In the world of freight, as usual, “Peak season” is one of the most things importers always a concern. There’re many speculations about what peak season, but definitely this will happen and importers need to be prepared. Below are tips for Peaking shipping season from the experts that may useful for you.
When is Peak Shipping Season happen?
August to October is historically shipping time annually. At the end of the year, holiday shopping propelling consumer demand higher. By 2020, the “Container Shortage” problem happen so seriously. Viewed from different angles, Covid 19 is most things effects all the world include the Logistics Industry. It was not by accident that this is concerned about so many industries, countries, right?
Find More detail: Why does the serious “Container Shortage” problem happen?
So, how can they prepare for peak season? What are the tips for Peaking shipping season?
5 Tips for Peak Season 2020
#1: Make a plan for potential pandemic related delays and hurdles
One important tip is to ramp up production to accommodate ocean freight transit times instead of airfreight.
Airfreight is faster, but even Express LCL options, which are 3-4 times more expensive than traditional LCL, are still generally 2/3 the cost of airfreight.
#2:Diversify carriers and shipping modes to hedge against delays.
#3: Getting in touch early with your logistics provider.
When booking with a carrier, make sure you take the entire transit time into consideration – from the moment the product is picked up from the factory to it being delivered to the customer. This can be significantly longer than shipping time so pre-booking with that in mind will help avoid delays.
#4: Diversify your shipping methods between air and ocean over peak season.
Ocean definitely offers more competitive rates. If, on the other hand, you are shipping FCL and have time to book well in advance, the sea is likely the most economical option. However, express and economy air freight shipping have the benefit of quicker transit time and more frequently updated tracking. To make sure consider is whether express air is a better bet considering the recent fluctuations in economy airfreight.
With canceled sailings and rolled cargo causing delays by sea, many importers have decided the added cost of air freight shipping is worth it.
#5: Before dispatching any shipment check that the receiving consignees have storage capacity.
If you’re sending a full container, the demurrage charges can add up very quickly, and devanning and warehousing goods adds additional costs on top of storage, so make sure delivery carriers are prepared to receive your goods or it could eat into your profits.
Sources: Freightos.com
Editor: Fomex greenwood – Vietnam plywood