freight forwarders Archives - Trade Ready https://tradeready.ca/tag/freight-forwarders/ Blog for International Trade Experts Thu, 27 Jul 2023 20:17:39 +0000 en-US hourly 1 How can you determine the impacts of changing tariffs on your products and services? https://tradeready.ca/2018/tradeelite-recap/impacts-tariffs-products-services/ https://tradeready.ca/2018/tradeelite-recap/impacts-tariffs-products-services/#respond Mon, 27 Aug 2018 16:24:38 +0000 http://test.tradeready.ca/?p=26664 Missed the #TradeElite chat? Catch the recap featuring insights into the impacts of new tariffs, sources for staying up to date on the latest developments, and steps to take to ensure your contingency plan can protect your business.

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Today the news is all about NAFTA as developments come in on the progress of reaching a pivotal new deal between Canada, the U.S. and Mexico. Such swift changes in trade regulations are leaving many cross-border businesses scratching their heads navigating the complexity and determining the impacts on their products and services.

So, just how can you determine the impacts of changing tariffs on your products and services?

We put this question to the experts in this month’s live #TradeElite Twitter chat and got an outstanding response over the course of the hour – including: insights into the impacts of new tariffs, sources for staying up to date on the latest developments, and steps to take to ensure your contingency plan can protect your business.

Highlights of the chat are below, and you can scroll through the #TradeElite hashtag to follow the entire chat.

Moderator:

Igor Chigrin, CITP (@winglobal_igor) Export & Import Consultant, Win Global Partners – Helping Local Businesses Become #Global by providing them with information, tools, training and coaching they need to start or expand their export and import business – Richmond Hill, ON

Panelists:

Audrey Ross (@TresAudrey) Logistics & Customs Specialist at Orchard International Inc., based in Toronto, ON

Doug Bruhnke (@DougBruhnke) Founder & CEO of Global Chamber (@GlobalChamber), based in Phoenix, Arizona

Darryl Anderson (@DarrylWavepoint) Manager of Marine, Multimodal Transport & Logistics Real Estate at Wave Point Consulting, based in Victoria, BC

Cheryl Berklich (@cherylberklich) Purchasing, Materials Management, Logistis & Recovery at TAL Group, based in the Greater Detroit Area, Michigan

What are the real impacts of today’s rapidly changing trade regulations and customs environment on cross-border businesses?

How do you stay up to speed with customs regulations and tariff changes? Where can you find the up-to-date information other than Google?

Any U.S. Government resources that keep track of tariffs and sanctions?

Is today’s cross-border business environment too complex for small and micro-businesses to get involved? What resources are out there for these groups other than those we just discussed?

If your supply chain is impacted, what are your next steps? Find new suppliers? Adapt products/services? Strategy impacts?

What do you need to think of in terms of communicating and preparing your customers for any impacts due to changing customs/tariffs?

Should you have a contingency plan to address possible future tariffs/customs changes? What does that look like?

Are we witnessing a “new normal” in terms of trade policy, regulations changes or will things settle down in the not-so-distant future?

Read the rest of the chat and join future discussions by following the #TradeElite hashtag. And stay tuned for the next #TradeElite chat, coming up Thursday, September 20 at 2:30-3:30PM ET, and if you haven’t yet, join us on Twitter at @FITTNews.

Disclaimer: The opinions expressed in this article are those of the contributing participants, and do not necessarily reflect those of the Forum for International Trade Training.

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]]> https://tradeready.ca/2018/tradeelite-recap/impacts-tariffs-products-services/feed/ 0 https://tradeready.ca/wp-content/uploads/2018/08/Impact-of-changing-tariffs-on-products-and-services.jpg You asked CITPs anything and they answered! https://tradeready.ca/2018/topics/market-entry-strategies/you-asked-citps-anything-and-they-answered/ https://tradeready.ca/2018/topics/market-entry-strategies/you-asked-citps-anything-and-they-answered/#respond Fri, 06 Jul 2018 16:04:12 +0000 http://test.tradeready.ca/?p=26435 To help set you on the road to export success, we gave you an opportunity to ask three expert CITPs all of your biggest questions about taking your business international in a Facebook Live event.

The post You asked CITPs anything and they answered! appeared first on Trade Ready.

]]> Whether you’re just contemplating going global for the first time, or have been doing business in international markets for years, we all have questions. Exporting is a complicated business. A myriad of details and skillsets have to come together to make it a success.

To help set you on the road to success, we gave you an opportunity to ask three expert CITPs all of your biggest questions about taking your business international in a Facebook Live event. We heard questions on common errors, biggest lessons learned, cultural faux pas, how to ensure you get paid, customs regulations, ecommerce and everything in between.

If you missed the live event, it’s not too late to get in on the learning! Check out the video below or read the recap. And let us know if you have a questions that didn’t make it to the live event.

Panelists:

Jamie Huget, CITP – Trade Commissioner (Iran, UAE), Global Affairs Canada

Megan Malone, CITP – Senior Associate (ICT Sector), Export Development Canada

Justin Archambault, CITP – Executive Director, Bluecrown International Strategies

Host:

Leigh-Ann Redmond, Director of Digital Marketing, Forum for International Trade Training (FITT)

Why was it important to get your international business experience certified?

Jamie Huget, CITP: In any profession certification helps you to move forward and gain credibility. More than just having a business degree, international business takes a certain skillset. It’s only natural for the business community, academic community, and the industry, to want to somehow recognize the people who have the credentials and skillsets that allow you to be so successful in international trade.

Megan Malone, CITP: After getting the designation, what I asked my colleagues at EDC was “why do people recognize the CITP designation? Why do we recruit people with that designation?”, and they said:

It’s one thing to do a business degree, but if you have a real interest in trade, it’s great if you can actually focus your studies on just international trade.

Getting the business education and administration training under your belt is helpful, but international trade uses a whole different language, a whole different series of skills and knowledge that comes with it. People that devote their education and time to certification in international trade can prove that they know those skills and how to speak that language, and they’re aware of cultural nuances and things that you might not learn in other more general business programs.

Justin Archambault, CITP: The FITTskills courses teach you how to conduct business, but also give you an overall grasp of what it takes to succeed in the field of international trade. Having the CITP designation reflects that you’ve achieved a certain point and it’s the equivalent of when a doctor attaches “MD” to the end of their name. It instills trust and confidence in people when they look at you and think, “since this person is a CITP they know what they’re talking about”, and it lends a lot of credibility in the field as well. It opens doors, and it’s a requirement at various trade-focused organizations. For anyone in the private sector that wishes to take it to that next level and scale their own abilities in this field, this is really the highest pinnacle of certification among trade professionals, not just in Canada but worldwide.

What was one of the biggest learning experiences you’ve had to date in your career?

JA:  When you’re proactive with your cultural knowledge it really does open doors. It facilitates a lot of positive business dealings when the other side can look at you and say, “they understand us, they speak our language and they know how things are done. And they care.” I don’t think you can underestimate that. It’s a dealmaker or a deal-breaker. I can think of so many examples of people committing a cultural faux pas and that is it – deal-breaker! But when you’re able to put yourself in your client’s shoes and demonstrate that you’ve taken the initiative to get to the root of what their culture is, it makes a huge difference. Companies say, “Let’s go with them because they’re easy to deal with.”

JH: Business is all about relationships and talking to each other. With the FITTskills training you aren’t necessarily given a blueprint for what to do in every situation, but it gives you the tools to go through the thought process, how to analyze, be flexible and react in these various situations. People who have gone through the program know how to prepare so that they don’t get caught in these situations. They know what questions to ask and what research to do ahead of time.

As businesses move online, what regulations do they need to know about when they’re opening an ecommerce shop in international markets?

MM: At EDC we have a team called Export Help that’s there to answer these types of questions. I know this is something that we get asked a lot, and the Trade Commissioner Service has a guide on ecommerce online especially as it relates to China because that’s one of the biggest markets and biggest competitors for ecommerce. Shopify also has quite a bit of material to help companies enter the ecommerce market.  I suggest that you reach out to these resources that are available to you and have that information. That’s a good start to learning these nuances.

What are some common errors people make when entering a new international market?

JA: You can’t enter a new market assuming what works in one market works in another.

MM: Even when you go into the U.S. for Canadian companies – the U.S. market is so different from Canada in many ways. That’s a common mistake.

JA: And those differences are vast when you get out of North America. There are a lot of similarities, but a heck of a lot more differences. You have to watch the type of marketing you do, and even do your due diligence on any potential partner or distributor or agent you’ll have to deal with. Make sure everything aligns and everything is done perfectly before jumping in, because even the smallest thing could be a disaster.

MM: You should also make sure you understand your competitors in your target market. Take advantage of those resources we mentioned that are available to you, but also look at other companies who have done something similar to you and get in touch with them. So many clients I’ve spoken to have said that having that one person they could connect with and share ideas with helped guide them and bridge that gap a little bit sooner.

With all of the rapid changes in trade policy how do you stay on top of regulations and mitigate the risks?

MM: Leverage your network, trade advisors and the online resources available to you. Read the news and trade publications like Exportwise, CanadExport and TradeReady.ca, too.

JA:

Risk mitigation often comes down to diversification. A lot of companies are afraid to go to areas they aren’t familiar with and stick to the ones they know.

There are a lot of areas around the world – for example Southeast Asia has tremendous growth rates at this point, Africa has a lot of opportunities. Canadian companies really need to diversify their portfolios by location and not be afraid to look into emerging markets.

MM: There are lots of products available that can help companies mitigate their risks in new markets. There’s always the risk that you won’t get paid so there are things like credit insurance, there’s political risk insurance so that when you’re going into these markets that may be unstable or where things could change rapidly, you’re protected.

What about start-ups who are entering new markets with a different level of budget and experience?

JH: It used to be that the traditional business model was you get your backing and make sure your domestic sales are in order before you attempt to go overseas. But we’re seeing companies now who are setting up and have no intention of even selling in their domestic market, it just happens to be where they’re operating from. No matter what type of business or what size you are, it’s equally important to build those same networks and come up with those same market entry strategies.

MM: There are so many start-up resources, especially for those in the tech sector, such as incubators and accelerator programs, and those entities are really well connected to global networks as well. By going through a start-up program, you get connected to all these different partners and players and services. A lot of start-ups are also primarily online and don’t necessarily think of themselves as exporters, especially if they are a service provider or software company. But the important thing to realize is that the minute your customer is outside of your home market you are exporting. It’s not necessarily where your product is but where your customer is located that defines you as an exporter in those cases. Just because you are a start-up doesn’t eliminate you from those exporting opportunities and resources that are available.

How can you make sure that you get paid in a foreign market?

MM: Credit insurance is there exactly for this. Whether you get it from EDC or through the private sector, credit insurance is by definition insurance that ensures you get paid. At EDC, we always investigate the credit risk of a company before we approve covering you. So, if we see a red flag on a company we will suggest you either demand payment upfront or don’t do business with them.

JH: You never want it to get that far where you’ve delivered a product or service and don’t receive your payment. Just like anything else, that’s why you get the insurance to protect yourself in case something goes wrong.

Insurance is there to protect you, but at the end of the day the onus is on the company to do that due diligence.

Insurance is a tool but you certainly shouldn’t be using it for every single transaction you do when you go abroad.

How should SMEs decide what services and skillsets to outsource vs bring in-house?

JA: It starts with what competencies already exist in an organization. It really comes down to your strengths and weaknesses. You can do a SWOT analysis of yourself and your company and figure out what you need somebody else to do for you.

MM: There are also lots of free online resources out there to help you with things like managing your social media, marketing, CRM, so do a bit of digging to see what you can find for free.

How can companies protect their intellectual property abroad?

JA: Register and trademark your products before even going into different markets. Business name registration, domain name registration, get everything in there. It may cost you a little bit but at least you’ll have some recourse in those other markets. On a larger scale there’s always a point of contention in free trade agreements like NAFTA and CETA when it comes to intellectual property rights. Companies can take the initiative through lobby groups to fight for inclusion of intellectual property rights in these agreements.

JH: It’s really important to know who you’re selling to and how they’re going to use your product or service. For SMEs that are in the early planning stages, when you’ve got that grandiose idea that’s going to change the world, you’ve got to be forward thinking. Think about which markets this product will be most successful in three to five years from now and plan ahead to mitigate any possible risks, because it’s a lot easier to do that earlier on. Most SMEs can’t afford to protect their product globally, so they do need to pick and choose the best markets and do that analysis.

How should businesses plan their supply chains? Is it best to work with freight forwarders and consultants?

JH: We have to look at supply chains as a whole. The idea is to find the weak spots that can have the biggest impact and try to strengthen those up. There’s no formula that applies to all companies. A good place to start is to look and see what your competitors are doing.

Being competitive relies on market intelligence and knowing where the markets are shifting. A lot of those insights will come from your own customers.

Get feedback from them and they will let you know what they like about what others are doing; faster delivery, offering in-house financing, training, etc.

JA: It’s so important to identify and address any inefficiencies. Often a third-party service can help you with that. If you can get an expert to handle it you’ll really make your entire supply chain more efficient.

JH: Just as you would for your household expenses when you look at your insurance bill, cable bill, and find ways to pay less, small businesses need to take the time every so often to look at all who they’re using to ship their products abroad and figure out if they can get a better deal.

JA: You should also look at the failure rate for all of your service providers. Are your products arriving undamaged, on time? Is there a mechanism in place to ensure that they are being delivered as expected? There does need to be a periodic review to make sure that you’re getting the best bang for your buck.

What is the most common question you get about international trade?

MM: For a lot of businesses it can be overwhelming to just get started. We are lucky in Canada that there are so many resources available to businesses looking to export – almost too many. It’s easy to get analysis paralysis. Knowing who to go to and where to get started is key. The advice I would give is to start with one, whether it’s the TCS, EDC, or a consultant, it’s our job to direct you from there and connect you with other partners.

JH: In Canada there are so many government resources – federal, provincial, municipal – so as a small business you need to figure out what you’re going to focus on. Often, I’ll get a call from a business saying “I just got a call from a potential customer in such-and-such country, how do I go about shipping to them?” What you’ve got to ask yourself is, am I taking the shotgun approach? Small business has to focus and be prepared to turn down some of these potential opportunities because they may be more work than they’re worth, and they can lead you into this dark cave of uncertainty about what you need to do. It all goes back to your business plan and your marketing plan. If a market doesn’t fit into your plan, then maybe you need to either reconsider your plan or evaluate the opportunity, and possibly turn it down.

Can certification like CIFFA, CITP, PLog, really help me get a job or project? Do companies really care or is the focus more on experience?

JA: Experience in any job goes a long way. The CITP designation is certainly a tremendous asset. In my experience I found that when I deal with clients, when they see CITP in my title beside my name they will take me a lot more seriously.

MM: Yes! Having a certification in what you’re passionate about or the field that you’re operating in definitely gives you more credibility. By having a certification in that field you’ve proven that:

A – you’re passionate about it because you took the time and put in the effort to learn about it and get certified. It’s the same as an accounting designation or any other professional certification.

And B – that you’re a reliable and credible professional in that field.

JH: I see it as two things: That you have that knowledge and skillset. And what’s often overlooked is that it’s like belonging to a secret club. You’ve got that group now that you can network with and ask a question. When you meet another CITP you automatically know what you have in common, and it’s a valuable network for this industry. That might be the most important aspect of obtaining a designation.

Missed your chance to ask  the experts a live question? Submit it in the comments below!

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]]> https://tradeready.ca/2018/topics/market-entry-strategies/you-asked-citps-anything-and-they-answered/feed/ 0 https://tradeready.ca/wp-content/uploads/2018/07/AMA-Screenshot.jpg 7 Delivery costs to budget for in your export strategy https://tradeready.ca/2018/topics/international-trade-finance/7-delivery-costs-to-budget-for-in-your-export-strategy/ https://tradeready.ca/2018/topics/international-trade-finance/7-delivery-costs-to-budget-for-in-your-export-strategy/#respond Mon, 22 Jan 2018 16:27:04 +0000 http://test.tradeready.ca/?p=25583 Exporters need to keep these 7 services in mind when managing international deliveries, and budget accordingly, to take advantage of them when needed.

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]]> two young entrepreneurs preparing their products for delivery

Delivery Factors Within a Transaction

Delivering goods and/or services within a country can be complex in certain situations. Sending goods and/or services across international boundaries is challenging even for large multinational corporations, and can be a daunting experience for many small-and-medium-sized companies.

When it comes to exporting goods, an exporter must know the route a shipment is to travel so that it can be prepared for any special needs or risks during shipping. An exporter must also be aware of all import and export regulations, other regulations affecting shipped goods, and what the conditions are like at the destination point.

Will a destination port receive containers? Will handling facilities be available? As it is not always easy to get answers to these questions, even experienced exporters will benefit from the assistance of experienced intermediaries.

Exporters of goods need to keep these seven services in mind when managing international deliveries, and budget accordingly, to take advantage of them when needed.

1. Freight Forwarders

Freight forwarding is a service industry that provides a wide range of advisory, administrative and physical services to shippers to aid the international movement of goods. Freight forwarding companies arrange for the transportation and delivery of goods and commodities.

Freight forwarders provide or arrange for packaging, storage, handling, export credits, insurance and trade documentation (which might include customs clearance). Other services freight forwarders offer include:

  • Arranging or providing shipment handling requirements for packing, crating, marking, inspection and storage of shipped goods
  • Preparing shipping and customs documents
  • Translating, certifying or transmitting documents
  • Obtaining permits, licences and certificates
  • Providing financial assistance by helping companies arrange documentary letters of credit or arrange collections

2. Non-Vessel Operating Common Carriers (NVOCC)

Freight forwarders may be engaged by shippers as agents or as transportation intermediaries. As agents, forwarders charge a fee that includes payment for their services, plus the cost of the transportation services.

When acting as a transportation intermediary, the forwarder pays the carrier, regardless of whether there is enough cargo available to fill the space it has purchased.

In this role, the forwarder acts as a carrier and is therefore known as a non-vessel operating common carrier (NVOCC).

NVOCCs book space on cargo ships in large quantities at lower rates, and sell space to shippers in smaller amounts. NVOCCs consolidate small shipments into container loads that move under one bill of lading. In this capacity, the forwarder can also operate as a broker. It receives a percentage of transportation charges or brokerage fees from air, highway or ocean transportation companies for finding shippers with goods to be transported.

3. Trading Houses

Trading houses are international trading companies that specialize in helping companies import or export goods. International trading houses are commercial intermediaries that focus on the long-term development of trade in goods and services that are supplied by other parties. Trading houses concentrate on exporting, importing and third country trading as core activities.

4. Cargo Insurance

Insurance is necessary to avoid the risk of major financial losses if cargo is damaged or misplaced. In most cases, loss or damage occurs during loading and unloading or while cargo is being stored between transport stages. Cargo insurance is offered under ocean marine policies. Despite the name, ocean marine insurance can cover goods being transported by air, rail, road or by marine transport.

5. Requirements for Insurance

To obtain insurance, a company must demonstrate that it has insurable interest in the goods being transported. The company can only have insurable interest if it faces the risk of a loss, if it has a financial interest in the safety of the goods, and if it does not have the potential to profit by applying for insurance.

Cargo insurance is a negotiable, transferable document. It is important to know that insurance interest needs to be set before the time of the loss.

There are many types of insurance policies that a company can obtain to cover its insurable interest. Under any type of insurance policy, it is important to negotiate and obtain optimal coverage at competitive rates, and to be aware of the procedure by which claims must be filed.

6. Third Party Logistics Providers

Third party logistics (3PL) is a common supply chain management practice in which a company outsources logistics functions to another company. The functions that are outsourced vary from company to company, but usually include one or more of the following:

  • Inbound freight
  • Customs and freight consolidation
  • Warehousing
  • Order fulfillment
  • Distribution
  • Management of freight to customers

Using a 3PL company can enable an organization to enhance its customer service offerings because it can use the international distribution networks and insider knowledge of importing and exporting that have been established by the 3PL.

Using a 3PL is especially beneficial to medium-sized companies, helping them remain lean and competitive while receiving the most cost-effective services.

A smaller company might not benefit from using a 3PL because the company’s logistics structures might not be large enough to justify the commissions that the 3PL will charge to take over planning and managing the functions.

Get your products and services where they need to be faster than ever before, while still maintaining quality standards and meeting all legal requirements with the FITTskills International Distribution online workshop!International Distribution graphic

7. Risk Elements and Related Costs

Any arrangement with buyers and suppliers has elements of risk—however, risks associated with international trade are often higher. Commercial, country and foreign exchange risks all exist to varying degrees in international trade, and managing or eliminating these risks can be costly. Failure to address them adequately may eliminate all profit.

Discussions with banks, insurers and export credit agencies (ECAs), will be required to ascertain the cost of managing financial exposure after assessing the commercial and country risk factors.

Volatility is a reality in international transactions, and the impact of this will vary depending on the countries involved and the goods or commodities being bought or sold.

Commodity prices fluctuate daily, and while commercial contracts and/or guaranteed forms of payment will fix prices, extraordinary circumstances can sometimes add costs or present an opportunity for the importer to reduce the price paid.

Such extraordinary circumstances often lead to unforeseen costs and the risk of this is often difficult to accurately predict or to cost with precision. Consequences of a volatile target market include:

  • Dispute resolution costs
  • Demurrage charges (delays in loading or unloading vessel)
  • Delays in transit
  • Documentation errors or omissions
  • Legal fees
  • Delays in funds transfer
  • Unanticipated costs due to travel or other expenses
This content is an excerpt from the FITTskills Global Value Chain online course. Maximize your odds of success and reduce any risks as you move into a new market by improving your strategic planning process.

Learn more!

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]]> https://tradeready.ca/2018/topics/international-trade-finance/7-delivery-costs-to-budget-for-in-your-export-strategy/feed/ 0 https://tradeready.ca/wp-content/uploads/2018/01/export-delivery-budget.jpg What do customs brokers do, and how can they help your business? https://tradeready.ca/2016/topics/supply-chain-management/customs-brokers-help-business/ https://tradeready.ca/2016/topics/supply-chain-management/customs-brokers-help-business/#comments Fri, 09 Dec 2016 16:40:35 +0000 http://test.tradeready.ca/?p=21972 Customs brokers clear shipments of imported goods, prepare required documentation for export shipments and collect duties and taxes.

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]]> customs brokers

Because of the complexity involved with importing and exporting goods, many companies use customs brokers to act as their agents. Customs brokers clear shipments of imported goods, prepare required documentation for export shipments and collect duties and taxes. They act as an intermediary between importers and the government, helping companies deal with legislation.

Customs brokers charge a brokerage fee, which is usually determined as a percentage of the value of the imported shipment. A set rate or fee can be negotiated by the importer and the customs broker. It’s based on complexity of customs entries, frequency of customs entries as well as noted value of imported goods.

Most importers engage the services of a customs broker or consultant who offers some or all of the following services:

  • Customs valuation
  • Tariff classification
  • Customs clearance
  • Automated customs clearance through government-initiated programs
  • International trade consulting and facilitation services
  • Freight management and consolidation services
  • Import and export purchase-order management
  • Regional and national warehousing
  • Non-resident import services
  • Valuation, Origin of Goods or Harmonized System (HS) Code Ruling requests with government of importing country

The preparation of customs accounting documents usually requires specialized knowledge in fields such as tariff classification, rates of duties and taxes, and origin of the goods.

Most customs brokers maintain a database where they enter all the required data. Because the data is online, any tariff changes or special instructions can be accessed rapidly, ensuring that accurate information is used.

Customs brokers are the primary source of knowledge and skills that help importers develop appropriate systems and procedures in reporting trade data.

Many countries have systems in which brokers are electronically linked with customs through automated customs systems. This enables electronic transfer of accounting documents and payments and greatly speeds up clearance of shipments.

Want to learn more about managing your company’s supply chain, logistics and how to mitigate risks? Check out the FITTskills Global Value Chain online course.

Customs brokers can help in a wide variety of ways

A customs broker can assist an importer in a number of complicated areas, such as tariff classification, customs valuation, appeals and dispute settlements, refunds, drawbacks and remission of duties, sales and excise tax implications, payment of taxes and duties, seizure appeals, reviews of past customs accounting documents (entries), and anti-dumping and countervailing issues. A customs broker or consultant can also review a company’s operations with a view to improvement.

Some customs brokers offer freight-management services, based on the buy-and sell principle. A customs broker buys freight rates in bulk from carriers and resells them to its brokerage clients. In addition to freight rates, a customs broker also purchases cargo insurance packages and makes them available to its brokerage clients. Customs brokers also offer warehousing and distribution services, including inspection and storage of goods and processing of small orders.

Non-resident importer

A foreign company can become a non-resident importer by authorizing a customs broker to clear its goods through customs. Books and records, including books, letters, accounts and invoice statements (financial or other), must be maintained in the importing country for a specified period of time. In Canada, the record keeping period is six years.

A customs broker’s non-resident import services include preparing customs accounting documents, paying duties and taxes, making delivery arrangements on the non-resident’s behalf and maintaining certain records.

In some countries, using a customs broker or a customs agent is mandatory. Even where it’s not, it may be cost effective to use one.

A broker can secure passage through a customs examination in the shortest possible time and minimize the risk of loss and pilferage at the lowest possible cost.

An exporting firm can find foreign brokers through their country’s department of foreign affairs, its bank, chambers of commerce, the domestic embassy of the country to which it is exporting and its freight forwarder. Freight forwarders, in particular, are usually able to arrange for foreign customs brokers to handle reception and clearance of goods.

This article is an excerpt from the FITTskills Global Value Chain course. Keep your customers, clients and suppliers happy by transporting goods in a timely manner and in compliance with all regulatory requirements.

Learn more!

The post What do customs brokers do, and how can they help your business? appeared first on Trade Ready.

]]> https://tradeready.ca/2016/topics/supply-chain-management/customs-brokers-help-business/feed/ 1 https://tradeready.ca/wp-content/uploads/2016/12/Customs-brokers.jpg Fadi Ghaby, CITP/FIBP – Manager, Business Navigating and Reporting https://tradeready.ca/2016/topics/citp_spotlight/fadi-ghaby-citpfibp-supply-chain-analyst-senior-coordinator/ https://tradeready.ca/2016/topics/citp_spotlight/fadi-ghaby-citpfibp-supply-chain-analyst-senior-coordinator/#respond Wed, 13 Jan 2016 15:05:49 +0000 http://test.tradeready.ca/?p=17152 Fadi Ghaby, CITP|FIBP is a Supply Chain Analyst/Senior Coordinator at ALDO Group, based out of Montreal, Canada, where he supervises the complete customs operations group, including five supporting employees.

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]]> Fadi Ghaby, CITP|FIBP Supply Chain Analyst

Earned his elite CITP®|FIBP® designation: June 2011

Fadi Ghaby, CITP|FIBP is a Supply Chain Analyst/Senior Coordinator at ALDO Group, based out of Montreal, Canada, where he supervises the complete customs operations group, including five supporting employees.

He is a highly skilled professional with over ten years of experience in the import/export and supply chain fields. With his exemplary abilities to organize and pay attention to detail, Fadi excels at managing multiple projects, as well as providing guidance and managing risks within supply chains.

Getting the right tools for the job

When Fadi decided global trade was the right industry for him, with an international background and language proficiency, he looked for the best education he could find to help him develop the skills he needed to break into the field.

After some careful research, he decided to pursue the International Commerce Import Export program, which delivers FITTskills courses, at LaSalle College in Montreal, Quebec. The program helped Fadi master the techniques, practices and laws he would use in his future career to develop strong, efficient supply chains.

FITTskills courses were very practical, and I use what I learned in the FITTskills program every day in my work in the import-export department at Aldo Group.

Wasting no time climbing the corporate ladder

Fadi got his big career break in March 2010, shortly after completing his FITT Diploma in International Trade, when he was offered the position of Export Administrator at ALDO Group.

After nearly two years in the role, Fadi decided to apply for the CITP®|FIBP® designation to show his commitment to the profession, as well as showcase his skill set and experience.

I decided to apply for the CITP®|FIBP® designation because I wanted to apply my knowledge and expertise in international business, and because the CITP®|FIBP® designation is the only comprehensive global trade credential recognized by the World Trade Centers Association.

Joining his fellow global trade experts was a dream come true for Fadi, and he sees it opening many doors for him in the future.

“I am very proud to have earned the CITP®|FIBP® designation, and I believe that it will help me to advance in my career as an import export and supply chain professional.”

In fact, he immediately began reaping the benefits of his new title by being promoted to a management role within ALDO Group. He started his new position as Customs Operations Coordinator in March 2012.

Shipments don’t go out without his stamp of approval

As Customs Operation Coordinator, Fadi was charged with coordinating all daily tasks and training for the export group at his company. He was ultimately responsible for ensuring his team met performance targets, and stepped in to solve any operations issues quickly and efficiently.

He reported his team’s results by performing statistical analyses and continually developing KPI’s to improve his team’s performance. He was also the last line of defence, reviewing customs documents, maintaining CIFTA, CCFTA and NAFTA compliance, and dealing with suppliers, brokers and carriers for each daily shipment from Canada to the U.S.

Fadi has recently been rewarded for his achievements by being promoted, yet again, to his current position as Supply Chain Analyst/Senior Coordinator.

This promotion gives him an elevated role in establishing and administering supply chain operations in order to improve global lead time performance.

To do this, he conducts research in collaboration with support departments to better understand logistics requirements, and communicates with partners, other logistics teams and freight forwarders to better achieve their goals.

Fadi is also involved in contract negotiations with freight forwarders and suppliers, and works with subject matter experts to resolve any supply chain problems.

Gazing into the future of logistics

An exciting aspect of Fadi’s work, is assisting in designing and implementing models and analytical reports – not only to evaluate and track current operations, but also to project future situations in order to identify opportunities for improvement.

On top of his international business training, Fadi has also received diplomas in Human Resources Management and Administration from the University of Quebec. He is currently completing a Professional Development Certificate in Logistics and Supply Chain Management at the University of Waterloo.

Fadi was promoted to Manager, Business Navigating and Reporting in fall 2017.

Fadi enjoys getting involved in the global trade community and was proud to have been selected to take part in the Steering Committee for the International Trade Competency Standards (ICS) project, led by FITT and the Canadian Government.

He hopes to soon get involved in supporting the World Trade Organization.

Fadi has a bright future ahead of him in the supply chain industry and strives to someday open his own international business. We look forward to seeing what innovations his team achieves in the future.

Want to connect with Fadi?

LinkedIn_Logo60pxC.fw LinkedIn: Fadi Ghaby

Learn more about the CITP®|FIBP® designation

INTERNATIONAL BUSINESS CERTIFICATION—CITP®|FIBP®

Advance your career and build your professional credibility in the field of global business by earning the Certified International Trade Professional (CITP) designation.

Why Earn the Certified International Trade Professional (CITP) Designation?

The Certified International Trade Professional (CITP) designation is the world’s leading professional designation for the field of international business. So whether you’re new to global trade or have over a decade of direct experience, you’ll find the CITP designation can help advance your career and build your professional credibility.

The CITP designation sets you apart in the competitive international business industry because it’s proof you possess the competencies global business experts have identified as being essential for a successful career in international trade. It also recognizes your dedication to ethical business practices and ongoing professional development—both of which are desirable traits for today’s global business practitioners.

Click here to take the next steps to your CITP designation

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]]> https://tradeready.ca/2016/topics/citp_spotlight/fadi-ghaby-citpfibp-supply-chain-analyst-senior-coordinator/feed/ 0 https://tradeready.ca/wp-content/uploads/2016/01/Fadi-Ghaby-CITP.jpg 13 ways Canadian SME’s can improve on their dismal export rates https://tradeready.ca/2015/trade-takeaways/13-ways-canadian-sme-export-rates-dismal-improve/ https://tradeready.ca/2015/trade-takeaways/13-ways-canadian-sme-export-rates-dismal-improve/#respond Thu, 16 Jul 2015 13:26:04 +0000 http://test.tradeready.ca/?p=14283 For all the talk about Canada being a trading nation, we aren’t when it comes to small and medium sized enterprises. While SME’s account for roughly 95 percent of all companies in Canada, and create 65 percent of all jobs, Canadian SME export rates are at less than 2 percent.

The post 13 ways Canadian SME’s can improve on their dismal export rates appeared first on Trade Ready.

]]> Canadian SME export ratesFor all the talk about Canada being a trading nation, we aren’t when it comes to small and medium sized enterprises. While SME’s account for roughly 95 percent of all companies in Canada, and create 65 percent of all jobs, less than 2 percent of them are involved in exporting.

When compared to U.S. SME’s at 33 percent, German firms at 20 percent and Chinese small and medium sized firms at 60 percent, it is pretty clear that Canadian firms have not caught on to the opportunities that are available from exporting.

It is also why we buy Chinese laptops, Japanese robots, South Korean smart phones and Taiwanese computer parts. In return, we sell pork bellies, oil and natural gas and raw logs. This is hardly a model for a 21st century economy.

Rethinking the entire approach to exporting

Much has been written about the causes underlying our utter lack of international activity, from an unwillingness to take any kind of risk, to cost concerns, to a lack of qualified international trade professionals and managers, and a general lack of market knowledge.

How difficult can it be to do an environmental scan of a country with potential on Google?

Then there’s the old worn out excuse of little or no government support.

These may be legitimate but in the end they are excuses. We need to fundamentally rethink how we encourage and develop the capability of Canadian SME’s to actively pursue international markets.

Let’s start from the top down.

1. There is a need for a national organization, perhaps based on the Saskatchewan STEP or Australia’s Austrade models, that works closely with SME’s in both training them to become export capable, and identifying customers in export markets.

2. No more government trade missions where the focus is on politicians. Trade missions should be business to business driven, with matchmaking and follow up incorporated in each mission.

The National Research Council used to undertake these in Asian markets and they were hugely successful.

3. Let’s start talking in the media and industry associations, and chambers of commerce, and from governments at the Federal and Provincial level about realistic markets. India and China are not realistic markets for most SME’s unless they operate in very specific niche markets.

Canadian firms need to know more about where real opportunities and real customers are.

There is a need to promote Latin and South America, East and West Europe, and the small strong markets in Asia such as Singapore, South Korea and Taiwan.

What can SME’s do?

4. Understand that we live in a competitive global world and learn about it. In a recent survey, over 75 percent of Canadians had not heard of the Trans Pacific Partnership (TPP), a trade deal that, if implemented, will fundamentally change the Canadian economy.

5. Be prepared to spend money and time gaining the necessary knowledge and training on international activities such as Incoterms, letters of credit, and freight forwarders. It’s not rocket science and it should be a part of every SME’s activity.

6. Understand the value of the impact of social media on your international marketing potential. While Canadians have the highest use of the internet on a per capita basis among OECD countries, less than 15 percent of Canadian retail firms have simple e-commerce capabilities.

It’s not that difficult to set up a PayPal account, and in twenty minutes you can identify a segment of real customers using LinkedIn – I have seen it done.

7. Understand it is not about markets; it is about reaching real customers. It doesn’t matter which country(s) you choose to sell in (except for China and India) but it does matter if they have customers.

Ask your colleagues and your networks where they sell to in the world, why they have been successful, and what lessons they have learned.

In my little corner of the world, Victoria, British Columbia, there are dozens of SME’s that sell globally and they are more than willing to share their lessons with other local firms looking to expand internationally.

Why this matters

In the next twelve to eighteen months Canada will be a signatory to two major trade agreements that will impact the domestic competitive scene.

The first is the Canada EU Free Trade Agreement. This is not like NAFTA or just a reduction in tariffs. This agreement is far reaching in areas such as foreign investment, government procurement and intellectual property.

The second is the Trans Pacific Partnership. Much of what constitutes this agreement has not been made public yet, but according to reports it will cover procurement, foreign investment, labour mobility, environmental standards and business practices.

The TPP has twelve countries at the table and Canada is not in a strong bargaining position. So, it is important that Canadian SME’s be aware of its impending implementation and what its impacts might be.

The current Canadian government is committed to trade agreements and opening up the Canadian market. The world is about to march in the door, so perhaps we should go and visit them first.

A bit of practical advice

Succeeding internationally is not that difficult if you are prepared to spend the time and resources to find real customers. A few hints in that pursuit:

8. Pick on someone your own size. Don’t go after customers in large, complicated, non-transparent markets. Choose countries that have SME’s that want to work with you.

9. Pick country(s) that have growth potential and a need for your product or service. Don’t know where to find them? Try Google.

10. Partner up. You will need agents or distributors or local partners. Find the good ones and cherish them. They will save you time, money and headaches.

11. Get competitive. Figure out what makes you the best at what you do and build on that. By the way, it’s not because you are a Canadian company. No one cares. They do care about product quality, after sales service, good communications and strong supply chains.

12. Budget for market development. Nothing is free and international markets can take time to develop.

13. Commit to staying for the long term. Good customers are hard to find, and once found are worth the effort.

Your thoughts on what Canadian SME’s need to do to play a bigger role in exports?

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