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What Is FCL and LCL Choose The Best Option

What is FCL and LCL: Understanding the Differences, Choosing the Best Option, Shipping Costs & More

Introduction

When you are shipping internationally, a number of factors are to be considered to ensure an efficient delivery procedure. You need to carefully make decisions regarding the impact cost,  delivery timelines, shipment tracking procedure, reliability, and more. Another option to be considered is whether you should go for FCL or LCL shipping. 

What is Full Container Load (FCL)?

What Is FCL?

When you have a larger volume to ship, you may usually book an entire container to ship your goods, FCL or Full Container Load is the shipment mode where a single shipper sends the goods in one complete container. This container is completely sealed until it reaches its destination. FCL shipping is often preferred for large shipments where the volume or quantity of goods can fill an entire container.

What are The Benefits of FCL?

  1. Cost-Effectiveness for Large Shipments
    • A perfect option to choose if you are shipping a larger quantity. When you ship more, the total cost per unit reduces, and thus, costs for FCL shipping are quite lower than LCL if you are sending goods in bulk. So, in this scenario, FCL seems an economical option.
  2. Speed
    • FCL shipments are for single shippers, so the hassle of consolidating goods and dividing them again is absent in this shipping mode. Thus, this makes FCL a faster shipment method than LCL. 
  3. Security
    • As we discussed above already, from the beginning till the destination, the container is well sealed, so security is top-notch in this case. The risks of damage or items being stolen are reduced.
  4. Flexibility in Packaging
    • As the material goods are from a single shipper, you have complete control over the packaging of the items. You can pack the goods and arrange them as per your requirements. 
  5. Reduced Handling
    • Don’t worry about your goods being mishandled. During this shipment, you will have to go through just a few touchpoints so your package will be safe and secure the way it left. 

Understanding “what is full container load shipping” highlights its advantages, especially when comparing FCL vs LCL shipping. For businesses dealing in large volumes, FCL can be a game-changer.

What is Less than Container Load (LCL)?

What Is LCL

No single shipper is involved in Less than Container Load (LCL). Not all businesses or shippers have a larger volume to send; some may only have small bundles or even one. In such cases, LCL shipment shines. Instead of giving one container to one shipper, goods from various shippers are collected and a container has shared shipment items from various skippers. This is a beneficial option for shippers sending lower volume as this would cost you less. 

What are The Benefits of LCL?

  1. Cost-effective for Small Shipments
    • If your business does not require you to send larger volumes of shipment, then LCL is the option you must go for. It will cost you less if you have smaller shipments.
  2. Flexibility
    • You can ship smaller loads without needing to wait until you have enough goods to fill an entire container.
  3. Sustainability
    • LCL can also be a sustainable shipment option. Sharing container space optimizes resources and reduces the environmental impact of shipping.
  4. Scalability
    • Businesses that have just started and do not need an entire container to ship goods can benefit from this.

What are the Key Differences Between FCL and LCL?

Cost

  • FCL shipping costs can be considered a cost-effective option if shippers need to send larger shipments. Also the shippers will get one complete container for their goods. 
  • LCL shipping costs are calculated based on the space or weight your goods occupy in a shared container, making it more suitable for smaller shipments.

Transit Time

  • FCL shipments are faster as there’s no need for consolidation or deconsolidation.
  • LCL shipments can take longer due to the additional handling involved.

Suitability for Shipment Size

  • FCL is ideal for large or bulk shipments that can fill an entire container.
  • LCL is best for small shipments that don’t justify the cost of a full container.

Packaging Requirements

  • FCL allows for flexible packaging as the shipper has full control over the container.
  • LCL requires careful packaging to protect goods, as they will be sharing space with other shipments.

Security

  • FCL offers greater security since the container remains sealed from origin to destination.
  • LCL involves more handling, which can increase the risk of damage or theft.

Availability

  • FCL containers might require more lead time for booking.
  • LCL services are often more readily available for small or irregular shipments.

Understanding these differences, such as the “difference between FCL and LCL container” options, is crucial when deciding between full container load vs less than container load.

When Should You Choose FCL?

  • Large Volume Shipments: When your goods can fill an entire container.
  • High-Value Goods: For added security and minimal handling.
  • Time-Sensitive Deliveries: To benefit from faster transit times.
  • Customized Packaging Needs: When control over packaging and arrangement is essential.
  • Long-Term Cost Efficiency: For regular and bulk shipments that lower per-unit costs.

When Should You Choose LCL?

  • Small Shipments: When your goods don’t require a full container.
  • Cost-Sensitivity: To save money by sharing container space.
  • Irregular Shipping Needs: For businesses shipping smaller volumes less frequently.
  • Eco-Friendly Goals: Sharing space optimizes resources and reduces environmental impact.

 

How to Calculate Shipping Costs for FCL and LCL

FCL Shipping Costs

  • Flat Rate: No matter if you fully utilize the container or not, a Flat rate will give you the cost of the complete container. 
  • Container Type and Size: The standard container sizes are 20ft and 40ft, so the price can vary with that.
  • Additional Charges: Includes port fees, customs clearance, and transportation.

LCL Shipping Costs

  • Volume or Weight-Based: Charged per cubic meter (CBM) or metric ton.
  • Shared Costs: Costs are divided among multiple shippers sharing the container.
  • Extra Fees: This may include consolidation, deconsolidation, and handling charges.

Accurately calculating costs for FCL and LCL helps businesses budget effectively and choose the most economical option.

Conclusion

In the detailed guide above, we have discussed the different container shipments, their usage, the benefits of choosing them, and which option you should select as per your situation. Carefully consider the scenarios and look for a reliable delivery partner for an efficient shipment delivery

 

Frequently Asked Questions

1. What is FCL and LCL?

FCL is Full Container Load, and LCL is Less than Container Load mode of shipping. In FCL, a single shipper has the option to send their goods in a complete container, which remains sealed from the point of origin until it arrives at its destination.

However, in LCL, there is not one shipper but a number of shippers who send their goods in a container. This option is better if you are shipping a lower volume. 

2. What does 40 FCL mean?

In FCL shipment, there are standard container sizes, 20’ and 40’. You can choose the container as per your shipment volume requirement. 

3. What is cheaper, LCL or FCL?

LCL can be a cheaper option if the volume of shipment you are sending is lower, as in LCL, you only pay for the total weight you send. However, if you are shipping a larger quantity, FCL would be more economical for you. 

4. How much is 1 FCL in kg?

 A Full Container load can be of different sizes; a 20-foot container can load up to 28,200 kg of shipment weight, and a 40-foot container can carry up to 28,800 kg. 

 

Phone
1300 658 775

Location
Unit 9/10 Ferngrove Place Chester Hill, NSW 2162

Email
sales@dtdcaustralia.com.au

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