Consolidated cargo: what is it, transportation features and rules

Consolidated cargo transportation is a type of delivery where you rent only the portion of the container volume that your cargo requires instead of the entire container. This makes logistics more cost-effective than all other types of delivery.

To ensure that a product distribution business generates real profits, it is essential to find ways to save costs. Consolidated cargo transportation provides an opportunity to minimize shipping expenses. By placing small and medium-sized orders, you can achieve maximum savings on logistics services.

Features of Consolidated Cargo Transportation:

• Significantly cheaper than paying for a full container. Each client saves up to 40% of the base cost.
• Eliminates the client's responsibility for cargo integrity. DiFFreight employees ensure the secure fixation of goods in the container, maintain the required temperature conditions, and provide freight forwarding services.
• The delivery time for consolidated containers is slightly longer than traditional sea freight. There are two main reasons: waiting at the consolidation warehouse and extended customs clearance procedures.

However, there is no reason to worry about your cargo getting stuck at the port. The difference in delivery times is only a few days, but the cost of transportation can be several times lower than renting an entire container. This is especially relevant when you need to ship a small batch of goods to avoid excess stock or if you do not place large orders at all.

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When Consolidated Shipments are Beneficial

Carriers and buyers use a shared container for consolidated cargo if: 

• The buyer has a small cargo volume that is insufficient to fill an entire container. In this case, LCL shipping allows for significant cost savings.
• It is necessary to regularly ship small batches of goods, making consolidated shipments the optimal choice.
• The buyer orders trial batches of goods in small volumes before establishing bulk purchases of goods from China.
• Goods are ordered from multiple suppliers, and consolidated shipments enable the consolidation of all cargo into a single shipment.

Advantages of Consolidated Cargo Delivery

When ordering LCL delivery, the customer gains several advantages:

• Cost Efficiency. The rental cost of part of a container is lower than renting the entire container.
• Flexibility. You can ship any batch of goods without being tied to specific volumes.
• Speed. Consolidated cargo shipments are regularly sent from China, reducing delivery times.

If you purchase small batches of goods in China for delivery to Ukraine, using consolidated cargo containers is the best choice.

Disadvantages of Consolidated Cargo

Before choosing this shipping method, it is important to understand its drawbacks:

• Slightly increased processing time due to consolidation with other shipments.
• Tracking difficulty. Since the cargo travels as part of a larger shipment, tracking information is updated with a delay.
• Less flexibility in routes. The route may be indirect, as it is optimized for the entire batch.
• Size and weight limitations. Very large or heavy items may not be suitable for this type of transportation.

Despite the disadvantages, consolidated shipments remain a popular and cost-effective solution for many companies, especially those that do not have enough volume to fill a container or truck.

Types of Consolidated Cargo — Which One to Choose

In logistics, the question of what consolidated cargo means has several answers. Consolidated shipments vary by weight, cargo characteristics, transport type, geography, etc.

Shippers need to know:

• Weight

Lightweight cargo up to 80 kg, medium from 80 to 500 kg, heavy — from 500 kg and above. This helps to choose other shipments for consolidation to efficiently fill the vehicle.

• Type of Goods

General cargo — the most common type that does not require special transportation conditions.

Dangerous goods (ADR) require special packaging, labeling, and transportation conditions. They can only be consolidated with other compatible dangerous goods.

Perishable goods are transported in refrigerated or thermal trucks. They can also only be consolidated with similar types. Valuable goods require increased security measures and insurance.

Mode of Transport

Consolidated cargo logistics is implemented across all modes:

• Truck (LTL) — for short and medium distances, as well as last-mile delivery (to the door).
• Vessels (LCL) — used for long-distance international shipping when the cargo volume is insufficient to fill an entire container.
• Airplane — for fast delivery of small and valuable goods over long distances.

Consolidation is a highly beneficial format for small and medium shipments.

Consolidated Cargo: Key Transport Considerations

It is important to be aware of the rules for transporting consolidated cargo:

• Restrictions on cargo types: hazardous, perishable, fragile, and prohibited goods cannot be transported.
• Risk of damage. Shipments are placed alongside other cargo, which may lead to mechanical damage. Proper packaging and loading are crucial.
• Strict packaging and labeling requirements. Your cargo must be easily identified and forwarded to you after deconsolidation. Additional packaging may be required.

With well-planned logistics, it is possible to establish a continuous supply chain of small shipments using consolidated containers.

How Consolidated Cargo Delivery from China is Carried Out

Consolidated cargo delivery is conducted in several stages:

• Cargo Consolidation. Goods from various sellers are transported to a warehouse in China. These goods vary in size, weight, and type.
• Packaging and Labeling. Each package is packed to ensure safety during transportation, with all necessary labeling applied to the packaging. The sender specifies the delivery address, recipient's name, weight, box dimensions, and special marks such as "Careful" or "Hazardous Cargo."
• Consolidated Cargo Formation. Each package is placed in a container to maximize the efficient use of its volume. The weight and dimensions of each cargo, as well as safety requirements, are taken into account.
• Container Shipment. The filled and sealed freight container is shipped by sea transport to the destination port in Ukraine.
• Customs Clearance. When the container arrives at the port in Ukraine, it undergoes customs clearance.
• Delivery. At the final stage, the cargo is delivered to the carrier's warehouse in Ukraine and then to the recipient.

Are you about to start your business based on shipping goods?

We are here to support you! It is crucial to establish efficient logistics and minimize transportation expenses. Starting with small batches and shipping them through shared container shipping is a safe option. This method reduces the risks, especially during business difficulties. Shipping small quantities is a great way to start. There is always an option to switch to full containers. DiFright wishes you good luck!

How to Ship Consolidated Cargo to Ukraine

If you find it difficult to organize the delivery on your own, contact our company, DiFFreight. We will assist you at all stages, from finding suitable goods to customs clearance. If necessary, we can also conduct an inspection of the goods in China. Contact us in any convenient way to calculate the service cost and finalize the contract.