What are Drayage Fees and How to Reduce Them?

Transportation is the fees charged for moving goods over short distances in order to prepare them for the next stage of the journey or delivery to their destination. Rates for transportation are composed of a base rate, which is determined by the weight of the freight, the handling required, and other factors. Additional fees, such as driver arrest, tolls, and equipment costs, are also taken into account. While it's not possible to completely eliminate transportation fees, there are ways to reduce them. Drayage is the transportation of a full container by truck.

If you ship Ocean FCL (full container cargo), the base freight rate includes the collection of the container at the port and its delivery to its next destination (either your warehouse or an intermediate warehouse for transshipment). Transportation is also the one-way cost of moving an exhibitor's cargo from its carrier's vehicle to the booth space. Wholesalers who are just starting out should be aware of transport costs so that they don't get any surprises. Drayage helps fill gaps in the supply chain by moving goods between ports, terminals, warehouses, and retailers. If the carrier has to pay a toll while completing a transportation service, that fee will be passed on to the sender.

Another reason is that there is usually only one general draying contractor who manages all supplies for the fair. Often referred to as the “first mile”, transportation is just one part of a much larger shipping process used to move cargo to its final destination. The only option for performing all transport functions is usually a Central Draying Company, which is chosen through a highly competitive tender before the fair. If Flexport provides road transport for your shipment (to origin or destination), you will be charged a 26% collection fee or a base transportation fee. Shippers often complain about freight rates due to the fact that transportation is usually the shortest part of a freight shipment's journey.

For today's wholesalers and manufacturers, transportation can be defined as the cost of moving essential items from their commercial booth from the delivery vehicle to the booth area. If you don't understand or are unfamiliar with transportation costs, you're likely to incur substantial costs with each stand. Transportation costs can be compared to the costs of moving your cargo across the country. Transportation is often defined as the transportation of goods over short distances in both shipping and logistics industries.

Lynette Cariño
Lynette Cariño

Total tv fanatic. Extreme explorer. General travel evangelist. Incurable student. Freelance music nerd. Typical beer lover.