SERVICES THAT FREIGHT FORWARDERS PROVIDE.

In the course of my import/export business interaction with supply chain officers, Logistics officers, procurement officers or operation managers of corporate organizations especially those that I perceived to be new to the system based on the kind of questions they are asking and kind of request or inquiries that I get from them, prompted me to write these article on the responsibilities and services that freight forwarders provides.

For instance, a client has sent an email to me requesting for a quotation on a goods that he wants to ship from Europe, Italy to be precise. This item, the total gross weight is about 216kg. In his request, he stated that he wants the goods to be shipped via Sea transportation mode and he needs the goods urgently.

When I analyzed his request, I realized that; 1. To ship this goods through Sea will take some time in comparison with freighting through Air, considering the fact that he needs this goods urgently. 2. The cost of shipping, customs clearance and delivery of the item will be higher compared to the total cost of shipping the same item through Air transportation.

So, I have to let him know that the best option for him should be shipping the goods through Air because his shipment will arrive on time, clearance and delivery will be done on time and he will also pay a lesser cost when compared to using Sea transport, which is actually one of the responsibilities and services that a professional freight forwarder renders to his/her esteemed client.

A Freight forwarder is in the best position to tell you the best carrier/shipping company to use for your cargo, suitable mode of transportation for your cargo and how best you can reduce the cost of shipment and clearance of your shipment, hassle free.

This takes me to the question, who is a freight forwarder?, what are the responsibilities and services of a freight forwarder?, what are their assets? what value can they bring to your importation/exportation business?.

WHO IS A FREIGHT FORWARDER:

According to Wikipedia, a freight forwarder, or forwarder agent, is a person or company that organizes shipments for individuals or corporations to get goods from the manufacturer or producer to a market, customer or final point of distribution.

A freight forwarder is like a liaison officer between the parties involved in a supply chain like the manufacturer/supplier/seller, carrier/shipping line, third party operators and the consignor/shipper/owner of goods.

RESPOSIBILITIES AND SERVICES OF FREIGHT FORWARSER:

1. A freight forwarder prepares export/import documentation for easy transport of goods across international borders.
2. A freight forwarder advices client/customer on the fastest and cheapest way of transportation of cargoes.
3. Deciding on the most suitable carrier or shipping ling to be used and concluding contracts of shipments on behalf of client.
4. He provides insurance coverage during the transportation of goods from country of origin to country of destination.
5. He provides advice on warehousing, transportation and distribution of cargo
6. He /she provides supervision to the movement of goods/cargo/services.
7. A freight forwarder can as well provide credit facilities, infrastructure and cargo handling equipment.
8. Perform in house handling of cargo and transportation services.
9. Taking care of customs clearance documentation and processes, trade regulations, documentary later of credit instruction, as well as other documentations.
10. Solving potential packaging and labeling problems.
11. Performance of quasi banking functions as he pays freight and handling charges, fees, taxes etc., etc.

ASSETS OF A FREIGHT FORWARDER:

• A freight forwarder has Network of partners especially when he/she belong to organizations like WCA(World cargo alliance)
• A freight forwarder has expert knowledge of the nitty gritty of international business trade and services.
• In some cases, physical assets like warehouses, trucks for haulage, loading and offloading equipment etc.

ADDED VALUE THAT FREIGHT FORWARDERS PROVIDE:

1. Lower costs, cost efficiency(scale advantages)
2. Time reduction (fastest transport route and speed up transportation)

Contact me for freight shipping and customs clearance of your import/export goods around the World. Free consultation services and lets discuss about your next shipment. Email- [email protected], WhatsApp- +2348037715316

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