Iron, steel and raw material freight transport costs.
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Finished steel freight costs from a steelworks to a client - as well as steelmaking raw material transport costs - typically make up a significant proportion of the total cost of any steel shipment.
Steelonthenet.com now offers site visitors a service for estimating these shipment costs between any source and any destination around the globe.
To see an example of the outputs provided, please see assessments below which describe Q1 2011 freight transport costs for some illustrative iron ore, coal and steel movements.
Similar shipment cost analyses can be provided for a fixed cost of US$50 per movement [subject to $200 minimum charge]. To request your cargo cost calculation, click freight cost.
| Cost Item | Unit | Result | Result | Result |
| Product | Metallurgical coal | Iron ore pellets | Steel HR coil | |
| Origin country | USA East | Brazil | Italy | |
| Origin location | Hampton Roads | Tubarao | Taranto | |
| Destination country | Brazil | Egypt | Germany | |
| Destination location | Tubarao | El Dekheila - Alexandria | Duisburg | |
| Cargo Route | In stockyard at port of Hampton Roads, USA; load to 70,000 dwt ship; ship to Tubarao, Brazil; unload to stockyard. | In stockyard at port of Tubarao, Brazil; load to 150,000 dwt ship; ship to El Deheilam Alexandria, Egypt; unload to stockyard. | In stockyard at port at plant of Riva, Taranto, Italy; load to 15,000 dwt ship; ship to Rotterdam, Netherlands; unload to stockyard; load to truck; truck to customer at Duisburg, Germany; unload to stockyard. | |
| Value ex works | $/tonne | 200.00 | 156.00 | 600.00 |
| Ocean freight - total | $/tonne | 12.20 | 13.35 | 13.35 |
| Barge - origin area | $/tonne | 0.00 | 0.00 | 0.00 |
| Barge - destination area | $/tonne | 0.00 | 0.00 | 0.00 |
| Rail - origin area | $/tonne | 0.00 | 0.00 | 0.00 |
| Rail - destination area | $/tonne | 0.00 | 0.00 | 0.00 |
| Truck - origin area | $/tonne | 0.00 | 0.00 | 0.00 |
| Truck - destination area | $/tonne | 0.00 | 0.00 | 21.85 |
| Handling - origin area | $/tonne | 0.99 | 0.93 | 6.96 |
| Handling - destination area | $/tonne | 1.16 | 1.16 | 9.56 |
| Insurance - origin area | $/tonne | 0.17 | 0.12 | 0.58 |
| Insurance - ship | $/tonne | 0.20 | 0.22 | 0.36 |
| Insurance - destination area | $/tonne | 0.18 | 0.16 | 0.57 |
| Storage - origin area | $/tonne | 0.69 | 0.63 | 1.94 |
| Storage - destination area | $/tonne | 0.70 | 0.83 | 1.91 |
| Interest - origin area | $/tonne | 0.55 | 0.39 | 1.87 |
| Interest - ship | $/tonne | 0.65 | 0.70 | 1.14 |
| Interest - destination area | $/tonne | 0.56 | 0.52 | 1.83 |
| Administration | $/tonne | 0.50 | 0.50 | 1.00 |
| Import duty | $/tonne | 0.00 | 0.00 | 0.00 |
| Value delivered | $/tonne | 218.56 | 175.51 | 175.51 |
| Total logistics cost | $/tonne | 18.56 | 19.51 | 19.51 |
| Detailed transport and handling cost assumptions used | ||||
| Annual quantity | 000 tonnes | 1000 | 3000 | 100 |
| Ship size | tonnes | 70 | 150 | 15 |
| Total time in transit | days | 40.3 | 47.1 | 36.8 |
| Charter rate - Handymax | $/day | 20000 | 18000 | 18000 |
| Charter rate - Panamax | $/day | 23000 | 21500 | 21800 |
| Charter rate - Capesize | $/day | 26500 | 28000 | 27000 |
| Bunker fuel price | $/tonne oil | 434 | 485 | 446 |
| Ocean freight - fuel | $/tonne | 4.00 | 5.72 | 8.25 |
| Ocean freight - ship hire | $/tonne | 7.05 | 6.70 | 14.97 |
| Ocean freight - charges | $/tonne | 1.14 | 0.93 | 2.46 |
| Ocean freight - total | $/tonne | 12.20 | 13.35 | 13.35 |
| Inland freight - total | $/tonne | 0.00 | 0.00 | 0.00 |
| Handling - total | $/tonne | 2.14 | 2.09 | 2.09 |
| Insurance - total | $/tonne | 0.55 | 0.50 | 0.50 |
| Storage + admin - total | $/tonne | 1.90 | 1.96 | 1.96 |
| Interest - total | $/tonne | 1.77 | 1.61 | 1.61 |
| Total excl interest + duty | $/tonne | 16.79 | 17.90 | 17.90 |
| Total incl interest, excl duty | $/tonne | 18.56 | 19.51 | 19.51 |
| Value FOB | $/tonne | 202.40 | 158.07 | 158.07 |
| Value for import duty | $/tonne | 215.96 | 172.83 | 172.83 |
| Import duty rate | % | 0.0 | 0.0 | 0.0 |
A transport cost assessment for any specified shipment† of iron ore, scrap, ferro-alloys, coal or steel between locations A and B can be provided by MCI for just US$50 per movement. To request further support with logistics costs, press the button below or click on transport cost. Advance payment will be required for this service - please see MCI's online payments page. Cost calculations are typically sent out by email within 24 hours of fund receipt.
