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A Transportation Agreement sets out the terms between companies moving goods and their shipping partners in Indonesia. It covers essential details like delivery schedules, cargo handling requirements, and payment terms while following key regulations under Indonesia's Law No. 22/2009 on Traffic and Road Transport.

These agreements protect both parties by clearly defining liability for cargo damage, insurance requirements, and service standards. For cross-province shipping, they must align with Ministry of Transportation guidelines and include specific provisions for different transport modes - road, sea, or air. Most Indonesian businesses use these contracts to maintain consistent supply chain operations and ensure regulatory compliance.

Use a Transportation Agreement when moving goods regularly between locations in Indonesia, especially across provincial borders or through multiple shipping modes. This becomes essential for businesses shipping high-value items, temperature-sensitive products, or time-critical deliveries that need precise handling and delivery schedules.

Many companies implement these agreements when scaling up their distribution networks, entering new markets, or working with new logistics partners. The agreement becomes particularly important when dealing with specialized cargo requiring specific permits under Indonesian transport regulations, or when coordinating complex multi-party shipping arrangements involving warehousing and customs clearance.

• Transportation Service Agreement: Standard framework for ongoing transport services, ideal for regular business operations
• Broker Contract Carrier Agreement: Specialized agreement for logistics brokers managing multiple carriers
• Shipper And Carrier Contract: Direct agreement between goods owners and transport providers
• Transportation Services Contract: Project-specific transport arrangements with detailed service levels
• Contract Carrier Agreement: Focuses on dedicated carrier services with exclusive arrangements

• Shipping Companies: National and regional transport providers who operate trucks, vessels, or aircraft across Indonesia's provinces
• Manufacturing Businesses: Companies needing reliable transport for raw materials and finished products across the archipelago
• Logistics Brokers: Third-party professionals who coordinate between shippers and carriers, especially for complex multi-modal routes
• Legal Teams: In-house counsel and external lawyers who draft and review Transportation Agreements for regulatory compliance
• Operations Managers: Staff responsible for implementing and monitoring transport service performance and documentation
• Insurance Providers: Companies offering cargo and liability coverage required under Indonesian transport regulations

• Service Details: List specific routes, cargo types, delivery schedules, and handling requirements
• Compliance Check: Gather permits required under Indonesian transport regulations for your cargo and routes
• Party Information: Collect complete legal names, registration numbers, and authorized signatories of all involved parties
• Risk Assessment: Document insurance requirements, liability limits, and cargo value declarations
• Operational Plan: Define loading points, delivery locations, tracking methods, and documentation procedures
• Payment Terms: Specify rates, payment schedules, and any volume-based pricing structures
• Quality Metrics: Set clear performance standards, including delivery times and handling specifications

• Party Details: Full legal names, addresses, and registration numbers of carrier and shipper
• Service Scope: Detailed description of transport services, routes, and cargo specifications
• Regulatory Compliance: References to Law No. 22/2009 and relevant Ministry of Transportation regulations
• Liability Terms: Clear allocation of risks, insurance requirements, and damage compensation limits
• Payment Structure: Rates, payment schedule, and penalties for late payment
• Performance Standards: Delivery timeframes, quality metrics, and service level requirements
• Dispute Resolution: Choice of Indonesian law, jurisdiction, and dispute settlement procedures
• Force Majeure: Provisions for handling unforeseen events affecting service delivery

A Transportation Agreement differs significantly from a Broker Agreement in several key aspects, though both play important roles in Indonesia's logistics sector.

• Scope of Services: Transportation Agreements directly cover the physical movement of goods, while Broker Agreements focus on arranging and coordinating transport services without actually performing them
• Liability Structure: Transportation providers assume direct responsibility for cargo safety and delivery, whereas brokers primarily bear liability for proper carrier selection and coordination
• Regulatory Requirements: Transportation Agreements must comply with specific transport safety and licensing regulations under Law No. 22/2009, while Broker Agreements focus more on commercial intermediary obligations
• Payment Terms: Transportation Agreements typically include direct service fees, while Broker Agreements usually involve commission structures and markup arrangements
• Operational Control: Transportation providers maintain direct control over vehicles and routes, while brokers coordinate between multiple parties without direct operational involvement