General Rate Increase (GRI)
A General Rate Increase (GRI) is a surcharge applied by carriers, usually ocean carriers, to adjust base freight rates when operating costs rise or market conditions shift.
It helps carriers respond to higher fuel prices, port fees, equipment shortages, congestion, or seasonal demand spikes. GRIs are often announced in advance and applied across specific trade lanes, ensuring carriers can maintain service quality despite changing cost pressures.
For shippers, a GRI affects freight budgeting and rate planning. Even if a contract or spot rate is in place, the GRI may be added to the final freight cost during the affected period. Forwarders and importers track GRI announcements closely because they influence shipping decisions, route planning, and cargo timing. Understanding how GRIs work helps businesses anticipate cost fluctuations and negotiate more effectively with carriers.
Frequently Asked Questions about General Rate Increase (GRI)
Clear answers to the most common questions people have when learning about General Rate Increase (GRI).
Carriers use GRIs to offset rising operational costs caused by fuel price changes, port congestion, equipment shortages, or shifting market conditions.
They can occur monthly or quarterly, depending on market volatility, especially on high-demand or capacity-constrained trade lanes.
Not always. However, long-term contracts, fixed-rate agreements, or booking cargo before the GRI effective date can sometimes reduce exposure to the surcharge.