Владивосток (423) 251-44-43, 44, 45   Восточный (4236) 665-445, 665-717   Москва (495) 545-02-33   Санкт-Петербург +7-911-777-63-09   Шанхай 86-21-63252917

Orient express: English language
Ориент экспресс: русский язык

Company address:

Vladivostok:

100, Krigina Str.,
Vladivostok, 690065, Russia.
tel: (4232) 51-44-43, 44, 45
fax: (4232) 51-61-85

General: order@orient.vntc.ru
ExRussia: expkat@orient.vntc.ru
Railway: nataly@orient.vntc.ru
Equipment:   fadin@orient.vntc.ru

Vostochny:
Office 106, 17, Vnutriportovaya Str.,
Vrangel, 692941, Russia.
tel: (4236) 665-445, 665-717
fax: (4236) 665-471

Moscow:
Office 8, premises № 4,
5/7, Spartakovskaya Str.,
Khimki, 141402, Russia.
tel: (495) 545-02-33
fax: (495) 545-02-33

orientm@gin.ru Director

inna@orient.vntc.ru

Sales Manager

St. Peterburg:
tel: (812) 495-97-45
fax: (812) 495-97-46

orient-spb@orient.vntc.ru

Shanghai:

Orient Express Shanghai branch
Freight Forwarding Co.
China, ShanghaiRm. 201, Block 1,
Pearl of Wisdom Industrial Park,
No.738 Guangji Rd.
 Zip Code: 200434
Телефоны: +86 21 6167-2318
Mobile+86 15000233530
china@orient.vntc.ru
china2@orient.vntc.ru
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Main concepts of international sale operations

Information for clients

Container specification
Railroad wagons specification
Classes of dangerous cargoes
Main concepts of international sale operations
Incoterms

Shipper: The Shipper is a businessman or seller who dispatches and/or receives lots of cargoes by sea or other mode of transport. The Shipper is the CONSIGNOR if he dispatches cargo and the CONSIGNEE if he receives cargo. In both cases he is considered by the carrier as the CLIENT.
Carrier: The Carrier is a person or company which fulfill or undertake obligations to transport cargoes. The Carrier may be an operator of any mode of transport by possessing a vehicle or leasing it, or may conclude a contract of carriage with a subcontractor. He always acts as a principal by issuing a document of carriage and accepting responsibility for the accepted cargo (probably, with some limitations of his responsibility).
Consolidator: The Consolidator is the agent who groups cargoes of several clients (less-than-container load - LCL) for для container shipment. The international consolidator usuallybooks slots from air or sea carriers at preferential rates in exchange for guarantee for providing the carrier with a certain quantity of cargo. In sea carriages there is practically no difference between the Consolidator and the nonvessel operating common carrier - NVOCC. On the other hand, the Consolidator of air carriages often plays two parts: he may fix its own rates or may act as an agent of airlines.
Customs brokers: In most countries the customs brokers have a license from governmental organizations (as a rule, from the ministry of finance) and are under control of the customs administration. The customs brokers facilitates the execution of documentation for import. They usually know much more of technical requirements for shipment of a lot of goods that foreign forwarders. The brokers make a great influence on importers\' activities. The importer and broker should have close and confidential relations. The brokers render various services. Some of the services is complete service and is direct continuation of activities of a company\'s export-import department. Other ones render only services related to the sending of documents with a very limited knowledge of problems of transportation and distribution. As a rule, consignors should not give much credence to the brokers\' instructions, especially when the case in point is the carriage of goods with high duties. As a rule, the brokers operate from deal to deal guided by MOMENTARY interests. Therefore, they should be given clear instructions demanding to adhere to the standards. Though the broker should have a license this does not guarantee the quality of his services. The licensed broker may employ as many unskilled workers which have no any certificates as he wants. One person may have a license.
Export company: the company acting as a sales and marketing department for those industrial enterprises which cannot perform the functions themselves. The export companiesmay represent interests of different clients, if their products are not in competition in the market. The export company may act on its behalf and on behalf of the manufacturer, depending on the client\'s wish. It may operate for a specified remuneration or commission, or for the difference in price plus commission. Sometimes it purchases goods for resale abroad. Using services of such company gives a number of advantages. Usually they have an established network of foreign contacts and are well familiar with goods and foreignmarkets. There services are the first step in arrangement of sale of goods to abroad for those companies which do not arrange their foreign marketing and logistics. The greatest disadvantage of operation with them is the absence of manufacturers\' control over foreign sales. To meake sure that the export company will always represent the manufacturer\'s interests properly, he should agree with writing his key positions on marketing and services before signing a contract with it. The export company should regularly send reports of its marketing activity. Using the export company\'s services in the event of sale of products required a serious after-sale attention is connected with disadvantages, because its activity is aimed at the sale of products but not at their maintenance.
Export-trading companies: The export-trading company is the organization established to simplify a process of export of goods. Such companies mainly operate in the USA. This may be an intermediary which carries out export processes for manufacturers, or an agency established by manufacturers themselves. They acquire the title to goods more often than the previous type of companies. Though it is deemed that the export-trading company may offer a wider range of services than the export company, in practice, they have few differences. When in 1982 the USA adopted the Law of export-trading companies there were great expectations that this may slow down reduction of export of the USA. The results were disappointing. The export-trading company established by Sears it General Electric failed and this scared other companies which temporized. In spite of the fact that financing of export was supported by the permission for holding banking companies to invest in export-trading companies without traditional limitations, success was very limited. Such failure may be explained that money were spent for the program for support of depressive export, rather than to try to understand peculiarities of international marketing and logistics.
Packaging companies: The company which carries out a sound packaging of cargo for international carriages. The most large and middle companies resolve the problem independently. But this kind of services may be very important to smaller consignors, especially if the goods are fragile or valuable, or climate of the place of destination is an important factor. In carrying out international carriages one should always remember that the goods are moved not only from port to port. They may leave the place of dispatch in the \"belly\" of jet airplane and arrive at the place of destination on the back of camel.
Free zone (FZ): the territory where the imported goods may be within rather long time without payment of customs duties, excise duties and depreciation deductions tax. The FZ provides the cargo owner with freedom in the choice of time for the carrying out of customs formalities. The goods may be manufactured in the free zone without caring of production wastes. The duty is collected only from the sold goods imported after final assembly in the free zone. Other taxes are not collected because the goods owner may write off the goods which do not meet the standard not paying duties for them. The same is applied to shrinkage, evaporation, spraying, damage and other losses. The customs valuation and classification of the goods may be made at the manufacturer\'s desire either in coming to the free zone or in market introduction. The duty is paid only in release of the goods to the customs territory. The time of storage is unlimited. Not sustaining additional customs expenses the operator may store, sell, exhibit, liquidate, replace a package, assemble, sort, reject, clear, mix with foreign and domestic goods, eliminate, mark and manufacture within the free zone.
Forwarder: The international forwarders act as agent in carriage of goods of consignors/merchants to the place of destination abroad. The forwarders must well know the rules and legislations of foreign countries in respect to import, methods of carriages, export regulations and all documentation related to international trade. Prior the carriage the forwarder should discuss with the consignor the cost of carriage, port services, consular fees, payment for execution of documentation, cost of insurance and processing of cargoes carried out by himself - all the things that appear in the final price fixed by the consignor for his consumer. That\'s why a close interaction with the forwarder is very important because of the aspects should be taken into account. During dispatch the forwarder should study a letter of credit, all commercial invoices, packing lists etc. The forwarder of sea and air transport usually charters a place from the carrier. At the place of destination the carrier may act as customs broker ensuring that export documentation is in full compliance with the customs rules of this country. The forwarder sends all documentation to the consignor or paying bank (at the consignor\'s option). Forwarding companies may be large multinational diversifiedenterprises or small operators which use a table and telephone only. Sometimes small companies cannot provide the client with prompt dispatch. On the other hand, the large forwarding company cannot always give due attention to every small consignor. All the peculiarities should be taken into account when choosing a forwarder.
Multimodal transport operator (MTO): The multimodal transport operator concludes a contract with the cargo owner on his behalf, is a principal and is responsible for the whole transport operation which is specified in the contract of carriage. The MTO is the CARRIER because he directly undertakes to carry out the international multimodal carriage and secure its performance by other carrier (or carriers) and accepts responsibility for any damage to or loss of cargo in transit. There are several types of the MTO. The may be classed into the vessel operating multimodal transport operators and non-vessel operating multimodal transport operators .
Vessel Operating Multimodal Transport Operators (VO-MTO) : Traditionally shipwoners limited themselves to carriage of cargo from port to port and their responsibility for cargo limited to the time of stay of cargo on board. At present, their services are applied to transportation of cargo by land or even by air. Such combination of modes of transport characterizes the work of the vessel operating multimodal operators. They may be owners of other modes of transport: motor, railway or air transport but may be not such.In the latter case they conclude contracts with carriers of the modes of transport. In addition to contracts with subcontractors which represent any transport they usually conclude contracts with stevedoring and warehousing companies, and with other auxiliary companies. Of all MTO, the vessel operating multimodal transport operators are the largestif the operators\' fixed assets are considered as a measure of value.
Non-vessel operating common carriers - NVO-MTO: : In addition to sea carriers there are other transport operators which maydeliver cargoes \"door-to-door\", in so doing they use more than one mode of transport. In addition to concluding a sublease contract with internal and air carriers they may also sign a contract with sea carriers, i.e. they do not possess or operate vessels which carry out sea carriage, that\'s why they are called Non-vessel operating MTO - \"NVO-MTO\" or \"Non-vessel operating common carriers - NVOCC\".
The companies issue their own transport documents and they accept the carrier\'s responsibility. They publish their own tariffs for carriage but do not operate vessels. They charter slots by wholesale from sea liner carriers (and other kinds of carriers), and then they sell them to cargo owners by retail and earn in difference between the prices. For small-lot shipments they may consolidate cargoes in order to secure lower tariffs for such shipments than those which may be received directly from the carrier. Using the services of such companies small cargo owners may receive preferential tariffs for transportation which world not be obtained by them if they act independently. The non-vessel operating multimodal transport operators often are in possession of one mode of transport only, for example, a freight car, and rarely - of airplanes and railways. However, it should be noted that in the most cases such vehicles are their ownership only on one end of the route.
One more type of operators are the operators which do not own any mode of transport. This category includes forwarders, customs brokers and, even rarely, operators of warehouse spaces or stevedoring companies when they issue their own transport documents and accept the carrier\'s responsibility for cargo (i.e. they are principals). Such operators should conclude contracts with all modes of transport. As far as they do not own vessels they are also considered as non-vessel operating multimodal transport operators. Some leading forwarders have the same turnover as the largest vessel operating multimodal transport operators, however not all their activities fall into the definition \"multimodal transport\".
One more type of operators which is very similar to the previous one - the companies formed with the only goal - to provide services of multimodal transport. As far as they do not own vessels they are also called as non-vessel operating multimodal transport operators.
This type of operators may be competitive in the future with the prevailing position of the vessel operating multimodal transport operators and provide developing countries and countries with the economy in transition with great possibilities of participation in multimodal transport. Without resort to investments in various modes of vehicles (probably, except those which are used for carriage at short distances) they may at any instant choose an economical and efficient mode of transport or combination of various modes of transport meeting the consumers\' needs. Thus, this type of operators fully focuses on requirements of its clients. Such activity requires efficient organization and reliable partners for cooperation in doing this work. Such operators should control a considerable volume of cargo in order to conclude contracts on competitive conditions with sea, motor, railway or air transport as well as with warehousing and stevedoring companies. Without considerable volumes of cargo they cannot regularly provide carriages on competitive conditions. Not having such volumessuch operators in the most cases cannot attain the goal quicker than the vessel operating multimodal transport operators or other types of operators.
Board of Consignors: These national organizations are usually established by users of transport services or \"cargo owners\". Their role and sphere of activities may considerably differ in different countries, but they all are united with the idea of making an effective and adequate transport market. The term \"the board of consignors\" is mainly referred to organizations dealing with international sea carriages, though some boards pay much more attention to land and air carriages. The basic goal of the board of consignors is to unite consignors in the interests of strengthening of their position in negotiations in order to get adequate and efficient services at minimum prices. Other purpose is to provide shipowners, governmental organizations and port management with a possibility to make contacts with consignors and know their point of view on various issues from an authoritative source.
Customs warehouse: This is a warehouse space in the customs charge. The cargo owner may not be engaged in production in the warehouse territory, and may not sort, mark, repair or write off the goods. The customs valuation and classification of cargo are required as soon as the cargo arrives at the customs warehouse. Duties should be paid immediately after the cargo is released for sale. The customs rules operate in full. All foreign goods fall within the jurisdiction of other authorities but not only the customs administration. The goods may be kept at the warehouse within a limited period of time. The goods intended for internal consumption are permitted to be stored, cleaned and re-packed. In some cases, cargo may be sorted under control of the customs and at the expense of the owner.