LCL, an acronym for Less Than Container Load, refers to a term commonly used in international shipping and logistics. It describes a mode of transportation where a shipment is not sufficient to fill an entire container, and consequently, it is grouped with other shipments destined for the same port or country of arrival.
LCL shipments are typically smaller consignments, usually less than 20 cubic meters in volume, which cannot justify the cost of booking an entire container. In such cases, freight forwarders and shipping companies consolidate multiple smaller shipments into one container, creating an LCL shipment. This consolidation allows multiple customers to share the space and cost of transportation, making it more economical than booking a full container for each individual shipment.
When utilizing LCL services, the shipper usually delivers the goods to a consolidation warehouse where they are consolidated with other shipments bound for the same destination. The container is then loaded at the port, and upon arrival at the destination port, the container is unloaded and the shipments are distributed to their respective consignees.
LCL shipping is particularly advantageous for companies with smaller amounts of cargo or businesses that do not require full container loads. It provides a cost-effective solution, as it allows for smaller shipments to be shipped together, making international trade more accessible and affordable for a wider range of businesses.
