Factors That Determine Freight Charges

Freight charges simply refer to the price at which a cargo is transported from one point to another by water, air or land. When you have goods that you want to transport, the question of how much it is going to cost you comes first into your mind. There are a number of factors that determine the prices you can possibly pay to transport your goods.

The first determinant is the mode of transport that you are intending to use. This is because different modes charge different considering the costs that are incurred during the transportation. Whether you intend to use a ship, train, a truck or a commercial plane to transport your goods, you must be able to pay for the charges that are charged by the transport company for the mode that you prefer. Considering the interests that you may be having or the factors that influence your decision to choose a particular mode over the rest, you must be in a position to cater for the freight charges associated.

The weight of the cargo is another factor that influences the freight charges that you might be expected to pay for your cargo. There are guidelines that are provided by different companies that give an exact freight rate for a given weight for each mode of transport that the company offers. The common feature in all the modes is that the heavier the cargo the higher the associated freight rates.

Some shipping companies especially those that use commercial planes determine the freight charges through the use of dimensional weight. In this they put into consideration both the volume and the weight of the cargo. The bigger the size of the cargo the more the associated freight charges. This is because unlike other modes of transport, commercial planes have a limited capacity and the transport method is relatively expensive. A similar weighted cargo is much cheaper to transport in a ship than in a commercial plane.

The distance to the delivery destination is also a major determinant of the freight charges. For a particular cargo, different charges may be incurred depending on the distance that is covered to the point of delivery. The rates differ according to the distance as most transport companies have higher rates for goods that are being transported to a nearby destination compared to those that are being transported to a distant destination. The overall charges however are higher to the goods that are transported to distant places.

 

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