The difference between shipping and freight forwarding

People who often do import and export trade often hear the words shipping and freight forwarding, and shipping and freight forwarding are often in contact with import and export. But those who are new to these industries may be confused. What is shipping and freight forwarding? What is the difference between shipping and freight forwarding?

1.Different definitions

Freight forwarding: the full name is freight forwarding. Refers to the completion of a certain link or related link of the goods in the import and export logistics transportation entrusted by the owner. Common freight forwarding work includes air freight import and export, import customs clearance, import customs declaration and so on. The freight forwarder is the agent of the cargo owner, who, on behalf of the cargo owner, makes bookings with the shipping agency or the shipping company, handles the relevant export declaration procedures, and advances the freight charges.

Shipping Agency: The full name is Shipping Agency. It refers to the formalities and coordination work related to the ship business, and ultimately to ensure that the cargo can be smoothly loaded and unloaded. Common shipping agency work includes: quarantine, trailers, loading and unloading cargo, signing bills of lading and so on. The shipping agency is the agent of the shipping company, on behalf of the shipping company, accepts the booking of freight forwarding, issues the bill of lading of the shipping company, and collects the freight.

2. Different responsibilities

Freight forwarding: It is essentially the same as third-party logistics. It is not the actual carrier of the shipping company, but the commissioner of the cargo owner to help the cargo owner handle the connection and communication of the goods in the import and export logistics.

Shipping Agency: The shipping agency mainly provides a series of specific services for ships and shipping companies.

3. Different service objects

Freight forwarding: Serving the majority of foreign trade, factories and shippers friends, is the bond between the shipper and the carrier.

Shipping Agency: serves the shipping company and is the bridge between the shipping company or the carrier and the port.

4.Other content

Freight forwarding: Generally divided into first-level freight forwarding and second-level freight forwarding. The first-level freight forwarder can book the booking directly with the shipping company, but it is not necessarily eligible for booking, and the second-level freight forwarder is not necessarily worse than the first-level forwarder. It depends on the qualifications and capabilities of the freight forwarding company. Not all freight forwarders are almighty, and not all freight forwarders have the same scope of work.

Shipping Agency: LCL booking is made by freight forwarding companies. Shipping companies generally do not accept LCL, so LCL bills of lading are generally not shipping company bills of lading.

5.Different quantities

The number of shipping agents is not too much (relative to freight forwarding);

6. Different contact ranges

Shipping agents generally have less contact with them. After all, shipping agents deal mainly with shipping companies and ports. Freight agents have more contacts with ordinary people because freight agents deal mainly with shippers and carriers.

In short, the freight forwarder is mainly responsible for helping customers to make bookings, auto transport, customs declaration, and purchase orders. In short, it will be responsible for delivering the cargo of the owner to the ship. And stowage.