Interline

Definition

Interline refers to the collaboration between two or more transportation carriers to move a shipment across different segments of its journey. This partnership enables seamless transport when a single carrier cannot handle the entire route due to geographical or logistical constraints.

Detailed Explanation

Interline agreements are common in the transportation industry, particularly in sectors like rail, air, and trucking. These agreements allow carriers to transfer shipments between one another, ensuring efficient delivery over long distances or complex routes.

For example, in rail transport, one railway company might handle a shipment for a portion of the route, and then transfer it to another company for the final leg of the journey. Similarly, in air transport, an airline may partner with another to carry passengers or cargo to destinations outside its network.

The interline process ensures:

  • Efficiency: Goods are transported seamlessly between carriers without requiring separate contracts for each leg.
  • Cost-Effectiveness: Sharing responsibilities helps carriers optimize resources and reduce costs.
  • Network Expansion: Carriers can offer services to regions they don’t directly serve by leveraging their partner networks.

Examples

  • Air Freight: A shipment from New York to a remote destination in Asia might require two airlines to work together. One airline carries the cargo to a major hub, and the second completes the delivery.
  • Trucking: A long-haul truck company transfers cargo to a regional carrier for delivery to a smaller town.
  • Rail Transport: A freight train crosses borders by switching carriers at an interline terminal, ensuring uninterrupted transport.

Related Terms and Concepts:

Bill of Lading, Code Share, Intermodal Transportation, Transfer, Transit

Frequently asked questions about Interline

What is the purpose of interline agreements?
Interline agreements ensure seamless transport of goods between carriers, allowing for efficient delivery over long or complex routes.

How does interlining differ from code-sharing?
While both involve cooperation between airlines, interlining refers to the logistical aspect of transferring passengers or cargo. In contrast, code-sharing is a marketing arrangement where two airlines share the same flight, each using its own flight number.

Do all airlines have interline agreements?
Not necessarily. While many major airlines have extensive interline networks, some low-cost carriers might not participate in interline agreements to keep their operations simple and costs low.

Is interlining only for airlines?
While commonly associated with airlines, interlining can also apply to other modes of transportation, like rail, shipping, or trucking, especially in multimodal transportation scenarios.

What industries rely on interline services?
Industries such as e-commerce, manufacturing, and retail heavily depend on interline logistics for timely and efficient shipping.

How does interline benefit carriers and customers?
Interline enables carriers to extend their service reach while providing customers with a seamless and cost-effective shipping experience.

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