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Glossary

Trade Finance Glossary and Export Import Terms

Home > Finance Glossary > Freight Forwarder

What is Freight Forwarder?

Freight Forwarder is a logistics service provider that manages the transportation of goods on behalf of exporters and importers.

How It Works:

  • The business appoints a freight forwarder.
  • The forwarder plans the shipment route and mode.
  • Arranges transportation, documentation, and customs clearance.
  • Coordinates with carriers and authorities.
  • Ensures delivery of goods to the destination.

Benefits:

  • Simplifies logistics management
  • Handles documentation and compliance
  • Provides expertise in international shipping
  • Saves time and operational effort

Example:

An exporter hires a freight forwarder to manage the shipment of goods from India to the United States.

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