CLEARANCE PROCESS AND ITS EFFECT ON THE SUPPLY CHAIN PERFORMANCE IN JEDDAH PORT

Abstract

The study aimed to determine factors affecting the supply chain performance. Qualitative research method was used as data were collected from existing literature related to the study. The study population were all business which had import or export shipment through Jeddah port. The samples were IKEA and Al-Dawliya Watches & Jewellery. The custom clearance procedures are back bone of international trade and supply chain but bottleneck for import and export business if the process is not well managed. This process might change overtime to follow up with world economies changes. The failure to clear cargoes on certain period also affected the business with increment lead times and product availability and decreased customer service level. Longer clearing times are also caused by both merchants and government representative of customs clearance.