What parties are involved in the chain of transport?
When it comes to the transportation of goods by sea, four major parties are involved in the supply chain. There may be some lack of understanding about each's role in the logistics chain answer know it is important to understand how each party engages in the global shipping process.
Let’s discover the main players and their responsibilities in the international goods transportation chain.
The shipping carrier is the shipping line or airline that will transport the cargo physically. A shipment may involve one or more carriers, particularly if trans-shipments are part of the supply chain. This type of shipment requires only a payment or an air delivery note.
A freight forwarder is a person or company who arranges shipments for businesses to get goods from the warehouse to the customer/final destination. Forwarders can also serve as customs brokers and clearing agents. For customs formalities processing, they require the help of a specialized network of agents and businesses.
A forwarding company's job is to ensure that cargo arrives at its destination in good condition. Their responsibilities include tracking the shipment as soon as it becomes available, registering consignments with carriers, preparing the B/L, extracting the consignments from the carrier's agents, getting ready all necessary documents, and delivering these documents in full compliance with their concepts.
A customs agent is a person or business who is informed about import and export laws. The customs agent is licensed to send all documents for customs clearance and help importers with the payment.
Businesses are exempt from paying internal taxes as a result of customs which authorizes documents to prove that cargo export is legal to avoid illegal transactions.
Insurance providers are also an important part of the supply chain because they protect all insured cargo from transportation risks. This is achieved through contractual arrangements and separate insurance policies.
Now you know all the parties that build up the logistic chain of transportation! What party do you consider to be the most important? Let us know in the comments!