Freight Types: See What They are and Their Characteristics

There are a lot of ways to send documents overseas (ส่ง เอกสาร ไป ต่าง ประเทศ, which is the term in Thai), several types of freight, each with a different time value of different deliveries.

Therefore, understanding how price formation and the conditions of transportation work is crucial to making the best choice when it comes to hiring the service.

Let’s look at these issues in more detail below. Keep reading!

Types of freight: Responsibility

CIF

CIF is the acronym for “costs, insurance and freight”. In this type of contracting, the responsibility for payment and risk management lies with the supplier (or the sender of the cargo) and, as a result, the payment is made at the origin of the transport. In other words, the buyer only has the job of making the acquisition.

Fob

In the FOB (“free on board”), it is the buyer who pays the freight and insurance of the items that will be shipped. Unlike the CIF, payment is only made upon receipt of the cargo at its destination.

There is an option for the seller to trigger the transport, although it is only paid when the items are received.

Types of freight: Contracting

Normal

It occurs when the same carrier collects the cargo from the sender and delivers it to the recipient without the need to involve more companies in the process.

Subcontracting

In the case of subcontracting, the carrier chooses to hire another company to make the shipment.

Re-dispatch

In the re-dispatch, the total route is made by two carriers: the one that was activated by the client and the one contracted by her to cover part of the stretch.

Intermediate re-dispatch

In the intermediate re-dispatch, the customer-driven carrier does not collect the cargo at the origin and also does not deliver at the destination.