Courier Services Are companies

that transport and deliver documents, packages, and larger shipments of products for their clients.

Commodity Class

Influences on the price of shipping items:

1. commodity's density2. loadability and handling characteristics3. value of the commodity4. the susceptibility to damage.

Four primary classification system of commodities

Weight Break

As the size or volume increases different rates are applied

Exception Rates Carriers offer discounts to shippers which operate large volumes of shipments, or if there is increased competition.

All Commodity Rates Carriers can introduce all-commodity rates for shipments between two specific points with a minimum weight. The carrier will offer an all-commodity rate for this specific route despite the class of the commodity carried.

Value Rates

For shippers of higher priced and therefore higher class commodities, carriers can offer a value rate. Because carriers are liable for the value of the commodity they carry, the rates are higher, but if a carrier has a fixed liability which is less than the commodity it is carrying, then the carrier can offer the shipper a value rate, which will be a lower percentage of the normal commodity rate.

The deferred rate is cheaper than the normal rate for the class of commodity as the shipper allows the carrier to deferring the delivery of the commodity to the buyer. The discounts can increase the longer the delivery is deferred.

Deferred Rates

Carriers can encourage shippers by offering incentive or in-excess rates. The carrier’s incentive rates are usually where a carrier encourages a shipper to transport more goods with them based on weight. The carrier will offer a rate up to a minimum weight limit and a discounted rate for any commodity that is in-excess of that minimum weight.

Incentive Rates

Some of the problems courier encounter and their solutions

• Getting lost along the way The easiest way to find a specific location is by using GPS units.

• Transporting fragile items Ensure the packaging of the items is done properly, asks the client to insure the items against any risks that may be likely to occur along the road, while you promise to play your part in

ensuring a safe and timely delivery.

• Vehicle/Bike Breakdown

You need to use reliable transportation machines- Vehicles, motorbikes and bicycles. Ensure the vehicles are well maintained through regular servicing to ensure they remain in a good condition.

• Sticking to the Schedule Be very organized

a tax on imports or exports (an international trade tariff)

a list of prices for such things as rail service, bus routes, air and electrical usage (electrical tariff, etc.).

Tariff rates

are the amount of money that must be paid above the cost of an imported or exported good from one country to another. Essentially, tariff rates are a tax on goods designed to limit the impact of foreign trade on a particular nation.

Tariffs

Customs

It is an authority or agency in a country responsible for collecting and safeguarding custom duties and for controlling the flow of goods including animals, transports, personal effects and hazardous items in and out of a country.

Customs prohibits the import or export of PHP10,000 (approximately USD220) of local currency instruments (e.g., Philippine peso banknotes) without the prior authority of the Central Bank. However, bringing in of USD10,000 or higher (or its foreign currency equivalent) may be brought in or out but it must be declared in writing.

Customs

Carrier Rates and TariffsCarrier Rates and Tariffs

Customs Problems

Misclassification Duties higher than anticipated Customs office won't clear the shipment to your buyer/importer Customs office invoking health, sanitary, or safety issues Labeling issues involving a certificate of origin, weight, ingredients, marks, etc. Inadequate documentation provided by the exporter Issues involving the import or packing regulations of the receiving country