Freight forwarding is yet another name for freight transportation. Freight transportation includes the physical process of transporting goods, commodities, and merchandise cargo services. The basic term of shipping is derived from transportation by sea but later it was used to transfer goods by land or air as well. Logistics is widely used for such transportation. Transportation and logistics are the basis for the global economy, a good transportation service ensures seamless movement of goods across vast distances.
It builds a connection between producers, manufacturers, and consumers worldwide. Freight transportation is a crucial link between the shipment of raw materials to factories and the delivery of finished products to store shelves. Nobody wants to spend more money on freight shipping than is necessary. To get the best out of your shipping services you have to consider some key factors involving logistics. Considering important factors about freight transportation you can make well-informed decisions about shipping strategy.
Here are the factors that determine freight shipping class.
1. Commodity and density
Some commodities have fixed rates. These are not charged with respect to weights. Some cargo services have pre-defined charges based on weight. Like a parcel, a piece of document has a fixed amount but a box full of material will be charged according to weight. Freight having lower density has higher freight class rates. The more weight you are sending, the lower will be the offer.
2. Storability
Most freight is easy to stow in trucks, trains, boats, and ships but certain goods are not allowed to carry with other goods as regulated by the government. This increases the rate of such cargo. Freights which are excessively heavy or too long are difficult to stow hence they fall under the category of higher freight class. The rates increase as the freight class does. Additionally, shipments should have clear load-bearing surfaces to make it simpler to stack them with other freight. In essence, a difficult-to-load item will have a higher freight class, which will raise the cost of shipping as a whole.
3. Cargo handling
Before reaching its final destination freight goes through various checkpoints and disturbances. A properly packed shipment does not create any problems. The majority of freight can usually be handled by machinery without any problems, however, certain cargo is difficult to store because it is heavy, fragile, strangely shaped, or toxic. These goods require special handling to prevent damage or harm to workers or other luggage. All those carriers that are difficult to handle are considered as higher freight class with higher shipping rates.
4. Liability
Liability of a carrier means how a carrier is responsible for lost, damaged, or delayed freight. Depending on the freight class, packaging, product type, and other criteria, carrier liability for LTL truckload freight shipping is calculated on a dollar-per-pound basis. Freight class is the most common factor among them which ranges from $1-2 per pound for lower freight class up to 25$ per pound for higher freight class. Liability is increased for freight that is hazardous or more prone to unexpected explosion or combustion.
Conclusion
Freight transportation has not only affected moving our logistics but it has another impact on our lives. It provides the availability of goods, price factor, job opportunities, international trade, and much more. It has a significant impact on shaping our modern global economy. It has created a vast network between companies and customers around the world.
