How Much Does It Cost to Ship from Australia to PNG?

The question I'm asked most about the PNG lane is "how much?", and the honest answer is that the freight rate is often the smallest number on the final bill. Origin fees, destination charges, clearance, duty and GST can add up to more than the sea freight itself, especially for vehicles and high-value goods.

This guide breaks a door-to-door cost into its parts, shows how each mode is priced, and explains how to compare quotes properly. It's part of our complete guide to shipping from Australia to PNG, which covers the whole process from booking to delivery.

Why there's no single price

Shipping rates to PNG move with fuel prices, vessel capacity and the season, and every shipment is different. Before anyone can give you a real number, they need to know:

• What you're sending: general cargo, a vehicle, refrigerated food, dangerous goods or oversized machinery.
• How much: weight and dimensions of every piece, or the number of containers.
• From where: your pickup address and the Australian port or airport.
• To where: the PNG port and the final delivery address, which may be days beyond the port.
• On what terms: the Incoterm, which decides who pays for each leg and for PNG duty and taxes.

Any quote given without those answers is a guess. The rest of this guide explains what a properly scoped quote should contain.

The six parts of a door-to-door cost

Every line is a real cost to someone. Under some Incoterms the Australian seller pays part of it, and under others the PNG buyer does. What matters is that nothing is forgotten. The destination side is where surprises usually come from, so read our guide to PNG destination charges, demurrage and detention before you budget.

How sea freight and air freight are priced

Full containers (FCL)

A full container is priced per box: a 20-foot or 40-foot container at a set rate, plus surcharges such as bunker (fuel) adjustments. The rate doesn't change whether the box is half full or packed to the roof, which is why loading efficiently matters. Our guide to choosing between FCL and LCL explains when a full container becomes the better deal.

Shared containers (LCL)

Less than container load cargo is charged per revenue tonne, also called weight or measure. One cubic metre counts the same as 1,000 kilograms, and you pay on whichever is greater. Most forwarders also apply a minimum charge, often one revenue tonne, so a single small carton can cost as much as a cubic metre.

Air freight

Air freight is charged per kilogram of chargeable weight: actual weight or volumetric weight, whichever is greater. Airlines calculate volumetric weight at 6,000 cubic centimetres per kilogram, so each cubic metre is charged as roughly 167 kilos. Rates per kilo usually fall as the shipment crosses weight breaks, which is why a 300 kg consignment can cost less per kilo than a 50 kg one. Our guide to air freight from Australia to PNG covers this in more detail.

Duty and taxes: often the biggest line

PNG import duty is set item by item in the customs tariff. Many goods are duty-free, while others carry rates such as 15% or 25%, and some, like vehicles, alcohol and tobacco, attract excise as well. Import GST of 10% then applies to most commercial imports.

PNG Customs publishes a worked example for a used two-litre car bought for US$6,000, with US$3,500 freight and US$270 insurance. After conversion to kina, excise at 20% came to K6,978.57, GST to K4,187.14 and the customs entry fee to K30, a total of K11,195.71 payable to Customs before the car could be released. Once registration and other fees were added, the full cost was K49,535.56. PNG Customs' own warning is that the extra costs can often double what you paid for the vehicle.

To estimate duty and GST for your goods, use our explainer on PNG import duty, GST and landed cost. If you're shipping a vehicle, read our guide to shipping a car to PNG before you buy.

Charges that catch people out

• Destination charges left off the quote. Port-to-port quotes stop at the PNG wharf. Terminal handling, delivery orders and storage still have to be paid before release.
• Storage, demurrage and detention. Every day beyond the free time costs money, and the daily rates usually increase the longer cargo sits.
• Biosecurity treatment. Untreated timber pallets or dirty machinery can mean fumigation, cleaning or reshipping at your cost.
• The wrong port. Cargo landed in Port Moresby for a buyer in Lae needs another voyage, because the two cities aren't linked by road. Our guide to choosing between Port Moresby and Lae explains how to avoid it.
• Regional delivery. Getting cargo from Lae or Port Moresby to an island province or the Highlands is a separate cost. See shipping to PNG regional ports and the Highlands.
• Currency. Quotes can mix Australian dollars, US dollars and kina, so exchange rates move the final cost.

How to compare quotes properly

Comparing quotes only works when every forwarder prices the same scope. Ask each one to confirm:

• the Incoterm, and whether the quote is port-to-port, door-to-port or door-to-door
• whether PNG destination charges, customs clearance and duty are included or excluded
• the routing, including any transshipment port, and the expected sailing frequency
• the free time allowed for storage, demurrage and detention at destination
• the currency of each line and how long the quote is valid.

Incoterms are worth getting right. Under EXW (Ex Works) the PNG buyer arranges everything from your premises. Under FOB (Free on Board) or FCA (Free Carrier), the seller handles Australian export and the buyer pays from the vessel or carrier onwards. Under CIF or CFR, the seller pays the sea freight but the buyer pays destination charges. DAP (Delivered at Place) covers delivery to an agreed point without PNG duty, and DDP (Delivered Duty Paid) means the seller pays everything, including PNG duty and GST.

Practical ways to reduce the cost

• Book the port that serves your final destination, so you never pay for an extra leg.
• Plan early enough to use sea freight instead of paying air rates for urgency.
• Pack efficiently. Cube out pallets and containers, and remove empty space from cartons.
• Use ISPM 15 marked, plastic or reconstituted wood pallets to avoid treatment charges.
• Get the paperwork right before the cargo sails. Our guide to export documents for PNG lists what you need.
• Pay freight and destination charges promptly, and have trucks booked before the vessel arrives.
• Consolidate regular small shipments into fewer, larger ones.

Frequently asked questions