Understanding shipping terminology is crucial for businesses engaged in international trade. This guide explains essential freight forwarding concepts to help streamline logistics operations.
Cut-off Time: The Shipping Deadline
The cut-off time represents the final deadline for submitting customs declaration information to shipping carriers. These deadlines vary significantly by:
- Shipping route
- Carrier company
- Specific voyage
For U.S.-bound shipments, the Automated Manifest System (AMS) imposes stricter requirements. When submitting AMS information:
- Direct submissions to carriers (e.g., Maersk) require confirmation of successful submission
- Freight forwarders typically build in buffer time to ensure compliance
Container Release Order vs. Equipment Interchange Receipt
Two critical but distinct documents in shipping logistics:
- Container Release Order: Authorization from the carrier to collect empty containers
- Equipment Interchange Receipt (EIR): Documents the condition of containers during transfers between parties
Customs Clearance: Focus on Outcomes
The term "secondary release" sometimes appears in customs processes. While customs brokers' systems may update at different rates, the essential verification is whether goods have cleared customs and been loaded onto vessels.
Customs Declaration Essentials
When completing customs declarations, special attention must be paid to:
- Trade terms
- Duty exemption categories
Accurate completion of these fields ensures smooth customs processing.
Door-to-Door Shipping Services
Carriers coordinate complete logistics solutions for door-to-door shipments. For example, a shipment designated "Manzanillo Port, door to door, rail truck MEXICO CITY" would include rail or truck transportation from the port to Mexico City.
Port Entry Strategies: Cost Optimization
Two approaches for container positioning at ports:
- Pre-gate entry: Transporting containers to port in advance of loading, typically arranged by trucking companies
- Direct drop-off: Immediate placement at port facilities
Pre-gate entry often proves more cost-effective than direct drop-off, though rates vary by port and service provider. Advance consultation is recommended.
Optimal Container Pickup Times
Industry experience suggests favorable pickup windows occur around:
- 11:00 AM
- 3:00 PM
However, actual timing should be adjusted according to operational circumstances.