International trade requires several types of services provided by a number of actors related to the shipping business:
- Distribution services. Related to the function of transportation and warehousing, which are physical operations performed on trade goods. A carrier, such as a truck or a maritime shipping company, and a terminal operator provide transportation services, while a cargo owner can have own-account transportation and warehousing.
- Transaction services. Activities for managing international trade. Procurement involves finding suppliers, setting up contracts, and ensuring continuity in the supply. Customs comprise all the regulatory compliance necessary to ensure that traded goods meet national standards and that duties are paid. Freight forwarders regularly assume this function on behalf of their customers. Finance provides capital to invest in trade activities, such as purchasing (leasing) equipment and constructing facilities, an activity performed by investment banks. Cargo also needs to be insured against common risks (delays, theft, damage), a function assumed by insurance companies, some of which are also involved in finance. Since many trade transactions are settled through currency exchange drawn from corporate deposits, commercial banks play a major role in settling transactions and letters of credit.
In recent decades, third-party logistics providers (3PLs) have offered their customers a broader range of trade services by controlling key transportation and transactional services. Several 3PLs are carriers that have strategically expanded their range of services to provide added value by combining the physical assets they control (ships, terminals, vehicles, warehouses) with procurement and customs services. Fourth-party logistics providers (4PLs) have also emerged, mainly focusing on non-physical asset trade services.