How do freight forwarding companies decide the Cargo cost?

Freight forwarding company

Do you find the packages of a freight forwarding company in Dubai unbelievably lower? Then yes, you are right. Many freight forwarders fool clients by showing prices that are too good to be true. But that doesn’t happen as the logistics process begins. Most freight forwarders mislead their customers by offering attractive prices to those who do not know the industry. That is why it is equally essential for the shippers to understand the logistics process. Here we are going to give you a glimpse about some of the ways freight forwarders in Dubai charge for their services:

Type of Carrier Costs

The costs of shipping vary whether you prefer land, sea, or air to transport your goods. One of the most crucial things that affect your shipping cost is the freight forwarding method you choose. Everyone knows that Sea freight is the most affordable and efficient method to ship your goods. No matter what freight forwarding company in Dubai you choose, the cost will vary as per the type of methods.

Container Cost

When transporting your goods via sea, you will be charged either a full container load (FCL) or Less than Container Load (LCL). Most shippers choose LCL for transporting a small number of shipments. When you don’t want to spend more on shipping less, LCL is the perfect option. However, when you choose Air freight services by freight forwarders in Dubai, you will be charged based on the Unit Load Device (ULD).

Cargo Type

Another vital thing that affects the cost of your shipments is the type of Cargo you transport. There are different types of goods such as perishable goods, fragile goods as well as heavy-duty Cargo. All these different types of Cargo require separate handling. Also, some goods don’t fit in a standard container, and some goods require special care while loading and unloading. So, the freight forwarders in Dubai consider all these factors while making a custom proposal.

Cargo Size and weight

The size and volume of your Cargo have a lot of influence on the overall costs of the shipments. When you receive a quote from a freight forwarding company in Dubai, they ask about the size and volume of your Cargo. Based on this, they decide how much it will cost on a particular method of shipment you choose. However, sometimes the importance of two Cargo can be the same, but the Cargo that takes up more space will cost higher.

Packaging

Before choosing a freight forwarding company in Dubai, make sure that they are transparent about their costs, like SLR shipping services LLC. Some freight shipping companies take additional charges for packaging. It is wiser to ask them whether they have included the packaging charge or not in their budget.

Insurance and documentation charges

Freight forwarders in Dubai have to prepare various documentation before the shipment process begins to have a smooth flow of goods. They also offer insurance covers for the goods in transit. Both the documentation and insurances charges are added to the invoice.