Differences between Carrier and Merchant Haulage

The transport sector has gone through significant developments over the years. Companies and individuals involved in the sector are yielding good fortunes with the advent of technology and improved transport facilities. Haulage companies have transformed the movement of goods from one point to another.

If you plan to run your own haulage company, a look at the key differences between carrier and merchant haulage will help you make wise decision. Read on and find helpful information to guide you in your endeavours.

The Key Difference between Carrier and Merchant Haulage

Container haulage is all about the movement of goods from one point to another overland using rail or truck. By understanding what carrier haulage is and what merchant haulage entails, you will be in position to work with the best haulers in the industry. And the key difference is:

Carrier haulage involves the movement of a container from one point to another under the supervision of the shipping line using haulage company chosen by the shipping line. On the other hand, merchant haulage is the transport of the container from point A and B directly by the buyer of shipment (consignee) using designated haulage contractor.

When you opt for carrier haulage, the consignee will have to pay for the same at the shipping lines rate. This means that if the goods are cleared to move, they should be willing to accept any liabilities or damages that could arise. The claims can be overturned only if they were caused by poor packing of the freight.

When dealing with merchant haulage, the consignee has the option to negotiate for better rates for the same service. In this case, the shipping line will not incur any liability for the load. However, if there are any damages, they can hold the merchant responsible for such damages or loses.

A merchant haulage has the freedom to choose preferred cargo agent. In addition, the inland leg and ocean leg of the freight will come under different records of traded cargo received on board. This is different in the case of the carrier haulage. The movement of the load from the shipper’s warehouse to the client’s storage area by ocean carrier will be under a single bill of lading.

Choosing the Best Haulage Company- What to Know

When looking for the container haulage services, it’s wise to work with a reputed company. The haulage services you settle for should stand out and satisfy your requirements. In essence, don’t work with any company you come across in this competitive industry.

And if you are wondering, how do I choose the right haulage company? Stress no more. Here are tips to guide you:

  • Ensure the company of choice offers a wide range of services that you might need. Go for a company that will satisfy your one-off and future haulage needs.
  • Check out the company’s clientele base. Ensure the company of choice can demonstrate the size, type, and demands of its customer base.
  • Take your time to research about the company of choice. Check it previous activities and the kind of promises it has been able to fulfil.
  • Work with a company that has been in the industry for a number of years and guarantees top-notch haulage services.
  • Ensure the company is licensed and insured to move goods from one location to another, and hassle-free. You don’t wish to incur unnecessary expenses or shipping liabilities.

To Sum Up

Getting your goods from point A to B is not that easy if you don’t know where to start or who to work with. And to grow your business and move cargo efficiently, know the difference between carrier haulage and merchant haulage. Once you are sure you have found the best haulage company, go on and request a quote.