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I don't know if the following is what you were asking for help on....but it's long-winded *as you know I can be*L*...
Hubby was a computing/chemistry dual major in Uni in the UK...his family was in freight forwarding....aka middle man between companies in regards to shipping goods nationally as well as internationally....He covers all modes of transportation ...his speciality being ocean/air as well as HAZMAT *where his chemistry came in handy*. So this info is from him ....when I saw all the shipping terms...I went with the expert of 22 years
Here goes:
Simple explanation
EXW - Ex-works - means the shipper is not responsible for freight costs, the consignee aka buyer is.
DDU is 'Delivered Duty Unpaid'.
This means the buyer (DG) is responsible for customs, duties and taxes.
Anyone who is knowledgeable in the freight business would not use DDU and EXW in the same sentence as they are equivalent to the same commercial terms.
As a matter of fact, DDU stopped being used in 2010 and EXW is still in effect in the 2013 Geneva Incoterms.
Incoterms are the international standards of negotiation of freight costs.
MOQ stands for 'minimum order quantity' referring to minimum amount that can be ordered from the seller/shipper/supplier.
For example the company supplying the goods may require 10 cases minimum for order to be shipped. In this request DG is also asking for any discounts which would apply for buying in bulk.
Quality standards of 80% minimum content means the zinc phosphide he requires has to be comprised of at least 80% zinc.
Packing: Export Packaging
This means the package (individual tubs/pails) would be vacuum sealed and preferably placed on non-wooden pallets. If the preferred plastic pallets are not available, the wooden pallets must be fumigated so they don't carry eggs, larvae or insects themselves. The entire package is then shrink wrapped whether it is plastic or wooden pallets. This stops anything from moving/shifting on the pallet in transit, and causing spillage or breaking of contents. Because this product is considered HAZMAT, in addition, a Material Safety Data Sheet (MSDS) must accompany the goods so in case of breakage, spillage etc. an emergency response plan can be used.
Once it hits Vancouver or whatever port it comes into...it is then considered 'travelling in bond' which means it hasn't cleared customs. (technically it's not in Canada yet even though it physically is...if that makes sense).
This package would travel by rail from Vancouver to Calgary, as bonded truck is rare & very expensive & all rail freight is bonded & cost effective. (I am not mentioning air travel at all because DG specified most economical freight option (ocean), not by air which is the most expensive).
Once it reaches it's destination of Calgary Terminal for CN or CP Rail...the consignee/buyer (DG aka Ranchland Equipment) is notified & he has to go to customs which coincidentally is at YYC.
He then produces the packing list & commercial invoice...he pays the customs clearance cost, duties & taxes...they stamp his paperwork as 'cleared'. He can then travel to the CN/CP terminal & then he can arrange delivery to where he wants it delivered or take it himself.
Hope this helps somewhat...clear as mud yes?![]()
Wow LoriMcA, this is great!! Thanks for all the excellent dissecting of info, good stuff! :clap: