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A Joint Rate is a transportation rate agreed upon by two or more carriers to move freight over a shared route, combining their individual rates into a single, unified cost for the shipper.
Joint Rates help businesses reduce shipping costs by consolidating services from multiple carriers into one rate. These rates are commonly used for shipments that need to be handled by different carriers over a multi-leg journey. By using a Joint Rate, companies can simplify logistics, make cost-effective shipping decisions, and ensure smoother transit across carrier networks.
Joint Rates work by combining the rates from different carriers into a single, unified rate for a shipment that involves multiple carriers or transportation methods. This approach benefits your business by making multi-leg shipments more affordable and simplifying the administrative process.
Instead of handling multiple invoices, you pay a single combined rate for the entire shipment, saving you time and money. By working with a 3PL, you can leverage Joint Rates to streamline your logistics and reduce the burden of managing complex shipping arrangements.
Buske Logistics is a Top 40 3PL with over 35 warehouses across North America, specializing in warehousing, transportation, and value-added services. We provide tailored logistics solutions serving major Fortune 500 companies.
Joint Rates are vital in logistics because they allow businesses to reduce the complexity and cost of shipping freight through multiple carriers. By combining individual carrier rates, shippers can optimize their shipping processes while saving on transportation expenses.
In 3PL logistics and warehousing, Joint Rates can help businesses manage multi-leg shipments more efficiently, offering a cost-effective solution for long-distance deliveries or shipments requiring specialized handling. For example, a company using a Joint Rate for a shipment from one state to another may combine local carrier rates for initial and final legs, reducing costs and simplifying the process.
