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Important Terms in Freight Forwarding

Freight forwarding is an essential part of the logistics involved with contemporary international trade, but it's not an area the average citizen knows much about. If you're attempting to employ a freight forwarding service, many companies offer free rate quotes on their websites, but first you should familiarize yourself with the terms and concepts used in the industry. What follows is a list of the most commonly used terms that might trip up the casual reader.

  • Freight Forwarder - An individual or company responsible for arranging shipments of containers from one party to another, domestically or internationally. A forwarder handles all logistics issues and ensures compliance with the law. They may or may not also act as a carrier.
  • Carrier - A company responsible for dispatching vehicles to transport cargo from one location to the other. This can be accomplished by sea, land, air, or any combination of these.
  • Customs Broker - An agent in the U.S., licensed by the Department of Treasury experienced in all aspects of customs clearance issues, including import and export licenses.
  • Customs Bond - Required by the U.S. Customs Service to ensure payment from importers. Also called surety bonds, these come in two types, single entry and continuous. The relatively cheap single entry bond covers a single transaction; the quite costly continuous bond covers all transactions by an importer at all U.S. ports during a one-year period.
  • Customs Entry - A form required for all containers entering the U.S., describing all incoming goods and all fees associated with it.
  • Cartage - The act of hauling goods from one location to another. This can encompass every method from trucking cargo on land to transporting via airplane.
  • Liner - A type of ship employed to transport large amounts of cargo across the ocean.
    Wrapit Express Crate and Ship
    Our full service shipping company deals with all aspects of logistics, including freight forwarding in the local Oaks area. Making sure your freight gets where it needs to go with our forwarding service.
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    BA Trucking, LLC.
    1950 Kings Highway, Swedesboro, NJ 08085
    Make your freight shipping experience as smooth as possible with our cost-effective trucking services. Contact us today at (856) 381-0769 in Swedesboro, NJ, for more information.
    (856) 381-0769
    New Holland Transport
    165 N Shirk Rd, New Holland, PA 17557
    New Holland Transport is happy to provide freight transportation, complete with climate control. Contact us in New Holland, PA, to speak with a freight broker.
    (717) 589-2993
    Fmc Trublu Logistics
    15 Ritter Way, Lebanon, PA 17042
    (1) Review Write a review
    (717) 274-0327
    User Review: "Very slow in response and not very competitive pricing. Would not use them ever again."
    D Hx Enterprsies
    182 E Dekalb Pike, King of Prussia, PA 19406
    (610) 768-7180
    Transit System
    999 Old Eagle School Rd Ste 114, Wayne, PA 19087
    (610) 971-1830
    A C Logistics
    301 Lindenwood Dr Ste 305, Malvern, PA 19355
    (484) 913-0173
    Uti Corp
    6500 N Cannon Ave, Lansdale, PA 19446
    (215) 362-3360
    Ryn Ventures LLC
    650 N Cannon Ave, Lansdale, PA 19446
    (215) 412-4927
    Andritz Inc
    119 Pickering Way, Exton, PA 19341
    (610) 524-6191
    The Ups Store
    88 Glocker Way, Pottstown, PA 19465
    (610) 718-0544
    P B D Inc
    420 Eagleview Blvd, Exton, PA 19341
    (610) 458-5253
    Volpe Express Inc
    1000 Armand Hammer Blvd, Pottstown, PA 19464
    (484) 624-8591
    Stearly's Motor Freight Inc
    65 Lightcap Rd, Pottstown, PA 19464
    (610) 495-7260
    624 Old Reading Pike, Pottstown, PA 19464
    (610) 327-4915
    Informa International LTD
    1526 Brinton Park Dr, Wynnewood, PA 19096
    (610) 649-6700

    Freight forwarders do not actually move freight. Rather, they act as an agent and intermediary, assisting companies in finding the right shipping service for their needs. Using a freight forwarder simplifies logistics. The company will handle arrangements with all of the required transport companies for any trip. They have arrangements with trucking companies and air cargo businesses alike. Freight forwarders may also help with import and export regulations and clearing customs. They may also offer advice on logistics and help determine the best route and whether goods should be moved by air or sea. They are often particularly important when it comes to ocean shipping. Although their services are not cheap, they ensure that the client gets a good deal from all of the carriers and does not have to worry about the costs associated with handling their own shipping. Costs such as vehicle maintenance and container rentals can all be handled by the forwarding company and the carriers it works with. Freight forwarders may have standard rates, but often offer services on a competitive quote basis. They often develop long term relationships with specific carriers and airlines. These relationships can allow them to get cheaper service, although they do take their own markup. Using a freight forwarder to handle cargo shipping, however, is worth it for many companies in terms of the time saved. They also often deal with insurance, warehousing and risk assessment. They are particularly useful when a business lacks the in-house resources to understand the varying regulations that affect long distance and international freight.
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