How To Get Discounted Ocean Freight Rates Easily

These days, if statistics are to be believed, theARB: Origin Arbitraries
ocean freight rates are on a steady rise. ConsideringCAF: Currency Adjustment Factor
the economic recession looming overhead and anAMS: Advance Manifest Surcharge
increasing number of people wanting to ship goodsPSS: Peak Season Surcharge
the cheaper way, finding discount ocean freight ratesThese are just basic components of the ocean
is in order. Here are some tips to get started.freight rates and in fact it primarily depends on the
The main area where ocean freight rates have beenIncoterms because at times you might have to shell
rising steadily is in the shipments where oceanout origin charges such as ODF, ORC, DTHC or even
containers are concerned. Within the past threeTHC.  
months, the average rate of the ocean freight hasComplex Process
increased by as much as 55%. This leaves theThe method to negotiate ocean freight rates is
average consumer wondering where, if at all, there iscomplicated and requires sound knowledge on the
a scope for negotiation.subject. The rates can differ dramatically depending
Charges Includedon whether there are many shipments being sent on
As part of the overall ocean freight rates therea ‘one-time' basis or whether this is a recurring
maybe several components which make up thesebusiness. It would also depend on the bulk of
rates. Some can be negotiated easily along with dueproducts being shipped at a particular time and if
discussions with the forwarder or carrier if there is athese are repetitive shipments, the frequency of
large bulk of shipment and it is being carried outshipments. You might want to reassess your ocean
frequently. However, you should have a goodfreight rates depending on whether you wish to
knowledge about ocean freight rates in general ascontinue with the freight forwarder or want a direct
well as how they work.  negotiation process with ocean carriers.
Components Of The RateTransit Times
It is first important to understand what goes into theOne major factor about ocean freight rates is the
standard ocean freight rates. Some of these factorstransit times as far as door to door shipment is
include charges pertaining to:considered. Depending on whether you plan to ship to
PNC: Panama Canal Chargegateway ports or a major one and subsequently
ACC: Alameda Corridor Surchargetruck the shipment to various distribution centers, the
BAF: Bunker Adjustment Factor Surchargecosts will differ quite a bit. If the containers will
CHS: Chassis Usage Surchargeremain intact some glitches might arise but it of
AMS: Advance Manifest Surchargecourse depends on the particular ocean carrier you
SUZ: Suez Transit Surchargeare dealing with.