The need for freight forwarding in the supply chain results from the complexities that often arise during the transportation of products, especially across borders. If you have goods to transport from point A to point B, a freight forwarder will find the best routes, specific couriers and even identify the most suitable mode of transport depending on your needs. They are knowledgeable and duly experienced at their work so will know how to handle technological, legal, social as well as political issues that may arise over the course of transportation.
Basically the freight forwarder handles the following activities:
- Consolidating and distributing shipment
- Processing necessary documentation
- Selecting the most suiting means of transportation
- Selecting the best routes for transportation
- Acts as the intermediary in customs processes
- Assumes control of parcels
- Arranges for cargo insurance
- Facilitates payments of parties involved