Trade routes have been there for centuries. The famous trade silk route was a cross-border trade route to transport from China to Central Asia. Also, it facilitates passing it into the Middle East and Eastern Europe. These trade routes were the live lines for the civilization that grow there for centuries. Exchange of knowledge and skills along with the trade. Many cities depended on International not only financially but also as a source for their wellbeing.

With time, human civilization moved toward modernization. It emerged as new trade routes were developed for international trade. Trade started to be faster than before due to the use of airplanes, ships, and trucks. The distance that was covered in months now was covered in days or even hours. And international trade became safer so more companies started setting up for trade. It is the most convenient way that facilitates trade.

21st Century & Ecommerce Trends

In the 21st century, the new trend of e-commerce has made international fulfillments safer and more viable for even small companies. It was previously being done by big or multinational companies only. With the rising concept of e-commerce among the consumer, many small companies are entering such business. International logistics has never been so easy and safe the way it is nowadays. It was near impossible for small companies to expand globally. Now, it is a reality for small businesses to do international business with ease.

International Logistics

International logistics is the process of delivering the finished product to the end consumer most efficiently and cost-effectively. The process involves the transportation of the product. Also, shipping of the product through the international border and delivering it to the customer are benefits associated with it. 

Process of International Logistics Shipping

The process of international logistics shipping of the product has even enabled small e-commerce companies to take international orders. Resultantly, companies do their international fulfillment with ease. However, this process on international logistics shipping has a bit complex process that needs handling through proper planning and execution. The process of operations of the international logistics is as follows:

• Goods Handling:

Handling of goods is a very crucial step in international logistics. The company needs to evaluate the distance, time, and cost that is involved in international shipping logistics. Small companies that are located far from the port cities can do the international logistics of their products. But, they need to calculate the cost to evaluate if that is cost-efficient.

Previously, it was only viable for big companies to have warehousing and storage in multiple countries. But now small companies can benefit from the international fulfillment centers available for services. Instead of making up their storage facility. The requirement for the international fulfillment centers depends upon how many international orders an e-commerce company receives. In the case of a few orders, they can manage the international logistics from their country. For large volumes of international orders, they can hire the service of international fulfillment centers for international shipping logistics of their goods.

• Mode of Transportation

The mode of transportation is an important decision to be made by the e-commerce business. Because the cost of airlifting is much higher than shipping the product by sea. However, there is some limitation to the product that can be airlift.  This important decision will depend upon the fact that product the e-commerce business is offering if it is a perishable product what lead time the business has for its delivery and most importantly what is the budget of the company.

• Transportation Process

The e-commerce business should always consider the fact that international shipping logistics involves a very hefty process. The process is time-consuming and the e-commerce business should calculate the lead time and the cost of the international logistics beforehand. The process involves the first step of the e-commerce engaging the services of the shipping agent or freight forwarder such as DDP Transfreight international shipping services. Freight forwarders like DDP Transfreight then do the booking for shipping with the shipping line.

Process

The product is first transported to the DDP Transfreight international shipping then it is deliver at the port to the shipping lines yard. From were after the customs process is done the cargo is load on the sip. The transit time of shipping depends and can vary from a few days to a few weeks or a month. From the ship, the cargo is unload at the port of destination. the freight forward like DDP Transfreight. Will arrange for the clearance of the goods, and after payment of the duties, the goods will be ready for transportation to the consumer.

All this is a hefty time-consuming process, and any delay at port or clearance or transit shipping can increase the lead time. and congestion at port might increase storage charges. All these costs should be calculate and account for before the sale of the product to avoid any loss.

Challenges of International Logistics

International shipping logistics is a hefty process that has a lot of challenges, especially for beginner e-commerce businesses. Some of the major challenges are as follows:

• TIME-CONSUMING

Lots of steps are involve. Different custom departments in different countries are involve in international logistics shipping. Shipping lines and shipping agents are involve and the transportation and managing the international logistics is a bit complex process. If international shipping is not handle properly it can be a big issue for the e-commerce business in terms of lead time as well as cost.

Ecommerce businesses can hire the service of freight forwarders and an agent such as DDP trans freight international shipping that can help them in avoiding any delays in shipments.

• TAXES & DUTIES

Ecommerce businesses are offering different products to consumers globally. Any given product can have a different custom policy depending upon the fact from the country the product is originate. Ecommerce businesses should calculate the cost of taxes and international duties as well as the shipping cost before booking the orders, they can take help from the freight forwarder and shipping agents in calculating the exact cost.

• LATE SHIPMENTS:

Late shipment is a big challenge especially for the e-commerce business doing international orders. International logistics is a very time-consuming process. International logistics apart from being time-consuming involves a lot of government and private sector departments and companies. That makes the international logistics process lengthy and unpredictable in some cases. A good e-commerce business will always plan the shipments accordingly to avoid any delays in shipment.

• SALES RETURN ISSUES

Sales return is a big issue for the international e-commerce business. The process of international logistics involves load of steps. So whenever there is a sales return it becomes very costly as well as time-consuming. So it is in the best interest of the eCommerce business to deliver the goods in the first place as per the customer requirements.

CONCLUSION

Although international logistics is a time-consuming and costly process. It has created ease for even small e-commerce businesses to operate globally. If companies will gear up with these international logistics solutions, there is a huge chance of success.