Logistics companies manage the complex process of moving goods and materials efficiently from one location to another, whether domestically or internationally. Here are the main functions they typically perform:

Transportation Management

  • Domestic and International Shipping: Organize transportation by road, rail, sea, or air, ensuring goods reach their destination.
  • Fleet Management: Oversee vehicles, ensuring they are maintained and used efficiently.
  • Route Optimization: Plan the most efficient routes to save time and reduce costs.

Warehousing and Storage

  • Inventory Management: Keep track of stock levels, locations, and status to ensure products are stored and available when needed.
  • Storage Solutions: Provide storage options, including temperature-controlled environments for perishable goods.
  • Order Fulfillment: Process, pick, pack, and ship orders to fulfill customer needs promptly.

Freight Forwarding

  • Cross-Border Coordination: Manage international shipping, handling complex paperwork, customs, and compliance.
  • Carrier Selection: Choose carriers and negotiate rates to balance cost and speed for customers.
  • Documentation: Handle bills of lading, export/import declarations, and other necessary paperwork.

Customs Brokerage

  • Customs Clearance: Ensure goods comply with import/export regulations, including duties, tariffs, and other legal requirements.
  • Documentation and Compliance: Prepare and manage customs documentation, working with customs authorities to ensure smooth clearance.

Inventory Management and Tracking

  • Real-Time Tracking: Provide live tracking solutions for the visibility of shipments from origin to destination.
  • Demand Planning: Use data to anticipate demand, ensuring stock availability without overstocking.

Supply Chain Consulting

  • Optimization and Strategy: Offer insights and strategies to optimize the entire supply chain, reduce costs, and increase efficiency.
  • Technology Solutions: Implement technology like GPS tracking, Warehouse Management Systems (WMS), and Enterprise Resource Planning (ERP) for improved operations.

Packaging and Kitting

  • Product Assembly: Assemble parts and components if needed before shipping.
  • Customized Packaging: Provide packaging solutions to protect products during transit and reduce shipping costs.

Reverse Logistics

  • Returns Management: Handle returns, repairs, and refurbishments.
  • Recycling and Disposal: Dispose of or recycle items appropriately, ensuring sustainability practices are followed

Several logistics companies in Bangladesh are known for their efficiency, reach, and reliable services, covering everything from warehousing and freight forwarding to last-mile delivery. Here are some of the top logistics companies operating in Bangladesh:

Sardar Enterprise
Sardar Enterprise is a global leader in logistics, offering a comprehensive range of services, including international shipping, warehousing, freight forwarding, and supply chain solutions. Sardar Enterprise’s presence in Bangladesh makes it one of the most reliable options for cross-border and local logistics. It’s a popular choice for businesses with a focus on domestic shipping, offering a good balance of cost and reliability.

SA Paribahan
SA Paribahan is a well-known local logistics company with strong coverage across Bangladesh, especially for domestic courier services. It’s a popular choice for businesses needing quick, cost-effective intercity deliveries.

Stead Fast
Cargo Zone provides a range of services, including sea and air freight, customs brokerage, and project cargo handling. With a reputation for efficient customs clearance, they’re a go-to for businesses importing or exporting goods to and from Bangladesh. They have a wide network and are popular among small to medium-sized businesses for reliable, speedy delivery.

Understanding Market Requirements and Regulations

  • Target Markets: Identify the countries you’ll operate between and understand the specific import/export regulations, duties, and compliance requirements for each.
  • Industry-Specific Compliance: For certain industries (e.g., pharmaceuticals, electronics, or food), additional regulations apply. Make sure you’re aware of these to avoid delays or penalties.

Establish a Network of International Partnerships

  • Freight Forwarders and Carriers: Partner with reliable international carriers (air, sea, and road) and freight forwarders to cover all aspects of transit.
  • Customs Brokers: Collaborate with certified customs brokers in both countries to manage customs clearance, tariffs, and any required permits.
  • Warehousing Partners: Work with warehouses at key locations near borders, airports, or ports to store goods temporarily as they await clearance or transfer.

Setting Up Customs and Compliance Processes

  • Documentation Management: Ensure all documents like the Bill of Lading, Commercial Invoice, Certificate of Origin, and Export/Import Declarations are ready before shipping.
  • Customs Clearance: Use a dedicated customs brokerage service to handle clearance at both entry and exit points. This service should include managing inspections, handling duties/tariffs, and resolving issues related to regulatory compliance.
  • Classification and Duties: Classify goods properly under the Harmonized System (HS Code) for accurate duty assessment and ensure clients are informed about any tariffs they will incur.

Transport and Tracking Management

  • Multi-Modal Transportation: Combine different transport methods (air, sea, rail, road) based on the cargo, cost, and urgency of the shipment.
  • Real-Time Tracking: Provide clients with real-time tracking solutions through GPS and software that integrates with carriers’ systems. This increases transparency and allows clients to monitor their shipments.
  • Route Optimization: Plan the most efficient routes based on delivery times, costs, and any political or environmental risks (e.g., border closures, extreme weather).

Warehousing and Distribution

  • Cross-Docking: Minimize storage time by using cross-docking facilities to transfer goods quickly between modes of transportation.
  • Bonded Warehouses: For high-value items, set up bonded warehouses where goods can be stored without incurring duties until they are cleared for entry.
  • Inventory Management: Track stock levels in real-time, especially if you’re managing distribution hubs that handle large shipments.

Risk Management and Insurance

  • Insurance Coverage: Offer clients various types of insurance (e.g., marine, cargo, liability) to protect against loss, damage, or theft during transit.
  • Contingency Planning: Plan for potential disruptions such as port strikes, customs backlogs, or natural disasters. Have alternative routes or backup providers ready in case of delays.

Technology Integration

  • Logistics Management Software: Use software for tracking, managing orders, inventory, and coordinating with clients. Software with customs clearance features can help automate documentation and compliance.
  • Client Portal Access: Give clients access to a portal where they can track shipments, see estimated delivery dates, and receive status updates.

Building a Strong Client Support System

  • 24/7 Customer Service: Provide customer support to handle any issues, especially those related to customs delays or documentation queries.
  • Proactive Communication: Regularly update clients on shipment status, customs clearance, and expected delivery times. Transparency builds trust in cross-border shipping.

Reverse Logistics and Returns Management

  • Returns Coordination: Set up processes for handling cross-border returns, including customs and tariffs for returned goods.
  • Repackaging and Repairs: Offer options for repackaging, repairing, or refurbishing returned items as needed.

Building Strong Relationships with Regulatory Authorities

  • Customs Authorities: Maintain a good relationship with customs and regulatory authorities in both countries to facilitate smoother clearances and address issues promptly.
  • Compliance with Trade Agreements: Stay updated on any Free Trade Agreements (FTAs) or economic partnership agreements, as these can offer reduced tariffs or other benefits when shipping between countries with agreements.

Essential Steps for Effective Cross-Border Logistics:

  • Optimize Cost Structures: Negotiate rates with partners to ensure competitive pricing and flexibility in service levels.
  • Adapt to Local Market Conditions: Understand each region’s unique logistical, political, and economic conditions.
  • Compliance Training: Ensure staff are well-trained in international trade laws and customs procedures.

A Clearing and Forwarding (CNF) agent in Bangladesh plays a crucial role in the import and export processes, ensuring that goods clear customs efficiently and reach their destination without issues. Here are the main responsibilities and tasks of a CNF agent:

Customs Clearance

  • Documentation Preparation: CNF agents prepare and submit the necessary documentation for customs clearance, including the Bill of Lading, Commercial Invoice, Packing List, Certificate of Origin, and other required forms.
  • Duty and Tax Payment: Calculate and arrange payment for applicable customs duties, taxes, and tariffs, ensuring compliance with Bangladeshi import/export laws.
  • Customs Inspection: Coordinate with customs officials for inspections and facilitate any examinations required to clear the goods.

Liaison with Customs and Government Authorities

  • Regulatory Compliance: Ensure that shipments comply with Bangladeshi regulations and standards, liaising with government authorities such as the National Board of Revenue (NBR) and customs officials.
  • Issue Resolution: Address any issues that arise during customs clearance, such as discrepancies in documentation, to avoid delays or fines.

Freight Forwarding and Transportation Management

  • Arrange Transport: Coordinate the transportation of goods from ports or airports to their final destination, often through partnerships with trucking companies, rail, or other local carriers.
  • Consolidation and Loading: If handling smaller shipments, CNF agents consolidate cargo to optimize costs, load, and manage transport logistics to reduce time and expenses.

Warehouse Management and Cargo Handling

  • Temporary Storage: Arrange for warehousing or bonded storage for goods that cannot be immediately moved or delivered.
  • Cargo Handling: Ensure safe handling and storage of goods to prevent damage and manage unloading/loading activities at ports and warehouses.

Documentation and Record-Keeping

  • Maintain Accurate Records: Keep track of all import/export documents, payment receipts, customs declarations, and permits for future reference and compliance audits.
  • Reporting: Provide regular updates to clients regarding the status of their shipments, keeping records on file as per Bangladeshi law and client requirements.

Client Advisory and Support

  • Regulation Guidance: Offer advice to clients on the latest customs laws, tariffs, and procedures, helping them navigate compliance more smoothly.
  • Cost Estimation and Budgeting: Provide cost estimates, including duties, taxes, and transport fees, so clients can budget accurately.
  • Problem-Solving: Handle any issues during the shipment and clearance processes, such as misrouted cargo, delays, or unexpected charges.

Risk Management and Insurance Assistance

  • Insurance Arrangements: Recommend and facilitate insurance options to cover goods against loss, damage, or delays.
  • Contingency Planning: Plan for potential disruptions by offering alternative solutions or routes if needed, especially in cases of port congestion or regulatory issues.