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How to Calculate Chargeable Weight: A Comprehensive Guide
Navigating the world of logistics, specifically understanding how to calculate chargeable weight, can be a bit daunting. This comprehensive guide aims to simplify the process by breaking down the concepts of actual weight, volumetric or dimensional weight, and chargeable weight in the context of air and sea freight.
Understanding the Basics between Actual weight, volumetric weight and Chargeable Weight
Before we delve into chargeable weight calculation, it’s important to understand the key terms involved.
Actual Weight
The actual weight, often referred to as gross weight, is the weight of the goods obtained by physically weighing them, including the packaging and any other materials used for transportation.
Volumetric Weight
Volumetric weight, also known as dimensional weight, is a theoretical weight calculated from the dimensions of the cargo. It’s used to account for the space that a package occupies in relation to its actual weight.
Chargeable Weight
The chargeable weight is the weight used to calculate the freight charges. It is determined by comparing the actual weight and the volumetric weight of the shipment. Whichever is greater becomes the chargeable weight.
How to Calculate Chargeable Weight in Air Freight
In air freight, the chargeable weight is calculated using a specific formula. Let’s look at the steps involved in calculating the chargeable weight for air freight.
Step 1: Calculate the Actual Weight
The actual weight is the physical weight of the goods, including packaging, measured in kilograms (kg).
Step 2: Calculate the Volumetric Weight
The formula for calculating the volumetric weight for air freight is:
Volumetric Weight = (Length x Width x Height) / 6000
The dimensions are measured in centimeters (cm), and the result is in kilograms (kg).
Step 3: Determine the Chargeable Weight
After calculating both the actual and volumetric weight, compare the two. The chargeable weight will be the greater value.
How to Calculate Chargeable Weight for Sea Freight
When it comes to sea freight, the calculation differs slightly from air freight. Here’s how to calculate chargeable weight for sea freight:
Step 1: Calculate the Actual Weight
Just like in air freight, the actual weight of the goods is determined by physically weighing them, including the packaging.
Step 2: Calculate the Volumetric Weight
The formula for calculating the volumetric weight calculation for sea freight is:
Volumetric Weight = (Length x Width x Height) / 1000
The dimensions are measured in meters (m), and the result is in cubic meters (CBM).
Step 3: Determine the Chargeable Weight
Compare the actual weight and the volumetric weight. The chargeable weight is the greater of the two.
Examples of Chargeable Weight Calculation
To better illustrate the process, let’s look at two examples:
Example: Air Freight
Let’s assume we have a shipment with the following measurements:
- Length = 80cm
- Width = 20cm
- Height = 45cm
- Actual Weight = 95kg
The volumetric weight will be:
Volumetric Weight = (80 x 20 x 45) / 6000 = 120kg
Comparing the volumetric weight (120kg) and the actual weight (95kg), the chargeable weight will be 120kg, as it is the greater value.
Example: Sea Freight
Let’s assume we have a shipment with the following measurements:
- Length = 2m
- Width = 1m
- Height = 1.5m
- Actual Weight = 2000kg
The volumetric weight will be:
Volumetric Weight = (2 x 1 x 1.5) / 1000 = 3 CBM
Now, since sea freight typically measures weight in tonnes (1000kg = 1 tonne), we need to convert the actual weight to tonnes. Thus, 2000kg translates to 2 tonnes.
Comparing the volumetric weight (3 CBM) and the actual weight (2 tonnes), the chargeable weight will be 3 CBM, as it is the greater value.
Conclusion
Understanding how to calculate chargeable weight is essential for anyone involved in logistics. Whether it’s air freight or sea freight, being able to accurately determine the chargeable weight can significantly impact the cost of transportation. It’s always recommended to calculate the chargeable weight before shipping to avoid unexpected charges.
Remember, while this guide provides the basic formulas and steps, various factors can influence these calculations. Different transportation companies may use different conversion factors, so always confirm with your chosen carrier.
Finally, it’s worth noting that technology can simplify these calculations. Today, many online tools and calculators can accurately determine the chargeable weight given the dimensions and weight of the shipment. Some carriers even offer tools on their websites, making it even easier to calculate the chargeable weight for your specific shipment.
FAQ on calculating chargeable weight in shipping
What is Chargeable Weight?
Chargeable weight, also known as volumetric or dimensional weight (DIM), is a key metric used to determine freight rates. It considers not only the actual weight of a shipment but also the amount of space it occupies based on its dimensions. This is particularly important because a large, lightweight package can take up more space on a carrier than a small, heavy package, potentially costing more to ship despite the lighter physical weight.
What is Actual Weight?
Actual weight refers to the physical weight of a shipment, measured in kilograms (kg) or pounds (lbs). It’s the straightforward mass of the cargo as weighed on a scale. In freight shipping, carriers compare the actual weight with the volumetric weight to ascertain which is greater. The higher of the two weights is then used to calculate the freight rate.
How to Calculate Freight Rates
To calculate the freight rates effectively, you need to:
- Measure the dimensions of the package (length, width, height).
- Apply the formula to find the volumetric weight.
- Weigh the package to find the actual weight.
- Compare the actual weight and the volumetric weight.
- Use the greater weight to determine the freight rate.