Challenges Faced by Freight Forwarders in their Operations in Chennai City, Tamil Nadu

Abstract

Logistics is the movement of goods from one place to other.Freight forwarders play a major role in logistics operations.The main objective of the freight forwarders is to dispatch the shipments via carriers. Forwarder has the ability to arrange cargo movement from one destination to another within a short limit of time.It is tough for a company to ship goods at a normal price without a forwarder. Forwarders are having a long-term relationship with carriers and obtain good deals in the least possible time. The forwarding operations and company strategy differ from one company to another, by providing different value-added services. Customer satisfaction plays an important role in business. The present study aimed to find out the challenges faced by freight forwarders in their operations. Due to various factors, they face challenges and that could be the reason for their failures. In some cases, due to hindrance, they may not be able to satisfy the customer needs. The major challenges faced are due to government policies and regulation (GST), importers or exporters, port authorities, warehousing of the goods, red tapism of insurance companies, customs clearance, liner companies, infrastructure problems etc. The study involves both primary and secondary data. A well-structured Questionnaire prepared to elicit the data from the freight forwarders. Sample size identified is 50 forwarders. The study is concluded by giving the ways to ways to overcome the challenges faced by the Freight Forwarders.