FCL, or 'Full Container Load', refers to a container used exclusively by a single consignee in international shipping. When a shipper opts for FCL, they reserve a container solely for transporting their cargo, without having to share it with shipments from other shippers. This not only enhances security but also simplifies the management of ocean freight logistics.

On the other hand, LCL, or 'Less than Container Load', is suitable when the exporter does not need to book an entire container due to the smaller size of their cargo. LCL containers are utilized for shipping smaller shipments economically, especially when time sensitivity is not a major concern.

Freight forwarders often consolidate multiple LCL cargoes by booking an FCL container and merging shipments from different shippers. This consolidation process involves organizing the cargoes based on their respective port of destination or trans-shipment to optimize efficiency.

Differences

1. Shipment Volume

Shipment volume refers to the amount of space occupied by the goods being transported, typically measured in cubic meters or cubic feet. This factor plays a crucial role in choosing between LCL and FCL shipments. LCL is generally suitable for low-volume shipments, while FCL becomes more cost-effective when the shipment requires more than 10 standard packages.

2. Cargo Security

Ensuring the security of merchandise during ocean transit is a top priority for shippers. However, not all shipments have the same level of security requirements. FCL shipments offer higher security as they have exclusive rights to the entire container. This means there is no contact with cargo from other shippers, reducing the risk of damage or contamination from other merchandise.

However, LCL may be a more secure option for specific shipments. Low-volume shipments are tightly packed, leaving minimal room for movement and potential damage.

3. Shipment Cost

Shipment cost is a significant factor to consider when deciding between FCL and LCL. While some general guidelines exist, there can be a gray area where the decision between FCL and LCL is not straightforward. The general rule of thumb is to opt for LCL when shipping low-volume shipments and FCL for higher-volume shipments, even if the container is not completely filled.

However, this guideline is not fixed and can vary depending on the specific circumstances. If you are uncertain about whether to choose FCL or LCL, it is advisable to evaluate both options and seek advice from your freight forwarder. The stability of FCL and LCL rates can also differ. Generally, FCL shipping rates tend to be more volatile compared to the relatively stable rates of LCL shipments.

4. Practical Considerations

The containers used for loading adhere to ISO standards, with dimensions typically being 8 feet wide and 20 or 40 feet long.

Clients are billed based on either cubic meter or tonnage, depending on the shipping company. Generally, FCL shipments tend to be more cost-effective compared to LCL shipments. FCL requires fewer handling operations for transporters, resulting in smoother logistics. Additionally, FCL shipments are typically faster since there is no need for grouping or separating goods, which could potentially cause delays. The pricing for FCL shipments can change rapidly, depending on the availability of space on ships.

Clients have the option to engage the services of a freight forwarder to handle their goods' shipment. The freight forwarder takes on the responsibility of finding the most efficient transportation solution. They select the appropriate modes of transport, manage consolidation (grouping and separating), handle transshipment, and oversee all necessary formalities.

Get in Touch with CIMC Equilink

CIMC Intermodal Equilink Co, Ltd. ("CIMC Equilink"), backed by the extensive resources of CIMC Group, is dedicated to offering a wide range of new and used containers. We understand that every shipping requirement is unique, and we strive to meet those needs with our diverse container options. Our goal is to ensure the safe and efficient delivery of your cargo to its destination.

When it comes to transporting your cargo, compromising on quality is not an option. Reach out to us today to explore our extensive container inventory and discuss how we can provide tailored solutions that align with your specific shipping needs. Your cargo deserves nothing less than the best, and with us as your trusted partner, that's exactly what you'll get. Experience a world of shipping containers with CIMC Equilink by your side.

Share: