Freight Forwarding

Complete Guide to Shipment Consolidation

What shipment consolidation is, when it saves money, how to organize products from several suppliers, and how to split freight costs fairly between products.

Complete Guide to Shipment Consolidation

Many importers buy from several suppliers at once. Shipping each order separately multiplies minimum charges, paperwork and handling. Consolidation combines them into one shipment.

What is shipment consolidation?

Goods from different suppliers are delivered to one consolidation warehouse near the origin port. There they are checked, labelled and loaded together — either into your own full container (FCL) or as one larger LCL shipment.

When it saves money

  • You order from three or more suppliers in the same region.
  • Individual orders are small (a few CBM each) and would each pay LCL minimums.
  • Together, the orders approach a full 20FT or 40FT container.
  • You want one set of customs documents instead of many.

How to organize a consolidation

  1. List every product: name, SKU, supplier, carton dimensions, cartons, pieces per carton, weight and value.
  2. Total the volume and weight to choose between LCL, 20FT, 40FT or 40HQ.
  3. Set a cut-off date for suppliers to deliver to the warehouse.
  4. Check goods on arrival: carton count, damage and labelling.
  5. Track costs: freight, warehouse fees, inspection, local transport and other expenses.

Splitting freight costs between products

To know the true cost of each product, allocate shared costs fairly. The most common method for sea freight is by volume:

ProductCBMShareFreight ($2,400 total)
Kitchen sets1850%$1,200
LED lamps10.830%$720
Textiles7.220%$480

For heavy goods, allocating by weight — or by the chargeable basis — may be fairer.

Common pitfalls

  • Suppliers delivering late and delaying the whole container.
  • Missing or inconsistent carton marks.
  • Packing lists that don't match what arrives.
  • Forgetting warehouse and handling fees in the landed cost.

Manage consolidations in MYCBM

MYCBM's Consolidations let you add products with images, cartons, pieces per carton, CBM, weight and value, record shipping costs and other expenses, and see the totals and container fill for the whole shipment in one place.

Related: How many CBM fit in a shipping container?

Try the calculator from this guide

Calculate CBM, freight costs and container fill in seconds with MYCBM.

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