A contract rate is a pre-negotiated rate that is agreed upon between a carrier or logistics company and a customer. These rates are usually based on a long-term agreement or contract, which outlines the terms and conditions of the service, such as the type of cargo, the frequency of shipments, and the routes that will be used. The contract rate is typically lower than regular or ad-hoc rates, as the carrier or logistics company is able to plan and utilize resources more efficiently when they have a steady and predictable flow of business. These rates are usually available for business customers who have a regular or high volume of shipments, and the rate will vary depending on the carrier or logistics company you are working with.