Dear valuable customer

Thank you very much for your continued support.

This is a newsletter from Dragon Logistics.

As the fifth in our series of basic explanations on logistics in Vietnam, this time we would like to explain how to use FCL (Full Container Load) and LCL (Less than Container Load) in container transportation, and the advantages and disadvantages of each.

First, let’s look at FCL. Generally, the sea transportation time between Japan and Vietnam (Hai Phong/Ho Chi Minh) is approximately 7-13 days. FCL is characterised by a higher degree of flexibility in loading and a lower risk of damage than LCL, as only the company’s own cargo is loaded onto the container. The fee structure is set per container and is clear, but even if there is surplus space, payment will be made per container, so in order to maximize cost effectiveness, it is necessary to improve loading efficiency. .

Please feel free to contact us as we provide “Packing Design Services” to improve loading efficiency in Japan, Vietnam, and other countries. → Click here.

LCL is a mode suitable for small-lot transport, allowing transport of one pallet or less. While FCL only prepares the products in-house, this is a mixed transport with other shippers’ cargo. Consolidation is convenient in that it allows trade in small quantities, but the fee structure is based on RT (M3), so depending on the volume, it may be more expensive than FCL. Additionally, because a large variety of cargo is loaded into one container by a consolidator, the risk of damage tends to be relatively high. Therefore, it is not suitable for cargo that is easily damaged or difficult to handle.

Also, take into consideration that the lead time from shipment to arrival will be approximately 3-5 days longer than FCL, as the cargo must be delivered to CFS (Container Freight Station) in advance and then loaded into containers at CFS. is needed. (The same applies at the destination; it will take some time to pick up the ship after it arrives.)

<Photo> LCL cargo container (example)

In addition, we provide VMI (Vendor Managed Inventory) and warehousing services in northern and southern Vietnam, enabling you to transport large quantities at once by FCL, store them in our warehouses and deliver only the required quantities to JIT in sequence, rather than sending the required quantities by LCL each time. This reduces the time and cost of exporting each time while covering the above-mentioned LCL risk.

In addition, cargoes from multiple suppliers, which were originally sent individually by LCL, can be consolidated in our warehouses, loaded into containers at our warehouse and exported as FCL cargoes.

The mode of transport needs to be decided after taking into account various factors such as costs and lead times.

We can make the above arrangements, so please do not hesitate to contact us if you are unsure about the transport mode.

Thank you very much for your continued support.

Warm Regards

Dragon Logistics Co., Ltd.

For inquiry（Vietnamese, Japanese, English）：marketing@draco.com.vn

This newsletter is based on information provided by our company in accordance with the law and actual practice, but we cannot guarantee that the same practice will be followed in all cases. Please understand and use this information as general information only.

Please note that we are not responsible for any actions taken by customers based on this information.

To News List