What should I look for / expect in a forwarder quote breakdown

Discussion in 'International Business' started by I Like Chocolate, Mar 12, 2021.

  1. I Like Chocolate

    I Like Chocolate UKBF Newcomer Free Member

    11 2
    Hi all,

    This is just my 2nd post and I'm trying hard to understand the basics of freight forwarding and am currently getting quotes for a shipment of approx 37 boxes = 481kg from China.

    My question is this:

    What should I ensure is listed or covered or explained in a freight quote? Is there a list that you personally follow or mentally tick off?

    So far I have 2 quotes in based on the info I have so far. Both are similar-ish in price but very different in content. I honestly do not know what should be included and what I need to ensure is included - and all the acronyms used totally throw me - I am googling like crazy.... but maybe different companies use different acronyms for the same thing - no idea :(

    Thank you in advance.
     
    Posted: Mar 12, 2021 By: I Like Chocolate Member since: Mar 12, 2021
    #1
  2. japancool

    japancool UKBF Big Shot Free Member

    4,401 909
    If you're seeing acronyms like FOB, EXW etc, these are called incoterms and are standardised terms with exact meanings.

    https://en.wikipedia.org/wiki/Incoterms
     
    Posted: Mar 12, 2021 By: japancool Member since: Jul 11, 2013
    #2
  3. I Like Chocolate

    I Like Chocolate UKBF Newcomer Free Member

    11 2
    Hi Japan-Cool,

    Thanks - I'm pretty well okay with them now. My agreement is FOB and I know that means free on board etc - so I passed that first lesson eventually ;)
    - Its more other things I keep seeing in regards to the actual forwarding.... an example is; UK THC, someone today in an email said PSS - and a google shown me this mean peak seasonal surcharges.

    I just googled 'what to ensure is listed on your freight forwarder quote'
    but most of the returns are USA pages and not really created for newbies like me.

    The two quotes I've got so far are very different in content (although similar in price) one of my quotes had a breakdown, the other didn't but under terms stated tax % handling fees, which the first didn't (I don't think)... so I worry I might miss something. Maybe I should just ask each one if they envisage any other obvious charges not outlined.

    Maybe the best bet for me, is to get my quotes and then when I think I know which one I want to use, check it out on here with the experts before proceeding?
     
    Posted: Mar 13, 2021 By: I Like Chocolate Member since: Mar 12, 2021
    #3
  4. japancool

    japancool UKBF Big Shot Free Member

    4,401 909
    Are your quotes for door-to-door delivery, or just to the port?
     
    Posted: Mar 13, 2021 By: japancool Member since: Jul 11, 2013
    #4
  5. I Like Chocolate

    I Like Chocolate UKBF Newcomer Free Member

    11 2
    The supplier is FOB. So the quotes are from Shanghai (once onboard by supplier) to UK port Felixstowe and then delivery to my door.
     
    Posted: Mar 13, 2021 By: I Like Chocolate Member since: Mar 12, 2021
    #5
  6. japancool

    japancool UKBF Big Shot Free Member

    4,401 909
    It's been a while since I imported anything from the Far East (by sea, anyway), but from memory, my quotes included:

    Transport from supplier to port
    Port storage fees
    Freight cost to UK
    UK port storage fees
    UK delivery

    Mine did not include taxes and duty - these were to be calculated upon arrival, alongside administration fees for customs clearance.
     
    Posted: Mar 13, 2021 By: japancool Member since: Jul 11, 2013
    #6
  7. japancool

    japancool UKBF Big Shot Free Member

    4,401 909
    Oh - make sure you have adequate facilities for handling the goods when they arrive. I had one delivery where the driver did not have a palette truck and had to redeliver the next day (we didn't have a truck of our own), and remember, the driver will generally not help you unload.
     
    Posted: Mar 13, 2021 By: japancool Member since: Jul 11, 2013
    #7
  8. JEREMY HAWKE

    JEREMY HAWKE UKBF Legend Full Member

    5,809 2,116
    We are members of this outfit

    Have a look on the directory and see if you can find the right people to guide you Alternatively you can list your requirements where companies will come to your assistance

    https://freightabase.com/
     
    Posted: Mar 13, 2021 By: JEREMY HAWKE Member since: Mar 4, 2008
    #8
  9. I Like Chocolate

    I Like Chocolate UKBF Newcomer Free Member

    11 2
    Thanks everyone - hopefully I will ultimately get this right. I suppose the first time is always a learning curve and can be quite scary.
     
    Posted: Mar 13, 2021 By: I Like Chocolate Member since: Mar 12, 2021
    #9
  10. Mr D

    Mr D UKBF Legend Free Member

    28,175 3,470
    Had that a couple of times.
    Offloading multiple pallets by hand from a truck, handed down to us, we then walk boxes into the house .... then they handed the pallets over.

    Not fun and got complaints to courier.
     
    Posted: Mar 14, 2021 By: Mr D Member since: Feb 12, 2017
    #10
  11. JEREMY HAWKE

    JEREMY HAWKE UKBF Legend Full Member

    5,809 2,116
    Once a week we have a customer phone and ask us to run a van where the delivery point is unsuitable for a wagon on a pallet network delivery
    One of the pallet networks are in the next yard so all is good

    @Mr D you should have said something I would have come up there and helped you unload those pallets :)
     
    Posted: Mar 14, 2021 By: JEREMY HAWKE Member since: Mar 4, 2008
    #11
  12. I Like Chocolate

    I Like Chocolate UKBF Newcomer Free Member

    11 2
    Oh dear :( The delivery will be to my home.
    It's 37 boxes - so maybe 2 pallets? We will have to do the carry-in method for this of course. Do you think I need to mention this before delivery to the company? 37 boxes isn't that bad is it - should only take us 5-10 mins maximum - it would take a few mins total for a forklift, surely? Obviously, we would not expect the driver to help... and I'd bung him a nice tip for his patience :)
     
    Posted: Mar 14, 2021 By: I Like Chocolate Member since: Mar 12, 2021
    #12
  13. japancool

    japancool UKBF Big Shot Free Member

    4,401 909
    It would depend on the size of the boxes, I suppose. Given that the delivery is to your home, do you have space for a forklift?

    When I get a pallet delivery, I usually just ask the driver to unload the pallet onto the pavement and leave it there for me to unpack, which they're happy to do.

    I leave the pallets outside my house, where they usually disappear in the space of a few days. :)
     
    Posted: Mar 14, 2021 By: japancool Member since: Jul 11, 2013
    #13
  14. JEREMY HAWKE

    JEREMY HAWKE UKBF Legend Full Member

    5,809 2,116
    It would be wise to just expect the driver to drop them on the pavement and go . He has no time budget for waiting
     
    Posted: Mar 14, 2021 By: JEREMY HAWKE Member since: Mar 4, 2008
    #14
  15. I Like Chocolate

    I Like Chocolate UKBF Newcomer Free Member

    11 2
    That's fine too - I'm happy with that as long as he can get them off the lorry otherwise it'll be us handing them down. As long as they are delivered I don't really mind that but thanks for the heads up. All this info is useful to a first timer.
     
    Posted: Mar 14, 2021 By: I Like Chocolate Member since: Mar 12, 2021
    #15
  16. Mike Godwin

    Mike Godwin UKBF Regular Free Member

    162 42
    Always happy to help with shipping terminology, incoterms etc so feel free to message me with any question you may have. On the subject of taking a delivery at home, it makes good sense to let the transport company know you are a house address with no forklift. That way they may deliver to you on a 'tail lift' vehicle to help matters. Good communication with the transport company will reap dividends.
     
    Posted: Mar 16, 2021 By: Mike Godwin Member since: Mar 27, 2018
    #16
  17. Chris Jenkins

    Chris Jenkins UKBF Newcomer Free Member

    5 1
    Hi sorry I can't help with your question but I'm just wondering if you have come across can? Currency adjustment fee ?
     
    Posted: Mar 16, 2021 By: Chris Jenkins Member since: Mar 16, 2021
    #17
  18. Mike Godwin

    Mike Godwin UKBF Regular Free Member

    162 42
    As Shipping Line rates are quoted in US Dollars, the Currency Adjustment factor (CAF) is a % fee levied against the freight charge (applied by all Shipping Lines) to 'adjust' the (daily) changing rates of exchange between the US Dollar and UK£ Sterling.
     
    Posted: Mar 16, 2021 By: Mike Godwin Member since: Mar 27, 2018
    #18
  19. Chris Jenkins

    Chris Jenkins UKBF Newcomer Free Member

    5 1
    Sorry that I have hijacked this post but I'm new . Mike , do you know how they work out the fee for c.a.f ? My goods are still in transit and they have told me i will be paying £375 on a $2100 shipment .
     
    Posted: Mar 16, 2021 By: Chris Jenkins Member since: Mar 16, 2021
    #19
  20. pkpolymers

    pkpolymers UKBF Contributor Free Member

    31 3
    Most forwarders have hidden charges. They try to call it "Delivery Order Endorsement" charges where the House BL is required to be stamped by their partner agent when the consignee goes to release their cargo. You should get a written quote from your forwarder with all charges both at the shipper's and consignee's end clearly mentioned.
     
    Posted: Mar 16, 2021 By: pkpolymers Member since: Mar 14, 2021
    #20