When selecting means of transportation for your export or import product, there are several factors to consider. Transporting commodities to a foreign market can be done by rail, road, sea, inland waterways, air, or any combination of these, depending on the destination. Logistics and shipping expenses can be decreased by carefully choosing the technology and modes of transportation. However, selecting the most cost-effective alternative is not always the easiest step in import and export planning.
Modes of Transportation Businesses Can Choose From
In 2017, the goods transport service industry generated a revenue of $700 billion from the trucking industry. Transportation is a vital segment that any business could invest in as it ensures the efficient and safe delivery of the products to the customers. However, the mode of transport depends on the geographical location; some businesses use the road for good transportation while others use waterways, airways, or railways. Each mode has its merits and setbacks.
Rail Transportation
Railway transportation, which provides courier transportation services, is the most affordable and pocket-friendly way to transport bulk and heavy material. It is a reliable, cost-effective, and safe means of transport. Various factors determine the transportation decision. The urgency of delivery, budget, and size of your freight is one of the important ways to choose the way of transportation. Not all materials could be transported similarly. The railway’s transportation probably takes three to four days in transit. However, the negative aspect of railway transportation is that your destination is not always situated near the depot. You might have to pay an additional price to ship your product to the exact location.
Water Transportation
Water transportation is one of the cheapest modes of transportation. It is most suitable for bulky and heavy products that do not need quick delivery. It also provides you concession in price during specific seasons or for certain volumes. It is considered the riskiest in safety terms as your freight might be exposed to the elements such as cold, wind, waves, heat, etc. It also required special multilayer packing, which further increased the price. It also required unique services like security and refrigeration. If your destination is nearer to the seaports, water transportation is the most suitable goods transport service method for you. However, it is very challenging to monitor the goods during the transition.
Air Transportation
Air transportation is most suitable for valuable and lighter goods. However, it is the most expensive but efficient mode of transportation that provides courier transportation services and assures you of fast and on-time delivery. Apart from being the costliest means of transport, it is subjected to customs.
Land Transportation
Trucks are the most crucial vehicle for land-based transportation. This form of transportation is best suited for transporting goods over interstate transportation. It is an economical transit mode and its operating cost is less than railways. It is an apt option for transporting goods in the hilly areas. It is affordable and suitable for controlled temperature products, such as drugs or food items. It can be affected by bad weather conditions and heavy traffic jams.
Factors for choosing Sustainable Transportation
Cost of transportation
Your budget should be one of the most crucial aspects when choosing the best transportation for the import or export of your product. The cost might vary according to the amount and type of goods, and the transportation costs influence the cost. If you are transporting bulky and heavy products over long island distances, then rail transport is the most suitable and economical means. Trucks are best for short distances transporting a small number of goods, and it also saves handling and packing costs.
Water transport is most suitable for bulky and heavy goods over a long distance when there is no time limit. Air transport is the quickest way of transportation for light, valuable and perishable goods but is expensive. So, while choosing transportation for your business, you must consider the overall price of transportation; it is also advised to acknowledge hidden charges such as insurance premiums, terminal charges, finance charges, etc.
Safety
The mode of transportation also influences the security and Safety of goods. Road transportation by truck might be preferred to rail transportation as your losses are less. Water transport is considered the riskiest as the products and goods might expose the perils of the sea. Water transport also requires a special type of packing to keep goods secure from the wind, light, heat, water, etc., which further increases the cost. It is also advised to go with the organizations that provide your transportation management system to monitor your shipment at every step.
Characteristics of goods
The weight and size of the product play a vital role in deciding the mode of transportation. Air and land cater mainly to small and light shipments, while sea and railways transportation caters to bulky and heavy shipments. The product’s value is another factor you must consider while choosing the mode of transport, and land and airways are among the best options for high-value products. Choosing a warehousing company that provides multiple warehouses across India can provide you with additional security.
Regularity of Services
The service of railways is more uniform, regular, and specific compared to other modes of transport, and it is not affected much by the suddenly changed weather conditions. However, road, air, and water transportation may be affected by weather conditions such as heavy snow, rain, storm, fog, etc. So, choose the mode that provides you with a logistics management system.
Conclusion
Choosing the mode of transportation should be done carefully. It is advised to consider your freight size, budget, and turnaround time while deciding the mode of goods transport service. Before approaching any shipment company, you must compare prices and look for licensing insurance and study reviews.
AAJ Supply Chain Management is among the best eCommerce fulfillment solutions providers to be reckoned with regarding warehouse transportation and logistics companies in India. We offer services all across India with the most customer satisfaction rates. We have AI and technology-based transportation management systems that enable you to track your shipment at every step. Our vision is to offer efficient and managing operations and supply chain management solutions and to make long-lasting relationships.
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