In plain English
It is an extra amount added to ocean freight charges. The charge is used to account for changes in the price of the fuel ships burn.
In context
In an ocean rate breakdown, BAF labels the surcharge that reflects changes in bunker fuel costs.
- Situation
- Coordinating freight quotes, booking, consolidation, handoff, and transport documents
- What it communicates
- labels a surcharge line in the ocean rate breakdown.
Meaning limits
By itself, the term does not state the amount of the surcharge or when it changes.
Examples
“After bunker fuel prices rose, the carrier increased the BAF on the sea-freight invoice.”
“In the ocean rate breakdown, the broker entered the fuel surcharge as BAF below the base freight.”