Less than Container Load (LCL) shipping is a freight method in which you share a container with other shippers and transport smaller cargo quantities. It is particularly flexible and efficient because you pay not for the whole container but only for the part you actually occupy.
Process
1. Cargo collection
The cargo is collected from the shipper and delivered to a consolidation warehouse in the country of origin.
2. Consolidation
The shipment is checked, prepared and combined with other customers’ cargo in a shared container.
3. Export formalities and departure
The required export documents are completed, and the consolidated container is delivered to the port terminal and loaded onto the vessel.
4. Sea transport
The container is transported along the planned sea route to the destination port or an intermediate European port.
5. Deconsolidation and customs procedures
On arrival, the container is unloaded, individual customer shipments are separated and, where required, import procedures are completed.
6. Delivery to the consignee
After deconsolidation, the cargo is handed over to local transport and delivered to the final consignee.
Cargo collection
Export formalities and departure
Deconsolidation and customs procedures
Consolidation
Sea transport
Delivery to the consignee
- 1
Cargo collection
- 2
Consolidation
- 3
Export formalities and departure
- 4
Sea transport
- 5
Deconsolidation and customs procedures
- 6
Delivery to the consignee
Advantages
LCL shipping may be suitable for you for the following reasons:
Price
You pay only for the part of the container you occupy, which means smaller cargo generally results in lower transport costs.
Growth
An ideal option for new or growing businesses, allowing cargo volumes to be increased gradually as the business expands.
Flexibility
You can ship smaller batches more frequently without waiting until you have enough cargo to fill an entire container.
Accessibility
You can easily ship LCL cargo to destinations around the world and adapt transport to your business direction.
What is the difference between FCL and LCL?
When choosing container shipping, one common question is how FCL differs from LCL. Below is a detailed comparison.
| Kriterijus | LCL | FCL |
|---|---|---|
| Privacy | Shared with other shippers | Dedicated to one shipper only |
| Pricing | Pay for the volume used (CBM) | Fixed price for the entire container |
| Speed / Transit time | Longer, includes the consolidation process | Faster, with fewer stops and additional processes |
| Security | More handling operations and therefore greater exposure to risk | Sealed at origin, with lower exposure to handling risk |
| Flexibility | Greater flexibility, with the possibility of serving different destinations within the overall logistics chain | Less flexible, as the container is generally transported as one unit to one destination |
| Cost efficiency | More economical for smaller cargo volumes | More economical for larger cargo volumes |
| Ideally suited for | Small and medium shipments (<15 CBM), non-perishable, price-sensitive and relatively low-risk cargo. | Larger shipments (15–20 CBM+), fragile or high-value cargo. |
How does LCL consolidation work?
LCL consolidation is the process of combining cargo from several shippers in one container. It is carried out at a consolidation centre or warehouse. Shipments from different shippers are carefully collected, packed and secured to ensure safe transport and a logical loading sequence for efficient unloading at destination.
At the destination, the container is deconsolidated. Each customer’s cargo is separated and allocated to the next stage of transport.
What is important to consider?
The cargo must be properly packed to withstand sea transport and protected from potential damage during handling or contact with other cargo. It should also be clearly labelled to avoid errors during loading and unloading.
Because cargo is consolidated and deconsolidated, there is greater exposure to damage, loss or theft as the shipment is handled at terminals and warehouses. Cargo insurance represents only a small share of transport cost, so a relatively small premium can help protect against significant losses.
Allow for a longer overall transit time because consolidation, loading and deconsolidation require additional time. The container may also be handled at intermediate ports.
Incoterms for LCL shipping
For both experienced container shippers and newcomers, Incoterms can be a source of confusion. They may be only three letters in a document, but they define key responsibilities between the seller and buyer.
When shipping containers, it is very important to choose the appropriate Incoterms rules in order to avoid misunderstandings, risks or unplanned costs during delivery. Depending on the client’s needs, common options include:
- FOB or EXW – better suited if you want more control and prefer to manage the transport process from the shipper’s warehouse onward.
- CIF or DAP – suitable if you have less logistics experience and want the seller to manage a larger part of the delivery process up to the agreed destination.
- CFR – under this rule, responsibilities are divided between seller and buyer: the seller arranges carriage to the destination port, while risk transfers according to the Incoterms rule once the goods are on board at the port of shipment.
FAQ
LCL (Less than Container Load) is a shipping method in which several different shippers share one container. With FCL (Full Container Load), the entire container is booked for one customer. With LCL, you pay only for the volume (CBM) or chargeable weight occupied by your goods.
LCL freight is usually priced according to the cargo volume in cubic metres (CBM) or its chargeable weight, depending on the applicable tariff. Consolidation, deconsolidation and customs-clearance or terminal charges at ports and warehouses may also apply.
LCL cargo must first be delivered to a consolidation warehouse at origin, prepared and loaded together with other shippers' goods. At destination it must then be deconsolidated, unloaded and separated. These additional handling stages add time to the total transit.
Yes. It is a widely used and safe shipping method. Because goods are handled at consolidation warehouses, robust packing, preferably on pallets where appropriate, and clear labelling are particularly important. We also recommend cargo insurance, as the premium is generally only a small part of the total transport cost.
There is no strict minimum size for LCL – even one box or one pallet can be shipped, although many tariffs apply a minimum charge such as 1 CBM. If your cargo volume exceeds around 15 CBM, it is worth comparing whether a full 20 ft container (FCL) would be more economical and efficient.
