Freight forwarders face anger from shippers

December, 18 2021
The ports of Long Beach and Los Angeles have announced that the implementation of the “container dwell fee” will be delayed for another week, until December 13.
                                                                                                           Freight forwarders face anger from shippers

Many freight forwarders are tired and share with The Loadstar that the work is extremely stressful, especially during peak times of air freight, due to changes in freight rates and capacity rapidly, and flights are delayed for a long time.

Shares from a major air freight forwarding company say that shippers, perhaps unsurprisingly, are furious to find that the previously agreed freight rates are no longer available, and their goods are not delivered timely.

“You can’t blame the airlines,” he said. “They can make more money right now, and they need to, so they are giving the capacity to a higher-payer.”

Shipper’s goods will be dispatched, but it may take two weeks or more. If they want faster shipping, they need to pay the new rate. But shippers don’t understand that because they have booked at a fixed rate in advance and expect the goods to be shipped on time.

He added that even as a very large forwarding company, it is still losing allocations.

He added that the reopening of the transatlantic passenger market has sharply cut capacity, as the cargo boxes are filled with passengers’ suitcases instead of cargo. But the point is to explain it to shippers who think this means more room, not less.

Another forwarder shared: “I don’t like my day job any more – it’s becoming a chore, and a stressful one at that.”

He said his biggest challenge is the “customer expectations versus reality”.

“We are endlessly trying to fix problems – everywhere, by every mode, in every direction,” he added.

Forwarders are feeling the brunt of the mismatch between supply and demand – though as most observers point out. But problems like a lack of drivers and warehouse space mean they can’t guarantee smooth shipping.

Meanwhile, shippers are grappling with high rates and shipping charges, poor service levels, and delays.

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