Freight rate

An ocean freight rate is the price a carrier charges to move cargo, quoted as a box rate per container in the liner trades or as a rate per freight ton (the greater of weight or measurement) for break-bulk. Liner rates are built up from a base rate plus surcharges: bunker (BAF) and currency (CAF) adjustment factors, terminal handling, congestion, and peak-season charges. Spot rates swing sharply with capacity and demand, which is why shippers run service contracts and index-linked deals to dampen volatility.