The Difference between a Freight Forwarder and a Customs Agent
Who is a Freight Forwarder •A third party who –helps organize and coordinate shipments on behalf of individuals or businesses –by contracting with one or more carriers to transport the goods. •A freight forwarder can –provide advice to businesses regarding optimal shipping methods, –cost-saving tactics, customs procedures, and more.
A Freight Forwarder can therefore be a firm or individual specializing in the arrangement of cargo on behalf of shippers. In most cases, freight forwarders provide a variety of supply chain services, including freight transportation by: –Ocean –Air –Rail –Road and or –Multi modal transport –Warehousing and storageand may also carry out; –Customs declaration at times in any of the above services.
•Who is a Customs Agent •A Customs Agent is a persons or company licensed by the Commissioner of Customs to Act on behalf of the importers and exporters. •A person or company that is paid to make sure that all necessary procedures are followed and taxes and fees are paid so that goods can be imported into or exported out of a country • In some Partner States, it is compulsory to use a Customs agent when clearing goods through Customs.
According to Kenya Revenue Authority: •An Importer or Exporter needs to acquire the services of a licensed Customs Clearing Agent mandated to process the import and or exportation documents in the customs system and assist in clearing goods on your behalf.
Who is a Clearing & Forwarding Agent? •A person or company that is used for getting goods officially from one country to another. •The Clearing agents deals with all the documentation related to your international freight transport.
What is the difference between a clearing agent and a forwarding agent? •In short, a clearing agent specializes in customs clearance, while a freight forwarder oversees the broader logistics process, ensuring the smooth transportation of goods from origin to destination. •The Clearing & Forwarding Agent combines both services and must therefore posses a valid Customs Agent Certificate among other certificates to validly offer these services.
The difference between a Clearing Agent and a Freight Forwarding •A Clearing Agent is person or company that is used for getting goods officially through customs from one country to another. •The Clearing agents deals with all the documentation related to your international freight transport. •In short, •a Clearing Agent specializes in customs clearance, •while a Freight Forwarding Agent oversees the broader logistics process, ensuring the smooth transportation of goods from origin to destination. •Freight Forwarding Agent may collaborate with a Clearing Agent to manage customs-related aspects of the shipment for a client.
How to choose the Right Freight Forwarder •Experience Matters: Pick a forwarder with lots of experience. They should know how to handle challenges like customs, warehousing and port issues and emergencies. •Global Network: Does the forwarder have networks worldwide. This helps your goods to travel without any problems. •Good Reputation: What is the Agent’s reputation in local and global groups like the National Freight Forwarding Associations, WCA or FIATA etc. This means they’re trustworthy, and people like working with them. •Complete Services: Does the forwarder have a history of completing and doing everything needed to get clients’ goods where they need to go. •Saves You Money: Will the forwarder help you to find the best way to move your goods without costing too much.
How to choose the Right Clearing Agent
•Experience and Papers: Does the Agent have the experience and can process for you all the right papers for customs. •Does he or she have a valid Customs Agent Certificate •Follows the Rules: Is the Agent focused and knowledgeable in following customs rules, especially for tricky trades. •Good Reviews: What do their customers and suppliers say about them. It tells you whether they do a good job. •Checks and Balances: Is the Agent approved by the government with the right papers and technology. •Knows Their Stuff: Does the agent understand your goods and know what’s needed for customs and cargo handling? •Good Deals: Will your deal help both of you in everything, like prices, how goods are moved, and when and where they go. Do your financial transactions have integrity.