Benefits of LCL Shipping:
To determine whether you should consider LCL logistics, it’s worthwhile to look into the advantages
of LCL shipping.
- Cost Effective:
In the world of ocean freight forwarding, rates are all about
how much
space a pallet or crate occupies on a container. And so, LCL shipping seems to be the most
cost-effective option.
In LCL shipment you do not need to pay a flat rate for the entire container. Instead, you pay only
for the volume you need. Since you are sharing the space with others, your shipment cost gets
reduced dramatically.
Cheap and economical, it is also the most preferred shipping mode for small to medium-sized
enterprises. It helps businesses to stay afloat in the global market.
For better clarity, you can take the example of a regular Uber versus UberPool – the latter will
always be cheaper. - More Flexibility:
Another added benefit to LCL ocean freight forwarding
shipping is
easy time management and scheduling. You are not tied into a long shipping plan that focuses on
filling a complete container load. You can ship your goods at short notice by using this service.
By choosing LCL, you can move your freight on whichever day works best for you.That’s not all! Even during the peak season and periods of disruption, you are more likely to find
cargo space with LCL shippers than with FCL or air freight.How is LCL Shipping Cost Calculated?Calculation of basic ocean freight under LCL cargo is based on per CBM (Cubic Meter) rate or per
Ton (per 1000 kg’s gross weight) whichever is higher.CBM – cubic meter is calculated by multiplying the length, width, and height of the packaged
goods. For example, if the length, height, and width of the cargo is 3.3 meters, 2.4meters, and 3
meters respectively, the volume of cargo is 3.3 X 2.4 X 3.00 = 23.76 CBM.If the project freight forwarder quotes a rate of Rs 400/- per CBM, the rate will be 23.76
CBM X
Rs 400 per CBM = Rs 9504/-If the weight of the said package is 6 tons (6000kgs), the freight on LCL is calculated on the
basis of the weight. That is, 6 tons X Rs 400 = Rs 2400/-. So, the weight of 1 ton (1000kgs) is
treated as 1cbm. In other words, the LCL freight is calculated on the volume of 1 CBM or weight of
1 ton (1000kgs) whichever is higher.Other Charges Included in LCL Shipment:
Since the LCL shipping process comprises of numerous stages, each stage contributes a fair bit to
the overall LCL shipping cost. So when a project freight forwarder makes an LCL quote, it
usually
covers the cost of:- Pickup: The cost of picking up your shipment from the warehouse or factory.
- Loading Charges at Origin or Origin CFS charges: 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 charges. - Main leg: The cost of the sea journey.
- Destination: De-stuffing and deconsolidation charges at the destination
- Delivery: The cost of transferring your goods to the destination warehouse.
How Can You Track LCL Shipment?
The vessel and container can be tracked online with the help of the Bill of Lading receipt. This
document contains all the relevant information for the shipment. It includes the container number,
shipper/consignee information, piece counts, weights, and more.Unfortunately, the tracking ends when the container arrives at the port or when the cargo unloads
from the container. However, you need not be worried. Your project freight forwarder can
provide
you the complete tracking details at each stage.What Types of Goods Can Be Shipped in LCL Freight?
Just like full container loads (FCL), you can ship almost all types of goods in LCL shipment.
However, just make sure you inform your project freight
forwarder if your cargo requires special
handling or temperature requirements, especially if its perishable and dangerous goods like meat
and meat by-products, fish and seafood, dairy products, fruit and vegetables, flowers,
pharmaceutical products, and chemicals, etc. Your service provider will ensure your goods are
consolidated with goods of the same nature.How does LCL Shipment Work? Step-By-Step Guide:
Here is a step by step guide on how LCL shipment works
- Shipper contacts the ocean freight forwarder
- Shipper shares complete cargo details with the service provider e.g., nature of the goods,
cargo dimensions/weight, origin address, destination address, etc) - The goods are transferred to the service provider’s warehouse
- The ocean freight forwarder processes the shipment details. Examines various other
packages that can be consolidated into LCL shipment - The goods are grouped with other packages and stuffed into a container.
- It is then loaded on the ship
- The ship reaches the destination.
- The container is unloaded and moved to the warehouse for deconsolidation
- The shipment is ungrouped. Each customer’s cargo is now delivered to its final destination.
Neutral Consolidation Services Offers LCL Shipment
Neutral Consolidation Services offers cost-effective LCL shipping solutions to keep your goods moving. At NCS, the entire ocean freight forwarding process is done in compliance with the set
industry
norms and guidelines. The ocean freight forwarders not only follow ethical working habits
but also
focus on providing flawless services. Moreover, the team is efficient and capable of solving any
of the client’s problems and queries. It is due to this reliability, flexibility, feasibility, and
standardization of services, that the firm has been able to earn a reputation in the
market.NCS is one of the top sea freight importers and exporters in India. Do get in touch
with the
team if you wish to avail the service.All rates used in this are for explanatory reasons only and not indicative of the actual rate in
any manner.