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Basic Definition of Freight Forwarder

In the international freight market, the agent industry is between the cargo owner and the carrier, accepting the entrustment of the cargo owner, acting as charterer, booking, stowage, repairing relevant documents, customs declaration, inspection, insurance, container transportation, dismantling and loading, issuing bills of lading, settlement of freight and miscellaneous charges, and even negotiation and settlement of bills of lading.

The International Federation of Freight Forwarders Associations defines freight forwarding as a person who, according to the instructions of the customer, takes goods for the benefit of the customer, is not the carrier himself. Freight Forwarders can also engage in activities related to transport contracts, such as storage, customs clearance, acceptance and collection.

The implementation rules of the international freight forwarding industry in China are defined as: an international freight forwarding enterprise can act as an agent for the consignee and consignor of import and export goods, or as an independent operator to engage in international freight forwarding business.

As an agent, an international freight forwarding enterprise engages in the international freight forwarding business, which means that an international freight forwarding enterprise accepts the entrustment of the consignee, consignor or their agent of incoming and outgoing goods, conducts relevant business in the name of the principal or its own, and collects agency fees or commissions.

As an independent operator, an international freight forwarding enterprise engages in the international freight forwarding business. It refers to the act of an international freight forwarding enterprise accepting the entrustment of the consignee, consignor or their agent of incoming and outgoing goods, issuing transport documents, fulfilling the contract of carriage and collecting freight and service charges.


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