If you have a smaller freight shipment, let’s take a look at this guide to learn all about LCL shipping and the difference between LCL and FCL shipping.
What is LCL Shipping?
LCL stands for Less than a container load. LCL shipping used for shipping the cargo loads through the medium of sea shipping which is not large enough to fill a full 20ft or 40ft shipping container. Since LCL shipments are not enough to fill a full shipping container, they are combined with other cargo, which is why they are sometimes called groupage shipments.
What are the Benefits of LCL Shipping?
There are a number of benefits to shipping LCL includes:
1. Cost-Saving- The cost of shipping LCL depends only on the volume you need not a flat rate like FCL, hence you can save a lot of money.
2. Less Inventory Cost- Shipping fewer goods more often mean spending less on inventory space.
3. Cheaper Option- LCL is far cheaper than air freight, so if you have some time to wait for your shipment, you can reduce your shipping costs dramatically.
4. Faster than FCL shipping- During peak season, the demand is more and the capacity is nearly full, at this time the LCL shipping option is easy to find and hence faster than FCL shipping.
What are some main drawbacks of LCL shipping?
1. LCL Transit Time- In LCL shipping, various goods are combined or group together and these shipments need to be loaded and unloaded from containers, which increases the transit time.
2. LCL is expensive than FCL- The charge for per cubic meter in LCL shipments are more expensive than FCL – sometimes even twice as much.
3. Custom Delays- Delays can arise due to other shipment’s customs clearance.
4. More risk of damage- LCL goods is handled more, which increases the chances of any risk or damage.
5. LCL cost is calculated primarily by volume, usually in cubic meters (CBM). The more space you need, the more you pay.
LCL Shipping Costs
LCL cost is calculated primarily on a volume basis, usually in cubic meters (CBM). The more space you required, the more you pay. The freight forwarders include the following points in LCL price quotes:
Pickup: the cost of picking up your shipment from the warehouse or factory.
Origin Point: LCL shipments need to be loaded onto containers along with other shipments, or consolidated, at a Container Freight Station or CFS. This is sometimes referred to as container stuffing.
Main leg: The cost of sea transportation. Although this is the main leg of the shipment, it may not be the most expensive part. Instead, charges at the CFS can play a major role because they require significant machines and manpower.
Destination Point: At the destination country, LCL shipments need to stop at a CFS for Unloading, or unstuffing.
Delivery: The cost of trucking your goods to the destination warehouse or factory.
LCL Freight Shipping: How Tenax Transport can help to ship your LCL cargo
If you choose to book your LCL cargo shipment on Tenax Transport, we’ll take care of every little detail. For example:
• When you enter your LCL freight shipment volume and weight on the platform, our team of experts will guide you if it’s worth considering FCL.
• We can connect you with insurance and customs providers while you book your shipment.
• You’ll be able to track your LCL freight shipment right on our platform. Contact us today for your LCL freight shipping.