Who Are The Basic Players In Freight Brokerage Solutions And Why?

You might be asking questions like why anyone needs the junction of shipper and carriers. This is due to the fact that they need support in the transportation of their goods. Therefore, the role of a broker is undeniable. He is the one who connects shippers with a motor carrier for transportation.

In accordance with the USA transportation department, more than 70000 motor carrier companies are working. In those companies, 91.0% are operating 6 or fewer trucks whereas 97.3% are operating less than 20 trucks. In this way, freight brokerage services are essential in the transportation and logistics branch in the USA.

There are certain players who are very vital in full-service freight solutions. They are the following:

1] Freight Broker: He is a person who is responsible for connecting shippers with the motor carriers. They do so to help in the mobility of their goods.

2] Shipper: He is a person or a business, which contain the goods for transportation purposes.

3] Motor Carrier: It is a company. It gives the facility of truck transportation. There exist two kinds of motor carriers. One is “private” and the other one is “for hire”. As far as the private type is concerned, it is a kind of company that gives the facility of truck transportation consisting of its own cargo. Whereas “for hire” is a type of company that is first paid. After this, it provides truck transportation of cargo that belongs to others.

4] Freight Forwarder: They are being mixed up with the freight brokers. Actually, they are totally different. They usually take control of the goods. They combine the smaller shipment into the larger ones. In this way, they arrange the transportation of the goods. Different methods of shipping are used. These include land, water as well as air carriers.

5] Import and Export Broker: They are actually organizers for the imports and exports. They usually connect with the USA customs, governmental agencies, and international carriers. They also work with the companies which are involved in international freight transportation.

6] Agricultural Truck Broker: They are usually small. They are operating in a single area within a country. They are responsible for having motor carriers release agricultural products.

7] Associations of the shippers: These are the organizations that are non-profit and cooperative. They are made by the shippers. In this way, transportation costs can be reduced. They work closely like the freight forwarders. But they are more limited to their members. They are not available to the public.

Hence, these are the basic players, which are working to provide full-service freight solutions. They are very operational in the USA. All you need is to know about their legally working in the USA. They must be certified and licensed brokers.