Q.: What is a freight forwarder (forwarder, forwarding agent)?

A.: A freight forwarder, forwarder, or forwarding agent is a person or company that organizes shipments for individuals or corporations to get goods from the manufacturer/producer/shipper (exporter) to a market, customer or final point of distribution (importer). They don’t move the cargo themselves. They act as an intermediary between the client and various transportation services. Shipping goods from one international origin to another international destination can involve various carriers, requirements and legalities.

Q.: Why are the shipping rates so volatile?

A.: There are several factors involved in this matter. The most common are: - Market scenario/demand and peak season surcharge; - Another important factor is the fuel rates (bunker fuel factor), a floating surcharge that the carriers can change when oil prices rise or fall. - Government regulations and unions: terminal costs rise, especially with unions, congestions problems, terminal insurance. U.S. rail costs can increase for the same reasons. - Network from source to destination; - Trade lines between origin and destination; - Competition inside of this business/industry.

Q.: What are the common methods for a shipment payment?

A.: Payments can be done with a company check, a wire transfer or credit card (subject to administrative fee). Payment has to be made before the cargo is due to arrive, clear customs and be released.

Q.: What can be done to prevent delays and ensure a smooth process of the shipment?

A.: The most important thing is to have all necessary documents prepared correctly (packing list, commercial invoice, original bill of lading, and in timely manner. So, that all documents are prepared and provided at least one week before cargo arrives at destination. In this way everything can be process through customs ahead of schedule of the arrival. One factor that can slow the process down is when there are discrepancies between the shipper/supplier and the consignee/buyer.

Q.: Do you have a company at destination that can help us?

A.: Yes. Along with our own infrastructure in the USA, we have a solid and extensive network of international partners/agents around the world. They are chosen based on their reliability and ability to meet the demands of each customer: customs clearance, cargo storage or delivery.

Q.: Does the size and weight matter for air shipment?

A.: Yes, the air freight is based on both the actual weight and/or size of the cargo. A commonly question arises here, whether actual weight or chargeable weight? In air shipment, an air freight charge is calculated on the basis of actual weight or volume weight, whichever is higher. Then what is volume weight? How to find volume weight?

Q.: What is the maximum size or weight?

A.: This varies depending on the airline/aircraft. As a rule of thumb, maximum normal cargo dimensions: 120x80x60 inches. As the weight and size increase, so will the cost.

Q.: What are the destination charges?

A.: There may be airport fees, warehouse fees, custom clearance charges, duty/tax and door delivery. And, of course, if your cargo is chosen for custom exam at destination, additional charges and delay could happen.

Q.: What is “known” and “unknown” shipper?

A.: For more than ten year the Aviation Authorities in the USA have implemented very strict security regulations covering export airfreight. Part of these regulations include shippers becoming “registered” or “known” before their export cargo could be accepted in to freight forwarders air consolidation units, tendered to the airlines and shipped out on passenger aircraft.

Q.: Does my cargo need to be screened for air shipment?

A.: Yes. The Department of Homeland Security/Transportation Security Administration (TSA) determined that 100% of all air cargo be subject to physical screening (screened at the piece level prior to its transportation).

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