CFS Charges Explained
What you're actually paying for when the invoice says 'CFS charge' — and how to stop it from silently eating your LCL margins.
$10–30
typical CFS charge per W/M
2
CFS charges per shipment (origin + destination)
15–25%
of total LCL cost is CFS fees
What Are CFS Charges?
CFS charges are the fees you pay for using a Container Freight Station's services at origin and destination.
A CFS charge covers the physical handling of your LCL cargo at the Container Freight Station. This includes receiving your cargo at the warehouse, measuring and weighing it, storing it until the container is ready, and either stuffing it into the container (at origin) or stripping it out (at destination).
CFS charges appear twice on every LCL shipment — once at origin and once at destination. They are separate from the ocean freight rate and separate from documentation fees. Many forwarders quote only the ocean freight and forget to account for CFS charges, which can represent 15–25% of the total landed cost.
The charges are set by the CFS operator — not the shipping line and not the consolidator. The consolidator passes them through (sometimes with a markup). Different CFS operators at the same port can charge significantly different rates.
What CFS Charges Cover
A CFS charge isn't one fee — it bundles multiple services together.
Origin CFS Charges
Receiving
Unloading your cargo from the delivery truck, checking piece count against the booking, and inspecting for visible damage.
Measuring & Weighing
Recording actual dimensions (L × W × H) and gross weight for every package. This determines your chargeable W/M.
Storage
Holding your cargo in the warehouse until the container is ready for stuffing. Most CFS operators include 3–5 free days in the base charge.
Stuffing
Loading your cargo into the container alongside other shippers' goods. Includes dunnage, bracing, and securing to prevent shifting.
Cargo Receipt / Dock Receipt
Issuing documentation that confirms your cargo has been received, its condition, and its measurements.
Destination CFS Charges
Destuffing
Removing cargo from the container and separating individual shipments by consignee and House B/L number.
Sorting & Staging
Organizing deconsolidated cargo in the warehouse by consignee for pickup or further delivery.
Storage
Holding cargo at the CFS until the consignee picks it up or it's dispatched for delivery. Free time is typically 3–5 days.
Delivery Order Processing
Administrative processing to release cargo to the consignee or their agent after customs clearance.
Examination Support
If customs requires a physical examination, the CFS provides space and labor to open, inspect, and repack the cargo.
Who Pays CFS Charges?
It depends on the Incoterm, trade lane customs, and what you negotiated.
Shipper pays origin CFS
Under most Incoterms (FOB, CFR, CIF, FCA), the shipper or their forwarder covers origin CFS charges. These are part of the export-side handling costs.
Consignee pays destination CFS
The consignee or their import agent pays destination CFS charges in most cases. These are part of the import-side handling costs that come after ocean freight.
Forwarder absorbs (and marks up) both
In practice, the forwarder often pays both origin and destination CFS charges and includes them in an all-in rate to the customer — with a margin built in.
EXW exception
Under EXW (Ex Works), the buyer's forwarder handles everything including origin CFS. Under DDP, the seller covers everything including destination CFS.
Pre-paid vs collect
CFS charges can be prepaid (shipper pays at origin for both) or collect (consignee pays at destination). This must be specified on the booking and House B/L.
How CFS Charges Are Calculated
The billing basis and typical rate ranges.
| Component | Billing Basis | Typical Range | Notes |
|---|---|---|---|
| CFS Receiving (Origin) | Per W/M | $8–$20 | Includes unloading, measuring, and dock receipt |
| CFS Stuffing (Origin) | Per W/M | $5–$15 | Loading cargo into container with dunnage |
| CFS Storage (Origin) | Per W/M per day | $2–$8 | After free time (usually 3–5 days included) |
| CFS Destuffing (Dest.) | Per W/M | $8–$20 | Stripping container and sorting cargo |
| CFS Storage (Dest.) | Per W/M per day | $3–$10 | After free time; destination storage is usually pricier |
| Delivery Order Fee | Per shipment | $25–$75 | Flat fee for cargo release documentation |
| Examination Fee | Per examination | $50–$200 | Only if customs requests physical inspection |
How to Quote CFS Charges
Get these wrong and your LCL margins disappear.
Always include CFS in your all-in rate
Never quote ocean freight alone. Your customer compares your all-in number against competitors. If you show $45/W/M freight and add $25 CFS on top, you look more expensive than someone quoting $65 all-in.
Get the actual CFS tariff, don't estimate
CFS rates vary wildly between ports and operators. Shanghai CFS is different from Ningbo CFS. Call or email the CFS operator (or your consolidator) for the actual tariff before quoting.
Account for both origin AND destination CFS
New forwarders often quote origin CFS but forget destination. The consignee gets hit with an unexpected $15–20/W/M charge and blames you for the surprise.
Watch out for CFS minimums
CFS charges have their own minimums, separate from ocean freight minimums. A small shipment can trigger a 1 W/M minimum on freight AND a 1 W/M minimum on CFS — double the pain.
Factor in storage risk
If your shipper delivers early or your consignee picks up late, storage charges accumulate fast. Build a buffer into your quote or clearly state free time limits to your customer.
Specify prepaid or collect on the booking
Decide upfront who pays what and note it on the booking confirmation. Disputes over CFS payment at destination are common and expensive to resolve.
CFS Charges Vary by Port
The same service costs very different amounts depending on where you ship.
Shanghai / Ningbo
Competitive due to high volume and many CFS operators
Hong Kong
Higher real estate costs drive up warehouse rates
Rotterdam / Hamburg
European labor costs reflected in handling fees
Los Angeles / Long Beach
US West Coast premiums, especially during peak season
Singapore
Efficient operations but premium port location
Common CFS Charge Mistakes
These errors cost forwarders money on every LCL shipment.
Quoting ocean freight without CFS
Your rate looks great until the customer sees CFS charges added separately. They feel deceived and question every other line item on the invoice.
Assuming origin and destination CFS rates are the same
Destination CFS is often 20–40% higher than origin, especially in developed countries. Using origin rates to estimate destination costs leads to underquoting.
Ignoring free time limits
Cargo sitting at destination CFS for 10 days when free time is 3 days = 7 days of storage charges. At $5–$10/W/M/day, a 5 W/M shipment costs $175–$350 extra.
Not negotiating CFS rates with consolidators
Consolidators mark up CFS charges. If you bring consistent volume, you can negotiate reduced pass-through rates. Most forwarders never ask.
Forgetting the delivery order fee
The DO fee ($25–$75 per shipment) is a flat charge on top of per-W/M CFS charges. On small shipments, it's a significant percentage of total cost but easy to overlook when quoting.