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Cost Saving

How Businesses Can Reduce International Shipping Costs

VELOX LogisticsJune 1, 20267 min read
Business owner reviewing shipping invoices and freight cost spreadsheets at a desk with a laptop and model container

For importers and exporters, freight is often the second-largest cost after the goods themselves. Cutting freight by even 10-15% can transform margins. Here are the most effective strategies businesses use to reduce international shipping costs.

1. Consolidate Shipments

Logistics manager reviewing a cost analysis chart on a tablet inside a modern warehouse

Combine multiple small orders into fewer larger shipments. The per-CBM price drops sharply as volume grows. If you import monthly, consider shifting to bi-monthly or quarterly larger shipments.

2. Choose the Right Container Mix

Don't ship a half-full 40ft container when a full 20ft would do. Or — if you're using LCL but consistently shipping 12+ CBM — switch to a 20ft FCL where you'll get a better rate per CBM.

3. Optimize Packaging

Cubic meters cost money. Use cartons that match standard pallet dimensions. Eliminate empty headspace. Disassemble bulky items. A few hours of repackaging can save hundreds of dollars per shipment.

4. Negotiate Contract Rates

If you ship regularly, ask your forwarder for a volume-based contract rate. Even modest commitments (10 containers per year) usually unlock 10-25% discounts off spot rates.

5. Plan Ahead

Last-minute bookings always cost more. Booking 2-4 weeks ahead lets your forwarder lock in better carrier rates and consolidation slots.

6. Avoid Peak Season Surcharges

Carriers add seasonal surcharges during peak periods (Aug-Oct for many lanes). Ship before or after if possible.

7. Choose Ocean Over Air When You Can

Air freight is sometimes necessary, but defaulting to it is expensive. For non-urgent inventory replenishment, ocean is 5-15x cheaper.

8. Audit Your Invoices

Carriers and forwarders make billing mistakes. Review every invoice line-by-line: incorrect weights, wrong destination fees, duplicate charges. Even small errors add up.

9. Insure Correctly

Underinsuring exposes you to catastrophic loss. Overinsuring wastes money. Buy marine cargo coverage matched to your actual cargo value.

10. Work With One Forwarder

Consolidating freight spend with a single trusted forwarder gives you leverage for better rates and faster issue resolution. VELOX Logistics offers volume discounts to businesses shipping regularly from Canada to Africa.

If you are planning to ship to Africa, VELOX Logistics offers full container shipping, cargo consolidation, vehicle export and warehousing from Montreal. Contact us today on WhatsApp at +1 514-718-0282 or request a free quote.

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