Definition
Haulage is the term used to describe the fee or charge imposed by a haulier (haulage contractor) for the transportation of goods, primarily by road. This includes not only the movement of goods from the point of origin to the destination but may also encompass additional charges for activities such as loading and unloading the vehicle, especially when dealing with large quantities of packages.
A haulier is a specialist in logistics and transportation services, often owning and operating a fleet of heavy goods vehicles (HGVs). The haulage charge is determined by several factors, including distance, weight, volume of goods, type of cargo, and any special handling requirements.
Detailed Examples
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General Cargo Haulage: A business hires a haulage contractor to transport 100 tonnes of steel bars from a factory to a construction site 200 miles away. The haulage charge would include the cost of transportation, fuel surcharges, and additionally, any fees for loading the steel bars onto the truck and unloading them at the destination.
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Bulk Goods Haulage: A farm needs to transport 50 tonnes of grain to a processing facility. In this case, the haulage charge might include fees for using specialized bulk transport vehicles and possibly additional fees for handling and unloading at the facility.
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Perishable Goods Haulage: A food manufacturer requires refrigerated transport to move 20 tonnes of dairy products to various grocery stores. The haulage charge here would be higher due to the need for temperature-controlled vehicles and any related logistics services.
Frequently Asked Questions (FAQs)
What factors influence the cost of haulage?
Several factors can affect the cost of haulage, including the distance of the journey, the weight and volume of the goods, the type of cargo, fuel prices, tolls, and any special handling requirements, such as refrigeration or hazardous material transport.
Do haulers charge extra for loading and unloading?
Yes, haulers often charge additional fees for loading and unloading, especially when dealing with a large number of packages or heavy, bulky items. These charges are usually separate from the basic transportation fee.
Is haulage limited to road transport?
While haulage primarily refers to road transport, it can sometimes include transportation by rail or other means, depending on the haulier’s capabilities and the logistics requirements of the goods being transported.
How are haulage fees calculated?
Haulage fees are typically calculated based on a combination of distance traveled, weight and volume of the goods, time taken, type of vehicle required, and any additional services such as loading, unloading, or specialized handling.
Can haulage services be used for international shipping?
Yes, many haulage contractors offer international shipping services, which may involve coordination with other transport modes such as shipping and air freight, as well as compliance with international regulations and customs procedures.
Related Terms
Haulier
A haulier, also known as a haulage contractor, is a business or individual specializing in the transport of goods by road. Hauliers typically own and operate a fleet of heavy goods vehicles (HGVs).
Freight Forwarder
A freight forwarder is a company that arranges the logistics and transport of goods on behalf of shippers. They coordinate multi-modal transport, handle customs documentation, and provide a range of additional services.
Logistics
Logistics involves the detailed organization and implementation of complex operations related to the movement of goods. It covers transportation, warehousing, inventory management, and information flow.
Heavy Goods Vehicle (HGV)
An HGV is a large truck typically used for long-distance transportation of goods. HGVs are essential for haulage operations, and their size, capacity, and fuel efficiency can impact haulage charges.
Bulk Transport
Bulk transport refers to the movement of large quantities of unpackaged goods, such as grains, minerals, or liquids. Specialized vehicles and handling equipment are often required for bulk transport.
Online References
Suggested Books for Further Studies
- “The Logistics and Supply Chain Toolkit” by Gwynne Richards and Susan Grinsted
- “Supply Chain Management: Strategy, Planning, and Operation” by Sunil Chopra and Peter Meindl
- “Logistics & Supply Chain Management” by Martin Christopher
- “The Transport Manager’s and Operator’s Handbook” by David Lowe
Accounting Basics: “Haulage” Fundamentals Quiz
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