11 THINGS YOU MUST KNOW ABOUT FREIGHT FORWARDING
From Burberry to Balenciaga, from Mercedes Benz to Audi, different products, each one the best in its class, in their own discipline are found in the stores /malls near you across the globe. What is more rewarding than seeing your favourite product anywhere you go? Well, nothing as comforting as that. But, take a moment to thank freight forwarders. They play a focal role in uniting you and your commodity. So, who are freight forwarding companies? Nosedive into this article to know more about them!!!
Freight forwarder predominantly is a firm/an agent who takes care of storage and shipping of merchandise on behalf of the owner. They are implicit middlemen.
Shipping is done through all three means[water, air, land]. The fact that these firms carry a heap of responsibilities over their shoulders, right from the safety of the commodities to the customs affairs, makes them the VIP of the logistics world.
Why are freight forwarders relied upon?
Freight forwarders convey goods in bulk from the original place of manufacture to the respective destinations. Along with the prodigious amount of products they ship, they carry double the amount of responsibility. Therefore they handle a precarious job masked by subtility.
Pondering about freight forwarder? No worries. Here are 11 things you ought to know about them.
1.More the goods, the better the deal
Freight forwarders usually accept the agreement which involves shipping goods on a larger scale, as it is cost-effective at their end. If a single commodity is expected to be shipped off by the freight forwarder, then the consumer is charged the extra penny.
The freight forwarders utilize all the means of transportation. The way through which the goods are carried out is basically referred to as shipment modes. A freight forwarder may also use more than one shipment mode to transport a single bulk of items.
3.A fine line between freight forwarder and carrier
Freight forwarder provides the amenity of shipment for logistics goods. They themselves do not carry the commodities. Whereas carriers send products from the manufacturer to client. Carrier practically transports goods. Freight forwarders are virtually carriers when they take complete liability for goods.
4.Role of freight forwarder in international trade
Freight forwarders are intermediary and only carry out the demands of the owner. When the freight forwarder demands more price for the shipment of goods, the retail market price is accordingly increased.
Maintaining a good relationship with your forwarder is requisite. Considerably obliging the conditions of freight forwarder makes them more faithful towards the owner.
Freight forwarders are very particular about their legal requirements. If only all these terms are entirely agreed upon by the owner, do they proceed with their aspect of the work?
7.Security of the commodities being shipped
Yes, the safety and storage of goods are directed by the freight forwarders. But if any problem is to occur during the shipment due to issues irrelevant to the terms mentioned in the agreement, freight forwarders are not liable to any kind of accusation.
8.The fame game
More important is the firm which is shipping your goods, more the advantages into your basket. The freight forwarding company having connections with a wide range of companies proves it to be a reliable firm. The network freight forwarder has maintained is an indispensable element.
Freight forwarding companies may restrict to ship a particular commodity or to a specific place. Therefore, understand all the terms and conditions of the freight forwarding company you are shaking hands with.
They must guarantee the shipment of your commodities safe and sound to the respective destination. The forwarder must certify this. The paperwork must be strict and precise. They must also take care of the customs affairs at the ship off point.
- Beware of the fake ones
There are counterfeit firms, which pretends to be freight forwarder and just take the load and later prove to be treacherous. It’s always good to check the background and history of the firm.
Freight forwarder companies diminish the labour-power necessary concerning shipping. With many well established and still growing freight forwarders like FedEx, DHL supply chain, XPO logistics etc. all over the world, freight forwarders have become an integral and vital part of import and export industry, contributing to its smooth movement. They play a critical role in E-commerce too.