How Are Freight Shipping Costs Calculated?

Shipment weighing more than 150 lbs can be considered freight. Freight is generally shipped through train, truck, ship, aeroplane, etc. The entire process of shipment is controlled by domestic or international freight forwarding companies. There are 4 types of freight services that are widely used globally. They are air freight, railways, road freight and sea freight shipping services. Based on the freight amount, shipping type is classified into less than truckload shipping (LTL) and full truckload (FTL) shipping. Both shipping options have several features and advantages. According to the international freight forwarders in Sydney, there are too many factors that impact freight shipping costs and charges. In this blog, we will discuss,

Some of the major factors in detail.

1. Mode of shipping

Shipping pallets as the LTL or less than truckload shipment is a budget-friendly option as compared to shipping them through the FTL or full truckload shipment. Apart from that, shipment moving through railroad is also least expensive than shipment moving through air or roadways.

2. Shipping distance

Shipping distance also plays a vital role in shipping cost estimation.
Moving within the same state or province is less expensive as compared to freight shipping cross-border or cross-country.

3. Shipment weight and size

Shipment weight and size play a vital role in cost estimation. For example, weighing 400 lbs is less expensive than weighing 2000 lbs.

4. Special freight services

In the ideal cases, you would be shipping B2B or business to business, dock to dock. This means in commercial areas, pickup & delivery locations both are businesses and they also have forklifts or docks to load and unload the freight. Anything outside of commercial areas falls under special freight services. For example, in the residential areas, the carriers may consider the location as residential. For these areas, carriers may charge extra, additional liftgate or tailgate services, limited access locations and other services.

In some cases, cost estimation may depend on freight class. The freight classification is one kind of number that is assigned to less than truckload shipments going within cross-border. Class is mainly based on different factors including size, density, weight, handling, value, fragility & assumed liability or risk for hauling. Before you deliver your goods, always try to hire a reputable freight forwarder near you who assure guaranteed shipping services with proper packaging and essential documentation.