Freight
BAF
Also known as: Bunker Adjustment Factor, Fuel Surcharge
Fuel surcharge for shipping that fluctuates with oil prices. Shipping lines use this to adjust rates based on current fuel costs without changing base freight rates.
Cost Category
BAF is classified as a Freight charge in landed cost calculations.
Freight charges relate to the physical transportation of goods, including shipping, handling, and port fees.
Landed Cost Impact
This charge is typically allocated across your products when calculating landed cost per unit.
- Adds to your true product cost
- Should be factored into pricing
- Impacts your profit margins
Related Keywords
bunkerfuelsurcharge
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Landara's AI extracts charges like BAF from your freight invoices and allocates them across your products automatically.