Cut Cross Border Logistics Costs

Feb. 25, 2009
Three ideas to implement aimed at lowering logistics costs

There are six discussions of ways to better manage transportation and delivery costs in “Creativity and Flexibility are Keys to Managing Rising Logistics Costs,” a white paper from Purolator USA. With particular focus on cross border freight traffic between the US and Canada, as well as shipments moving within the US, here are a few suggestions from Purolator to aid in controlling costs while not sacrificing service or standards.

Rethink Shipping Options. For example, reserve air transport only for those shipments that are extremely time sensitive and must be delivered by a specific date. Weigh the costs and time window since there are available ground shipment options that might get the job done.

Take Advantage of Governmental Trade Program Incentives. There are programs beyond NAFTA offered by both the US and Canadian governments to help shippers widen their customer bases. They include the Non-Resident Importer and Duty Drawback programs, among others. These and other governmental matters are discussed in the white paper.

Rethink Brick and Mortar Facilities in Canada. If a company maintains distribution facilities in Canada, with the US dollar gaining strength against the Canadian dollar, it might make more sense to use third party services for both product storage and delivery than to maintain separate facilities and duplicate inventory.

The white paper presents more ideas and does so in greater depth. "Priority number one right now is to work with customers to make sure that logistics plans are as tight and efficient as they can possibly be," says Purolator USA president, John Costanzo. "We are very committed to helping our customers manage during these tough economic times." For a copy of the white paper, visit the Purolator USA website.

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