The cheapest headline rate is rarely the cheapest invoice. A freight quote is a three-act story — origin, main carriage, destination — and the margin hides in the acts you skim.
Act one to three: how a quote is actually structured
Origin charges (India side)
OriginPickup/cartage to port or CFS, export customs clearance, CFS / handling charges, Terminal Handling Charges (THC) at Nhava Sheva/Mundra/Chennai, Bill of Lading or AWB issuance, and VGM/ENS filing fees. Quoted in INR — check the exchange-rate assumption.
Ocean or air freight
Main carriageThe line-haul rate everyone compares — plus its riders: BAF (fuel), war-risk / Red Sea surcharges, PSS (peak season), GRI (rate increases, typically effective the 1st and 15th of each month). A '$1,400 to Rotterdam' rate can carry $600 of riders.
Destination charges
DestinationImport THC, Delivery Order (DO) fees, destination CFS/deconsolidation (for LCL), customs brokerage, duties and taxes, and final-mile haulage. On EXW/FOB sales, your overseas buyer sees these; on CIF/DDP, you do. This is where 'cheap' LCL consolidators recover their margin.
The red-flag fees
None of these charges is illegitimate by itself. The red flag is where they appear — surfacing only after booking, or padded far beyond market level:
- "Documentation" or "admin" fees quoted twice — once at origin, once at destination — for the same Bill of Lading.
- Inflated DO fees at destination on LCL: the classic trap behind a suspiciously low per-cbm rate.
- Unquoted CFS ground rent: Indian CFS storage escalates in daily slabs; if free days aren't stated, ask.
- Currency spread: INR charges converted at a 'house rate' 2–3% off interbank.
- Demurrage & detention exposure: a quote with only 3–5 combined free days at destination can cost more than the freight saving — D&D ex-free-time runs $50–200+ per 40ft per day in escalating slabs.
- "Subject to" clauses with no cap: open-ended GRI/PSS pass-throughs make the quote a suggestion, not a price.
India-specific lines worth knowing
| Charge | What it is | Watch for |
|---|---|---|
| THC | Terminal handling at the port (per container) | Differs by port & line; should be itemised, not 'included approximately' |
| CFS charges | Stuffing/destuffing, handling at container freight station | Free-day slabs and ground rent after them |
| IGST on freight | GST treatment of ocean/air freight under Indian law | Confirm whether quoted rates are inclusive or exclusive |
| AD Code / docs | Bank authorised-dealer code registration, e-filing fees | One-time vs per-shipment billing |
| ENS / AMS filing | Advance manifest filings for EU/US-bound cargo | Per-BL fee; should appear once |