Running an import business or any business that requires regular cargo shipping to the Philippines can be quite daunting at first. You’ll need to navigate rough waters (literal and figurative) to reach your goals. Keep your operation running smoothly and try to avoid making costly mistakes.
1. Insufficient Packaging
The waters of the Philippines can be exceptionally rough. The country experiences 20 or more typhoons each year, four of which are destructive. Wind speeds of over 200kph (125mph) are commonplace, and the storms only get stronger on the water. Your usual packaging might not be enough to compensate for the rough waters, especially during the typhoon season (June to November). Switch to more robust packaging options when shipping to the Philippines and try to schedule your larger shipments when the seas are calmer.
2. Relying on a Single Shipping Company
Placing all your eggs in one basket is a bad idea, even when it pertains to freight forwarders and shipping companies. Politics is a bit volatile in the Philippines. Capricious leaders can suspend or not renew licenses on a whim, and shipping companies are currently on their crosshairs. Relying on multiple avenues of transport also insulates you from problems such as company strikes and other internal issues. If you have more than one freight forwarder, you can also negotiate better prices and deals.
3. Winging the Weight
Make sure you weigh your cargo accurately. Discrepancies in weight can lead to higher shipping fees. Weigh your products individually or by bulk (including packaging) and make a rough estimate of its weight. This won’t eliminate potential surcharges, but it might mitigate the amounts involved. Carrier and cargo companies have certified scales that can detect up to a tenth of a kilo in discrepancy, and weight matters when it comes to shipping.
4. Improper Record-Keeping
Keep a record of all your dealings, especially transactional documents like purchase orders and delivery receipts. A written record is essential when dealing with discrepancies or damaged products or goods. The bureaucracy and justice system in Manila isn’t as efficient, advanced, and honest compared to developed nations. Improper record-keeping might land your goods into the hands of corrupt customs officials, or they just might get lost in the system.
5. Trusting the System
The Philippine Bureau of Customs is the most corrupt agency in the nation. Waiting for your shipment to clear through customs will either require long wait periods or a bit of grease money in the hands of the right people. Clearance times can extend from one week to two months or more depending on the port and the diligence (or lack thereof) of the customs officials. Brokerage firms are your best bet in clearing your shipment. They have the right connections, which can cut clearance times significantly.
Shipping to Manila requires adept maneuverings on the sea and in the ports. Problems can arise in every situation, but a bit of diligence can minimize their occurrences. Make sure everything is in order, choose your shippers, and make a few connections.
