Moving goods across borders is a key part of operations for companies of all sizes. While international trade opens the door to exciting opportunities, it can also feel overwhelming – especially if you're unfamiliar with the term “freight forwarding.” Does it refer to a logistics manager? A shipping provider? Or perhaps a third-party trade specialist?
In reality, a freight forwarder isn’t exactly any of the above things, though their role touches on all of them. This guide will walk you through the meaning of freight forwarding and how freight forwarders help simplify the often complex world of global shipping.
What is freight forwarding?
Freight forwarding refers to the organized planning, management, and execution of transporting goods across borders using various modes of transportation, such as air freight, sea freight, rail freight, or road freight.
What is international freight forwarding?
International freight forwarding is a specialized branch of freight forwarding that focuses specifically on the cross-border movement of goods. It involves navigating customs regulations, international trade laws, tariffs, duties, and documentation requirements unique to each destination country. International freight forwarders are highly skilled in managing these challenges and ensuring that cargo reaches its overseas destination without delays or legal issues.
Whether it's arranging multimodal transportation, consolidating shipments, handling export paperwork, or coordinating with customs brokers, international freight forwarders are essential for businesses that operate in the global marketplace. Their expertise simplifies international logistics, allowing companies to focus on growth while leaving the complexities of shipping to the professionals.
Read more about air freight forwarding
What are freight forwarders?
So, what does a freight forwarder mean? The definition of a freight forwarder is a logistics specialist who manages the end-to-end coordination of cargo shipments for businesses involved in international trade. They act as a key link between importers/exporters and transportation services. Freight forwarders do not move goods themselves, instead, they organize and oversee every phase of the shipping process on behalf of their clients.
What is freight forwarding in logistics?
In logistics, freight forwarding is also the process of managing and coordinating the movement of goods through a supply chain, especially across international borders. It involves handling transportation, documentation, customs clearance, and storage – ensuring that cargo moves efficiently from origin to destination.
To better understand how freight forwarding in logistics works, consider this example:
Imagine a coffee producer in Colombia, exporting roasted beans to a café chain in Germany. A freight forwarding company would arrange to first have the coffee beans transported by truck from the roastery to the nearest port. Then, load the shipment onto a container vessel bound for Europe, and coordinate the final delivery by rail or truck from the port in Hamburg to the café’s distribution center in Berlin.
Throughout the journey, the freight forwarder would manage all necessary paperwork, oversee customs clearance, and troubleshoot any delays or disruptions.
Also read our article about digital freight forwarding
How does freight forwarding work?
Here’s how freight forwarding typically works:
- Trade terms agreed: The buyer and seller decide who’s responsible for what during shipping. These rules are called Incoterms.
- Pickup and export prep: The freight forwarder arranges for the goods to be picked up from the supplier and taken to the port or airport. If needed, they also handle export inspections.
- Export customs clearance: The freight forwarder prepares and submits the necessary paperwork to get the shipment cleared to leave the country. Think of it like a passport for your goods.
- Import customs clearance: When the goods arrive, the forwarder makes sure all documents are ready for customs in the destination country to avoid delays.
- Final delivery: Once cleared, the forwarder arranges transport to the final destination.
What is a freight forwarding service?
A freight forwarding service is much more than just moving goods from one place to another. It's a full support system that helps businesses ship products efficiently, affordably, and in compliance with all regulations.
A freight forwarding service can include:
- Cost-saving advice on transport charges, customs duties, and documentation fees
- Cargo insurance
- Guidance on packaging and labeling to ensure goods are safe and compliant
- Custom reports including performance tracking and environmental impact
- Tailor-made logistics solutions designed for each shipment or project
- Route and mode optimization to choose the best transportation method based on cargo type, urgency, and season
- Customs support, including correct tariff codes, required documents, and storage solutions.
Also read: Which transport solution should you choose?
4 advantages of freight forwarding
Using a freight forwarder offers several key benefits that make international shipping easier, more cost-effective, and less risky for your business.
- Lower shipping costs: Freight forwarders can combine shipments from multiple clients to fill containers, helping reduce costs for smaller shipments.
- Flexible and specialized services: Many forwarders focus on certain transport methods or markets, so you can choose the services that best match your needs.
- Expertise in customs: Freight forwarders stay up to date on changing regulations and can handle customs paperwork, taxes, and duties to avoid delays or penalties.
- Extra support services: Freight forwarders can help with documentation, cargo insurance, banking forms, and even inventory tracking, taking pressure off your team.
Read more about how to calculate shipping costs.
Project freight forwarding
Project freight forwarding is a specialized branch of freight forwarding that deals with transporting large, heavy, high-value, or complex cargo. Often for industries like construction, mining, oil, and gas. Unlike standard shipments, project cargo often involves unusual sizes, specialized equipment, and strict timelines.
This type of freight forwarding goes beyond basic shipping services. It requires detailed planning, coordination of multiple transport modes, and sometimes even infrastructure adjustments – such as reinforcing roads or modifying ports to handle oversized cargo.
Freight forwarders who handle project cargo bring the same core expertise – route planning, carrier coordination, and customs knowledge – and apply it on a more complex scale. They ensure that every piece of equipment, whether it's a wind turbine or a drilling rig, arrives safely and on schedule, even across multiple countries.
Read more about project cargo logistics.
Bertling – experts in international project freight forwarding
From heavy and oversized cargo to complex routes and supply chains, Bertling specializes in project logistics.
Over the years, we have successfully managed large-scale logistics projects involving numerous global and local offices, assets, and resources worldwide. One of our key areas of expertise is remote-location logistics – delivering to and from some of the most challenging and inaccessible parts of the world.
This requires a strong local network, smart logistics strategies, and in-depth knowledge of geography, infrastructure, politics, climate, and social conditions. We’ve developed a thoughtful and responsible logistics concept that anticipates potential disruptions and ensures smooth operations, even in the most demanding environments.
With Bertling, complex logistics become manageable, backed by experience, precision, and global reach.
