International Freight Forwarding Explained

International Freight Forwarding Explained

International freight forwarding is the process of coordinating the movement of goods between countries. It involves more than simply booking cargo with a shipping line or airline. A shipment may require transportation planning, documentation, customs coordination, cargo handling and delivery arrangements.

A freight forwarder helps bring these different parts together, making it easier for businesses to manage international shipments.

 

What Is International Freight Forwarding?

International freight forwarding is the coordination of goods moving from one country to another.

A freight forwarder generally works with carriers and logistics providers to arrange the transportation of cargo according to the shipment’s requirements. Depending on the goods and destination, this may involve sea freight or air freight, along with other supporting logistics services.

The forwarder acts as a coordinator between the business shipping the goods and the different parties involved in the journey.

 

How Does International Freight Forwarding Work?t

Although every shipment is different, the process usually involves several key stages:

StageWhat Happens
Shipment PlanningCargo details, origin, destination and requirements are reviewed
Freight BookingSuitable sea or air freight is arranged
DocumentationRequired shipping and commercial documents are coordinated
CustomsCustoms-related requirements are managed or coordinated
TransportationCargo moves through the selected freight network
TrackingShipment progress can be monitored through available tracking systems
DeliveryFinal transportation and delivery arrangements are completed

The exact process depends on the type of cargo, shipping route, destination and service selected.

What Does an International Freight Forwarder Do?

A freight forwarder’s role can cover several parts of an international shipment.

Freight Booking and Coordination

The freight forwarder coordinates with relevant carriers to arrange transportation. For international shipments, this may include booking air freight or sea freight based on the shipment’s requirements.

Shipping Documentation

International shipments require accurate information and documentation. A freight forwarder helps coordinate the documents required for the transportation process.

Customs Coordination

Goods crossing international borders must meet the customs requirements of the destination and, where applicable, the origin country.

A freight forwarder may provide customs brokerage services or coordinate with customs professionals to support this part of the shipment.

 

Cargo Consolidation

Not every shipment needs an entire container. LCL (Less than Container Load) allows cargo to be consolidated with other shipments, while FCL (Full Container Load) is used when a full container is required.

Freight TypeGenerally Used For
LCLCargo that does not require a full container
FCLCargo requiring a full container
Air FreightShipments where speed is an important consideration
Reefer ContainerCargo requiring temperature-controlled container equipment

The appropriate option depends on the shipment rather than one method being suitable for every business.

 

Why Is International Freight Forwarding Important?

International shipments can involve multiple companies, transport stages and regulatory requirements. Managing these individually can become difficult, particularly when a business handles regular imports or exports.

A freight forwarder can help coordinate:

  • International transportation
  • Carrier arrangements
  • Shipping documentation
  • Customs requirements
  • Cargo consolidation
  • Shipment tracking
  • Delivery arrangements

This gives businesses a central point for coordinating different aspects of their freight movement.

 

Sea Freight vs Air Freight

The choice between sea and air freight depends largely on the shipment’s requirements.

FactorSea FreightAir Freight
SpeedGenerally slowerGenerally faster
Cargo VolumeSuitable for larger shipmentsOften suited to smaller or time-sensitive cargo
CostOften considered for larger-volume shipmentsGenerally higher for equivalent weight/volume
Common UseInternational cargo and container shipmentsTime-sensitive international shipments

There is no single option that is best for every shipment. Businesses should consider cargo size, urgency, destination and overall shipping requirements.

 

What Factors Affect International Freight?

Several factors can influence how an international shipment is arranged:

  • Origin and destination: Shipping routes and available services differ between locations.
  • Cargo type: The nature of the goods can affect handling and documentation requirements.
  • Weight and volume: These can influence the appropriate freight method and cost.
  • Urgency: Time-sensitive shipments may require air freight.
  • Container requirements: Businesses may choose between LCL and FCL depending on cargo volume.
  • Customs requirements: Different countries have different import and export rules.

Providing accurate cargo information at the beginning can help the freight forwarder plan the shipment appropriately.

Tracking International Shipments

Shipment visibility is an important part of international freight forwarding. Depending on the service, tracking systems can provide updates as cargo moves through the freight network.

Stockwells provides a track and trace service through its client portal, giving customers visibility of their consignments in one place.

International Freight Forwarding for Australian Businesses

Australian businesses importing and exporting goods may need to coordinate freight across multiple international routes and logistics providers.

An experienced freight forwarder can help coordinate these requirements, from arranging international sea or air freight to supporting documentation, customs and shipment tracking.

Stockwells has provided freight forwarding services since 1971, with capabilities across air and sea freight, LCL and FCL freight forwarding, buyer’s consolidation, reefer containers and customs brokerage.

 

Frequently Asked Questions

What is international freight forwarding?

International freight forwarding is the coordination of transporting goods between countries, including freight booking, documentation, customs coordination, tracking and delivery arrangements.

 

An international freight forwarder coordinates different parts of a shipment and works with carriers and logistics providers to arrange the movement of goods.

 

No. Shipping generally refers to the transportation of goods, while freight forwarding involves coordinating the transportation and related logistics requirements.

It depends on the shipment. Air freight is generally faster, while sea freight can be suitable for larger international cargo and container shipments.

International freight can involve several stages, from freight booking and documentation to customs and delivery. Stockwells can help coordinate your air and sea freight requirements with experienced freight forwarding support.

 

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