Ocean freight costs usually include base freight, port charges, fuel surcharges and customs clearance fees. Specific costs may vary depending on the type of cargo, distance traveled, and seasonal variations. This article will analyze the typical cost structure in detail, and discuss the main factors affecting the cost, while providing methods to obtain accurate costs and control costs.

 

I. Composition of ocean transportation cost structure

Basic Freight

Calculation: according to the volume (cubic meters) or weight (tons) of the goods, which is the core cost charged by the transport company for international cargo transportation.

Applicable objects: applicable to different types of goods, such as general cargo, heavy machinery, lightweight goods, etc.

Port Dues

Coverage: Includes the cost of operating the cargo in the ports of China and Indonesia, such as loading and unloading costs, storage fees, etc.

Influencing factors: Operating costs may vary from port to port and are usually higher in busy ports.

Fuel Surcharge

Adjustment mechanism: Adjusted in line with the fluctuation of oil prices, usually updated on a monthly or quarterly basis.

Influencing factors: Fluctuations in fuel prices directly affect the level of fuel surcharge.

Customs Clearance Fees and Taxes

Fee Composition: Import duties, VAT and agent service fees are payable when clearing customs in Indonesia and are usually borne by the consignee.

Influencing factors: Customs clearance fees and tax rates may vary from country to country and region to region, so it is necessary to understand and prepare relevant documents in advance.

Second, the main factors affecting the cost

Seasonal demand

Peak and off-season: Fees usually go up during peak seasons of shipping demand such as the end of the year or large holidays. For example, before festivals such as Christmas and Chinese New Year, ocean freight costs tend to rise significantly.

Market supply and demand: Fluctuations in market demand can also have an impact on freight rates. When market supply is tight, freight rates usually go up; conversely, when market supply exceeds demand, freight rates may go down.

Cargo type and packaging

Special Cargo: Certain cargoes, such as chemicals, dangerous goods, refrigerated cargoes, etc., require special handling and are therefore relatively expensive.

Packaging requirements: Non-compliant packaging may result in additional costs or delays.

Mode of Transportation

Full Container Transportation: The unit cost of full container transportation is lower than LCL transportation, which is suitable for large volume of goods. FCL transportation ensures the safety and timeliness of the cargo.

LCL: LCL transportation is suitable for small shipments and can spread the cost, but may require longer transit time.

Expedited service: choosing expedited service will increase the cost, but can ensure that the goods arrive at the destination quickly.

Third, how to get accurate shipping costs and control costs

Consult multiple logistics companies and compare prices

Get a quote: each logistics company may provide different cost standards, get multiple quotes can help companies find the most cost-effective option.

Focus on service: It's not just about price, but also about the quality and reliability of a logistics company's service. Choose a logistics company with a good reputation and extensive experience.

Flexibility in choosing the mode of transportation

LCL and FCL: Flexible choice of LCL and FCL transportation according to the volume of goods. Preferably choose LCL transportation for small amount of goods and FCL transportation for large amount of goods.

Expedited service: according to the urgency of the goods, you can choose whether you need expedited service or not.

Arrange transportation in advance

Budget Planning: Arranging transportation in advance allows for better budget planning and avoids paying extra fees due to tight warehouse space.

Avoid Peak Season: Try to avoid shipping during peak season or before holidays, choosing off-season can effectively reduce the cost.

Verify port surcharges

Verify costs: In certain ports where loading and unloading costs are high, make sure you check with the logistics company all possible surcharges involved to avoid hidden expenses that may be overlooked.

Detailed checking: Double-check each surcharge in the quotation to ensure that the costs are clear and transparent and to avoid hidden costs.