Freight forwarding is an essential contributor to the smooth running of international trade with the freight forwarder being responsible for choosing the best options for their customers’ distribution needs.
In this article we’ll discuss the freight forwarding industry and show how it is the unsung hero of the world trade.
What Is Freight Forwarding
Freight forwarding is all about moving goods from one part of the world to another economically and efficiently. Ensuring that cargo arrives at the right place and at the right time involves real skill.
Freight Forwarding Costs
It is important for freight forwarders to negotiate freight rates regularly with transport providers and to compare the costs involved with transporting goods along different routes. This helps them to get the right balance between cost and delivery times.
Although freight forwarding is used by companies all over the world, no two operations are the same owing to the type of goods being transported and the different sets of customer requirements.
Managing Freight Forwarding Risks
The complexity involved in freight forwarding means that there is an element of risk to do with loss or damage that needs to be managed.
Freight Forwarding Transaction Management
Freight forwarders are entrusted with the delivery of goods from one party to another, who often do not know each other. As a result, it is essential that the freight forwarder follows the set procedure and prepares accurate documentation to facilitate the transaction process.
Outsourcing Freight Forwarding
It is becoming increasingly common for companies to outsource certain parts of their business, and the outsourcing of freight forwarding is a prime example of this trend. By forwarding cargo on time and to the right place, freight forwarders are able to make a real contribution to developing the global marketplace.