What are some key factors I should consider when choosing an International Freight Forwarder?

When you think of import/export, you want to work with a freight forwarding company that knows its stuff. It is a competitive world out there. So, you do not want to lose customers to a competitor because your freight forwarder didn’t know what to do when a small hiccup arose.  

Perhaps you source raw materials from Germany or China.

Or maybe you are exploring new markets and have considered shipping to Nigeria or Brazil.

How do you choose a freight forwarder for your business? What makes a great freight forwarder?

What criterion do you use?

Here are some tips to get you unstuck.

1.      Work with international freight forwarders your own size

The largest freight forwarding companies promise low rates. They claim their massive orders and gigantic partnerships will afford you the reliable timelines you are looking for, too.

That could be true.

However, they also tend to have too much on their plates to offer bespoke freight forwarding services. You may need your shipment to have special packaging, for example.

A smaller, more nimble company will likely handle the task more efficiently than a large freight forwarder.

Your shipment is also less likely to get lost, mixed up, or damaged by other cargo they are trying to fix. Smaller logistics partners can also offer more flexibility in terms of acceptable minimum freight capacity.

Still, look for a company that has just the right volume handling capacity, finances, and staff to ensure you get your shipment in time, every time.

2.      Talk to potential freight forwarders

You can get a feel for how a freight forwarding company works by talking to its staff. Listen in to tell if they are just after closing you in.

You may have heard of international freight forwarding companies that rope in clients with short-term deals.

When a customer signs a contract, the company tries to recoup the discounts they promised by charging higher fees on other essential services.

That’s outright misleading. So, ask these kinds of questions face-to-face. You may want to take your lawyer with you.

Then ask about essentials such as:

·         Freight forwarding experience

·         Freight rates

·         What’s usually included in their quote (insurance, re-packaging, etc.)

·         Terms and conditions

·         Exports compliance

3.      Enquire about your responsibilities

It is tempting to leave all responsibilities to the freight forwarding service. After all, they are the specialists, huh?

Well, you’ll have more responsibilities to take up than you might expect. The exact number will vary from vendor to vendor.

You’ll be responsible for declaring your overseas cargo, for instance. That much is clear.

But other obligations may not.

So, ask what they will be doing for you and what they expect you to do in return. Compare it to what another freight forwarding service has offered.

That way, you can start a relationship with your choicest vendor on a clear, mutually beneficial level.    

4.      Can transit time be guaranteed in shipping?

Some freight forwarders claim they can guarantee shipping and delivery times.

Transit times are not constant.

The best freight forwarders give a range, such as 4 to 8 days for air freight services. If you are considering ocean freight, expect a longer timeframe.

But even then, the potential vendor should give a range, not an exact number. Remember, it is better to underpromise and overdeliver instead of doing the opposite.

5.      Work with legitimate freight forwarders in the U.S.

The first thing you’ll want to know is if they are licensed to operate in your region.

You do not want to deal with shell companies based out of the country. It would be almost impossible to deal with them legally if anything went wrong with your shipment.

So, look for a company with a strong network of freight agents based in countries with strong legal systems such as the U.S. to protect yourself.

Bottom Line

Working with a reliable international freight forwarder can open doors for your business’ growth. You can tap developing markets tens of thousands of miles across the oceans.

But you’ll need a logistics partner who can handle your shipments with professionalism and dependability.   

The simple and practical tips discussed here can be your first-resort criterion for finding the right freight forwarder for your needs. 


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