Freight Forwarder
Also known as: Forwarder, Forwarding Agent, NVOCC
Definition
A freight forwarder acts as an intermediary between shippers and transportation carriers. They don’t own trucks or planes but coordinate the entire shipping process, booking cargo space, preparing documentation, and managing logistics.
What Freight Forwarders Do
- Book cargo space with carriers
- Negotiate shipping rates
- Prepare shipping documentation
- Arrange pickup and delivery
- Handle customs clearance
- Track shipments
- Manage cargo insurance
- Consolidate shipments (LCL)
When to Use a Freight Forwarder
Ideal for:
- International shipping
- Complex multi-leg shipments
- Ocean and air freight
- When you lack carrier relationships
- Customs compliance needs
Freight Forwarder vs. Customs Broker
| Freight Forwarder | Customs Broker |
|---|---|
| Arranges transportation | Clears customs |
| Books cargo space | Files entry documents |
| Coordinates logistics | Ensures compliance |
| May include brokerage | Licensed specialist |
Many forwarders offer both services.
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