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How is Air Freight Cost Calculated and Why is it So Expensive?

Updated: Jun 13, 2024

If you are considering air freight to ship your products, it can often seem like a costly prospect.


Understanding Air Freight

To better grasp these costs, let's delve into how air freight costs are calculated and explore why air freight can seem more expensive than other modes of transportation.



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How is Air Freight Cost Calculated?


how is air freight cost calculated

Calculating air freight costs can seem complex, but it essentially breaks down into three primary components:


1. Weight & Volume of the Shipment


Shipment costs in air freight are determined by either the actual weight of the goods or the volumetric (or dimensional) weight—whichever is greater. The volumetric weight is calculated based on the space occupied by the shipment.


This calculation often uses the formula: length x width x height (in cm) / 5000.


2. Type of Goods


The nature of the goods being transported also plays a role in the cost. Hazardous materials, fragile items or highly perishable goods often come with surcharges due to the special handling, packaging or speed required.


3. Pickup, Delivery & Customs Charges


The freight cost also includes charges for pickup and delivery of goods, often known as door-to-door delivery. Additionally, customs duties and import/export fees depending on the destination country can factor into the overall price.


 

Why is Air Freight So Expensive?


Why is air freight so expensive

The convenience of fast transit time, high security and complete global coverage comes at a cost, leading to several reasons why air freight can significantly outweigh other modes of shipping.


1. Fuel Costs


A significant portion of the formidable cost of air freight is the price of aviation fuel. The costlier the fuel, the more expensive the freight charges. Considering that airplanes consume fuel at a high rate, carriers pass these costs onto the shipper.


2. High Operating Expenses


Airplanes are expensive to purchase, operate and maintain. Additionally, the sophisticated infrastructure required at airports, navigation services and the high levels of security add substantially to operational costs.


3. Volume & Weight Limitations


Airplanes have much less space than ships or trucks, making volume a premium. Additionally, heavy goods can affect the plane's fuel efficiency and are valued at a higher rate, leading to heftier charges.


4. Speed & Convenience


Air freight offers unparalleled speed, especially for long distances. The ability for businesses to transport goods rapidly across vast distances is a benefit that many are willing to pay a premium for.


Understanding how air freight costs are calculated and why they may seem so high compared to other modes of transport can help businesses make informed decisions on the best shipping methods to use. Though costlier, air freight often serves as an unbeatable solution when speed, security, and global reach are of utmost priority.


 

Choose PK Logistics as Your Air Freight Partner


With a firm grasp of the complexities of air freight, PK Logistics is here to offer you cost-effective and tailored air freight solutions, designed specifically to meet your unique needs.


Our team of trusted professionals is dedicated to providing exceptional air freight services, delivering your goods rapidly, securely and efficiently. By partnering with us you can sidestep the pitfalls of high air freight costs, while maximising the undeniable benefits of speed, reliability and convenience. Make PK Logistics your air freight partner today and leap into a world of streamlined, customised, and budget-friendly shipping solutions that empower your business like never before.




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