Xeneta has introduced an index-linked contract (ILC) simulator to support shippers in managing ocean freight rate volatility.
The simulator, now available within the Xeneta platform, allows users to compare traditional fixed-rate contracts with index-linked alternatives using either sample corridor data or their own historical container freight rates.
“Market volatility is causing contracts and supplier relationships to break down, bringing the inefficiencies of traditional RFQ tender processes into sharper focus,” said Fabio Brocca, Xeneta Chief Product Officer.
“Shippers came to Xeneta asking for help and I am proud to be leading the charge towards a better way to buy and sell freight by launching this simulator and opening eyes to the benefits of index-linked contracts.”
The Xeneta platform draws on over 600 million contracted rates from shippers and freight forwarders in performing its calculations, covering both long- and short-term markets.
