Freight forwarding – what you should know about it - Liladhar Pasoo

Freight forwarding – what you should know about it The world we know is small enough to transport goods and freights from one place to another. Thanks to the freight forwarding companies that have made the shipment of goods faster and smoother even across international borders. We have taken a giant leap in the transportation industry as well. It has been a link between producers and consumers. So, faster delivery of goods comes as no surprise to anyone.

Surging consumer demands and the development of global e-commerce have made businesses look for reliable logistic solutions. Regardless of the type and size of business you deal in, delivering the goods to the customers’ doorsteps is essential in minimal possible time. Otherwise, the increased production is of no use. And for that matter, you may either need in-house shipping arrangements or the services of freight forwarders. Not all businesses are capable enough to arrange shipping facilities on their own. Their reliance on freight forwarding companies is, hence, well justified. If you own a business and are looking for reliable logistic solutions, here’s what you should know about freight forwarding.

It will help you find the best forwarder.

What Is Freight Forwarding?

Freight forwarding is the act of planning and coordinating the shipments of goods across national and international borders. The carriers used to ship cargo might include ships, planes, trains, and modes of road transport, depending on the distance. Freight forwarding also consists of planning logistics, packaging, tracking the movement of goods, and preparing some documents. Doing that requires an expert job and the one who does it all is a freight forwarder.

What Do Freight Forwarders Do? Freight forwarders are experts in shipments forwarding via land, sea, and air. They might be individual agents and also companies that organize the shipments for businesses. They are an integral part of the logistic network with responsibilities to contract multiple carriers. The carriers in the network ensure smooth and cost-effective delivery of goods from source to destination.

A forwarder uses different shipping modes, such as trains, trucks, airplanes, ships, and other local transport for a single shipment. For instance, a shipment to an international destination may move by air or sea to reach the country it’s destined. It might further travel by trains or trucks to reach the destination city. The final delivery may involve the deployment of local carriers like vans or bikes. With this much to do before knocking on the destination address, shipments forwarding becomes smoother and quicker. The next thing you should know before hiring a freight forwarding partner is the documentation needed.

Documentation Freight forwarding requires typical documentation. Knowing about it helps fix a better deal when hiring a forwarder. It also ensures hassle-free shipments when delivering across local and international borders. Companies engaged in freight forwarding often provide complete logistic solutions from packaging to warehousing and shipping to tracking. It, however, depends on the size of the organization and its logistic network.

A freight forwarding company provides several essential documents to ensure the security of your shipment. These documents also prevent potential legal disputes at the time of shipping and in the future. The forwarder will provide you with an invoice, a bill of landing, and an inspection certificate. And the other documents the forwarder will provide are a certificate of origin statement, an export license, a list of items, and an export declaration by the shipper. So, when hiring a company for shipping goods, checking for these documents is imperative. Let’s now know something about customs brokers and their jobs for international shipment.

Customs Brokers Customs brokers are the ones who clear shipments of goods at international borders. When exporting or importing, the consignments undergo several norms regulated by the countries. The customs brokers check if the shipment meets the regulations, trade laws of the country, and packing standards. Apart from this, the consignment must also fulfil taxes applied, custom fees, and documentation charges. There are many other legal formalities that a customs broker performs when clearing the shipment.

Regulating what comes in and goes out of the country is the job of the customs department.

A customs broker works for his clients to ensure the goods exported don’t infringe any law.

The government has its own customs brokers to import and export what is allowed by the law. Individual clients and freight forwarding companies also hire customs brokers to keep abreast of the rules & regulations, taxes, and documentation needed. Not abiding by any of the laws can hinder the movement of goods. So, without the help of a broker, it’s difficult for businesses to keep up with everything needed to import and export goods. But, once you hire an acclaimed freight forwarding company, they will do everything for you from packaging to documentation and clearance to delivery. These companies provide a complete logistic solution.