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Role of Freight Forwarders and Customs Brokers

April 10, 2012 | Win Global

What exactly do they do? Where do I find them? What information they need to give me a quote? Find the answers to those and other questions.

What exactly do they do?

Freight Forwarder Customs Broker
  • Finds carriers and arrange transportation on your behalf
  • Arranges cargo insurance if necessary
  • Prepares transport documentation (waybill, air waybill, bill of lading, etc)
  • Deals with border security on your behalf
  • Classifies your goods
  • Registers your goods for import in the USA
  • Prepares customs documentation
  • Clears goods at US customs
  • Pays duties and taxes on your behalf (if applicable)

Where do I find them?

Freight Forwarder Customs Broker
  • Google: “Freight forwarder <your city, town or province>”, e.g. “Freight forwarder, Toronto”, “Freight Forwarder, GTA”

or
  • Google: “Customs broker, USA”. Country of destination is important in the query! And look for the US customs broker locally!

or

What information they need to give me a quote?

Freight quotes are usually very detailed. However, it is normal if you pay more or less than the quote due to the fluctuation in carriers’ tariffs, currency exchange rates, fuel prices, etc.
Customs brokerage rate usually does not include US duties and taxes (if they are applicable).

Freight Forwarder Customs Broker
  • Description of goods
  • Type of packaging (e.g. box, barrel, pallet etc) and number of packages
  • Total weight
  • Total dimension and dimensions of individual packages
  • Address of origin with postal code
  • Address of destination with postal code
  • Mode of transport (marine, highway, air and rail are available for the USA)
  • Indicate whether your goods need special treatment (e.g. perishable, fragile, hazardous, flammable, etc)
  • Indicate whether facility in the points of origin and destination have loading docks
  • Indicate whether it is one time or regular shipments
  • Dollar value of goods shipped for insurance (if applicable)
  • Description of goods
  • Country of origin
  • Country of destination (USA)
  • Value of goods shipped in Canadian or US dollars
  • Approximate date of shipment

How to choose right freight forwarder and customs broker?

Freight Forwarder Customs Broker
  • Ask for referrals
  • Ask whether they have experience in your industry?
  • Ask whether they specialize in your country of export?
  • Ask for referrals
  • Ask whether they have experience in your industry?
  • Ask whether they are licensed by U.S. Customs and Border Protection (CBP)

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