What is ORC (Origin Receiving Charges)?
ORC stands for Origin Receiving Charges, a kind of fee that is charged based on the handling of containers at the port of origin. The calculation of ORC starts from the moment when the container is received at the container freight station and ends when the loading is carried out.
ORC constitutes the costs incurred during receiving and handling containers at the port of origin, including the use of facilities, labor, equipment, and other associated expenses.
ORC is a derivative of terminal handling charges (THC). ORC is a kind of fee structure applied in areas like Guangdong, Guangxi, Hainan, and Yunnan in China for the export of sea freight containers. One of the biggest differences between ORC and THC is that shipping lines will mostly charge ORC instead of THC for certain routes in the above-mentioned areas. Typically, ORC and THC will not be charged simultaneously.
Additionally, ORC will be collected by shipping lines, not terminal operators. Whether ORC is levied on the shipper or the consignee depends on who bears the responsibility for paying for the freight transportation.