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Understanding The Basics Of Air Freight Cost Calculation - Business - Nairaland

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Understanding The Basics Of Air Freight Cost Calculation by Emmaharper: 8:20am On Mar 01, 2023
The factors that affect air freight cost

When it comes to calculating air freight costs, there are a few factors to consider. These include the size and weight of the shipment, the chosen transport route, the type of aircraft used, the fuel surcharge, and any additional costs such as handling fees.

The size and weight of the shipment can have a major impact on the cost of air freight. For example, shipping a small, lightweight package would cost less than shipping a large, heavy one. This is because the aircraft used to transport the package may need to be larger or stronger, depending on the size and weight, which can increase the cost.

The chosen transport route can also affect the cost of air freight. For example, if you choose a direct route, it may be much more expensive than a connecting flight. Additionally, the type of aircraft used to transport a package can also impact the cost. Larger aircrafts cost more than smaller ones and can significantly increase the cost of shipping.

Other factors that could affect the cost of air freight are the fuel surcharge and any additional fees associated with the shipment. The fuel surcharge is based on the current oil prices and can fluctuate, meaning the cost of your shipment may also change

The difference between air freight and sea freight costs

Air freight and sea freight are two of the most popular methods of cargo transportation. Although they offer similar services, they differ in terms of cost.

Air freight tends to be more expensive than sea freight. Air freight costs are usually determined by the size and weight of the cargo, the destination, and the urgency of the shipment. Air freight can be more expensive due to the fact that it's the quickest way to move cargo. Therefore, the fees are typically higher.

On the other hand, sea freight will usually be the most cost-effective option if the shipment isn't time-sensitive. Sea freight costs are determined by the type of container, the weight and size of the cargo, the route, and the port fees and taxes. Sea freight is typically much cheaper than air freight, but keep in mind that it can take anywhere from 2-6 weeks for the shipment to arrive.

Air freight and sea freight offer different services and have different costs. Air freight is the fastest way to move cargo and is usually more expensive, while sea freight is the most cost-effective option, but takes longer to arrive.

The role of weight and volume in air freight cost calculation

Weight and volume are important factors in calculating air freight costs. Determining the cost of an air freight shipment requires weighing and measuring the items and estimating the shipment’s overall size and weight. When the items are weighed and measured, the actual weight and volume of the shipment are known.

The volume of the shipment is used to determine the cubic space the cargo will occupy in the aircraft. The greater the volume and weight, the more space and fuel the aircraft require to transport the cargo, which impacts the cost of transport. In some cases, the volume weight of the shipment may be greater than its actual weight. Air freight carriers typically calculate a freight’s volume weight, or dimensional weight, by dividing the total volume of the shipment by a dimensional factor that is determined by the carrier.

When determining the cost of an air freight shipment, both the actual weight and volume weight of the shipment must be considered. The total cost of an air freight shipment is based on the greater of the two weights. Therefore, if the dimensional weight of the shipment is greater than the actual weight, the cost of the shipment will be based on the dimensional weight.

Overall, the weight and volume of an air freight shipment play a critical role in the cost of transport.

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