CASE STUDY – IMPORTING FROM CHINA , ASIA , USA , EUROPE FIXED RATE VS. FLOATING OR SPOT RATE PRICING STRATEGY
One Global Logistics is a market leading and client focused ocean freight forwarding and customs agent with offices throughout Australia.
FOR A FIXED RATE PROGRAM & COMMITTMENT : – Ability to prepay ocean freight costs within end of financial year for the following FY , tax minimisation strategy – Consistency in freight costs for 12 months with no increases – Ability to pay in USD – Pre allocated space allocation , guaranteed space for contracted shippers – Longer term ability to minimise / reduce base freight rates as rates will increase – Lower cost base – Ability to Leverage into other trade lanes – Future Forecast by Industry that ocean rates will increase 30% compounded over the next 1-2 years AGAINST A FIXED RATE PROGRAM : – Potentially a cost disadvantage in low season – Uncertainty with commitment to one supplier / forwarder – Limited choice in shipping line options for your program Additional Services :
With the announcement that all shipping lines with join their respective alliances from July 2017 , we forecast that rates will spike further in peak season and hold going into 2018 for further increases occur as alliances gain traction and the market stabilizes.
All Credit Cards are Accepted * Free Cartage from Port/Airport for LCL / Air – on application / incentive Our Services Include : Wholly Owned Offices in all states – OWNER / MANAGER BUSINESS. Competitive Air and Ocean Freight Forwarding Solutions Represented in over 250 Cities Globally Licensed Customs Brokerage Australia Wide Dedicated Customer Service persons allocated Specialized Delivery Services Door to door – CIF / DAP pricing Warehousing and 3PL/4PL in house For All International Business Inquiries International Freight and Customs Shaun Chapman – 15 years export veteran Christine Sidney – 25 years – freight professional James Sparke 25 years – customs and project specialist 1300 401 617