What is bulk shipping? Here’s a quick guide to bulk shipping solutions and what affects the cost.
Business owners appreciate the value of reaching new continents, markets, suppliers, and countries. As such, bulk shipping is the solution that creates a bridge between the overseas markets and such business. Clients prefer shipping because it’s a convenient, affordable, and safe method.
On the other hand, bulk shipping involves moving bulk products without individual packaging. That said, it’s essential to visualize the cost of bulk shipping for planning reasons. Here’s why.
What sets bulk shipping apart?
Quick Fact: In other forms of shipping, companies pack and label each product contrary to bulk shipping—where products are loaded directly into a container. Another key difference is that bulk cargo is measured in either volume or mass units.
For clarity, here are a few examples of products moved under bulk shipping.
Solids Products—Grains, minerals, chemicals, machinery, and stationery.
Liquids—Petroleum, natural gas, cooking oil and, dairy products.
Factors that affect the cost of shipping
Shipping companies express cost in terms of dollars per Twenty-Foot Equivalent (TEU) or charge per diem freight rate. Different transporters can also share the total cost of shipment or a container. So, what comprises the total cost of bulk shipping?
1. Shipping Distance
The total cost of moving goods either locally or internationally is affected by the distance covered. However, it’s not directly proportional to the miles between the source and destination. Despite the distance being a factor, the total estimate includes geographical factors, routes, destination, and shipment type. As such, it’s possible to find a per-mile freight rate reduction with distance.
2. Weight
The weight of shipping is expressed in either dimensional or gross weight. Dimensional weight considers the density of a container— it’s suitable for bulky and relatively light items. Items that weigh more, e.g., grains or minerals, use gross weight as the measurement unit.
3. Delivery Timelines
The shipping cost can be affected by the urgency of an order or service type. If a client selects express delivery, they expect goods to arrive overnight or within 48 hours — the associated cost is high. Alternatively, a client can request standard delivery that happens anywhere between 2-7 working days. That said, a shipping client who requests express delivery attracts a premium price.
4. Freight Categories
The freight category considers fragile goods, handling requirements, ease of damage, or loading ease. To that end, shipping products that require special handling or care fall under the high shipping class—which attracts a higher rate.
Your best bulk shipping resource
Processing a bulk shipping order can be the masterstroke that brings stability and profitability into your company. Equally, it’s challenging to find a shipping company that accepts outliers such as hazardous goods, oil, fuel, and chemicals. Shipping clients, therefore, spend a lot of time looking for the perfect company or partner.
There is no better solution than Ship North America Network, a conglomerate of companies that offers different services when it comes to bulk shipping. We also have a dedicated blog packed with news, updates, and articles in the transport sector.
Feel free to contact us today for more information.