There are so many reasons why a Freight Forwarder is needed when shipping goods from suppliers in China to Amazon in Europe:
- DEALING WITH SHIPPING LINE OR AIRLINE. First and foremost, if it was so easy dealing directly with a shipping line or airline to book freight, Freight Forwarders would not exist.
- SHIPPING RATES. The buying power of a Freight Forwarder is much greater than the average importer, so the rates we get are much better. Sometimes 50-100% better depending on the route.
- CONSOLIDATION. Shipping lines do not offer consolidation services. This is something that Forwarders developed and operate, by consolidating clients cargo in one place, to create enough ‘pay load’ to fill a container. The proportion of costs are spread across each cbm/ton and a sell rate is created which included the freight from port to port, and the added service features either side.
- SERVICE. A good forwarder will learn your business, spot trends and recommend alternative efficiency improvements to maximise your profits. Sometimes shipping less more frequently, is better than shipping bulk less often. Quick example is cash flow vs storage costs.
- CUSTOMS & EXCISE. A Forwarder declares your import or export to the customs for a small fee, pays out the due funds and re-invoices you at net cost! Shipping lines and Airlines do not do this.
- DELIVERY. How do you want your expensive investment of goods delivered? Protected, wrapped, to FBA Spec and no doubt sitting neatly on secure pallets? Then again, you need a Freight Forwarder to ensure this happens. We may even throw in some photos before it heads off to ‘Amazon World’ too!