FREIGHT FORWARDER
Exporting and importing plays a major role in any business venturing abroad. Also, shipping of goods abroad is becoming a lucrative business, nevertheless with many challenges such as the process, regulations, and the paperwork involved. These challenges may intimidate international shipper prospects, but luckily you can ship goods abroad without getting caught up in the quagmire of logistics. The freight forwarder will do that for you.
Arranging for your international shipping involves a lot of things. Even if much of the will not be done by you, it is still important to understand the role of the person who will do it; the freight forwarder. A forwarding agent does not move your freight, instead acts as a link between a shipper and other transport providers. They establishes good relationships with freight carriers such as air freighters, trucking companies, ocean liners, and rail freighters. Reason for this is so that they can negotiate the best price to move your goods along the most affordable route. Forwarding Agent also works out different bids and selects the one that balances cost, reliability, and speed.
The roles of a freight forwarding agent or freight forwarder
- Planning the most effective route for shipment.
- Advice clients on the costs of export.
- Contracting and making a reservation of the cargo space on train, truck, ship or aircraft.
- Contracting insurance for the shipment of the cargo on behalf of the client.
- Advice the client on the best way to transport the merchandise and perform packing, storing and loading of the cargo.
- Preparation as well as the presentation of the Transport and Trade Documents needed for import and export, such as Bill of Lading, the CMR, Airway Bill, and others.
- Handling with foreign customs agents to make sure the documents and the merchandise abide by the customs regulations.
- Advice the client on social situations, political state, and legislation affecting international trade as well as other dynamics that may affect the transportation of the goods.
- Acting as an arbitrator in customs negotiations around the world to efficiently direct the cargo.
- Use modern technology to ensure a real-time tracking of the transport merchandise.
How to find a freight forwarder
There are plenty of places you can find the right forwarding agent, for example, the Port of Los Angele’s and Linbis Logistics Software can provide a list of forwarding company on their website.
Forwarding agents take care of the logistics of shipping goods from one international destination to another, an undertaking that otherwise would be a daunting burden to clients.
If you are an exporter, you will need a freight forwarder to help you in complying with the export documentation in addition to other shipping requirements. Acting as an agent, a they will advise and assist you on how to move your cargo from one destination to another efficiently.
Freight forwarders have extensive knowledge of international trade regulations, required documentation, transportation costs as well as banking practices. Their knowledge in these aspects is meant to ease the pressures that come with exporting of goods overseas.
How to find the best international freight forwarders companies for a foreign business
Below are some of the best tips on finding the best forwarders for your foreign business.
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Make sure that the freight forwarder has enough experience
Nowadays, anyone can call themselves to be a freight forwarder. You need to look for experience companies in cargo. Years of experience means this companies has encountered and dealt with different situations, such as smoothing out customs or warehousing issues, port shutdowns, dockworkers strikes, and need for cargo rerouting.
Looking for experience means that you avoid custom, routing and warehousing problems so your merchandise will be transported smoothly.
Experience also means that the freight forwarder has an intensive network and good business relations around the world.
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Ask about the network of business partners and agents in the country you are delivering or getting merchandise from.
The connections of a freight forwarder in the country you are exporting or importing are crucial for the local handling of your cargo. They may be great for shipping goods in, let’s say, Germany but don’t have sufficient connections or experience to do a formidable job in the Philippines. So, ensure that you ask them network and experience in your country of interest. A good Forwarding Company has great partnerships around the world.
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A perfect forwarder should be able to offer the crucial services you required for your shipment
Check out the services that they provides. Get a freight forwarder that also includes handling of rail or truck part of your shipment. Regardless of whether you only need a port to port services, it is important that a include rail and trucking options, otherwise, the freight forwarder’s network is not that good.
A good freight forwarder should be able to offer other services such as warehousing, cargo insurance, shipment tracking, and distribution.
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Ensure that the freight forwarder has impressive references
A reference is important to any kind of business, and not just freight forwarding. The red flag is when a freight forwarder doesn’t have even a single reference. If there is no one willing to come forward and give an upvote for a great job shipping their exports and imports, there is no need for engaging with the freight forwarder.
Many freight forwarders have testimonial pages which include satisfying customers saying how the freight forwarder did a great job with their shipment.
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Ensure that the freight forwarder has a good customer service
A good freight forwarder should be quick in giving you feedback or answering your questions. A good agent should be able to walk you through the international shipping even if are not new in the field.
If a forwarding agent takes care of your personal concerns about the shipping, then this shows that they have the required abilities to take care of your freight needs professionally.
Conclusion
One forwarder may have low rates than another, but you may find yourself compensating for this one way or the other, like through delays, additional charges, and poor customers service.