Management Dynamics Helps Importers Save By Leveraging Free-Trade Pacts

SupplyChainBrain.com recently cited World Trade Organization estimates that by 2010 there will be close to 400 bilateral and regional free-trade agreements in place around the world.  The growing number of agreements has complicated companies' ability to evaluate duty-avoidance alternatives and minimize the total landed cost of imported goods.

Management Dynamics compares distribution strategies using trade content information from 120 countries.  Nathan Pieri, senior vice president of marketing and product management at Management Dynamics says, "we have a number of tools, including Trade Planner, to help [importers] figure out where the critical components of an end product should be sourced so that overall landed cost is lower. It is no longer just about going to China. You could have a slightly higher invoice from another country but if there is a preferential agreement in place, you could end up with a lower landed cost because of duty savings."