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Anna Rueger

Smooth Sailing: Shipping Costs - Don't Overlook These Key Elements

Calculating the cost of goods can be tricky, especially when shipping costs are overlooked.


After working with start-ups and established brands for 30 years, we've noticed that shipping costs are often forgotten when calculating the true cost of goods. There are several key elements to consider when estimating shipping costs, including:

  • Freightage: This is the cost of transporting the goods from one place to another. It can vary depending on the weight and size of the shipment, as well as the distance to be covered.

  • Insurance: This covers any potential loss or damage to the goods during transit. The cost of insurance can vary depending on the value of the goods being shipped.

  • Destination charge at port: This is the cost of unloading the goods at the destination port.

  • Custom clearance handling: This covers the cost of handling customs procedures, such as inspections and documentation.

  • Trucking from destination port to door: This is the cost of transporting the goods from the destination port to the final destination.

  • Duty and Tax: These are fees imposed by the government on imported goods. The cost of duty and tax can vary depending on the type and value of the goods being imported.

  • Shipping terms: The responsibilities for shipping costs differ depending on the shipping term.

By taking these elements into consideration, you can estimate the total shipping cost and factor it into your cost of goods calculation. If you have any questions about how to calculate shipping costs or streamline your importing process, we'd be happy to help. Just let us know! Please reach out to us at sales@five-star.com.hk or click on the button below to contact us through our website.




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