Freight Security in China. Don’t Let Your Goods Go Missing

Thursday, July 26, 2007 14:34


If congested Shanghai Ports were not enough for you to call your freight forwarder, perhaps Cargo News Asia’a article Crime on the rise at Shanghai ports may be (h/t/ 3plwire).

According to the article, many of the recent crimes are being committed by people from outside of Shanghai (of course) carrying fake licenses (cost 50USD) who dupe manufacturers.

In the first six months of this year, 103 people were arrested for 97 crimes relating to the ports, a 203.1 percent increase compared to the same period last year.

Freight security has been a problem all over the world, but through containerized freight many of the issues related to damage and loss have been mitigated (see Book Report: The Box to learn more about benefit the container brought the world)

In China though, the rates of theft and damage can vary widely depending on the service:

  • Barge/ Bulk – High rates of loss
  • Rail – High rates of damage, high rates of theft
  • LCL Truck – High rates of damage, moderate rates of theft
  • FCL Truck – low rates of damage, moderate rates of theft
  • Air – low rates of damage, low rates of theft

In the trucking industry, the greatest risks lie in the fact that the industry is so fragmented, and that industry itself is so fragmented. Send 4-5 loose boxes from Changzhou to Shenzhen may involve 5 different stops where boxes change hands, get dropped, stuffed, and stepped on. Shipping anytime around the holidays should be done with care as drivers can simply pull off the road and unload items to be sold in the market for some pocket money.

for the large international firms who rely on ground transport, and who may use independent drivers or other externals, these are serious issues that were highlighted by one executive in an interview:

“In China, mobile phones can be used everyone… GPS cannot”

How do the internationals prevent theft? Planning.

How should you prevent theft? Planning

When looking for a local logistics firm, the only time you should use an independent driver is if the move is local or worthless. Anytime you hand goods to independents, you put goods at risk. Not just of not making it to the destination, but not making it in one piece. Put boxes in a crate for added protection, or at the very least add a couple of layers of corrugate.

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3 Responses to “Freight Security in China. Don’t Let Your Goods Go Missing”

  1. Freight Security in China. Don’t Let Your Goods Go Missing | Top China Suppliers says:

    July 26th, 2007 at 9:40 pm

    […] (more…) Bookmark to: […]

  2. tony bombino says:

    August 9th, 2007 at 6:44 am

    Dear sir,

    I would like a quote for 7,400 Pounds going air freight from Beijing China to Dominican Republic.

    This shipment is weight over measure, the commodity is aluminum solar structures, not hazardous. We need to ship by the 13th of Aug. Please quote your best price.

    Sincerely,

  3. Rich says:

    August 9th, 2007 at 6:49 am

    Tony,

    I am actually not an agent, but my suggestion is that at 7400 pounds, you think about sending via ocean. I am not up on today’s frieght tarriffs, but I would say you are looking at a very big bill.

    At the very least, call UPS and ask for a big discount.