In entrepot trade, the shipper on the bill of lading is usually a company engaged in entrepot trade in the transit country, such as Zhongshitong. The reason lies in the operation mode of entrepot trade. Although the goods are produced by the supplier in the producing country, they are repackaged, relabeled and other operations are completed in the transit country before being shipped to the destination country. From the perspective of logistics and trade processes, the entrepot company in the transit country becomes the actual shipper. Doing so can better protect commercial information, prevent the customers in the destination country from directly contacting the supplier in the producing country, and reduce the risk of customer loss. At the same time, the company in the transit country can also control the transportation and delivery links of the goods, have a better understanding of the status of the goods, and facilitate the handling of various problems during transportation. In addition, from the perspective of trade settlement, the company in the transit country participates in the trade, and writing it as the shipper on the bill of lading is conducive to the development of the settlement process.
However, if the parties involved in the trade have special agreements, for example, if the supplier in the producing country has direct communication with the customer in the destination country and they have agreed that the supplier will be the shipper, then it may also be the supplier in the producing country. But this situation requires prior negotiation among the parties and clear specification in the contract.
Professional consultant answers
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
In entrepot trade, the shipper on the bill of lading is usually a company engaged in entrepot trade in the transit country, such as Zhongshitong. The reason lies in the operation mode of entrepot trade. Although the goods are produced by the supplier in the producing country, they are repackaged, relabeled and other operations are completed in the transit country before being shipped to the destination country. From the perspective of logistics and trade processes, the entrepot company in the transit country becomes the actual shipper. Doing so can better protect commercial information, prevent the customers in the destination country from directly contacting the supplier in the producing country, and reduce the risk of customer loss. At the same time, the company in the transit country can also control the transportation and delivery links of the goods, have a better understanding of the status of the goods, and facilitate the handling of various problems during transportation. In addition, from the perspective of trade settlement, the company in the transit country participates in the trade, and writing it as the shipper on the bill of lading is conducive to the development of the settlement process.
However, if the parties involved in the trade have special agreements, for example, if the supplier in the producing country has direct communication with the customer in the destination country and they have agreed that the supplier will be the shipper, then it may also be the supplier in the producing country. But this situation requires prior negotiation among the parties and clear specification in the contract.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
Generally speaking, the enterprise responsible for the entrepot operations in the transit country will be the shipper, which can ensure that the trade process is relatively smooth and it is also convenient to handle the problems that occur during transportation.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
Sometimes, according to the agreement in the trade contract, the shipper may also be the supplier in the producing country, as long as all parties agree and there are no problems in the trade process.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
If agency operations are involved in entrepot trade, the agency may also become the shipper on the bill of lading, which depends on the specific agency agreement.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
In some special cases, a third party may be designated as the shipper on the bill of lading, but this situation is relatively rare and requires detailed communication and confirmation among all parties.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
The shipper on the bill of lading mainly depends on the main body that conducts entrepot trade operations in the transit country, because they have more control over the subsequent transportation and trade connection.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
If the supplier in the producing country and the customer in the destination country reach a special agreement, it is also possible for the supplier in the producing country to become the shipper.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
In entrepot trade, the shipper on the bill of lading will generally be the company responsible for handling the entrepot in the transit country according to the conventional operation, unless there are special arrangements.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
From the perspective of trade customs, most of the time, the party involved in entrepot trade in the transit country will be the shipper on the bill of lading, which is convenient for the promotion of the entire trade.