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Company History
Movers Carrying Packages

Shipping Charges Explained

When a company agrees to get your parcel from A to B, you enter into a contract with that company. The contract will detail their charges for shipping your item, and in some cases will have a breakdown of their charges. It may also be an invoice for their sum.

With different modes of transport, such as courier, airfreight and shipping incurring different charges and also taking into consideration the fluctuation of prices in gas and oil, the charges for delivering your consignment may vary.

The following is a breakdown of the charges that can be included in your final price. 

Movers Carrying Packages

By Sea

If your parcel travels by sea, you could expect to see charges such as: -

BAF (Bunker Adjustment Factor) – this charge stands to counter any fluctuation in fuel prices. Another fuel related charge is the Low Sulphur Surcharge, which is a levy set by ports to put more pressure on shipping firms to use low sulphur fuel.

ISPS Code Fee (International Ship and Port Facility Security code) – after the horrors of 911, the IMO (International Maritime Organization) introduced this charge to cover security at ports and harbours, through fear of a similar attack.

CAF (Currency Adjustment Factor) –  this charge is intended to cover any losses the shipping firm may incur as a result of currency exchanges. 

By Land

THC (Terminal Handling Charge)  –  a charge which relates to both the loading and discharge of consignments at ports.

Wharfage – is charged for the use of storage space at a port.

Cartage – the price charged for moving goods to and from the port or airport by road. 

Chassis Usage Surcharge – is charged for items which exceed road limits and put excessive wear on the chassis of the vehicles delivering the consignment.

Chassis Usage Surcharge is charged for items which exceed road limits and put excessive wear on the chassis of the vehicles delivering the consignment.

By Land

Fuel Surcharge – is a flexible charge that counters the fluctuation of fuel prices.

Security Surcharge – helps to levy the cost of security at airports. Much like the charges at ports, these surcharges have been significantly developed since 911. 

Customs Brokerage Fee – in some cases your shipping handler may charge a brokerage fee. Customs Brokers are often used to manage the paperwork for the shipping company and is an administration fee.

THC (Terminal Handling Charge) – or CSC (Container Service Charges) are applied for the storage of containers whilst they await loading to the plane, or collection for further road transport. 

All in One

At OCS, all your charges for the handling and delivery of your goods are calculated and set before we collect the consignment. This keeps things simple for our customers. If you need to get a quote for shipping, you can use our online form by clicking here. 

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