Frequenly Asked Questions
Have Questions about Freight Fowarding, logistics and Compliance Services? We have answers!, Here are some common responses that may be helpful.
Regulations related to rules and provisions regarding the conduct of export-import activities in Indonesia and the USA.
If you want to know anything asked us.
Logistic Services
What is the difference between FCL and LCL?
FCL (Full Container Load) means you exclusively use an entire container for your shipment, ideal for larger cargo volumes (typically >15-20 CBM). Conversely, LCL (Less than Container Load) is for smaller shipments where you share container space with other shippers; you only pay for the volume you use. FCL offers faster transit and better security for valuable goods, while LCL is more cost-effective for smaller, less time-sensitive cargo
How do I choose between air freight and sea freight?
This choice depends on your budget and timeline. Air freight is much faster (1–7 days) and more reliable, but it’s 3–5 times more expensive. Sea freight is slower (20–45 days) and faces more transit risks but is much cheaper, making it the best choice for large-volume shipments. Generally, if your cargo weighs less than 500 kg and is of high value, air freight is recommended; otherwise, sea freight is more economical.
What is a Bill of Lading (B/L) and why is it important?
A Bill of Lading (B/L) is the most critical document in sea freight. It serves three essential functions:
- A receipt confirming the carrier has received your goods
- Evidence of the contract of carriage,
- A document of title, meaning the person holding the original B/L owns the goods.
This is why we never release the original B/L to a buyer before receiving full payment, as it protects your ownership.
What are Incoterms and which ones are most common?
Incoterms (International Commercial Terms) are a set of rules that clearly define the obligations, costs, and risks between buyers and sellers in international trade. The most common ones are:
- EXW (Ex Works): Buyer takes full responsibility from the seller’s doorstep.
- FOB (Free On Board): Seller delivers goods onto the vessel, after which all risk and cost transfer to the buyer.
- CIF (Cost, Insurance and Freight): Seller pays for freight and insurance to the destination port, but the risk transfers once the goods are on the ship.
- DDP (Delivered Duty Paid): Seller assumes all responsibility and costs, including customs duties, until the goods reach the buyer’s premises
What are the key differences between CIF and FOB?
In CIF (Cost, Insurance and Freight) terms, the seller is responsible for arranging and paying for the main carriage (sea freight) and insurance, up to the named destination port. Under FOB (Free On Board) terms, the seller only covers costs to load the goods onto the vessel at the port of origin, and the buyer is responsible for the freight and insurance from that point onward. FOB is often recommended for exporters as it gives them more control over local logistics providers.
What’s the difference between a Waybill and a Bill of Lading?
An Air Waybill (AWB) is a non-negotiable transport document for air cargo that serves as a receipt but does not represent ownership of the goods. A Bill of Lading (B/L), primarily for sea freight, is a negotiable document of title—meaning it legally proves who owns the goods. This makes the B/L a crucial tool for controlling payment in international transactions.
Freight Fowarding
What exactly is a freight forwarder?
A freight forwarder is a logistics partner that organizes the entire shipping process on behalf of importers and exporters. As your freight broker and manager, we act as the central point of contact to book cargo space on ships or planes, arrange local trucking, prepare and process critical customs documentation, and consolidate smaller shipments to get you better rates, all without owning the ships or planes ourselves.
What services do you provide as a freight forwarder?
This choice depends on your budget and timeline. Air freight is much faster (1–7 days) and more reliable, but it’s 3–5 times more expensive. Sea freight is slower (20–45 days) and faces more transit risks but is much cheaper, making it the best choice for large-volume shipments. Generally, if your cargo weighs less than 500 kg and is of high value, air freight is recommended; otherwise, sea freight is more economical.
How do you ensure my shipment is safe and my cargo is secure?
Your trust is our priority. We operate with a commitment to transparency and proactive communication. You will receive regular tracking updates, and we will inform you immediately of any issues. We partner only with vetted, reliable carriers and warehouse operators. Furthermore, we always offer cargo insurance and clearly explain our claim handling procedure, ensuring you are protected every step of the way.
Can you ship oversized or special cargo like heavy machinery?
Yes, this is a core service. We have extensive experience handling Out of Gauge (OOG) cargo, which includes items too large for standard containers. We also manage heavy machinery, breakbulk (non-containerized) cargo, and temperature-controlled goods. We will work with you to create a specific logistics plan, select the right vessel and equipment, and manage all necessary permits and procedures.
Why should I use your services instead of contacting a carrier directly?
As an independent freight broker, we are not tied to any single shipping line, airline, or trucking company. This means we can shop the global market for you, leveraging our volume and relationships to secure the most competitive rates and available space. We also take the complexity out of logistics by managing all documentation, coordination, and problem-solving, allowing you to focus on your core business.
Legal & Compliance
What is SIUJPT and do you have it?
SIUJPT (Surat Izin Usaha Jasa Pengurusan Transportasi) is a mandatory operating license for freight forwarders in Indonesia. It certifies that a company has met the legal, financial, and technical standards required to handle transportation services professionally. As we are in the process of establishing our formal branch office in Indonesia, obtaining this license is a key priority to ensure full legal compliance for our local operations.
What are the key regulations for exporting agricultural commodities from Indonesia?
Exporting agricultural products from Indonesia is subject to various regulations. For example, new rules under Permendag No. 8 and 9 of 2025 have been enacted to balance export growth with natural resource protection. Additionally, a Phytosanitary Certificate from the Indonesian Quarantine Authority is mandatory for most plant-based products like coffee, spices, and wood. This certificate must be issued no more than 21 days after inspection, and the shipment must depart within 21 days of the certificate’s issuance. We can help you navigate these compliance and certification requirements.
What is a Phytosanitary Certificate and who needs it?
A Phytosanitary Certificate is an official document issued by the national plant protection organization (in Indonesia, the Quarantine Authority) that certifies a shipment of plants, agricultural products, or their derivatives meets the importing country’s health standards and is free from regulated pests and diseases. This is a mandatory document for exports of coffee beans, spices, wood products, and other agricultural commodities. We can assist you in securing this from the relevant authorities via Indonesia’s IQFAST system.
What are the requirements for exporting food products to the USA?
For food and agricultural exports to the United States, importers must comply with the Foreign Supplier Verification Program (FSVP). Under this FDA regulation, the U.S.-based importer is legally responsible for verifying that their foreign suppliers meet U.S. food safety standards. As your freight forwarder, we can help you collect and provide the necessary documentation to your U.S. buyer to satisfy their FSVP compliance obligations.
What are Indonesia’s new “Prior Notice” rules for imports?
To streamline and secure imports, Indonesian authorities now require “Prior Notice” for certain agricultural shipments. As clarified by USDA Indonesia, these notifications must be submitted before the vessel departs the foreign port. Additionally, there are strict timelines for Phytosanitary Certificates, which must be issued within 21 days of inspection, and the shipment must depart within 21 days of the certificate’s issuance. We keep up-to-date with these dynamic regulations to ensure your imports comply and are not delayed.
Key Terms Glossary
Bill of Lading (B/L)
Contract of carriage and proof of ownership for sea freight. Essential for payment control.
Demurrage
Fees charged by ports for holding a container beyond the free time period (usually 3‑7 days).
Detention
Fees charged for keeping a container outside the port beyond the allowed free days.
PPJK
Licensed customs broker in Indonesia authorized to submit import/export declarations to Indonesian Customs (Bea Cukai).
NIB (Nomor Induk Berusaha)
Business identification number issued by Indonesia’s OSS system, serving as your API (Importer/Exporter Identification Number).