Trending Now

Chinese E-Retailers Drive Surge in Air Cargo Prices to the U.S

New Articles

How Better Route Planning Reduces Risk When Transporting Perishable Goods

perishable goods
Global Logistics, Global Trade Daily

How Better Route Planning Reduces Risk When Transporting Perishable Goods

Leave a comment

Introduction

The logistics and transportation industry plays a crucial role in the global supply chain, especially when it comes to transporting perishable goods. Whether it’s fresh produce, pharmaceuticals, or dairy products, ensuring these items reach their destination in optimal condition is a top priority. One key element in achieving this goal is efficient route planning. This article will explore the significance of better route planning and how it can reduce the risks associated with transporting perishable goods. 

4 key Challenges to Perishable Goods Transportation 

Transporting perishable goods comes with many challenges. These products have a limited shelf life and may require specific temperature and humidity conditions to prevent spoilage. 

Temperature Control

Perishable goods like food and pharmaceuticals often require strict temperature control to maintain their quality. Deviations can lead to spoilage, compromising quality and safety and rendering the goods unsellable. Modern temperature-controlled trucks can help but even they can encounter challenges such as being stuck in prolonged traffic. 

Time Sensitivity

Many perishable products like fruits and vegetables have short expiration periods. They cannot be stored indefinitely. Delays during transportation can result in financial losses due to product deterioration. Goods with a shorter shelf life are even more vulnerable to the impacts of delays and therefore route planning becomes an absolute necessity. 

Regulatory Compliance

Various regulations govern the transportation of perishable goods, especially for food and pharmaceutical products. Non-compliance can lead to legal consequences. These standards can vary based on the country and effective route planning must incorporate these regulations to ensure legal compliance. 

Complex Supply Chain

Supply chains are becoming increasingly complex and perishable goods are often passing through multiple handling points – from the producer to the product labeling manufacturer. This complex and lengthy process can increase the risk of damage or temperature deviations.

The Role of Route Planning

Effective route planning is a critical component in addressing these challenges. It goes beyond merely mapping the shortest distance between two points. Here’s how it can significantly reduce the risks associated with transporting perishable goods:

Optimized Temperature Control

Route planning software can factor in the need for temperature-controlled vehicles and recommend routes that minimize exposure to extreme temperatures. This ensures that the goods remain within the required temperature range throughout the journey.

Reduced Transit Time: 

Efficient route planning helps in selecting the quickest and most direct routes, reducing the time perishable goods spend in transit. This minimizes the risk of spoilage due to extended travel times.

Real-time Monitoring: 

Advanced route planning solutions can come with real-time monitoring capabilities. This allows logistics professionals to track the temperature and condition of goods during transportation, making it easier to address any deviations promptly.

Compliance Management: 

Route planning software can incorporate regulatory requirements into the planning process, ensuring that the selected routes and transportation methods comply with relevant laws and standards.

Minimized Handling: 

By selecting routes with fewer handling points, route planning can help reduce the risk of damage or temperature fluctuations that can occur during loading and unloading processes.

Cost Efficiency: 

Efficient routes not only reduce the risk of spoilage but also lower fuel and transportation costs, contributing to the overall profitability of the operation.

Implementing Effective Route Planning 

Incorporating these considerations into your route planning isn’t an easy task. However, some strategies can significantly help this complex process.

Tools of the Trade

Investing in advanced GPS systems and route optimization software can pay significant dividends. These tools utilize complex algorithms to calculate the most efficient route, factoring in real-time data such as traffic conditions, road closures, and even weather forecasts.

Load and Unload Smarter, Not Harder

The time spent in loading and unloading is often underestimated when planning routes, which can be a costly oversight. Incorporating the loading and unloading times in the planning process improves the accuracy of your estimated time of arrival (ETA) at each stop, thereby increasing overall efficiency.

The Importance of Flexibility

Route planning is not a set-it-and-forget-it task. It requires constant monitoring and adaptability. Real-time tracking tools allow you to reroute your vehicles in case of unexpected delays, reducing idle time and the risk of spoilage. In a fast-paced environment, the ability to adapt is invaluable.

Navigating the Regulatory Landscape

Ignoring the regulatory aspects can cost you dearly, both in terms of fines and reputation.

In-Depth Analysis: Route planning software that incorporates regulatory constraints can ensure that you are always compliant, without having to manually check each time.

Leveraging Technology for Precision

From telematics to real-time temperature monitoring, technology can act as your co-pilot in route planning. Implementing these technologies means you’re not just reacting to issues, but pre-empting them. This proactive approach can be the difference between a successful delivery and a failed one.

Advanced Technologies Revolutionizing Perishable Goods Transport

In recent years, advanced technologies have emerged as game-changers in the transportation of perishable goods. These innovations are further enhancing the effectiveness of route planning and risk reduction. Let’s explore some of these cutting-edge technologies:

IoT (Internet of Things) Sensors: 

IoT sensors are now being integrated into transportation vehicles and containers to provide real-time data on temperature, humidity, and other environmental conditions. These sensors transmit data to central monitoring systems, allowing logistics professionals to track and adjust conditions in real-time. If there’s a temperature deviation or any environmental anomaly, immediate corrective action can be taken to prevent spoilage.

Machine Learning and Predictive Analytics: 

Machine learning algorithms are being employed to analyse historical transportation data and weather patterns. By doing so, they can predict potential disruptions in advance. For example, if a storm is forecasted along a planned route, the system can suggest alternative routes to avoid delays and temperature fluctuations.

Blockchain Technology: 

Blockchain is revolutionizing the transparency and traceability of perishable goods throughout the supply chain. Each step of the transportation process, including temperature records and handling procedures, can be recorded on an immutable blockchain ledger. This not only ensures compliance but also allows all stakeholders to access a transparent record of the product’s journey, reducing the risk of disputes and fraud.

Route Optimization Algorithms: 

Route planning software is becoming increasingly sophisticated with the use of advanced optimization algorithms. These algorithms take into account not only the shortest distance but also factors like traffic conditions, road quality, and even the location of refrigerated storage facilities along the route. This results in more accurate and risk-reducing route recommendations.

Cold Chain Monitoring Platforms: 

Dedicated cold chain monitoring platforms provide a centralized hub for managing the transportation of perishable goods. These platforms integrate data from IoT sensors, route planning software, and other sources to offer a comprehensive view of the entire transportation process. Operators can set alerts and receive notifications if any conditions deviate from the prescribed parameters, allowing for immediate action.

The Human Element in Route Planning

In addition to advanced technologies, it is important to highlight the role of skilled professionals in route planning. Human expertise can complement the technology by making judgment calls in complex situations, such as unexpected road closures or extreme weather events. Effective communication and collaboration among logistics teams are crucial in adapting to dynamic challenges, ensuring that perishable goods reach their destinations safely.

Environmental Considerations

As sustainability becomes a top priority across industries, it is important to mention that route planning can also contribute to reducing the carbon footprint of perishable goods transportation. 

Optimal route planning can: 

  • Minimize fuel consumption and emissions, aligning with global efforts to combat climate change
  • Incorporate eco-friendly route options, considering factors like lower traffic congestion and reduced idling time, which ultimately benefits both the environment and the bottom line.

Wrapping it Up

Transporting perishable goods involves inherent risks, but these risks can be mitigated through better route planning. By leveraging technology and data-driven decision-making, logistics professionals can optimise routes, ensure compliance with regulations, and minimise the time perishable goods spend in transit. The result is not only reduced risk but also improved product quality, customer satisfaction, and overall operational efficiency. In an industry where every moment counts, better route planning is the key to success when transporting perishable goods.

 

gen Z business
Global Trade Daily

A Leap of Faith: Moving to a New City for Business Opportunities

Leave a comment

Introduction

Moving to a new city is a significant life event that brings a mix of excitement and uncertainty. When this transition is driven by business opportunities, it opens up a world of possibilities. Relocating for business can be a game-changer, offering the chance to expand your horizons, grow your career, and explore new markets. In this article, we’ll explore the challenges and rewards of moving to a new city for business and provide insights to help you navigate this exciting journey.

Research and Preparation

Before packing your bags, thorough research is essential. Start by researching the new city’s economic landscape, business climate, and industry opportunities. Understand the local market, competition, and potential clients or partners. Identify the cost of living, housing options, and the overall quality of life in your destination. This groundwork will help you make informed decisions about your move.

Networking and Relationship Building

Networking is a cornerstone of success in any new venture, and moving to a new city is no exception. Reach out to local business associations, chambers of commerce, and industry groups. Attend networking events and engage in online communities related to your field. Building a network of contacts and mentors can help you navigate the local business scene, access resources, and discover opportunities you might otherwise miss.

Establishing Legal and Financial Foundations

Setting up your business in a new city requires legal and financial considerations. Familiarize yourself with the local regulations, permits, and licenses needed to operate. Consult with legal and financial professionals who are familiar with the city’s laws and tax requirements. Ensure you have a clear understanding of the financial implications of your move, including any relocation expenses, taxation, and funding options.

Adapting to Local Culture

Every city has its unique culture and business etiquette. It’s essential to adapt to the local customs and values. Take the time to understand the local culture and norms, and respect them in your business dealings. Building relationships based on mutual respect and understanding will enhance your reputation and open doors to new opportunities.

Embrace Change and Be Resilient

Moving to a new city for business is not without its challenges, and this includes the logistical aspects of relocating your physical assets and office space. You may encounter setbacks in coordinating with a moving company, face unexpected hurdles related to transporting equipment, or experience moments of doubt about the logistics of the move. It’s crucial to embrace change, stay resilient, and maintain a positive attitude, not only in your business strategy but also in managing the practical aspects of the move. Remember that challenges, whether they involve the moving company’s scheduling or navigating the intricacies of a new location, are opportunities in disguise, and every obstacle you overcome will make you more resilient and resourceful.

Stay Connected with Your Roots

While embracing your new city, don’t forget your roots. Stay connected with your home base, whether it’s through remote work, maintaining relationships with existing clients, or periodically visiting your original location. Balancing your connection to your old and new environments can help you maintain stability and continuity in your business.

Conclusion

Moving to a new city for business is a bold step that can lead to tremendous growth and success. It’s a journey filled with opportunities to learn, adapt, and thrive. By conducting thorough research, building a strong network, understanding local regulations, and staying resilient in the face of challenges, you can navigate this transition successfully. Embrace the adventure, and remember that the path to success often leads through uncharted territory.

 

energy
Global Trade Daily

The Future of Energy Investing: Where to Invest in 2023 and Beyond

Leave a comment

Let’s make this clear right from the outset: The future of energy investing is in renewable, clean, and green energy. Renewable energy is projected to grow steadily over the next 3 decades, accounting for at least 50% of global energy production/consumption by 2050. Solar power, in particular, will be big over the coming years according to the US Energy Information Administration.

Shifting from the dirty fossil fuels that dominate today’s energy market to a renewable energy future will require a huge investment. Top energy companies around the world have already taken note of this and are putting their money into clean energy. Shell, for example, has pumped more than $2 billion into renewable energy over the last 5 years. A recent study by Octopus, an alternative-investment manager, shows that pension funds and other institutional investors are betting on renewables as the best investment route to go. These institutional investors are projected to invest in excess of $700 billion in renewables over the next decade.

Why invest in clean energy? Because it is ethical and lucrative. You will be helping the world combat the negative effects of climate change and at the same time enjoying a solid return on investment (ROI). Here are 3 lucrative and ethical clean energy investment routes you can take in 2023 and beyond:

1.  LNG

Liquefied natural gas (LNG) is touted by many energy experts as the transition fuel that will bridge the gap between dirty fossil fuels and clean, renewable energy. It’s easy to see why LNG is the perfect transition fuel. First, there are massive reserves of natural gas around the world. Each continent has enough natural gas to last more than 100 years at current rates of production. Secondly, LNG is the cleanest fossil fuel available today. Compared to other energy sources such as diesel, oil, and coal, LNG has negligible greenhouse gases, soot, and particulate emissions. It is, indeed, ethical to invest in LNG.

Besides being an ethical investment, LNG is also quite lucrative considering that its market has full support from governments around the world. Governments are committed to the long-term viability of a sustainable and responsible energy sector, and LNG promotion and adoption are right at the heart of that commitment. Investing in the LNG sector gives you access to incentives, international market insights, subsidies, and other valuable resources from governments.

Investing in LNG presents you with endless business opportunities throughout the natural gas value chain. These opportunities include upstream exploration, natural gas liquefaction at the source, shipping, regasification, pipeline infrastructure, LNG terminals, and city gas distribution (CGD) networks. You can put your money anywhere within that value chain and make a decent ROI. The LNG sector also presents you with a chance to have a positive impact on local communities, especially the underserved, unserved, and the forgotten. You get to provide employment opportunities to local communities, on top of providing them with affordable clean fuel for both domestic and industrial use. 

Many companies are betting their money on LNG. Atlantic, Gulf & Pacific International Holdings (AG&P), for example, has made huge investments in underserved markets in the Philippines and India. The Joseph Sigelman-led company helps create jobs, injects money into local communities in the form of investments, employment opportunities, and even taxes, and revives manufacturing and industrialization in rural Asia. Its floating storage unit (FSU) in Batangas Bay, for example, is revamping manufacturing and industrialization in the Luzon region, Philippines. On the other hand, Cheniere Energy, the biggest U.S. LNG exporter, is bringing jobs back to Louisiana and Texas as it pursues more liquefaction expansion opportunities. 

2.  Solar

Solar is the fastest-growing clean energy and arguably the most viable option in combating climate change. This is because solar energy is readily available from the sun and can be tapped and used in small quantities for domestic use or in large quantities for industrial use.

In the US, the Biden administration has injected $82 million into domestic solar manufacturing, a move that’s likely to triple the solar market in the country over the next five years. Europe, through the REPowerEU Plan, has also stepped up its investment in solar energy infrastructure.

Some of the solar energy companies you can consider investing in include First Solar Inc. (FSLR), a company that deals with solar panels and photovoltaic power plants. Another option is Enphase Energy (ENPH), a software-driven home energy solutions provider that specializes in solar and battery systems.

3.  Compressed Natural Gas (CNG)

CNG-powered cars are changing our everyday transportation. CNG is free of sulfur, benzene, and lead toxins. It’s non-corrosive and produces negligible amounts of carbon dioxide, carbon monoxide, and other suspended particles during combustion. CNG vehicles are, therefore, cleaner, more efficient, and more sustainable than diesel cars. Their maintenance and operation costs are competitive too because without lead, the longevity of their spark plugs is enhanced.

In India, the market share of CNG cars hit a record high of 8.60% in 2022, up from 6.30% in 2021. It’s projected that this figure will rise to up to 10% in 2023. The global demand for CNG vehicles is projected to grow to more than $312 billion over the next decade, up from $110.5 billion in 2022. This steady growth shows you how lucrative CNG investment will be in the near future. You can borrow a leaf from Joseph Sigelman’s huge investment in CNG stations in Asia. His company, AG&P, is in the process of building a network of 1,500 CNG stations to serve India’s transport sector.

Final word

Changing government incentives will push the world towards renewable and sustainable energy. Consumers are also more cautious than ever before about global warming and climate change. Any investor looking to invest in the energy sector must, therefore, buy shares in sustainability-focused energy stocks.

 

AI package marketing
Global Trade Daily

Packaging Marketing: What It Is and How to Succeed

Leave a comment

Marketing has gone beyond using digital platforms to create awareness for your products and services. Your product itself has become a marketing tool. Packaging marketing refers to the tactics and strategies used to design, create and promote the packaging of a product including the materials used in creating it and the messaging and branding used on the packaging. Packaging marketing will help your product stand out, ultimately leading to increased sales.  In this article, we will show you how your company can market its business through packaging.

  • Product Information

When prospective buyers do not have sufficient knowledge of your product, it can deter them from buying. One of the ways to ensure this does not happen is by including all the necessary information about the products such as their ingredients, uses, usage instructions, and benefits on the product package. For instance, if a buyer picks your product off the shelf in a store in order to examine it (they probably have never seen it before), getting all the information they need from the package will enhance their decision to purchase such a product.

  • Branding

The packaging of your products should reflect your company’s branding and be consistent with the company’s overall image. Use the packaging to show this. Make it so unique and different that clients are well attracted to it. This can be done through your company’s logo, tagline, or even color scheme. You can even partner with packing companies to help you with packing solutions that will make your product stand out from that of your competitors. Packaging companies such as OriginPac have a team of experts that specializes in product packaging, eye-catching customizations, and top-notch packaging designs.

  • Social Media

Social media is a powerful tool for marketing. You can also use it in a way to complement your packaging marketing. This can be done by using the packaging to encourage customers to share images of the products on social media with a unique hashtag or account handle. This will spell great visibility for your product because it will reach a larger number of people and usually, people are attracted by what they see. You could also use the packaging to create a number of interactive elements that can engage consumers such as QR codes, games, or augmented reality.

  • Sampling

Through the packaging of one product, you can introduce other products to your prospective customers. You could use the packaging of a particular product to include samples of related or complementary products. For instance, you sell beauty products, particularly moisturizing lotions, but you have been looking to expand into selling essential oils.  You could easily just add a sample oil as a bonus gift and include it in the packaging of the product. When people try out the oil and see that it works, they will demand a larger bottle, ultimately increasing your sales.

  • Limited Edition Packaging

To get people to buy your product, you need to employ the techniques of scarcity, urgency, and exclusivity. This also works for product packaging. You can create and introduce limited edition packaging for a certain product within a limited period of time, making such products special and more valuable in the eyes of the public. This will create a sense of exclusivity for the product and people will rush to buy before it goes out of stock.

  • Specific Industries for Your Packaging

Depending on what product you are selling you should make sure that the packaging that you choose to present to your customers should be something unique to make your brand stand out but something within the frames. For example, if you have a beauty product, you should ask the professionals of packaging to create something that appeals to the senses of shoppers. Or if you have a cannabis company, make sure to choose customized cannabis packaging that would make your product secure and appealing to customers. 

  • Personalization

Though not applicable to all kinds of businesses, it is still very much relevant for brands that deal with customized gifts. Consumers love it when you go the extra mile for them, especially when it has to do with personalization. Allow customers to personalize the packaging of products purchased from you. You can do this by adding their name to the product pack in a beautiful, natural manner or by including a personalized message to show appreciation.

  • Functionality.

It is easy to discourage customers from purchasing your product again when the packaging is bad. No one wants to buy a product with a damaged pack or difficult-to-open seal. Make sure that the package you are using for your product is durable, sustainable, and user-friendly. However, it is important to note that in the course of finding durable packages, make sure that they are also cost-effective so that they do not affect the price of your product.

Conclusion

By using these marketing techniques, companies can leverage packaging as a potent marketing tool. This will, in turn, help them to attract and engage consumers/customers, build brand awareness, increase brand visibility and ultimately drive sales and profits.

 

score diversity cultural employee compliance global trade risk
Global Trade Daily

The Impact of Cultural Diversity on Company Growth

Leave a comment

Growth is essential for any business venture. This is why companies continue to discover and develop new strategies for their business growth. But we often downplay the importance of having a culturally diverse workplace as a potent tool for a company’s growth. Cultural diversity allows for a synergy of experts with various opinions, views, and ideas that can help to move a company forward. In this article, you will learn about the impact of cultural diversity on company growth:

  1. Inspires creativity and innovation:

With technological developments being introduced recurrently, innovations are becoming the new normal. Cultural diversity in the workplace helps to improve innovative processes because each employee has a different value to contribute to the process. The idea to create something new and different from scratch may come from just one team member, but the ideas from other members will help produce the best results. A company accommodating cultural diversity among its employees will likely have more innovations.

2. Improves productivity and performance:

Your company’s productivity can immensely increase if you have employees from diverse cultural groups. Being from different cultural backgrounds means that they will see things from different perspectives. Applying these diverse ideas to your business can help improve its performance, mainly because you accept its ideas. This will encourage them to do better by reaching new markets and ultimately increase your company’s profits.

3. Enhances decision-making process:

Sometimes, your company’s decision can give it a lifetime of positive reinvention. Having a team of diverse employees or business partners can help you make better and well-informed decisions. When you are stuck in the middle of trying to use a new business strategy for your company, a team of diverse people can help you with the planning and execution. They may even add better ideas to the already formulated strategy, which will lead to positive results that will benefit your company.

4. Helps the company to attract and retain the best talents:

A company that accommodates cultural diversity will have its recruitment process easy. This is because they will attract the best talents for the job and eventually retain ambitious and globally-minded people. Various research has shown that job hunters are more likely to notice the company when you stand out because of its multicultural and inclusive working environment.

5. Enables your company to serve a diverse audience:

A company that has a culturally diverse talent pool will be able to quickly offer a broader and more versatile range of products and services, primarily if they are globally oriented. You can easily leverage the skills and abilities of their diverse employees to offer more products that benefit their customers on a global level. They can easily detect gaps in the market and look for effective ways to solve such problems.

6. Higher employee engagement and reduced turnover:

Diverse companies are more likely to engage better employees with their jobs because they feel included in the system. As a company, one good way to help your diverse employees feel more productive and engaged is to organize online events where you can use simultaneous translation equipment such as FM transmitters, FM receivers, interpreter control units, etc., to bridge the language barrier. This will significantly improve employee retention and reduce employee turnover because satisfied employees feel respected and are less likely to leave their job. Employee engagement results in more productive employees and, ultimately higher profits for the company.

7. Gives your company a better reputation:

Because the world keeps evolving, issues of ethnicity, gender, religion, and race are taken very seriously. A company that embraces and accommodates diverse employees is seen as a socially responsible organization and will have more people willing to invest in the company because of its reputation. It also places such companies above its competitors. 

Dedicated employees or partners can help your company grow, but a culturally diverse work environment does the trick better. When your company accommodates individuals from different cultural backgrounds, ethnic groups, gender, and religion, there is bound to be a unification of diverse opinions and ideas that will help your company develop faster.

 

translation customers
Archives, Global Trade Daily

Ending Communication Difficulties With Your Foreign Customers

Leave a comment

Having many customers is the desire of every B2C business and a blessing to those who have it. However, such blessings can come with specific barriers, especially if your business satisfies a global audience. Communication is one of these barriers, and international business experience this issue when communicating with foreign partners or customers. These communication difficulties can cause businesses to lose customers and affect sales. Here are a few ways to end communication difficulties with your foreign customers. 

  1. Show emotions: Understanding another person’s language can be complex and time-consuming. However, it is easier to read and understand emotions; businesses can use this universal language (emotions) to bridge the gap between them and their foreign customers. We feel all emotions – joy, fear, frustration, excitement, anger, etc. -and business owners ought to learn to convey positive emotions to get the desired customer behavior. Some customers have a limited understanding of English, and it is best to refrain from formal vocabulary and figures of speech while communicating with them. Speak slowly so they can understand, and accompany your words with a welcoming smile to make them comfortable.

2. Use picture cues: Signs and pictures are not language-biased, and the simplest drawing can convey more information than written or spoken words. Picture cues are more helpful and do a good job when words fail. Your foreign customers are more likely to understand you if you have a picture that succinctly augments your explanation. If you’re attempting to sell them a product, you can also allow them to test-run the product independently to gain understanding.

3. Use translation services: Translation is one of the easiest ways to bridge the gap in communication between you and your foreign clients. A translation expert can quickly help you communicate your agency’s value proposition, service cost, and other relevant details to foreign customers. There are several ways to get a translator and interact with customers. You can ask for help from locals fluent in both languages or an employee from your organization. However, finding a local can be difficult, and using an employee would mean they have to neglect their job for a period. The best option would be to contact a professional translation company and hire an expert. These experts are well-versed in multiple languages and available to move around with you wherever you require their services. Contacting a translation company is undoubtedly the most effective way to communicate with your foreign client since professional translators know their onions and have experience dealing with these situations.

4. Exercise patience: When you convey essential information to foreign customers, it might take a while before they fully understand your message. As a business owner, you must be willing to explain yourself repeatedly to ensure they understand you or have any questions. The language barrier requires a bit of effort to overcome, causing frustration for you and your clients. Patience attracts good luck, and a lack of patience can make you lose clients. Customer satisfaction is the advertisement strategy any business can have. When you lose one foreign client, their influence can cost you the patronage of prospective and existing clients and even taint your company’s reputation. 

5. Maintain your sense of humor: It is not uncommon for foreign customers to feel uncomfortable when dealing with you. You don’t speak their language and barely understand their culture, so they might be inclined to tread cautiously. However, it would be best if you put in the effort to lighten the air and make them comfortable, and humor is a great way to do this. Putting a smile on your customers’ faces can help to develop trust and ensure customer satisfaction.

It requires time and effort to end communication difficulties and bridge the language barrier. It is essential that, as a business, you take time out to satisfy your customers’ needs, regardless of whether they understand your language if you want to build a successful relationship. You could use picture cues if written or spoken communication is optional. Hiring a professional translation company or a linguist to help you is the most effective way to communicate efficiently with a foreign client. Remember to keep the atmosphere light, be patient, and encourage them to ask questions.

 

 

energy
Archives, Education, Global Trade Daily, Market insight

The Future of Natural Gas in the World of Energy

Leave a comment

Over the last two decades, natural gas has gradually and consistently etched its place as a critical player in the global energy supply chain. As natural gas gains prominence, the demand for other fossil fuels has either stagnated or declined. The use of coal, for example, has declined consistently over the last 3 decades. Within the same timeframe, the demand for natural gas has grown slowly but steadily. That’s impressive considering the volatility of the energy market over the recent past. But now that the energy sector is trying to abandon fossil fuels in favor of cleaner, renewable energy sources such as solar and wind, what’s the future of natural gas? 

Natural Gas as the Bridge Fuel to a Sustainable Future

The goal is to replace coal and other harmful fossil fuels with renewable energy sources. However, the energy sector is yet to build the necessary wind, solar, and hydropower infrastructure for a stable renewable energy supply. There has to be a transition fuel to cover the deficiencies of renewable energy. Natural gas stands out as the most reliable transition fuel; it will for the next couple of decades help the world edge closer to the goals of the Paris Agreement.

However, transporting natural gas is a huge logistical challenge because gas can only be distributed by pipelines. But natural gas fields are scattered all over the world, most of them being far away from the towns where the end users live. To make it easier to transport by road and sea, and to store it safely, natural gas is liquefied at -162°C to turn it into liquid (liquefied natural gas or NLG). It is then re-gasified and piped to the end user via pipelines.

LNG is a cleaner alternative to coal and oil because, when burning, it emits the least conventional air pollutants among all fossil fuels. Its carbon and sulfur dioxide emissions, as well as dust and other particulates, are significantly fewer than burning coal or oil. Its combustion technology is also far more advanced than the best available coal technology.

Critics of LNG raise concerns about its high methane content, which is between 85%-95%. However, LNG companies around the world have proved their ability to police methane leaks even without regulatory pressure. Most of these companies have invested heavily in leak detection technologies that track and report leakages for speedy interventions.

UNEP’s Emissions Gap Report calls for a rapid transformation of the energy sector in order to contain a full-blown climate crisis. This will be possible by 2030 with LNG as a transition fuel. LNG can be used for electricity production, as a fuel for trucks, and for household heating.

What’s the Future of LNG in a Renewable Future?

Even when solar and other renewable energy sources will be sufficient to satisfy the global energy market, countries will still have to invest in natural gas. This is because transitioning to wind and solar cannot replace fossil fuels in aviation and marine shipping. Industrial sectors, e.g. iron smelting, will still be dependent on fossil fuels many decades from now. If fossil fuels cannot be fully replaced by renewable energy, then LNG has to be the fossil fuel that the world has to fall back to. It’s cleaner and more reliable, after all.

Notable Projects Shaping the Future of LNG

The LNG industry has shown resilience in the face of criticism by doubters and 2 years of pandemic-driven disruptions. The sector is still strong and the demand for LNG is on an upward trajectory. Investors in the sector are investing millions of dollars into modernizing LNG facilities in anticipation of a future LNG boom.

Atlantic, Gulf & Pacific International Holdings (AG&P) is making huge strides in India’s LNG market. The downstream LNG development company has been a huge revelation in the Asian energy sector over the last decade. The company is now partnering with the Japan Overseas Infrastructure Investment Corporation for Transport & Urban Development to invest up to $120 million in new LNG projects in India. The Singapore-based company, under the brand name AG&P Pratham, is on a mission to revolutionize India’s city gas distribution network. The focus of CEO Joseph Sigelman is to create an uninterrupted supply of LNG, compressed natural gas (CNG), and piped natural gas (PNG) for Indian industries and households.

North Field Expansion Project in Qatar is another LNG project for the future. The existing infrastructure produces 77 million TPY (throughput yield) of LNG, with the expansion set to increase production to 110 million TPY by 2025. Consequently, Qatar will become the largest LNG exporter globally and a leader in Asia’s green energy transition. In Africa, Mozambique LNG is investing in offshore LNG projects in Mauritania and Senegal that will play a critical role in West Africa’s transition to a sustainable energy future. Lastly in Croatia, Hrvatska LNG recently launched the Krk Island LNG Terminal that’s touted to spearhead the energy transition in southeastern Europe. The new facility has an estimated storage capacity of 2 million TPY. 

Final word

The future of LNG is bright. With the power of incumbency as a long-serving fuel in many countries, LNG will give renewable energy sources a run for their money for a long time. Besides, LNG delivers environmental benefits that can aid the world in its pathway to a lower-carbon future. 

 

transfix container ocean freight ASIA mycarrierpackets
Air Cargo, Archives, Global Logistics, Global Trade Daily

Sailing the Seas or Soaring the Skies: A Comprehensive Look at Ocean Freight vs Air Freight Shipping for Your Business

Leave a comment

Complexity and congestion in the supply chain are at an all-time high today. Therefore, it is essential for a company’s success to choose the most suitable freight alternative. Air freight and ocean freight are both viable options for overseas shipments. They each have their benefits and drawbacks. Your company’s specific circumstances and goals will determine the most effective freight strategy.

Freight is the single most considerable expense in most supply chains. Businesses must consider how freight and its hidden fees affect their bottom line. Importers in the modern, globalized economy should try to save on both transportation costs and delivery times as much as possible. Which mode of transportation should a company choose when there are so many to pick from, including the air, road, train, and sea? Keep reading to find out what ocean freight and air freight shipping are and the top advantages of each.

Ocean Freight: What Is It And What Are Its Advantages?

Scheduling the transport of cargo through ships is referred to as sea freight forwarding. The freight company packs the items into metal containers and loads them onto the ship. The average container capacity of a cargo ship is about 18,000. This alone makes ocean transport a cost-effective method to ship colossal cargo.

  • Ocean Freight Is Often The Most Cost-Effective Option Compared To Air Freight 

Budget constraints are one of the primary drivers for SMBs to seek ocean freight transport services. For long-distance shipments, air freight could be costly. In most cases, shipping by the ocean is the most cost-effective method for transporting heavier items across distant locations.

  • Ocean Freight Are The Ideal Choice For Large Cargo

Shipment by air is too costly for heavy cargo. Thus most people choose ocean freight instead. Ocean freight rates can be influenced by weight, but shipping container sizes mostly determine how much it costs. Standard container lengths range from 20 feet to 40 feet to 45 feet. They can only hold a certain amount of weight due to the containers’ specific dimensions.

  • Little Impact On The Environment And Lower Carbon Footprint

The environmental effect of freight shipping is a valid concern for many company owners. Especially in the future, strict regulations may be required to control the impact of freight transportation on environmental issues, particularly when it comes to the use of roads and airplanes. In contrast to the other two options, ocean freight has a far less carbon imprint.

Air Freight: What Is It And What Are Its Advantages?

Parcel delivery through air freight is transporting items via an air transport service. Small, medium, and big companies who want to stay competitive can consider air freight delivery an excellent choice for shipment. This shipping mode not only delivers reliable delivery lead times but also simplifies the process to increase consumer loyalty. When importing or exporting items, it is necessary to consider each country’s legal and compliance requirements. PEO services can handle these aspects for your business. Professional global PEOs can manage the paperwork and procedures associated with the overseas shipment.

  • The Quickest Shipping Option

Congestion at ports is a significant problem that has made sea freight extremely slow in recent years. Air freight services are the most incredible option if you need to get your shipment to its final destination quickly. This is a significant time saver compared to going by the ocean or road. 

  • Strong Safety Measures Taken

Security concerns are pretty strict in the airline sector. This means it may prevent theft and damage from occurring while in transit. Cargo handling at the airport follows a set of specific protocols. The airport authority strictly enforces these regulations at all times.

  • Transport Status Monitoring Capacity

Many businesses specializing in shipping goods by air will allow you to keep tabs on your shipment via a web-based tracking system. As a result, you can track shipments from departure to their delivery. 

The Bottom Line

Matching your company’s needs with the benefits of air or ocean freight can help you make the best decision. Your attention can be divided between the two alternatives. In this instance, you should consider the benefits and drawbacks of each option to choose the one that best fits your requirements.

 

Top 5 Places to Incorporate Your Business
Archives, Education, Global Trade Daily

Top 5 Places to Incorporate Your Business

Leave a comment

Starting and running a business in your home country is safe, but “safe” is never good enough for ambitious entrepreneurs. If you’re ambitious, penetrating new international markets has to be at the top of your agenda. You have to take risky gambles in order to succeed in business. Though risky to start, offshore incorporations open up new B2C marketing possibilities, a larger target audience, new business experiences, and more steady income streams.

What does it mean to “incorporate” a business entity? In a nutshell, business incorporation means registering a business as a legal entity separate from you, the owner. In the eyes of the law, the business is a Limited Liability Company (LLC) or a Corporation that can legally transact business just like an individual citizen would. An LLC or corporation can initiate lawsuits, acquire & own property, and be sued. You are not liable for any losses the business might incur or lawsuits it may attract.

How to Choose the Right Place to Incorporate an Offshore Business

Here are a few considerations to make before deciding to incorporate a business in a country:

–          Tax implications on the business, its investors, and employees. Which tax relief provisions exist in the country and how do they benefit investors? How do income tax liabilities affect your employees’ overall remuneration? Are there capital gains liabilities that might affect your business profitability?

–          The amount of paperwork (licenses and other legal documents) involved.

–          How rich is the local labor market? What’s the cost of hiring and retaining human capital? How easy is it to fire employees in case you need to downscale or get rid of deadwood?

–          How easy is it for your foreign employees to get work permits?

–          How stable is the country, politically and economically?

–          Residency requirements- do the country’s business laws require you to relocate to the country before registering your business?

–          How easy are mergers and acquisitions in the country? You might need to sell, merge, or float the business down the road.

–          Availability of suppliers and customers.

–          Laws surrounding corporate governance.

–          Availability of recognized payment aggregators such as Square and PayPal. You don’t want to be forced to use unfavorable local payment processors that may not even inspire confidence in your business partners.

–          Does the country have a Double-Tax Agreement (DTA) with your country? A DTA shields you from double taxation on your income.

 Top 5 Places to Incorporate Your Business

  1.                   The United States

The US is the global leader on so many fronts. First, it is among the largest and most populous countries in the world. Second, its citizens have a higher-than-average purchasing power. Thirdly, on top of having a stable economy, the country has limitless commercial potential in terms of tech adoption. Fourth, being the biggest democracy in the world, the country is more politically stable and progressive. Lastly, although the country is far from perfect, it is made up of people of all kinds of races, religions, and sexual orientations. That gives you access to a culturally-rich labor market.

All the factors above combine to create a thriving environment that supports business growth. However, the United States has 50 states that operate almost like distinct countries. Each state has its own policies and regulations for foreign investors, particularly with regard to tax incentives. You may need a little bit of time to sample different states before picking the most favorable for your business goals.

 2.                Switzerland

Switzerland is very stable economically and politically. The country is also very accommodating, which is why it hosts many refugees from across Eastern Europe. It provides the ideal environment for business sustained growth and development.

It is worth noting that Switzerland is a small landlocked country. To encourage foreign trade, therefore, the country has put in place policies that promote foreign free trade. Import duties here are low and import quotas are few. The country is also known for favorable corporate banking facilities & services as well as impressive grants and tax incentives. Capital gain taxes, value-added taxes, and corporation taxes are all below 8%, which is significantly lower than in most western countries. What’s more, incorporation in Switzerland is so seamless that you can have everything done and dusted within a week!

 

3.                Singapore

The entire Southeast Asian region is prime for international business. The region’s economy is growing steadily thanks to decades of peace and political stability. Singapore is at the heart of this economic growth.

If you want to set a base in the fastest-growing economic bloc in the world right now, Singapore has to be your starting point. For starters, the country has DTA agreements with more than 50 western countries. That makes it the perfect getaway for western businesses. Secondly, the country operates under strict and comprehensive business laws that foster an ideal business environment for foreign businesses to thrive. Thirdly, incorporating a company in Singapore is a breeze considering that there are locally-based companies that specialize in incorporation paperwork. You can conduct the entire process online without ever setting foot in Singapore.

There are no capital gain taxes in Singapore, on top of there being a ton of tax incentives for foreign businesses. Singapore is also quite developed in terms of communication and transport infrastructure, creating a solid foundation for businesses to grow and prosper. The country is home to the region’s best seaport and container ports. Lastly, everyone in Singapore is connected to high-speed internet, which makes it easy for you to manage your business remotely and hire a remote workforce.

 4.              Hong Kong

Incorporating a business in Hong Kong is effortless, not to mention the unlimited business perks that the city has to offer. For starters, Hong Kong presents you with a ready market of almost 7.5 million people. Most of these people are in the upper middle class and have expensive tastes. Secondly, Hong Kong allows foreign business entities to register through e-registration, making the process seamless and convenient. Thirdly, compared to the rest of China, Hong Kong has much fewer restrictions on foreign businesses. The tax regime in Hong Kong is reasonably favorable- you won’t have to worry about sales tax and capital gains taxes, for example. Lastly, Hong Kong has allowed payment aggregators such as Stripe and PayPal, which makes international payments convenient and safe.

 5.                Panama

Panama is home to over 70 international banks that allow foreign investors to move money around the world without being watched by prying eyes. Panama guarantees you and your business partners maximum confidentiality and anonymity in all your business deals. The country is also economically and politically stable and safe. What’s more, Panama doesn’t charge foreign businesses any corporation tax for transactions made outside the country.

 Final word

Incorporating a company overseas can be tedious, but it can also be highly rewarding. The trick is in finding the best available country to set up a shop. We hope that the article has opened your eyes to the endless business possibilities beyond your country’s borders.

 

cellular iot application
Archives, Global Trade Daily, Technology

How IoT Is Brightening Your Future

Leave a comment

As technology advances, we are witnessing new technologies emerging and changing our manner of life. One such technology is the Internet of Things (IoT) which is providing tremendous benefits for individuals and businesses alike. IoT can be defined as a network of “things” – typically physical objects such as appliances, devices, people, animals, and the like, that are fitted with software, sensors, and other technologies that allow them to connect and share information with other devices over the internet. 

This makes it possible to operate these devices remotely or via voice commands. This technology has revolutionized information transmission and networking capabilities, which has impacted everyday life for the better. Here are some popular IoT technologies and devices that are changing lives today and promising a brighter future ahead.

 Smart home technology

Smart home technology enables homeowners to control devices remotely through their smartphones, tablets, or computers. These devices can range from lights, thermostats, doors, security cameras, and kitchen appliances among others. With a smart home security system, you can be able to monitor your home from wherever you are and protect it from break-ins. A smart thermostat allows you to control heating and cooling. For instance, on a hot day, you can program your thermostat to start cooling the house minutes before you get home.

Ambient sensing is another smart home tech that is growing in popularity among homeowners. This sensing technology is designed to use sensors to gather information and understand a home’s surroundings. For instance, temperature sensors can be used to monitor a home’s temperature to determine if the home operates at a healthy temperature. The benefits of ambient sensing are numerous including improved comfort, reduced property damage, and enhanced security.

 Wearable devices

You can apply wearable devices in various ways such as for leisure, wellness, and personal fitness. These devices have been largely used in healthcare to monitor patients remotely. Monitoring devices are used to measure vital signs in a patient such as temperature, heart rate, glucose levels, and blood pressure. They then send the information to the doctor to keep a record of the patient’s health. In case of abnormalities, the doctor can advise the patient accordingly. In addition, wearable health monitors can send alerts in case the patient has a medical emergency such as seizures or asthma attacks.

IoT is also valuable in tracking patients’ medication. Trackers can be used to remind a patient to take medication or send an alert when they are due for a prescription renewal. If you are taking care of a sick relative, especially the elderly, your work is made easier in that you don’t have to monitor them all the time. You can go about your day, leaving the IoT devices to keep an eye on your patient.

 Smart cars

The invention of smart cars has made driving and vehicle maintenance so much easier. A car fitted with IoT technology can perform various tasks. Technology such as Google Maps on your phone or car dashboard is designed to help you navigate your way from point A to Z. Besides this, your smart car can also do other tasks such as helping you avoid traffic, recommending the shortest route to your destination, and even spotting an empty parking slot for you. In car repair and maintenance, your car can remind you when it is due for regular servicing. In addition, it can help detect car problems and even allow your mechanic to run remote diagnostics if the issue is mechanical. So it would be of great benefit to include a cheap travel insurance for your car in cases when those smart cars show that there is a problem with your vehicle. 

 Smart farming

IoT technology has also been used in agriculture. In such a time when we are experiencing climate change, drought, and other factors that are a modern farmer’s nightmare, IoT makes farming easier and cheaper. For instance, with a smart irrigation system, you can be able to provide just enough water for your crops. The system monitors the soil’s moisture content using sensors and uses the information to water the crops if the moisture level has gone below the set level. This prevents overwatering, which not only saves water but also protects the crops from damage. You can also use IoT technology to measure the health of the soil. The results give valuable insights such as fertilizer requirements, the best crops to plant among others.

 Infant monitor

If you are a parent, you know how keeping an eye on your baby can be tasking. Moreover, just being able to see how your baby is fairing when you are away gives you so much peace of mind. IoT-enabled baby monitors allow you to keep an eye on your baby remotely. It provides real-time information on your baby’s breathing, body temperature, length of sleep, and sleeping postures. You can easily see your baby on video when getting work done in another room or away doing your grocery shopping. Baby monitors also save you from waking up at night unnecessarily to check on your child. These devices can send alerts on your phone if they detect something unusual.

 Conclusion

Technology is surely changing lives for the better. IoT in particular offers improved safety, comfort, peace of mind, and convenience. From smart home tech that includes smart lights, smart appliances, smart security, and more, to other devices such as infant monitors, smart cars, and smart irrigation systems are designed to make your life easier. Moreover, with health wearables, you can have the peace of mind that your doctor is monitoring your health every single second.