Freightage calculation is a crucial aspect of air cargo transportation, as it determines the cost and pricing of shipments. Two key factors that contribute to the calculation of freightage are the weight and volume of the cargo. Understanding how these factors are measured and priced is essential for businesses involved in air freight. In this article, we will delve into the details of weight and volume calculation methods, and how they impact the chargeable weight and cost of air shipments.

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Weight Calculation Method

The weight of a shipment plays a significant role in determining its cost. The weight calculation method considers both the gross weight and the volumetric weight of the cargo. The gross weight refers to the total weight of the shipment, including the product itself and the packaging. On the other hand, the volumetric weight, also known as dimensional weight, is an estimated weight value based on the package’s dimensions.

Gross Weight Calculation

To calculate the gross weight of a shipment, you need to add the weight of the product and the weight of the packaging or pallet. The actual weight of the cargo is usually measured in metric units such as kilograms (kg). In cases where the weight is provided in imperial units such as pounds (lb), it needs to be converted to metric units for ease of calculation.

To calculate the volumetric weight, follow these steps:

1. Calculate the volume of the shipment by multiplying its length, width, and height:

Length x Width x Height = Volume

2. Convert the volume to cubic meters (cbm) if it is not already in that unit.
3. Apply the air cubic conversion factor to determine the volumetric weight:

Volume (in cbm) x Conversion Factor = Volumetric Weight

Chargeable Weight: Determining the Actual Cost

The chargeable weight is the quantified weight used by the carrier to determine the cost of the shipment. It is based on either the gross weight or the volumetric weight, whichever is higher. The chargeable weight ensures fairness in pricing, as it accounts for the space occupied by the shipment (volumetric weight) and the weight of the cargo (gross weight).

It’s important to note that different freight carriers may have variations in their calculation methods, including the volumetric divisor used for converting volume to weight. Therefore, it’s essential to check with your specific carrier or their agent for the precise formula and conversion factors used.

Factors Impacting Freightage Calculation

Several factors influence the freightage calculation for air shipments. These factors include the commodity being shipped, the origin and destination of the shipment, the distance traveled, the desired transit time, and the weight and volume of the cargo.

Commodity Type

The type of commodity being shipped can affect the freightage calculation. Certain commodities may require special handling or have specific regulations and restrictions, which can impact the cost of transportation.

Origin and Destination

The origin and destination of the shipment play a crucial role in determining the freight charges. The distance between the two locations, as well as any additional logistics involved, can impact the overall cost.

Transit Time

The desired transit time, or the urgency of the shipment, can influence the freight charges. Faster delivery options may incur higher costs compared to standard or deferred services.

Weight and Volume

As discussed earlier, the weight and volume of the cargo significantly impact the chargeable weight and, consequently, the overall cost of the shipment. Shippers should consider optimizing the packaging and dimensions of their cargo to minimize volumetric weight and reduce costs.

Conclusion

Understanding the freightage calculation methods for air cargo is crucial for businesses involved in international trade and logistics. The weight and volume of the cargo play a significant role in determining the chargeable weight and cost of the shipment. By optimizing packaging and dimensions, businesses can minimize costs and ensure efficient air freight transportation. It is important to consult with the specific freight carrier or their agent to get accurate information on their calculation methods and conversion factors. With a clear understanding of weight and volume calculation, businesses can make informed decisions and effectively manage their air freight operations.

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