Excerpt from: China Supply Chain and Logistics Strategy
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| March 26, 2007 | | Geographic Advantage of Taicang Port | The Taicang Port in Jiangsu Province may offer significant advantages to companies with factories in the Yangtze River Delta that are not located near the Yangshan or the Waigaoqiao ports. More options have become available for shippers with the improvements in road infrastructure in China. The significant advantage to the Taicang Port is that it may be closer to your cargo. The problem with the Yangshan Deepwater Port is the long distance involved in draying from the factory. The problem with Waigaoqiao is that you must transport through the city. The Shanghai government prohibits much of the container transport through the city during the daytime.
Companies can gain a significant advantage when using a port that is close to the point of manufacture. As shippers continue to demand seamless operations, more visibility is needed into the “first leg”, or the drayage from the factory to the ship. Historically, this has been a hidden cost. However, shippers are now become more aware of this cost and are looking for ways to reduce this first leg. It is to your advantage to route cargo closer to the port of export in order to reduce your drayage costs. Taicang may make it easier to faciliate cargo out of the region.
Important questions to consider include:
What value added facilities are available?
What type of port logistics facilities and bonded facilities exist?
How will the Taicang Port compete with other inland ports such as Chongqing?
According to the Deputy Director of Taicang Customs, Taicang offers the following advantages from the perspective of Customs issues:
- Customs declarations are centralized
- Favorable policies for customs procedures – Nanjing Customs has new procedures which allow cargo to pass Taicang first.
- Can pre-declare customs – as long as cargo leaves port (BOL cleared etc)
- Credible organizations can release cargo before inspection
- High volume bulk imports shipped in multiple barges can be cleared and inspected as one batch.
- 24/7 service by appointment for urgent deliveries
- Bonded area located a few hundred meters behind the port (nations’ biggest bonded logistics park with an expected total area of 1.39 sq km) 100,000 sq meter warehouse.
- Customs can be declared right away or product can be shipped to bonded warehouse
- Chongqing express lane – customs declaration quicker. Good coordination with Chongqing Customs.
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