Difference between clearing agents and freight forwarders

If you carry large quantities of personal or business freight internationally, you can use a forwarder or a clearing agent. You certainly will not emphasize using these services. The clearing agent and the forwarding agent can assist in the cargo transportation and ensure that the cargo is safely reaches its destination. Although it can be assumed that freight forwarders and clearing agents are the same, there is a difference between them.

If you intend to place the cargo at an international destination, you must complete certain customs formalities. This is where a clearing agent can help you, since most agents have a good relationship with the customs authorities. Documentation on customs clearance of goods and delivery of goods is handled by the Clearing Agent. If a clearing agent handles the load, paperwork will not be spared. Furthermore, you do not have to worry about paying customs and VAT because these fees will be handled by the agent.

A forwarder may be a company or self-employed person who cares for exports. In general, a freight forwarder is often referred to as a third-party logistics service provider. The freight forwarder is responsible for organizing the entire cargo process before being packaged. In any case, the freight carrier shall deliver the cargo to its warehouse and store it there before being shipped. The delivery is done according to the customers' needs. Normally, the customer must inform the forwarder where the cargo is to be delivered and the forwarder is looking for the best and most cost-effective route. Cargoes usually handle shipments shipped at sea, but you can also handle air cargoes.

So shipping needs and customs are handled by a freight forwarder, customs and documentation being handled by an agent. This is the fundamental difference between a forwarder and an agent

Source by Kum Martin

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