Compared to FCL wherein the whole container is being transported and unloaded to the final destination, LCL containers are being unloaded from the containers in CFS (Container Freight Station) warehouses. In rare instances, LCL shipments can also be mixed up or misplaced with other shipments due to the handling involved in the deconsolidation process.
TRANSIT VESSEL MEANING FULL
It is essential to keep in mind there are instances wherein LCL may be more expensive than simply getting a full container.Īlthough LCL consolidators are categorizing the goods that they are putting together in a container, there is still a higher risk of the container being flagged for a customs examination compared to FCL simply because there are more types of products in the container. Because of this, the buyer is only buying a part of the whole container’s space. The ocean freight cost of an LCL shipment is per CBM, which is typically higher compared to the total cost of a full container. Disadvantages of an LCL Shipment for the Buyer
Whereas the ocean LCL is charging fees per cubic meter (or per 1,000 kg whichever is higher), making it a more economical option for shipments that are small yet heavy given that the transit time is not an issue. This option allows small businesses to take advantage of the low cost of ocean shipping without requiring high volume.Īir shipments are charging either by the gross weight or the volume weight, whichever is higher. The buyer only needs to pay for the space that they need to use since the container is shared with other shipments. Advantages of an LCL Shipment for the Buyer When comparing the CBM cost between an LCL shipment and an FCL shipment, LCL will be higher, but the total price is often lower. When cargo volume is not enough to fill a full container, an LCL shipment is usually cheaper, since the cost of shipping a full container is shared. In an LCL shipment, different shippers share a container.
Depending on the route, destination, and requirement, shipping via LCL may be more costly than FCL, so contact a reputable freight forwarder or 3rd party logistics company to obtain a few quotes. LCL is a term used in sea freight to describe loads that are “less than a container load,” or a shipment that does not fill an entire container.
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