Japan is one of Australia’s largest trading partners. Japanese imports from Australia were valued at over AUD $46 Billion in 2021. The value of Japanese exports to Australia in the same period reached over $24 Billion.

For Australia, this makes Japan our second largest trading partner for exports behind China.  For importing goods to Australia, Japan is our third largest partner behind China and USA.

Do you have goods you’d like to export to Japan, or import to Australia from Japan?

Trade Opportunities

In 2015 the Japan-Australia Economic Partnership Agreement came into place. This is a free trade agreement that immediately removed trade tariffs for a range of resources and goods, and phases out all tariffs by 2034.

Free trade agreements such as this help make goods more competitive within the markets of the countries involved. This opens opportunities for trade.

When it comes to goods traded, Japanese car imports are the largest component of trade to Australia. Further goods that Japan exports to Australia include;

• Machinery.
• Electrical goods and electronic components.
• Photographic equipment.
• Medical equipment.
• Pharmaceuticals.
• Chemical products.
• Perfumes, cosmetics, and essential oils.
• Toys and games.
• Musical instruments.
• Much more…

When it comes to exporting to Japan, there are a number of opportunities. The Japanese have an aging demographic and a culture that values quality. Unique, natural, and high-quality products are in demand.

Other than primary resources, product categories include;

• Aviation and aerospace equipment.
• Premium health foods and products.
• Processed foods based on Australian-grown ingredients.
• Wines and cheeses.
• Machinery.
• Cosmetics, especially those with natural ingredients.
• Medical equipment.
• Second-hand cars.
• Others…

Use the following link to explore further export opportunities to Japan.

Freight Forwarding & Shipping to Japan

There are direct shipping routes between Australia and Japan. The main port in Japan and for Tokyo is at Yokohama, though Tokyo itself still has a small working container port. As such, many goods will pass through Yokohama on their way to other destinations inside the country. Other major Japanese export ports are also at Osaka and Kobe.

Shipping to Japan is relatively straightforward and there is very little in the way of restrictions. Your freight-forwarding company should be able to help arrange shipping and any necessary paperwork to get your goods where they need to be. This is similar in many ways to exporting from, or shipping to South Korea.

One element worthy of note, however, is that the Japanese are very environmentally aware and quite strict with the rules. In particular for importers; you should carefully check the requirements for both product packaging and shipping components. If they do not meet the environmental standards you may find your good refused entry.

These standards, however, can present great opportunities for Australian suppliers. The Japanese appreciate any product customisations for their market and are often willing to pay a premium for high quality.

SPLS Freight Forwarders

At SPLS Freight Forwarders, we can help arrange also necessary freight shipping and paperwork, and advise on many aspects of your importing or exporting between Australia and Japan. Contact us now to discuss your requirements.

The post Import and Export to Japan from Australia appeared first on Air and Sea Freight Forwarding Logistics Specialists.

The world has seen a considerable amount of volatility over the last few years. The war in Ukraine is a more recent extension of those uncertainties.

There is a concern among importers and exporters about how the war in Ukraine will affect international freight shipping. Will there be further ocean shipping price rises? Will there be other impacts to businesses requiring container shipping?

Whilst it is impossible to know for certain, and future events may change the outlook, here are a few things we are seeing.

Shipping to Ukraine

Ukraine’s economy is expected to be severely reduced due to the war. When it comes to exporting goods to Ukraine there is likely to be a reduction in demand for any luxury goods in particular. As the country is literally fighting to survive, much of the economic demands will go back to basics.

Furthermore, there are obvious restrictions with regard to shipping. A number of Ukraine’s ports are severely damaged or destroyed. There is risk to shipping anywhere close to the conflict zones. There will also be ongoing uncertainty for the foreseeable future.

When it comes to exports from Ukraine, much of the trade is in bulk goods. This will not affect businesses needing container shipping to any great degree. Obviously, though, there will be a drop in the production of bulk and agricultural goods being exported from Ukraine.

Trade with Russia

Russia has been hit with increasingly severe economic sanctions for its actions in Ukraine. Many larger (and smaller) businesses have pulled back from trading with Russia as a result. Even if not directly affected by sanctions, many businesses wish to show solidarity with the Ukrainian people.

The risk of trade with Russia at the moment is also extremely high. Sanctions in the financial sectors mean that it may be difficult to pay or get paid in anything other than Rubles.

Additionally, Russian-registered shipping vessels are beginning to be refused entry into many ports. This will further restrict trade with Russia.

Similar to Ukraine, much of the trade with Russia is in bulk goods (and obviously energy products; oil, gas, and coal). Its relative trade in other goods is fairly small.

Global impact on container shipping

As both Ukraine and Russia are relatively small markets for container shipping, there is one positive aspect. Access to shipping containers should not be greatly impacted.

One primary concern with regard to international sea shipping will be the increase in oil prices. This will likely flow through to higher shipping prices, including freight shipping.

Also, as international shipping was already under strain from the impact of Covid-19, there is little room for flexibility at the moment. The war in Ukraine may further exacerbate existing issues. Any changes in routing and further pressure on maritime logistics will have a greater than normal impact on pricing.

For importers and exporters in general, global rises in the price of living will affect their business. For Australia, the increase in shipping prices due to these factors should be relatively modest. Unfortunately, economic modeling has suggested that the impact will be felt most by small island nations and developing economies.

SPLS Freight Forwarding

If your business trades in Europe, speak with us about any concerns you may have with your freight shipping. We can help develop a clear shipping plan that includes the current local and global outlooks.

The post How Will the War in Ukraine Affect Container Shipping? appeared first on Air and Sea Freight Forwarding Logistics Specialists.

Appropriate packing of commercial goods for overseas shipping is essential. If you want your products to arrive in prime condition, it’s important to learn how to pack a container for overseas shipping effectively.

This is especially relevant for sea freight but also holds true for land and air freight. Similarly, whilst this article is targeted for commercial goods shipping, suitable packing of personal items for overseas relocation is just as important.

All overseas transportation involves long distances during which your packed goods are subjected to considerable stress. Unsuitable packaging, packing, and securing of your goods can result in damage and the associated costs to your business. Additionally, improperly secured loads can also result in personal injury to handlers or the final recipient when opening the container. Properly packing your shipping container for overseas transportation can avoid many of these issues.

Possible physical conditions when shipping overseas

All methods of shipping goods over long distances will involve some or many of the following;

• Vibration due to road conditions or air turbulence. This can vary between short-term or quite persistent over the entire length of the journey.
• Small impacts such as bumps, knocks, or drops that the shipping containers or individual cartons and crates receive as part of normal handling.
• Rolling or swaying motions, especially for sea transportation, can cause goods to shift positions. These movements can sometimes be quite violent, depending upon the weather.
• Goods that are not properly secured can fall from their intended position to potentially damage themselves and other products.
• Impact due to accidents. These can range from very minor to severe. How well your goods survive will be in direct relationship to how well they have been packed.

Sea freight, in particular, is subjected to the potential movement of cargo over considerable periods of time.

Tips for packing goods for shipping

When packing your goods for international shipping, always preference functionality over appearance. The primary goal is to get your items to their destination. There is no point in having beautiful-looking packaging that can’t survive the journey.

If you always assume that goods will shift during transportation, you’ll be thinking on the right track to prevent incidents. If you are manufacturing products yourself for export, including the shipping considerations into your overall process thinking. The first step is protecting goods with effective packaging, the second is knowing how to pack shipping containers themselves.

Individual cartons

If you have smaller items to transport, you will likely want to start by thinking about individual boxes or cartons.  Goods for export /import can benefit from thicker boxes, providing them greater structural stability and resistance to impact.

For more fragile items, you may also want to consider the individual item packaging or packing material inside the cartons. These should help prevent units inside each box or carton from shifting or knocking against each other. Packing material inside a box or carton should also help prevent the effects of sustained vibration.

Items on pallets

If goods are to be palletised, ensure that individual boxes or cartons cannot move or shift during transport. This can lead to boxes falling and damaging their contents or other surrounding items. In the worst cases, this can cause instability of the entire pallet.

Pallets should at the very least be well shrink-wrapped.  Consider adding a cardboard sleeve around the outside, or other structural elements to limit boxes from shifting or skewing.

For commercial cargo such as machinery, parts, or other non-boxed items, wrapping is essential. If left loose on a pallet you may find the international shipping depot refuses to handle them. They will return them to the origin at your cost.

Commercial cargo crates

If you are transporting machinery, it can often be worthwhile constructing or purchasing crates. A crate can help protect delicate or protruding parts of the machine from being impacted and damaged. A crate such as this will usually be designed with a pallet-style base for lifting with a forklift.

How to pack shipping containers for overseas transport

Whether packing a shipping container with pallets, or loading items directly, it is vital to secure them properly for transportation.

Assuming that your goods, boxes, or pallets will move during transport;

• Will moving damage them?
• Could they potentially crush or damage other goods?
• Is there potential for the items to tip or fall?

Standard shipping containers include plenty of tie-down points on the floor and walls. Use these to secure items within the container in order to prevent movement.

If possible, don’t leave too much open floor space. This will automatically limit how much items can slide around during shipping.

Other considerations

There are a variety of other points worth looking at when making decisions on how to pack a container for overseas transportation.

• Remember that packing items are non-returnable. In particular, don’t use Chep pallets as these will not be returned and you will lose your deposit.
• If you are planning to use single-use pallets, check the rules for the country of destination. Some countries will only accept treated timber or recyclable materials.
• Consider the difference between purchasing single-use pallets and the cost of unloading boxes, cartons, or goods from road transport directly into the shipping container.
• Take extra care with heavy goods. If they come loose during transportation, they can potentially cause damage to the shipping container itself. Guess who pays for that?
• If you transport hazardous materials of any sort, take extreme care to protect and secure the goods. A recent case involving a Sri Lankan vessel transporting nitric acid involved a spillage leading to a large fire. In the end, the vessel was irreparably damaged.
• Always check your total weights. The shipping of containers includes a limit by overall weight as well as volume.
• For LTL shipping, remember that other goods will be packed into a shipping container with yours. You have no control over what these are or how they pack them. Consider whether it is worth the savings or if it may be better to pay for an entire container.

Of course, it is possible (and advisable) to purchase shipping insurance for your cargo. Making a claim, however, can be complicated and frustrating, and should always be a last case scenario. Why risk your shipment when many potential issues can be solved with a little thought, care, and attention?

Contact Us

For advice and assistance with your overseas freight shipping, come and speak with us. A conversation can save you time and money. We can even help you develop long-term shipping plans.

The post How to Pack a Container for Overseas Shipping – the Best Methods appeared first on Air and Sea Freight Forwarding Logistics Specialists.

Making overseas donations gives us a great sense of feeling like we are doing good things. Often, however, the sentiment can be in conflict with the rules and regulations of the people and countries that we are trying to help.

Because many Australians travel to these places and the people are mostly friendly, it is very common for groups to form with the aim of supplying goods to sponsor villages or charities in need. They provide items such as books, food, blankets and building materials to specific villages or areas that have suffered from natural disasters, or sometimes just to help improve the education and way of life of villagers and children.

The sentiment is fantastic; unfortunately, the process is not as simple as it seems.

Preparing for overseas donation of goods.

First and foremost, you need to have a specific entity to send the goods to.

Commonly, a group of people get together for a cause and collect books, furniture, clothing, building materials and the like, with a specific aim. Often, however, no further thought has gone into achieving the end goal. No-one has worked out specifically who or how to send the items that are collected (or planned to collect). Nor is there much consideration given to the cost of doing this.

Every country has its own rules concerning such matters. These MUST be taken into account before any charitable venture is started.

All applications and approvals can be completed in a very short period of time, or may be extended depending on the nature of the project and the effort and urgency shown by all concerned.

Presuming this has all happened and you are ready to proceed, there are a few procedures to be completed. Not the least of which is that this is going to cost money and time which needs to be sorted BEFORE anything can happen.

Usually, a group will get together and get all sorts of donated goods sent to one single collection point. The goods can then be packed on to pallets or into containers for shipping.

Shipping Lines and Freight Consolidators WILL charge for the freight, no matter what. There may be some concessions for registered charities, but there are no concessions for individuals or groups who just get together for the supply of items for any reason.

Purchasing a shipping container

Shipping lines provide only a specific time at each end for the free time allowed to have the container. In the case of LCL (Less than Container Load) shipments there are only three free days allowed at destination. This can often be inclusive of weekends. Furthermore, there will also be Customs Procedures to consider at the port of destination. When shipping containers are being leased through the shipping lines, this may not provide enough time for your needs.

An alternative to this may be for the purchase of a container in Australia. The shipping container can then be kept for extended time here and also be used for storage or resale at the other end. If you are considering purchasing a shipping container, there are rules concerning the size and type that can be shipped. We can purchase seaworthy shipping containers on your behalf.

In such cases, it is important that a full list of all items be made. Additionally, all items MUST be secured inside the container to prevent any movement and damage. Your overseas donations are much more likely to arrive safely as intended.

Overseas charity donations checklist

1) Ensure that you have an appropriate entity and contact details of whom to send the goods to.

2) Make sure you have written confirmation from the appropriate authority that you can do what you want to do.

3) Confirm you comply with all goods requirements (eg whitegoods, motor vehicles and so on).

4) Arrange collection and centralisation of goods.

5) Organise pallets or a container, and sufficient packing materials.

6) Have someone at destination who can act on your or the end customer’ behalf to deal with import customs clearance. They will also need to arrange transport from port to the end customer and pay any charges on your behalf.

SPLS freight services – what we do is:

1) Arrange to deliver the container to your nominated site, and then return the full container to the port for shipping, or collection of pallets etc to the nominated container depot for consolidation with other cargo.

2) Pay the ocean freight on your behalf up to arrival port.

3) Arrange the necessary export clearance in order for your container to be shipped.

4) Provide you and your nominated customer or agent in with a copy of the shipping line Bill of Lading (transport document).

If you wish to proceed, please contact us to discuss your requirements and for us to jointly prepare a specific freight plan to ensure all your requirements are met for the least possible cost.

The post Sending goods overseas for aid, charity or donation purposes? appeared first on Air and Sea Freight Forwarding Logistics Specialists.