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Tuesday, September 18, 2007

Transportation: the Tail that can Wag the Dog of Manufacturing

P. A. Paolini, Corrigan Air & Sea, Romulus, MI


Summary: Few things can be more frustrating to a manufacturer than to find out that all of their efforts to design and build a beautiful piece of equipment can be thwarted by a little transportation problem. Maybe the transit time took twice as long as expected, or the paperwork was prepared incorrectly and the cargo is stuck at the port? Or maybe after you build it, someone tells you, “You can’t get there from here!” The good news is that the great majority of problems can be eliminated if some thought is given to transportation issues at the start of the process, rather than at the last minute. Some of the issues to consider are: • Packaging- Can your equipment withstand the journey? • Transit time and Routing: What carriers service the destination and how long does it take to get there? • Shipping by Air or Sea? A trade off of time vs. expense. • Terms of sale and use of Inco Terms- These determine the respective responsibilities sellers and buyers in an international transaction. • Customs clearance- How do you get the goods through customs once they arrive at the port/airport? • Freight Forwarders- Transportation professionals that can guide you on the way.