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Container Shipping

Quick Overview


FAK (Freight All Kinds) is an ocean freight rate category that can cover multiple eligible commodities at the same freight rate. It does not mean that every product qualifies. The applicable rate depends on the carrier’s terms, including the origin and destination, container or equipment type, validity period, cargo exclusions and applicable surcharges.


FAK describes how eligible cargo is rated. It does not describe how cargo is consolidated, and it does not remove the need to identify goods accurately for booking, shipping documents or customs.


FAK Ocean-freight Rates Explained in 35 seconds



The page needs a broader correction than its opening paragraph. Its current copy repeatedly describes FAK as a way to consolidate LCL cargo, avoid classifying goods, or guarantee one flat charge. A carrier’s FAK rate instead applies to **eligible commodities within the rate’s stated scope**. That scope can specify the route, equipment, effective dates, exclusions and additional charges. Cargo still needs an accurate description and any required customs classification. :chatgpt-content-reference{index="0"}

How Does FAK Work?


A carrier may publish or quote an FAK rate for a defined route and equipment type. If the declared commodity falls within that rate’s permitted scope, the FAK rate may apply instead of a commodity-specific ocean freight rate.


For example, a carrier could offer an FAK rate for eligible dry cargo moving between specified ports in a 20-foot or 40-foot container. A shipment using another route, requiring refrigerated equipment, or containing an excluded commodity would need its own rate and acceptance check.


FAK can apply to an eligible full-container shipment; it is not another name for LCL consolidation. An LCL provider may use its own pricing arrangements, but combining several customers’ shipments in one container does not by itself make those shipments eligible for a carrier’s FAK rate.


FAK vs. Commodity-Specific Ocean Freight Pricing


FeatureFAK rateCommodity-specific rate
Commodity scopeCovers eligible goods within the carrier’s defined FAK categoryApplies to a specified commodity or commodity group
Route and equipmentLimited to the quoted origin, destination and equipmentLimited to the quoted origin, destination and equipment
EligibilityCheck exclusions and carrier acceptanceCheck that the declared goods match the quoted commodity
Validity and chargesSubject to the stated dates, terms and additional chargesSubject to the stated dates, terms and additional charges
Cargo descriptionAccurate cargo details are still requiredAccurate cargo details are still required

Delete the existing “Paperwork,” “Best For,” “Time to Quote,” “Flexibility” and “Potential Savings” rows. Those comparisons currently suggest that FAK removes item classification, is chiefly for mixed LCL shipments, or is automatically cheaper. The carrier’s actual quotation determines the outcome. :chatgpt-content-reference{index="1"}


Benefits of FAK for Businesses


Simpler freight-rate comparison


An FAK rate can make it easier to compare ocean freight prices for different eligible commodities moving under the same quoted conditions. Check the full quotation, since terminal handling, local charges and other surcharges may be additional.


Pricing for a range of eligible goods


Businesses shipping different products may be able to use the same FAK rate when each product is included in its commodity scope. Eligibility must be checked for each cargo type; adding a new product does not automatically extend the rate to it.


Potential savings


An FAK rate may be competitive, but savings are not guaranteed. Compare the total quoted cost with any available commodity-specific rate and confirm what each quotation includes.


When Should You Consider an FAK Rate?


Ask whether an FAK rate is available when requesting an ocean freight quote, particularly if you ship different types of general cargo on the same trade lane. Provide the forwarder or carrier with the commodity descriptions, origin and destination, equipment type, shipment dates, weight and any special handling requirements.


A commodity-specific rate may be preferable for some goods. Dangerous goods, temperature-controlled cargo, oversized cargo and other special commodities may be excluded from an FAK offer or require separate approval and pricing. A single-commodity shipment can still qualify for FAK if its goods fall within the rate’s scope.


Factors That Affect FAK Rates


Replace the current subsections and factor table with this checklist:


Check in the quotationWhy it matters
Origin and destinationThe rate applies only to the specified locations or geographic ranges.
Container and equipment typePrices and eligibility can differ for 20-foot, 40-foot, high-cube and special equipment.
Commodity eligibilityThe goods must fall within the carrier’s FAK definition and exclusions.
Weight and cargo requirementsHeavy or unusual cargo may need an additional check or charge.
Validity periodThe booking or shipment must meet the quotation’s applicable date rules.
Included chargesTerminal, local, security, peak-season and other charges may be additional.

Carrier notices illustrate why these checks matter: CMA CGM specifies routes, dry-cargo scope, equipment prices, application dates and charges separately; Hapag-Lloyd directs customers to check its FAK commodity exemptions. :chatgpt-content-reference{index="2"}


Tips for Booking Cargo Under an FAK Rate


Describe and classify the goods accurately


Give the carrier or forwarder a precise commodity description and the information needed to assess acceptance. Continue to use the correct classification and documentation required for customs. FAK is a freight-pricing category, not a substitute for an HS code or customs declaration.


Check the rate’s scope and total cost


Confirm the route, equipment, eligible commodities, validity dates, exclusions and charges included in the quotation. If the container holds several products, check that each is eligible.


Ask for a comparison where appropriate


A freight forwarder can check whether an FAK or commodity-specific offer applies and compare the total costs. Contact iContainers with your cargo details to request an ocean freight quote.


The most urgent edits are the Quick Overview, How Does FAK Work?, the existing comparison table and the Cost Savings/Simplification/Flexibility claims: changing only the introduction would leave the same misconception throughout the page. :chatgpt-content-reference{index="3"}

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