In this article, we will discuss what freight forwarders are and their roles in the shipping industry. The first order of business is to explain what a freight forwarder is. Freight forwarders are companies that specialize in providing services to facilitate international trade.
There are a few things international forwarders do to help facilitate international trade. One thing they are responsible for is providing the proper documentation for customs.
If they do not have the correct documentation, the cargo will not be able to go through international borders. Another role freight forwarders have is to organize and consolidate data and information to make it easier for their clients to transport cargo along international borders.
While most shipping carriers own transportation assets, freight forwarders do not own transportation assets. Because of this, they fall into the category NVOCC. NVOCC stands for Non-Vessel Owning Common Carrier.
To summarize, freight forwarders specialize in facilitating international trade by making it easier for clients to transport cargo through customs and across borders. They do this by organizing, consolidating, and providing proper documentation to pass customs.