Transportation costs can be as much as 50 percent of the cost of an agricultural export shipment. For lower valued commodities, fluctuations in the market that increase rates can increase the cost so much that export is no longer feasible. Therefore, U.S. exporters and shippers are urged to pay attention to the details of export in an effort to reduce errors and costs along the international supply chain. Exporters, no matter the size, are encouraged to contact a freight forwarder. Freight forwarders are specialists in international transportation management. Certified by the Federal Maritime Commission, good ocean transportation intermediaries take time to become experts in shipping certain commodities and about specific destinations. They handle booking the voyage, completing the documentation, and preparing the commodity for shipment. By letting a specialist handle the transportation logistics, there is less chance for error, and the exporter’s time can be better spent on marketing and running the export business. You can locate a freight forwarder by searching our online Directory of Freight Forwarders Serving Agricultural Shippers.

Small to medium-size shippers should also consider joining a shippers’ association. A shippers’ association is a group of shippers who pool their cargo in an effort to achieve economies of scale when negotiating service contracts. Treated as a “shipper” in the Ocean Shipping Reform Act of 1998, shippers’ associations are not regulated. You can find out more about shippers’ associations or contact an existing association by visiting the Directory of Shippers’ Associations for Agricultural Shippers.

Information on service contract negotiations, such as boiler plate language, inclusive clauses and surcharges, and timelines, is available in the semiannual Agricultural Ocean Transportation Trends Report.

Finally, shippers are encouraged to learn all the details involved in conducting an export shipment. By knowing the details involved, the shipper or exporter will be better prepared for any mishaps along the way and will be able to better assess the services offered by transportation providers.