KEY FACTORS THAT INFLUENCE YOUR FREIGHT COSTS

When it comes to freight costs There are all these factors that can affect you, and it can be a real headache to figure out. That’s where we, STT Logistics Group, come into the picture to make your life easier.

  • Fuel prices play a significant role, the cost of land and marine transport is related to fuel costs.  When fuel prices fall, it becomes cheaper to transport goods. Fuel costs continue to change, so you will never know when transportation costs will be higher or lower.
  • Freight demand is another influential factor in pricing. The volume of goods being shipped affects the rates offered by carriers. If capacity is limited and demand is high, operators may charge a premium for limited space. On the other hand, if business is slow, a carrier may talk offering a more competitive rate, at least in the short term.
  • Government regulations may directly impact the freight and logistics industry. Nowadays, many countries have limitations on the driving hours for commercial companies and transport.
  • Selecting the appropriate mode of transportation is crucial. If your business involves logistics and shipping goods, it is necessary to select your mode of transportation: land, sea, or air. Furthermore, you have to consider two factors: the transit time and the cost of the transportation mode. Any transportation mode you choose impacts your freight costs, time, and your business.
  • Finally, insurance costs should not be overlooked. Depending on the load you are shipping, insurance is one of the most important to secure your costs. It is beneficial to you and your business to ensure your goods. No matter how careful the operators are, you can never rule out the risks of damages or losses.

When it comes to transporting any heavy equipment or goods, you can trust STT Logistics Group. We put safety first and we’ll make sure your equipment gets where it needs to be.

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