Tender

What is Tender?

A tender is a formal invitation to carriers to bid for a defined transport assignment – often a year's volume on many lanes.

Also called: RFQ, bid, request for quotation

The shipper sends material with lanes, volumes and requirements plus a rate sheet that carriers complete by a fixed deadline. The bids are then compared and the business awarded to one or more carriers.

Public authorities must in many cases follow procurement law. Private companies use tenders voluntarily to obtain comparable prices.

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