Shipping logistics - China to UK

[AdrianS]

Hi,

I'm hoping some of the highly knowledgeable people here can help me, since I haven't been able to find a definitive answer to my problem anywhere.

I currently run a medium-sized business. I've been importing homeware products manufactured in China for sale here in the UK for a few years. My partner actually makes several trips to our supplier in China to sort out that side of things, and all our stock transportation (via sea) is handled by a shipping agent.

However, it's got to the stage where I would like to handle all our shipping 'in house', and cut out the shipping agent/freight forwarders. Not for cost purposes, but just to have more control over our stock and the timings.

We usually have several containers, 40ft HQ, 20+ tonnes, that we need to get from China to the UK. We are an Authorised Economic Operator with an EORI number.

Despite my sincerest efforts (and possibly because I may be a bit thick...), I cannot figure what the exact steps/mechanics/processes of getting those containers from the supplier to my warehouse would be.

Could someone explain to me what precise steps would need to be taken? Once I get my packing list, invoice, and bill of lading, how do I get that container to the UK? And at what stage (and how) do we need to submit our C88 forms to HMRC? Would it be via CHIEF? Would I need new software to start in-house shipping, and if so, which one?
Also, is exporting much different?

I'm totally baffled and overwhelmed at the moment, so if anyone can shed some light I'd be very grateful.

 

[ly_glass]

Hi,
I think an experienced shipping agent could give you some suggestions. When I have problems in my business, especially in the logistics period. I would ask my shipping agents for advice. Generally, they know much well about the shipping and other Customs procedures.


Martha

 

[AdrianS]

Hi,
I think an experienced shipping agent could give you some suggestions. When I have problems in my business, especially in the logistics period. I would ask my shipping agents for advice. Generally, they know much well about the shipping and other Customs procedures.


Martha

Hi Martha,

You're absolutely right, a shipping agent would be the ideal source of information.
Unfortunately, all the shipping agents I've spoken to won't say anything further than, 'It's very complicated, you should stick to using freight forwarders'!
It's understandable I suppose, since they probably think they'll lose potential business.

So I hope someone here has some knowledge they wouldn't mind sharing with me.

 

[berts]

Hi,

I'm hoping some of the highly knowledgeable people here can help me, since I haven't been able to find a definitive answer to my problem anywhere.

I currently run a medium-sized business. I've been importing homeware products manufactured in China for sale here in the UK for a few years. My partner actually makes several trips to our supplier in China to sort out that side of things, and all our stock transportation (via sea) is handled by a shipping agent.

However, it's got to the stage where I would like to handle all our shipping 'in house', and cut out the shipping agent/freight forwarders. Not for cost purposes, but just to have more control over our stock and the timings.

We usually have several containers, 40ft HQ, 20+ tonnes, that we need to get from China to the UK. We are an Authorised Economic Operator with an EORI number.

Despite my sincerest efforts (and possibly because I may be a bit thick...), I cannot figure what the exact steps/mechanics/processes of getting those containers from the supplier to my warehouse would be.

Could someone explain to me what precise steps would need to be taken? Once I get my packing list, invoice, and bill of lading, how do I get that container to the UK? And at what stage (and how) do we need to submit our C88 forms to HMRC? Would it be via CHIEF? Would I need new software to start in-house shipping, and if so, which one?
Also, is exporting much different?

I'm totally baffled and overwhelmed at the moment, so if anyone can shed some light I'd be very grateful.

hi adrianS,

Can you not just get a better shipping agent? !! We import somewhere between 300 and 400 40ft containers per year for our business and still use an external shipping agent. It takes all the hassle out of it. Problems with documents, xrays fumigating etc is all sorted by the agent. We could probably do all this ourselves but it would be a full time job for someone.

In terms of controlling timings, surely this is dependant on what boats are leaving, uk customs clearance times etc. These are things that you cant really control. If you have a decent shipper it shouldnt really be too much of a problem, allowing you to spend more time developing your business.

 

[AdrianS]

hi adrianS,

Can you not just get a better shipping agent? !! We import somewhere between 300 and 400 40ft containers per year for our business and still use an external shipping agent. It takes all the hassle out of it. Problems with documents, xrays fumigating etc is all sorted by the agent. We could probably do all this ourselves but it would be a full time job for someone.

In terms of controlling timings, surely this is dependant on what boats are leaving, uk customs clearance times etc. These are things that you cant really control. If you have a decent shipper it shouldnt really be too much of a problem, allowing you to spend more time developing your business.

Hi berts,

We always thought the same, that a shipping agent would be the best way to go. Four different shipping companies later, we've started to think differently! There was always some problem, either being heavily overcharged, or having poor communication, and (worst of all) we had a strong suspicion that at least one of them was leaking our sensitive business information to rivals.

It was a long and frustrating road that brought us to our current stance of trying to sort out the shipping in-house, just to see how it goes.
You're right, it will be a full-time job for someone, probably me to start with! Which is why I'm trying to get as much knowledge of the procedures involved.
If it goes smoothly, then we're looking to open our own shipping department and hire a few more people.

 

[Ivan Liang]

Hi AdrianS,

I think I understand what you want to do.
Forwarders' mainly function is to get shipping space from shipping companes and help arranging the shipping space to trading companies which are always their clients. And they need another forwarder in foreign counties to keep contacting with them.
And other value added service such as the customs clearance, trucking, you can employ someone to do that by all means.
So you want to establish your own shipping derpartment to cut all the forwarder, the only way I think is that your company become a forwarding company or a shipping agent. And what your shipping department's clerks do with the shipping company is the same as what you do with the forwarder. As a result you can reach your goal to control the procedure directly.