B-1-6- Groupage (consolidation) for air transportation



1-6-1- Groupage transportation : definition

Groupage transport is the transport of goods from several different exporters to the same destination. Groupage must be well-organized, for example, completely filling containers for transport so as not to lose time in loading at the airport. This type of transportation is mainly used for air freight.

1-6-2- Groupage transportation : deconsolidation

For each consolidation (groupage) operation, there is a deconsolidation operation. The consolidator must have a logistics in place on arrival in order to deconsolidate and deliver the goods to the final destination.

1-6-3- Groupage for air transportation: transport documents

The documents may be numerous, as in the case of back-to-back air transport. In such cases it's necessary to issue two sub-AWB's (Air Way bills), one after the other. That is followed by the cargo manifest, the agent invoice, in case of delivery in "carriage forward," and the issuance of the MAWB (Master Air Way Bill. NOTE: it's the AWB for combined transport).

1-6-4- Groupage transport: advantages

The major advantage of this type of transport is that it enables exporters to obtain substantial economies of scale.

1-6-5- Groupage transport: drawbacks

One more intermediary, the consolidator, is required, therefore adding to the costs.