(I have a question on the structure of IATA cargo rates.)
Q.
In regards to IATA international air cargo rates, I notice there is a minimumcharge, an under 45 kg rate, a over 45 kg rate and a over 100 kg rate. I am well accustomed to the rates however a question came up. Why is it not 50 kg? Why 45 kg was chosen as a benchmark. I’m curious. (31 Oct 19)
A.
This is an old story and I do not remember well. At the very early stage of air cargo business, the “Minimum Charge” and the “100kg Normal Rate” was decided.

A passenger and his luggage typically weighed 100kg. To decide on the cargo rate level, the passenger fare was used as a benchmark. After a while, there was a voice that there is too much gap between the Minimum Charge and the 100kg Normal Rate. A suggestion was adapted at the Tariff Conference to introduce a 45 kg Normal Rate. This worked well but even to this date, some sectors still operate with a 100kg Normal Rate.

All rates are discussed and decided at the 7 Cargo Tariff Conference where 25 airlines operating in that tariff zone assemble and decide the rate levels.

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