Export Cargo Shipping – Export Customs Clearance and Origin Handling

In our previous blog, Export Cargo Shipping Process Explained – Export Haulage, we looked into the first step involved; Export Haulage. In this blog post, we look at what “Origin Handling” entails and what the Export Customs Clearance procedure includes. Of course, as your trusted logistics service provider, Transco Cargo offers customs brokerage services apart from freight forwarding services to take out the hassle of international shipping.


What is Export Customs Clearance?

The country of origin requires that you process your cargo shipment through the export customs clearance procedure, which essentially includes the registration of the freight being sent out of the country. A licensed customs broker is tasked with dealing with the procedure and involves the declaration of the cargo. Transco Cargo offers customs brokerage services and will be able to provide you guidance with regards to the export documentation involved in export cargo shipping from Australia.


What is Origin Handling?

The process of origin handling involves a number of activities that is carried out by the freight forwarding agent. Transco Cargo Australia as freight forwarder for export cargo shipping will receive the cargo from the shipper when the cargo is unloaded from the domestic transportation choice (either train, truck or both) on to the warehouse staging area for counting and inspection. The export cargo shipping boxes and crates are then verified against the booking information and the issued freight forwarding agents cargo receipt to the shipper (which documents that the cargo has been received by the freight forwarder for export cargo shipping).

LCL Container Origin Handling

Once the export cargo shipping boxes and crates have been processed through customer clearance, when you are opting for the likes of LCL (Less than Container Load) container shipping, they will be stacked in the origin warehouse for consolidation into one of the designated LCL containers prior to loading.

The consolidation of cargo onto a LCL container is usually done when all the cargo that is meant to be sent the same destination port within the given time frame is ready to be loaded before the vessel arrives. Once the shipping vessel for the export cargo shipping arrives at the origin port, the cargo boxes and crates meant for that destination port is loaded onto the LCL container, and then container is transported from the origin warehouse to the origin port for departure. This usually involves a stack of containers banded together from various freight forwarded waiting to be loaded one by one onto the same container shipping vessel which will take the cargo to the common destination port.

Almost always, it is the freight forwarders responsibility to carry out origin handling; however, with concern to payments, it can be either the shipper or consignee based on the shipping terms agreed upon. In the event the cargo was sold on Ex Works (EXW) basis or on Free Carrier (FCA) basis, the consignee will have to pay, whereas if the shipping terms were on Free on Board (FOB) basis or Cost and Freight (CNF/CIF) basis, or Delivery Duty Unpaid (DDU) basis, then the shipper is responsible for the payment.  Origin handling fees are required to be paid before the export cargo shipping is loaded onto the container shipping vessel.