The import and export process requires highly specialized operations. This is one of the reasons why the international transport industry needs to recruit qualified personnel on a frequent basis. Among the wide range of professionals that logistics companies need, freight forwarders are one of the most valuable. But why is this entity so important in international trade?
FUNCTIONS OF THE FREIGHT FORWARDING COMPANY
A freight forwarder, also known as a shipper or freight forwarder, is a person or company that acts as an intermediary in import and export processes.
These companies try to simplify all documentation flows concerning the transport of goods. Logistics companies are aware of this problem and therefore rely on the support of freight forwarders in all their international operations.
The main functions of freight forwarders are:
- Carriage contract.
- Carrying out administrative tasks (insurance or contracts, international shipping documents, etc.).
- Choosing the most efficient route.
- Selection of suitable packaging.
- Storage and distribution of goods.
- Management of goods in different customs offices.
- Advice on import and export costs.
- Tracking of goods in real time.
- Legislative reports in force in international markets.
IMPORTANCE OF FREIGHT FORWARDERS IN INTERNATIONAL TRADE
If each logistics company had to perform the above activities themselves, their time available for other tasks would be significantly reduced. The reasons why freight forwarders such as eGlobe are so significant in the import/export sector are:
- Making the right decisions regarding your business: In international shipping there are many activities that require the coordination of the freight forwarder because it involves many basic responsibilities and decisions, including loading procedures, unloading, customs clearance, methods of picking up goods, etc.
- Coordination of communication between all participants in the process: Due to the complexity of the import and export process, cooperation with the freight forwarder is a good decision, as he/she has the responsibility to communicate with all participants in the international activity. Greatly facilitating the management of such activity.
- Information on the status of the commercial transaction: The freight forwarder is responsible for informing us of all developments related to the different stages of the shipment. In this way, we will always know where our goods are located.
- Greater bargaining power: Freight forwarders are more experienced purchasing managers, so they will have more bargaining power with suppliers who offer them good rates from which to benefit to a greater extent than the contracting company would do on its own.
- Possibility to enter into additional contracts: Nowadays, it is often necessary to enter into several additional contracts to guarantee the level of service. For this reason, with freight forwarders, there is the option of dealing with a company that carries out air, land and sea freight operations under one contract.
Reliable operations: By having a freight forwarder specializing in the multiple processes that goods go through, we can stop worrying about many very complex management decisions that the specialist will have to deal with in a short time.
- Task optimization: Freight forwarders can handle more situations because they are used to dealing with unexpected activities, such as delays or errors on a planned route. In fact, this is the main job of freight forwarders, to solve situations that are out of our company’s control or that may take a long time to be solved.
EGLOBE, FREIGHT FORWARDING COMPANY WITH EXTENSIVE EXPERIENCE
All in all, the objective of freight forwarding companies is to ensure that shipping operations in general and the entire commercial process operate efficiently, cost-effectively and safely. One aspect we must bear in mind is the need to have a quotation before any import or export is carried out.
At eGlobe we offer excellent management, ensuring that all goods arrive at their destination without complications and in perfect condition, safeguarding the interests of the exporter and the importer, making use of the legality in force.
Do not hesitate to contact us and ask for a quote without any obligation.