Why International
Freight Forwarding?
Transaction of goods and services between two different
nations is known as export and import. The country or the company that sends
goods is known as exporter and the other one that receives is called importer.
This is a vast business and most of the governments across the globe encourage
exports as they are a huge source of getting foreign revenue. Exports create
employment opportunities as well for the trained and skilled workforce within a
country.
Sending goods from one nation to the other is not as simple
as giving a utensil to our neighbor or sending a postcard to a relative
inviting them on a traditional occasion. The process of sending goods to the
other nation is known as International Freight Forwarding. This
process involves so many operations and other sub divisions that perform a
piece of work to complete desired give and take.
Let us discuss an example of sending a consignment of
finished goods from Australia to Gulf.
Initially properly packed goods will be needed to be moved to
a warehouse near an international port. Essential formalities regarding
container packing list, invoices, details and taxations should be completed.
Then the container carrying the goods to be exported will be loaded on a
commercial ship for transportation of goods by sea. After taking the most
convenient route, this ship would arrive at Singapore. Another company that
offers further transportation would be assigned with the material and
documents. There would be some other formalities related to customs and
insurance. Then the goods will be loaded to another ship that will transport
them to specified country in Gulf region. After customs checks and formalities
the goods would be required to be transported through road carriers to the
exact address of the receiver.
It would be practically difficult and costly to involve own
workforce to complete the job. That is the reason this process is outsourced to
professional companies who have the required manpower, skill and network to
carry out the job.
How does an ideal International
Freight Forwarder work?
They work as all-in-one solution providers for international
logistic needs. They have their own dealer network or tie ups with various
companies across the world to provide hassle free logistics services.
They act as a broker between their clients who hire them and
the end customer to whom the products are to be delivered. They take care of
storage and warehousing near ports and airports, transportation of goods
through roads and trains, loading and unloading of packaging in ship and planes
through variety of specialist agencies involved in the process.
Most importantly, they always have a trained team which
handles all legal formalities such as custom and insurance. Custom department
of different countries ensure avoiding trafficking of illegal matters such as
drugs and have set rules and regulations regarding various duties and taxes on
different listings of goods. While insurance provides risk coverage for damages
during transportation of goods. These are some of the formalities involved when
goods are transported internationally.
These International Freight Forwarders can be a cost
effective choice for goods transportation. As they place orders for
transportation in bulk quantities frequently to various airlines and shipping
corporations, they can send across the packaging at affordable cost for their
clients. If a small quantity is sent through these companies independently, it
would be costly for the exporter, as the charges may be calculated according to
size, weight and distance of transportation solely for the consignment being
transported.
For more info: Third Party Logistics Services
Miami
