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Is reverse logistic more costly?

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Question added by Mubashir Khan Mehmood
Date Posted: 2015/04/23
Abdul Waheed
by Abdul Waheed , Leader Procurement & Logistics , Saudi Advanced Technologies Ltd

No it is not but It also depend on scenario you are exporting back.

Nabeel Ishtiaq
by Nabeel Ishtiaq , Senior Purchase & Stores Officer (LNG-LPG) , sui northeren gas pipelines ltd. (sngpl)

Mubashir, Reverse Logistics is not expensive but it depends on your manage service agreement signed between buyer and seller. If your equipment is under warranty then seller is liable to repair or replace during the agreed period of time. One way freight payment is the responsibility of purchaser but again what you agreed in ur contract. In the year end or in the final payments mostly purchaser deduct the cost incured in the freight, packing and CFA services charges. Mostly seller / principle nominate their local agent to perform all the reverse logistics activities for the cost control.

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