FX Case Study: Empowering Freight Forwarding and Customs Clearance Operations
![Felixstowe Port](https://clearviewfx.co.uk/wp-content/uploads/2023/10/Felixstowe1-detail.jpg)
Client overview
Established in 1983 and headquartered in Felixstowe, our client is a leading independent UK freight forwarder and customs broker with over 100 years of collective experience. They specialise in high-frequency spot deals, typically involving currency trades 2-3 times weekly.
This client plays a crucial role in supporting UK import/export businesses by facilitating sea freight logistics, warehousing, distribution, and customs clearance, particularly with China.
Their operations demand exceptional speed, often with lead times as short as 24 hours, making timely payments and precise currency management essential.
Challenges faced
The client's high-frequency spot trading carried inherent complexities, with payments needing to align perfectly with their logistics and customs clearance operations. Delays in currency transactions risked not only operational disruptions but also the possibility of incurring additional charges and penalties. This volatility required a sophisticated approach to currency management.
Clearview FX solution
Recognising these challenges, Clearview FX offered a tailored solution to meet the client's needs. The team listened to the client's concerns and outlined how Clearview's forward hedging strategies and in-house forecasts could provide essential support.
By implementing a comprehensive approach, Clearview enabled the client to take advantage of our unique forecasting and hedging strategies.
Results and benefits
Over the past year, Clearview reviewed the forecasting and hedging strategies implemented for the client and achieved impressive results. By partnering with Clearview, the client managed to save £29,435.37 compared to market rates, despite dealing with contract values totaling $3,559,685.10. This success was solely driven by our forecasting and product implementation.
Clearview's approach not only alleviated the complexities and pressures of managing currency exposure but also provided the client with more time to focus on their core operations. Moreover, it significantly improved liquidity, allowing the client to retain and allocate the saved funds more effectively.
In conclusion, our partnership empowered the client to navigate the intricate world of high-frequency currency trading with confidence, ensuring the seamless flow of their freight forwarding and customs clearance operations.
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