Introduction to Air Cargo Freight Rate

Introduction to Air Cargo Freight Rate

2022-11-25 11:51:05

1. What is air cargo freight rate


Air cargo freight rate refers to the freight that needs to be paid from the port of departure to the airport of the port of destination, but it cannot include the local fees incurred at the port of departure and the relevant fees incurred by local customs clearance at the port of destination, but only the cost from the airport to the airport.


Air cargo freight rate usually consists of three parts: air freight, fuel surcharge and war rate. Some airlines do not charge war rate. Air freight specifically refers to net air cargo freight rate, excluding fuel surcharge and war rate.


The adjustment of air cargo freight rates is carried out by the airlines according to the low and peak seasons of the industry or the situation of receiving goods by the airlines. The prices are delegated to the aviation sales agents, or an agreement in which container plate and quantity are involved is signed with the agents according to the sales policies of different airlines.


The freight rate in this agreement is relatively stable, and the increase of fuel surcharge will basically be adjusted according to the price of international crude oil, and the war rate is relatively stable.


Usually the sales agent will quote the all-inclusive price to the customer when quoting to the customer (air cargo freight rates + fuel cost + war rate + surface transport charge) + local fee at the port of origin and other miscellaneous fees. Or the price can be quoted separately according to the customer's different trade terms to customers.


The air cargo freight rate for export is relatively more expensive than the air cargo freight rate for import, because the goods imported on the return journey are much smaller than the goods exported, and the return transport capacity is much larger than the outgoing transport capacity, and the natural competition is also greater.


2. Quoting instructions for air cargo freight rates


The air cargo freight rates charged by different airlines are different, and the services provided are also different. The airliners with lower air cargo freight rates will relatively spend more time transporting goods, and airliners with higher air cargo freight rates can promise a higher speed.


Therefore, when air cargo sales agents make quotations to customers, they must understand the real needs of customers. For customers, it is best to inform the air cargo sales agents of relevant requirements, especially the timeliness, so that the agents can match the airliners which can meet relevant requirements for transportation.


3. Calculation methods of air cargo freight rate


In the air freight business, there are two weights: chargeable weight and gross weight.


When the volume weight is greater than the actual weight, the goods are light goods, and the larger weight ratio is taken as the charged weight. For heavy goods, the charged weight of air cargo freight rate is equal to the gross weight, that is, the gross volume of the goods.


For light goods, the volume weight of the goods is the charged weight. Generally, 1 cubic meter is equal to 167 kilograms in the calculation. If the calculated weight is greater than the gross weight, it is the bulky goods. If it is less than one kilogram, the mantissa will be rounded up.


In addition, when the airline measures the outer packaging of the goods, if the box has a protruding part, it will be calculated according to the length of the protruding part, so there will be errors. If the error is too large, you can ask to re-measure. Of course, it may cause re-measured air cargo freight rates.

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