When it comes to shipping goods, cost is one of the main considerations that simply can’t be ignored. Cargo rates are determined based on several factors — including the size of the shipment, the distance it needs to travel, and whether special handling is required.

Understanding these factors is essential before using a logistics service, as it helps you get a clearer cost estimate and keep everything within budget. Here are some of the key aspects that influence cargo shipping costs.

5 Factors Impacting How Much Your Cargo Will Cost

1. Weight and Dimensions of Goods

The first thing that companies must pay attention to is the weight and size of the goods. The larger and heavier the item, the higher the cost will be.

Typically, shipping service providers will calculate two things: actual weight and volumetric (dimensional) weight, and use the larger value. Therefore, efficient packaging is very helpful in reducing shipping costs.

2. Shipping Distance

The distance between the origin and destination also directly affects cargo prices. The further the destination, the higher the costs will be.

This is due to high fuel consumption, additional labor, and a greater risk of damage during long journeys.

3. Holiday Season or Peak Season

During long holiday periods or peak shopping times (such as the end of the year), demand for delivery services will definitely increase sharply. This condition usually causes cargo prices to rise. On the other hand, outside of peak season, rates can be more stable or even cheaper.

4. Customs Duties and Taxes

For international shipping, customs and taxes are additional components in shipping costs. The amount varies from country to country because each country has its own regulations and tariff standards for import and export activities.

5. Special Protection and Handling

If the items being shipped are considered high-value or require special handling—such as jewelry, cash, precious metals, or other high-risk goods—the shipping rates will naturally be higher.

This is due to the additional security measures and special handling required to ensure the goods arrive safely and without damage.

The Importance of Choosing the Right Logistics Service Provider

Beyond cost factors, selecting a credible logistics company is equally important. A reputable provider not only offers transparent pricing but also ensures efficiency, security, and on-time delivery.

One of the service providers that could be a good choice is SELOG, a business line of PT Serasi Autoraya (SERA), which is also a part of the Astra Group and has 20 years of experience in the logistics industry.

SELOG is here to meet the demand for end-to-end logistics services, ranging from Trucking, Shipping, Freight Forwarding, and Warehousing to Project Cargo.

Every SELOG’s services are supported by the latest digital technology, including the Astra Fleet Management Solution (AstraFMS), which is not only convenient but also effective and efficient for businesses.

With AstraFMS technology, SELOG provides comprehensive IT-based solutions for transportation management in Indonesia.

For more information, go to www.selog.astra.co.id or contact (021) 26605333.

Don’t forget to follow SELOG’s social media in instagram @selog_astra and Linkedin SELOG for more information about logistic updates.