A freight forwarder is defined as an expert in logistics who manages the physical transport of goods and products between exporters and importers. Clearing and forwarding companies are involved in all kinds of national and international transport processes, whether it is the organization of ships, the preparation of documents, customs clearance, storage, or delivery.

The role of a freight forwarder can vary based on the type and size of the employer or the owner of the goods. The freight forwarder arranges the goods by means of transport for his customers according to the requirements of the customer and the type of goods that the customer wishes to transport. You create and submit documents for the export or import of goods in order to fulfill the legal and customs requirements of the sales contract.

For example, if you are importing goods to Dubai, a clearing and forwarding companies or agent can help you with the necessary paperwork. A freight forwarder is recommended to assist the customer in transporting the goods from the buyer to the seller. Clearing and forwarding companies or agents conclude contracts with freight forwarders, usually several freight forwarders, to transport goods between manufacturers and suppliers.

A clearing agent represents the consignor and handles the customs clearance of imported goods. Similar to freight forwarders, clearing agents are specialists with specific expertise.

Each country has its own regulatory requirements with respect to customs, but a common requirement is that the clearing agent (or customs broker, as they are often called in some countries) must be accredited by the local customs authority, border authority, port, or other authority relevant to the shipment of the goods, and must have a valid clearing license at all times in order to clear goods on behalf of the customer (some countries have strict licensing requirements that may have to be withdrawn by control agents who do not comply with their license).

Simply put, clearing and forwarding companies or agents are logistics service providers that assist you in handling and managing your freight. They are part of the international supply chain and help deliver goods from source to destination. Cargo intermediaries, also known as freight forwarders or forwarding agents, are employed by export freight agents who transport goods between countries on behalf of exporters and shippers, by import freight agents, customs clearance agents, and customs brokers who bring goods into the country on behalf of importers.

Simply put, a freight forwarder is an agent who is responsible for freight transport on behalf of the carrier. Other tasks to be performed by freight forwarders include customs clearance of goods, the organization of payment of customs duties and taxes, and the organization of the delivery of goods by importers. clearing and forwarding companies and agents (freight forwarders) are independent companies that act as intermediaries between importers and exporters in coordinating the most cost-effective and appropriate way of transporting goods between nations.

In many cases, a freight forwarder and a clearing agent are the same entity, but in many cases, they differ, and in this contribution, we will examine the similarities and differences between them. It is important to understand the functions of freight forwarders and clearing agents, as their roles in shipments can be confused. As a clearing and forwarding company or agent, freight forwarders coordinate the transport of the goods to the factories, arrange for the loading of the goods on ships and process the documentation of the shipment.

The two entities that can disturb the balance of your shipping company are the freight forwarder and the clearing agent. Exporters need freight forwarders to make important decisions about the movement of goods. For goods, they monitor the entire process of tracking shipments, minimize delays and work with customs authorities and airlines on your behalf.

Freight forwarders can offer exporters expert advice on various logistics-related expenses such as freight costs, port costs, consular fees, documentation costs, insurance fees, goods costs, and customs clearance fees incurred during the export process. Clearing and forwarding companies can also contact foreign customs agents to ensure that the goods are properly documented and comply with local customs regulations. One of the main advantages of using a special cleaning agent to clear freight is that they can clear their goods more quickly and have a relationship with ports, customs authorities, transport companies, and trade unions.

All parties involved in the transport and handling of shipments, such as freight forwarders, freight forwarders, clearing agents, port and customs authorities, and customers, must have a packing list. The documents submitted by the clearinghouse for clearance of goods are trade invoices. In order to receive customs clearance, the clearance and forwarding agent must publish a transport invoice in the prescribed form.

Freight forwarding and clearing agencies have unique responsibilities, and if you need to transport large consignments across borders, you need to know the difference between them. Depending on the type of goods and freight shipped, this determines whether a forwarding agency is necessary for the success of the company. Freight forwarders store goods for export or import and wait for transport and distribution.

Trust your clearing and forwarding company or agent to handle your freight properly, give you peace of mind, and focus on other important business tasks. If you look at the above freight forwarding lists, you will find that freight forwarders are their own customs clearance department or department, which means that shipments from them do not normally use a third-party customs clearance agent. In other cases, exporters may appoint a separate clearing agent who meets regulatory requirements and prefers a freight forwarder.

Clearing and forwarding companies solve several problems in one go, decoupling overheads and stimulating the growth of your companies. If you do not employ a freight forwarder or clearing agent to help you with your operations, you leave an obvious gap that your competitors can exploit. Freight forwarders and clear agents are familiar with these requirements and can save you time and money.