Sea Freight Cost – An alternative solution for delivery
Our Ref: xxx
Date:
To
xxx Contracting LLC
P. O. Box xxx
Dubai, U.A.E.
Attention : Mr. xxx, Group Procurement Manager
Project : Design and Build of Coastal Village Residential Building.
Subject : Sea Freight Cost – An alternative solution for delivery.
Dear Sir,
As per your request, we have explored the possibility of sea freighting the pods to KSA and we would like to inform the following:
- Since the pod height is more than the standard closed container height, only special open top containers can be used for dispatching.
- The special containers can go to Dammam Port & Jeddah Port while King Fahed and King Abdul Aziz Port are not available for such special equipment. (Email from Transport Company attached for your reference).
- The sea shipments are done weekly (Wednesday or Friday) for a minimum of 8 containers able to take 24 pods/week.
The table below highlights the difference between sea freight using Dammam port and land freight.
| Item | Sea Freight AED | Land Freight AED (cost under current customs regulations) | Remarks |
| Time | 5-7 days | 7 days | |
| Cost per 3 pods(RAK to Dammam) | xxx | N/A | Attached quotation for your reference |
| Cost per 3 pods (Dammam to Rabigh) | xxx | N/A | |
| Total Cost per 3 pods (RAK to Rabigh) | xxx | xxx | Difference of xxx AED |
| Total Cost per 24 pods (RAK to Rabigh) | xxx | xxx | Difference of AED xxx |
*As reference, normal land freight as quoted by M/s xxx (Contractor Name) is xxxAED
Note:
- The land freight rate mentioned above is based on the actual rate paid by us currently as informed in our letter ref: Our Ref: xxx dated 13th May, xxx due to the KSA customs regulations.
- Additional cost will occur for customs and clearance charges on the port which will be charged as per the actual and shall be settled by the Main Contractor.
In case you would like us to use this alternative transportation method, we require your official instruction and your confirmation to settle the cost difference.
Yours faithfully,
On behalf of xxx LLC
xxx
project Manager