Have you ever encountered a cargo explosion or container dumping? How to avoid it?-Logistics Knowledge-GUANGZHOU FOREVERSHIP GLOBAL LOGISTICS CO., LTD

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Have you ever encountered a cargo explosion or container dumping? How to avoid it?

Source：本站 Author：FOREVERSHIP Addtime：2019-04-08

"Your cabinet has been thrown away"

"The shipping company exploded and the cargo was dumped."

"The customs clearance was too late and the container was dumped."

Have you ever heard of a problem like the one above?

Who dumped your cabinet - the shipping company? Freight forwarder? Wharf?

What are the reasons for container rejection - unable to catch the ship? Or is it a cabin explosion?

Can't catch the ship because - delivery/container making too late? Has it not been released before the deadline? Is there an error in customs declaration or manifest data? Customs inspection delayed? Is it too late to gather at the port?

How did the explosion come about - there were too many goods during the peak season? Does the shipping company allocate more cabin space for the sake of maximizing profits?

1. Swing cabinet

"Container dumping" is a common term in industries such as foreign trade, freight forwarding, and logistics. "Container" refers to a container, which mainly refers to sea freight containers, including full container dumping and LCL dumping.

The number of LCL container drops is relatively small because LCL freight forwarding companies generally have strong capabilities and good relationships with shipping companies. Moreover, LCL involves multiple customers and multiple shipments, which has a significant impact. Therefore, LCL freight forwarders will try their best to avoid container drops unless they are in time for customs inspection and cannot catch the ship, so they can only postpone the next voyage.

In fact, delaying the shipment (taking care of the cargo) does not mean abandoning the container. Abandoning the container means that you have no problems in all aspects and can completely catch the ship. However, due to unilateral reasons from the shipping company (the number of compartments placed exceeds the actual number of compartments), there is no space left due to the explosion of the container, so you directly abandon your container. And delaying the shipment is usually due to the reasons of the freight forwarder or shipper, and they cannot catch up, so they have to postpone to the next voyage.

2. Reason

During the peak freight season, with a large cargo volume and limited cabin space for shipping companies, it is easy to experience cabin explosions (especially on popular routes), which inevitably leads to some containers being dumped.

In fact, the reason for container rejection is entirely due to the shipping company, because in order to ensure full load and not waste any space, the number of compartments released by the shipping company often exceeds the actual number of compartments. For example:

Originally, there were only 100 cabins allocated to this port, but the shipping company allocated 110 cabins to freight forwarders or shippers. The extra 10 cabins in the container will definitely not be able to be fully loaded - it will have to be abandoned and postponed to the next ship. When the final number of abandoned cabins may be less than 10, because among the 110 pre placed cabins, there may be those who have withdrawn their cabins, those who cannot catch the ship, those who have customs clearance issues and cannot leave, or those who do not leave for other reasons, so there may be five or six abandoned cabins in the end. Of course, there may be less than 100 that can be left in the end - more than 10 that have been withdrawn or missed.

3. Who would get dumped

The shipping company usually has a choice of which containers to discard, not in a first come, first served order, but will prioritize the containers of customers with lower shipping costs, average relationships with the shipping company, or those that the shipping company deems unimportant.

So, if your cargo volume is small, if you have nothing to do with the shipping company, and if your freight forwarder's strength is not strong, then the probability of your container being dumped will be higher.

4. Even if there is no fault, one should be dumped

For container rejection, although it is mostly due to the reasons of the shipping company, the shipping company is not responsible for it. Do you think it's very domineering? There's nothing we can do. You have a small quantity of goods, what can you do with them? In the freight forwarding industry, without cargo volume, there is no right to speak, that's just the reality.

The victims of container dumping are the shipowner, shipper, and freight forwarder. They may lead to secondary customs clearance, delivery delays, and even customer claims or loss of customers as a result. The root cause of the container dumping problem lies in the fact that shipping companies, in pursuit of maximizing profits, allocate more space and do not attach enough importance to services. Although the shipper is full of criticism, the shipping company still goes its own way. At present, there are no signs of a solution to this problem, and it will continue to exist for a considerable period of time in the future.

Booking with GUANGZHOU FOREVERSHIP GLOBAL LOGISTICS CO., LTD is a powerful way to reduce the chance and risk of being dumped.

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2019-04-08Have you ever encountered a cargo explosion or con...

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