Choosing a shipping company in Mexico is a key to optimizing supply chain
One of the important factors that make a company competitive is related to its logistics operations and the efficiency with which it manages the shipment of their manufactured goods. Therefore, choosing the shipping company that best services its needs is a must.
According to data compiled by the Mexican Ministry of Communications and Transport, 55.5% of the country’s manufactured goods are shipped by ground carriers. In addition to this, 31.6% of products are shipped by ocean freight, while 12.8% of manufactured goods are moved by rail. Airfreight only accounts for 0.1% of goods that are transported from factories to customers.
The cost, operational flexibility and easy access to different destinations and geographical areas are some of the advantages of land transport that have made it the most common modality for the shipment of cargo in and throughout the Mexican Republic. This consideration means that choosing a shipping and logistics company in Mexico is an integral part of maintaining supply chain quality and integrity.
The proximity to the United States and Canada, the main destinations for most Mexican exported goods, is another factor that has resulted in the preponderant use of ground transportation by manufacturers in Mexico. This mode of conveyance has the ability to respond to the needs of different industries, either by adapting vehicles to all types of cargo and volumes or by speeding up transit times over short and medium distances. Choosing a shipping company in Mexico that has the ability to do these things is essential when working to optimize the supply chain.
A checklist of the points to consider when choosing a shipping company in Mexico:
- Prospective service provider review
- Does the shipping company in Mexico offer full transportation service? Full loads as well as LTL?
- What is the experience and size of the potential supplier’s company?
- How many years has the transportation service provider been successfully in business?
- Does the company specialize in certain commodities and shipping methods?
- Is the shipping company in Mexico certified to handle hazardous materials?
- What is the weekly tonnage of goods that the transportation company ships to different cities and countries?
- Does the shipping company in Mexico offer support services such as warehousing, packaging, order fulfillment, and billing?
- What future growth plans does the company have?
- What are the billing options offered by the company?
- Capacities of the shipping company in Mexico
- What services are available globally?
- In which countries is the company strongest?
- Are the international services provided through external agents or through company-owned facilities?
- What are the strengths and weaknesses of the shipping company in Mexico?
- How is price determined?
- Does the company offer a flat rate?
- Are their price reductions based upon volumes shipped?
- Are there any seasonal increases in pricing?
- What are the fuel and storage charges, if any?
- What are the transit times to the required destinations?
- What percentage of deliveries are on-time?
- Are money back guarantees offered?
- Is service available during high seasons, i.e. Christmas?
- Electronic capabilities
- Is the shipping company in Mexico able to connect with banks, customs, and other automated elements of trade transactions?
- Does the company have the capability for executing electronic document transmissions?
- What is the level of company insurance?
- Does the company obtain temporary import bonds?
- Is the packing and handling of cargo protected by the issuance of insurance?
- Does the shipping company in Mexico comply with all hazardous material and other safety regulations?
Successfully choosing the right service provider in Mexico to ship goods enables companies to simplify the export process by eliminating delays caused by third-party transfers. This will result in faster transit times compared to other methods of ground transportation. Working with one firm allows exporters to optimize their supply chains by balancing costs, speed, and improving customer experience.
Therefore, it is always advisable that companies deal with a single trusted shipping partner in Mexico whenever possible. The Tecma Group of Companies can be such a service provider and is ready and available to meet your company’s needs.