Freight Forwarding

Last updated on 08 Jan 2025

19 Jan 2018 . 1 min read

Brian Canup

Brian Canup is a former Editorial & Research Assistant at Trade Finance Global (TFG). He graduated with an MA in International Political Economy from King’s College London, and a BA in Political Science from the University of Wisconsin-Madison.

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Freight Forwarding, Shipping & Logistics

Welcome to the TFG freight forwarding, shipping and logistics hub. Moving goods and services from A to B has never been more complex, as supply chains have grown longer and more fragmented. Whether you’re transporting goods, or learning about supply chains, warehousing, transportation and packaging, we’ve got you covered.

What is Freight Forwarding?

Freight forwarding is the term to describe moving a shipment through the supply chain, from its origin at the exporting country to its destination in the importing country. Firms may choose to handle this themselves, but many use freight forwarders to simplify and speed up the process.

Freight forwarders are companies that handle the shipping process on behalf of the supplier, taking care of a shipment from the moment it leaves the supplier to its arrival at the buyer. Freight forwarders do not transport the goods themselves, but rather coordinate with a range of shipping companies to find the quickest, safest, and most cost-effective combination of transport for their clients.

Because freight forwarding companies handle many clients through several transport routes, they can often negotiate the best price with shipping companies and take advantage of simplified customs clearances and lower tariffs. Therefore, many companies who are just starting to export goods abroad will choose to use a freight forwarder to simplify the process.

Taxes and Codes

1 | IGST, SGT and CGST

6 | IGM and Bill of Entry

FAQ

Should I use a freight forwarder if I know very little about logistics?

When companies are not yet comfortable about shipping logistics, it is sometimes easier for them to use a freight forwarder. Freight forwarding services vary, but most companies can assist in improving efficiency by consolidating smaller shipments. They can also assist navigating the rules of an unfamiliar importing country and may benefit from reduced regulations or tariffs.

How do I choose a freight forwarder?

When vetting a potential freight forwarder, you should consider the following aspects:

Are they a member of the British International Freight Association (BIFA) and so covered by freight liability insurance?

Have they worked with clients similar to you and do they have experience with similar products?

Do they work in the countries you are shipping in? What countries or range of countries is their expertise in?

Can they handle multiple transport methods?

Do they benefit from customs, tariff, or other regulatory discounts?

Should I use a freight forwarder if I know very little about logistics?

When companies are not yet comfortable about shipping logistics, it is sometimes easier for them to use a freight forwarder. Freight forwarding services vary, but most companies can assist in improving efficiency by consolidating smaller shipments. They can also assist navigating the rules of an unfamiliar importing country and may benefit from reduced regulations or tariffs.

Freight Forwarding | Our Global Shipping Hub [UPDATED 2025]

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