Who pays the freight forwarder's export agency fees mainly depends on the agreement between the two parties in the trade contract. Common trade terms such as FOB and CIF will have an impact on cost bearing. Under the FOB term, the consignor is responsible for all costs before the goods are loaded onto the ship, including the freight forwarder's export agency fees; while under the CIF term, the seller bears the freight, insurance premiums, etc. for the goods to be transported to the port of destination, and the freight forwarder's export agency fees are usually also borne by the seller.
If the contract does not clearly stipulate, it generally follows industry practices. In export business, the freight forwarder is entrusted by the consignor, and usually the consignor bears the freight forwarder's export agency fees. However, there are also special cases, such as when the consignee designates the freight forwarder and the two parties communicate in advance that the consignee will bear the costs. In short, it is recommended to clarify the party responsible for the freight forwarder's export agency fees in the trade contract to avoid subsequent disputes.
Professional consultant answers
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
Who pays the freight forwarder's export agency fees mainly depends on the agreement between the two parties in the trade contract. Common trade terms such as FOB and CIF will have an impact on cost bearing. Under the FOB term, the consignor is responsible for all costs before the goods are loaded onto the ship, including the freight forwarder's export agency fees; while under the CIF term, the seller bears the freight, insurance premiums, etc. for the goods to be transported to the port of destination, and the freight forwarder's export agency fees are usually also borne by the seller.
If the contract does not clearly stipulate, it generally follows industry practices. In export business, the freight forwarder is entrusted by the consignor, and usually the consignor bears the freight forwarder's export agency fees. However, there are also special cases, such as when the consignee designates the freight forwarder and the two parties communicate in advance that the consignee will bear the costs. In short, it is recommended to clarify the party responsible for the freight forwarder's export agency fees in the trade contract to avoid subsequent disputes.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
Generally speaking, if there is no special agreement and the freight forwarder for export agency is found by the consignor, then the consignor pays the fees. After all, it is the consignor who entrusts the freight forwarder to handle export-related matters.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
If the consignee strongly designates the freight forwarder and there is prior negotiation, the fees may also be paid by the consignee. It depends on how the two parties negotiate.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
Sometimes, in order to facilitate the transaction, the consignor may take the initiative to bear the freight forwarder's export agency fees to increase the competitiveness of their products.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
According to the normal operation, if the consignor finds a freight forwarder to arrange the export process, the freight forwarder's export agency fees are naturally borne by the consignor, unless the contract states otherwise.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
In fact, the key to who bears the cost still depends on the result of the negotiation between the buyer and the seller. The stronger party often decides the issue of cost bearing.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
In some long-term cooperative trade relationships, the two parties may negotiate to take turns bearing the freight forwarder's export agency fees to maintain good cooperation.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
If it is an export trade conducted through an e-commerce platform, some platform rules may also affect the party responsible for the freight forwarder's export agency fees, so pay attention.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
If the freight forwarder's export agency service is for the special requirements of specific goods, the two parties can also discuss who should bear the costs according to the situation.