Sustainable logistics is redefining supply chain management by reducing environmental impact and promoting ethical, efficient practices. More and more companies are embracing innovative strategies to cut CO₂ emissions, streamline transportation, and enhance energy efficiency in logistics operations.

Key pillars of sustainable logistics

Understanding sustainability in logistics requires a closer look at its fundamental components:

Eco-friendly transportation

Using low-emission vehicles, such as electric and hydrogen-powered trucks, along with route optimization, significantly reduces the carbon footprint. Additionally, digitalization in logistics enhances consumption monitoring and boosts environmental performance. Alternative fuels like biogas and biodiesel further support the green transition. The deployment of autonomous vehicle fleets and drone delivery systems represents a cutting-edge approach to more efficient and eco-conscious transportation.

Likewise, many companies are implementing urban car-sharing models to decrease the number of vehicles on the road, effectively lowering overall emissions. In short, every innovation in this sector contributes to reducing environmental impact.

Sustainable packaging

Adopting recyclable materials and eco-friendly packaging is crucial for minimizing waste and enhancing supply chain sustainability. Many businesses are now investing in biodegradable or reusable packaging solutions to limit environmental harm. Additionally, reducing plastic usage and integrating reuse systems positively impact waste management. Advancements in packaging technology also help optimize transport space and reduce the number of trips required.

While many companies have already made progress, there is still significant room for improvement. Investing in research and development to create high-performance sustainable materials could revolutionize the industry.

Green warehouses

Logistics facilities are transitioning toward sustainability through solar power, LED lighting, and automation technologies that minimize energy waste. Advanced warehouse management systems optimize storage space and reduce costs, while robotics and autonomous vehicles further improve efficiency and energy consumption. Smart climate control systems and sensor technology also contribute to lower energy use and better preservation of sensitive goods.

Cutting-edge technologies

Integrating artificial intelligence, machine learning, and predictive analytics enhances operational efficiency and minimizes environmental impact. Blockchain-based traceability solutions ensure transparency and sustainability across the supply chain. The Internet of Things (IoT) enables real-time shipment tracking, optimizing logistics processes. Additionally, 3D printing in specific supply chain phases can reduce transport dependency, significantly lowering the environmental footprint.

While these technologies provide substantial benefits, they require upfront investment. However, companies that invest in innovation today position themselves for long-term competitive advantages.

Benefits of green logistics

Embracing green logistics practices provides a wide range of advantages:

• Lower operational costs: Optimized routes and improved energy efficiency lead to significant savings in transportation and warehouse management.
• Regulatory compliance: Companies prioritizing sustainability are better prepared to meet increasingly strict environmental regulations.
• Enhanced brand reputation: Eco-friendly practices strengthen corporate image and encourage customer loyalty.
• Improved efficiency: Advanced technologies and optimized management strategies streamline supply chain operations.
• Increased appeal to investors and partners: Businesses committed to sustainability attract more opportunities in response to growing demand for green solutions.
• Reduced environmental impact: Cutting greenhouse gas emissions and pollution in logistics contributes to a healthier planet and better quality of life.

The future of sustainable logistics

With stricter regulations and heightened environmental awareness, sustainable logistics is set to become a fundamental industry pillar. The shift toward circular economy models and stronger collaboration between businesses and institutions will be essential in creating a more sustainable and competitive supply chain.

One of the biggest challenges ahead will be expanding reverse logistics strategies, which focus on recovering and recycling end-of-life products. These initiatives will further reduce waste and pave the way for new business models centered on sustainability. Additionally, reducing CO₂ emissions will remain a key priority, driving investments in emerging technologies like hyperloop transportation and low-impact synthetic fuels.

In summary, sustainable logistics is not just an obligation—it’s an opportunity for businesses to stand out in an evolving market. If you’re ready to explore customized solutions for your company, contact us today for more information!

The Customs Reform of 2025 introduces significant changes for companies operating in international trade, aiming to simplify operations, improve compliance, and promote sustainability. With Legislative Decree No. 141 of September 26, 2024, the Italian customs regulations have undergone substantial updates, offering significant advantages for businesses and industry operators.

In this article, we delve into the key points of the reform, analyzing its practical implications and how to adapt to the changes.

Key points of the customs reform 2025

Regulatory simplification and sanctions system

One of the most notable changes concerns the simplification of customs regulations. The previous 400 provisions have been reduced to just 122 articles, a significant reduction that makes the legislative framework leaner and more comprehensible. This initiative aims to eliminate regulatory redundancies and provide companies with a clear and accessible reference, reducing time and costs related to administrative management.

Additionally, a major highlight is the update to customs sanctions, which now distinguish more clearly between administrative and criminal offenses. For instance, the crime of smuggling has been divided into two main categories: false declarations, which occur when provided information is incomplete or inaccurate, and failure to declare, when goods are not declared at all. Penalties have also been redefined to be more proportionate to the severity of the violation, ensuring greater fairness in sanctioning processes.

This change aims to facilitate compliance for companies, reducing the risk of interpretative errors and potential penalties.

Digitalization of customs procedures

Digitalization is a cornerstone of the customs reform, designed to revolutionize the management of trade flows. As of January 21, 2025, the NCTS Phase 5 system has come into effect, eliminating the use of paper forms in favor of digital customs declarations. This ensures not only greater operational efficiency but also more precise control over transaction data. The update aims to expedite customs transit operations, reduce errors, and enhance security, enabling a more transparent and automated management of trade flows.

Additionally, new digital procedures were implemented for exports starting in December 2024, improving export efficiency and cutting bureaucratic delays.

New combined nomenclature TARIC 2025

Effective January 1, 2025, the new TARIC has updated the Combined Nomenclature by adding specific categories for products such as fish and seafood, tomatoes, mineral oils, and wooden panels. This update reflects the evolution of international markets and provides a more detailed classification system to improve the application of customs duties and trade measures.

As a result, companies must pay close attention to these updates to ensure the correct classification of goods and the proper application of customs tariffs.

Preferential origin rules of the PEM convention

Another key aspect of the reform concerns the new preferential origin rules introduced by the Pan-Euro-Mediterranean (PEM) Convention, which became effective on January 1, 2025. These rules mark a significant step forward in making trade between the 23 contracting countries more flexible and inclusive, enhancing the competitiveness of European and Mediterranean companies in global markets. Specifically, they offer greater flexibility to economic operators by increasing the tolerance thresholds to 15% and expanding the duty-drawback, allowing for broader recovery of customs duties.

These changes promote trade with the 23 contracting countries of the PEM Convention, creating new opportunities for Italian businesses.

VAT among border duties

As of October 4, 2024, import VAT has been formally included among customs duties, except in cases where goods are released for consumption in another EU Member State. This adjustment simplifies fiscal operations and aims to ensure greater uniformity and transparency in international trade relations.

How to adapt to the new regulations

To prepare for the changes introduced by the 2025 Customs Reform, companies must focus on several key actions. IT systems need to be updated to ensure compatibility with the new NCTS Phase 5 system, enabling the digitization and optimization of customs declarations. At the same time, staff training is essential to ensure a full understanding of the new operational procedures and the proper handling of goods according to TARIC classification.

For this reason, collaborating with reliable partners like CTI can help manage regulatory complexities and align internal procedures with the new compliance rules.

Why the reform matters for the logistics sector

The 2025 Customs Reform is not just a regulatory update; it is a genuine opportunity to enhance the competitiveness of the Italian logistics sector. Thanks to simplification and digitalization, companies will be able to reduce operating costs, improve delivery times, and increase transparency and traceability of operations. The NCTS Phase 5 system, for example, enables continuous monitoring of goods, improving security and reducing errors during transit. Additionally, the TARIC update provides a clear and detailed reference for goods classification, helping to avoid disputes or delays caused by regulatory discrepancies. This increased logistical efficiency translates into a competitive advantage for Italian companies in the global market.

In conclusion, the 2025 Customs Reform represents a turning point for international trade, offering innovative tools to address the challenges of globalization. For companies, promptly adapting to these changes is essential to remain competitive and seize new opportunities offered by the global market.

Contact us today for tailored support and solutions to meet your logistical and customs needs.

2025 marks an important turning point for the transport of dangerous goods thanks to the update of the ADR regulation. This discipline, which regulates the road transport of hazardous substances, has been revised to ensure greater safety, uniformity, and sustainability. Among the main updates, 11 new UN numbers have been introduced, enriching the list of substances subject to regulation and adapting to technological and scientific advances in the sector.

In particular, one of the most significant updates is the inclusion of sodium-ion batteries as a new category of dangerous goods. The new dedicated UN numbers include:

•  UN 3551: Sodium-ion batteries.
•  UN 3552: Sodium-ion batteries contained in equipment or packed with equipment.
•  UN 3558: Vehicles powered by sodium-ion batteries.

This change highlights the commitment to adapting the regulation to technological innovations while ensuring safety. According to UNECE, other significant changes include the elimination of special provision 653 and the introduction of specific rules for asbestos-containing waste, which now require safer packaging for transport.

What is the ADR regulation, and when does it apply?

The ADR regulation, short for “Agreement concerning the international carriage of Dangerous goods by Road,” is a set of rules established to ensure that the transport of such goods occurs under maximum safety conditions. First signed in 1957 and subject to biennial revisions, it applies to all signatory countries, covering both international and national transport.

In short, this regulation applies whenever substances classified as hazardous to health, the environment, or safety are transported. The obligations concern both carriers and companies that produce, ship, or receive these goods. Although the regulation primarily focuses on road transport, it is coordinated with other regulations concerning maritime and air transport.

What are the products under ADR?

The ADR regulation classifies dangerous goods based on their nature and the type of risk they pose. These categories include explosives, compressed gases, flammable liquids, solids prone to spontaneous combustion, and many others. For instance, flammable liquids include gasoline, alcohol, and solvents, while regulated gases include LPG and oxygen. The 2025 update has added 11 new UN numbers, further expanding the regulation’s coverage to adapt to new substances identified as hazardous.

Another significant update concerns lithium batteries, for which a charge level not exceeding 30% during transport has been recommended. While not mandatory in 2025, this measure could become binding from 2026. Additionally, the new rules introduced for sodium-ion batteries demonstrate the intention to include emerging technologies in the regulation.

When is ADR not required? How many kg can be transported without ADR?

The regulation provides some exemptions depending on the type of substance transported, the quantity, and the type of packaging. For example, small quantity transports can be exempted from full ADR obligations, provided that each package complies with specific limits defined in the regulation. In other words, for limited quantities or certain categories of goods, it is not necessary to apply all the prescribed safety measures.

In terms of quantity, up to 333 kg or liters of certain materials can be transported without applying all the rules. This demonstrates that the regulation is designed to balance safety and operational practicality.

What is needed to transport ADR?

The transport of dangerous goods requires a series of documents, permits, and specific skills. Among the main requirements are the ADR license for drivers, transport documentation with UN numbers and class codes, and a vehicle approval certificate. Moreover, vehicles must be equipped with mandatory tools such as fire extinguishers, orange panels, and emergency kits.

Similarly, companies that regularly handle dangerous goods must employ an ADR consultant, a mandatory figure to ensure compliance with regulations and safety in operations. This highlights the importance of a professional and organized approach to managing such transports.

What does ADR packaging mean?

ADR packaging is designed to safely contain dangerous goods during transport. It must comply with strict international standards and pass tests for resistance to shocks, leaks, and pressures. For example, the materials used, such as plastic or metal, must be certified according to UN standards and ensure airtight closure to prevent leaks.

Additionally, each package must bear clear labeling with the UN number, hazard class, and risk symbols. This system ensures complete traceability and allows all operators to quickly identify the characteristics of the goods.

In conclusion, the ADR 2025 regulation represents a significant step forward for the safe transport of dangerous goods. With new rules and updates, such as those concerning sodium-ion batteries and provisions for asbestos-containing waste, the logistics sector can face current challenges with more effective tools and procedures.

If you need further details or support for your ADR shipments, do not hesitate to contact us. Partnering with CTI means relying on an experienced freight forwarder who skillfully navigates the numerous regulations governing this sector. We are ready to provide you with comprehensive assistance for your logistics needs!

LCL shipping (Less than Container Load) is a logistical solution designed for businesses or individuals who need to transport goods without requiring the full capacity of a container. This method allows shippers to share container space with other cargo, optimizing costs and making it accessible even for smaller volumes.

By consolidating multiple shipments into a single container bound for one or more shared destinations, LCL shipping offers significant advantages for both sea freight and land transport. For sea freight, containers are shared among different shippers, while in land transport, commonly referred to as groupage, loads are combined to maximize efficiency.

In this article, we’ll dive into the specifics of LCL shipping, compare it to FCL shipping (Full Container Load), and explore land transport options like LTL shipping (Less than Truck Load) and FTL shipping (Full Truck Load). Understanding these shipping methods will help you determine the best option for your needs. Let’s start by focusing on LCL shipping and how it differs from FCL shipping.

When and why to choose LCL shipping

LCL shipping is ideal in several scenarios:

• Small volumes: If the goods you need to ship don’t justify booking a full container, LCL offers an economical and efficient solution.
• Cost savings: By sharing container space with other shipments, you only pay for the space your cargo occupies, reducing overall costs.
• Flexibility: LCL shipping provides more flexible scheduling, allowing you to ship goods even if you don’t have a full load.

However, it’s worth noting that LCL shipping may involve longer transit times due to the consolidation and deconsolidation process. Additionally, sharing a container with other shipments could increase the risk of damage, making high-quality packaging essential.

What’s the difference between LCL and FCL shipping?

The primary distinction between LCL and FCL lies in how the container is used:

• LCL shipping (less than container load): Your goods are combined with shipments from other customers in a single container. This approach is cost-effective for smaller volumes but may result in longer transit times and a higher risk of damage due to shared space.
• FCL shipping (full container load): The container is dedicated entirely to a single shipment. This ensures faster delivery times, greater security, and is ideal for large or high-value loads.

Choosing between LCL shipping and FCL shipping depends largely on your shipment volume and your needs for security and timing. For example, companies shipping perishable or sensitive goods often prefer FCL for greater control and faster delivery. Conversely, industries such as fashion accessories or industrial supplies often find LCL shipping to be a more strategic and cost-effective choice.

Another key consideration is customs clearance. FCL shipments typically involve simpler procedures since the entire container belongs to a single customer. In contrast, LCL shipments require managing documentation for multiple shipments within the shared container.

How much does LCL shipping cost?

Cost is a major factor when selecting the right logistics solution. The price of LCL shipping depends on factors such as weight, volume, destination and distance. Freight rates are calculated based on either actual weight or volumetric weight, whichever is greater. Long-distance routes or remote destinations typically incur higher costs, as do special services like custom packaging or hazardous materials handling.

Many logistics providers offer tailored packages, including discounts for regular shipments or combined services like transportation and warehousing. Such options can provide significant advantages for businesses looking to optimize their supply chain.

FTL and LTL shipping by Land: efficient road transport solutions

When it comes to land transport, the two main options are FTL shipping (Full Truck Load) and LTL shipping (Less than Truck Load). These methods determine the level of truck space used for a shipment.

What is LTL shipping?

LTL shipping refers to transporting goods that don’t fill an entire truck. Similar to LCL shipping for sea freight, LTL shipping is perfect for small shipments and offers significant cost savings by sharing truck space with other shippers.

LTL shipping is especially effective for regional or national deliveries, where flexibility is key to ensuring reliable and timely shipments. With advancements in technology like GPS tracking and digital platforms, businesses can now monitor their shipments in real-time, enhancing transparency and customer satisfaction.

What is FTL shipping?

On the other hand, FTL shipping involves dedicating an entire truck to a single shipment. This method is ideal for large volumes, sensitive goods, or urgent deliveries, as it ensures faster transit times and reduces the risk of damage.

FTL shipping is often preferred by industries like food and pharmaceuticals, where maintaining product integrity and meeting tight deadlines are critical. Additionally, FTL shipping allows for greater control over transport conditions, such as temperature regulation or specialized handling requirements.

Groupage transport vs. LCL and LTL shipping

Groupage transport is a general term for combining smaller loads to maximize vehicle efficiency. LCL shipping and LTL shipping are specific methods within groupage transport, tailored to sea and land freight respectively. This distinction is crucial for selecting the right service based on factors like cost, speed, and security.

Working with an experienced logistics partner can make all the difference when managing LCL shipments, FCL shipments, FTL transport, or LTL transport. Expert providers ensure seamless support, tailored solutions, and efficient handling of all your shipping needs. Contact us today for a personalized quote or to learn more about our transport services.

Exporting to Russia represents a strategic opportunity for many businesses. However, navigating the process of exporting to Russia today can be challenging due to specific regulations, trade restrictions, and evolving economic conditions. In this guide, we’ll cover the key aspects of exporting to Russia, including the procedures, required documents, and the most in-demand product categories.

How to ship goods to Russia? 

Successfully exporting goods to Russia requires meticulous planning and a thorough understanding of customs regulations. To get started, it’s essential to partner with a reliable logistics provider experienced in the Russian market. Key considerations include:

• Customs procedures: Russia imposes specific duties and requires compliance certificates for many products. For instance, the Customs Union Declaration of Conformity (TS) is mandatory for items like mineral fertilizers and household chemicals. These certifications confirm that your products meet local market standards.
• Transportation methods: Goods can be shipped by road, sea, or air, each with its own advantages and challenges. Road freight is ideal for full loads, offering flexibility, while air freight is suitable for urgent or high-value shipments. Sea freight, on the other hand, is a cost-effective choice for large volumes but requires longer transit times.
• Packaging and documentation: Durable packaging is essential to protect your goods during transit. Equally important is the preparation of accurate documentation, including detailed commercial invoices, packing lists, and the specific certificates required by Russian customs. Incomplete or incorrect paperwork can lead to significant delays.

Working with experienced freight forwarders simplifies logistical and bureaucratic complexities, reducing the risk of costly mistakes.

Which goods are restricted for export to Russia?

Export restrictions to Russia have increased, especially in response to international sanctions. Prohibited or regulated items include:

• Advanced technology products: High-tech items like quantum computers, advanced semiconductors, electronic components, and software are banned to curb technological advancements in strategic Russian industries.
• Dual-use goods: Items with both civilian and military applications, such as drones, drone software, and encryption devices, are heavily regulated to prevent misuse in military contexts.
• Luxury agro-food products: High-value food items like caviar, truffles, and premium alcoholic beverages are subject to restrictions, especially if they exceed specific economic thresholds.
• Luxury goods: The EU has imposed bans on exporting luxury items to Russia, including high-end cars, watches, and jewelry, targeting the country’s economic and political elites.
• Industrial equipment and energy technologies: Export restrictions also apply to equipment and technologies used in defense, security, and energy industries, aiming to weaken critical sectors of the Russian economy.

To ensure compliance with these regulations and avoid legal complications or customs delays, it is essential to rely on knowledgeable shipping partners who stay up-to-date with international trade rules.

What can you export to Russia? 

Despite challenges, Russia remains a vast and diverse market for several industries. While geopolitical conditions have impacted exports, certain product categories continue to see strong demand:

Exporting food products

Italian food products, such as pasta, preserves, and cheeses, remain highly sought after in Russia. To access this market, exporters must comply with stringent certification standards, including specific conformity tests for many food items.

Exporting wine 

Italian wine continues to enjoy strong demand due to its exceptional quality. Successful wine exports to Russia require complete and accurate documentation, including certificates of origin and chemical analyses. Premium wines, however, are subject to stricter regulatory scrutiny.

Exporting olive oil to Russia

Italian olive oil is highly popular in Russia. Exporters must ensure that labels are translated into Russian and that all products comply with updated customs regulations. Certifications of organic quality may also be required for specific product lines.

Exporting furniture

Italian furniture and design remain highly valued in Russia. Given current import-export restrictions, companies should explore local distribution channels or establish strategic partnerships to overcome potential logistical and legal barriers.

Shipping goods to Russia from Italy 

What is the current relationship between Italy and Russia?

While geopolitical tensions have impacted trade between Italy and Russia, their commercial relationship remains significant for certain industries. Historically, Italy has been one of Russia’s main European trading partners, although sanctions have restricted some activities.

What does Italy export to Russia?

Key exports from Italy to Russia include:

Agro-food products and beverages: Select Italian food products continue to have a presence in the Russian market, provided they meet current regulations.

Machinery and industrial equipment: This sector remains subject to strict controls to ensure compliance with international sanctions.

Fashion and accessories: While luxury goods face significant restrictions, certain items remain in demand.

Furniture and design products: Exports in this sector are also regulated to ensure alignment with trade sanctions.

What documents are required to export to Russia?

Essential paperwork for exporting goods to Russia

To export goods to Russia, you’ll need to prepare the following documents:

• Commercial invoice: This must be detailed and compliant with international standards.
• Packing list: Includes an accurate description of the goods being shipped.
• Compliance certifications: Mandatory for many products, particularly those in the technology and industrial sectors.
• Customs documentation: Required to declare goods and calculate duties.
• Sanitary and phytosanitary certificates: Essential for food products.

In conclusion, exporting to Russia offers numerous opportunities but also presents challenges due to its complex regulations and dynamic trade landscape. Collaborating with industry experts and reliable partners ensures a smoother process, enabling businesses to navigate bureaucracy efficiently and stay compliant with evolving regulations.

For tailored support and expert advice on your international shipments, don’t hesitate to contact us.

Import VAT is a critical topic for anyone involved in international trade. In this article, we’ll delve into how it works, the necessary compliance steps, and strategies to avoid common mistakes and efficiently manage your imports.

Starting from the basics: what is import VAT?

Import VAT is a tax applied to goods entering the customs territory of Italy from non-EU countries. It is calculated based on the value of the imported goods, transportation costs, and any applicable customs duties. The purpose of this tax is to ensure fair fiscal treatment between domestically produced goods and imports, preventing market distortions that could disadvantage local businesses.

Understanding the rules surrounding import VAT is essential to avoid penalties and maintain competitiveness. Moreover, proper management of this tax directly impacts your company’s cash flow.

Customs payment of VAT on imports

Import VAT is paid at the time of customs clearance, when goods are officially registered for entry into the national territory. The importer must submit a customs declaration and pay the calculated VAT. Alternatively, the reverse charge mechanism allows for deferred VAT payment during the periodic VAT return, improving cash flow and reducing immediate financial impact.

The reverse charge mechanism: a strategic advantage

The reverse charge mechanism is particularly beneficial for businesses handling large import volumes. This system allows companies to record VAT as both a payable and a receivable simultaneously, avoiding an immediate cash outflow. As a result, many businesses find it advantageous to integrate this system into their processes. However, eligibility for the reverse charge mechanism requires meeting specific criteria and maintaining detailed documentation.

Necessary steps for managing import VAT

To properly manage import VAT, follow these steps:

1. Register as a VAT-registered entity with the Revenue Agency.
2. Identify the TARIC code to determine applicable rates and regulations.
3. Complete the customs declaration using the Single Administrative Document (SAD).
4. Pay the VAT due at the time of customs clearance or via the reverse charge mechanism.
5. Retain all tax documentation for future audits.

Organization and precision are essential in every step to avoid issues.

How to determine the VAT taxable base for imports?

Another essential point to clarify, in order to illustrate the topic in sufficient detail, is the determination of the taxable base. In the calculation of import VAT, the taxable base includes the value of the goods declared at customs, the CIF costs—that is, transportation costs from the moment the goods leave the supplier’s warehouse until they reach the customs point in Italy, including any paid insurance—and, finally, any customs duties, which are calculated on the CIF costs added to the value of the goods.

For example, when importing machinery valued at €10,000, with CIF costs of €500 and customs duties of 5%, the taxable base will be:

(€10,000 + €500) + 5% = €11,025.

This total becomes the basis for calculating import VAT. A common mistake is failing to include all additional costs, such as insurance, in the calculation. Importers must pay close attention to every detail to avoid discrepancies.

It’s also essential to accurately classify the goods from a commodity perspective, ensuring the correct application of tariffs, taxes, and determining if licenses or import restrictions apply.

Accurately determining the taxable base is essential to avoid disputes with customs authorities. Errors can lead to penalties and delays in the clearance process, disrupting the entire supply chain. For this reason, many companies invest in customs consultants to minimize risks and hidden costs.

How to reduce the impact of import VAT

Here are some strategies to optimize import VAT management:

1. Use VAT warehousing: Postpone VAT payment until the goods are sold, improving cash flow.
2. Leverage reverse charge: Record VAT directly in your periodic VAT return to streamline financial management.
3. Plan with customs experts: Identify opportunities to minimize costs and risks while ensuring compliance.
4. Take advantage of tax exemptions: Utilize special regimes or reduced VAT rates where applicable.
5. Implement technology solutions: Use tax management software to automate calculations and simplify procedures.

Common mistakes to avoid

Avoid these common errors to prevent penalties and delays:

• Incorrect data in customs declarations: Always provide accurate and complete information.
• Miscalculating the taxable base: Ensure all relevant costs, such as transportation and insurance, are included.
• Missing deadlines: Plan ahead to meet all tax and customs deadlines.

Digital tools and management software can significantly simplify import VAT processes. From automated form completion to verifying calculations, adopting advanced technology reduces the risk of errors and enhances overall efficiency. In today’s globalized market, these tools have become indispensable.

Managing VAT on imports requires regulatory knowledge and careful planning. Understanding how to calculate the taxable base, choosing the best payment strategies, and complying with tax obligations will allow you to optimize costs and improve the efficiency of your international trade operations.

For more information or a personalized consultation, feel free to contact us!

Special Economic Zones (SEZs) are one of the most effective tools for promoting economic and commercial development in various regions around the world. Thanks to a combination of tax incentives, bureaucratic simplifications and business incentives, these zones offer unique opportunities for companies looking to grow and expand their presence in international markets. But what exactly are SEZs, and how can businesses benefit from them?

In this article, we will take a detailed look at how SEZs work, exploring their advantages, the opportunities they offer to companies, and successful global examples. Additionally, we will discuss the challenges associated with this economic model and future prospects, providing businesses with a clear guide on how to best leverage these zones.

Ready? Let’s get started!

What Does Special Economic Zone Mean?

Special Economic Zones are geographically defined areas where favorable tax and administrative regulations are applied to encourage productive and commercial activities. The main goal is to stimulate investment, improve exports, and promote industrial development.

In practice, an SEZ is an area that offers particularly advantageous conditions to businesses, such as reduced tax burdens, simplified bureaucratic regulations, and easier access to foreign markets. Often located near strategic ports and intermodal hubs, these zones are designed to facilitate international trade and encourage local industrialization.

Globally, SEZs have proven to be an effective tool for attracting foreign capital and enhancing a country’s competitiveness. Thanks to their ability to lower entry barriers for investors, they serve as a key driver of economic growth, especially in less developed regions.

What Are the SEZs in Italy for 2024-2025?

As of January 1, 2024, Italy has introduced the Single SEZ for the South, merging the previously existing SEZs into a single structure. This reform covers eight regions: Abruzzo, Basilicata, Calabria, Campania, Molise, Puglia, Sicily, and Sardinia.

The decision to unify the existing SEZs stems from the need to simplify and make access to incentives and support tools more efficient for businesses. In the past, the fragmented management of SEZs made it difficult for companies to navigate different regulations and complex procedures. With the new Single SEZ, the entire system has been centralized to attract larger investments and ensure greater consistency in the application of incentives.

The sectors involved range from logistics to manufacturing, agribusiness, and raw material processing. This means that, as in other emerging economies, both large corporations and SMEs can find interesting opportunities within SEZs, especially those focused on exports.

What Are the Benefits of SEZs?

Special Economic Zones offer several significant advantages to businesses that choose to invest within them. One of the main benefits involves tax incentives, allowing companies to obtain tax credits of up to 100% on investments made. This incentive is designed to stimulate the growth of productive and industrial activities, providing a concrete advantage to those who establish themselves in an SEZ.

In addition to tax benefits, SEZs also guarantee bureaucratic simplifications, a crucial aspect for businesses that often face long and complex administrative procedures. In other words, the ability to access streamlined procedures and reduced authorization times enables companies to start and manage their operations more efficiently.

Another key advantage is the exemption from customs duties for goods intended for processing and subsequent export. This benefit allows businesses to significantly reduce operational costs and increase their competitiveness in international markets. Furthermore, SEZs often enjoy a strategic location, with advanced logistics infrastructures such as ports, airports, and rail hubs that facilitate the transport and distribution of goods.

However, certain criteria must be met to access these benefits. Specifically, only investment projects with a total cost of at least 200,000 euros are eligible for incentives. This requirement ensures that resources are allocated to economically and industrially relevant initiatives. Additionally, the maximum eligible investment is capped at 100 million euros per project, a limit designed to maintain control over the distribution of incentives and ensure a fair use of available resources.

SEZs are not just an opportunity for large corporations but also for small and medium-sized enterprises looking to expand and compete globally. Thanks to the combination of tax incentives, bureaucratic simplifications, and strategic infrastructure, these zones offer an appealing option for those aiming to reduce production costs and increase operational efficiency.

Who Can Benefit from SEZs?

SEZs are accessible to all businesses, regardless of their size. However, to benefit from the incentives, companies must meet certain fundamental requirements. First, businesses must maintain operations within the zone for at least five years and present a detailed investment plan. This ensures that the incentives are used for solid and long-term projects.

Additionally, companies in liquidation or dissolution are not eligible for the benefits. Some industries, such as the steel industry, energy production, and financial sector, are excluded from the incentives in compliance with European state aid regulations.

Examples of Successful Special Economic Zones Worldwide

SEZs have been successfully implemented in many parts of the world, proving their effectiveness in fostering economic growth.

Shenzhen, China

In the 1980s, Shenzhen was a small fishing village. The establishment of the SEZ transformed this location into one of the most industrialized cities in the world, attracting billions of dollars in investments and becoming a major hub for technology and manufacturing.

Jebel Ali Free Zone, Dubai

The Jebel Ali Free Zone (JAFZA) is one of the most important SEZs in the Middle East. Located near the Port of Dubai, it is a strategic hub for global trade and hosts over 9,500 companies from around the world.

Special Economic Zones in Poland

Poland has established several SEZs that have attracted billions of euros in investments, generating over 280,000 new jobs. This model has significantly contributed to the country’s industrial development and its integration into global markets.

Challenges of Special Economic Zones

Despite the numerous benefits, SEZs present some challenges that must be carefully considered. One of the main issues is bureaucratic complexity, which in some cases can slow down access to incentives and create administrative difficulties for businesses.

Another factor to consider is the environmental impact. Industrial expansion in SEZs can negatively affect the local ecosystem, especially if adequate sustainability measures are not implemented. Additionally, there is a risk of market distortions, with businesses outside SEZs potentially facing competitive disadvantages compared to those operating within these privileged areas.

Despite these challenges, Special Economic Zones represent an extraordinary opportunity for businesses and regional economic development. The introduction of the Single SEZ for Southern Italy confirms the importance of these tools in promoting investments and enhancing the country’s global competitiveness.

Looking ahead, ensuring the effective and transparent management of SEZs will be crucial for them to continue providing tangible benefits for businesses and local economies.

In conclusion, for companies operating in international logistics, such as CTI, SEZs offer a unique opportunity to optimize operations and access new markets. If your company is considering an investment in SEZs, CTI is ready to assist you with tailored logistics solutions to support your success.

Contact us for a personalized consultation!

Let’s delve into one of Incoterms 2020, the rules for domestic and international commercial transactions in terms of ownership, payment and delivery: today we are talking about DAP, or “Delivered at Place,” which is often associated with DDP, “Delivered Duty Paid.” What do they mean and how do they differ? What are the advantages? 

DAP: what does Delivered at Place mean? 

The DAP incoterm is a “Delivery at Place” clause, meaning that the seller makes the goods available to the consignee at an agreed location, but without taking care of the unloading of the vehicle: therefore, he retains responsibility for the goods shipped up to that point.  

It is therefore the seller who is obliged to take care of customs clearance for export and bear all the risks associated with delivering the goods to the agreed point, such as:  

• Theft. 

• Loss. 
• Damage. 
• Destruction. 

Should any of these events occur, or in the case of any other default, the seller remains liable to the buyer. 

When a shipment crosses several countries, with DAP surrender it is the seller who will also take care of the formalities that may be necessary in any of the transit countries. 

The buyer, on the other hand, must take care of: 

• Import customs clearance. 
• Post-delivery transit. 
• Possible post-delivery transportation through third countries. 

DAP Incoterms: who pays for transportation? 

As we also mentioned in this article, the DAP Incoterms 2020 clause, as well as DPU and DDP, belongs to group D: this group of clauses stipulates that regardless of the means of transportation used and the number of transports required, the seller will bear the costs and risks until delivery at the destination of the goods. 

On the dedicated page of the CTI website, you can see a summary table showing which costs are chargeable to the seller and which to the buyer. In the row corresponding to the DAP, you will find that the seller is entitled to the costs up to unloading: 

• Freight to delivery/destination. 
• Export customs clearance. 
• Delivery of transport documents. 

• Control of goods at export. 
• Unloading costs, if stipulated in the transport contract (in exceptional cases). 

Once the cargo has arrived at its destination, responsibility passes to the consignee who will also take care of any other import-related expenses: 

• Importation. 
• Customs clearance at destination. 

• Possible storage at the destination. 
• Unloading at warehouse. 
• Any other post-delivery transportation. 

Incoterms: DDP vs. DAP 

The DAP incoterm is often equated with DDP, another Group D incoterm, which means “Delivered Duty Paid“. This clause is the one that carries the highest level of obligations for the seller. The major difference between DDPs concerns the responsibility for import customs clearance. 

Both clauses provide that the seller is responsible for the goods until arrival at the point of destination, with no obligation to unload the means. In the case of DDP, however, it is always the seller who has the burden, and thus the expense, of customs clearance not only on export, but also for import and all customs formalities. 

They will also always be borne by the seller, VAT or other similar taxes for import unless otherwise agreed in the sales contract. 

If you need more information we are at your disposal: please contact us! 

In the constant development of pharmaceutical logistics, ensuring reliability and safety in shipping methods has become an essential prerogative.

The traceability of the pharmaceutical products’ journey, preservation measures, and quality control are just a few of the key elements of the correct distribution chain, which in the pharmaceutical sector is strictly regulated.

The role of logistics in the pharmaceutical sector

Pharmaceutical logistics plays a very important role in the management of drug transportation. This complex coordination system is responsible for ensuring utmost care in the movement of drugs along the entire distribution network.

The preservation and management of pharmaceutical goods involve a series of responsibilities that require not only advanced skills in logistics management but also the rigorous adherence to high standards of quality and safety. These standards are crucial to preserve the properties of the medicine from the beginning of its journey to its destination.

Challenges and solutions in pharmaceutical logistics

The pharmaceutical logistics sector faces complex challenges related to regulatory integration, traceability, and temperature management of goods during transport.

The need to integrate quality control systems into shipping methods highlights the importance of adhering to strict regulations that impose complex management of operations systems. Additionally, the traceability of pharmaceutical products throughout the supply chain is fundamental to monitor the goods in detail, respecting deadlines and avoiding economic waste.

Ensuring the preservation of drugs at controlled temperatures during transport is also a growing priority. The increasingly personalized nature of medicines and the spread of temperature-controlled biopharmaceutical products necessitate the adoption of specific technological systems and vehicles equipped with special equipment to cope with thermal variations.

Best practices for shipping in the pharmaceutical sector

In the pharmaceutical sector, the effectiveness of shipments is crucial to ensure safety and compliance with regulations. One aspect to consider is the use of specialized packaging designed to protect drugs during transport. The materials of these packages must comply with the regulations of good distribution practice of drugs to ensure product stability.

It is also important that shipments are equipped with advanced systems for recording and monitoring environmental conditions to ensure that drugs remain within the required temperature limits throughout the entire distribution chain.

Moreover, the implementation of robust security procedures, such as operator authentication and risk management, contributes to preventing counterfeiting and ensuring product quality.

Traceability in drug transportation

Drug traceability is another element that facilitates identification and recording to track the drug’s journey throughout its entire route.

Let’s look specifically at the most commonly used traceability systems in pharmaceutical logistics:

• Barcode and RFID (Radio-Frequency Identification): The use of barcodes and RFID tags allows for quick and accurate identification of products during all stages of the distribution chain. These systems facilitate traceability and enable precise inventory control.
• Order and Inventory Management Systems: Advanced software platforms that provide real-time visibility on order status, product availability data, facilitating stock management.
• Blockchain: This technology offers a decentralized and secure solution for recording transactions along the pharmaceutical supply chain. Blockchain provides immutable traceability, reducing the risk of fraud and counterfeiting.
• Serial Tracking Systems: Some pharmaceutical products require detailed serial tracking to monitor each individual item. These systems provide a very high level of detail in product traceability.

Regulations and compliance in the transportation of pharmaceutical products

Pharmaceutical companies must adhere to GxP (Good Practices) regulations. These are a set of rules that establish high standards for the production, management, transportation, and distribution of drugs.

GxP regulations include:

• Good Manufacturing Practices (GMP)
• Good Distribution Practices (GDP)
• Good Clinical Practices (GCP)

Temperature management is therefore particularly critical, and regulations often require the use of thermal packaging and temperature monitoring systems during transport.

Compliance with regulations is therefore crucial to avoid legal sanctions and ensure consumer trust: relying on specialized and certified logistics partners is an additional guarantee for safe pharmaceutical transport.

Need a quote or looking for a reliable partner for your pharmaceutical shipments? Contact us for more information about our transportation services.

In the complex universe of transporting perishable goods, ensuring a quality service to preserve the original characteristics of the goods in transit is essential. This responsibility requires, in logistics management, a precise combination of organization and attention to detail.

Rigorous control during transportation is crucial to protect the goods not only from potential errors in managing the storage temperature but also from inadequate temporal and environmental factors. Let’s look specifically at the aspects that should not be underestimated in the logistics of transportation.

 

Shipping perishable goods

Maintaining controlled temperature throughout the entire logistics journey is fundamental to preserve the quality of the goods. Moreover, minimizing the exposure time of goods to suboptimal conditions is important to prevent premature deterioration. Therefore, managing transit time is essential to maintain the freshness of the goods, especially in international shipments, where the journey might involve different modes of transport.

C.T.I., as a company also specialized in international freight transport, ensures that each phase of the transport process is managed with the utmost precision and timeliness, offering a continuous and efficient exchange of information regarding the status of the goods and the shipment.

Only through careful supervision of every variable is it possible to ensure that perishable goods reach their destination in optimal conditions, without undergoing changes or damage, and without releasing toxic and harmful substances into the environment.

 

International regulations for the transportation of perishable goods

The international regulations for the transportation of perishable goods are governed by the European Agreement known as the “ATP Agreement“. This agreement was developed in the context of the United Nations Economic Commission for Europe (UNECE) and aims to establish uniform standards for the transportation of perishable goods across international borders.

In addition to the ATP Agreement, there may be specific regulations in force in individual countries or regions. Operators in the field must comply with relevant local and international regulations to ensure legal compliance and the safety of transporting perishable goods.

 

ATP: essential certification for the transportation of perishable goods

The main objective of the ATP Agreement is to ensure that vehicles are equipped with adequate equipment to maintain the required temperature during the transportation of food products, pharmaceuticals, or other goods subject to deterioration due to thermal variations.

The ATP regulation provides a specific classification of vehicles, indicating 4 types of specific transport means:

1. Isothermal: equipped with thermally insulating walls that limit heat exchange between inside and outside;
2. Refrigerating: with the aid of a cold source, they maintain the necessary temperature inside the empty body;
3. Refrigerators: equipped with a cooling system that allows lowering the temperature inside the body, keeping it constant when the external temperature is too high;
4. Heaters: equipped with a heating device that allows raising the temperature inside the body, keeping it active for at least 12 hours. The internal body temperature is never below 12°.

Technologies for monitoring perishable goods

The joint implementation of advanced technologies allows logistics operators to create a controlled and safe transportation environment for perishable goods even during the longest journeys. Let’s look at some of these technologies:

• Temperature sensors: allow constant measurement and recording of thermal variations, providing operators with real-time information on the internal temperature of the cargo;
• Temperature recorders: in addition to measuring the cargo’s temperature, they monitor critical factors such as humidity, pressure, and geographic position, providing precise data on the condition of the goods;
• Remote monitoring systems: thanks to IoT (Internet of Things), they allow remote control of cargo conditions;
• RFID and GPS tracking: the use of RFID (Radio-Frequency Identification) technologies and GPS tracking devices helps maintain control over the position and status of goods during transport;
• Humidity control system: designed to maintain optimal levels of humidity and prevent condensation formation.

Customized logistics for perishable goods

Customized logistics refers to the design of tailor-made logistic solutions to meet the specific needs of each type of perishable good. The ultimate goal of customized logistics is to ensure the maintenance of the highest quality and safety of perishable goods through the use of specific technologies and optimal transportation methods.

Request a quote or contact us here for more information about our services.

 

Flat Rack containers are specialized solutions for transporting voluminous and out-of-shape goods. With an open structure and variable dimensions, they offer versatility in adapting to complex loads, ensuring efficient and safe transportation both on the road and via sea or rail.

 

 

Introduction to Flat Rack Containers: Versatility and Advantages

As previously mentioned, Flat Rack containers represent a very intelligent solution for transporting bulky or out-of-shape goods, offering numerous significant advantages in the field of international shipments. These specialized containers stand out for their open structure, providing a flexible platform for bulky loads. But what makes them so crucial for the logistics sector?

 

 

Features and Specifications of Flat Rack Containers

Flat Rack containers have features and technical specifications that make them suitable for a wide range of particularly bulky loads. Their dimensions vary, allowing the handling of goods of different shapes. The robust metal structure, often equipped with foldable walls, offers flexibility in loading and unloading goods, simplifying the logistics process.

The load capacity varies depending on the container’s size, enabling the handling of heavy and voluminous goods. These containers can be used to transport goods by road, rail, or sea, offering a comprehensive solution for international shipping needs.

 

 

Mafi Containers

Mafi containers are a specific type of container used in Flat Rack logistics. Unlike standard containers, Mafi containers are designed for transporting goods that cannot be easily loaded or unloaded with traditional cranes.

These containers have an open structure on all four sides, making them particularly suitable for transporting large or irregularly shaped goods. The open structure essentially facilitates access to the goods by lifting equipment, such as port cranes or shipboard cranes.

 

 

Out-of-Shape Flat Rack: Tailor-Made Solutions for Special Loads

For loads of unconventional sizes and shapes, out-of-shape Flat Rack containers represent the best solution. These containers are custom designed to fit the specific dimensions of the most complex loads. Their flexibility allows for the transportation of goods that might otherwise pose significant logistical challenges.

This tailored option offers an unprecedented level of adaptability in the field of international shipments, ensuring that even uniquely shaped goods are transported safely and efficiently.

 

 

Advantages of Using Flat Rack Containers

The use of Flat Rack containers offers numerous practical advantages. Their open structure simplifies the loading and unloading process, improving overall logistical efficiency. The ability to secure goods directly onto the platform also reduces the risk of damage during transportation, ensuring greater safety.

Finally, the versatility of Flat Rack containers makes them suitable for a variety of industries, including industrial, automotive, and construction. The ability to transport large-sized goods contributes to optimizing the supply chain, reducing delivery times, and overall logistic costs.

 

 

Safety and Regulations in the Use of Flat Rack Containers

In the transportation of voluminous goods, safety is a priority. For this reason, Flat Rack containers are constantly subject to rigorous international regulations to ensure safe loading and the protection of goods during transportation. Companies must follow recommended procedures to ensure proper securing of goods and comply with loading and transportation regulations.

 

C.T.I. also handles shipments with Flat Rack containers. If you want a customized quote or simply want to contact us for more information, write to us now!

In the realm of transportation and logistics, the secure management of goods is an absolutely crucial aspect, if not the most relevant, to ensure the success and reputation of a company.

In this article, we will explore the challenges related to transportation damages, analyzing the causes, adopted safety procedures, and presenting cutting-edge technological solutions to reduce their impact. The protection of goods during the transportation process is a fundamental element for us at C.T.I., as we aim to ensure maximum safety and integrity of products for our clients.

 

 

Analysis of Causes: Why Do Damages Occur During Transportation?

Goods damage during transportation can be attributed to various causes. A critical element is inadequate packaging, where incorrect choices in material selection or packaging techniques can expose the goods to significant risks. The lack of proper support and cushioning can make them susceptible to shocks, vibrations, and pressures, thereby increasing the risk of damages.

In addition to packaging, logistical issues should also be considered. Unforeseen delays, route deviations, or improper handling during loading and unloading operations can trigger situations that jeopardize the safety of the goods. It is essential to understand the chain of events that can contribute to damages, addressing gaps in logistical processes and implementing targeted preventive measures.

Another critical aspect not to forget is the variability of environmental conditions. Sudden changes in temperature, humidity, and other meteorological factors can negatively impact sensitive products. Accurate analysis of these variables becomes a fundamental step in preventing damages during transportation.

 

 

Safety Procedures to Avoid Goods Damages

Preventing goods damages during transportation is an aspect that can resolve many more situations than one might think. As we have already seen regarding packaging, it is important to understand that simple external protection is not sufficient. The use of suitable and customized materials based on the type of goods is essential. The use of advanced techniques can also work in favor, such as strategic padding and the use of tailor-made containers, contributing to minimizing negative impacts from shocks or abrupt movements.

Operational procedures during loading and unloading phases are equally crucial. Training the involved personnel is useful to ensure safe and careful handling. The adoption of specialized equipment and the implementation of specific protocols help reduce the risk of damages during these critical transport phases.

 

 

How to Manage Damaged Goods

In the event of goods being damaged during transportation, prompt action is required. Firstly, practical advice should be provided to customers on how to handle these situations, including timely reporting of damages and procedures for requesting compensation. Relying on C.T.I. also means having a serious and transparent partner actively supporting clients in these situations, ensuring efficient management of issues related to damages.

 

 

Economic Impact of Transportation Damages on Companies

The economic impacts resulting from damages during transportation can extend well beyond the direct cost of the damaged goods. Firstly, there is an immediate expense to replace or repair the damaged goods, representing only the tip of the iceberg. These costs can exponentially grow when considering additional expenses related to extraordinary shipments, urgent work, and potential service disruption to customers due to delays or missed deliveries.

However, the economic impact is not limited to these tangible costs. Corporate reputation is another asset to consider, and damages during transportation can seriously undermine it. Dissatisfied customers, negative reviews, and the spread of news about damaged products can harm the brand’s image, compromising the trust of existing customers and discouraging new business.

The impact is also reflected in refund procedures and dispute management. Compensation claims, as we know, can sometimes become a long and complex challenge, requiring significant resources to resolve disputes and maintain customer trust. The long-term effect is evident in customer loyalty, which can decrease drastically if damages during transportation become a constant.

 

 

Technological Solutions for Reducing Damages During Transportation

To effectively address the challenge of damages during transportation, cutting-edge technological solutions can be employed. Advanced monitoring sensors, for example, allow constant surveillance of environmental conditions and any impacts suffered by the goods. This real-time monitoring enables immediate interventions to mitigate risks.

Alternatively, artificial intelligence (AI) can be employed to analyze large amounts of data, identifying patterns and trends that may indicate potential risks during transportation. This predictive capability allows for more accurate planning and proactive prevention of situations that could compromise the integrity of the goods.

Furthermore, advanced packaging systems designed to adapt to the specific needs of each type of goods can be integrated. These systems combine innovative materials with customized designs to ensure maximum protection during transportation.

If you are looking for a reliable partner for shipments, contact us now. We are here to offer customized solutions that protect goods and contribute to the success of your business.

Goods traceability is undoubtedly the cornerstone on which modern shipping operations rest. From the accurate management of information to the security of sensitive data, every step counts to ensure a reliable and efficient service for the customer. Investing in advanced traceability systems is more than an option: it is a necessity for those, like us, who want to take part in the future of shipping.

 

 

The importance of goods traceability

Goods traceability, as mentioned earlier, is a fundamental pillar in our field of shippers because it is a practice that ensures transparency and control at every stage of transportation. This practice not only improves efficiency but also strengthens the overall security of shipping operations. Successfully implementing a traceable transportation system is crucial for companies that want to remain competitive and provide a reliable service.

 

 

The goods receipt monitoring sheet simplifies the goods reception process

At the heart of efficient transportation management is the goods receipt monitoring sheet. This tool simplifies the process of recording and tracking incoming goods, contributing to more accurate information management, and improving overall operational efficiency. The clarity provided by this sheet is crucial to maintaining an optimal workflow and ensuring seamless traceability.

 

 

Checkpoints and the flow of information

The essential nature of the flow of information between checkpoints is evidence of precision in goods traceability. Each checkpoint represents an opportunity to identify potential issues, anomalies in the transportation process, or risks of loss or damage to goods. This practice not only improves the transparency and visibility of the supply chain but also emphasizes the importance of appropriate security protocols to protect sensitive data and prevent manipulations or intrusions.

 

 

Advantages of traceable transportation

The tangible benefits of a traceable transportation system are numerous. Reduced delivery times, optimized stock management, and improved customer experience are just a few of the positive outcomes. Precision in traceability not only enhances operational efficiency but also contributes to creating a context where customer trust becomes a fundamental and solid element.

 

 

Advanced technologies for increasingly effective logistics

Talking about goods traceability inevitably leads us to consider advanced technologies that are playing a not insignificant role in redefining the shipping landscape. From the digitization of documents to geolocation and the use of sensors and real-time monitoring systems, technological innovation is the engine driving a more efficient and reliable shipping service. Embracing these technologies is crucial to remain competitive and ensure traceability that exceeds customer expectations.

At CTI, we also offer an effective system for tracking shipments. Thanks to the container tracking service, you can trace any container using the tracking code and obtain all the information about its current status and location.

If you have questions, doubts, or would like more information, contact us immediately – we are at your complete disposal.

The transportation of dangerous goods is an essential practice in many industries, but it requires in-depth knowledge and the adoption of rigorous safety regulations.

In this comprehensive guide, we will explore the fundamentals of dangerous goods transportation, focusing on the importance of Kemler codes, the ADR table, and the key regulations that govern their management. Furthermore, we will provide valuable tips on how to handle dangerous goods safely and responsibly.

 

 

Understanding Kemler codes

In the transportation of dangerous goods, safety is an absolute priority. In this context, Kemler codes – internationally known as UN codes – represent the fundamental element to successfully achieve maximum safety.

These codes are a classification system for dangerous goods, in which each harmful substance or material is assigned a specific Kemler code that identifies its characteristics and the necessary precautions for safe transportation. For example, the first number of the code indicates the main danger class of the substance, while the second number represents the sub-danger class. The third number provides additional information, such as storage conditions and safety measures.

This type of code is essential, especially to allow anyone involved in the supply chain to immediately understand the type of risk posed by the cargo. It is, in fact, crucial, to ensure safety during transportation, that Kemler codes are correctly applied to dangerous goods. This implies that labeling is correct and clearly visible, documentation is accurate, and all transport regulations, including packaging requirements and emergency procedures, are adhered to.

 

 

The ADR table: regulations for safe transportation

The ADR (European Agreement concerning the International Carriage of Dangerous Goods by Road) is a multilateral agreement developed by the United Nations that establishes safety standards to be respected by all signatory countries, ensuring a uniform basis for the safe transportation of dangerous goods throughout Europe.

Specifically, the ADR table, a key tool within this agreement, is the official reference document that provides a series of mandatory guidelines, regulations, and detailed requirements to ensure extreme safety in cargo transportation.

The table, divided into various sections, addresses specific aspects of transportation, including labeling, packaging, classification of goods, documentation, emergency procedures, and much more.

Knowledge of the ADR table is essential for anyone involved in the transportation of dangerous goods, in order to ensure the safety of operations and compliance with regulations. Adhering to ADR provisions requires training, constant awareness, and the adoption of practices that conform to the various provisions.

 

 

List of main dangerous goods codes

The world of dangerous goods transportation is characterized by a wide range of substances and materials, each with its own risks and specific safety measures.

Knowing the most common Kemler codes and the key precautions to be taken during their transportation is of fundamental importance to avoid accidents and hazardous situations.

• Kemler Code 3 – Flammable Liquids. Precautions include the use of special containers, transportation in fire-prevention vehicles, and adherence to distances from heat sources.
• Kemler Code 6 – Toxic and Infectious Substances (for human health). Precautions include correct labeling, the use of personal protective equipment, and rigorous procedures to prevent contamination.
• Kemler Code 8 – Corrosive Materials. Precautions involve the use of corrosion-resistant containers, isolation from other goods, and measures to prevent leaks and skin contact.

 

Regulations and Safety in Transportation

Compliance with regulations related to the transportation of dangerous goods is essential to ensure the safety of operators, the surrounding environment, and the involved communities.

In this process, freight forwarders play a crucial role: they are responsible for planning, organizing, and executing transportation operations, including the classification of goods, packaging and loading, documentation, and driver training.

Similarly, drivers play a key role in the practical application of regulations and precautions. They must be adequately prepared to handle unforeseen situations – such as leaks, fires, or exposures – and ensure the safety of operations.

 

 

How to handle dangerous goods

Managing dangerous goods is a complex task that requires attention to detail and strict adherence to safety regulations and procedures. Practical guidelines for handling them correctly encompass all critical phases of the operation: from packaging to labeling, from secure loading to proper transportation, to emergency procedures.

Do you want to transport dangerous goods but don’t know who to turn to? Contact CTI, our team of experts will be at your complete disposal to ensure maximum safety and regulatory compliance. Safety begins with knowledge, and we are here to help you ensure it in all transportation operations.

Trade shows and exhibitions represent a crucial moment for many companies, offering the opportunity to promote their products and services to a wide audience. However, organizing participation in a trade show is not simple and, in fact, it requires detailed planning.

One of the most critical aspects of this planning is also the logistics of transportation and shipments. A reliable and customized shipping service becomes essential to ensure the presence of products, machinery, and materials at a trade show, thus contributing to the company’s success.

 

 

The role of shipments for trade shows

It may not be immediately apparent, but companies participating in trade shows must face significant logistical challenges. Often, the products to be displayed are fragile and valuable, making careful handling and safe transportation essential. Moreover, timing is tight as the goods must be delivered and ready for booth setup. Delays in delivery or damage to products could have disastrous consequences for the company’s image and reputation.

 

 

Customized Transportation for Events

Transportation methods dedicated to events differ from standard ones. Every detail must be customized to meet not only the specific needs of the company but also the requirements sometimes imposed by the event organizer. These shipments, therefore, require a tailored approach that includes:

Precise Timing

Timing is crucial. Merchandise must always be picked up, transported, and delivered promptly to ensure that everything is ready before the event begins. Planning is a fundamental element, with minimal margin for error.

Special Packaging

Packaging must be designed to protect products or machinery during transportation. Sturdy and customized packaging materials are often the only solution to ensure the integrity of the goods.

Customized Deliveries

Deliveries should be coordinated to meet the specific times and locations of the event. This may involve delivery to locations outside of normal delivery routes or during unconventional hours.

 

 

Planning Trade Show Shipments

To successfully handle trade show shipments, precise planning is essential. It may be useful to keep in mind and follow a checklist of actions to have a reference guide with the goal of ensuring that everything is organized in the best possible way:

1. Identification of products to be transported

List all products to be displayed and establish priorities based on their importance or fragility.

2. Choice of Shipping Service

Choose a company with experience in trade show shipments and the ability to handle special loads.

3. Proper Packaging

Ensure that all products are adequately packaged to withstand transportation. Consider using customized packaging materials, as mentioned earlier.

4. Timing Planning

Coordinate with the shipping company to establish precise timing for merchandise pickup, transportation, and delivery.

5. Real-Time Monitoring

Use monitoring tools to track shipment progress in real-time and respond promptly to any unforeseen events.

6. Reserve Additional Resources

Prepare to deal with unforeseen events, such as flight delays, customs issues, or road accidents, by booking additional resources in advance.

 

 

Event Logistics

Event logistics involve several key phases, each with its own challenges and solutions. First, merchandise pickup must be carefully planned to ensure that all products are available in time for transportation. The company should also verify that all products are in perfect condition and correctly packaged.

Next comes transportation, which requires the use of appropriate vehicles and experienced drivers. The merchandise should also be constantly monitored during transportation to ensure its safety. Finally, delivery to the event location must be punctual and follow a quick and efficient unloading procedure. It goes without saying that coordination with event staff is absolutely essential in this last phase.

If you are looking for a reliable partner for your trade show shipments, you can contact us immediately. We guarantee precise planning, attention to detail, and extreme cooperation.

In the captivating world of luxury, every detail matters, and not even the most hidden or unimaginable dynamics surrounding this sector should be left to chance. From works of art to high-class jewelry, from exclusive range products to precious goods, logistics, and shipments play a crucial role in ensuring that these marvelous items reach destinations around the world in impeccable but, above all, secure conditions.

 

Luxury on the move: managing precious goods

Let’s explore how a leading company in the shipping and logistics industry must commit to managing and transporting valuable goods safely, and reliably, by offering tailored solutions based on various types of cargo or customer requests.

 

Customized shipping solutions for luxury

Security is a primary concern when it comes to shipping luxury goods. Protecting these precious cargoes is essential to prevent financial losses and irreparable damage. Companies specialized in the shipping industry, such as CTI, are aware of this responsibility and have developed a series of measures for the benefit of customers to ensure maximum security throughout the shipping process.

Safety as a priority: transporting high-value products

There are numerous formulas to ensure effective and secure transportation of luxury goods. Vehicles and storage facilities are typically equipped with advanced security systems, including 24/7 video surveillance, controlled access, and intrusion alarms. Moreover, drivers are always trained to handle valuable cargo with extreme care, following rigorous procedures to ensure that each shipment reaches its destination in perfect condition.

But security doesn’t stop there. Increasingly, companies engaged in import and export also offer specialized insurance services to further protect valuable goods during transportation. This additional coverage provides peace of mind to customers, ensuring that their precious assets are safe from any unforeseen events.

Freight brokers: key facilitators

A crucial element in the management of luxury shipments is the role of the freight broker. In this regard, CTI serves as a reliable collaborator, bridging the gap between the customer and transport carriers, ensuring that every aspect of the shipment is planned and executed with the utmost efficiency.

We need to work closely with customers to understand their specific needs. This understanding allows us to create customized shipping solutions that optimize delivery times and costs, ensuring that every luxury shipment is handled with the utmost attention to detail.

Furthermore, a truly reliable broker is one who, thanks to a global network of partners and transport carriers, can offer competitive rates and flexible shipping options. The goal is to ensure that every luxury shipment is managed efficiently and professionally, always considering the specific needs of the customer.

Innovative technology for goods tracking

Technology is an aspect that cannot be overlooked in the management of luxury shipments. Thanks to innovative technology and systems, it is possible to use advanced tracking methods to constantly monitor the location and status of precious goods throughout the transportation process. With these solutions, customers can, for example, access real-time information about their shipment through secure online platforms. This transparency allows them to track the shipped precious items and have the assurance that everything is proceeding as planned.

In addition, some systems leverage innovative technologies to ensure efficient shipment management, such as automated systems, to name one: they enable optimal coordination of transport, reducing waiting times and ensuring timely delivery.

In a world where luxury demands extraordinary attention, CTI could be your ideal partner for managing the shipment of precious goods. Our experience in the industry and our absolute dedication to security invite our customers to trust us with the management of valuable cargo.

First and foremost, we prioritize the peace of mind of our customers, and then we ensure that every shipment proceeds and concludes successfully. Contact us to discover how we can meet your luxury logistics needs and provide you with customized shipping solutions.

The United Kingdom’s decision to exit the European Union, widely known as Brexit, has had a significant impact on various sectors of the country, including logistics and transportation, since 2020. But what are the concrete new regulations and challenges that businesses still face when it comes to importing and exporting to and from the United Kingdom?

 

Brexit and the new transport regulations: an overview

With the UK’s departure from the European Union, many new regulations were introduced, and substantial changes were made in the transportation sector. One of the most significant changes concerned customs procedures. Before Brexit, the UK was part of the EU’s single market and customs union, which meant that the transport of goods between the UK and the EU occurred without the need for complex customs procedures. However, after Brexit, new customs rules, documentation, and border checks were introduced, significantly affecting logistics flows and timelines.

 

The complexity of post-Brexit logistics: challenges and solutions

Businesses in the logistics sector, as well as others, suddenly found themselves having to adapt their operations to the new import/export regulations imposed by Brexit.

Delays in transportation, additional costs, and administrative complexities were just some of the side effects of this maneuver. Border delays, for instance, became one of the most pressing issues, causing long truck queues and disruptions in the supply chain. Furthermore, businesses had to navigate new import and export procedures and comply with health and phytosanitary regulations.

During this period, CTI consultancy played a fundamental role in helping companies navigate through these diverse complexities, both from a logistical and administrative perspective, providing comprehensive support to ensure full transport compliance.

 

Transportation in England: the impact of Brexit on trade routes

Brexit directly impacted trade routes in the UK and consequently its four constituent nations: England, Scotland, Wales, and Northern Ireland.

England, for example, has been a gateway to and from the EU for centuries, but in this context, many companies had to reconsider and adapt their transportation routes due to new regulations and ongoing disruptions caused by changes in customs procedures.

The primary goal of the transportation sector remained to minimize delays and ensure efficient delivery of goods, with flexibility and adaptability becoming crucial characteristics in this continuously evolving landscape, even though more than three years have passed.

 

The key role of freight brokers in the post-Brexit era

In the post-Brexit era, freight brokers, professionals, or companies specialized in facilitating and managing the organization and execution of transportation and shipment operations, have taken on a crucial role in supporting businesses facing the new challenges imposed on the logistics and transportation sector.

In this context, CTI acts as a trusted partner for all forwarding, logistics, and customer support activities, both for import and export operations to and from the United Kingdom. Our experts work closely with companies to plan efficient routes, manage customs procedures, and ensure timely delivery of goods, offering comprehensive support in the management of post-Brexit operations.

Do you want to ship to the United Kingdom but don’t know where to start? Don’t hesitate to contact us; we are at your complete disposal!

Everything you need to know about the storage of goods, from the beginning of the process to how it works.

Goods storage is a fundamental activity for the management of supply and distribution within a company’s warehouse. Its main objectives include ensuring the protection of goods from damage, theft, or loss, facilitating the picking and dispatch of goods, and finally, minimising warehouse management costs.

So let’s look in detail at what goods storage is and how it works.

What is goods storage?

Goods storage is the process of managing and storing goods in a warehouse or other storage location. This process involves the professional organisation and storage of goods for a specific period of time to ensure their integrity and availability for sale or distribution.

Goods, depending on their nature, may be stored in warehouses, containers, trucks, refrigerated warehouses, and other appropriate storage locations.

The storage of goods is essential for efficient business operations and for controlling production and logistics costs. It also enables companies to have greater control over the flow of goods and to avoid loss or damage of goods.

How goods are stored

The storage of goods takes place in various ways depending on the type of goods and the needs of the warehouse or the company handling them.

Generally, however, storage involves the following steps:

• Receipt: the goods are received from the supplier and checked for expected quantity and quality. Any damage occurring during transport is also checked at this stage.
• Identification: each unit of goods is labelled so that it can be easily identified during storage.
• Classification: goods are classified according to their characteristics, such as fragility, size, weight, required temperature and so on.
• Packing: the goods are packed appropriately in order to prevent damage during storage.
• Actual storage: the goods are placed in storage in order to maximise space and minimise the risk of damage or degradation.
• Control: the goods are periodically checked for anomalies and to keep the inventory up-to-date.
• Order preparation: following an order, the goods are taken from the warehouse and packed in order to prepare them for shipment.
• Shipment and monitoring: the goods are loaded onto the means of transport, shipped to the final consignee and monitored throughout the journey until they are delivered.

Goods storage systems

There are different storage systems, and one of the most common and widely used is the shelving system: in this case, goods are placed on special shelf structures, made of various materials and sizes, depending on the type of goods to be stored. Shelving can be fixed or mobile and can be arranged on the floor or suspended, with the aim of optimising space.

 

Other forms of storage may involve the use of specific containers, such as crates, bins or pallets. In this case, goods are placed inside the containers, which can then be stacked or placed on trolleys or pallet trucks to facilitate movement within the warehouse.

 

In other cases, especially for large goods or goods of a special nature, dedicated storage areas, such as warehouses or open warehouses, can be used.

 

Generally speaking, each storage system has its own characteristics, so the choice of the most suitable system depends on several factors such as the specific requirements of the goods, the size of the warehouse and the budget available to the company.

 

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A guide to understanding how the two most frequently used methods of goods flow management in warehouses and companies work

The Fifo and Lifo methods are two goods flow management systems that are widely used in warehouses and companies. Both methods are used to keep track of the order in which goods arrive and leave, but the approaches differ in the order in which they are taken into consideration.

In this article, we will explain in detail what Fifo and Lifo are and how they differ.

The Fifo method

Il metodo Fifo, letteralmente First In, First Out (ovvero “primo ad entrare, primo ad uscire”), è un sistema di gestione dei flussi e permette che le merci che entrano per prime nel magazzino siano anche le prime ad essere prese in considerazione per la vendita. Pertanto, le merci che sono state in magazzino più a lungo vengono vendute per prime, ottenendo così una buona rotazione delle scorte. Questo sistema, che tiene conto dell’ordine cronologico di arrivo della merce, è particolarmente indicato per prodotti alimentari e per merci soggette a scadenze, come ad esempio farmaci o cosmetici.

The Fifo method, literally First In, First Out, is a flow management system and allows the goods that enter the warehouse first to be also the first to be considered for sale. Therefore, the goods that have been in the warehouse the longest are sold first, thus achieving good stock rotation. This system, which takes into account the chronological order of arrival of goods, is particularly suitable for foodstuffs and goods subject to expiry dates, such as medicines or cosmetics.

Advantages and disadvantages of the Fifo method

The advantages and disadvantages of the Fifo method include:

Advantages

• Assesses inventory accurately. This method accurately evaluates the costs of the goods sold and the remaining stock.
• Avoids expiry of goods. Goods are sold in a chronological order, so the oldest goods are sold first and the risk of goods expiring is avoided.
• Reduces losses. Due to this method, the oldest goods are used first, thus avoiding the risk of unsold goods.

 

Disadvantages

• Increases the cost of goods. The cost of goods sold is calculated on the basis of the cost of the oldest goods, which may be higher than the cost of the newest goods.
• May cause a distortion of results. The Fifo method could lead to a distortion of results in case of fluctuations in the price of goods.
• It has a medium to high management difficulty. In order to avoid errors in the valuation of goods, this method requires very careful management of inventories and stock movements.

 

The Lifo method

The Lifo method, literally Last In, First Out, in contrast to the Fifo method, holds that the goods that enter the warehouse last are then the first to be considered for sale. This method can be advantageous when product prices tend to decrease over time, as the cost of goods remaining in the warehouse will be priced lower, which will have a positive impact on the company’s profits. The system is particularly suitable for clothes or electronic products, which have a value that decreases rapidly over time.

Advantages and disadvantages of the Lifo method

The advantages and disadvantages of the Lifo method include:

Advantages

• It allows a reduction in taxation. This method can reduce the company’s taxable income and consequently the taxes to be paid.
• It has an effective correspondence between cost and revenue. The Lifo system more accurately reflects the trend in the cost of goods over time, since the latest is always the one with the highest cost (due to inflation or price changes).

Disadvantages

• The value of inventories is distorted. This happens because, with the Lifo method, goods remain in stock for a long time, resulting in a loss of value.
• It has a high accounting complexity. The constant monitoring of inventories and costs can create accounting complexity for the company, especially when there are a lot of movements.
• It is not available for all types of business. In the case of businesses that offer services and do not have a stock of goods, the Lifo method may not be applicable.

 

What are the main differences between Fifo and Lifo?

Both the Fifo and the Lifo method can have a significant effect on the valuation of inventory and the determination of the cost of goods sold.

In general, the Fifo method tends to increase the inventory value and reduce the cost of goods sold, while the Lifo method tends to have the opposite effect. Therefore, it is essential to choose the method best suited to the company’s needs and keep it constant over time to ensure proper management of goods.

Examples of calculation of the Fifo and Lifo methods

A practical calculation example is the best way to understand the meaning and differences between the two methods.

Let us assume that a company purchases:

• Lot A on 01/01/2023: 200 pieces at EUR 2 each;
• Lot B on 01/02/2023: 200 pieces at EUR 3 each;
• Lot C on 01/03/2023: 200 pieces at 4 euros each.

Out of a total of 600 pieces, it is assumed that 400 pieces were sold. The stock is therefore reduced to 200 pieces.

Is it possible to determine the value of the remaining pieces, taking into account the various costs incurred by the company?

Using the Fifo method, the remainder is valued with the prices of the lots that arrived last, in this case 4 euros.

Inventory value = 4 x 200 = 800 euros

Using the Lifo method, on the other hand, the remainder is valued with the oldest prices, those of the first purchases of the year, in this case 2 euros.

Inventory value = 2 x 200 = 400 euros

 

In this particular case, prices have trended upwards over time, so the Lifo method leads to an underestimation of inventories. The Fifo method, on the other hand, leads to an inventory calculation closer to the last costs.

 

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We have chosen to join the initiative proposed by @WelfareCare dedicated to the prevention of breast cancer.

 

Women who live in the municipality where the event will be held and who meet the necessary requirements, will be able to have free mammograms and ultrasounds with immediate communication of the report.

 

The initiative is dedicated to women not included in screening programmes* and allows for free diagnostic tests.

 

Reservations will be available on the welfarecare.org website closer to the date of the event.

The official date will be announced shortly.

 

Find out more about the initiative on welfarecare.org and on their social channels!

 

*Age ranges may vary according to regional health guidelines.

 

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Cross docking is a supply chain technique to improve warehouse logistics management. This distribution strategy involves the immediate processing and distribution of goods as soon as they arrive from the supplier, without them being handled and stored in the warehouse. In other words, the goods are unloaded from the means of transport and, instead of being stored, are immediately sorted to another vehicle prepared for transport to the point of sale or directly to the end customer. The warehouse thus becomes a mere transit point.

 

The cross docking logistics method, therefore, exists to improve the efficiency of the supply chains and eliminate temporary storage: goods are transferred from the point of departure directly to the shipping point without the need to go through intermediate storage. This process reduces inventory management costs and accelerates the speed of procurement. In addition, the cross docking technique makes it possible to reduce the risk of damage to goods and increase the quality of the service offered to the end customer, also thanks to the speed of product delivery.

 

This logistics system is mainly used in the large-scale organised distribution of goods, such as the food and e-commerce sectors, where speed of delivery and cost reduction are key aspects of a company’s success.

 

Cross Docking and Logistics

Logistics – a set of activities aimed at the strategic and operational management of material, information and service flows – also deals with all activities related to supply chain management, including transport, warehousing, order processing, inventory management, distribution and after-sales.

 

As cross docking is a logistics technique that minimises the time taken to handle goods and thus the associated costs, it is also part of the lean logistics strategy, the supply chain management philosophy that aims to eliminate waste and improve the efficiency of the entire process. This strategy focuses on identifying problems, on removing unnecessary activities, and on creating smoother and more integrated workflows.

 

To apply lean logistics to cross docking, it is thus necessary to optimise workflows through targeted planning and coordination. This includes effective management of vehicle routes, careful planning of transfer times and the setting up of a storage and retrieval system capable of reducing product waiting times.

 

Furthermore, lean logistics requires the reduction of waste at every stage of the cross docking process, such as the elimination of excess inventory or the reduction of waiting times for trucks. This helps to ensure a consistent and efficient workflow that maximises resource utilisation and minimises downtime.

 

The Cross Docking System

The cross docking system, as we have seen, can be an effective and optimal tool, but it can only work at its best if the steps of the optimisation process are followed in detail.

Generally, the cross docking steps are as follows:

1. Collection of goods: goods from different suppliers are collected and transported to the collection centre (warehouse).
2. Sorting and checking: incoming products must first be sorted according to their destination, and then be checked to ensure that they have no anomalies and correspond to the order description.
3. Order preparation: depending on the different requirements, the outgoing order is prepared (picking) for the arrival of the means of transport.
4. Order loading: depending on the destination, the goods are loaded onto the various means of transport.
5. Truck departure: the trucks leave the central warehouse and drive to the final destination.

 

These steps may vary slightly depending on the type of cross docking system used and the type of goods transported.

 

Example of Cross Docking

A concrete example of cross docking could be that of a large clothing company that receives orders from its shops located in different parts of the country. In this case, the goods are delivered to the company’s central warehouse, where they are sorted and divided according to the needs of the individual shops that require them. The goods are therefore not stored long-term in the collection centre, but they are moved immediately by truck or van to the requesting shops.

 

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CPT, literally “Carriage Paid To” is one of the clauses in international sales contracts and is intended to specify that the seller is solely responsible for the shipment of the goods and their transportation.

 

By “transportation” the term CPT means the journey from the place of departure to the carrier – a third party contractually obliged to move things or people from one place to another – who is responsible for transporting the goods to the destination agreed with the buyer.

 

Developed by the International Chamber of Commerce (ICC), the organisation that represents an international business, the CPT contract term is part of the ICC Incoterms, a set of international transport rules that define the obligations and rights of parties to an agreement for the international sale and purchase of goods.

 

CPT yield: who pays?

The CPT clause, as we have seen before, indicates the seller’s obligation to pay the cost of transportation to the destination agreed with the buyer. However, once the carrier receives the goods, the risks and liability for any damage or loss automatically pass to the buyer.

 

The clause generally covers the main transport costs but does not include additional expenses such as insurance fees or import taxes. Nevertheless, these additional expenses can be included in advance in the negotiation between buyer and seller.

 

Obligations of seller and buyer

Now let’s look in detail at the specific obligations of the seller and the buyer. Over the years, the International Chamber of Commerce has developed rules and guidelines for the international sale and purchase of movable goods, known as the ICC Rules for the International Sale and Purchase of Goods (ICC Incoterms), which were updated in 2020 and entered into force on 1 January of the same year.

 

The Incoterms Rules, which contain the CPT Incoterms within them, are used to standardise international trade and to minimise possible disputes between the parties involved. That is why the CPT Incoterms establish unambiguous perimeters as to which obligations are the sellers’ and which are the buyers’.

 

Seller’s Obligations:

• Conclusion of the contract of carriage of the goods to the place of destination;
• delivery of the goods to the designated carrier or freight forwarder by bearing all costs necessary to transport the goods to the agreed place of destination;
• bearing the risk of loss of or damage to the goods until the carrier or forwarder receives them;
• export customs clearance (where applicable) at the buyer’s own expense;
• updates the buyer on the status of delivery of the goods to the carrier or forwarding agent;
• provides the buyer with the transport document for commercial usage and, if required, with the information necessary to insure the goods.

 

Obligations of the buyer:

• Taking delivery of the goods at the agreed place of destination and bearing the risks from the moment the carrier or forwarder receives the goods;
• payment of the costs of unloading the goods at the place of destination if they are not part of the cost of transport paid by the seller;
• compliance with customs formalities for importation, bearing the relevant and possible costs.

 

Which are the differences between CPT and DAP?

DAP, literally Delivered At Place, is also, like CPT, a term used in international trade to define a mode of delivery of goods.

The main difference between CPT and DAP lies in the degree of responsibility of the seller and the buyer during the transport of the goods.

 

Unlike in the CPT clause, where the seller is responsible for the delivery of the goods until the agreed destination carrier receives them, in the DAP clause, the seller is responsible for the delivery of the goods to the agreed final destination and is obliged to cover all transport costs, including import and customs fees.

 

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“Free port” and “assigned port” are terms easily encountered in the world of trade and shipping. But what is their meaning? What are the differences between one and the other? In this article, we investigate all the basic aspects related to these two terms and the implications they have for your shipping.

What does assigned port mean?

The term “free port” refers to a shipment in which the seller is responsible for paying shipping costs until the goods arrive at their destination. If we are talking about international shipments, we can refer to Incoterms 2020 and link this wording to the DDP (Delivered Duty Paid) clause.

In other words, the seller assumes all the risks and costs associated with shipping the goods:

– arranging the transportation of the goods

– verifying that the packaging of the goods is adequate and correct for transportation

– paying all costs associated with the transportation itself (including insurance costs).

Once the goods arrive at their destination, responsibility shifts to the consignee, who is responsible for any damage or loss that occurs after the goods have been delivered to his or her address.

What does assigned port mean?

Instead, “assigned port” refers to a type of shipment in which the consignee must assume responsibility for the goods. He or she will therefore have to assume all the risks and pay all the shipping costs, from departure to arrival at the destination.

In this case, the buyer will then have to:

– arrange for the transportation of the goods

– pay all costs associated with the transportation itself

– ensure that the goods are properly packed for transport.

If one moves in the dimension of international trade one must refer to the Incoterm EXW (Ex Work).

Who pays for the transportation?

Who pays for the transportation is precisely the differentiating issue between free port and assigned port, in the world of logistics. In the case of free port, it is the seller who bears the costs associated with shipping the goods, while in the case of assigned port, it is the buyer’s burden. In any case, this type of choice always depends on the agreements between the parties.

Ordinary shipping and COD shipping

For those outside the industry, it is more common to encounter the terms “ordinary shipping” and “COD shipping.” In ordinary shipping, payment is made before the goods are shipped, while in COD shipping, payment is made upon delivery. However, these two terms are not assimilated with the terms being discussed in this article.

For this reason, it is important for sellers and buyers to be aware of the implications of these terms before agreeing to a transaction. Making sure you have a clear understanding of shipping terms can help avoid confusion or problems during the shipping process.

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What is the Bill of Lading?

The Bill of Lading (B/L) is a basic document of the transportation industry, used in domestic and international shipping.

The Bill of Lading certifies:

• The boarding of the goods in a specific ship at a specific port.
• The carrier taking over of the shipment of that cargo to a predetermined destination port.

The carrier takes responsibility for delivering the cargo in good condition.

According to the Navigation Code, the Bill of Lading, signed by both parties, is a binding contract with obligations and conditions stated on the back of the document, which has several functions:

• It constitutes proof of the agreement between the parties: carrier and shipper.
• It is valid as a cargo receipt.
• It guarantees the existence and nature of the goods described in the contract of carriage.
• It gives the person in possession of the original bill of lading also possession of the goods and thus the right to collect them at destination and the possibility of disposing of them for transfer to third parties by endorsement.
• It allows goods to be sent to multiple recipients by creating as many delivery orders as there are recipients.

The Bill of Lading is, therefore, a negotiable, representative of the goods and fractionable title.

Bill of Lading: who issues it?

The Bill of Lading is issued by the shipping company, in three originals, normally distributed as follows:

• One copy remains with the shipper as proof of carriage or in case of dispute.
• One copy to the carrier for handling the cargo during transport.
• One copy to the consignee to collect the goods at the port of arrival.

The B/L therefore is sent by the company (or the issuer) to the rightful claimant (sender), who will in turn forward it to the consignee of the goods only once the consignee has proceeded with payment.

There are cases, however, where a full set (3/3 originals) is required for a bank negotiation or at the express request of the supplier of the goods, and in special cases a larger number may be issued.

The bill of lading can be:

• Nominative: the name of the person who will collect the goods at the port of destination is indicated in the document.
• Bearer: the document does not identify the owner of the goods transported.

In both cases, therefore, the goods can be picked up only upon delivery of the bill of lading, and if the original is lost, the recipient may be denied delivery. Once one of the originals is used, the remaining two lose their validity (except for special constraints).

How to fill out a Bill of Lading

The bill of lading must be completed in its entirety, mandatorily including:

• Name and address of the shipper (or forwarder), i.e., the sender of the goods.
• Name and address of the carrier, i.e., the person in charge of the transport.
• Name of the recipient of the goods if the B/L is nominative.
• Description of the goods:
  • Nature, quality, and quantity of the items sent.
  • Number of packages and weight.
  • Value and conditions of return.
• Name of the ship on which the goods are loaded.
• Exact indication of the port of departure.
• Exact indication of the port of arrival.
• Indication of any ports of transshipment (transhipment).
• Date of departure of the ship (day, month, and year).

Another fundamental element that must be present on the Bill of Lading is the annotation “goods on board” dated and signed by the captain of the ship. If not, the document would have no value as a bill of lading but would become a simple receipt.

Bill of Lading: some typologies

In this area of mandatory documents, there are many details and shades that bring with them specific terminologies. Let us look at the main ones together.

Master Bill of Lading

The Master Bill of Lading (MBL) is a document used in maritime transport issued by the carrier, i.e. the shipping company, to the person who entrusted it with the cargo:

• To the exporter: the sender, who also organises the forwarding.
• To the shipper: if the exporter has entrusted the shipment to an intermediary who takes care of it on his behalf.

The purpose of the Master Bill of Lading is therefore to certify the taking-over of goods pertaining to multiple shipments. This document can be issued for shipments:

• FCL (Full Container Load): when the container is filled by a single shipper or loaded with goods all for the same consignee.
• LCL (Less than Container Load): in the case where a container contains several loads from different shippers with several consignees.

This transport document is not significant for either the exporter or the recipient, as both will refer to the bill of lading for the specific shipment, issued for them by the shipper.

House Bill of Lading

The House Bill of Lading (HBL), therefore, is always consequential to the Master Bill of Lading, or rather, to the presence of a figure intermediating the forwarding, the shipper. This document, in fact, is issued by the shipper for the benefit of the exporter as a receipt for taking charge of the goods and usually contains:

• Exporter’s details.
• Recipient’s details.
• Shipped cargo.
• Terms of payment.
• Shipper’s contact details.

Clean Bill of Lading

This is a characteristic of any bill of lading: it must be clean, meaning that it must not contain reservations, indications about the condition of the goods such as damage to packaging, goods, seals, etc.

Telex Release

In this case, the 3 original copies of the Bill of Lading are printed and stored in the home office of the shipping company. With the approval of all parties, the shipper authorizes the shipping company to “destroy” the set of originals and do a so-called “telex release” with a digital copy of the policy. This saves the cost of the express courier to physically send the original policies to the recipient, and most importantly, there is no risk of losing the originals.

Express Release

Once the Bill of Lading is confirmed in all its details by the shipper, the printing of the set of 3 originals is not done, as is usually the case, but only copies with also digital validity are produced. Obviously in this case there must be maximum trust between the parties, as there is no possibility of having control over the release of the goods at destination. The advantage is that it saves both the cost of printing the original set and sending it by express courier.

Through Bill of Lading

“Through Bill of Lading” means a direct or cumulative policy and is no longer used; it could be issued in the case of a transport performed by different modes by several carriers or when the place of pick-up or drop-off of the goods was different from the port of destination. In this case each ocean carrier took responsibility only for the section under its jurisdiction.