Freight forwarding is the arrangement of various transport methods in order to ships goods on behalf of a company. As a third-party logistics provider, a freight forwarder acts like an agent to coordinate the shipping and documentation. When looking for the right freight forwarding company, be sure to compare their credentials and quotes. You can receive up to 5 free quotes by simply filling in our quick form below.
A shipper / consignor is an individual or company who places their goods in the care of another (forwarding agent / freight forwarder or carrier / transport operator) to be delivered to the consignee. The amount of documents needed throughout this process can be overwhelming, but if you employ a forwarder to assist you, you will find that much of the stress and hassle can be alleviated. When moving goods internationally, a freight forwarding company will definitely come in handy, because even more documents are required for Customs such as the Shipper's Export Declarations (SEDs).
A forwarding company must take into account the client's needs and type of goods that will be shipped in order to select the best mode of transport. They have great connections with businesses, airports and seaports all over the world. They should be aware of schedules and time tables to ensure that goods arrive on time, and they must stay abreast of rules, regulations and safety measures because they are also responsible for the goods they are transporting.
Since not all freight companies offer door-to-door service, you might find freight forwarders extremely helpful. They can usually arrange door-to-door, door-to-port, door-to-airport, etc. Industry analysts are predicting clear skies ahead for the air freight forwarding industry, thanks to the open skies agreement which fosters international trade by establishing rules, standards and minimizing government intervention. A good freight forwarding company will know that air transit is the only method to choose for highly perishable items like human organs for transplant or just-in-time (JIT) deliveries. These are especially valuable for manufacturers who need to keep inventories low which in turn saves them money and warehouse space.
Truck transportation might be a better option; however, when cost is a concern. Road transport can also be considered more reliable and easy to track due to Global Positioning System (GPS) technology. To stay competitive, many truck freight companies will offer added services such as warehousing and storage. Some will go a step further and carry out repair work for items under warranty. Others can even rely on their advanced IT inventory systems to keep manufactures up-to-date on the amount, location and date of the items in storage.
Freight forwarding companies should be members of the International Federation of Freight Forwarders Associations (FIATA). This non-governmental organisation (NGO) is the largest of its kind and acts as a counsellor for the World Trade Organization (WTO), the World Customs Organization (WCO), the International Chamber of Commerce (ICC), the United Nations Conference on Trade and Development (UNCTAD), the UN Commission on International Trade Law (UNCITRAL), the Economic and Social Council (ECOSOC) of the United Nations, the International Road Transport Union (IRU), the International Air Transport Association (IATA), and the International Union of Railways (UIC).