Air Cargo Management: Role of Freight Forwarders and Regulations

This report delves into the intricacies of air cargo management, providing a comprehensive overview of freight forwarders and their crucial role in the transportation of goods. It examines the responsibilities of freight forwarders, including route planning, documentation, and communication with various stakeholders such as customs officials and carriers. The report highlights the importance of adhering to safety, environmental, and international regulations within the air cargo industry. A case study on Nippon Express, a global logistics service provider, illustrates the practical application of freight forwarding services. The report concludes by emphasizing the significance of air cargo management in economic development and the need for continued adaptation to industry changes, new regulations, and policies to support future expansion. The report also references several academic papers.

Air Cargo Management

Introduction of freight forwarders:-
The words, freight and cargo relates to goods, and term freight means the mode of transportation.
In other words, delivery means the transportation of goods via different methods such as air,
land, or ships. Air Cargo Management has been designed for the operations & traffic staff of air
cargo. The Management is useful for the marketing & sales staff of Air cargo agents.
Freight forwarders are typically the intermediaries between the transportation services and
business that hires them. They are responsible for various transportation services such as
shipping, exporters, importers, airline agents and all cargo staff (Agarwal and Ergun, 2009). The
operation involves the transportation of goods from source to destination. Items which are
delivered from suppliers to buyer depend upon the product size and final destination point
engaged with it. The international market involves the organization of logistical arrangement and
tracking of transported goods (Craig and Tay, 2020). Various transportation services customs
officials, handlers including carriers are responsible for getting the products. The objective
always remains the same for the delivery of the product. At the destination, the product should be
safe without any losses.
Freight forwarder duties and roles:-
Freight forwarders are third party service providers. They carry out different tasks. The primary
responsibilities of Freight forwarders are analysis of Freight rates and shipping organizations
(Button, 2019).
 Plan the suitable route for a shipment, taking into account the cost, transit time, security,
and nature of goods.
 Arrangement of packing, taking consideration of weight, climate, nature of goods,
delivery, and cost for the final destination of the warehouse.
 They are connecting and contacting transportation services with different shippers.
During transit, communication is a necessity for the management of goods.
 Freight forwarders are arranging the shipping documentation, like packing lists,
certificates of origin, dock receipts, and lading bills.
 Insurance services.
 Maintain control and communication in complete journey.

The Nippon Express global network established its first office in New York in 1958. The
company’s global network is spread across 45 countries. The Express global network has 706
locations with supporting customers of 22,841. It is located at 24-01 44th Road, 14th Floor, Long
Island City, NY 11101 U.S.A.
The Nippon Express global network is a third party logistic service provider which
accommodates all sizes of freight and all different types of commodities for clients and business.
Logistics experts provide shipping solutions according to requirements.
Company Services: -
The Nippon Express Global Network Freight Forwarders provides air freight services such as
warehousing, logistics, business services, households, construction, and relocation to customers
at an international level. This global network company provides the facility of relocation and
safe transportation of customer goods (Express, 2012). The Nippon Express global network
provides control and maintains communication of commodity during the complete journey. NEU
provides insurance services to clients, can repay them for product losses.
Company payment terms and conditions:-
1. Lawful Payment: -The Nippon Express global network is liable to a product on the shipment,
as billed.
2. Carrier Responsibility: -Goods are described by the delivery order that should be responsible
by law to NEU 49 U.S.C. § 14706 for any loss or theft.
3. Transportation of Commodity:-Delivery of goods at a specified time. These kind of
arrangement is made before the shipment.
4. Claims: - Claim for damage or loss is governed by 49 C.F.R.370.

5. Identification: - Identify the damaged order by NEU and delivered the order by parties.
Identify the losses, penalties, costs, liabilities, and cost without any limitations.
6. Agency:-No relation exists between agency and employment for delivery purposes.
Airfreight forwarder regulations: -
Policies and regulations are main part of air cargo system. These can create several challenges,
such as airport risk, future development, and market performance. Airfreight regulations must
follow for safety, security, and environmental problem.
1. Safety Regulations:- Air cargo management must adopt an FAA-Approved aircraft
maintenance program. FAA provides aviation safety.
2. Environmental Regulations:-Additional noise and emission can impact air cargo operations.
Some new policies are adopted by the U.S. to control the green-house gas emission. The new
technology of aircraft helps to improve these emissions (Karanki and Siew, 2020).
3. International Policy and Regulations:- It is a multilateral and bilateral agreement between
two or more countries. IAA (International Aviation Agreement) had developed in a set of 4th
framework in the Chicago Convention. IAA permits to enter the airspace of the other country
(Board, 2020). The U.S. has a policy called OSI (Open Sky Policy). In OSI, the U.S. has the
right to register hundreds of countries.
Conclusion: -The main aim of Air cargo management system is to help companies export/import
goods. We conclude that today the Air transport industry plays an essential role in the economic
development and growth of the country. It not only provides the facility to the people for
movement but also provides the movement services for commodity. To expand the Air Freight
forwarders over the next decade, the continued expansion of trade, new regulations and policies
must be adopted.

References:-
Agarwal, R. & Ergun, Ö. (25 May 2009). Collaboration In Cargo Transportation. Springer
Optimization And Its Applications Book Series, Volume 30)(Soia), 373-409.
Board, T. (2020). Regulatory And Policy Issues For Air Cargo Development. Retrieved From
Https://Crp.Trb.Org/Acrp0331/Regulatory-And-Policy-Issues-For-Air-Cargo/
Button, K. (August 2019,). Applied Economics And Understanding Trends In Air Transportation
Policy. Elsevier, 80(Https://Doi.Org/10.1016/J.Tranpol.2019.04.022), 78-85.
Craig, N. & Tay, T. (March 2020). Elsevier Ltd. Demand for cargo airships: An analysis of
mode choice decision making in the freight transport industry,
83(https://doi.org/10.1016/j.jairtraman.2019.101741), 101741.
Express, N. (November 29th, 2012). Nippon Express, Usa Inc. Retrieved From
Https://Nipponexpressusa.Com/Services/Freight-Forwarding/
Karanki, F. & Siew, H. (May 2020,). The effects of use agreements on airport efficiency. Journal
of Air Transport Management, 84(https://doi.org/10.1016/j.jairtraman.2020.101767),
137-144.