When You Transport Goods by Boat, Learn from Jim
People often choose to transport goods by boat because more often than not it is the cheapest option. is used every single day by many people and companies without any issues, however, it can be a risky option because it is fairly slow and if you don’t know what you are doing, it can take a long time to pick up when a mistake has been made. Sometimes, when you are not knowledgeable about freight forwarding and customs clearing, an error is made and is only found when it is already too late to be rectified.
I recently went to dinner with some friends when one of them told me the following story about a friend of his:
My friend (let’s call him Jim) told me about a horrible experience he had a few years before we met. He imported two motorcycles, one for him and one for his son. It was meant to be a birthday present for his son, something they can do together, and he was so excited about all the fun they were going to have.
His excitement soon turned to frustration when he started dealing with the import and export nightmare of getting the motorcycles into Europe, where he was living at the time. He decided to deal with everything himself, thinking he will save some money, but ended up paying dearly for that decision. Jim had to deal with two major issues when he decided to arrange for the transport of the motorcycles by boat himself:
- Although he found the motorcycles at a bargain price in China, the import costs turned out to be a lot more than he imagined. Between taxes, insurance and other extras he didn’t even think about before starting the process, his original estimate of what the bikes would cost him was soon out of the window. Nonetheless, he decided to press ahead and arrange for the transport of the motorcycles by boat.
- The whole process was a lot more complicated than he imagined. He had no idea what Incoterms or a bill of lading or a packing list was! Because it was not something he had worked with before, he had no way of knowing what the requirements are when you transport goods by boat. Eventually, he ended up having to get a costly agency involved just to get his paperwork sorted out and get the items shipped.
When he finally had everything sorted, the bikes were shipped late but Jim was glad that at least they were on their way. The motorcycles could no longer serve as a birthday present as his son’s birthday had already passed but after all the time and money spent he did not want to give up and just wanted to have the bikes in his possession and the whole matter over with. However, when he wanted to go pick up the bikes, he was asked for the European Union vehicle certification. Of course, neither he nor the supplier knew that this was a requirement and no EU vehicle certification was available.
Jim, not yet ready to give up on his dream of riding alongside his son, started calling around, trying to get help and advice on how he can finally get the motorcycles without spending another small fortune, but to no avail. Even the company he hired couldn’t have the certification set aside. He eventually had to abandon the motorcycles and write off all the money he had spent on the whole exercise.
My Advice to Anyone Who Wants to Transport Goods by Boat
If Jim had contacted me as soon as he decided to import the motorcycles, I could have advised him on all the certifications needed, the Incoterms involved and everything everyone needs to know when transporting goods by boat.
It is the safest, smartest option to choose a company with a lot of experience to assist you with your sea freight needs. In most cases it is your only option, as transporting goods by boat can be incredibly complicated to those who have not worked with it before.
There is a reason so many abandoned shipping containers go on auction!
If you ever want or need to import or export anything and need to transport goods by boat, make sure you use a reputable company with enough experience that knows the ins and outs of the freight forwarding and customs clearing industry. The price you might have to pay if you don’t is too high.