Freight 101 Library

What is the Bunker Adjustment Factor (BAF) Surcharge?

The BAF fee is charged in order to smooth out the effect of oil price fluctuations on carrier costs. Find out what they are based on, tips, and more!

Common Freight Costs & Charges

Who Charges the Bunker Adjustment Factor Surcharge: Carrier

Charge At: Port to Port leg

Bunker Adjustment Factor Surcharge Description: BAF is based on TEU, to smooth out the effect of oil price fluctuations on carrier costs. It periodically changes, typically monthly or quarterly.

AKA Bunker Surcharge.

Bunker Adjustment Factor Tips: Smaller charges like this can add confusion, so smaller customers usually receive or should ask for, an all-inclusive port to port charge.

The BAF rate is a non-negotiable pass-through charge. The rate is similar between carriers, and until recently, they struck the same rate. It should be easy to check this charge, as most carriers usually display it on their home page.

Check out our guide to all common freight charges, surcharges, and fees.

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