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Ocean rates and what they mean for your costing

Ocean freight rates move further and faster than most of the purchase prices built on top of them. Cost a product in spring, ship it in autumn, and you are often working from a number that no longer exists.

Why the rate moves

The spot market responds to capacity, not to your planning cycle. A blanked sailing, a rerouting, or a holiday cycle in the Far East can shift the rate materially inside a few weeks — in both directions.

When fixing a rate is worth it

As a rule of thumb: once you have predictable volume on the same lane over several months, a fixed rate is worth the premium. For one-off shipments you will usually do better on the spot market.

What we need to check it for you

Monthly volume, the lane, and the container type. That is enough to establish whether a fixed rate is available at all — and at what premium.

Questions about your own lane? Call us and we will work through the numbers with you.

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