Inland Haulage Charges (IHC)
Definition of Inland Haulage Charges (IHC)
Inland Haulage Charges are fees associated with the transportation of goods overland from a port to an inland destination or vice versa. This part of the logistics process involves moving cargo by road or rail within a country, and these charges cover the cost of this domestic transportation leg.
Why are Inland Haulage Charges important?
Inland Haulage Charges ensure the items you've bought or are shipping get to and from the port promptly and safely. This covers handling and administration fees related to moving goods overland in addition to the actual cost of transportation.
Factors Influencing Inland Haulage Charges
Distance
The primary factor affecting the charges is the distance between the port and the inland destination. Longer distances usually result in higher fees.
Mode of Transport
The choice between road or rail transport can influence costs, with rail often being more economical for longer distances and larger volumes. In comparison, road transport may offer greater flexibility and speed for shorter distances.
Type of Cargo
The nature and size of the cargo can impact the charges. Special cargo that requires specific handling, oversized goods, or hazardous materials may incur higher fees.
Fuel Prices
Fluctuations in fuel prices can directly affect haulage charges, as transportation is heavily dependent on fuel.
Regional and Local Factors
Local infrastructure, toll roads, and regional regulations can also influence costs. Congested or poorly maintained routes may lead to higher fees.
Market Conditions
Supply and demand dynamics within the transport industry can affect pricing. High demand periods or capacity shortages can lead to increased charges.
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