Key account agreement

A key account agreement is a contract between a carrier and a strategic, high-volume shipper that fixes rates, service commitments, and volume terms over a defined period. The shipper commits a minimum cargo volume in exchange for negotiated rates below the published tariff and assured space, while the carrier gains predictable demand to plan capacity. In US trades such arrangements take the legal form of a service contract filed with the Federal Maritime Commission. Key account agreements sit with the carrier’s named-account or major-account program, where dedicated commercial staff manage the relationship rather than relying on spot quotations.