Logistics companies are in the business of becoming the intermediaries who can either end up making your operations run smoothly or bring it to a halt.
It’s understandable that selecting a forwarder might be a difficult undertaking, which is why we’re here to assist.
What is the definition of a freight forwarder?
The conveyance of commodities from places of origin to destination via multiple carriers via ground, plane, and sea is the economic operation of freight forwarding.
In most cases, shippers are still unable to manage the logistics of cargo shipment and must rely on freight forwarders to just provide 3PL services. This is why it’s critical to locate a freight forwarder who really can meet your requirements.
How to Find and Select a Freight Forwarder
Check to see if they’re reputable
A solid reputation takes time to build and can be shattered in a matter of seconds. The credibility and contacts of freight forwarders are also what keep them in business.
If you’re worried about a forwarder’s repute or reliability, see if they’re a WCA approved member. This transportation partnership network serves as an excellent yardstick for determining whether or not a freight forwarder can be trustworthy.
If you can’t locate any background info, just check references from forwarders. Any credible forwarder ought to be able to handle this. Unless they are a privately owned company, you can also see their accounting information online.
Look for a forwarder with relevant experience.
There are some factors to be mindful of when it relates to a cargo forwarder’s expertise. If you’re working with exports and imports customs, for instance, you’ll want to know if your partnership has the necessary sector knowledge to handle the regulations and laws in both the source and destination countries.
You should also consider if you need to engage with an expert, preferably one that specializes in your cargo type. Having a forwarder that understands the best techniques for moving your goods is essential, whether you’re moving perishable items and need a reefer box or sending recyclable plastics.
Ascertain that they have a strong network.
The industry contacts of a freight forwarder are crucial. In the shipping sector, connections like that of EFS Australia can mean the difference between winning and losing.
These links enable forwarders to take advantage of NVOCCs and transporters for better rates, as well as ensure that documentation and local officials are handled promptly. If you want to understand something about your forwarder’s connections, you should ask for recommendations or inquire as to who they deal with.
Select someone who has a clear pricing structure.
Consider the following scenario. You’ve asked for a rate quotation. It needs 3 days to receive a response, and once you’ve booked your spot, you discover that the price was more than you had originally bargained for. This could be owing to GRI or PSS modifications, but it could also be owing to a lack of cost structure clarity.
You may discover that the overall freight rate quoted is opaque and that fees are bundled. You may not be aware that freight forwarders can ask you for fuel costs or brokerage fees. Look for a forwarder who has a clear price structure with no uncertainty.
