LTL Shipments – The Consideration

Posted by sachin

When a number of goods must be transfered from one place to another, or when a shipment is less than a truck load, LTL may be considered the best option.  Being sure of the following, prior to making LTL shipments or deliveries, will give greater likelihood  to being spared any unwanted clauses or bills.  Generally, the rates of such bills are higher with LTL shipments than with the big ship sea freights.

First of all, select a reputable service provider and get their quote details.  Remember, with few operating companies, the competition can be fierce.  If the market leader turns an inquiry down, the market follower will almost certainly make its best effort to attain the business.  There is no need to go blindly with the first logistics company under consideration. It is always a good idea to check with others as well.

Consider carefully the product or goods to be shipped and their type, kind, amount, size, nature, etc. Based on the product, one will have to determine which mode of LTL shipments will be needed. If the product is ten cubic meters of fish, a refrigerated delivery van will most definitely be needed for LTL shipments. If the product is radioactive, LTL shipments will never be allowed.

The question of billing needs also to be considered.  Legally, logistic companies are authorized to do business in two tiers. This means that they can produce bills for their services based on a) the volumetric size and b) the weight of goods.  Many logistics companies will quickly crosscheck at the end of the shipping process to see which tier of billing will yield them the greatest profit.  If the volumetric billing price is higher they will quote that price and if the weight-based billing price is higher, they will offer that price. Unfortunately, there have been numerous incidences of people being cheated, deprived, and exploited so be sure to check the cost basis being offered.

Packaging is another serious consideration, and one that needs special attention. If one is unsure how the product needs to be packaged, these companies will often advise to use the most expensive way for their billing advantage, even if the goods to be delivered could easily be shipped safely in much simpler and less expensive packaging.  A larger box may sometimes be recommended, but it is always advisable to send the goods in the smallest possible box to ensure a tight fit.  It is also wise to double check at the time of packaging to see how the goods are packed, and also what type and size of packaging is used.

Also consider the custom value declaration for LTL shipments.  As the name explains, these goods, when sent across borders, do not fall under specific taxation categories. Therefore, the senders or receivers have to settle the matter of taxation.  To do this, a system has been arranged for declared customs duty. This declaration, as most of the shippers are aware, varies from country to country.  Some logistics companies may try to convince shippers to declare an unnecessarily high customs value when a parcel is destined for the company owner’s country. This is just something to be aware of.

Finally, be sure to get some kind of package ID or tracking number to check delivery status online.  Ask for email notification when the package is delivered.  All the considerations mentioned above are for counter-drop by the customer or pickup services by the logistics company. Check accordingly next time to save time and avoid hassle.

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