International Freight Forwarding: Definition, Benefits, & Key Stages

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Freight forwarding refers to planning and coordinating the flow of goods across international borders on behalf of the shippers. It involves many other tasks, like supplying cargo insurance, warehouse and logistics planning, and customs brokerage. Besides that, a freight forwarder deals with negotiations in freight rates, customs documentation, container tracking, and freight consolidation.

Businesses involved in export and import are required to make strategic logistics plans for hassle-free and efficient international shipping. This is because the logistics game for cross-border shipping is quite complex. It requires various licenses and certificates for international freight forwarding and a profound knowledge of customs regulations, protocols, and standards that switzerland phone number list may be different in each country. International freight forwarding also requires the shipper to have a creative problem-solving knack to pitch in ideas when the weather is unfavorable, or there are technical or other issues that can probably halt the transit. Besides those capabilities, the shipper must be a good networker to manage healthy relationships with suppliers and other parties in the supply chain.

The flourishing international trade and globalization are the force behind the growth of the international freight forwarding industry. In 2022, the value of the freight forwarding market was USD 191.6 billion. It is expected to grow at a CAGR of 4% between 2023 and 2032.