New Express Ocean Service Provides Cheaper Alternative to Air Freight
DP World's new Express LCL service cuts door-to-door transits to under 24 days, allowing buyers to bypass expensive air cargo.
Less than Container Load
Shared Shipment
Maritime transport arrangements where multiple shippers share the space of a single ocean container allow for the cost-effective movement of small volumes. A less than container load shipment is typically handled by a consolidator who aggregates goods at a container freight station. This method provides access to global trade routes for businesses that lack the inventory for a full box.
Consolidation Process
Goods arrive at a warehouse where they are measured, weighed, and packed alongside other compatible cargo. Using less than container load services requires careful planning because the loading and unloading of mixed freight adds time to the overall transit schedule. Each individual shipment receives its own house bill of lading even though the entire container travels under a single master bill.
The freight is stripped at the destination port and sorted for final delivery to the respective consignees.
Pricing Structure
Charges are calculated based on the volume of the cargo, usually in cubic meters, rather than a flat rate per container. While the rate per unit is higher than for a full container, the total cost for less than container load transport remains lower for small batches. Shippers must account for additional handling fees associated with the consolidation and deconsolidation stages.
This model is particularly useful for trial shipments or when maintaining a lean inventory strategy requires frequent small deliveries.