Understanding how carriers calculate drayage rates
While drayage carriers all charge different rates, many carriers have similarities in terms of what is included in reaching a final quote. From Standard fees to accessorial charges, let’s take a deeper look at what’s included so that you can better access when comparing providers.
Standard drayage fees
| Fee Type | Description |
| Drayage | Standard fee applied for transporting containers from ports to destinations. |
| Fuel Surcharge | Additional charge based on fuel costs, typically a percentage of the drayage fee. |
| Chassis Rental | Fee for renting chassis used to transport containers. Many providers offer a few free days, but daily charges may then kick in after that window. |
Common accessorial fees
| Fee Type | Description |
| Driver Delayed | Fee applied when a driver is delayed due to circumstances beyond their control, such as traffic or waiting for loading/unloading. |
| Reefer Fee | Additional fees for transporting refrigerated containers reflecting extra fuel and energy costs involved with (reefers) |
| Tolls | Carriers may charge for using toll roads during transportation. |
| Layover | Charge applied when a shipment is delayed after traveling a certain distance. Not as common in drayage but occurs when a driver has to wait overnight or for an extended period |
| Residential Delivery | Additional fee for deliveries to residential addresses |
| Tri-Axle Charge | Extra cost for using a tri-axle truck for transport. Tri-axle trucks are needed in drayage primarily for transporting heavier loads and ensuring compliance with weight distribution regulations. |
| Overweight Fee | Charge for shipments exceeding weight limits. |
| Scale Fee | Cost associated with weighing the container for verification. Fee is more common for overweight or near-limit loads to avoid fines or potential safety issues on the road. |
| Yard Storage | Daily fee for storing containers at the terminal or yard. |
| Pre-Pull | Fee for pre-pulling containers before the scheduled delivery time. |
Ways to reduce drayage costs
- Negotiate with Steam Ship Lines (Free Time Window) While it’s not always an easy task, it’s worth mentioning that sometimes steamship lines allow for extension-free days. In our experience, this works best when you have relationships with Port Authorities and steamship lines. If you are in an instance where your container pick-up scheduling is delayed for reasons outside your control, it is worth it to see if they will allow an extended time frame.
- Be transparent with carriers: building a strong relationship with your drayage carrier can sometimes lead to reduced rates over time, although this isn’t guaranteed, especially in an inflationary environment where companies need to charge higher to remain profitable. Regardless, it’s essential to be honest about your expected container volume. As a drayage carrier, we often hear from companies or brokers claiming they’ll need 20 or more containers a month while asking for their best rate. Carriers can quickly recognize when this is a bluff, and it ultimately doesn’t benefit anyone involved. Taking a slow and steady approach to relationship-building is the most effective way to potentially secure better rates in the future.
- Consider full-circle third-party logistics providers: It’s important to evaluate the entire logistics process, not just individual costs. A smaller provider might charge less for container pickups, but if you have to outsource warehousing or trans-loading, your total expenses could increase. By opting for a full-circle third-party logistics provider that offers a comprehensive range of services, you may benefit from bundled rates that can be more cost-effective than paying separately for each service.
FAQS
What is the Average Drayage Rate?
Drayage Rates vary significantly across the board on many factors with geographic location being the biggest one. Nationwide, local moves may range between $250-600 per move.
In our area of South Florida, you might see rates ranging from $300 to $600 per load for short hauls within the region. During peak seasons or in heavily congested areas, these rates can surely increase.
