What Is Freight Forwarding?

What Is Freight Forwarding?

Freight forwarding is the strategic planning and execution of logistics for the worldwide transportation of commodities on behalf of shippers. Freight forwarders act as freight travel agents. Most importers and exporters utilize freight forwarding services to schedule freight shipments. Freight forwarders of all sizes and forms may be found in every country on the planet. They are specialists in their field and are licensed to do so. Freight Forwarders understand the entire shipping procedure and can handle it on your behalf.

Surface freight forwarders include forwarders who are trucking firms or agents for trucking companies. Some specialize in either maritime freight forwarding or air freight forwarding. Some small freight forwarders limit their operations to a few countries where they have established relationships with local logistics suppliers. Larger freight forwarders, on the other hand, are essentially worldwide freight forwarders.

Freight Forwarding Services

Freight forwarders offer the following services:

  • Represent their clients in dealings with a variety of different parties engaged in the shipment, including air cargo carriers, any other freight forwarders participating in the transaction, and transportation businesses.
  • Organize all documentation, make reservations, and arrange payments for each sector of the shipment.
  • Act as troubleshooters, intervening when something goes wrong with the process.
  • Notify you if there is a delay or possibility of delay in shipment.
  • Offer customs brokerage services, which means they function as both a clearing and forwarding agency and may negotiate with customs agents on your behalf.

How Do You Pick A Forwarder?

Finding a reliable freight forwarder is critical to the success of your company. EximAnything covers it everything, whether you’re seeking for information on how to choose a freight forwarder or simply want to know what they do.

Do You Need a Freight Forwarder?

In most cases, yes. You need a freight forwarder to arrange international freight online with ocean or sea carriers. There are different scenarios for booking a shipment with or without a freight forwarder.

Few people use courier or cargo services to arrange their shipments. But for most shipments, it simply isn’t possible to arrange international freight online with ocean or sea carriers. And even if it was possible to do without a freight forwarder, it is risky for non-specialists to troubleshoot the issues. A lot of things can go wrong in freight, and they often do. You need to cover your bases with freight insurance.

Importers usually make a serious mistake by agreeing to the supplier’s offer to arrange the shipment as far as the port in the country of origin. It may seem like a great deal, but there are other costs involved. The shipping arrangement usually uses one of the “C” incoterms, especially the CIF incoterm. These incoterms have several flaws for an importer, including a common scenario where the importer is held hostage to inflated costs. Therefore, it is wise to engage a freight forwarder.

International Freight Forwarding

Depending on your forwarder you email or speak to, they may not remember to ask for all the data upfront. which slows down their turnaround to give you a quote. Provide them with the following information:

  • Make sure that you have the full address for pickup if the shipment is door-to-door, including postcode and full destination address.
  • You may need to provide the name of the port of origin. All airports and seaports have an international code.
  • If someone other than your company is receiving the shipment, have their contact details ready too.
  • Give the total weight of the shipment. The suppliers and, increasingly, forwarders think in kilograms. Check the packing list.
  • If your shipment includes a mix of boxes, pallets, etc., you will need to categorize them.
  • You will have to provide the total cubic volume, also called “CBM”. If there is a Total Volume field on a wizard-type form, you will probably need to round to the nearest whole number.


Shipments that are comparatively light for their volume are often uneconomical for carriers to ship. The freight industry came up with a formula to charge for light shipments at a profitable weight based on the shipment’s volume. This deemed weight is called the dimensional or volumetric weight.

International freight works with HS Codes. Among industry classification systems, Harmonized System (HS) Codes are commonly used throughout the export process for goods. The Harmonized System is a standardised numerical method of classifying traded products. The official product name and code should be on the commercial invoice.

International Freight Forwarding Companies

It is the freight in any import-export business that is still a bit murky and a reason for many to be anxious. Despite 10,000 freight forwarding companies across the length and breadth of the globe, the industry is still considered “opaque” and certain non-transparent in regard to pricing and services. There is a need for a trusted ally in the freight industry. The ally should work as your representative at every step. The following tips can be helpful in taking the correct decision for your export and import business:

  •  Think about your priorities. Compare price with service.
  • Analyze the need for your shipments to have special requirements.
  • And finally, look for a platform that enables you to search for both great service and a good price.

A new revolutionary  platform; EximAnything takes nearly the entire burden off your shoulders. All your issues including freight forwarding, documentation, identifying the customer, etc. can be arranged by EximAnything.

Types Of Shipments And Freight Forwarders

Most freight forwarders don’t deal with large bulk commodities like cars, wheat, or any oversized shipment. Most of them also don’t deal with hazardous cargo. There are only a few forwarders who have the capacity to handle such special, voluminous shipments. There are some commodities that many forwarders don’t deal with, such as vehicles, household removals, and bulk commodities like wheat.

Another important consideration is geographic coverage. Landlocked countries don’t have their own shipping ports. Some countries are far away from a seaport and thus depend on surface transport.

Not all forwarders ship to all parts of the world. Smaller freight forwarding companies often have a limited network of agents for local delivery or pickup and customs clearance. They’ll likely cover your country’s most common trading partners.

Large Global Freight Forwarding Companies

It is an established fact that only 35% of large freight forwarders respond to small businesses’ requests. large Big brands in the freight forwarding business prefer to deal with large business houses. Their larger customers bring in more business, and it’s only natural that in busy periods, larger customers will get preferential treatment. A freight forwarder is a very important link in the export-import business. However, a freight forwarder doesn’t take a turnkey job.

On the other hand, small forwards have their limitations. Although local forwarders can usually give their small customers more bandwidth and are faster to respond, they may not be as competitive on price and they are unable to provide some important services that cause anxiety in business. This is something to consider should your strategy be to go for comprehensive services at an economical price.

Price versus Service

Most new customers generally come down to the price factor when importing or exporting. However, making a decision on price alone can be deceiving. For instance, some forwarders discount the first shipment to win the sale but make up for it with subsequent shipments. Also, some forwarders hide charges in the terms and conditions to make their quoted prices look more attractive than those of more honest competitors. Many things can and do go wrong in international shipments. Your decision to opt for a freight forwarder based on an apparent marginal low price can bite you terribly when the terms and conditions are revealed and no services are provided while your shipment is in the middle of nowhere or in the designated country.

Why Is It Necessary to Use SMART Comprehensive Solutions?

EximAnything provides comprehensive services to its customers. These services include freight forwarding, insurance, quality-quantity certification, and a host of other services. Your shipment is worth more than the shipment value—it’s needed to grow your business. That’s why you’ll need a reliable freight forwarder you can trust to handle your valuable goods.

We are also 3PLs (third-party logistics providers) and specialize in providing broader support (contract logistics) for our customers. We provide useful services for importers, like superior shipment tracking and warehousing, and ultimately reliable freight forwarding.

Can You Have Both Great Service And A Low Price?

Yes. It is possible to have great services at a competitive price.

EximAnything supplies instant online quoting from a wide range of forwarders and also provides price and service comparison. This means that it is now possible to sort and select quotes by price, transit time, or service rating.

What Can I Expect From A Freight Forwarder?

A freight forwarder will go over the main requirements and key freight documents that you’ll need to get your goods on board. Once the shipment is deployed, your freight forwarder should keep you up to date on the shipment’s progress and let you know if there are any changes or delays along the way.

What Are Some Examples of Freight Forwarders?

There are hundreds of logistics providers and freight forwarders operating globally. This can make it tricky to find the right one for your specific business needs. If you are new to business, you need extensive consultation that can be provided by contacting eximanything.com.

How Can I Book A Freight Forwarder?

Digitization has made things less complicated and, at times, easy. It is easy to search for and compare different providers quickly and efficiently. EximAnything has reached the world’s largest online marketplace for freight booking, giving you the ability to compare freight forwarders’ rates based on your specific requirements and also read about what other importers and exporters thought about their shipping experience. You must make a list of the following terms commonly used in EXIM business.

In FAS (Free Alongside Ship) shipping, the seller arranges all export country stages. The buyer arranges all other stages to the cargo’s ultimate destination. Not recommended.

EXW (Ex Works) In shipping, the buyer arranges the full shipment, from the supplier’s warehouse to the cargo’s ultimate destination.

FCA (Free Carrier) in shipping terms means the seller arranges most or all of the export country stages (e.g., customs, trucking within the export country). The buyer arranges all other stages to the cargo’s ultimate destination.

FOB (Free On Board) In international shipping, this means that the seller (consignor) is responsible for transportation of the goods to the port of shipment and the cost of loading. The buyer (consignee) pays the costs of ocean freight, insurance, unloading, and transportation from the arrival port to the final destination. The seller passes the risk to the buyer when the goods are loaded at the originating port.

What is Ocean Freight?

Ocean freight transport is the shipping of goods by sea via shipping containers. Ocean freight is the most common mode of transport that importers and exporters use. In fact, a full 90% of everything is shipped by ocean freight or sea freight. The other international freight transport modes (courier, standard air freight, and express air freight) are all faster, but they are expensive. Smaller shipments and products with a high value generally go by these other modes.

Ocean Freight Services

Ocean and sea freight services break down into two further options: a full container load (FCL) and a less than container load (LCL).

FCL is always preferable for fast processing and quick shipments.

One container contains several shipment, in the case of LCL. This means more work for the forwarder, extra paperwork involved, as well as physical work. LCL takes more time to deliver and the cost per cubic meter is higher. There is an increased risk of damage, misplacement, and loss with LCL.
Since shipping rates are lower for FCL, it may be worth using a full container once your shipment is large enough, even if your goods do not fill a full container.

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