Dubai has established itself as the strongest economic power in the Arab world. While Dubai’s economy depended on its oil trade for a long time, through diversification efforts it has shifted towards non-oil businesses like trade, real estate, tourism, and finance. According to a report by Reuter, in 2023, Dubai’s non-oil trade amounted to a whopping 3.5 trillion dirhams, while the export of goods and services surpassed the 1 trillion dirham mark.
This is a testament to Dubai’s successful transformation and its focus on improving trade relations with the rest of the world. However, the most important trading partner for Dubai is Saudi Arabia. Non-oil trade between Saud Arabia and Dubai saw a 25 percent increase in 2023. Two countries have built a strong logistics network, which includes maritime, air, and inland transportation and cargo.
Cargo, thus, plays a crucial role in Dubai’s economy. Whether you are a small business sending products to Saudi Arabia or someone sending a personal gift for a loved one, you are contributing to the country’s economy. However, people are often unsure how much cargo service costs if they want to ship things from Dubai to Saudi Arabia. This blog will provide insight into how the cost system works and what factors are considered while determining the cost of your shipment. Let’s dive in.
Factors Determining the Cost of Dubai to Saudi Arabia Shipments
A long list of factors can change how much you pay for your shipments. Here are a few:
- Mode of Transportation
The first and the most obvious factor is the type of transport you choose to send your product to. You can choose land, air, and sea freight based on the nature of your product and your schedule.
- Road Freight: Road freight is a popular option for shipping between Dubai and Saudi Arabia because of the proximity between the two countries. It is faster and cheaper than other options.
- Air Freight: Air freight can be faster than road freight and is ideal for meeting short deadlines. However, its high operational cost jacks up the prices.
- Sea Freight: Sea freight is perfect for bulk or heavy-duty products and is much cheaper than road freight. However, shipping time is significantly higher, making it less favorable during a time crunch.
- Type and Volume of Cargo
The nature of your shipment plays a crucial role in its cost:
- Weight and Volume: Using volumetric weight calculations, it is determined whether you need Full Truckload (FTL) or Less-Than-Truckload (LTL). This determines how much you pay for your products.
- Type of Goods: Special handling and packaging might be required for sensitive, perishable, or hazardous products. This jacks up the prices of shipping.
- Custom Duties and Taxes
Any shipment between Dubai and Saudi Arabia is subject to import and export duties along with Value Added Tax (VAT). Moreover, preparing for a seamless and hassle-free customs clearance requires preparation and effort. This combines to determine the cost a cargo company might charge you for their service.
- Distance, Route, and Shipping Time Frame
Regardless of the proximity, road conditions and toll fees can determine the route and distance of the cargo. The time frame you select also plays a role. If you choose premium service by air or land, you might have to pay more than the standard delivery service.
- Seasonal Demand
Seasonal demand is another factor affecting cost fluctuations. During peak trading season or holidays, the need for cargo services can be high, causing prices to go significantly up.
Choose Wisely, Choose Al Weam Cargo
Businesses need a shipping service that can meet their demands and schedule for a smooth operation. This is why a cost-effective yet premium cargo service is necessary. Al Weam Cargo understands your struggles and offers the fastest and safest road freight cargo services from Dubai to Saudi Arabia.
With affordable prices and discount options, Al Weam fits into its customer’s budgets. For a satisfactory and anxiety-free shipping experience, trust Al Weam and drive your business to new success.