It’s More than Just Shipping Something Out of the Country

Freight forwarding encompasses dispatching shipments on behalf of others to facilitate shipment by a common carrier. The services of a forwarder may be very extensive and are often essential to getting an exporter’s goods from the United States to an overseas customer. A forwarder not only can arrange export but also (with an overseas office or agent) import, clearance, and delivery.

Service Offerings
Freight forwarding services may include, but are not limited to, the following:
• Booking, arranging for, or confirming cargo space
• Ordering cargo to seaport/airport
• Preparing and/or processing export declarations
• Preparing and/or processing delivery orders and dock receipts
• Preparing and/or processing bills of lading
• Preparing and/or processing consular documents, or arranging for their certification
• Arranging for warehouse storage
• Arranging for cargo insurance
• Expediting shipments in accordance with U.S. government export regulations
• Preparing and/or sending advance notifications of shipments or other documents to banks, shippers, or consignees, as required
• Handling freight or monies advanced by shippers, or remitting or advancing freight, other monies, or credit in connection with the dispatching of shipments
• Coordinating the movement of shipments from origin to vessel/aircraft
• Giving expert advice to exporters on letters of credit, other documents, licenses or inspections, or problems related to the dispatch of cargo.

These forwarding services follow in part the list for ocean forwarders in 46 CFR 510.2.

Industry Standards
The Federal Maritime Commission licenses U.S. freight forwarders for ocean operations. U.S. forwarders may also be affiliated with various industry organizations, the best known of which is the International Air Transport Association (IATA). IATA has approved cargo agents (only airlines can be members of IATA); IATA is not a licensing body.

Forwarders may receive training and certification to ship dangerous goods (also known as hazardous materials). The relevant accreditation comes from bodies such as the International Civil Aviation Organization, the U.S. Department of Transportation, and the International Maritime Organization.