What is a freight forwarder?
 Mar 26, 2021|View:455

The freight forwarders act as an intermediary between the shipping company and the final destination of the goods. Although they do not perform shipment, they offer different ways of transportation, such as sea/sea freight, railway freight, road transport and air freight.


Freight agency uses trusted contact with air transport experts and truck transportation companies to the carriers and partners of the oven route to negotiate the best price. Taking into account all the variables needed to analyze each case, this may be using a determined commercial route and performing a periodic quotation, or by charter, assessing different quotes, and choosing a better-optimized speed, cost and reliability. route.


Typically, the freight forwarders should handle a large amount of goods even from an international destination to another, so they are a key part of triangular transportation. There are at least three companies to participate in the triangular business (manufacturers, middlemen and final customers), although they only have one good delivered and transported, each company is located in different countries. From the perspective of documentation, this operation is very complicated. Most importantly, the tributary needs to pay value-added taxes.


Most freight forwarders are authorized for economic operators, which allows them to use simplified customs clearance services, especially the import tariffs and fees, which will not be paid, and these fees may need to pay before release.