door service (normally very expensive).
These are the general conditions, however, the shipping terms
and conditions must be negotiated and agreed to between the
buyer and supplier.
Since RajaCraft.com is a Marketplace composed of many suppliers,
we will only consider consolidation of orders placed by a
single buyer with multiple-vendors on a case-by-case basis.
While we would like to offer this service on an unconditional
basis, it is not yet feasible to do so. Our member suppliers
are spread throughout this 17,000-island archipelagic nation,
which provides some unique logistical challenges. Please inquire
about this possibility if you are interested.
- SHIPPING COSTS:
For your information, listed below are some reference rates
from Semerang Indonesia to various ports worldwide. These
rates are given for guidance only. They are approximate and
are subject to fluctuations beyond our control. If your destination
is not listed and you would like more information, e-mail
RajaCraft.com and we'll arrange a rate quotation from DFDS
Transport, our service partner.