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Article | REF: AG8130 V2

Maritime transport

Author: Elisabeth GOUVERNAL

Publication date: October 10, 2006 | Lire en français

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    5. Pricing

    5.1 Regular line pricing

    The shipper is dealing with a shipowner and wants to negotiate rates. If there is a conference for the destination that interests them, they can inquire about the conference rate, which will serve as a reference and be useful as a basis for discussion. These conference rates, which were previously commodity rates, are becoming simpler.

    Freight is now negotiated per TEU, which is known as FAK pricing. This is becoming widespread, even within conferences, replacing ad valorem pricing based on what the product can bear, with high-value products subsidizing low-value products.

    These rates only specify the type and size of the container: 20 or 40 feet, dry (the simplest container) or reefer (refrigerated container)....

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