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Logistics procedures

Essential knowledge for goods exporters including how to understand the various Incoterms and knowing the best shipping method for your business.
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Understand different Incoterms

Incoterms (international commercial terms) are an international shorthand system to make sure all your responsibilities, costs and associated risks of exporting products are clearly allocated, agreed and recorded.

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They're used worldwide, usually with a contract or other form of sales agreement for any goods you export – and they should be recorded on your export invoices. They are produced by the International Chamber of Commerce (ICC). Incoterms 2020 has 11 terms. Seven of these cover all forms of transport and 4 are for ocean freight.

Guidance on great.gov.uk

Decide on shipping method

You can use any combination of road, rail, air or sea to transport your goods overseas. If you’re new to exporting, using a freight forwarder might be the right option.

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Freight forwarding is a service industry that involves moving goods around the world on behalf of exporters. It acts as an intermediary or broker between you and the shipping company, airline, rail or road haulage company. A freight forwarder may save you time and money if you’re exporting large volumes of goods or high-value items.

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Get an EORI number

An Economic Operators Registration and Identification (EORI) number is a unique identifier needed for customs clearance when importing and exporting goods from the UK and EU.

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Which type of EORI number you need and where you get it from depends on where you're moving goods to and from. You may need more than one. If you do not have the right EORI number, you may have delays at customs and increased costs, for example your goods may have to be stored until you get an EORI.

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