Pricing & Surcharges
General Rate Increase (GRI)
A carrier-announced across-the-board increase to freight rates on a trade lane, applied from a stated effective date.
In depth
Carriers announce GRIs to reset rate levels on a lane, typically with a few weeks' notice and often timed to demand peaks. Whether one sticks depends entirely on the balance of supply and demand — in a weak market a GRI may be withdrawn or eroded within days, while in a tight market it holds in full and is followed by another. Shippers on spot rates are exposed directly; contract shippers are usually insulated for the contract term, which is a large part of contracting's value.
Key points
- Across-the-board rate increase announced by lane
- Usually a few weeks' notice, often timed to demand peaks
- Holds or erodes depending on market conditions
- Contract shippers are generally protected for the contract term