A consolidator in the logistics sector is an entity that specializes in combining multiple freight shipments from different shippers or locations into a full container load. This pooling optimizes container usage and enables cost-sharing among shippers, making it a more economical option, especially for small and medium-scale businesses.
Consolidators typically form a broad network that includes shippers, carriers, manufacturing companies, and import-export businesses. Such a network allows them to proficiently link shippers with suitable shipping lines, offering the most efficient schedules at competitive prices. The consolidator eventually, deconsolidate the shipment at the destination, ensuring delivery to the respective recipients.