seeking to navigate the complex web of supply chain options. That’s why we’re exploring the fundamental distinctions between four shipping solutions: air freight, sea freight, and postal services.
The more you understand logistics terms and operations, the better business decisions you’ll make.
5 Different Types of Freight
Different types of freight are categorized based on their characteristics and requirements for transportation. Here are the most common categories:
- General Cargo: This category includes a wide variety of everyday goods and products that don’t require specialized handling, including consumer goods and industrial equipment.
- Containerized Cargo: Goods that are packed in standardized containers, making them easily transferable between different modes of transportation, such as ships, trucks, and trains.
- Bulk Cargo: Dry bulk cargo includes commodities like grains, coal, ore, and cement, while liquid bulk cargo consists of items like crude oil, chemicals, and liquefied natural gas (LNG).
- Break-Bulk Cargo: This type of cargo includes items that are too large, heavy, or irregularly shaped to fit in standard containers. Examples are heavy machinery, vehicles, and equipment.
- Perishable Cargo: Perishable cargo refers to products that are sensitive to temperature, like fruits, flowers, and pharmaceuticals. They often require temperature-controlled transportation.
In this blog, however, we’ll focus on 3 types of freight categorized by transportation mode: air freight, sea freight, and postal services for supply chain efficiency.
What is Air Freight?
Air freight is the transportation of goods by aircraft. It enables the rapid movement of goods over long distances, making it ideal for high-value, time-sensitive goods. Air freight volume has increased from 118 million ton-kilometers in 2000 to 221.5 million in recent years—showing its value as a freight solution.
How Air Freight Works
- Booking and Pickup: Book space on an aircraft with an airline or a freight forwarder. Specify the origin and destination. The goods will then be collected and transported to the airport.
- Cargo Handling: At the airport, cargo is checked in and inspected. It’s weighed and labeled, and its documentation is verified.
- Security Checks: Airports have stringent security measures. The cargo goes through screening to ensure it doesn’t contain prohibited items or pose a security threat.
- Loading: Once cleared, the goods are loaded onto the chosen cargo aircraft. Air freight planes are specially designed to accommodate different types of cargo, including pallets and containers.
- Transportation: The aircraft takes off and flies to the destination airport. This phase is relatively fast, which is one of the key advantages of air freight.
- Unloading and Customs Clearance: At the destination airport, the cargo is unloaded and taken to the customs area for inspection and clearance.
- Delivery: After customs clearance, the goods are either delivered directly to the consignee or moved to a distribution center for further sorting and onward transportation by ground.
Air freight is an efficient option. Still, it requires careful planning, adherence to regulations, and coordination with airlines and ground transportation services to ensure a successful operation.
What is Sea Freight?
Sea freight is the transportation of goods via maritime vessels. This is a primary method for international trade. It’s cost-effective but takes longer, so it’s suitable for non-time-sensitive cargo. Sea freight accounts for 90% of global freight traffic, meaning many businesses opt for this solution.
How Sea Freight Works
- Booking and Cargo Preparation: Book space on a container ship, specifying the origin, destination, and cargo details. Goods are then packed and prepared for sea transport.
- Containerization: Cargo is typically loaded into standardized containers, which can be easily transferred between ships, trucks, and trains, streamlining the logistics process.
- Port Handling: At the departure port, containers are loaded onto the vessel. Bulk cargo may be loaded directly into the ship’s holds.
- Voyage: The ship embarks on its ocean journey, which can vary in duration depending on the route and destination.
- Unloading and Customs Clearance: At the destination port, containers are offloaded, and the cargo goes through customs clearance. Documentation and compliance with customs regulations are critical.
- Onward Transportation: After customs clearance, the cargo may be transported to its final destination by truck or rail.
Although it takes longer, it still has its benefits. Sea freight requires careful planning, adherence to customs regulations, and effective coordination with carriers, freight forwarders, and other logistics partners to ensure smooth operations.
What is Postal Service?
Postal services facilitate the last-mile delivery of products to customers. They are operated by national or private postal agencies and provide efficient, cost-effective shipping solutions. Some services may be more suitable for domestic shipping, while others excel in international delivery.
How Postal Services Work
- Order Fulfillment: After receiving an order, businesses prepare the products for shipment, which involves picking, packing, and labeling the items.
- Labeling and Documentation: Shipping labels and necessary documentation, such as customs declarations for international shipments, are generated and attached to the packages.
- Carrier Selection: Choose from various postal services, including national postal services, private courier companies, and express delivery options, based on cost, speed, and destination.
- Collection or Drop-off: The packages are either collected from the facility by postal service couriers or dropped off at local post offices or designated drop-off points.
- Sorting and Distribution: Postal services sort packages at regional or central distribution centers, which helps optimize the delivery route and speed up the process.
- Last-Mile Delivery: The final leg of the journey involves delivering packages directly to customers’ doorsteps. Postal services use various methods, including postal workers, couriers, and delivery vehicles, to complete this step.
- Tracking and Visibility: Postal services often provide tracking services, allowing businesses and customers to monitor the location and status of their packages in real-time.
Postal services offer diverse shipping options to meet the needs of businesses and their customers. Still, consideration of cost, service levels, and logistics processes is essential to ensure seamless deliveries.
Find the Freight Solution for You
Regardless of the type of outsourced logistics provider you work with, you should know what type of freight is best for your business. And if you’re not sure, working with professionals in logistics is the first step.
Looking for a reliable 3PL company to work with?
At San Legend, we help eCommerce businesses scale their brands and break into new markets by providing customized, agile, and forward-thinking third-party logistics solutions. Reach out today to see how we can help.