freight Final Review 5.13.pptx freight Final Review 5.13.pptx

freight Final Review 5.13.pptx

1. Welcome to class . We will begin shortly

2. Insurance ▶ The insurer is liable for any loss attributable to the willful misconduct of the insured, or for any loss proximately caused by delay, or for any inevitable loss or damage such as wear and tear, inherent vice, or the nature of the subject matter. This is a standard provision commonly found in insurance policies, often referred to as exclusions. This Photo by Unknown Author is licensed under CC BY

3. Insurance ▶ Let me break it down: Willful Misconduct of the Insured: If the insured intentionally causes a loss or damage, the insurer is not obligated to cover it. This prevents individuals from purposefully damaging property or engaging in fraudulent activities expecting insurance to cover the costs. Loss Proximately Caused by Delay: If a loss occurs due to a delay, and that delay can be directly linked to the cause of the loss, the insurer may not be liable. For instance, if a delay in reporting a claim leads to increased damage, the insurer might refuse coverage for the additional loss caused by the delay. Inevitable Loss or Damage: This refers to losses or damages that are bound to happen due to factors beyond anyone's control, such as wear and tear, inherent vice (inherent defects or weaknesses in the property), or the nature of the subject matter. Insurers typically don't cover such losses because they are considered foreseeable and not unexpected. These exclusions help define the boundaries of coverage and protect the insurer from liabilities that would be unreasonably costly or outside the scope of the insurance agreement. This Photo by Unknown Author is licensed under CC BY

4. Air Cargo Security (ACS) ▶ Transport Canada has launched an Air Cargo Security (ACS) Program for the freight forwarding, transportation, logistics, and supply chain industries. Air Cargo Security (ACS) refers to the measures and protocols put in place to ensure the safety and security of air cargo shipments. With the significant volume of goods transported by air freight worldwide, maintaining the security of these shipments is crucial to prevent unauthorized access, theft, tampering, or potential threats to aviation security. ACS encompasses various security procedures and regulations imposed by government agencies, international organizations, and industry stakeholders. This Photo by Unknown Author is licensed under CC BY

5. Air Cargo Security (ACS) ▶ These measures aim to: Prevent Unauthorized Access: Access to cargo areas and facilities where shipments are stored or processed is restricted to authorized personnel only. Access control systems, such as identification checks and secure entry points, help prevent unauthorized individuals from entering restricted areas. Screening and Inspection: Cargo shipments undergo thorough screening and inspection procedures to detect and identify any prohibited items, hazardous materials, or security threats. This may include X-ray scanning, explosive detection, physical inspection, and the use of security technology to ensure the integrity of cargo contents. Security Documentation and Verification: Proper documentation and verification processes are essential to ensure the legitimacy and authenticity of cargo shipments. This includes verifying the identity of senders and recipients, validating shipping manifests, and ensuring compliance with regulatory requirements. This Photo by Unknown Author is licensed under CC BY

6. Air Cargo Security (ACS) ▶ These measures aim to: Chain of Custody: Maintaining a secure chain of custody throughout the transportation process is crucial for tracking and monitoring the movement of cargo from origin to destination. This involves implementing procedures to prevent tampering, theft, or unauthorized access during transit. Security Training and Awareness: Training programs and awareness initiatives are essential to educate personnel involved in air cargo operations about security protocols, procedures, and best practices. This helps ensure that all stakeholders are aware of their roles and responsibilities in maintaining cargo security. Regulatory Compliance: Compliance with national and international regulations governing air cargo security is mandatory for airlines, freight forwarders, shippers, and other entities involved in the transportation of air cargo. These regulations establish minimum security standards and requirements that must be followed to mitigate security risks effectively. Overall, effective air cargo security measures are essential for safeguarding the integrity of air cargo shipments, protecting against security threats, and maintaining the safety and reliability of the global air transportation network. This Photo by Unknown Author is licensed under CC BY

7. Truck Shipment ▶ Truck shipments entering Canada are not required to be documented in advance on an approved cargo control document. When truck shipments enter Canada, they are required to be documented in advance on an approved cargo control document. This document serves as a declaration of the goods being transported and provides essential information for customs clearance and security purposes. The approved cargo control document typically includes details such as: Description of Goods: A description of the goods being transported, including their quantity, value, and any relevant specifications. Sender and Receiver Information: Information about the sender (exporter) and the receiver (importer), including their names, addresses, and contact details. Transportation Details: Details about the mode of transportation (in this case, truck), including the vehicle's registration number, driver's information, and the route being taken. Customs Information: Any customs-related information, such as tariff classification codes, duty rates, and any applicable permits or licenses. Security Information: Security-related details, such as seals applied to the cargo, security screening results, and any other security measures implemented during transportation. This Photo by Unknown Author is licensed under CC BY

8. FPA ▶ An FPA policy covers goods against total loss by marine perils. Partial losses other than general average losses are recoverable only in certain cases. In the context of an FPA policy: Total Loss Coverage: The policy typically covers the insured goods for total loss resulting from marine perils. If the goods are completely destroyed or irretrievably lost due to a covered event, the policyholder is entitled to compensation for the full value of the goods insured. Partial Loss Coverage: Unlike total losses, partial losses (where only a portion of the goods is damaged or lost) are only recoverable under specific circumstances in an FPA policy. Typically, partial losses other than general average losses may be covered only if they meet certain criteria outlined in the policy. General Average Losses: General average losses occur when sacrifices or expenses are intentionally incurred for the common safety of the ship and cargo during a voyage. These expenses are shared proportionally among all parties with a financial interest in the voyage, including the cargo owners. FPA policies often exclude coverage for general average losses because they are considered to be shared liabilities rather than individual losses. This Photo by Unknown Author is licensed under CC BY

9. FPA ▶ In summary, while an FPA policy provides coverage for total loss by marine perils, coverage for partial losses is limited and may only be recoverable in specific cases outlined in the policy. General average losses are typically excluded from coverage under FPA policies. It's essential for policyholders to review their insurance contracts carefully to understand the scope of coverage and any exclusions or limitations that may apply. This Photo by Unknown Author is licensed under CC BY

10. The IATA Carnet ▶ The IATA Carnet is not a Customs document that acts like an international passport for goods. It simplifies customs procedures for goods intended for temporary use, such as trade shows, exhibitions, and professional equipment. Here's how it works: Temporary Importation: The Carnet allows goods to be temporarily imported into participating countries for a limited period, typically up to one year. This temporary importation is permitted for specific purposes, such as trade fairs, exhibitions, or professional activities. Duty and Tax Exemption: By presenting a Carnet at customs, the holder can temporarily import goods without paying duties or taxes. This exemption applies to both import duties and value-added taxes (VAT) that would typically be levied on imported goods. Simplified Customs Procedures: The Carnet simplifies customs procedures by providing a unified document that serves as both a customs declaration and a guarantee for the temporary importation of goods. Instead of dealing with separate customs declarations and deposits for each country, the holder presents the Carnet at customs checkpoints for validation and clearance. This Photo by Unknown Author is licensed under CC BY

11. The IATA Carnet ▶ The IATA Carnet is not a Customs document that acts like an international passport for goods. It simplifies customs procedures for goods intended for temporary use, such as trade shows, exhibitions, and professional equipment. Here's how it works: Multiple Countries: The Carnet is accepted in over 80 countries and territories that are members of the ATA Carnet system. This includes many major trading nations around the world, making it a valuable tool for businesses engaged in international trade and temporary exports. Security Deposit: While the Carnet exempts the holder from paying duties and taxes upfront, it does require the holder to provide a security deposit or guarantee to cover potential liabilities in case the goods are not re-exported within the specified timeframe or are misused. Overall, the IATA Carnet streamlines the process of temporarily importing goods into foreign countries for specific purposes, providing cost savings and administrative efficiency for businesses engaged in international trade and temporary exports. This Photo by Unknown Author is licensed under CC BY

12. Open Policies ▶ Open policies are not suitable for most merchants sending or receiving goods, and their chief disadvantage is that coverage is not automatic. Indeed, open policies can be a convenient choice for many merchants involved in sending or receiving goods internationally. These policies provide continuous coverage for multiple shipments over a specified period, typically a year, without the need to obtain separate insurance for each individual shipment. This can streamline the insurance process and offer flexibility for businesses with frequent shipping needs. This Photo by Unknown Author is licensed under CC BY

13. Open Policies ▶ However, as we mentioned, the chief disadvantage of open policies is that coverage is not automatic. Unlike specific voyage or single shipment policies, where coverage is triggered automatically for each shipment, open policies require the insured party to declare each shipment separately to ensure coverage. Failure to declare shipments correctly or in a timely manner can result in the shipment not being covered under the policy. Additionally, open policies may require more administrative effort to manage, as the insured party is responsible for accurately recording and reporting each shipment to the insurer. This can be challenging for businesses with high shipment volumes or complex logistics arrangements. This Photo by Unknown Author is licensed under CC BY

14. Open Policies ▶ Despite these drawbacks, open policies remain a popular choice for many merchants due to their flexibility and potential cost savings over time, especially for businesses with regular and predictable shipping patterns. However, it's essential for businesses to understand the requirements and limitations of open policies and to ensure proper compliance with reporting procedures to maintain coverage for their shipments. This Photo by Unknown Author is licensed under CC BY

15. Open Policies ▶ Under an open policy, if documentation is required for a particular shipment, a certificate of insurance is prepared. This certificate serves as proof of coverage for that specific shipment under the terms of the open policy. It outlines key details of the insurance coverage, such as the insured party, the type of goods being shipped, the insured value, and any applicable terms and conditions. This Photo by Unknown Author is licensed under CC BY

16. Open Policies ▶ The certificate of insurance is provided to the party requesting documentation for the shipment, such as a shipping agent, freight forwarder, or customs authority. It demonstrates that the shipment is adequately insured under the open policy and provides assurance that the insurer will indemnify the insured party for any covered losses or damages that may occur during transit. Preparing a certificate of insurance for each shipment allows the insured party to comply with documentation requirements while maintaining the benefits of the open policy, such as continuous coverage for multiple shipments over a specified period. It also facilitates the efficient processing of shipments through customs and other regulatory checkpoints by providing proof of insurance as required. This Photo by Unknown Author is licensed under CC BY

17. The Canadian Import Control List (CIFL) ▶ Certain dairy and agricultural products, textile products, carbon steel and specialty steels, endangered species of wild flora and fauna, and weapons and ammunition are in the Canada CIFL is an inaccurate statement. Due to these being just a few examples, and the CIFL covers a wide range of products and commodities. Importers should consult the Canadian Import Control List and other relevant regulations to determine whether their products are subject to import controls and to ensure compliance with Canadian import laws and regulations. This Photo by Unknown Author is licensed under CC BY

18. The Canadian Import Control List (CIFL) ▶ The Canadian Import Control List (CIFL) is an extensive document that outlines various products subject to import controls and regulations in Canada. While I can't provide an exhaustive list of all the products included in the CIFL, I can highlight some of the key categories commonly subject to import controls: Agricultural Products: This category includes items such as dairy products, poultry, eggs, and certain grains. Import controls are often in place to manage quotas, tariffs, and other measures to support domestic agricultural producers and ensure food safety standards. Textiles and Apparel: Textile and apparel products are frequently subject to import quotas, tariffs, and other restrictions to protect domestic textile industries and maintain fair competition in the market. Steel and Specialty Metals: Certain types of steel and specialty metals may be subject to import controls to protect domestic steel producers or address national security concerns. This Photo by Unknown Author is licensed under CC BY

19. The Canadian Import Control List (CIFL) ▶ The Canadian Import Control List (CIFL) is an extensive document that outlines various products subject to import controls and regulations in Canada. While I can't provide an exhaustive list of all the products included in the CIFL, I can highlight some of the key categories commonly subject to import controls: Automobiles and Automotive Parts: Import restrictions may apply to automobiles and automotive parts to manage trade flows and support the domestic automotive industry. Endangered Species and Wildlife Products: Import controls are in place to regulate the trade of endangered species and their products, including wildlife specimens, parts, and derivatives, to ensure compliance with international conservation agreements. Firearms and Ammunition: Importation of firearms, ammunition, and certain types of weapons is strictly regulated in Canada for public safety and security reasons. This Photo by Unknown Author is licensed under CC BY

20. Transportation of Dangerous Goods Regulations (TDGR) ▶ In Canada, the transportation of dangerous goods by ground, whether for domestic or transborder purposes, is regulated by the Transportation of Dangerous Goods Regulations (TDGR). These regulations establish the requirements and standards for the safe handling, shipping, and transportation of hazardous materials by road, rail, and other modes of ground transport. The TDGR covers a wide range of hazardous materials, including but not limited to: Explosives Gases Flammable liquids Flammable solids Oxidizing substances Toxic and infectious substances Radioactive materials Corrosive substances Miscellaneous dangerous goods This Photo by Unknown Author is licensed under CC BY

21. Transportation of Dangerous Goods Regulations (TDGR) ▶ Key provisions of the TDGR include requirements for proper classification, packaging, labeling, placarding, and documentation of dangerous goods shipments. It also mandates training for personnel involved in the transportation of hazardous materials and establishes emergency response procedures in case of incidents or accidents involving dangerous goods. Compliance with the TDGR is essential for ensuring the safety of individuals, property, and the environment during the transportation of hazardous materials by ground. Failure to comply with these regulations can result in penalties, fines, and legal liabilities. This Photo by Unknown Author is licensed under CC BY

22. Transportation of Dangerous Goods Regulations (TDGR) ▶ Transportation companies, shippers, carriers, and other parties involved in the transportation of dangerous goods by ground must familiarize themselves with the requirements of the TDGR and take appropriate measures to ensure compliance with the regulations. Additionally, they may need to obtain permits or authorizations from regulatory authorities depending on the nature of the hazardous materials being transported and the specific requirements of the TDGR. This Photo by Unknown Author is licensed under CC BY

23. Transportation of Dangerous Goods Regulations (TDGR) ▶ Dangerous goods are indeed generally defined as articles and substances that are capable of posing a significant risk to health, safety, property, or the environment. This definition encompasses a wide range of materials, including explosives, flammable liquids, gases, toxic substances, corrosives, and radioactive materials, among others. Proper handling, storage, transportation, and disposal of dangerous goods are essential to mitigate the risks associated with these materials and ensure the safety of individuals, property, and the environment. This Photo by Unknown Author is licensed under CC BY

24. Legal Liability ▶ Legal liability establish the legal responsibilities written either in a contract or by the law of the land. It outlines the duties and responsibilities that must be fulfilled, and failure to meet these obligations can result in legal consequences, such as lawsuits, fines, or other penalties. Legal liability can arise from various sources: Contractual Obligations: When parties enter into a contract, they agree to certain terms and conditions that outline their rights and obligations. If one party fails to fulfill its contractual obligations, it may be held legally liable for breach of contract. Statutory Law: Laws enacted by legislative bodies, such as federal or state governments, establish legal requirements and standards that individuals and businesses must comply with. Violations of statutory law can lead to legal liability, enforced through regulatory agencies or the court system. This Photo by Unknown Author is licensed under CC BY

25. Legal Liability ▶ Legal liability can arise from various sources: Common Law: Legal principles developed through judicial decisions over time also establish legal responsibilities. Common law doctrines, such as negligence or strict liability, impose obligations on individuals and businesses to exercise reasonable care or ensure product safety, for example. Tort Liability: Tort law governs civil wrongs that cause harm or injury to others. Tort liability may arise from actions such as negligence, defamation, or intentional wrongdoing, and individuals or entities found liable may be required to compensate the injured party for damages. In summary, legal liability encompasses the duties and responsibilities established by contracts, statutes, common law, or tort principles. Understanding and fulfilling these obligations are essential for individuals and businesses to avoid legal disputes and maintain compliance with the law. This Photo by Unknown Author is licensed under CC BY

26. Warranty ▶ In marine insurance, a warranty is a promise or guarantee made by the insured party to the insurer regarding specific conditions related to the insured property or the conduct of the insured during the period of coverage. Unlike representations or terms, which are statements of fact or provisions of the insurance contract, warranties are considered to be conditions precedent to coverage. This means that the insurer's liability under the policy is conditional upon strict compliance with the terms of the warranty. In the context of marine insurance, if a warranty is breached, the insurer may be entitled to deny coverage for any losses or claims arising from that breach, regardless of whether the breach is directly related to the cause of the loss or not. Even if the breach is minor or has no direct connection to the loss, it can still invalidate coverage under the policy. This Photo by Unknown Author is licensed under CC BY

27. Warranty ▶ For example, if a marine insurance policy includes a warranty stating that the vessel must have a certain type of navigational equipment on board, and it is discovered during a claim investigation that the vessel did not have that equipment at the time of loss, the insurer may deny coverage for the claim, even if the loss itself was unrelated to the absence of the equipment. Therefore, in marine insurance, warranties typically require exact compliance, regardless of whether they are material to the risk or not. It's crucial for insured parties to understand and adhere to all warranties specified in the insurance policy to avoid potential coverage disputes or claim denials. This Photo by Unknown Author is licensed under CC BY

28. Insurance ▶ An insurer is liable for a loss that is proximately caused by a peril insured against. In insurance, the principle of proximate cause is essential in determining whether the insurer is liable for a loss. Proximate cause refers to the dominant or most immediate cause of a loss or damage. If a peril insured against is the proximate cause of a loss, the insurer is generally liable to indemnify the insured for the resulting damages, subject to the terms and conditions of the insurance policy. For example, suppose a property insurance policy covers fire damage, and a fire breaks out in a building, causing extensive damage to the structure and contents. If the fire is determined to be the proximate cause of the loss, the insurer would typically be liable to compensate the insured for the damages resulting from the fire, subject to any policy limits or exclusions. This Photo by Unknown Author is licensed under CC BY

29. Insurance ▶ However, if the fire was caused by an excluded peril, such as arson or war, the insurer may deny coverage for the loss, even if fire damage is covered under the policy. Similarly, if the fire was merely a remote or incidental cause, and another excluded peril was the proximate cause of the loss, the insurer may also deny coverage. In summary, the principle of proximate cause helps determine the extent of the insurer's liability for a loss by identifying the dominant or most immediate cause of the loss and assessing whether it is covered under the terms of the insurance policy. This Photo by Unknown Author is licensed under CC BY

30. Transport Canada ▶ Transport Canada does not require that any documentation relating to the transportation of dangerous goods be kept for at least six years after the date of shipment. Transport Canada requires that any documentation relating to the transportation of dangerous goods be kept for at least two years after the date of shipment. Transport Canada, the federal department responsible for transportation policies and regulations in Canada, mandates that documentation related to the transportation of dangerous goods must be retained for a specified period. Specifically, under the Transportation of Dangerous Goods Regulations (TDGR), it is required to keep records of dangerous goods shipments for at least six years from the date of shipment. This Photo by Unknown Author is licensed under CC BY

31. Transport Canada ▶ These records are essential for regulatory compliance, enforcement purposes, and for providing evidence of compliance with the TDGR in the event of inspections, audits, or investigations by Transport Canada or other regulatory authorities. They may include documentation such as: Shipping documents (e.g., shipping manifests, bills of lading) Training records for personnel involved in the transportation of dangerous goods Emergency response plans and procedures Inspection and testing records for packaging, containers, and vehicles used to transport dangerous goods Incident reports and records of any accidents, spills, or releases involving dangerous goods This Photo by Unknown Author is licensed under CC BY

32. Transport Canada ▶ All employers and employees involved in the supply chain have a responsibility to exercise due diligence to prevent undeclared or hidden dangerous goods from entering the transportation chain. This duty applies to everyone from manufacturers and shippers to carriers, freight forwarders, and warehouse operators. Due diligence in this context means taking reasonable steps to identify, assess, and mitigate risks associated with the transportation of dangerous goods. It involves implementing appropriate measures, procedures, and controls to ensure compliance with regulations, prevent accidents, and protect the safety of individuals, property, and the environment. This Photo by Unknown Author is licensed under CC BY

33. Due Diligence ▶ Some examples of due diligence practices in the transportation of dangerous goods include: Proper Training: Ensuring that employees receive adequate training and instruction on the safe handling, storage, and transportation of dangerous goods, including how to recognize and respond to undeclared or hidden dangerous goods. Documentation: Maintaining accurate and complete records of shipments, including shipping documents, manifests, and safety data sheets, to facilitate identification and tracking of dangerous goods throughout the supply chain. Inspection and Verification: Conducting thorough inspections and verification checks of shipments to confirm that they comply with regulatory requirements and do not contain undeclared or hidden dangerous goods. This Photo by Unknown Author is licensed under CC BY

34. Due Diligence ▶ Some examples of due diligence practices in the transportation of dangerous goods include: Communication: Establishing clear lines of communication between all parties involved in the supply chain to share relevant information and address any concerns or issues related to the transportation of dangerous goods. Reporting and Investigation: Encouraging employees to report any suspected instances of undeclared or hidden dangerous goods and conducting prompt investigations to determine the root cause and take corrective actions as necessary. By exercising due diligence, employers and employees can help prevent accidents, minimize risks, and ensure compliance with regulations in the transportation of dangerous goods, thereby promoting safety and security throughout the supply chain. This Photo by Unknown Author is licensed under CC BY

35. Metal Strapping ▶ Light metal strapping is not used to separate cargo units and for tying down heavy or awkward items. Light metal strapping, typically made of materials such as aluminum or lightweight steel, is commonly used for bundling and securing lightweight or medium-duty loads in various industries. It offers strength and durability while being lighter and more flexible than heavier-duty strapping materials like steel. This Photo by Unknown Author is licensed under CC BY

36. Metal Strapping ▶ Here are some common uses of light metal strapping: Packaging and Shipping: Light metal strapping is often used in packaging and shipping applications to secure boxes, crates, pallets, and other types of packaging. It helps prevent shifting, tipping, or damage during transportation and handling. Bundling: Light metal strapping is effective for bundling together smaller items or packages, such as bundles of pipes, tubes, or lumber. It provides stability and prevents individual items from shifting or separating during transit. Construction: In the construction industry, light metal strapping is used for securing construction materials, such as lumber, pipes, or building panels, on construction sites or during transportation. It helps keep materials organized and prevents them from moving or becoming damaged. This Photo by Unknown Author is licensed under CC BY

37. Metal Strapping ▶ Here are some common uses of light metal strapping: Manufacturing: Light metal strapping is also utilized in manufacturing facilities for bundling together products, components, or raw materials before shipping or storage. It provides a secure and stable packaging solution for various types of goods. Retail and Warehousing: Retailers and warehouses use light metal strapping for palletizing merchandise, securing loads on shelves or racks, and organizing inventory. It helps maintain orderliness and prevents damage to products during storage and handling. Overall, light metal strapping is versatile and widely used across different industries for bundling, securing, and packaging various types of loads. Its strength, flexibility, and durability make it an effective solution for lightweight or medium-duty applications where a secure and stable strapping material is required. This Photo by Unknown Author is licensed under CC BY

38. Load Master ▶ On a freighter aircraft, while the Load Master plays a crucial role in overseeing the loading and securing of cargo, they typically do not have the final word on which items are loaded onto the plane. Instead, the decision-making process involves collaboration among various stakeholders, including the Load Master, the aircraft captain (pilot-in-command), and potentially other personnel such as ground handlers, dispatchers, and cargo agents. This Photo by Unknown Author is licensed under CC BY

39. Load Master ▶ The responsibilities of the Load Master typically include: Supervising the loading and unloading of cargo to ensure it is done safely and efficiently. Verifying that the weight and balance of the aircraft are within acceptable limits. Ensuring that cargo is properly secured and distributed to maintain the aircraft's stability and center of gravity. Communicating with ground personnel and other crew members to coordinate loading operations. Conducting pre-flight checks to ensure that all cargo-related equipment and systems are in working order. This Photo by Unknown Author is licensed under CC BY

40. Load Master ▶ While the Load Master plays a critical role in the loading process and provides recommendations based on factors such as weight, balance, and safety considerations, the ultimate authority for approving the loading of specific items onto the aircraft typically rests with the aircraft captain. The captain has the final responsibility for the safety of the flight and may make decisions based on a variety of factors, including operational requirements, regulatory compliance, and aircraft limitations. In summary, while the Load Master has significant influence over the loading process on a freighter aircraft, the final decision-making authority ultimately lies with the aircraft captain, who considers input from various sources to ensure the safe and efficient operation of the flight. This Photo by Unknown Author is licensed under CC BY

41. Container ▶ The most common economical container continues to be the cardboard box. This is understandable, as shippers seek efficient but inexpensive and lightweight packaging. The cardboard box remains one of the most common and economical packaging solutions for shipping various goods. There are several reasons why cardboard boxes are popular among shippers: Cost-Effectiveness: Cardboard boxes are relatively inexpensive to produce compared to other packaging materials such as plastic or metal. This makes them a cost-effective option for businesses looking to minimize packaging expenses. Lightweight: Cardboard boxes are lightweight, which helps reduce shipping costs, especially for shipments by air or courier services where weight is a significant factor in determining shipping charges. Versatility: Cardboard boxes come in a wide range of shapes and sizes, making them versatile for packaging various types of goods. They can be customized to fit specific products and can accommodate different shipping requirements. This Photo by Unknown Author is licensed under CC BY

42. Container ▶ The most common economical container continues to be the cardboard box. This is understandable, as shippers seek efficient but inexpensive and lightweight packaging. The cardboard box remains one of the most common and economical packaging solutions for shipping various goods. There are several reasons why cardboard boxes are popular among shippers: Protection: Despite being lightweight, cardboard boxes provide adequate protection for many types of goods during transit. They can be reinforced with additional cushioning materials such as bubble wrap or foam inserts to provide extra protection for fragile items. Recyclability: Cardboard boxes are environmentally friendly and recyclable, making them a sustainable choice for packaging. Many consumers and businesses prioritize eco-friendly packaging options, and cardboard boxes align with these preferences. Branding Opportunities: Cardboard boxes can be easily branded with company logos, product information, or marketing messages. This provides an opportunity for businesses to enhance their brand visibility and communicate with customers during the shipping process. This Photo by Unknown Author is licensed under CC BY

43. Transport Canada ▶ Transport Canada dangerous goods inspectors are responsible for enforcing the Transportation of Dangerous Goods Regulations (TDGR) in Canada. While they do have the authority to inspect and enforce compliance with the regulations, their powers are not equivalent to those of the police, and they do not have the same investigative authority. Transport Canada inspectors have the authority to conduct inspections, audits, and investigations related to the transportation of dangerous goods. They may inspect facilities, vehicles, documentation, and procedures to ensure compliance with the TDGR. Inspectors have the right to request access to premises, review records, interview personnel, and take samples or photographs as necessary to assess compliance. This Photo by Unknown Author is licensed under CC BY

44. Transport Canada ▶ However, Transport Canada inspectors do not have the authority to conduct criminal investigations or enforce laws outside the scope of the TDGR. They do not have the power to make arrests, issue search warrants, or compel individuals to cooperate with investigations in the same way that police officers do. It's important to note that while Transport Canada inspectors have enforcement authority within their jurisdiction, they typically work collaboratively with other regulatory agencies, such as local law enforcement or environmental agencies, when necessary. In cases where suspected breaches of the regulations involve criminal activities or public safety concerns, appropriate authorities may be notified and involved in the investigation. This Photo by Unknown Author is licensed under CC BY

45. International Transportation ▶ In practical terms, an airline will not compensate beyond 22 SDR/kg and an ocean carrier will not compensate beyond 666.67 SDR/package or 2 SDR/kg. In the context of international transportation, compensation for lost or damaged goods is often limited by international conventions and agreements, such as the Montreal Convention for air carriage and the Hague-Visby Rules for sea carriage. These conventions establish standardized limits of liability for carriers in the event of loss, damage, or delay of goods during transportation. For air carriage under the Montreal Convention, the liability limit for lost or damaged goods is set at 22 Special Drawing Rights (SDR) per kilogram, unless a higher value is declared by the shipper and a supplementary charge is paid to the carrier. This Photo by Unknown Author is licensed under CC BY

46. International Transportation ▶ For sea carriage under the Hague-Visby Rules, the liability limit is set at 666.67 SDR per package or unit, or 2 SDR per kilogram of gross weight of the goods, whichever is higher. This means that carriers are generally not liable for compensation beyond these specified limits, unless higher values are declared by the shipper and agreed to by the carrier. These liability limits are intended to provide a degree of predictability and certainty for carriers and shippers regarding potential liabilities in the event of loss or damage during transportation. However, it's important for shippers to consider these limitations when determining their own risk management and insurance strategies, especially for high-value or fragile goods where the standard liability limits may not be sufficient to cover potential losses. This Photo by Unknown Author is licensed under CC BY

47. International Transportation ▶ For international transport of dangerous goods by ocean, you must legally follow the International Marine Organization’s Technical Instructions. Air Transport does not have the follow the International Marine Organization Technical Instruction. The IMDG Code is developed and maintained by the International Maritime Organization (IMO), not the International Marine Organization. The IMDG Code provides detailed guidelines and regulations for the safe transportation of dangerous goods by sea. It covers various aspects of dangerous goods transportation, including classification, packaging, labeling, documentation, and stowage requirements. The Technical Instructions for the Safe Transport of Dangerous Goods by Air (ICAO Technical Instructions) are relevant for air transport, not maritime transport. Therefore, for the transportation of dangerous goods by ocean, compliance with the IMDG Code is legally required to ensure the safe and secure shipment of hazardous materials. This Photo by Unknown Author is licensed under CC BY

48. International Transportation ▶ To limit exposure to loss, all carriers, including NVO operators, function under specific conditions of carriage limiting their maximum liability in case of loss or damage to cargo. The conditions of carriage are often based on international conventions. To limit their liability in case of loss or damage to cargo, carriers, including Non-Vessel Operating Common Carriers (NVOCCs), typically operate under specific conditions of carriage. These conditions establish the terms and limitations of the carrier's liability for the goods being transported. They are often based on international conventions, such as the Hague-Visby Rules for sea carriage and the Montreal Convention for air carriage, which provide standardized frameworks for carriers' liability in international transportation. This Photo by Unknown Author is licensed under CC BY

49. International Transportation ▶ Under these conditions of carriage, carriers usually limit their maximum liability for lost or damaged cargo to a certain amount per unit of weight or per package, unless the shipper declares a higher value for the goods and pays an additional fee for increased liability coverage. These limitations are intended to provide carriers with a degree of predictability and financial security while also enabling shippers to assess and manage their own risks. It's important for shippers to carefully review and understand the conditions of carriage outlined by carriers, including any limitations of liability, when arranging transportation for their goods. In some cases, shippers may choose to purchase additional cargo insurance to supplement the carrier's liability coverage and ensure adequate protection against potential losses or damages during transit. This Photo by Unknown Author is licensed under CC BY

50. International Transportation ▶ The three areas of costing, quoting, and invoicing are vital to the profitable success of the international freight forwarder. Costing, quoting, and invoicing are indeed fundamental aspects of the operations of international freight forwarders, and they play a crucial role in ensuring the profitability and success of their business. Here's why each of these areas is vital: Costing: Costing involves accurately determining the expenses associated with providing freight forwarding services, including transportation, handling, customs clearance, insurance, and other related costs. Understanding the costs involved in each shipment allows freight forwarders to calculate their profit margins effectively and make informed decisions about pricing and service offerings. This Photo by Unknown Author is licensed under CC BY

51. International Transportation ▶ The three areas of costing, quoting, and invoicing are vital to the profitable success of the international freight forwarder. Costing, quoting, and invoicing are indeed fundamental aspects of the operations of international freight forwarders, and they play a crucial role in ensuring the profitability and success of their business. Here's why each of these areas is vital: Quoting: Quoting entails providing customers with estimates of the costs and terms associated with shipping their goods. Freight forwarders must develop competitive pricing strategies based on their costing analysis while also considering market conditions, customer requirements, and service quality. Providing accurate and competitive quotes is essential for attracting and retaining customers and winning business in a competitive marketplace. This Photo by Unknown Author is licensed under CC BY

52. International Transportation ▶ The three areas of costing, quoting, and invoicing are vital to the profitable success of the international freight forwarder. Costing, quoting, and invoicing are indeed fundamental aspects of the operations of international freight forwarders, and they play a crucial role in ensuring the profitability and success of their business. Here's why each of these areas is vital: Invoicing: Invoicing involves generating and issuing invoices to customers for the services provided. Invoices should accurately reflect the agreed-upon terms and pricing outlined in the initial quote and any additional charges incurred during the shipping process. Timely and accurate invoicing is critical for maintaining positive cash flow, managing accounts receivable, and ensuring smooth financial operations. This Photo by Unknown Author is licensed under CC BY

53. International Transportation ▶ Effective management of costing, quoting, and invoicing processes enables freight forwarders to: Maintain profitability by accurately assessing and controlling costs, setting competitive prices, and minimizing financial risks. Attract and retain customers by providing transparent, competitive, and reliable pricing and invoicing practices. Enhance customer satisfaction by delivering accurate quotes, transparent pricing, and timely and accurate invoicing. Streamline operations and improve efficiency by implementing automated systems and processes for costing, quoting, and invoicing. Comply with regulatory requirements and industry standards for pricing, invoicing, and financial reporting. Overall, focusing on these three areas helps international freight forwarders maximize profitability, optimize customer satisfaction, and achieve sustainable business growth in the competitive global logistics industry. This Photo by Unknown Author is licensed under CC BY

54. Navigating the Challenges of Global Shipping

55. Break Time!!!

56. What is Freight Forwarding? Freight forwarding is the planning and coordinating of the movement of commodities across international borders on behalf of shippers.

57. Nature of Business: It is a service- based company.

58. WHO IS FREIGHT FORWARDER? A forwarder does not move the goods but acts as an expert in the logistics network. In simple terms, a freight forwarder is an agent responsible for the movement of goods on behalf of the cargo owner.

59. MODES OF FREIGHT TRANSPORTATION There are four major types of freight transportation available for shippers to use in the world of freight shipping. The primary ones are by Ground (road) Rail Ocean Air Although these are the main categories of freight transportation, each method has their own process that differ from other.

60. WHO IS AN IMPORTER? DISCUSSION QUESTION

61. For customs purpose, the party who makes or on whose behalf agent broker the import declaration and who is the liable payment of duties on the imported goods. IMPORTER Normally this party is named either as the consignee in the shipping documents are the buyer in the exporter invoice.

62. WHO IS AN EXPORTER? DISCUSSION QUESTION

63. EXPORTER For customs purposes the party who makes or on whose behalf agent the export declaration. The exporter sells its goods to someone in another country known as an exporter.

64. Haulage Haulage is the business of transporting goods by road or rail. It includes the horizontal transport of ore, coal, supplies, and waste, also called cartage. The transport of the same which carries is called hoisting.

65. Custom House Agent A Custom House Agent (CHA) is licensed to act as an agent for transaction of any business relating to the entry or departure of the import or export of cargoes at a custom agent. They give commercial license, packing list and certificate of origin. This Photo by Unknown author is licensed under CC BY- SA .

66. Co- load process Co loading term is used in the export and import trade especially in the area freight forwarding where they will transfer cargo from their customers with multiple companies on the same transportation vehicles. It is the consolidation of shipments across multiple companies on the same transportation vehicles. Co-loading is not possible for every type of shipment. In fact, several criteria must align across multiple companies for it to happen. Products need to be compatible; they need to fit on the same truck, and timing should work.

67. WH A T ARE C ON T AINE R S? DISCUSSION QUESTION

68. Containers A shipping container is a container with strength suitable to withstand shipment, storage, and handling. Shipping containers range from large reusable steel boxes used for intermodal shipments to the ubiquitous corrugated boxes. In the context of international shipping trade, "container" or "shipping container" is virtually synonymous with "intermodal freight container" (sometimes informally called a "sea can"), a container designed to be moved from one mode of transport to another without unloading and reloading.

69. WH A T IS CIFFA? Canadian International Freight Forwarders Association ( CIFFA ). support member firms from freight forwarding, customs brokers, drayage, freight brokerage and warehouse operation business sectors.

70. INTRODUCTION In this chapter we will describe the components of global logistics and the parties involved in international trade, Highlight the role of the freight forwarder as an “architect of transportation” solutions. Lastly, you will understand the role of the freight forwarder within a customer’s global supply chain.

71. Why do you think organizations turn to global supply chain strategies and trained freight forwarders to overcome these challenges? DISCUSSION QUESTION

72. Today, organizations turn to global supply chain strategies and trained freight forwarders to overcome these challenges. Competition is fierce. Product life spans are short. Customer expectations are high.

73. DESIGNING GLOBAL SOLUTIONS

74. IMAGINE The journey of each laptop, television, jeans, or handbag component. A freight forwarding company was most likely instrumental in getting the plastic, screws, chips, screens, thread, buckles, zippers or dye to the right place for manufacturing, and the finished product onto the retailer’s shelf. By how many modes of transport did those goods travel? How many borders did those components cross? In the case of the U.S.A. and Canada. This Photo by Unknown author is licensed under CC BY- NC .

75. REGULATORY COMPLIANCE Every country and every mode of transport has a different regulatory environment with which the freight forwarder and the international trader must comply.

76. REGULATORY COMPLIANCE A vital ingredient in successful trading on world markets is compliance with a myriad of statutory measures and regulations. In this area, the freight forwarder's specialized skills and knowledge come to the fore. International traders rely on freight forwarding professionals to ensure their goods move quickly and securely across borders and around the world.

77. All of these aspects of global trade are governed by legislation and regulations. Cargo security Advanced commercial information Export declarations Import Customs clearance

78. REGULATORY COMPLIANCE Someone moving a truck shipment from the U.S.A. to Canada must ensure compliance with the U.S.A.’s export regulations as well as Canada’s import regulations, restrictions and all of the consumer safety and security regulations attached to that commodity.

79. In every international trade transaction, there is an element of risk.

80. Risk management International traders require that their forwarders be in a position to advise and assist them in minimizing the risks that are specifically associated with the movement of goods - loss, damage and delay. Every forwarding organization must offer risk-management expertise, whether in the form of cargo insurance, limitations to liability through trading conditions or legal liability insurance.

81. FINANCE AND PAYMENT An incredibly gratifying aspect of freight forwarding is the facilitation, through consultancy and networking, of the entry of new exporters and importers into the international market. Excellent service leads to prompt settlement for goods purchased and satisfied traders.

82. FIANANCE AND PAYMENT Forwarders are entrusted with goods that are very often dispatched under conditions where buyer and seller are not known to one another. Under these circumstances, the forwarder must scrupulously ensure that all requirements of the door-to- door operation are met - from movement of the goods to proper packaging to the accurate and timely production of documentation. This Photo by Unknown author is licensed under CC BY- SA .

83. Cross- Functional Integration in Global Supply Chains The forwarder is ideally placed to act as the catalyst to maximize the benefit from advances in information technology The role of the forwarder is critical because, in adopting cross- functional integration strategies, companies are outsourcing their non- core activities.

84. Cross- Functional Integration in Global Supply Chains The ability to ensure the efficient and effective door- to- door movement of goods from country to country from the time an order is placed until finished goods are delivered to the final consumer places the freight forwarder in a position to make a unique contribution to the enhancement of value to the activities of exporters and importers. This Photo by Unknown author is licensed under CC BY-SA- NC .

85. Networks, Local Knowledge and CREEEPSS As the poet John Donne wrote, “No man is an island,” which certainly applies to an international freight forwarder. This Photo by Unknown author is licensed under CC BY-SA- NC .

86. Regardless of how a network is structured, its existence is fundamental to freight forwarding. It is impossible for a freight forwarder to work in isolation. The company you work for may be a branch office of a large multi- national organization with operations in every major city in most countries of the world. Your organization may be domiciled in one office in one city in one country - with a network of agency relationships in the key geographies that you serve

87. WH A T IS CREeEPSS? This Photo by Unknown author is licensed under CC BY-SA- NC .

88. WHAT IS CREEEPSS? Culture Religion Education Economics Environment Politics Social Special Characteristics

89. Networks, Local Knowledge and CREEEPSS Without solid representation at origin and destination, how could your organization overcome differences in the CREEEPSS between North America and the rest of the world? Importers and exporters in particular must understand the local conditions in which they are attempting to trade. To develop new markets or sources, it is important that traders have a firm grasp of the local conditions.

90. THE EXPORTER The exporter’s primary function is to sell his/her goods in international markets. The exporter is responsible for these “controllable” aspects of a new market - the selling price, the product development, the distribution and the promotion.

91. THE EXPORTER - 4PL Exporter is heavily involved in creating the right mix of (4Ps) to make the goods competitive in the new marketplace. price, product, place and Promotion

92. Because exports create jobs, bring wealth into a country, and help with the balance of payments, all governments look favourably on exports and assist their exporters.

93. The IMPORTER The primary role of the importer is to find goods and services that are needed or wanted by domestic consumers and industry and bring them to market in good order. Thus, there are three types of importers: Those that provide finished industrial and consumer goods to individuals and to other wholesalers and retailers. Those that provide intermediate (semi- finished) goods required to complete the manufacture of the finished product. Those that provide raw materials used in either semi-finished or finished products.

94. Importers must ensure that the goods they import will suit the domestic market.

95. THE FREIGHT FORWARDER In ocean freight, this can be accomplished by issuing a FIATA multi- modal ocean bill of lading, while an IATA air waybill serves the same purpose for air cargo.

96. THE CUSTOM BROKER

97. THE CUSTOM BROKER

98. EXPORTER'S IMPORTER'S BANKS

99. DOMESTIC TRANSACTION The bank can conduct a credit check on an exporter’s potential customers to ensure that they are financially sound. Unlike a domestic transaction, there are many risks inherent in international transactions that can mean trouble to an exporter and increase the possibility that he won’t get paid. As they negotiate the contract of sale, the importer and the exporter negotiate how and when payment will be made.

100. No international transaction can be complete without the involvement of government.

101. GOVERNMENTS

102. GOVERNMENTS And finally, the government of the importing nation will most assuredly have something to say about the types and quantities of goods that enter its country and the duties and taxes that must be paid, safety and security regulations that must be followed, data collection and delivery laws that must be obeyed.

103. GOVERNMENTS The exporting country's government will have export- reporting requirements that may range from a simple declaration or report to a full- blown export Customs declaration. If the goods travel through a third or fourth country on their journey from seller to buyer, the governments of each of those “transit” countries will have regulations that must be met.

104. An international trade transaction can take place within three steps. 1) Buyer/Importer and Seller/Exporter: Negotiating the Sales Contract 2) Forwarder and Carrier: Moving the Goods and Information 3) Forwarder and Customs Broker: Customs Clearance and Delivery

105. 1) Buyer/Importer and Seller/Exporter: Negotiating the Sales Contract offer, consideration and acceptance The three legal components necessary for any contract - must be present in an international sale between seller and buyer.

106. 2) Forwarder and Carrier: Moving the Goods and Information The forwarder contracts with the primary carrier (ocean, air, truck) for the movement of the goods, on behalf of the shipper. The forwarder may also arrange any local cartage, special loading or crating requirements, consolidation, export declarations, cargo insurance and preparation of transportation documents - which may be required for presentation to a bank, depending on the payment terms negotiated between the buyer and the seller.

107. 2) Forwarder and Carrier: Moving the Goods and Information The exporting freight forwarder may also act on behalf of the importer, arranging transportation and all transactions up to delivery to the importer’s door, including Customs clearance. N Note : In Canada, if you are acting on behalf of more than one importer in matters relating to the CBSA, you or your employer must have a Canadian Customs broker license. You must also have written permission from the importer to act on its behalf. Keeping the importer (and exporter) informed of the progress of the shipment is another key job of the freight forwarder. Whether through use of a global tracking system or efficient use of e- mail, all parties need to be kept informed of goods in transit.

108. 3) Forwarder and Customs Broker: Customs Clearance and Delivery The importing forwarder arranges any deconsolidation and provides the proper documentation needed to account for the goods to local Customs authorities, obtain Customs clearance, and arrange delivery to the final consignee.

109. 3) Forwarder and Customs Broker: Customs Clearance and Delivery Depending on the country of importation, the freight forwarder may perform the duties of the Customs broker or may hand over the documents to another organization/individual that is a licensed Customs broker or that holds a power of attorney from the importer to act as a Customs broker.

110. Sellers and buyers must negotiate two other very important terms. They are:

111. DEFINING THE FREIGHT FORWARDER For many years now, forwarding companies have also been investing heavily in the development of IT solutions, which, combined with expert knowledge workers, have created a global infrastructure to serve this increasingly complex market. Today, a freight forwarding company must certainly invest in knowledgeable employees and information systems and may also have trucks, distribution centers and even aircraft.

112. CSC safety ▶ The CSC (Container Safety Convention) sets forth safety regulations for international shipping containers. These regulations cover various aspects of container design, construction, inspection, and maintenance to ensure the safety of containers during transportation. Do not exceed the maximum payload weight of the container. The maximum payload weight is shown on the CSC safety plate attached to the outside of the doors; it is also shown as tare weight on the outside of the doors. Compliance with CSC safety regulations is essential for ensuring the safe and secure transportation of goods in international trade. By adhering to these standards, shipping companies, freight forwarders, and other stakeholders can help prevent accidents, protect cargo, and promote the efficient functioning of global supply chains. This Photo by Unknown Author is licensed under CC BY

113. CSC safety ▶ Key safety requirements outlined by the CSC include: Structural Integrity: Containers must be structurally sound and capable of withstanding the stresses and forces encountered during handling, stacking, and transportation. Material Standards: Containers must be constructed using approved materials and methods to ensure strength, durability, and resistance to corrosion and other environmental factors. Inspection and Certification: Containers must undergo regular inspections and certification by authorized inspectors to verify compliance with CSC standards and ensure safe operation. Marking and Placarding: Containers must be clearly marked with identifying information, such as the owner's name, container number, maximum gross weight, and other relevant details. Additionally, containers carrying hazardous materials must display appropriate placards and labels to indicate the nature of the cargo. Maintenance and Repair: Containers must be properly maintained and repaired as needed to address any damage, wear, or deterioration that could compromise their safety or integrity. This Photo by Unknown Author is licensed under CC BY

114. Insurance ▶ One common type of liability insurance is against errors and omissions in the execution of a forwarder’s engagement as agent of its customer. In these situations, a forwarder may be liable for breach of his duty to exercise reasonable care. Errors and omissions (E&O) insurance is a type of liability insurance that provides coverage for claims arising from mistakes, negligence, or omissions in the performance of professional services. In the context of freight forwarding, E&O insurance protects the forwarder against claims or lawsuits alleging errors or negligence in the execution of their duties as an agent of their customers. Freight forwarders act as intermediaries between shippers and carriers, coordinating the transportation of goods and handling various logistics tasks on behalf of their clients. While performing these duties, forwarders have a duty to exercise reasonable care and skill to ensure that the services they provide meet the expectations of their clients and are conducted in a professional and competent manner. This Photo by Unknown Author is licensed under CC BY

115. Insurance ▶ However, errors or omissions can occur in the execution of a forwarder's engagement, leading to financial losses, delays, or other damages for their customers. Examples of situations where a forwarder may be liable for breach of duty include: Failure to properly document or declare goods for transportation, leading to customs issues or delays. Incorrectly arranging transportation services, resulting in missed deadlines or delivery errors. Providing inaccurate or incomplete information to clients, leading to financial losses or other damages. E&O insurance helps protect forwarders from the financial consequences of such claims by covering legal expenses, settlements, or judgments arising from lawsuits alleging errors or negligence in the performance of their professional duties. It provides peace of mind for forwarders and their clients, ensuring that they are adequately protected against potential liabilities and risks associated with the transportation and logistics industry. This Photo by Unknown Author is licensed under CC BY

116. CANUTEC ▶ Key functions of CANUTEC include: Emergency Response Assistance: CANUTEC provides 24/7 emergency response assistance to first responders, emergency services, and industry stakeholders in the event of transportation incidents involving hazardous materials. Trained specialists offer expert advice and guidance on handling hazardous materials emergencies, including spill response, containment, and mitigation measures. Hazardous Materials Information: CANUTEC maintains a comprehensive database of hazardous materials information, including safety data sheets (SDS), emergency response guides (ERG), and other relevant technical resources. This information helps emergency responders and industry professionals assess the risks associated with hazardous materials and develop effective response strategies. This Photo by Unknown Author is licensed under CC BY

117. CANUTEC ▶ Key functions of CANUTEC include: Public Outreach and Training: CANUTEC conducts public outreach and awareness initiatives to educate stakeholders about the safe transportation and handling of hazardous materials. This includes providing training workshops, seminars, and educational materials to raise awareness of best practices and regulatory requirements. Coordination and Collaboration: CANUTEC collaborates closely with other government agencies, industry associations, emergency response organizations, and international partners to enhance emergency preparedness and response capabilities for hazardous materials incidents. This includes participating in joint exercises, sharing best practices, and coordinating response efforts during emergencies. This Photo by Unknown Author is licensed under CC BY

118. CANUTEC ▶ Key functions of CANUTEC include: Public Outreach and Training: CANUTEC conducts public outreach and awareness initiatives to educate stakeholders about the safe transportation and handling of hazardous materials. This includes providing training workshops, seminars, and educational materials to raise awareness of best practices and regulatory requirements. Coordination and Collaboration: CANUTEC collaborates closely with other government agencies, industry associations, emergency response organizations, and international partners to enhance emergency preparedness and response capabilities for hazardous materials incidents. This includes participating in joint exercises, sharing best practices, and coordinating response efforts during emergencies. This Photo by Unknown Author is licensed under CC BY

119. Dangerous Goods ▶ The Canadian government, through various regulatory agencies and departments, including Transport Canada NOT BSO, regulates the transportation of dangerous goods to, from, within, and transiting through Canada. One of the key regulations governing the transportation of dangerous goods in Canada is the Transportation of Dangerous Goods Act, 1992 (TDGA) and its associated regulations, the Transportation of Dangerous Goods Regulations (TDGR). The TDGA and TDGR establish comprehensive requirements for the safe handling, shipping, and transportation of dangerous goods by all modes of transport, including road, rail, air, and marine. These regulations cover various aspects of dangerous goods transportation, including classification, packaging, labeling, documentation, training, emergency response, and enforcement. Overall, the Canadian government, through its regulatory framework and enforcement mechanisms, plays a crucial role in ensuring the safe and secure transportation of dangerous goods to, from, within, and transiting through Canada, thereby protecting public safety, health, and the environment. This Photo by Unknown Author is licensed under CC BY

120. Dangerous Goods ▶ Key responsibilities of the government, particularly Transport Canada, in regulating the transportation of dangerous goods include: Development and Enforcement of Regulations: Transport Canada develops and enforces regulations governing the transportation of dangerous goods to ensure compliance with safety standards and mitigate risks to public safety, health, and the environment. Issuance of Permits and Approvals: Transport Canada issues permits and approvals for the transportation of certain types of dangerous goods, such as explosives, radioactive materials, and hazardous wastes, to ensure compliance with regulatory requirements and safeguard public safety. Inspections and Audits: Transport Canada conducts inspections, audits, and compliance assessments to verify that shippers, carriers, and other stakeholders involved in the transportation of dangerous goods comply with regulatory requirements and maintain safety standards. This Photo by Unknown Author is licensed under CC BY

121. Dangerous Goods ▶ Key responsibilities of the government, particularly Transport Canada, in regulating the transportation of dangerous goods include: Training and Education: Transport Canada provides training, guidance, and educational resources to industry stakeholders, emergency responders, and the public to increase awareness of the risks associated with dangerous goods transportation and promote best practices for safe handling and transportation. Emergency Response and Incident Management: Transport Canada coordinates emergency response efforts and collaborates with other government agencies, emergency responders, industry associations, and international partners to effectively manage hazardous materials incidents and mitigate their impacts on public safety and the environment. This Photo by Unknown Author is licensed under CC BY

122. Settlement ▶ In an open account transaction, the exporter ships goods to the importer without requiring payment at the time of shipment. Instead, the exporter sends an invoice to the importer with payment terms specifying when payment is due, such as "net 30 days" or "net 60 days" from the date of invoice. The importer agrees to pay the invoice within the specified timeframe. It does not mean that the exporter has not trust in the importer and that his commercial invoice will not be paid on the agreed terms when chosen. While an open account payment method may imply a certain level of trust between the exporter and importer, it doesn't necessarily mean that the exporter has no trust in the importer or that the commercial invoice won't be paid on the agreed terms. This Photo by Unknown Author is licensed under CC BY

123. Settlement ▶ In an open account transaction, the exporter ships goods to the importer without requiring payment at the time of shipment. Instead, the exporter sends an invoice to the importer with payment terms specifying when payment is due, such as "net 30 days" or "net 60 days" from the date of invoice. The importer agrees to pay the invoice within the specified timeframe. Open account terms are common in international trade and may be used for various reasons, including: Established Relationship: If the exporter and importer have a longstanding and trustworthy business relationship, the exporter may be comfortable extending credit to the importer without requiring payment upfront. Market Conditions: In competitive markets or industries where open account terms are common practice, exporters may offer this payment option to remain competitive and attract customers. Convenience: Open account terms can simplify the payment process for both parties, as they eliminate the need for immediate payment or complicated payment arrangements, such as letters of credit or documentary collections. This Photo by Unknown Author is licensed under CC BY

124. Settlement ▶ An open account situation is possible only when a foreign currency can be freely bought or traded in the importer’s country. While the ability to freely buy or trade foreign currency can facilitate open account transactions, it's not the sole determining factor. Open account transactions can occur in situations where foreign currency exchange is regulated or restricted, although such scenarios may pose additional challenges or risks. In an open account transaction, the exporter ships goods to the importer without requiring payment at the time of shipment. Instead, the exporter extends credit to the importer, who agrees to pay the invoice at a later date, typically within a specified timeframe. This payment arrangement relies on the importer's ability and willingness to make payment in the exporter's currency or in another agreed-upon currency. In countries where foreign currency exchange is freely available or where there are established mechanisms for converting and transferring funds internationally, open account transactions may be more common and straightforward. Importers can readily obtain the necessary foreign currency to settle invoices with exporters, and currency exchange risks are relatively low. This Photo by Unknown Author is licensed under CC BY

125. Settlement ▶ However, in countries where foreign currency exchange is regulated or restricted, importers may face challenges in obtaining foreign currency to pay invoices, particularly if there are limitations on currency conversion, capital controls, or foreign exchange restrictions. In such cases, importers may need to obtain approval from regulatory authorities, use alternative payment methods, or work with financial institutions to facilitate currency conversion and fund transfers. Despite these challenges, open account transactions can still occur in countries with regulated foreign currency exchange, especially if the importer has established banking relationships, access to international banking services, or other means of obtaining foreign currency to fulfill payment obligations. Overall, while the availability of freely traded foreign currency may simplify open account transactions, it's not a strict requirement, and open account arrangements can be facilitated through alternative means even in countries with regulated or restricted foreign exchange regimes. This Photo by Unknown Author is licensed under CC BY

126. Import Control List (ICL) ▶ Canada has a range of goods over which it imposes import controls. These goods are listed in the import control list (ICL). Canada imposes import controls on certain goods to regulate their entry into the country for various reasons, including protecting domestic industries, safeguarding public health and safety, and fulfilling international obligations. These goods are listed in the Import Control List (ICL), which is part of the Customs Tariff. These are just a few examples of the goods listed in the Import Control List (ICL). Importers are required to comply with the relevant import controls and regulations when importing goods into Canada, and failure to do so may result in penalties, fines, or seizure of the goods by Canadian customs authorities. This Photo by Unknown Author is licensed under CC BY

127. Import Control List (ICL) ▶ The Import Control List (ICL) includes various categories of goods that are subject to import controls, such as: Agricultural Products: Certain agricultural commodities, including dairy products, poultry, eggs, and grains, may be subject to import quotas, tariffs, or other restrictions to support domestic producers and maintain market stability. Textiles and Clothing: Canada may impose import quotas, tariffs, or other restrictions on textiles and clothing to manage trade flows and protect domestic textile and apparel industries. Steel and Aluminum: Certain steel and aluminum products may be subject to import quotas, tariffs, or other measures to address issues such as overcapacity, unfair trade practices, or national security concerns. This Photo by Unknown Author is licensed under CC BY

128. The Carriage by Air Act ▶ In Canada, air freight is primarily governed by the Carriage by Air Act (referred to as the Carriage by Air Act, 1932), which implements the rules and regulations established by the Convention for the Unification of Certain Rules for International Carriage by Air, commonly known as the Warsaw Convention. The Carriage by Air Act sets forth the legal framework for international air transportation in Canada and incorporates the provisions of the Warsaw Convention, which establishes liability rules for air carriers in the event of accidents, delays, or other incidents during air carriage. This Photo by Unknown Author is licensed under CC BY

129. The Carriage by Air Act ▶ However, it's important to note that domestic air transportation within Canada may be subject to additional regulations and laws beyond the Carriage by Air Act, including regulations issued by Transport Canada, the federal department responsible for transportation policies and regulations in Canada. These regulations may cover various aspects of air transportation, including safety, security, and operational requirements for air carriers operating within Canada's airspace. So, while the Carriage by Air Act is an important piece of legislation governing international air transportation in Canada, it does not exclusively govern air freight, and other regulations and laws may apply depending on the specific circumstances and nature of the air transportation involved. This Photo by Unknown Author is licensed under CC BY

130. Warehousing ▶ Warehousing has two basic functions: storage and movement. Movement can be further divided into four handling activities: receiving, transfer, order selection, and shipping. By effectively managing both storage and movement functions, warehouses can optimize inventory levels, reduce handling costs, improve order accuracy, and enhance customer service levels. Implementing efficient handling activities, such as receiving, transfer, order selection, and shipping, is essential for maximizing warehouse productivity and throughput while minimizing errors and delays in the supply chain. This Photo by Unknown Author is licensed under CC BY

131. Warehousing ▶ Warehousing has two basic functions: storage and movement. Movement can be further divided into four handling activities: receiving, transfer, order selection, and shipping. By effectively managing both storage and movement functions, warehouses can optimize inventory levels, reduce handling costs, improve order accuracy, and enhance customer service levels. Implementing efficient handling activities, such as receiving, transfer, order selection, and shipping, is essential for maximizing warehouse productivity and throughput while minimizing errors and delays in the supply chain. This Photo by Unknown Author is licensed under CC BY

132. Warehousing ▶ Storage: The storage function of warehousing involves the safe and secure storage of goods or inventory until they are needed for distribution or sale. This includes storing goods in appropriate storage locations within the warehouse, such as shelves, racks, bins, or pallets, based on factors like size, weight, fragility, and accessibility. This Photo by Unknown Author is licensed under CC BY

133. Warehousing ▶ Movement: The movement function of warehousing encompasses various handling activities involved in moving goods within the warehouse or distribution center. These handling activities can be further divided into four main categories: Receiving: Receiving involves accepting incoming shipments of goods from suppliers or manufacturing facilities. This includes unloading trucks or containers, inspecting incoming goods for damage or discrepancies, and recording receipt of goods in inventory management systems. Transfer: Transfer activities involve moving goods between different storage locations within the warehouse to optimize space utilization or facilitate order fulfillment. This may include transferring goods from receiving areas to storage areas, from storage areas to picking areas, or between different storage zones based on inventory levels and demand patterns. Order Selection: Order selection, also known as picking or order picking, involves retrieving specific quantities of goods from storage locations to fulfill customer orders or replenish stock. This process may be performed manually by warehouse personnel or automated using picking technologies such as voice picking, barcode scanning, or automated guided vehicles (AGVs). Shipping: Shipping activities involve preparing goods for outbound shipment to customers or distribution centers. This includes assembling orders, packaging goods in shipping containers, labeling packages with shipping labels or barcodes, and loading shipments onto trucks or carriers for transport. This Photo by Unknown Author is licensed under CC BY