Global Air Freight Industry Seeks Standardized Operations

This article provides a detailed analysis of the entire international air freight process, from quotation to settlement, covering key steps such as booking, customs declaration, shipment, and tracking. It aims to offer companies a clear and practical standardized operating guideline for freight forwarders, helping them efficiently manage air freight operations, reduce transportation risks, and improve logistics efficiency. It serves as a comprehensive resource for businesses seeking to optimize their international air cargo strategies.
Global Air Freight Industry Seeks Standardized Operations

As companies seek faster logistics solutions in global markets, air freight often emerges as the preferred choice. However, for many businesses, the complex processes of international air cargo remain opaque. This article breaks down each stage of air freight operations, providing a clear and practical standardized guide to help companies efficiently manage their air cargo operations.

1. Rate Inquiry and Quotation: The First Step Toward Transparency

The air freight process begins with rate inquiries. Businesses must provide freight forwarders with detailed cargo information including commodity description, weight, volume, and destination. Forwarders then generate quotes based on these specifications, current market conditions, and airline rates. A quality quotation should be transparent, detailing all potential charges to prevent unexpected fees later. Industry analysts recommend comparing multiple quotes to select the most cost-effective forwarder.

2. Processing the Shipping Order: Defining Responsibilities

After accepting a quote, companies must complete a Shipping Order that specifies shipper and consignee details, cargo information, and transportation requirements. This document serves as the foundation for transportation arrangements and establishes contractual obligations between parties. Accuracy in completing this form is paramount.

3. Booking and Warehouse Notification: Securing Space

Forwarders use the Shipping Order to reserve airline cargo space. Upon confirmation, they issue a Warehouse Notification specifying delivery timelines, locations, and special instructions. Companies must adhere strictly to these guidelines when transporting goods to designated warehouses.

4. Document Collection and Verification: Ensuring Compliance

Businesses must provide all required customs documentation, including commercial invoices, packing lists, and contracts. Forwarders meticulously review these materials to ensure completeness and regulatory compliance. Document accuracy directly impacts customs clearance efficiency and may affect export timelines.

5. Documentation Preparation: Generating Transport Records

Forwarders create air waybills (AWBs) and other transport documents based on submitted materials. The AWB serves as the primary shipping document and consignee receipt. Companies must verify all details match actual shipment parameters.

6. Cargo Acceptance: Verification and Safety Checks

During cargo receipt, forwarders verify merchandise against the Shipping Order, checking descriptions, quantities, weights, and packaging integrity. Any discrepancies require immediate client consultation.

7. Customs Pre-declaration: Expediting Clearance

Forwarders pre-file customs declarations electronically before physical cargo arrival at ports. This advanced submission significantly reduces clearance times. Selecting forwarders with extensive customs expertise proves critical at this stage.

8. Submission and Clearance: Finalizing Export Procedures

After formal customs declaration, forwarders submit supporting documents for official review. Random inspections may occur, requiring company cooperation with customs authorities.

9. Unitization: Optimizing Space and Security

Forwarders consolidate shipments into containers or pallets to prevent transit damage and maximize space utilization. Proper unitization techniques reduce transportation costs while ensuring cargo protection.

10. Documentation Finalization: Completing Handover

Following customs release, forwarders confirm cargo details with airlines and transfer necessary documents to complete the shipping process.

11. Loading and Departure: Commencing Transport

Airlines load verified cargo onto scheduled flights. Companies can track shipments in real-time using forwarder-provided flight information.

12. Flight Monitoring: Real-time Tracking

Forwarders provide continuous flight updates, enabling companies to monitor transit status and estimate arrival times for efficient receiving operations.

13. Billing and Settlement: Finalizing Transactions

Upon destination arrival, forwarders issue detailed invoices. Companies must verify all charges before remitting payment according to agreed terms.

International air freight involves numerous interconnected stages, each requiring precision. Partnering with professional freight forwarders helps mitigate risks and enhance logistics efficiency. Simultaneously, understanding these processes enables better communication and collaboration between businesses and service providers, ensuring secure and timely cargo delivery.