Introduction and Table of Contents
In calendar year 1995, U.S. agricultural exports rose 22 percent to a record $55.8 billion. Export data for the first half of 1996 shows a 13-percent increase over the 1995 record-breaking level. U.S. exports of high-value agricultural products accounted for $30.2 billion in 1995, up 11 percent from the previous year. Taking advantage of these growing export opportunities is not limited by company size. Many small- to medium-sized companies are successfully selling their products overseas.
Is your company ready to take advantage of these export opportunities? Have you developed an international marketing plan? Do you know which foreign market(s) hold the greatest potential and risk for your product(s) and have you located foreign customers? These are a few of the questions your company needs to answer before shipping product(s) overseas.
This publication provides you with a list of resources to help you answer these questions. But mainly, this handbook looks at the export transportation portion of the export process. That is, how to physically move agricultural products overseas. The focus of this publication is on shipping high-value or value-added agricultural products. (Limited information on shipping bulk commodities has been included.)
Many shippers simply rely on a freight forwarder, a travel agent for cargo, to handle all their transportation needs. The right freight forwarder is a valuable ally, but the shipper must also take an active role. It is the shipper's reputation, and repeat sales, on the line. By understanding who the key players are and their responsibilities, incoterms (international commercial terms), ocean and air cargo services, transport documentation, cargo insurance, methods of payment, and product handling, shippers can work with their freight forwarder to better ensure the success of their export venture.
This handbook provides an overview of an export shipment, highlighting what parties are involved and their responsibilities. It looks at the role of the freight forwarder, non-vessel operating common carrier, and customs broker. Incoterms, how to quote a price, and methods of payment are also covered. It covers ocean and air transportation. It explains the more common documents used in export transportation and provides samples. It also explains the different types of cargo insurance available, where to obtain them, and the procedures to follow when filing a claim. It offers guidelines for the safe transport of agricultural products to the overseas buyer, including tips on cooling, grading, packing, loading, storage, and the selection of transport equipment and mode of transportation. The sections on trade assistance and publications are included to provide shippers with other sources of information when the answer cannot be found within this text.
This handbook has changed considerably from the 1993 edition. New sections have been added, many sections have been significantly revised, and some deleted altogether. Our goal is to provide agricultural shippers with the information they need, in a concise, user-friendly format. We have also gone to considerable lengths to ensure that the information in this publication is accurate. Should you discover information that is incorrect, we would appreciate hearing about it. Also, if you have any comments, suggestions for improvements, or additional information we should include, we would like to hear from you.
1. Economic Research Service, Foreign Agricultural Trade of the United States (FATUS), p. 2, January/February/March 1996.
Send comments to:
Shipper and Exporter Assistance
USDA, AMS, TMD
Room 1217 South Building
Washington, DC 20250
Phone: (202) 690-1304
Fax: (202) 690-1340
e-mail: Heidi.Reichert@usda.gov