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HomeNewsINDUSTRY
How to save on ocean freight when shipping prices rise?

How to save on ocean freight when shipping prices rise?

author: NINA
2024-06-14

01. Scientific planning of transportation routes

It is essential to scientifically plan the transportation route of goods. For example, to European ports, although most shipping companies have differences between basic and non basic ports, the difference in freight rates may be between $100 and $200. The division of this cost may vary among different shipping companies. Understanding the division of different companies can help you negotiate the most favorable freight rates by selecting a transportation company.

02. Reasonably design packaging

Each mode of transportation has limitations on its load-bearing capacity and maximum capacity, so this should be considered when designing cargo packaging. For example, if there is excess or insufficient space in the container after calculating the quantity of goods from the shipper, then the quantity of goods needs to be changed. For example, combining two orders into one full container, or reserving excess quantities for the next shipment, can save considerable costs.

In addition, scientific calculations should be conducted on the product packaging before shipment. The specific method is to refer to the volume of the container and design the packaging according to the order quantity; Based on the size of the inner container, design the size of the cardboard box and study an optimal packing plan to achieve an ideal state of the container.

03. Adopting appropriate transportation methods for port collection

Goods in mainland China can choose different inland transportation methods to collect at the port. Generally speaking, train transportation is the cheapest, but the shipping and pickup procedures are complex, suitable for large quantities of goods that do not rush the delivery time. Truck transportation is the simplest, faster, and slightly more expensive than train transportation. The most expensive option is to directly load containers in factories or warehouses, suitable for items that are not suitable for multiple loading and unloading.

Under the premise of fully understanding the goods, scientifically selecting the optimal port transportation method can save transportation costs.

04. Reasonable handling of LCL cargo

The transportation process of LCL cargo is much more complex than FCL, and the shipping cost is relatively more flexible. There are many transportation companies that handle full container load, and the prices are relatively transparent in the shipping market. LCL cargo also has publicly available market prices, but the additional fees vary greatly among different transportation companies, so the freight rates on the transportation company's price list will only be a part of the final charge.

(1) Confirm all charges in writing and see if their quotes are lump sum prices.

(2) Calculate the weight and size of the goods clearly to prevent the other party from tampering with them.

(3) You can find a professional company that specializes in container consolidation. These companies directly assemble containers and charge much lower freight rates and surcharges than intermediary companies.

05. Negotiate with shipping companies

(1) If you are indeed a major customer, you can directly sign a contract with the shipping company and apply for discounted freight rates.

(2) Clarify the different freight rates obtained by declaring different names of goods. Most shipping companies charge separately for goods, and some goods can have different classification methods.

(3) If you don't meet the shipping schedule, you can choose a slow or non direct ship, but this must be done without affecting on-time arrival.

(4) The freight prices in the ocean freight market often change, so it is best to have more information on freight rates.

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