Exporting internationally requires a business to move their product from one country to another—adequately complicated, but not impossible. However, when it comes to the process of shipping, “impossible” may be exactly how it feels. There’s more to it than meets the eye: codes, packaging, labels, weight requirements, documentation, scheduling, tracking, customs, storage, and so on. Without a bit of help, it can quickly become another agonizing step in an already taxing affair.
Thankfully, help is out there, and outsourcing your shipment needs may be the key to maintaining a smooth flow of operation—and keeping your head.
Welcome back to “Moving Parts,” a series from the NDTO where we discuss the many individuals and organizations that make international trade possible. Today, we’ll look at the role freight forwarders play in getting our goods to their destination with efficiency, accuracy, and precision.
Freight Forwarders: What They Do
The intricacies of shipping, especially in bulk, bring with them the potential for several complications. Complications that can seriously delay your business’s functions and compensation. To avoid such complications, it’s often best to leave this aspect of exporting to the experts.
Luckily for us, freight forwarding companies assemble entire teams of experts who handle every step of shipping from transportation to documentation. To name a few:
- Logistics/Freight Coordinators: Logistics coordinators handle much of the organizational aspects of exporting—or, the boring but necessary stuff. This makes them the main point of contact for both their clients and collaborators. They keep track of documentation, scheduling, shipment management, and more.1
- Customs Brokers: Non-compliance equals delays in the export line of business. Customs brokers ensure your goods aren’t being held up by customs authorities due to issues like missing documentation, insufficient payment, incorrect classification or valuation, absent approvals, etc.2
- Distribution Specialists: Distribution specialists are the unsung heroes of international trade. Their work varies, but mainly involves the initial movement of goods from one place to another. They also track inventory, manage warehouse operations, and direct shipments.3
- Sales and Customer Service Representatives: As uninvolved as you wish to be in the exporting process, there will always be the occasional hitch. Freight forwarders typically have representatives there to help your business overcome those hitches and keep you informed of any shipment delays, improper handling by a carrier, miscommunications, and so on.4
- IT and Technology Specialists: Technology plays a major role in international trade. But it also plays a major role in freight forwarding, allowing businesses real-time visibility, tracking, and engagement with their goods. IT specialists make it their job to keep an eye on your product.5
There are several more positions that make freight forwarding companies run as smoothly as they do. But as you can see, a lot goes into it. The point is: They got you covered.
Common Mistakes
Because shipping requires so much thought and transparency, mistakes are bound to happen. Here’s some common mistakes that freight forwarders help us prevent:6
- Incorrect or Incomplete Documentation: Documentation is one reason why having a logistics coordinator and custom broker is so important. They know what it takes to get your goods to a port and through customs with little to no stress—or legal penalties.
- Improper Packaging: A lot can happen between point A and B, and goods that are damaged upon arrival can really hurt both your profits and reputation. Freight forwarders will advise you when it comes to deciding how to package your goods so they arrive in prime condition.
- Under or Overvaluing Your Goods: Incorrectly valuing your goods can lead to a delay in shipping. This is because the value of your goods affects your “duties”—fees and taxes imposed by customs, world governments, and more.
- Incorrect Classification: Similarly, classification also affects duties. Freight forwarders are well-versed in product classification and can accurately label your product provided the proper information.
It’s hard to sort out these issues all on your own. Freight forwarding agencies can take the weight of them off your shoulders before they even happen!
North Dakota Resources
There are many freight forwarding agencies in ND. For example, Valley Worldwide Logistics Solutions. When choosing an agency, keep your product at the forefront of your mind. Make sure you can answer the following questions: What markets am I shipping to? By what mode of transportation will my product need to be shipped? What are my incoterms?7
The NDTO is always here to help when it comes to exporting. If you need advice, reach out!
1 Freight Coordinator: Job Description, Salary, and Skills – ResumeHead
2 What does a customs broker do? – CareerExplorer
3 What Does A Distribution Specialist Do? Roles And Responsibilities – Zippia
4 Customer Service in Freight Forwarding: A Complete Guide (hiverhq.com)
5 Information technology in freight forwarding (virtuslab.com)