A practical break-even guide for importers deciding between fresh and frozen vegetables from Indonesia. We share how to model landed cost, estimate spoilage, compare reefer rates, understand duty differences, and choose Incoterms that reduce cold-chain risk—plus example numbers for Jakarta–Rotterdam and Surabaya–Los Angeles.
If you’re choosing between fresh and frozen Indonesian vegetables, you don’t need more opinions. You need a clean way to model cost, risk, and clock. In our experience, total landed cost is driven less by the farm price and more by transit time, reefer costs, expected spoilage, and duties by HS code. Get those four right and the decision becomes obvious.
The quick answer: when does frozen beat fresh?
- Under 7–10 days door-to-door. Fresh often wins on cost for hardy items and quality for tender ones. Think regional lanes like Java–Singapore or Java–Dubai by sea, or airfreight within Asia.
- 12–18 days door-to-door. This is the gray zone. Hardy roots and bulbs (carrot, beetroot, onion) can still work fresh by sea if pre-cooled, but tender produce usually tips to frozen.
- 20+ days door-to-door. Frozen usually beats fresh on total landed cost for most vegetables due to lower loss, fewer claims, and predictable inventory. For Europe and the U.S., frozen is the default for anything tender.
Here’s the thing. The break-even point isn’t about taste. It’s about sellable kilos at the time you need to sell them, plus the risk-adjusted costs you take on.
How to calculate true landed cost (use this simple model)
We recommend comparing fresh vs frozen on a “landed cost per sellable kg” basis.
- Net sellable kg = Gross shipped kg × (1 − expected spoilage %) × (1 − trim/shrink %)
- Landed cost per sellable kg = Total landed cost ÷ Net sellable kg
Total landed cost usually includes: product price (per Incoterm), origin handling and pre-cooling, ocean/air freight, bunker/WRS/surcharges, destination THC, customs brokerage, inspection fees, duties and taxes, insurance, reefer monitoring/data loggers, drayage and last-mile, cold storage on arrival, and a demurrage/detention contingency.
Two non-obvious items importers forget:
- Duty base on frozen. Many customs authorities assess duty on gross weight including any glazing/ice. Model it explicitly.
- Expected demurrage for reefers. Assign a probability and a day-rate. Even 2–3 days at $175–$250/day moves your break-even.
Need help building a lane-specific model? If you want a quick spreadsheet you can plug your numbers into, Contact us on whatsapp and we’ll share our template.
A worked example: Jakarta to Rotterdam (fresh carrots) vs Surabaya to Los Angeles (frozen corn)
These are illustrative numbers. Always get live quotes.
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Fresh carrots to Rotterdam, 40′ reefer
- FOB price: $0.55/kg. Load: 25,000 kg
- Freight: $8,500. Destination THC/handling: $900
- Pre-cooling + monitoring: $650. Insurance/brokerage/misc: $350
- Expected demurrage contingency: $400
- Expected spoilage on arrival after 28–32 days: 10%
- Total landed cost ≈ $24,350. Net sellable kg ≈ 22,500. Landed cost per sellable kg ≈ $1.08
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Frozen IQF sweet corn to Los Angeles, 40′ reefer
- FOB price: $1.25/kg. Load: 24,000 kg
- Freight: $6,800. Destination THC/handling: $1,200
- Cold storage on arrival: $600. Insurance/brokerage/misc: $450
- Data loggers: $160. Expected spoilage: 1%
- Total landed cost ≈ $39,050. Net sellable kg ≈ 23,760. Landed cost per sellable kg ≈ $1.64
Takeaways you can use today:
- Fresh can be cheaper per sellable kg for hardy products when transit and loss are controlled. Our Carrots (Fresh Export Grade) routinely sail regionally and into the Middle East with solid outcomes.
- Frozen carries higher product value but lower loss and higher predictability. For food manufacturers and long-haul lanes, frozen like our Premium Frozen Sweet Corn or Premium Frozen Okra usually wins over a 12-month horizon.
How do I estimate spoilage loss by sea from Indonesia?
In our experience, you can start with a lane- and commodity-based baseline, then adjust for season and handling.
- Hardy veg by sea (carrot, beetroot, onion): 3–8% over 14–25 days if pre-cooled, 0–2°C, and handled fast at both ends.
- Semi-tender (tomato at commercial maturity, eggplant, peppers): 8–15% over 18–30 days with tight temperature and airflow. Controlled atmosphere helps, but watch CO2 injury.
- Tender/leafy (lettuce, spinach, cucumbers, baby romaine): generally not recommended beyond regional sea lanes. Loss can exceed 20% after 10–14 days even with excellent cold chain.
Always convert loss into net sellable kg, not just a percentage off your price. That’s what moves your break-even.
How much shelf life will be left on arrival?
Rule of thumb with good handling and correct setpoints:
- Carrots, beetroot, onions: 3–6 weeks total life. After a 20–30 day sea leg, you’ll often have 1–3 weeks remaining if humidity is managed.
- Tomatoes (firm, mature green to breaker): 2–4 weeks total. Arrive with 5–10 days retailable life depending on variety and ripeness.
- Eggplant, cucumbers, peppers: 2–3 weeks total. After a 14–20 day leg you may have under a week of prime retail life.
- Leafy greens: Think airfreight or very short sea lanes. We ship Baby Romaine and Loloroso (Red Lettuce) chilled for regional markets or by air for distant buyers.
Frozen (IQF) at −18°C effectively resets the clock. Loss is usually handling damage or temperature deviation, not physiological.
Are import duties different for fresh vs frozen HS codes?
Yes. Many markets use HS 07.09/07.01–07.09 for fresh vegetables and HS 07.10 for frozen. Duty levels and quotas vary by country.
What we’ve seen recently:
- EU. Many fresh vegetables enter at low or zero duty depending on season and tariff line. Frozen lines can carry positive duties. Always check TARIC for your exact HS and origin.
- U.S. MFN. Quite a few fresh and frozen vegetables are zero or low duty, but certain lines have ad valorem rates. Confirm via HTSUS by the 10-digit code.
- Middle East/Asia. Generally straightforward MFN schedules, but frozen sometimes attracts different rates than fresh.
Practical tip. Model both scenarios with your customs broker before you order. For frozen, confirm whether duty is on net or gross (including glaze). Mis-modeling duty can flip your decision.
What are typical reefer shipping rates from Indonesia right now?
Rates move weekly with fuel, capacity, and routing. As ballparks we’ve seen in recent cycles:
- Indonesia to North Europe: 40′ reefer often in the mid-to-high four figures to low five figures USD, depending on season and surcharges.
- Indonesia to U.S. West Coast: frequently mid four figures to low five figures USD for a 40′ reefer.
- Regional ASEAN and Middle East: materially lower than EU/U.S., but reefer surcharges still bite.
Always request an all-in with BAF, PSS, WRS, EBS, and reefer plug-in surcharges spelled out. A “cheap” base rate plus heavy add-ons is the oldest trick in the book.
Which Incoterms reduce my cold-chain risk and cost?
We like keeping responsibility and control aligned with whoever manages the cold chain.
- For full-container sea freight. FOB Jakarta/Surabaya gives you control of main carriage, routing, and free time negotiations, but you must manage reefer settings and transit risk. If you don’t have reefer contracts, CFR/CIF can make sense with a seller who does. Just confirm who sets the temperature, installs data loggers, and handles pre-trip inspections.
- For airfreight of tender items. CPT/CIP often balances risk. The seller handles export and uplift. You handle destination clearance and last mile quickly.
Whatever you pick, document setpoints, ventilation, humidity targets, and acceptable temperature excursions in the contract and on the B/L instructions.
Do I need temperature data loggers, and who pays?
Use them. We place 2–4 loggers per container at door, middle, and nose. For high-risk cargo, we add a real-time device. Who pays is commercial. Many buyers accept a small per-shipment charge or build it into the unit price. If you expect to make insurance claims for temperature deviation, loggers plus a calibration certificate make your case faster.
Common mistakes we see (and how to avoid them)
- Ignoring net sellable kg. You modeled price, not loss. Add a spoilage line and recalc per sellable kg.
- Underestimating dwell time. Congestion or inspections can add 3–5 days. Assign a demurrage/detention contingency to every reefers shipment.
- Wrong HS code. Don’t guess. Share product specs, processing steps, and glazing with your broker before you lock price.
- Not pre-cooling. Warm loading for fresh can double your loss. Budget pre-cooling and verify pulp temps at loading.
- Buying frozen without line-of-sight on MOQ. For IQF, plan on 10–12 MT for a 20′ or 22–26 MT for a 40′. Mixed-SKU loads are possible. Our Frozen Mixed Vegetables are commonly consolidated with Frozen Paprika (Bell Peppers) or Premium Frozen Edamame to hit MOQ.
Make the call this week: a quick break-even checklist
- Transit map. Door-to-door days including likely dwell at both ends.
- Spoilage curve. Use a realistic percentage for your commodity and season.
- Duty scenario. Fresh HS vs frozen HS, duty base, and any quotas.
- Reefer quote. All-in with surcharges, free-time, and genset costs if needed.
- Monitoring. Loggers, setpoints, and claim protocol agreed in writing.
- Shelf-life plan. Does arrival life match your sales cadence and QA standards?
If your door-to-door exceeds 14 days and your vegetable isn’t a hardy root or bulb, frozen likely wins on risk-adjusted landed cost. If it’s a regional lane, or you’re targeting premium retail with fast turn, fresh can be your edge. We’re happy to sanity-check your numbers or quote both options side by side. Questions about your project? Call us or browse options and specs here: View our products.