The Players
An industry so huge and diverse requires a wide range of participants to thrive. Some of these participants' titles may be a bit confusing, and some of their responsibilities may overlap. But to keep things as clear and simple as possible, let's look at who the key players are and what they do.
Freight broker. A freight broker is the middleman who connects shippers and carriers.
Shipper. A shipper is an individual or business that has products or goods to transport.
Motor carrier. A motor carrier is a company that provides truck transportation. There are two types of motor carriers: private (a company that provides truck transportation of its own cargo) and for hire (a company that is paid to provide truck transportation of cargo belonging to others).
Freight forwarder. Often confused with freight brokers, freight forwarders are significantly different. Forwarders typically take possession of the goods, consolidate numerous smaller shipments into one large shipment, then arrange for transport of that larger shipment using various shipping methods, including land, air and water carriers.
Import-export broker. These people are facilitators for importers and exporters. Import-export brokers interface with U.S. Customs, other government agencies, international carriers, and other companies and organizations that are involved in international freight transportation.
Agricultural truck broker. Generally small and operating in one area of the country, unregulated agricultural truck brokers arrange motor carrier service for exempt agricultural products.
Shipper's associations. Shipper's associations are exempt, nonprofit, cooperative organizations formed by shippers to reduce transportation costs by pooling shipments. Shipper's associations operate in a manner very similar to that of freight forwarders, but their service is limited to their members and is not available to the general public.