General Cargo Rates – GCR

This rate is used for carriage of General Cargo. Below is the example of how these rates are being reflected in the books.

Shape 4.2.

The origin airport name is in bold letters and in a rectangular. Here the Example is “Tehran”. In front of it the country code is given “IR” – Iran. Three letter code of the airport is being followed as “THR”. If the country has city and state, the code of the state will follow the city name.

 

The currency of origin airport is written below the city name “Iranian Rial” followed by the currency code as “IRR”. The last character shows the unit of measuring weight, here is “KGS”.

 

Below the rectangular, the name of destinations will come in alphabetical order. For example, here shows Atlanta, located in Georgia state, showed as “GA” in United States, showed as “US”.

 

Below that the rate categories can be seen.                                                                          

M – Minimum. It is the minimum cost that lower than that, cargo cannot be carried.

N – Normal. We can translate this as follow: “Normally the rate from Tehran to Atlanta is IRR.54,910/Per Kg, provided that it does fall below “M” (Minimum) charge, that is IRR.555,100.”

 

So the example is,

If you have 1 kg of cargo from “THR” to “ATL”, you need to pay the M charge.

If you have 2 KG cargo, then: 2 KG x (N rate) 54,910 = IRR.109,820, so you still need to pay the M charge.

If you have 4 kg, then, 4 x 54,910 = IRR.219,640, still you need to pay the M charge for IRR.555,100.

If you have 10 KG cargo, 10 x 54,910 = IRR.549,100, here also you need to pay the M charge for IRR.555,100

If you have 11 KG cargo, 11 X 54,910 = IRR.604,010. Here this money should be paid.

More than 11 KG, the rate for carriage from THR to ATL will be IRR.54,910 per KG.

 

To find the weight that fall under Normal rate, you can easily divide the M by N.

I.E.: 555,100 / 54,910 = 10.1. This figure will be rounded up to 0.5 KG or to 1 (instruction of how to round up or down is given at the end of the book for each currency). Here we round it up to 11 KG and the figure shows that if you have cargo below 11 KG, “M” charge should be paid and if you have more than 11 KG, Then N rate per KG should be paid.

 

Below the N rate, you may see the rate for 45 kg. This means that if your cargo weight reach to 45 kg, then discounted rate will be considered per KG, here Is IRR.42,390/KG. Below that you can find the rate for 100 KG that means if your cargo weighs more than 100 kg, then a new discounted rate will be considered. Here is IRR.35,450/KG.

 

Airlines have discretion to consider rates for 45KG, 100KG, 250KG, 300 KG, 500 KG, 1000 ,.. All these rates after “N” is being called “Quantity Rates”.

 

Now what happens if we have 99 KG of cargo?

As per rate instruction, as the weight is lower than 100 KG, the rate of 45 kg is applicable which is higher than the rate of 100 KG. You may think to add a piece of stone and make it 100 KG to pay lesser freight charge. Here, IATA have a rule. If the higher weight gives you cheaper freight charge, you may use this rate on the AWB, provided that you use the correct weight charge. You can calculate the weight break by below formula:

 

100 (Quantity rate) multiplied by the related rate of 100 KG, divided by the rate of 45 KG. Here is:

(100 x 35,450) / 42,390 = 83.629 (Breakpoint).

Means that if your cargo is 84 KG, then the rate for 100 KG is cheaper. Then the chargeable weight on the AWB should show as 100 KG, while the Gross weight still should be mentioned as 84 KG to be used for balancing of the aircraft.

 

Now let us explain the “General Cargo Rates” in formal wordings:

The “rate” is the amount charged by the carrier for the carriage of a unit of weight (kg. or lb.)

The “charge” is the amount to be paid for the transportation of a consignment. It depends on the Weight/Volume of the consignment. For calculating the charges, applicable rate shall be multiplied by the chargeable weight. (More accurate explanation: Ref.3.1 of IATA TACT RULES)

 

Minimum Charges.

The charge for any consignment shall not be less than the minimum charges shown in the rate books.

(More accurate explanation: Ref.3.1. an of IATA TACT RULES)

 

Normal General Cargo rate.

The normal general cargo rate is the 1 kg rate.

 

Lower general cargo rates for other weight breakpoints may be available for larger shipments, as stated in the book. For most countries, the Normal general cargo rate is applicable to consignments of less than 45 kg. For some countries, it may apply to consignments of up to 100 kg. (More accurate explanation: Ref.3.1. b of IATA TACT RULES)