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LCL

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Less Container Load

  • LCL stands for less than Container Load. It's a shipping term used in logistics when a shipment doesn't fill an entire shipping container. Instead, goods from multiple shippers are consolidated into one container. Shippers pay only for the space their cargo occupies, making it cost-effective for smaller shipments. At the destination, the container is deconsolidated, and each shipper's goods are separated for delivery.

How does LCL shipping work

  • CONSOLIDATION: Various shippers goods are collected and consolidated at a freight forwarder's warehouse, This process combiness smaller shipments into one container to maximize space efficiency.
  • LOADING: Once the container is filled with different shipments, it's sealed and transported to the port for loading into the ocean vessel.
  • OCEAN TRANSPORT: The container travels to the destination port via an ocean vessel, Shippers pay for the volume or weight of their specific goods within the container.
  • DECONSOLIDATION: Upon arrival at the destination port, the container is deconsolidated at a warehouse. Each shipper's goods are separated for onward delivery.
  • DELIVERY: Finally, the goods are delivered to their respective destinations. Shippers benefit from cost savings as they only pay for the space they use in the container.