# Indexing Freight Rates

*Last updated: 2026-06-24*

> Unlike fixed-rate contracts, freight rate indexing ties the transport price to a pre-agreed reference index and recalibrates it automatically at defined intervals.

Unlike fixed-rate contracts, freight rate indexing ties the transport price to a pre-agreed reference index and recalibrates it automatically at defined intervals. Common benchmarks include diesel or bunker fuel indices and sector-specific cost indices. Shippers gain cost predictability through a known escalation mechanism; carriers and forwarders can recover increases in fuel, labour, or toll costs without renegotiating each contract individually. Indexation clauses are particularly prevalent in multi-year logistics agreements and on markets exposed to significant cost volatility. The choice of reference index is critical: a poorly matched index can systematically disadvantage one of the contracting parties.

**Source:** [https://www.freightos.com/freight-resources/index-linked-freight-rates/](https://www.freightos.com/freight-resources/index-linked-freight-rates/)

## Quick Facts

| Property | Value |
|---|---|
| Term | Indexing Freight Rates |
| Language | EN |
| Word count | 96 |
| Last updated | 2026-06-24 |
| Source | https://www.freightos.com/freight-resources/index-linked-freight-rates/ |

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