Charge

A “charge” typically refers to the fees or costs associated with transporting goods, commonly known as cargo, from one location to another. Charges can encompass various components, including:

  1. Freight Charges: These are the basic charges for transporting the cargo from its origin to its destination. Freight charges can vary based on factors such as distance, weight, volume, mode of transportation (e.g., air, sea, road, rail), and any negotiated contracts or agreements between the shipper and the carrier.
  2. Handling Charges: These charges cover the cost of loading and unloading the cargo onto/from the transportation vehicle (e.g., ship, truck, aircraft, train). Handling charges may differ depending on the type of cargo, its packaging, and any special requirements for handling.
  3. Surcharge or Accessorial Fees: Additional charges may apply for special services or circumstances related to the cargo. These can include fuel surcharges, customs clearance fees, insurance charges, security fees, and any other supplementary costs incurred during the transportation process.
  4. Demurrage or Detention Charges: If the cargo is not picked up or delivered within the agreed-upon time frame, demurrage (for cargo held at the port) or detention (for cargo held at other facilities) charges may apply. These charges compensate the carrier or terminal operator for the storage and use of their facilities beyond the allotted time.
  5. Ancillary Services Charges: Certain ancillary services such as warehousing, packing, crating, or palletizing may incur additional charges, depending on the specific requirements of the cargo and the services requested by the shipper.

Overall, cargo charges encompass a range of fees associated with the transportation, handling, and ancillary services involved in moving goods from one point to another. The specific charges applicable to a particular shipment will depend on various factors, including the nature of the cargo, the chosen mode of transportation, and any additional services required during transit.

Click on the link to open Charges.pdf, a document intended for use with the rate management tool.


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Bart is the author of this solution article.

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