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Aug 3

Written by: Joel Martino
8/3/2010 7:50 PM 

 

Third-party logistics providers are an essential part of the export and import process. For the exporter, the freight forwarder is your right-hand man/woman, and choosing one is a decision which should not be taken lightly.

There are various ways to locate a potential freight forwarder – asking other exporters, contacting your local ITC or international trade assistance center, and researching online or the Yellow Pages.

Regardless of how you find your potential partner or who recommended them, it is in your best interest as an exporter to know as much about your international trade partners as possible. Here are some questions to ask:

 

How big is your operation?

·         This is often a matter of preference; larger companies can be less personal, but have the advantage of multiple agents being able to manage your shipment in case of an emergency.

This is my first time exporting – can you help me with all aspects and get my shipment overseas?

·         Possibly the most important aspect for a new exporter; communication and willingness to ‘hold your hand’ during initial shipments offers essential knowledge and important insight.

Which specific countries or regions do you specialize in?

·         Every region is unique; your shipping partner should have extensive experience dealing with the highly individualized processes involved with your particular region, and a strong support network in those countries.

How well do you know my product?

·         Most product groups require specialized attention, whether it is labeling, packaging or regulatory requirements; while no one knows your product as well as you do, a freight forwarder should be well versed in your particular industry.

What processes do you use to ensure that all documents for the order & L/C are consistent and coordinated properly?

·         This is an important question; the quality and scope of the answers can give you valuable insight into the knowledge and character of the companies you are qualifying, which will be potentially managing all aspects of your shipments.

Do you charge clients per individual document? How much are the fees per document?

·         Costs can accumulate quickly with international shipments; and it is best to know what all fees are upfront; this includes any and all electronic filings, such as AES and EEI.

 

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