Recently, over 1,000 freight forwarders have gone out of business. Actually, this happens every year. Most of these failed forwarders are small ones that specialize in air freight to middle east. Why do so many niche forwarders collapse? Because most of them offer DDP services, which include customs clearance and tax payment. Many of these DDP services involve gray area operations, like under-declaring cargo value or using non-standard channels. If customs doesn’t check, these forwarders make good money. But once there is an inspection, small forwarders can’t handle it. One single container could be dozens of cubic meters or several tons of goods.

Many countries are now cracking down on under-declaration and other irregular import methods. The market has been tough in recent years. In the UAE, for example, price competition is fierce. Everyone is cutting prices. Small forwarders that want to survive start looking for shady ways to make money.

If you plan to work with a forwarder for air freight to middle east, you should visit their office. See if their staff and office match what they advertise online. Many people think a freight forwarder just rents a 20-square-meter office in a commercial building, with maybe 3 or 4 employees, or up to 10 people, and they squeeze in two sofas as a client reception area. Be careful with that kind of setup. Look for a larger and more established forwarder.

Take our company DL Logistics as an example. We are different. We paid in full for the entire 8th floor of Building B, Rongde Times Square, Longgang District, Shenzhen. We have nearly 100 employees. By size, we are in the top 5% of freight forwarders. Many clients first thought we were just another small player. But after they saw our large office, they felt completely at ease. This is the kind of forwarder for air freight to middle east that won’t suddenly collapse.

So how do you choose a reliable forwarder for air freight to middle east?

1. They will say no to you sometimes. This sounds surprising, but let me explain. Some forwarders say they can handle anything. That actually scares me. If they claim they can do everything, they are probably using many risky resources that are not really under their control. If something goes wrong, you are the one who takes the loss. A good forwarder knows what they can and cannot do.

2. Always have a backup. It is very risky if most or all of your company’s shipments go through just one forwarder for air freight to middle east. Even if your volume is small, keep a backup. Why? For example, around the end of the year, truck drivers may charge 5000 instead of the normal 1000. But if you have a long-term forwarder, they might still charge you 1000 because you are a loyal customer.

3. Never chase the lowest price. Many people get into trouble because they want a bargain. Freight forwarding is a pure service business. The forwarder doesn’t own ships or planes. They make money from service fees. If they are professional and solve your problems well, it’s fine if the normal price is 1000 and they charge 1200 or even 1800. Let them earn a fair profit. The important thing is that they get the job done.