Lorry Hire (Gaadi Bhada)
Direct Definition
The gross amount contracted to be paid by a freight broker to a hired market truck owner for a trip.
Detailed Explanation & Statutory Rules
In freight brokerage, lorry hire is divided into two phases: Advance (60-80% paid at loading in cash, fuel slip, or UPI) and Balance (released upon receipt of signed POD minus any transit shortages or diesel slips).
Legal Reference / Act: Carriage Contracts & Motor Vehicles Act.
Practical Indian Freight Example
"Agreed lorry hire is ₹70,000. Broker pays ₹50,000 advance at Jaipur loading point and ₹20,000 balance after safe delivery in Guwahati."
Key Questions & Answers
How is trip profit margin derived from lorry hire?
Trip Profit = Shipper Party Freight Billed − Lorry Hire Paid to Truck Owner.
Other Useful Transport Terms:
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