Understanding the Freight Forwarding Business

Only available on StudyMode
  • Download(s) : 337
  • Published : April 28, 2013
Open Document
Text Preview
One of the earliest freight forwarders was Thomas Meadows and Company Limited of London, England, established in 1836. According to "Understanding the Freight Business," written and published by the executive staff of Thomas Meadows and Company in 1972. The advent of reliable rail transport and steamships created demand for the fledgling freight forwarding industry. Trade developed between Europe and North America, creating additional demand. The first international freight forwarders were innkeepers in London who held and re-forwarded the personal effects of their hotel guests. The original function of the forwarder was to arrange for carriage by contracting with various carriers. Forwarder responsibilities included advice on documentation and customs requirements in the country of destination. His correspondent agent overseas looked after his customers' goods and kept him informed about matters that would affect movement of goods. In modern times the forwarder accepts the same responsibilities. It operates either as a domestic carrier or otherwise with a corresponding agent overseas or with his own branch-office. In a single transaction, the forwarder may be acting as a carrier (principal) or as an agent for his customer or both. FIATA

The International Federation of Freight Forwarders Associations (or FIATA, French: Fédération Internationale des Associations de Transitaires et Assimilés) is a non-governmental organization representing 40,000 forwarding and logistics companies, employing 8 to 10 million people in 150 countries. It was founded in Vienna, Austria, on 31 May 1926. FIATA has created several documents and forms to establish a uniform standard for use by freight forwarders worldwide. The documents are easily distinguishable as each has a distinctive colour and carries the FIATA logo which can be seen at the head of this page. •FCR: Forwarders Certificate of Receipt

FCT: Forwarders Certificate of Transport •FWR: FIATA Warehouse Receipt
FBL: FIATA Bill of Lading (negotiable Multimodal Transport) •FWB: FIATA Waybill) (non-negotiable Multimodal Transport) •SDT: Shippers Declaration for the Transport (of Dangerous Goods) •SIC: Shippers Intermodal Weight Certificate

FFI: FIATA Forwarding Instructions

FIATA documents have an excellent reputation and are recognized as documents of tradition and trust. Thus making customers believe in the services provided by the company. An international freight forwarder is a company which specializes in importing and exporting goods. The services offered by international freight forwarders include: •booking space

freight savings: bulk buying space to get better prices
costing: assist you to calculate the cost involved in exporting goods to a particular destination and advise on the cheapest means of transport •cargo monitoring: monitor the movement and location of the cargo •documentation: forwarders can produce documents which meet exporter's instructions, letters of credit and regulatory requirements in the importer's country •storage: the facility to store outgoing and incoming cargo, or arrange inspections •Market information: provide information about market conditions, export and import requirements, duty rates etc. Freight Forwarder is a logistics administration service that is normally used in the process of importing and exporting of goods and other freight items. Companies that need to import or export any good will find their job easier if they assign the freighting task to a freight forwarder for organizing the logistics of the merchandise shipment and make their good’s delivery in the quickest time in a professional manner. If you are confused whether to hire a 3rd party freight forwarder or not, then you must consider reading the following benefits of using a freight forwarder to help you out Benefits of using a freight forwarder:

1. Outsourcing makes...
tracking img