WHAT ARE THE ADVANTAGES OF LCL SHIPPING AND HOW CAN IT BENEFIT OUR BUSINESS?
Updated: Mar 28
If you're new to the world of international shipping, you may have heard the term LCL cargo and wondered "What is LCL cargo?" LCL stands for Less than Container Load, and it refers to the transportation of small or partial shipments that don't require a full container. In this blog post, we'll cover all the basics of LCL cargo shipping.
What is LCL Cargo?
LCL cargo refers to freight that is too small to fill an entire shipping container. Instead of paying for a full container, shippers can opt to share container space with other shippers who are also shipping LCL cargo. This is a cost-effective shipping option for smaller shipments.
LCL cargo is also known as groupage or consolidation. It's a popular choice for small and medium-sized businesses that don't have enough cargo to fill a container, as it allows them to ship goods more frequently without having to wait until they have enough cargo to fill a container.
How Does LCL Cargo Work?
When shipping LCL cargo, the freight forwarder will consolidate your cargo with other shippers' cargo into one container. The container will be loaded and sealed at the origin and then transported to the destination port. Once the container arrives at the destination port, it will be deconsolidated, and each shipment will be separated and released for delivery to its final destination.
LCL cargo is suitable for anyone who doesn't have enough cargo to fill a container. It's particularly useful for small and medium-sized businesses that need to ship goods regularly but don't have enough cargo to fill a container.
Advantages of LCL Cargo.
The most significant advantage of LCL cargo is cost savings. When you ship LCL cargo, you only pay for the space you use in the container. This makes it a cost-effective shipping option for smaller shipments.
LCL cargo is also a more flexible shipping option than FCL (Full Container Load) cargo. You don't have to wait until you have enough cargo to fill a container, which means you can ship goods more frequently. This is particularly useful for businesses that need to fulfil orders quickly.
Disadvantages of LCL Cargo.
The main disadvantage of LCL cargo is that your cargo will be sharing container space with other shippers' cargo. This means you have less control over the handling and storage of your cargo, and there is a higher risk of damage or loss.
Another disadvantage of LCL cargo is that it can take longer to transport than FCL cargo. This is because the container needs to be consolidated and unconsolidated, which can add time to the shipping process.
LCL shipments are an economical and flexible solution for small and medium-sized businesses that do not have enough cargo to fill an entire container. If you are considering an LCL shipment for your next cargo, we at Tradent Freight will offer the optimal price/service option and, together with you, organize and deliver your goods, because this will benefit your business.