Types of Maritime Freight

Ocean freight makes up about 90% of the world’s trading, making it the main transport mode for global commerce. Despite its importance, many remain unaware of the costs and conditions behind international maritime shipping.

A freight rate is the cost of transporting goods from one point to another. It can vary depending on the port, type of cargo, and market demand. Here, we break down the main types of sea freight rates, covering costs related to cargo loading, unloading, and transportation—from the shipping company’s perspective.

Key service modes affecting sea freight calculations include: door-to-door, port-to-port, door-to-port, and port-to-door.

1. Liner Term

This includes loading at the origin port, stowage, transport, and unloading at the destination port. The shipowner handles everything between lifting the cargo onboard and unloading it (Hook-to-Hook). The shipper only brings the goods to the ship.

2. Free In

Covers transport, stowage, and unloading. The loading costs at the origin port are excluded and must be handled by the shipper.

3. Free Out

Includes loading and stowage at the port of origin and the sea transport. The consignee is responsible for unloading costs at the destination port.

4. Free In and Out (FIO)

Only covers the sea transport. Both loading and unloading are excluded and must be covered by the shipper and consignee respectively.

5. Free In Out and Stowed (FIOS)

Includes sea transport and stowage on board only. Loading and unloading costs are excluded.

6. Free In, Out, Stowed and Trimmed

Similar to FIOS, with trimming also excluded. All costs fall on the shipper and consignee.

7. Free In / Liner Out (FILO)

The shipper handles the loading, while the shipowner is responsible for the sea transport and unloading.

8. Liner In / Free Out (LIFO)

The shipowner covers the loading, stowing, and trimming. The consignee takes care of unloading.

In Conclusion

Freight terms vary widely and depend on who bears each cost during a shipping journey. The final rate will also reflect cargo type, container size, route risk, journey time, and port service costs.

Suisca Group is here to guide you through this complexity. With over 30 years of experience, we support vessel operations across various freight structures between Western Africa and Southern Europe.

Do you need help understanding freight rates for your next shipment? Want a detailed cost estimate? Contact us—we provide tailored solutions to improve your logistics.