Lcl fee: can anyone clarify this line of thinking?

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TOPIC : LCL fee: can anyone clarify this line of thinking?

Posted on 23 May 2014 at 20:12:00

Say you are new. Our current conditions are FOB China and the manufacturer imposes an LCL export fee. Because we are developing the market, we allow some of our customers to buy small quantities. (Less than MOQ.) Customers pay the 350 USD LCL fee. We asked the shipping department how those customers might avoid the fee. The answer was air express, air freight, and the following:
If we ship small quantities by express or air shipment, they won’t bear of any FOB cost, it means you should use door to door term and pay all the cost.
We don't understand what the reasoning is. Anyone know?

We do not want this fee- large relative to the shipment value - to be an obstacle to market development or uptake.

Thoughts? Advice? Clarification?

Many thanks in advance.

Eli

Elephant and Apple

Elephant and Apple
Munich, Germany

Free Member, Joined :05/23/2014
No of Topics Posted : 1
Reply/Comments : 0

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