What are LCL and FCL goods? Evaluate the difference between LCL and FCL goods

x Do you have a shipment of goods transported by sea and need to learn the concepts of FCL and LCL?
x Want to know what's the difference between LCL and FCL goods? What are the advantages and disadvantages of FCL and LCL?
x Are you interested in the current shipping costs for FCL and LCL retail goods?

All questions about what LCL goods are and what FCL goods are will be answered in detail by Proship.vn Sea transport for shippers to clearly understand.

What are FCL and LCL goods?

What is FCL?

What is FCL goods? FCL (Full Container Load) is full container cargo. A form in which the shipper has enough uniform volume of goods to fill one or more containers for transportation. The shipper is responsible for packing the goods and the consignee is responsible for unloading the goods from the container.

What are LCL and FCL goods? Evaluate the difference between LCL and FCL goods — *FCL stands for Full Container Load, which is a whole container, LCL stands for Less-than-container load, which is odd goods that must be collected to be enough to close a whole container.*

What is LCL?

What is LCL goods? LCL (Less-than-container load) is individual shipments from many different shippers to combine a full container of goods. Đây là cách thức vận chuyển hàng hóa khi chủ hàng không đủ hàng để đóng nguyên một container, mà cần ghép chung với một số lô của chủ hàng khác.

Therefore, logistics service companies will conduct consolidation (Consolidation), which is combining many retail shipments (LCL shipments) from many shippers to pack into containers, then arrange for transportation.

What is the difference between LCL and FCL goods?

The concept of what is LCL goods and what is FCL goods has been answered. Next, many questions also arise: What is the difference between LCL and FCL? FCL and LCL goods have many differences such as:

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	FCL	LCL
Abbreviated name	Full Container Load: Goods in full container.	Less than Container Load: Part of a container or packaged goods.
Expense	Optimal costs. In terms of total cost, ordering an FCL container will be more expensive due to the sheer volume. But if you consider the cost by dimension, booking FCL tickets is cheaper than LCL.	For the same amount of goods, the cost of shipments is divided into smaller batches, each batch of goods has a different cost and combined, the cost of individual goods will be larger. For small goods, LCL is the only reasonable choice.
Item size	In addition to the fact that a shipper has many boxes enough to hold one container, often the type of goods suitable for FCL is bulky and heavy.	LCL goods are usually smaller and easier to move.
Exchange rate	FCL exchange rate is volatile.	LCL exchange rate is more stable.
Shipping conditions	To transport FCL goods, the shipper will have to reserve at least one full container in advance.	For an LCL shipment, it is not necessary to order a container; only part of it needs to be reserved.
Shipper	Belongs to a shipper.	Belongs to many different shippers.
Delivery time	Faster because it only delivers to one shipper. All containers are pre-booked, eliminating the need to sort and pack containers at separate delivery ports. The likelihood of delays at ports and by customs authorities is also lower.	Slower because it has to deliver to many shippers. In addition, more time is needed to classify goods, compile documents and process. The time required in loading and unloading may also be higher in case of LCL shipments.

What are the advantages and disadvantages of LCL and FCL goods?

Now that you know the difference between LCL and FCL, you also need to know what the advantages and disadvantages of LCL goods are and what FCL goods are:

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For LCL goods

Advantages and disadvantages of LCL retail goods:

Advantages of LCL goods:

Less cost and inventory management compared to FCL;
It is a suitable choice when transporting small loads.

Disadvantages of LCL goods:

Longer shipping times;
Higher chance of damage;
Delays in delivery may arise.

For FCL goods

Advantages and disadvantages of FCL containers:

Advantages of FCL products:

Less chance of damage;
Faster shipping times;
Suitable choice when transporting large quantities of goods, large and bulky goods, etc.

Disadvantages of FCL products:

It costs a lot when the goods are small;
Higher inventory costs;
Unloading is complicated.

In general, depending on many conditions and purposes of the importer-exporter, including the supply of goods, the size of capital and demand of the consignee, or the characteristics of the goods, the decision to choose between methods is determined. FCL or LCL shipping by sea.

List FCL and LCL shipping costs

Common shipping costs for FCL and LCL retail goods include:

BAF Fee (Bunker Adjustment Factor):

It is a surcharge (in addition to sea freight) that shipping lines collect from shippers to offset costs incurred due to fuel price fluctuations. Equivalent to the term FAF (Fuel Adjustment Factor).

CLEANING FEE:

Is the container cleaning fee paid to the shipping company to clean the empty container after the importer takes the container to the warehouse and returns the empty container to the depot (for FCL goods).

CFS (Container freight Station) fee:

As a fee for an individual export/import shipment, Forwarder companies (master consol) must unload goods from the container to the warehouse or vice versa and they collect CFS fees (only for LCL goods).

D/O fee (Delivery Order fee):

Is a delivery order fee, a document issued by the shipping company used to receive goods that the importing enterprise receives to present to the warehouse supervision agency (port of destination) before the goods can be withdrawn from the container, warehouse, yard,... To receive goods, the consignee is required to have this document.

O/F fee (Ocean Freight):

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Is the simple transportation cost from the departure port to the destination port, also known as sea freight.

PSS Fee (Peak Season Surcharge):

As a peak season surcharge, this surcharge is often applied by shipping lines during the peak season from August to October, when there is a sharp increase in demand for transporting finished goods to prepare goods for the Christmas season. and Thanksgiving Day in the US and European markets.

EBS (Emergency Bunker Surcharge):

It is a fuel surcharge for cargo routes to Asia. This surcharge compensates for "wasted" costs due to fluctuations in world gasoline prices for shipping lines. EBS fee is a type of shipping surcharge, EBS fee is not a fee calculated in Local Charge.

THC Charge (Terminal Handling Charge):

The port handling surcharge is a fee collected on each container to offset costs for cargo handling activities at the port such as: loading/unloading, gathering containers from the CY to the wharf, etc. This is essentially a fee charged by the port. As a rule, shipping lines pay on behalf and then collect it from the goods owner (sender and consignee).

Handling fee:

A cargo handling fee collected by the forwarder to offset costs when making a shipment (only for LCL goods).

Proship Logistics has answered what LCL goods are , what FCL goods are, what is the difference between LCL and FCL as well as the advantages and disadvantages of these two types of goods so that shippers and businesses can consider choosing the appropriate shipping method. save. If you have any questions about retail and full container goods, contact 0909 344 247 for answers and advice on Domestic and International shipping services at the best prices.

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