LCL Shipping & How it Works

There are two types of conventional containers used in the shipping industry; 20ft equivalent unit (TEU) and 40ft equivalent unit (FEU). You may be able to fill one of these container types while transporting your products, but what if your things do not completely fill the forty-foot container?

This is where LCL, or Less than Container Load shipping comes in to its own.

In this brief article, you will discover what LCL shipping is, how it works, and how you can use it when shipping. We will also explain the distinctions between FCL and LCL to help you understand the benefits of utilizing the service.

LCL and its Process

As previously stated, LCL stands for Less than Container Load and is also known as Groupage Shipments. When you fill a 20ft or 40ft container, you will be the only consignee using it.

When you are unable to fill the container completely, several consignees will utilize the leftover space to transport their products as well. When the container reaches at its final port, the items are divided into individual shipments. This is done at a container goods station (CFS), which handles cargo consolidation and/or de-consolidation. If you are unable to fill a container with your consignment, LCL is the most cost-effective alternative that all respectable freight forwarders can provide.

Benefits of LCL Shipping

Naturally, if you routinely transport smaller quantities of products, it is most likely the ideal option for you to utilize, but using LCL in general will provide you with the following benefits:

• The total container costs being shared between multiple consignees allows you to make smaller shipments more frequently.
• You will only ever be charged for the quantity of products sent.
• These shipments will be less expensive than air freight or FCL (Full Container Load) alternatives.
• LCL shipments may be simpler to locate than FCL solutions during peak seasons of strong demand.
• LCL allows you to send shipments whenever you need them rather than waiting for a container to fill up.

Disadvantages of LCL Shipping

• Due to the handling, these commodities take longer to load and unload than full container load solutions, which might increase lead times.
• Being engaged in the shipments of other consignees may result in customs delays, forcing you to miss key dates.
• LCL container solutions are commonly recognized to be more costly than FCL solutions.

What Documents Will You Need to Ship LCL

When exporting LCL, you will need to get a number of paperwork in order to ship, such as

• Commercial Invoice
• Packing List
• SLI (Shipper’s Letter of Instruction)
• Certificate of Origin
• Bills of lading: you will always need one Bill of Lading but you may need more multiple if you are using intermodal transportation

Other documentation, such as dangerous goods forms and cargo receipts, may be required depending on the sort of products you transport.

How Long for LCL shipping

Sea shipment might take anywhere from 6 to 10 weeks depending on your origin and destination. LCL takes somewhat longer than FCL due to consolidation and deconsolidation.

Packaging and Labelling

It is strongly advised that you invest in adequate packing for every LCL shipping. So, how should an LCL shipment be wrapped properly?

Depending on the nature of your goods, it is recommended that you evaluate the type of boxing you use to package your items to ensure that it is appropriate for transportation. It is also essential that you guarantee the accurate labelling of your items and that your data are plainly visible. This is a basic step in the procedure, but it makes your goods less vulnerable to loss, damage, or confusion with the cargo of another consignee.

When marking your boxes, make sure to include the following information on either side:

• The name of the shipper
• The name of the consignee
• Freight forwarder contact details
• The country of destination and origin and;
• The booking/reference number of the shipment

You must give the entire amount of your shipment in cubic feet before getting a price.

To determine this, multiply the length, breadth, and height by 35.31 cubic feet, and if the total is larger than 35.31 cubic feet, you must ship using FCL. Once you have the total, you may book it with your goods forwarder.

We recommend that you ask your forwarder to arrange your cargo uniformly in order to lower the overall cubic volume.

When shipping LCL your freight forwarder will most likely be able to help with many of the factors during the shipping process. A freight forwarder will be responsible for organizing the deconsolidation of your cargo when upon arrival of the goods at the destination port. It is important to note that a freight forwarder may also be able to organize storage and distribution of your goods to customers directly.

If you are you looking for a freight forwarder that focuses on quality rather than quantity? Visit our website now KAY Shipping Services LLC