Parties Involved In International Shipment Process

If you are into Import and export business or involve in any kind of international trade then this article is for you. Some exporter’s gets order through e Commerce portals, for this they want e Commerce fulfilment service provider whereas some are having client through offline marketing. For the smooth transportation of both the orders lots of parties are involved.

Transportation word sounds easy but it involves a complete process from the beginning till the end. Apart from modes of transport like Air cargo, Trucks, sea cargo so many parties are involved in the chain of transportation without them transfer of goods will be impossible.

Removing of any of the party from this process results in lost, delay or custom stuck of your shipment. Let’s talk about these parties in detail and what role these parties played in the process of transportation:-

Shipper/Exporter – 

Shipper or exporter is one of the most important parties that are involved in the chain of transport. Exporter is the party who send the goods to the importer. Exporter could be manufacturer, trader or wholesaler etc. Without the exporter this whole process will be impossible

Consignee/Importer

Importer/ consignee is the party who demands the products from the exporter. When both the party importer and exporter involves in buying and selling of goods it comes under international trade.  

Freight Forwarder

Apart from import and export, the party that is most important is freight forwarders. Without them transportation of goods cannot be possible. Freight forwarder is solely responsible for performing all the tasks like legal documents required for air cargo, storage and Warehousing, packaging, and the most important for which freight forwarder is known is arrangement of transportation modes like air, truck, sea, rail etc. for the transfer of goods from one country to another.  For long routes there will be requirement of multiple modes of transports. So this is the task that freight forwarder agent performs.

Origin and destination agent

On every port origin or destination, an agent is appointed. Their task is to handle to goods at the port so that goods can be load properly inside the transportation.

Agent –

Agent is a mediator between exporter and destination port officials appointed by freight forwarders.  Hiring this agent is very necessary for the smooth transportation of goods. This task is not performed by one agent. Two agents will be appointed one is for origin port and other is for destination port. In case multiple transportation process is followed than in that case multiple agents can be appointed.

Customs –

Shipment passes through custom process before entering the borders of any country. Custom officers act as an agent of the country whose job is to inspect the shipment before entering the goods in the country.  Failing in presenting any of the important document leads to rejection of shipment in entering the country. 

Insurance

Insurance agent is the party who plays the major role in the chain of transport. Insurance not only save exporter from heavy losses but can help in clearing customs easily. 

Banks

For monetary transactions banks plays the major role by providing the important documents like letter of credit so that both the parties can do business smoothly without caring about money.