Logistics is essential to import and export operations. It keeps goods moving efficiently, helping businesses reach their customers quickly while controlling costs. But what does a logistics service actually include? Here are the main activities involved.
1. Domestic transportation
Domestic trucking moves goods from a manufacturer's warehouse to other locations within the same country. In Vietnam, general cargo commonly travels on trucks with capacities of 1.5–10 metric tons and on tractor-trailers. Rail, air, and sea transport are also used, although road transport handles a larger share of these movements.
2. International transportation
International transportation moves goods between countries by sea, air, road, or rail. The source figures cited in this article place ocean shipping at more than 80% of global freight volumes, with other modes accounting for the remaining 20%.
The 2022 figures discussed in the original article indicated a decline in international freight volumes compared with earlier years, attributed to the economic downturn. At the time, the outlook for 2023 anticipated further challenges for the transport industry.
Read more: Freight services from Nguyen Logistics
3. Customs clearance
To import or export goods, the shipper must provide the documents required for customs review. This process is known as customs clearance. It involves declaring the shipment and supplying the information needed to establish that the goods are eligible for import or export.
A basic set of import or export documents typically includes a sales contract, bill of lading (B/L), packing list, commercial invoice, and customs declaration.
Depending on the shipment, additional documents may include a certificate of origin (C/O), fumigation certificate, phytosanitary certificate, or material safety data sheet (MSDS).
Read more: Customs clearance services from Alphatrans
4. Packaging
Packaging helps protect product quality throughout the logistics process. Large manufacturers often pack goods at their factories immediately after production. Smaller producers may outsource this work because of limited capacity or resources. Logistics providers therefore often offer related services such as packaging and assistance with quality or origin certification.
5. Warehousing
Manufacturers also need to plan storage after production to maintain product quality. As with packaging, larger manufacturers often operate dedicated warehouses, while smaller producers may rent space. Warehouses are commonly located near industrial zones and roads that allow convenient access for trucks and tractor-trailers.
Warehouse design must suit the goods being stored. Temperature, humidity, light, and other requirements vary by commodity. Facilities also need the infrastructure to support loading and unloading as goods move through the supply chain.
Although these activities can be managed separately, logistics managers aim to connect them into an efficient system. Faster flows of goods and information create more value for customers. Understanding these core activities gives you a clearer picture of how logistics and supply chains work together.