FreightAmigo Academy – Shipping Terms

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There are currently 710 terms in this directory
Air Waybill (AWB)
An air waybill (AWB) is a non-negotiable document issued by a carrier when goods are transported by air. An air waybill acts as delivery instructions, a contract of carriage, and a cargo receipt for airfreight.

Airline Terminal Fee
An airline terminal fee is charged for all air shipments as a fee for handling the cargo.

Anti-dumping Duties (AD)
Anti-dumping duties are assessed to mitigate the impact of dumping, which is when foreign manufacturers sell products in the United States at a lower cost than their fair value. Anti-dumping duties are priced to make up for the gap between foreign manufacturer pricing and fair market value. If applicable, anti-dumping duties may be anywhere from 0% to 550% of the commercial invoice value.

Automated Export System (AES)
The Automated Export System (AES) is the automated system for filing U.S. Shipper’s Export Declarations. AES authorizes the electronic filing of export and manifest information directly to U.S. Customs and Border Protection. Due to electronic filing, AES has the capability to edit collected information immediately and correct any detected errors at the time of filing. AES is a nationwide system operational at all ports and for all methods of transportation. The system was designed to assure the compliance and enforcement of laws relating to exports, improving trade statistics, reducing duplicate reporting, and improving customer service.

Automated Manifest System (AMS)
The Automated Manifest System (AMS) is an electronic information transmission system operated by U.S. Customs and Border Protection (CBP). Air and ocean shipments into the U.S. require an AMS filing with detailed information about the cargo, as a security measure. The AMS is used for electronic air manifests, but AMS is often used as an umbrella term to refer to all electronic information transmission. ACE (Automated Commercial Environment) is used for electronic truck, rail, and sea manifests. An AMS fee will be charged per BOL/AWB. Either the client or supplier must cover the fee.

BAF (Bunker Adjustment Factor)
BAF represents the floating price level of fuel in ocean freight shipping and is typically updated on a quarterly basis. Low sulphur surcharges originate from an International Maritime Organization (IMO) initiative to reduce the amount of sulfuric fuel emissions burned by ocean vessels. The BAF is charged by ocean carriers per container to protect them against fuel price fluctuation, and varies among trade lanes.

Bill of Lading (BOL or B/L)
A bill of lading (BOL or B/L) is issued to a shipper detailing the method and path of a shipment. It is a contract for the movement of the goods, and serves as a receipt for the cargo and can act as proof of ownership of the goods being transported. Ocean shipments use original or express bills of lading. Air shipments use air waybills.

Binding Origin Information
BOI is an EU wide system. This system allows you to obtain a decision from an individual EU Member State on the origin of your goods. These decisions are legally binding throughout the EU. It is not mandatory for you to obtain a BOI. However, if you wish to have the origin of your goods clarified you can use the BOI system.

Blank Sailing
A blank sailing (a void sailing) is a sailing that has been canceled by the carrier. A blank sailing could mean a vessel is skipping one port, or that the entire string is canceled. A string is a set of ports served weekly by a carrier. For example, one string might be: Shanghai > Ningbo > Los Angeles > Oakland > Shanghai. The string moves in a circular direction but always along the same schedule of ports with a fixed departure day of the week set for each port.

Blind Shipment
A blind shipment is when the consignee involved in a shipment is unaware of who the shipper is. This type of shipment is requested by distributors who want their goods shipped directly to the retailer to avoid going through additional distribution channels. This helps conceal if a product was shipped from a third-party vendor. The third party vendor’s information is removed from the shipping label and replaced with the seller’s information. Therefore, the customer is “blind” to who fulfilled the order.

Bobtail Fee
A bobtail fee is charged by the trucker to drop off an FCL container at the warehouse and pick it up after it has been unloaded, as opposed to a live unload. A bobtail fee is also called a drop fee. A bobtail is a truck (tractor) that’s traveling without a trailer.

Bonded Goods
Goods where the customs duty has not yet been paid. These goods are required to be stored in bonded warehouses—that is, warehouses under the supervision of customs authorities, until the customs duty has been paid on them.

Bonded Warehouse
A warehouse, building, or otherwise secured warehouse that is customs-controlled where goods for which the duty has not been paid can be stored. Products stored in bonded warehouses are referred to as bonded goods.

Break Bulk
Break bulk is a shipping term for cargo that does not fit in a standard shipping container or cargo bin. Break bulk cargo is instead transported individually in bags, boxes, crates, drums, or barrels. Shipping break bulk takes more time than shipping in standardized containers because each item must be loaded and unloaded individually using special equipment. Break bulk is different from bulk cargo, which is free flowing, liquid, or dry items shipped loosely and unpackaged. Examples of breakbulk cargo include the following: -Construction equipment -Manufacturing materials -Oversized vehicles -Boats -Ship propellers -Generators -Large engines

BTI | Binding Tariff Information
A Binding Tariff Information (BTI) decision is a written tariff classification of your goods issued by the Taxation and Customs Union of the EU. A BTI is generally valid for 3 years and is legally binding on all EU Customs administrations but only to the legal entity for which it was issued. A BTI can provide assurance that your goods have the correct commodity code or Harmonized tariff code. This is important, as different classifications have different tariffs and you want to make sure you apply the correct tariff. BTIs can also provide guidance on the classification of similar items.

Bulk Cargo
Bulk cargo is a shipping term for items that are shipped loosely and unpackaged as opposed to being shipped in packages or containers. An item may be classified as bulk cargo if it is not containerized and easily secured on a vessel. Items such as oil, grain, or coal are all examples of bulk cargo. Bulk cargo is classified as either free flowing, a liquid, or a dry item. This type of cargo is typically dropped or poured as a liquid or solid into a merchant ship, railway car, or tanker truck. Items may also be referred to as break bulk cargo, which is cargo that is packaged but non-containerized. Some examples of break bulk include drummed fuel, bagged cement, vehicles, and large parts to build an airplane. Items described as break bulk cargo can be transported in bags, barrels, and pallets.

Trade or transport in coastal waters or between two ports/points within a country especially by parties other than domestic carriers. Many countries, such as the USA, have laws requiring domestic-owned vessels to perform domestic interport water transportation services.

CAIN (Customs Assigned Importer Number)
A CAIN is a Customs Assigned Importer Number. If an importer is importing into the U.S. as a foreign importer of record and they do not have an EIN Foreign importers of record importing into the U.S. without an EIN will need a CAIN.

Cargo Bays
Doors in a warehouse where vehicles back up to load/unload cargo.

Cargo Declaration Amendment Fee (CAM)
A fee that covers re-submission of necessary information required by Customs due to an amendment request that is made by the customer after the carrier has submitted the documentation to local customs authorities. Import countries where this is applicable: - European Union - Norway - Switzerland - United States - Canada - Puerto Rico - Mexico

Cargo Insurance
Cargo insurance is coverage for your shipment from pickup to delivery, across multiple carriers and modes. It covers the purchase value (not retail value) of your goods, as well as freight and other costs associated with the cargo.

Cargo Manifest
(Shipment) A list of a ship’s cargo or passengers, but without a listing of charges.

Cargo Ready Date (CRD)
The cargo ready date (CRD) is the day the cargo is expected to be available at the supplier or other named location (a warehouse, an airport terminal, or a container yard).

Carriage of Goods By Sea Act (COGSA)
A United States statute governing the rights and responsibilities between shippers of cargo and ship-owners regarding ocean shipments to and from the United States.

A freight carrier is the company or individual that transports the cargo from one location to another. A carrier may be a VOCC (Vessel Operating Common Carrier) or an NVOCC (Non-Vessel Operating Common Carrier). “Ocean carrier” generally refers to VOCCs, who own and operate ocean vessels.

Carrier bill of Lading (CBL)
Bill issued by the carrierline

Carrier's Certificate
A release order used to advise customs of the details of the shipment, its ownership, port of lading, etc. By means of this document the carrier certifies that the firm or individual named in the certificate is the owner or consignee of the cargo. A U.S. Customs form used in lieu of a bill of lading.

Cartage is the transportation of cargo to and from a CFS via truck within a local area. If the destination is not local, an LTL trucker will deliver the shipment to its final destination.

Cash flow return on investment (CFROI)
Return on financial investment measured in cash flow

Cash on Delivery (COD)
Cash on delivery (COD), sometimes called collect on delivery, is the sale of goods by mail order where payment is made on delivery rather than in advance. If the goods are not paid for, they are returned to the retailer/Fulfilment Centre

CBM (Cubic Meter)
CBM (cubic meter) is a measurement of volume one meter wide by one meter long by one meter high. CBM is used to calculate chargeable weight.

CBP (Customs and Border Protection)
CBP will examine a shipment's import documents and select shipments for examination. CBP (U.S. Customs and Border Protection) is an agency of the United States Department of Homeland Security, formed in 2003, that regulates international travel and trade into the U.S. CBP examines import paperwork like commercial invoices and packing lists, collects import duties, and performs customs exams.

CDS | Customs Declaration Service
CDS - Customs Declaration Service (CDS) is the UK government’s new electronic system for handling customs declaration processes.

Container slot where container fits into place on vessel.

Certificate of free sales (CFS)
A document issued by a government entity on behalf of an exporter stating that specified goods comply with the laws of the exporting country for distribution in that country’s commerce. A certificate of free sale provides assurance to the country of import that the imported goods meet the country of export state, provincial and national requirements for sale. Certificates of free sale are typically issued for food products, dietary supplements, drugs, cosmetics and medical devices.

Certificate of Origin
Document issued by a certifying authority stating the country of origin. A certificate origin can be the key document in requesting a special reduced tariff rate for imports from countries listed in programs such as GSP (Generalized System of Preferences) or NAFTA (North American Free Trade Agreement).

CES (Centralized Examination Station)
A CES (Centralized Examination Station) is a privately operated facility designated by CBP for physical examination where imported or exported cargo is made available for a Customs inspection. Shipments selected for a Tail Gate or Intensive exam will be trucked to a CES. The importer is responsible for all costs associated with a Customs exam, including trucking to and from the CES, the CES fee, storage, etc.

CFS (Container Freight Station)
A container freight station is a warehouse that specializes in the consolidation and deconsolidation of cargo. A CFS will charge a fee.

CFS (Container Freight Station) Cut-off
A CFS cut-off is the date by which an LCL (Less than Container Load) shipment needs to be checked in to a CFS (Container Freight Station) to meet its scheduled sailing. LCL shipments will be consolidated into a container at a CFS before being loaded onto the vessel. If an LCL shipment is not delivered to the CFS by the cut-off date, the shipment will not meet its scheduled sailing. The cut-off date is usually five days before the scheduled sailing, but this varies per CFS. LCL shipments need to be consolidated in a container and delivered to the CY before the CY cut-off date.

CFS (Container Freight Station) Fee
A container freight station fee is assessed for LCL shipments. After arriving at the destination port, LCL cargo is taken to a container freight station (CFS) to be deconsolidated; after that, it’s loaded into a truck and transported to the final destination. The CFS charges a fee for this deconsolidation service, based on the volume of the cargo. If you are shipping LCL and your incoterms include origin charges (e.g., Ex Works), you will also see a container freight station fee under Origin Charges on your FreightAmigo quote/invoice. This fee covers the CFS service at the point of origin, when the cargo is consolidated to prepare for shipment.

Change of Destination (COD )
Customer initiated request for a change of the port of discharge. COD happens when a shipment has been received and gated-in at origin port of loading but prior to arrival at final port of discharge.

A chassis is a special trailer or undercarriage used to transport ocean containers over the road. A chassis will be necessary for a shipment traveling by truck and will incur a chassis fee. A tri-axle chassis will be used for overweight FCL shipments traveling by truck. Generally, a tri-axle chassis is required for a 20’ container above 36,000 lbs, or a 40’ container above 44,000 lbs.

Chassis Fee
A chassis fee is assessed if your shipment is traveling by truck (e.g., after your cargo arrives at an ocean port, if it’s being transported via truck to a warehouse). For FCL shipments, this is a flat fee which varies by trucker. For LCL shipments, the fee is calculated based on the volume of the cargo.

Chassis Pool
A chassis pool is a location where chassis are stored and available for rental. There are two types of chassis pools: Neutral Chassis Pool A neutral chassis pool consists of third-party owned chassis that are available to ocean carriers and truckers for rental. Co-op Chassis Pool A co-op chassis pool consists of ocean carrier–owned chassis that are pooled together to reduce costs.

Chassis Split
A chassis split is when the container is not located in the same place as the chassis. In this case, the trucking company may assess a chassis split fee to cover the costs of bringing the chassis to the container location.

CHED | Common Health Entry Document
CHED - Common Health Entry Document - CHED’s are the common health entry documents for consignments of plants, plant products, foods and animal products. These documents are required to clear the types of goods stated above and are submitted via TRACES.

CHIEF - Customs Handling of Import and Export Freight The UK Customs Handling of Import and Export Freight (CHIEF) system records the movement of goods by land, air and sea. It allows importers, exporters and freight forwarders to complete customs formalities electronically and automatically checks for entry errors.

Chinese New Year (CNY)
Chinese New Year (CNY), also known as the Lunar New Year or Spring Festival, is the biggest Chinese celebration of the year. Factories will be closed for the entire week of CNY, because most factory workers will travel a long way to spend the holiday with their families, so there will be additional closings, delays, and disruptions occurring in the weeks before and after CNY. Factories are closed and/or operating at diminished capacity for at least 4 weeks.

CITES | Convention on International Trade in Endangered Species of Wild Fauna and Flora
CITES is an international agreement between governments. Its aim is to ensure that international trade in specimens of wild animals and plants does not threaten the survival of the species. If you want to import any species of animal or plant that falls under CITES you will require a special permit.

Claim Tracer
Request for advice concerning the status of a claim.

Clean On Board
A clause inserted in the bill of lading by some shipping/transportation companies, stating that they have not noted or are not familiar with any irregularities or discrepancies in the packing or in the general condition of any part of the goods or its description.

Clean Truck Fee
A clean truck fee is assessed by the ports of Los Angeles and Long Beach as part of the Clear Air Action Plan in an effort to reduce air pollution.

Client Access Licence (CAL)
A software licence distributed by software companies to allow clients to connect to its server software and use the software's services.

A co-loader is a third party who consolidates the cargo of two or more LCL shipments in a container before handing it over to an ocean carrier.

Codabar is a variable length barcode that can encode 16 data characters including 0-9, plus the symbols - $ ; / . +. Codabar is used primarily for numeric data.

Code 128
Code 128 is a variable length barcode capable of encoding the entire 128 character ASCII character set. Code 128 allows three subsets, A, B and C. Code 128A allows all standard upper case alpha-numeric keyboard characters plus control characters. Code 128B allows all standard upper case alpha-numeric keyboard characters and lower case alpha characters. Code 128C includes a set of 100 digit pairs from 00 to 99 inclusive. This allows double density numeric digits, two digits per barcoded character. Furthermore, Code 128 Auto automatically selects the subset that will produce the smallest barcode.

Code 3 of 9
This barcode is an alphanumeric barcode allowing upper case letters and numbers. Each character consists of nine elements. 3 of the nine elements are wide, hence the name "3 of 9". Extended 3 of 9 allows the full 128 ASCII character set to be encoded by printing two barcode characters for each text character.

Code 93
Code 93 is an alpha-numeric barcode allowing upper case letters and numbers. BarCode/VBX will convert lower case letters to upper case before encoding them. Extended Code 93 allows the full 128 character ASCII character set to be encoded.

Collapsible Flat Rack Container (COFL)
Container type

Combined Transport Bill of Lading
Provides a combined transport by at least two different modes of transportation from a place from which the goods are taken to a place designated for delivery.

Commerce Control List (CCL)
The Commerce Control List (CCL) is a list of categories and product groups used to help determine if an export license is needed for U.S. exports.

Commercial Invoice
A commercial invoice is a document used for customs declaration that identifies the value and quantity of the shipped products.

A specification of goods/product types, e.g. toys, electronics or welding machinery.

Common Carrier
A common carrier is a company that offers service to the general public and accepts cargo subject to its available capacity. Common carriers charge a specified rate and are responsible for any loss of goods during transport. Common carriers differ from private carriers in that private carriers may refuse the right to sell their services at their own discretion and only transport their own goods. Common carriers are required to treat all customers equally.

Common Point
Point reached by two or more transportation lines.

Common Tariff
Tariff published by or for the account of two or more transportation lines as issuing carriers.

Communications & Exceptions (C&E)
A web application developed in order to facilitate direct online communication between Damco origins offices and our clients. An exception management tool where each exception is captured/reported as it occurs.

Company Guarantee
A letter of guarantee from a company indemnifying the carrier of responsibility associated with the release of goods in lieu of a bill of lading.

Compliance Assessment
A compliance assessment is an analysis or audit of a company’s customs transactions.

Defined in the 1984 Shipping Act as: ... an association of ocean common carriers permitted, pursuant to an approved or effective agreement, to engage in concerted activity and to utilise a common tariff; but the term does not include a joint service, consortium, pooling, sailing or transshipment arrangement. It is basically a group of steamship companies offering equitable freight rates, standardised shipping practices and regularly scheduled services between designated ports. These arrangements are given anti-trust immunity as authorised by the 1984 Shipping Act.

Congestion Surcharge (CON)
A fee imposed by carriers to customers for shipments through heavily congested ports. The aim is to encourage customers to use alternative ports to ease congestion.

The consignee will be named on the bill of lading, and is the party to whom ownership of the goods will transfer at the cargo's destination. A consignee is the party to whom ownership of the goods will transfer when the cargo is released at destination. The ultimate consignee is the party who will be the final recipient of the a shipment. In many cases the consignee is the same party as the ultimate consignee. A U.S. business will need to act as the ultimate consignee for a foreign importer.

The individual, company or entity that ships goods, or gives goods to another for care. The consignor is usually the exporter or his agent.

Consolidation is the act of combining LCL shipments into a truck or container.

Consular Invoice
Document required by some foreign countries, showing exact information as to consignor, consignee, value description etc. for a shipment.

A container is a steel receptacle used to transport ocean and rail shipments. The modern container was invented in the 1950s by Malcolm P. McLean, who owned a steamship company and wanted to be able to lift a container from a vehicle directly on to a ship without first having to unload its contents. The incoterm FCA should be used for containerized shipments, instead of the pre-container era incoterm FOB. Common container sizes include 20,’ 40,’ 40’ High Cube, and 45’ High Cube.

Container Cleaning Fee (CCL)
This fee covers the additional costs for extra or special cleaning and is applicable when the container does not meet the standard cleanliness criteria (inside and outside) upon empty return from the customer. This service of additional cleaning of the container may also be triggered by a customer request. This charge is not applicable to shipper-owned containers.

Container Depot / Container Yard (CD/CY)
A storage area, where shippers and consignees may pick up or drop off empty containers. A container depot may not be owned or controlled by a shipper or its agent and may not receive loaded containers.

Container Freight Station (CFS)
A facility where freight shipments are consolidated or de-consolidated and staged between transport legs. A CFS is typically located in proximity to an ocean, port, or airport, where cargo containers are transported to and from.

Container Load Plan (CLP)
A report showing the orders planned to be loaded per container.

Container Load Result (CLR)
A report showing the actual orders loaded in a container.

Container on Flat Car (COFC)
Rail service whereby a container is loaded onto a flat car without chassis, bogies or wheels.

Container Seals
Container seals, or seals for short, are 'one-time door locks' used to secure goods containers. Each seal-lock can be used only once. Seals are numbered for record and security purposes, minimize the risk of unauthorized access and manipulation to the container contents. After a container is stuffed, the seal must be applied and the number documented. Heavy-duty container seals are designed to withstand natural elements and last the entire voyage of the container until it is removed by the customer at the destination. Unbroken seal can be a proof of integrity.

Container Service Charge
The charge assessed by the terminal for the positioning of containers within the terminal/yard.

Container Stuffing List (CSL)
List showing how cargo is stowed in each container.

Container Yard (CY)
A container yard (CY) is a physical facility from which ocean carriers accept and deliver ocean containers, as well as issue and receive back empty containers. Ocean sailings typically have a CY cut-off date by which the container must be delivered in order to be loaded onto the scheduled sailing.

Continuous Customs Bond
A customs bond is a form of insurance to protect the U.S. Treasury in the event an importer fails to pay the duties, taxes, and fines or fees incurred on their imports. Customs bonds are purchased from government-licensed surety companies (financial entities that specialize in these types of bonds).

Continuous Flow Distribution (CFD)
The streamline pull of products in response to customer requirements while minimising the cost of distribution.

Continuous Replenishment Program (CRP)
A program that triggers the manufacturing and movement of a product through the supply chain when the identical product is purchased by an end user.

Contract Carrier
For-hire interstate operators which offer transportation services to certain shippers under contracts.

Contract Logistics (CL)
Mainly a concept of warehousing or other larger contract based agreements.

Contract of Carriage
A contract of carriage is a negotiated contract not subject to a tariff that is between the carrier and shipper for the transportation of cargo. The written contract between a shipper and carrier sets forth the terms, conditions, and obligations of each party with respect to the carriage of the particular goods. Contracted carriers may choose if and when to provide service. Common types of contracts of carriage include the following: -Bill of Lading -Sea waybill -Air waybill -Charter party

Contribution Margin (CM)
1. CM1 = Revenue minus variable & fixed costs 2. CM2 = Revenue minus variable costs

A unit cost saving that was not included in the original budget

Core Competency
A company's primary function considered essential to its success.

Cost and Freight (CFR/CNF/C&F)
A legal term used in contracts for international trade that specifies that the seller of the goods is required to arrange for the carriage of goods by sea to a port of destination and provide the buyer with the documents necessary to obtain the items from the carrier.

Cost of Poor Quality (COPQ)
The costs incurred due to re-work caused by errors. Also includes the cost of lost opportunity due to lack of resources.

Cost, Assurance and Freight (CAF)
Also known as Currency Adjustment Factor. Used to adjust ocean freight due to currency fluctuations.

Countervailing Duties
Countervailing duties (CVD) are duties intended to protect the U.S. manufacturing industry from foreign goods made cheap by subsidies and tax benefits from foreign governments.

Country of Origin
This is the location where your goods are manufactured or produced. While the country of origin might be straightforward in the production of a simple product, rules of origin are used to determine the country of origin for trade purposes, and differ from country to country.

Critical Success Factor (CSF)
Something that must happen if an IT service/process/plan/project or other activity is to succeed.

Critical to Customer (CTC)
The critical customer requirements for a project.

Critical to Quality (CTQ)
The internal critical quality parameters that relate to what's important to the quality of the process or service to ensure that the product/process or service meets the wants and needs of the customer.

Cross Trade (CT)
Shipment from one country to another where business is not controlled

Cross-border E-Commerce
Cross-border E-Commerce occurs whenever a product is purchased by a customer outside of the merchant's home country

Cross-docking is a practice in logistics of unloading materials from a manufacturer or mode of transportation directly to the customer or another mode of transportation, with little or no storage in between.

CTPAT is the Customs Trade Partnership Against Terrorism. It's a security program of U.S. Customs and Border Protection, aimed at strengthening the security of international supply chains. Through CTPAT, CBP works with entities such as freight forwarders, importers, customs brokers, and manufacturers to implement certain security procedures and identify best practices.

Currency Adjustment Factor (CAF)
This is a compensatory cost-sharing measure to remove the carrier's risks associated with currency fluctuations. An overview of CAF calculations can be found here. The charge will apply to all bookings that are taken on these trade lanes. It is applicable primarily, but not limited, to European trades, e.g.: Europe - Far East Europe - Middle East/Red Sea/Indian Sub-Continent US to/from Europe

The party FreightAmigo is contracted with and paying us for our services

Customer Satisfaction Survey (CSS)
Customer Satisfaction Surveys performed throughout the years to continuously measure how we are performing and how satisfied our customers are with the services we provide. As such, we measure the extent to which – according to our customers – we understand their needs. Customers tell us furthermore how responsive, proactive, cost-competitive, innovative, sustainable, accurate and timely we are, how we handle complaints, how our IT systems perform, what the quality level is of the services we provide, if the scope of our services is broad enough and more.

Customs Bond
Required for goods valued at over $2,500 being imported into the United States, this document is a legal agreement that outlines and verifies that all required importing fees, duties, and taxes have been paid. This is also called an import bond.

Customs Broker
An agent—in some countries powered by a governmental customs agency—who assists importers and exporters in preparing documents for clearing goods through customs.

Customs Clearance
Customs clearance is the governmental authorization necessary for a good to enter or exit the borders of a specific country.

Customs Entries
Consumption Entry Form required by U.S. Customs for importing goods into the United States. The form contains information as to the origin of the cargo, a description of the merchandise and estimated duties applicable to the particular commodity. Estimated duties must be paid at the time the entry is filled. Immediate Delivery Entry is used to expedite clearance of cargo. It allows up to ten days for the payment of estimated duty and processing of the consumption entry. In addition, it permits the delivery of the cargo prior to payment of the estimated duty and then allows for the subsequent filing of the consumption entry and duty. Also known as an ID entry. Immediate Transportation Entry allows the cargo to be moved from the pier to an inland destination via a bonded carrier without the payment of duties or finalisation of the entry at the port of arrival. Known as an IT entry. Transportation and Exportation Entry allows goods coming from or going to a third country, such as Canada or Mexico, to enter the United States for the purpose of transshipment. Known as a T&E entry. Vessel Repair Entry is the law known as the "Foreign Vessel Repair Statute". It provides that when any repairs in a foreign country are made on a vessel documented under the laws of the United States, an ad valorem duty of 50% is imposed on the cost of repair, including labour and labour costs, when the vessel arrives in the United States. All equipment, parts or materials purchased, and repairs made outside the United States must be declared on Customs Form 226 (CF-226) and filed at the port of first arrival within 5 working days.

Customs Entry
Customs entry is a declaration of the kind, amount, and value of goods being taken in or out of a country, for purposes of customs clearance.

Customs Exam
Your shipment may be selected for a customs exam upon import into the U.S..

Customs Exam Fee
A customs exam fee is the fee incurred by the importer if a shipment is pulled for a customs exam. Depending on the type of inspection performed, the fee can run from $80 to more than $1,000. The importer accepts liability for any customs fees incurred on shipments brought into the U.S.

Customs House Broker
Independent broker certified by the U.S. Bureau of Customs to act for importers and businessmen in the handling of customs formalities and other details of importing and exporting goods.

Customs Procedure Codes
Customs Procedure Codes - HMRC uses CPCs to identify the reason for the export or import and therefore the relevant customs regime. The CPC is entered on the declaration at the time of import and export.

Customs Trade Partnership Against Terrorist (CTPAT)
A joint US government-business initiative intended to strengthen overall supply chain and border security.

Cut-Off Time
Last possible time when containers/cargoes may be delivered to a ship or designated point.

CY (Container Yard) Cutoff
A CY cutoff date is the date by which a container must be gated-in (checked-in) at the container yard before its scheduled sailing. CY cutoff dates are determined by the carrier, but are typically 2 days before the scheduled sailing.

Cycle Count
Counting inventory by checking a particular location or set of locations and comparing the physical counts with the system-maintained inventory levels.

Cycle Time
The amount of time it takes to complete a business process. For example, the amount of time from when a service is ordered until it is received by the customer.

Cycle Time Reduction
The process of reducing cycle time, cutting costs and improving customer service.

Damco Consolidation Containers (DCC)
LCL product containers where Damco acts as the consolidator/ co-loader on behalf of customers. Damco offers a DCC service from – to key origins/ destinations.

Damco Project Management Methodology (DPMM)
A methodology that explains how to initiate, plan, execute and close projects successfully.

Dangerous Cargo Service
This fee covers the additional costs incurred by the carrier in the movement of Dangerous cargo from or to an inland location. Additional costs consist of licenses, permits, and the carrier has to use specialized vendors with certifications that cost more. This fee will be applicable to dangerous bookings where carrier inland haulage (export or import) has been requested by the customer.

Dangerous Goods (DG)
Substances which can pose a significant risk to health and therefore, require special handling and documentation depending on substance classification, mode and regulatory regime. Rule and guidance for DG shipments by air are produced by ICAO (International Civil Aviation Organization) and IATA (International Air Transport Association), for maritime shipments these regulations are produced by the IMO (International Maritime Organization). The most widely applied regulatory scheme is that for the transportation of dangerous goods. The United Nations Economic and Social Council issues the UN Recommendations on the Transport of Dangerous Goods, which form the basis for most regional, national, and international regulatory schemes. We have experts with DG knowledge and training who should be consulted when developing proposals to customers with DG requirements.

Dangerous Goods Declaration (DGD)
Statement of hazordous goods content issues by shipper

Days Payable Outstanding (DPO)
Efficiency ratio that measures the average number of days a company takes to pay its suppliers.

Days Sales Outstanding (DSO)
Calculation used by a company to estimate their average collection period

Declared Value Coverage
Declared value coverage is a form of cargo damage/loss coverage that raises the carrier’s financial liability so that it matches the declared value of the cargo. Declared value coverage is not cargo insurance. Declared value coverage is limited to the period of time when the cargo is in possession of a single carrier, and it only kicks in if damage or loss occurred due to the carrier’s negligence. It is the responsibility of the shipper to prove that the carrier was negligent.

Deconsolidation is the act of separating out LCL shipments to prepare them for final delivery. LCL shipments are consolidated into a container at origin, and deconsolidated at destination. Consolidation and deconsolidation is done at a CFS.

Deferment Fee
This is the cost for having your freight forwarder/customs broker pay the Duty and VAT to the customs authorities on your behalf, before billing it to you directly. It is often calculated as a percentage of the amount of Duty and VAT paid.

Deferment or Postponed VAT Accounting
A foreign entity can appoint a tax representative in the import country to represent their business with the Tax and Customs Administrations.

Delivered-at-place (DAP)
An international trade term used to describe a deal in which a seller agrees to pay all costs and suffer any potential losses of moving goods sold to a specific location.

1. The physical and legal transfer of a shipment from consignor to carrier and from carrier/ transport agent to consignee. 2. The act of putting property into the legal possession of another, whether involving the actual transfer of the physical control of the object from one to the other or being constructively effected in various other ways.

Delivery Duty Paid (DDP)
A delivery agreement whereby the seller assumes all of the responsibility, risk, and costs associated with transporting goods until the buyer receives or transfers them at the destination port.

Delivery Labor Fee
A delivery labor fee is a fee assessed by the trucker if the trucker has to help unload cargo at the warehouse or other destination.

Delivery Order
A delivery order (DO) is the document that sends to the trucker with the pickup and delivery details of the shipment. The DO includes special instructions, like that the trucker needs to supply a liftgate, or that the trucker will need to do a drop at the delivery location.

Demand Chain
Another name for supply chain, with emphasis on the customer or party controlling demand.

Demurrage is the fee assessed by the terminal if your cargo remains at port after the Last Free Day. How much will I be charged for demurrage? Demurrage is charged per container, per day, until the cargo is picked up. The specific charges will vary depending on the port and terminal, but they can be steep, especially when combined with per diem/detention fees — anywhere from $75 - $200 per container, per day, is typical. Some terminals will increase the daily fee amount after a certain number of days.

The depth of the ship is taken as the distance between the undersides of the deck amid ship to the bottom of the keel.

Destination Interchange Terminal (DIT)
Facility operated by the ocean carrier or his agent at which containers are interchanged with the delivering motor carrier.

Detention, also known as per diem, is a fee charged for the extra days a container is away from port.

Detention Fee - Export
This fee is applicable when the customer holds carrier equipment longer than the agreed amount of free time. Export: Detention days are counted from pick-up empty to gate-in full minus free days. This fee is applicable to all containers that remain in the customer’s possession longer than the agreed free time. Not applicable for shipper owned containers.

Detention Fee - Import
This fee is applicable when the customer holds carrier equipment longer than the agreed free time. Import: Detention days are counted from gate-out full to gate-in empty minus free days.* This fee is applicable to all containers that remain in the customer’s possession longer than the agreed free time.

Detention in Transit Service
The carrier has the ability to hold shipments at transhipment ports until further instructions are received from the customer. This gives the customers the flexibility to delay the cargo arrival, when it assists them in their business. Note: the carrier is unable to hold containers longer than 14 days unless the customer submits a written letter of indemnity to the carrier which states that the carrier will not be liable for any cargo damage not covered by Insurance during the extra detention period. The DIT charge is applicable based on the request by the customer and subject to the carrier’s acceptance.

Devanning is the act of unloading cargo from a container. An FCL shipment will be devanned at a warehouse destination. An LCL (Less than Container Load) will be devanned (or deconsolidated) at a CFS (Container Freight Station) destination.

Amount added or deducted from base rate to create a rate to or from some other point or via another route.

The size of the parcel/shipment

Direct or Indirect Customs Representation
In case of direct representation, a customs agent lodges a declaration in the name of and on behalf of the stakeholder. The stakeholder is the declarant and, as such, responsible for the declaration. In the EU the basis for this kind of representation is Article 18 UCC. In case of indirect representation, a customs agent lodges a declaration in his or her own name but on behalf of a stakeholder. A customs agent who acts as an indirect representative is the declarant and, as such, responsible for the content of the declaration. Indirect representation is particularly intended for situations where the stakeholder is established outside the import country. In that case, he/she will not be able to act as a declarant himself. In the EU the basis for this kind of representation is Article 18 UCC.

Direct to Consumer (D2C)
Customers selling through their webstore (URL) directly to the end Consumer. As part of the omni-channel strategy for most Brands, they want to sell through their own website to help provide a seamless experience to its most loyal as well as new customers

Direktförtullning (DNK)
Swedish customs clearance term

Disbursement Service Fee
A disbursement fee is charged to clients who do not pay duties and taxes directly to customs, or other government authorities, and request that FreightAmigo does so on their behalf.

Discharge Port
Discharge Port is a port where cargo is unloaded from the vessel.

The full range of activities and planning required to move a product from the production line to the end-user.

Distribution Center (DC)
Used interchangeably with Warehouse. A traditional warehouse only stores inventory (typically on a long-term basis), where a distribution center is a facility that briefly stores inventory until orders get fulfilled and then sent to their next or final destination.

Distribution Requirements Planning
A system of determining demand for an inventory at distribution centres, consolidating the demand information backwards, and acting as input to the production and material system.

Intermediary entity between the producer of a product and another entity in the distribution channel or supply chain, such as a retailer, a value-added reseller (VAR) or system integrator (SI). The distributor performs some of the same functions that a wholesaler does but generally takes a more active role

Diversion Charge
Fee for diverting cargo from original intended destination port to a new location.

Dock Receipt
Receipt given for a shipment received or delivered at a pier or dock. When delivery of a foreign shipment is completed, the dock receipt is exchanged for a bill of lading with the transportation line.

Shipping term denoting shipping services from the shipper’s door to the consignee’s door.

Double Blind Shipment
A double blind shipment is when the shipper is unaware of where a shipment will be delivered to and the consignee is unaware of where the shipment is coming from. This is a type of blind shipment in which the shipper sends a shipment without knowing the ultimate destination and the consignee accepts the shipment without knowing the origin location. A reason to ship double blind is to protect the identity of the consignee and the shipper or supplier. Shipping double blind prevents the shipper from obtaining the consignee’s contact information.

Double Stack Car
Rail car capable of carrying two containers stacked on top of each other.

Download request (DLR )
A request to retrieve and verify the data logger information in a Reefer container. This can be done either via Remote Container Management (RCM) or through manual download by reefer technicians in the port. The data-logger information is taken from controller of the container, containing data like temperature settings, supply/return air, humidity etc.

Marine: The depth to which a vessel's deepest point is under water. Rail: A cut of coupled cars. Financial: A signed, written order by one party that instructs another party to pay a third party a specific amount. It can also be called a bill of exchange.

Drawback is a refund of the Customs duties and certain fees paid on imported merchandise as well as the refund of certain very specific Internal Revenue taxes. Customs issues these refunds only when the imported merchandise is either exported or destroyed and when a claim for drawback has been made. Drawback laws allow drawback claimants to file drawback claims for imports five years from the date the merchandise is imported or entered into the United States. A claim for drawback may not be filed prior to the date of exportation.

Drayage is the transportation of a full ocean container via truck. A full container will be loaded onto a chassis and trucked to a nearby warehouse or rail ramp. Drayage may incur a drayage base fee. If the destination is not local, the full container will need to be transloaded into an FTL.

A drop is a type of trucking delivery for FCL shipments where the trucker drops off the container at the warehouse and then leaves, instead of waiting while the container is unloaded. The trucker will charge a drop fee because it requires an extra trip.

Drop and Pick
A drop and pick (also known as a drop and hook) is a trucking delivery option for high-volume FCL. A drop is when a truck driver drops off the container at the warehouse and then leaves (instead of waiting while it’s unloaded, as in a live unload). After the container has been unloaded, the driver returns to pick up the empty container (usually within 48 hours). A drop and pick is when the truck driver drops off the container at the warehouse and then picks up a different, empty container before leaving. A drop and pick is less expensive than a drop or a live unload; however, it’s only possible if you have containers arriving every few days.

Drop Fee
A drop fee is charged by the trucker to drop off an FCL container at the warehouse and pick it up after it has been unloaded, as opposed to a live unload. A drop fee is also called a bobtail fee.

A fulfilment method where a store doesn't keep the products it sells in stock. Instead, when a store sells a product, it purchases the item from a third party and has it shipped directly to the customer. As a result, the merchant never sees or handles the product

Dry Dock
Used to lay up vessels for repair.

Dry Run
A dry run is when a trucker is not able to successfully complete the pickup or delivery of a shipment. The trucker will charge full price for the extra trip.

Dry Van Shipping
Dry van shipping is any shipping done in a trailer that is not a temperature-controlled trailer or a flatbed trailer. Dry van trailers can carry pallets or loose cartons, and can be unloaded by a forklift or with the assistance of a liftgate.

Material used around cargo to prevent breakage or shifting, normally provided by shipper. Its weight is included in the rating.

A duty is an indirect tax on the value of an imported or exported product. Duty assessed on an imported product’s value is referred to as an import duty, while a duty assessed on an exported product is referred to as an export duty. Duties are imposed on both goods that are imported, customs duties, and goods manufactured locally, excise tax. It is important to note that a duty is separate from other fees that are assessed against cargo to pay for government services. This includes: entry processing fees, reimbursable government services or fines, penalties or liquidated damages for a documentary error, and any violations of customs regulations. The government bases the amount of duties to be paid on the value, weight, dimensions, etc. of the imported goods. Duties can vary by product and country of origin. Different types of duties include: -Basic Duty -Countervailing Duties -Anti-dumping duty

Duty Drawback
Duty drawback, or Drawback, is an export incentive program that allows U.S. importers, exporters, and manufacturers to recover, in part or in whole, certain duties, taxes, and fees paid on imported merchandise or domestically produced flavoring extracts, medicinal or toilet preparations, bottled distilled spirits and wines

Dynamic Under-Keel Clearance (DUKC)
A method of using multiple prediction and real time factors to determine the draft limitations on ships.

The process of receiving, packaging, and shipping orders. Any company selling products directly to consumers through the internet must deal with fulfilment

E2 | Import Entry Acceptance Advice
Import entry acceptance advice (E2) shows when an import entry is successfully committed and holds the import information from the declaration such as the value, consginee, entry number.

EAN barcodes are used when the country origin needs to be known. There are 8 digits in EAN 8, where the first two characters are used to define the country of origin, the next 5 are data, followed by the checksum. Both 2 and 5 digit supplemental are also supported.

Income after a company's taxes and all other expenses have been paid. Also called profit or net income.

Earnings Before Interest
EBITDA is revenue and other income deducting operating cost and other cost

EBS (Emergency Bunker Surcharge)
EBS (Emergency Bunker Surcharge) is implemented by carriers to further cover the cost of rising fuel prices. EBS is implemented on top of BAF (Bunker Adjustment Factor) once fuel (bunker) prices have risen so high that carriers begin to lose profits (i.e. the “emergency”).

Economic Order Quantity (EOQ)
The optimum order size that achieves the best possible balance between meeting order needs and minimized ordering and inventory holding costs.

Economic Value Added (EVA)
A measure of the shareholder value as a company's operating profits after tax, less a charge for the capital used in creating the profits. EVA is a registered trademark of Stern & Co. in the USA.

Economy of Scale
Decrease in unit costs because of increasing Production, so that fixed costs can be spread across more units.

Efficient Consumer Response (ECR)
A consumer-driven system of replenishment in which high-quality products and accurate information flow through a paperless (EDI) system between all distribution points from the manufacturing line to the retail checkout counter.

EIN (Employer Identification Number)
An EIN is a tax ID that the US government uses to identify business entities located in the US. This is used by Customs to associate entities with any of their import or export dealings such as Customs bonds, Customs entries, ISF filings, etc.

Equipment Interchange Receipt. A document used to receive or deliver a full or empty container/chassis at any terminal or inland container pool/depot.

ELD (Electronic Logging Device)
The ELD allows truckers to log their hours electronically instead of in paper books. The ELD mandate took effect on December 18th, 2017 and brings the possibility of: -Higher trucking rates -Less trucking capacity -Less trucking flexibility -Additional charges

Electronic Data Interchange (EDI)
The automated exchange of any predefined and structured data for business among information systems of two or more organisations. EDI message is an approved, published and maintained formal description of how to structure the data required to perform a specific business function in such a way as to allow for the transfer and handling of this data by electronic means.

Electronic Funds Transfer (EFT)
Payment for goods or services via exchanges of electronic authorisations against bank accounts. Authorisation is sent to an automated clearing house (usually a bank), which verifies the source of the transaction as having control over the accounts, and performs the fund transfer.

Electronic Shipping Instruction (ESI)
Shipper instruction on ocean shipment for creation of BL

Electronic Standard Operating Procedures (ESOP)
A web -based system that supports the creation of client SOPs and links the SOP to required internal/external operational procedures.

Enterprise Resource Planning (ERP)
A resource planning approach that integrates all aspects of forecasting, planning and manufacturing for the purposes of efficiently planning resources. Often also used as a term to describe the systems platforms used to support an enterprise. Some of the largest ERP providers include SAP, Oracle, Microsoft and Infor. Many of our customers use these platforms. We have the knowledge and experience to support integration (EDI messaging) with these platforms.

EORI (Economic Operator Registration and Identification)
An EORI (Economic Operator Registration and Identification) number is how the European Union (EU) identifies business entities. All businesses and people wishing to import into or export out of the EU must use the EORI number as an identification number in all customs procedures when exchanging information with Customs administrations. Traders who are only involved in intra-EU trade do not generally need such a number. The EORI number is an identification number that is used across the EU in a uniform manner. Both domestic as well as foreign entities can apply for an EORI number. Foreign entities will need to use indirect representation to import using their EORI. Foreign entities who make use of a limited fiscal representative will not need an EORI.

1. Monetary allowance to a customer for picking up or delivering cargo to or from a point which is not the origin/destination shown on the B/L. 2. Compensation for additional charges incurred by the shipper for delivering cargo to port designated by the carrier other than the closest port to the supplier.

Equipment Interchange Receipt (EIR)
A document transferring the responsibility of a container from one party to another; to be signed off by both parties. A new document is necessary at each stop where there is such a transfer of responsibility.

Error List (EL)
Report showing discrepancies (errors) in data input.

Estimated Time of Arrival
Estimated times for shipment Arrival and Departure.

Ex works (EXW)
The buyer receives the cargo directly from the factory and thereafter arranges shipment, insurance and other related services themselves.

Expected Receipt Date (ERD)
Expected Receipt Date in MODS is the day the customer/supplier plan to hand the cargo over to Damco CFS.

Export Control Classification Number (ECCN)
An Export Control Classification Number (ECCN) is a five-character alphanumeric key used in the Commerce Control List (CCL) to classify U.S. exports and determine whether an export license is needed from the Department of Commerce. An ECCN categorizes a product based on its commodity, software, or technology. All Export Control Classification Numbers (ECCN) are divided into ten categories within the Commerce Control List (CCL), which are then divided into five product groups. The first character of the ECCN identifies its broader characteristic (e.g. nuclear materials or electronics) and the second character represents its product group (e.g. material or software). The ECCN must be reported if the product falls under the jurisdiction of the Bureau of Industry and Security (BIS) of the US Department of Commerce. Use the following Commerce Control List to determine your product’s ECCN by category and product group.

Export Declaration
An export declaration provides information about the goods being shipped to Customs. This information is used to regulate exports and to compile statistical information on foriegn trade.

Export License
An export license grants someone the right to conduct an export transaction of restricted or controlled commodities. An export license is a type of U.S. export authorization document that grants someone the right to conduct an export transaction of restricted or controlled commodities. Export licenses are most commonly issued by government agencies. In some countries, export licenses are used to control the transfer of foreign exchange or to collect revenue. The exporter is responsible for confirming whether a product requires an export license or not. This can be determined using the Commerce Control List, which lists categories and product groups to determine a product’s ECCN.

Exporter Identification Number (EIN)
A number for required for the exporter on the Shippers Export declaration.

Express B/L
Sea Waybill, this B/L cannot be negotiated or transferred to a 3rd Party.

Express Bill of Lading
An express bill of lading is a type of bill of lading (B/L) in which the carrier is obligated to deliver the goods to the named consignee and no original bills of lading (OBL) are issued at all. Express B/Ls are non-negotiable and not a document of title to the goods; transfer of title should be documented elsewhere in the sales contract.

External Transit (T1)
The external transit procedure allows by default for non-Union goods to be moved from one point to another point within the customs territory of the Union so that customs duties and other charges are suspended. The T1 usually refers to the actual document that facilitates this movement. NB. Goods under this procedure are still under customs supervision and can only be moved to locations that have been approved by customs, e.g. bonded warehouses.

Extra Loader
Additional vessel brought into schedule to cope with exceptionally strong market conditions.

EXW (Ex Works)
EXW (Ex Works) is an incoterm that only requires the seller to make the goods available for pickup by the buyer at the seller’s premises or another named location. The buyer is responsible for export clearance, loading the goods at the named location, and bearing all cost and risk to the destination. EXW can be used for all modes of transport, including LCL (Less than Container Load), FCL, and air.

FBA (Fulfillment by Amazon)
FBA (Fulfillment by Amazon) is an Amazon service that allows you to store your products in Amazon’s fulfillment centers (also known as Amazon FBA warehouses) until they’re purchased by Amazon customers. Amazon will then pack and ship those products to Amazon customers.

FBA IDs are assigned to every shipment going to a different FBA warehouse.

FCA (Free Carrier)
FCA (Free Carrier) is an incoterm (per 2010 Incoterms®) that requires the seller to clear the goods for export and to either: deliver the goods to the buyer at the seller’s premises or deliver the goods to the buyer at another named place. When using the FCA incoterm, the point at which the seller is delivering the goods to the buyer must be named: e.g., “FCA, Name of Origin CFS.” FCA can be used for all modes of transport, including LCL (Less than Container Load), FCL, and air. If the seller is delivering the goods to the buyer at the seller’s premises, the seller is responsible for the cost and risk of loading the cargo onto the buyer’s provided transport.

FCL (Full Container Load)
A FCL container is one person's shipment that takes up a full container, as opposed to LCL.

FDA (Food and Drug Administration)
The FDA is a Partner Government Agency (PGA) responsible for regulating biological products, medical devices, food, cosmetics, veterinarian drugs, and products that emit radiation to ensure safety, security and efficacy for the US public. All imported goods of FDA regulated products are reviewed by the FDA for compliance. They hold imported products to the same standard as domestic goods and can refuse entry if products do not meet the standards in the Federal Food, Drug and Cosmetic Act. Most importers choose to hire customs brokers to assist with the FDA process on their behalf.

Federal Maritime Commission (FMC)
The Federal Maritime Commission (FMC) is an independent U.S. agency responsible for regulating foreign and inter-coastal ocean commerce shipping via U.S. ports. The FMC regulates both VOCCs (Vessel Operating Common Carriers) and NVOCCs (Non-vessel Operating Common Carriers). The purpose of the FMC is to maintain fair competition in ocean transportation for the sake of the shipping public.

Feeder (F)
Transportation conveyance utilised to relay cargo from the mother vessel to ultimate destination or from first receipt port to mother vessel.

Feeder Ports
Feeder Ports are smaller ports as compared to base ports, where mother vessels cannot berth, but smaller vessels can.

Feeder Vessel
A vessel used to connect with a mother vessel to service a port not called at by the mother or line vessel.

FEU (Forty-foot Equivalent Unit)
An FEU (forty-foot equivalent unit) is a measure of volume in units of 40-foot long containers. For example, “My company moves 500 FEU from Shanghai to Los Angeles every year.” One 40-foot container would equal an FEU, or two 20’ containers would equal an FEU.

First In First Out (FIFO)
Inventory concept to describe that the first received goods are the goods dispatched first, this is particularly important with perishable items.

First Sale Valuation
An item being imported into the US may have been subject to several transactions, with each transaction adding to the ultimate price paid by the U.S. importer. As duties and tariffs are based on the value of goods being imported this can significantly add to the duties and tariffs due by the US importer. First Sale Valuation can be used to determine the real value of imported goods. This allows U.S. importers, under certain conditions, to base the valuation of a product entering the United States on the first or earlier sale in a series of transactions, rather than the last one. The dutiable value of a First Sale transaction is based on the purchase price between the vendor and the factory rather than the price between the vendor and the importer. As a result, duties are not paid on the vendor’s markup or any additional charges from the subsequent sales. To take advantage of this the below criteria must be met: -The goods must be destined for export to the US at the time of the first sale -There must be at least two “bona fide sales” prior to the importer’s purchase -The parties involved must be unrelated or the transactions must be conducted at “arm’s length”

Flat Bed
Truck designed to haul heavy or oversized non-containerisable cargo.

FLEGT | Forest Law Enforcement, Governance and Trade
FLEGT licences are documents issued by timber-producing countries that have ratified a Voluntary Partnership Agreement with the EU.

Floating Cranes (FC)
Heavy duty cranes that are able to handle exceptionally heavy cargo if unable to use conventional gantry cranes.

For-Hire Carriers (FHC)
Persons or firms engaged in the transportation of goods or passengers for compensation. Classified into two general categories, specialised and general freight motor carriers.

Force Majeure
A state of emergency or condition that permits a company to depart from the strict terms of contract because of an event or effect that cannot be reasonably anticipated or controlled, i.e: beyond human control (French superior or irresistible force). Compare: ACT OF GOD, INEVITABLE ACCIDENT, VIS MAJOR.

Foreign Trade Zone (FTZ)
A Foreign Trade Zone (FTZ) is a secure geographical area “in or adjacent” to a U.S. Port of Entry that is considered to be outside of CBP territory. Merchandise foreign to the U.S. won’t be subject to CBP procedures and duty payments until the goods leave the FTZ and enter the U.S. The United States enacted the Foreign Trade Zone Act of 1934 to allow local manufacturers to compete with foreign enterprises.

A forklift is a small industrial vehicle with a pronged device used to move and stack heavy loads in warehouses and other worksites.

Forty Foot Equivalent Unit (FEU/FFE)
Used to describe the size of a forty-foot container (= 2 TEU).

Forwarders Cargo Receipt (FCR)
The FCR is a proof of delivery of goods in good order and condition for shipment. The document is issued by us to the shipper and serves as proof to another party that payment to the vendor can take place according to agreed terms. The FCR is not a document to title or evidence of carriage. Under an FCR we are only responsible for goods while they are in our custody, if goods are lost or damaged during transit, the client must file a claim against the ocean carrier.

Free In/Liner Out (FILO)
A freight shipping rate of the loading goods into the ship in the logistics terms that includes the freight rate of cargo and the cost of offloading as per the customs of a port, but the loading of the cargo on the shipboard is not included in the freight rate.

Free On Board (FOB)
A term in international commercial law specifying at what point respective obligations, costs, and risk involved in the delivery of goods shift from the seller to the buyer under the Incoterms standard published by the International Chamber of Commerce. Free on board indicates whether the seller or the buyer is liable for goods that are damaged or destroyed during shipping. When used with an identified physical location, the designation determines which party has responsibility for the payment of the freight charges and at what point title for the shipment passes from the seller to the buyer. In international shipping, for example, “FOB [name of originating port]” means that the seller (consignor) is responsible for transportation of the goods to the port of shipment and the cost of loading. The buyer (consignee) pays the costs of ocean freight, insurance, unloading, and transportation from the arrival port to the final destination. The seller passes the risk to the buyer when the goods are loaded at the originating port.

Free Time
The time allowed for loading/ unloading containers/ equipment before demurrage or detention charges apply.

Free Trade Zone (FTZ)
Is a special commercial zone often near ports/airports where foreign and domestic merchandise and materials may be brought in without the payment of duties. Goods can be transformed/ stored within zones until exit where duties then become liable for payment. We operate several facilities and operations in FTZ locations.

Freight All Kinds (FAK)
Usually refers to consolidated cargo.

Freight Bill (FB)
Destination (Collect) Freight Bill: Prepaid Freight Bill. (1) Bill rendered by a transportation line to consignee containing description of freight shipper name, point of origin and weight charges (if not prepaid). (2) Bill rendered by a transportation line to shipper containing description of freight, consignee, destination and weight charges.

Freight Cashier
Responsible for collections of freight/charges/release of cargo/release of bills of ladings.

Freight Forwarder (FF)
1. Person engaged in assembling, collecting, consolidating shipping and distributing less than trailerload freight. 2. Also, a person acting as an agent in the transshipping of freight to or from foreign countries and clearing freight through federal customs.

Freight Release
Evidence that the freight charges for the cargo have been paid. If in writing, it may be presented at the pier to obtain release of the cargo. Normally, once the freight is paid, freight releases are arranged without additional documentation. Also known as freight bill receipt.

FTA (Free Trade Agreement)
An FTA agreement is an agreement made between two or more countries designed to minimize barriers to trade in an effort to increase trade between the participating countries. FTAs typically allow companies to buy and sell across international borders with little or no government tariffs, quotas, subsidies, or prohibitions to inhibit their exchanges.

FTL (Full Truckload)
An FTL (full truckload) is a type of trucking in which an entire truckload (usually 53’ long trailer) is reserved for the transportation of the cargo. FTL service is used for shipments that can fill up an entire truck. It’s also a trucking option if you require a faster transit time, because the trucker goes directly from origin to destination without any additional pickups or deliveries or stops at terminals along the way. A full container may be transloaded into an FTL if it is delivering to a residence.

Fuel Surcharge (FSC)
A fuel surcharge (FSC) is a fee assessed by a carrier to account for regional / seasonal variations in fuel costs. A fuel surcharge is most often seen in trucking, but an ocean or air carrier may also assess a fuel surcharge. A fuel surcharge helps protect the carrier from the volatility of fuel prices.

Fulfillment logistics is the part of the supply chain that involves transporting customer orders and shipments, storing inventory in an ecommerce warehouse, packing boxes, and delivering orders on time. A fulfillment center is the hub for all of the logistics processes required to get a seller's product to their customer.

Full Visible Capacity
The trailer is loaded as full as the nature of the freight and other conditions permit, so that no more of the same type of freight can be loaded, consistent with safety and damage precautions.

Gain Sharing
A relationship between two parties where both share the benefits of value created, originating from the agreement. For example, if in a gain share agreement, we can reduce shipping costs through better equipment utilization, a portion of this value created would flow to our company.

An opening in the bulwark of the ship allowing passengers to board or leave the ship.

Gantry Crane (G)
Port crane used to load and discharge containers from vessels, can be positioned by moving along rail tracks.

Garment-on-Hanger (GOH)
Method of storing apparel in containers for garments that should not be folded.

Gate-in is a term used to describe when a container enters the terminal. The shipper must have made a booking with the shipping line before the container is allowed to enter the area.

Gate-out is the term used to describe when a container leaves the terminal after the container has been released by the shipping line and by Customs.

General Average
General Average is a principle of maritime law born out of the idea that the shipper and the vessel owner are entering into a joint business venture, and that if it weren’t for the shipper’s cargo, the vessel would not be sailing on its (at times dangerous) voyage. General Average dictates that in the event that an intentional sacrifice is made for the safety of the individuals and cargo on board the vessel, all parties involved with the ocean voyage will proportionally share in the losses of the cargo and the ship. All parties involved must share the cost of any losses caused by the sacrifice so that in the event of an emergency, the crew doesn’t waste time deciding whose cargo should be sacrificed. The party whose cargo is lost in the incident has the right to compensation from the parties whose cargo was saved as a result of the sacrifice.

General Order
General Order (GO) is a status given to cargo imported into the U.S. that is missing proper Customs documentation or does not quickly clear Customs. If they remain uncleared after 15 days, goods under GO will be moved to a General Order warehouse (a type of bonded warehouse.) Transportation and storage costs are the responsibility of the importer. Note that storage charges in a GO warehouse are costly. If the goods remain under General Order for more than six months, they will be put up for auction or confiscated. The auctions are held by U.S. Customs, take place monthly online on a nationwide basis, or locally at public spaces like hotels near the ports.

Generalized System of Preference (GSP)
A program providing for free/ reduced rates of duty for merchandise from beneficiary developing independent countries and territories to encourage their growth.

Generator sets which supply power to refrigerated containers when no external source is available. It is used to regulate the temperature in a reefer container. It can use its own power or plugs provided on the pier/vessel.

The internationalization of international business, communications and culture.

Golden Week
Golden Week is the week following the National Day on October 1st to celebrate the founding of the People’s Republic of China. The National Day kicks off a 7-day Golden Week festival that includes parades, ceremonies, and other displays.

Green Supply Chain
The evaluation and modification of an organization’s entire supply chain from design, planning, purchasing, sourcing, production, shipping and returns to minimize the environmental impact of the supply chain, often resulting in cost savings. We have several capabilities and initiatives to support green supply chain development with key customers.

GRI (General Rate Increase)
A GRI is a general rate increase that carriers can apply to their ocean freight rates.

Gross Merchandise Value (GMV)
Gross Merchandise Value is a term used in online retailing to indicate a total sales dollar value for merchandise sold through a particular marketplace over a certain time frame. There are a few ways to calculate GMV. The most simple explanation for a retailer is that GMV is the sales price charged to the customer, multiplied by the number of items sold

Gross Register Tonnage (GRT)
A ship's total internal volume expressed in "register tons", each of which is equal to 100 cubic feet (2.83 m3). Gross register tonnage uses the total permanently enclosed capacity of the vessel as its basis for volume, it is not a measure of the ship's weight or displacement and should not be confused with terms such as deadweight tonnage or displacement. Typically this is used for dockage fees, canal transit fees, and similar purposes where it is appropriate to charge based on the size of the entire vessel.

Gross Weight
Weight of goods including packaging.

Hague Rules
A set of rules designed to resolve the problem of ship owners excluding themselves from all liabilities related to loss or damage of cargo under their control. Carrier must demonstrate “reasonable care” in the handling of cargo.

Handling Costs
The cost involved in transferring, preparing and otherwise contracting inventory.

Specialised container equipped with hanger beams for the purpose of stowing garments on hangers.

Harbor Maintenance Fee (HMF)
The Harbor Maintenance Fee (HMF) is assessed by U.S. Customs for products imported via ocean through U.S. ports. If a shipment is transporting via ocean to a Canadian port, and routed through Canada into the U.S., it will not be subject to the HMF.

Harmless Chemicals
A cargo description, which is a contradiction of terms. A chemical is a substance and whether it is harmless or not, depends on the context in which the substance appears or is used.

Harmonized System (HS)
The Harmonized Commodity Description and Coding System, is an internationally standardized system of names and numbers to classify traded products. It came into effect in 1988 and has since been developed and maintained by the World Customs Organization (WCO). Under the HS Convention, the contracting parties are obliged to base their tariff schedules on the HS nomenclature, although parties set their own rates of duty.

Harmonized Tariff System (HTS)
An organized listing of goods and their duty rates which is primarily used by Customs as the basis for classifying imported products and therefore, establishing the applicable duties.

The local transport of goods also used interchangeably with cartage/ drayage. More common in Europe as a way of describing road transportation.

Hazardous or Dangerous Cargo
A type of cargo that includes substances capable of posing unreasonable risk to the personnel, vessel and marine environment. Such goods are classified under the IMDG code which gives detailed information about the risk and nature of the individual substances as well as guidance on special handling.

Hazmat means “hazardous materials.” Hazardous materials include but are not limited to: -Batteries -Magnets -Chemicals (e.g. lighter fluid, hand sanitizers, etc) -Fertilizer -Gases -Poisonous substances -Explosives and flammable substances The supplier should know whether a product is hazmat and how to ship a hazmat product. The supplier should also be able to provide all dangerous goods paperwork. All shipments must comply with hazmat regulations.

HC (High Cube) Container
A HC container is taller than a standard container, and can fit more cargo. HC (high cube) containers are one foot taller than standard containers, increasing CBM (Cubic Meter) capacity. HC containers are typically available in 40' and 45' lengths.

Heavy Lift Charge
Charge for cargo which is too heavy to be lifted by standard cranes or ship's tackle.

High Cube Non-Functioning reefer container (HNOR)
Equipment type used when a reefer is supplied in the place of a DRY/HIGH container.

High-cube (HC)
High-cube 40 foot-long or 45-foot-long container with additional height

Marrying 2 or more portions of one shipment that originate at different geographical locations, moving under one bill of lading, from one shipper to one consignee. Authority for this service must be granted by tariff publication.

Section of vessel in which containers are stored.

Horizontal Integration
The expansion, acquisition or merger of firms in similar industries/ segments. E.g. supermarket chain merging with another.

House B/L / House Airway Bill
A House Bill of Lading is issued by a Freight Forwarder (e.g. Damco). This allows the freight forwarder to procure and essentially resell the transport whilst holding cargo until payment by the customer via the Master BL/ Master Sea Waybill. The HBL should always be issued on a back to back basis with a MBL, which means that the HBL should be an EXACT replica of the MBL issued by the actual Shipping line, in respect of all details except the shipper, consignee and notify party details which will be different in the HBL and MBL.

HS / HTS Codes
HS (Harmonized Commodity Description and Coding System) codes are product classification codes used by U.S. Customs and all other members of the World Customs Organization (WCO) to classify goods for customs purposes. HS codes are six digits that can be broken down into three parts: the first two digits identify the chapter in the HS Nomenclature the goods are classified in, the next two digits identify the heading within that chapter, and the last two digits identify the subheading within that chapter. The U.S. uses HTS codes to classify products imported into the U.S. HTS (Harmonized Tariff Schedule) codes are product classification codes between 8-10 digits. The first six digits are an HS code, and the countries of import assign the subsequent digits to provide additional classification. U.S. HTS codes are 10 digits and are administered by the U.S. International Trade Commission. Your supplier may be able to provide you with an HTS code, but note that many Chinese suppliers will supply the Chinese variation of the HTS code. Since the first six digits of an HTS code is a universal HS code, you need to determine the final four digits of the HTS code for U.S. import using the Harmonized Tariff Schedule. With an HTS code, you can estimate the customs duties you will need to pay upon importing into the U.S.

A centralized location, can refer to the center of an airline, trucking or maritime network that connects many routes (spokes) in the network. By most optimally locating hubs, companies can maximize transport efficiencies and access to markets.

Tractor that pulls containers around the pier for positioning. Also known as a yard hustler.

IMCO Classification
International Maritime Control Organisation classification for hazardous cargo.

International Maritime Dangerous Goods Code, see Dangerous Goods.

Import Cargo Manifest (ICM )
Import Cargo Manifest can be defined as a declaration by the carrier to the Customs about all Containers and their content loaded on a particular vessel. It is also referred to as the Import General Manifest or IGM.

Import Duty
Tax on imported goods and services from abroad.

Import License
A document required to import certain goods and services.

Importer of Record
An importer of record is the entity or individual who is responsible for all entry documents required by CBP (Customs Border Protection) and for the product classification and payment of duties, as well as any other import obligations. Additional documentation is required if you are importing into the U.S. as a foreign importer of record.

Goods and services which one country's residents purchase and transport from another country into their own country.

Import Shipment.

Incoterms® (INCOTERMS)
The Incoterms® rules are a globally-recognised set of standards, used worldwide in international and domestic contracts for the delivery of goods, brought together by the International Chamber of Commerce (ICC). They help traders avoid costly misunderstandings by clarifying the tasks, costs and risks involved in the delivery of goods from sellers to buyers. The Incoterms® rules are recognised by UNCITRAL as the global standard for the interpretation of the most common terms in foreign trade. Incoterms® 2020 have come into effect on 1 January 2020. All contracts made under Incoterms® 2000 and any other previous editions remain valid and parties to a contract for the sale of goods can agree to choose any version of the Incoterms® rules. However, it is recommended using the most current version of the rules, Incoterms® 2020. It is important to clearly specify the chosen version.

Independent Action (IA)
A separate action taken by an individual member of a conference agreement to change rates or terms of carriage as laid out in the conference agreements.

Independent Carrier
Carrier that is not a member of a shipping conference.

A quantitative measure of the rate at which the average price level of a basket of selected goods and services in an economy increases over a period. Often expressed as a percentage, inflation indicates a decrease in the purchasing power of a nation's currency.

Inherent Vice
Inherent vice is an exclusion found in most cargo insurance policies to account for a defect or inherent characteristic in the nature of the product. As opposed to an external occurrence, such as a forklift puncturing a packaged item, inherent vice cannot be insured against damage or loss since the defect or characteristic is not visible to the carrier or insurer. To determine if your good has a form of inherent vice, consider the following examples: Short-Lived. Sealed plastic bottles can incur damage because of the pressure changes from climbing and descending through altitude, either when shipping by air or over land. This is due to an inherent quality of the bottle and explains why our water bottles tend to twist or bend out of normal shape when we are flying. Structural Nature. The structural nature of an item with flawed design usually refers to its material. For example, the acidic chemicals in leather cause the item to tarnish or corrode when in contact with metal. This is unavoidable due to the inherent quality and nature of the product’s material. History or Function. Iron and metals are known to rust or corrode when exposed to humidity. In the case of any machinery made of iron or metal, for example, a claim for rust would be denied if shipper doesn’t protect the equipment. In the case of inherent vice, it is necessary for the shipper to know their product and ensure that it is packaged properly for the mode of transport or conditions that it may be exposed to along its journey. A claim may be denied either due to inherent vice or insufficient packaging, which are both coverage exclusions included in most cargo insurance policies.

Inland Carrier
Transportation company which hauls imports or exports between ports and inland points.

Inside Delivery Fee
An inside delivery fee is assessed by the trucker if they were required to go inside to pick up or deliver the cargo. If a shipment’s delivery requires some form of installation, or if the trucker is required to go inside the location (past the front door or loading dock) in order to pick up or deliver the cargo, the trucker may charge an inside delivery fee.

Inspection certificate
A document issued by an inspection authority, indicating that goods have been inspected according to certain regulatory, customer or industry standards.

Insurance Certificate
Document which assures the consignee that insurance is provided to cover loss or damage to the cargo while in transit. A certificate issued by an insurer to a shipper (or other party) as evidence that a shipment of merchandise is covered under a marine policy.

Integrated Carriers
Carriers that have both air and ground fleets or other combinations, such as sea, rail and truck. They usually handle thousands of small parcels an hour.

Intensive Exam
The Intensive exam is the most thorough Customs exam. If Customs and Border Protection (CBP) selects your container for an Intensive exam, the container will be trucked to a Centralized Examination Station (CES), where the CES will unload the container. A CES is a privately operated facility designated by CBP for physical examination where imported or exported cargo is made available for inspection. A Customs officer will examine the cargo, and then the CES will reload the cargo into the container after the exam. Costs associated with trucking and storing the container will be the responsibility of the importer.

Inter Company Billing (ICB)
A company arranges direct delivery of the goods to the customer from the stocks of another company belonging to the same corporate group.

Interational Federation of Freight Forwarders Associations (FIATA)
A non-governmental membership-based organization representing freight forwarders and logistics providers in some 150 countries

Interleaved 2 of 5
This is strictly a numeric barcode. Each encoded character is made up of five elements, two are wide and three are narrow. The number of characters to be printed must be an even number. If the number of characters to be printed is odd, a zero will be appended to the beginning of the code.

Coordinated transport of freight, especially in connection with relatively long-haul movements, using any combination of freight forwarders, piggy-back, containerisation, air freight, assemblers, rail and road.

Intermodal Marketing Company (IMC)
Consolidates container loads or piggyback trailers from several shippers and contracts with railroads for volume space.

Intermodal Transport
The coordination of freight transport using a combination of transport modes e.g. barge and truck.

International Air Transport Association (IATA)
Trade association serving airlines, passengers and shippers, defines key rules for transport of cargo, maintains a global list of airport codes.

International Federation of Freight Forwarders (FIATA)
Trade association representing freight forwarders worldwide to promote industry interests, uniform documentation and terms for forwarding activities.

International Freight Forwarders
Freight torwarders that handle booking, paperwork and consolidation of exports.

International Maritime Control Organisation (IMCO)
International Maritime Control Organisation. See IMO.

International Roadcheck
International Roadcheck is an annual three-day event in which CVSA (Commercial Vehicle Safety Association) inspectors examine as many trucks as possible. They’re looking for anything that doesn’t meet their safety standards for motor carriers, vehicles, or drivers. International Roadcheck is the world’s largest targeted enforcement program for commercial motor vehicles. During the three-day period, nearly 17 trucks or buses are inspected, on average, every minute in Canada, the United States, and Mexico. The truck is inspected thoroughly, as are all documents and licenses, as part of the 37-step inspection procedure. Since the program began in 1998, more than 1.5 million roadside inspections have been conducted. In 2016, the CVSA conducted 62,796 inspections. Of these, 21.5 percent of vehicles and 3.4 percent of drivers were taken out of service due to critical violations -- ranging from brake adjustment and brake system violations (for vehicles) to issues with hours of service and false logs (for drivers).

International Ship and Port Facility Security (ISPS)
An amendment to the Safety of Life at Sea Convestion on minimum security arrangements for ships, ports and government agencies. It prescribes responsibilities to governments, shipping companies, shipboard personelle and port/facility personal to detect security threats and take preventative meausres against security incidents affecting ships or port facilities used in international trade.

The value or listing of raw materials, work in progress and finished goods on-hand at any point of time within the supply chain.

Inventory Carrying Costs
Generally, carrying costs or holding costs are financial measurements that calculate all the costs associated with holding goods in storage. It includes inventory-in-storage, warehousing, obsolescence, deterioration, spoilage and labour costs, as well as insurance and taxes.

Inventory Linked
Inventory Linked - Several UK ports and airports are linked to the customs computer systems. Being inventory-linked enables these ports/airports to handle the presentation,arrival and departure of goods on HMRC’s behalf.

Inventory Turnover
The cost of goods sold, divided by the average level of inventory on hand. The ratio measures how many times a company's inventory has been sold during the year.

Inventory Velocity
The speed with which products move from receiving dock to shipping dock.

See Commercial Invoice.

Inland Point Intermodal. Cargo moving via land from/to an inland point. See also Micro Bridge.

An Importer Security Filing (ISF), also known as “10+2,” is a filing required by the CBP that documents importing information and details, as shipments pass from point to point. Importers who do not file the ISF properly prior to the shipment of their goods will be penalized (US$5,000 fine). The ISF must be transmitted at least 24 hours prior to an ocean's shipment's departure to the United States.

ISF (Importer Security Filing)
An Importer Security Filing (ISF) documents 12 details about a shipment being imported to the United States via ocean. It is required by U.S. Customs and Border Patrol.

ISPS Code (International Ship and Port Facility Security Code)
ISPS (International Ship and Port Facility Security Code) is a security measure put into place in response to the 9/11 attacks by the IMO (International Maritime Organization) as part of the Safety of Life at Sea (SOLAS) Convention. ISPS assigns responsibilities to governments, shipping companies, shipping personnel, and port/facility personnel to detect security threats and take preventative measures against those threats affecting ships or ports used in international trade.

1. Immediate Transportation Entry: refers to an IT entry (U.S. Customs). Allows the cargo to move beyond the vessel entry point in bond for customs clearance at the destination named in the I.T. movement from one customs district to another, e.g. cargo entering the U.S. at Los Angeles destined for Chicago can move to Chicago before having a customs inspection. 2. Information Technology: A generic term for people or systems working toward business improvement.

International Transport Implementation Guidelines Group.ITIGG is an international group of experts engaged in the development and implementation of UN/EDIFACT-standard messages for electronic trading in the transport industry. ITIGG is a subgroup of D4, the UN/EDIFACT Message Development Group for Transport. ITIGG develops recommendations which provide software developers with a series of simple, straightforward tools to assist in designing applications which can be used for trading electronically throughout the world, and to clarify the intentions of the designers of key UN/EDIFACT messages.

Joint Rate
A rate from a point located on one transportation line to a point on another transportation line which is published in a single tariff.

Jones Act
The Jones Act is section 7 of the Merchant Marine Act of 1920 that prohibits any non-US built or non-US flagged vessel from participating in trade between points of the United States. Named after its sponsor Senator Wesley Jones, the Jones Act also extends employer liability of US vessel employee injuries. Under the Jones Act, all vessels whose trading voyage begins anywhere in the US and delivers anywhere in the US (including Puerto Rico) must be built in the US, staffed by US crews, and owned by US citizens or corporations. The Jones Act is administered by MARAD (United States Maritime Administration), an agency within the US Department of Transportation.

Journal of Commerce (JOC)
Journal of Commerce A trade publication. Trade transportation journal.

Just-In-Time (JIT)
In this method of inventory control, warehousing is minimal or non-existent; the container is the moveable warehouse and must arrive "just in time," i.e. not too early and not too late.

A Japanese word meaning improvement. Specifically used in continuous improvement approaches: small, ongoing positive changes can reap major improvements.

Known Shipper
Known shipper is a preferred status for companies shipping via air, and a necessary status to ship via passenger planes taking off from the US.

Label Cargo
Cargo, including all commodities, requiring a label according to the provisions of the International Maritime Dangerous Goods Code.

The act of loading cargo.

Land Bridge
Containers moving from a foreign country by vessel, and then sent to an inland point in the U.S. or elsewhere by land transportation (rail or truck). See also MLB.

Landed Cost
The total cost of a shipment delivered to a named location, specifically the cost of goods plus all associated shipping costs.

Last Free Day
The last free day is the last day of free storage time. See below for general guidance on the average amount of free storage time per transportation mode.

Last In First Out (LIFO)
Inventory concept to describe that the last received goods are the goods dispatched first.

LCL (Less than Container Load)
LCL is a mode of shipping via ocean, and is recommended if your shipment isn't large enough to fill a container.

Less Than Container Load (LCL)
Common term for an amount of goods to be shipped and which do not fill an entire container. Ocean rates for LCL are commonly higher on a per-unit basis than for a full container load. Thus, consolidation of several LCL loads from different places or shippers into a full container can save on costs.

Less Than Trailer Load (LTL)
See ""Less Than Container Load"" (LCL).

Letter of Credit (LC)
1. Letter of agreement issued by a bank stating a foreign purchaser has established a line of credit in a seller's favour, and confirming that payment for goods will be made upon presentation of certain documents which are in agreement with terms on the letter of credit. 2. A letter addressed by a banker to a correspondent certifying that a person named therein is entitled to draw on him or his credit up to a certain sum. 3. A letter addressed by a banker to a person, to whom credit is given, authorising him to draw on the issuing bank or on a bank in his country up to a certain sum and guaranteeing to accept the drafts if duly made, also called commercial letter of credit, confirmed credit or confirmed letter of credit. Letters of credit may take various forms, represent various undertakings for various purposes and be subject to different conditions.

Letter of Indemnity (LOI)
A Letter of Indemnity (LOI) is a document provided by the shipper stating that the shipper will take responsibility for any harm or loss caused by a breach of contract.

Lift-on/lift-off (LoLo)
LoLo ships are cargo ships with on-board cranes to load and unload cargo.

A liftgate is attached to the back of a truck to help with unloading.

Liftgate Fee
A liftgate is used for delivery destinations that do not have a loading dock. Truckers typically charge a fee for this service.

Line Haul
Marine portion of a vessel's route covering the greatest distance, usually across an ocean (e.g. Singapore-Los Angeles).

Liner In/Free Out (LIFO)
A freight shipping rate of the loading goods into the ship in the logistics terms that includes in the freight rate, whereas unloading is not.

Live Unload
A live unload is trucking term, meaning that the trucker will wait for the container to be unloaded, instead of doing a drop.

LNG Carrier
Liquified Natural Gas Carrier.

Physical placement of cargo within a container, truck or on a vessel/ aircraft or other means of transport.

Term used to describe modification and preparation/ translation of products to serve the needs of a specific market.

The management of freight and information throughout the total supply chain from the original raw material source to the ultimate consumer of the finished product, encompasing factories, assembly and packing plants, warehouses, distribution centres and retail outlets.

Also known as stevedore.Worker who loads and unloads a ship. Terminal operator who is designed to facilitate the operation of loading and discharging vessels, as well as other terminal activities.

Long Ton1 Long Ton = 2,240 lbs

LTL (Less than Truckload)
LTL is used for smaller shipments that don't fill up a truck on their own.

Main-line Operator (MLO)
A carrier employing vessel(s) in the main or principal routes in a trade but not participating within a consortium.

Entire listing of all cargo on board a vessel as required by the relevant local authorities e.g. customs. Same as cargo manifest.

Marks and Numbers
The identifying details on or of a package or the actual markings that appear on the packages.

Master B/L
A contract of carriage between the carrier and customer issued by the Shipping Line (carrier) to the NVOCC Operator, Freight Forwarder, or customer. The MBL is a document of title.

Material Safety Data Sheet (MSDS)
A document prepared by a supplier/ shipper of hazardous materials that details safety information and procedures for handling or using the product or material. MSDS sheets typically contain a listing of hazardous ingredients, handling procedures, first aid procedures and precautions.

Materials Management
The procurement, movement and management of materials and products from acquisition through to production.

Merchandise Processing Fee (MPF)
The Merchandise Processing Fee (MPF) is a U.S. Customs charge assessed for most imports into the United States. The MPF is charged at 0.3464% of the entered value declared on the commercial invoice, with a minimum of $27.23, and a maximum of $528.33 per entry.

Merchant Haulage Service
Service of coordinating 3rd party logistics services (Merchant Haulage arrangements) on behalf of the customer. This service is applied based upon the customer's request for the carrier to coordinate inland haulage on a merchant haulage Bill of Lading. The customer holds the contract with the haulage provider. The carrier can refuse to offer this service.

Metric Ton (MT)
Metric Ton. 1 MT = 2,204.62lbs or 35.314 cft.

A scheduled event that marks the completion of a defined phase within a project or flow of goods.

Milk Run
A Milk Run is a delivery method used to transport mixed loads from various suppliers to one customer. Instead of each supplier sending a truck every week to meet the needs of one customer, one truck (or vehicle) visits the suppliers to pick up the loads for that customer. This method of transport got its name from the dairy industry practice, where one tanker used to collect milk from several dairy farms for delivery to a milk processing company.

Mixed Shipment
Shipment consisting of items described in and rated under two or more rate items within a tariff.

An abbreviation for Mini Land Bridge Containers moving from a foreign country by vessel, and then sent to an inland point in the U.S. or elsewhere by land transportation (rail or truck). See also Land Bridge.

Mother Vessel
Main ocean vessel in a liner service designated to move containers from set origin points to set destination ports/points on a regular basis.

MSDS (Material Safety Data Sheet)
An MSDS will be required for all dangerous, or even just potentially dangerous, shipments. The supplier is responsible for providing all hazmat documentation.

MSI Plessey
This barcode is a variable length barcode that can encode up to 15 numeric digits. Checksum generation is dependent on the value of the checksum parameter. The following table indicates the value of the checksum property and the type of checksum created. Setting, Description, 0, one modulus 10 checksum, 1, two modulus 10 checksums, 2, one modulus 11 checksum/one modulus 10 checksum.

Multi Country Consolidation
Damco program where cargo, from multiple individual countries, is shipped to a single location for consolidation into larger shipments to destination, thus minimizing shipping costs whilst maintaining security and reliability within the supply chain.

Use of multiple modes of transport to move products from origin to destination.

Near Sourcing
Outsourcing of production/ sourcing that is in a country close to the domestic market of the contracting company.

Negotiable Bill of Lading
Something that can be negotiated, transferred or assigned from one person to another in return for equivalent value by being delivered either with endorsement (as of an instrument to order) or without endorsement (as of an instrument to bearer) so that the title passes to the transferee who is not prejudiced in his rights by any defect or flaw in the title of prior parties nor by personal defenses available to prior parties among themselves provided in both cases that the transferee is a bona fide holder without notice e.g. bills of lading, bills of exchange, promissory notes, and cheques that are payable to bearer or order are negotiable instruments, as are also, in some jurisdictions, some other instruments (as bonds, some forms of stock) i.e. negotiable paper/negotiable securities. "Negotiable" used analogously for "transferable" - see also negotiability/transferability.

Negotiated Rate Arrangement (NRA)
A Negotiated Rate Arrangement (NRA) is a document regulated by the Federal Maritime Commission (FMC). It ensures that all ocean freight rates are documented and accepted before the cargo is loaded onto the vessel.

Negotiating Bank
Bank where a shipper negotiates documents or where documents are first presented, usually at country of origin.Also, often referred to as the advising bank.

NES | The National Export System
The National Export System (NES) is a computer-based system which enables export declarations to be submitted electronically

Three or more different sizes of the same item or commodity which must be enclosed, each smaller piece within the next larger piece, or three or more of the items must be placed one within the other so that the top item does not project above the lower item by more than 1/3 of its height.Nested Solid: Three or more of items must be placed on or inside the other, so that the external side surfaces of the top item is in contact with the internal side surfaces of the item below, and the top item does not project above the next lower item by more than 1/2 inch.

Net Weight
The weight of goods without packaging.

Neutral Body
Investigating body designated by conference carriers to ensure that all regulations and rules are adhered to.

Non-Asset-Based Third Party Providers
Third party providers who generally do not own assets, such as transportation and/or warehouse equipment.

Non-Negotiable Bill of Lading
A document not made out "to order", but being a receipt and evidence of the contract of carriage, but which is not a document of title, e.g. a waybill and, in some jurisdictions (such as the USA), a (straight) consigned bill of lading.

Non-Vessel Operating Common Carrier (NVOCC)
A Non-Vessel Operating Common Carrier (NVOCC) is an ocean carrier that transports goods under its own House Bill of Lading, or equivalent documentation, without operating ocean transportation vessels.

Noridsk Speditörsförbunds Allmänna Bestämmelser 2000 (NSAB)
A set of rules development by the Nordic Association of Freight Forwarders, including the freight forwarders liability under various transport law conventions, such as SIM, CMR, the Hague-Visby Rules and the Warsaw Convention. The Norid Association of Freight Forwarders is a coaltion of unions in Denmark, Finland, Norway and Sweden and is in turn a part of FIATA, the international Freight forwarder organisation

Not Otherwise Enumerated (NOE)
Not Otherwise Enumerated

Not Otherwise Stated (NOS)
Not Otherwise Stated.

Notify Party
Notify party is any party notified with shipment information by a carrier upon the arrival of cargo at its destination.

NVWA | De Nederlandse Voedsel- en Warenautoriteit
The Dutch Government Agency that is responsible for ensuring the safety of food and consumer products, animal welfare and nature.

Ocean Transport Intermediary (OTI)
Used in our Operating System to denote freight forwarding shipments; used more generally to describe an ocean freight forwarder/ NVOCC.

On Deck Stowage
Cargo stowed on the deck of the vessel.

Service of providing inland import transportation to our customer's premises from the port of discharge. This offers the customer flexibility of door to door transportation.This service is applicable when the carrier provides inland transportation to the desired inland location, based on the request of the customer.

On-Time Performance
The proportion of time that a transit system adheres to its published schedule times within stated tolerances.

Open Issues List (OIL)
During the course of any project questions will arise. Keep a working list of open issues and identified problems which must be solved. Update the status of each issue as it is addressed.

Open Rates
Rates established for each individual carrier. These rates are listed in a tariff list but may differ according to carrier.

Operations Info Portal (OIP)
A News solution on Connect enabling quick and efficent sharing of information relating to daily operations. Possible to subscribe to customizable alerts.

Opportunity Management Evaluation Board (OMEB)
The sales opportunities where we want regional support from the solution engineers and building blocks team need to be passed through the OMEB and approved before assistance is provided

Order Cycle
This includes the time and the process involved from the placement of the order to the receipt of the shipment. It includes the following processes: Communicating the order, order processing, transporting the shipment.

Order Management System (OMS)
Order Management System. It is any tool or platform that tracks sales, orders, inventory, and fulfillment as well as enables the people, processes, and partnerships necessary for products to find their way to the customers who bought them

Order Processing
Process or work-flow associated with the picking, packing and delivery of the packed items to a shipping carrier

Origin Charge
Origin charges will apply for every shipment, but who pays for them depends on the incoterm.

Origin Charge Catalogue (OCC)
The OCC is a document containing Damco’s standard charges for origin related activities. Charges are assessed annually and adjusted subject to cost inflation, market development and profitability objectives.

Origin Engineering
Origin engineering is the relocation of part of a product's manufacturing from one country to another country to avoid unfavorable trade restrictions, such as higher duty rates or quotas.

Origin Motor Terminal, Origin Rail Terminal, Destination Motor Terminal (OMT, ORT, DMT)
Origin Motor Terminal, Origin Rail Terminal, Destination Motor Terminal. Location designated by a motor/rail carrier at origin/destination points where, the motor carrier or his authorised agent assembles, holds or stores an ocean carrier's containers and chassis; where loaded containers are received from shippers or their agents; where empty containers are delivered to shippers or their agents.

Origin/Destination Booking Services (OBK/DBK)
Booking Services at Origin or Destination, a single point of contact provided with accurate and timely freight bookings.

Original Bill of Lading (OBL)
An original bill of lading is a shipping document that serves as the title of the cargo and a shipment receipt.

Original Equipment Manufacturer (OEM)
A company that produces parts and equipment that may be marketed by another manufacturer.

Out of Gauge Service
The service is to handle and ship cargo that is "out-of-gauge". This is to provide the ability to ship cargo which exceeds the dimensions of standard containers by length, width, height and/or weight, but which still remains feasible for the carrier to handle as 'containerized cargo'. This fee is applicable to out of gauge shipments.

Out-of-Gauge Cargo (OOG)
Out-of-Gauge Cargo describes break bulk cargo, which is not suitable for stuffing into a standard container due to the cargo dimensions and which requires the use of special equipment like flat racks, platforms- or open top containers.

Export shipments.

Destination port, other than a base port, to which rates apply but which may be subject to additional outport arbitraries.

To hire a third-party provider to assume tasks previously performed in-house.

Over Landed
1. Cargo volume count more than originally shipped. 2. Cargo taken beyond original port of discharge.

Overland Common Port (OCP)
A special rate concession made by shipping lines, rail carriers and truckers serving the U.S. West Coast for export and import traffic, intended to benefit midwest shippers and importers by equalising rates to and from other coastal areas, and offering these midwest companies a comparable alternative. The steamship companies lower their rates and the inland carriers pick up the terminal charges, which consist of handling charges, wharfage charges and car loading or unloading charges. OCP rates apply to cargo shipped from or consigned to the states of: North Dakota, South Dakota, Nebraska, Colorado, New Mexico and all states east thereof. OCP rates in Canada apply to the provinces of: Manitoba, Ontario and Quebec.

Packing List
List of packages for each shipment, showing individual breakdown in weights/measure and quantity.

Cartons are stacked on pallets to make cargo more secure and to make unloading easier.

Pallet Exchange Fee
A pallet exchange fee is charged if the trucker does not bring pallets to exchange when they pick up the cargo.

Pareto Principle
Also known as the 80-20 rule, postulates that 20% of the effort leads to 80% of results.

Partlow Chart
A chart that indicates the temperature reading in a reefer container.

Partnerships and Alliances
Shippers and providers who enter into agreements designed to benefit both parties.

Per Diem
On a daily basis.

Per Diem Charge
Per diem, or detention, is charged for each day past the number of "free" days that a container is away from port.

PGA (Partner Government Agency)
A PGA is a division of the U.S. government that regulates certain products and oversees their entry into the U.S.

Physical Distribution
All logistics activities from the production line to the final user, including traffic, packaging, materials handling, warehousing, order entry, customer service, inventory control etc.

Pick & Pack
Picking a piece of inventory out from a warehouse and packing it for shipment

A structure built away from land and extending some distance over water, often used for docking boats. Also known as a wharf.

Pier Pass Fee
The Pier Pass traffic mitigation fee is charged if your shipment is unloaded at the Port of Los Angeles/Long Beach during peak hours. It's part of the port's effort to reduce traffic congestion in the region, by incentivizing pickup during off-peak hours.

The transportation of highway trailers or demountable trailer bodies on specially equipped rail flat cars.

Cargo stolen from the container, warehouse or terminal.

Plimsoll Mark
Depth to which a vessel may safely load. Identified by a circle on the vessel's side with a vertical line through and a number of small horizontal lines showing the max depth for summer and winter.

Point of Sale (POS)
Point of sale refers to the time at which a cardholder and a merchant complete a transaction. This is present in online purchases, Door Deliveries and transactions carried out in traditional brick and mortar stores. The point of sale (or POS) in retail industries uses a combination of software as well as hardware

Port & Terminal Service Charge [PTSC]
South Europe Conference [SEAC] charge incurred when the shipper is not able to deliver cargo directly alongside the vessel. The carrier may assess its expenses in moving cargo from the shipper's point of delivery to the vessel.

Port filings
A port filing is a notification to the port that a certain container will be on board of a certain vessel going to a certain location with corresponding export declaration documents. It is a step after export clearance.

Port of Discharge (POD)
A port where cargoes and containers are unloaded from a vessel.

Port of Loading (POL)
A port where cargoes or containers are loaded onto a vessel.

The moving of empty equipment from surplus areas to deficit areas.

Post Implementation Review (PIR)
An assessment and review of the completed project/solution. It should be performed after a period of live running, some time after the project is completed. The purpose is to ascertain the degree of success from the porject, the efficacy of the solution to see if further improvements can be made and to learn lessons from the project which may benefit future projects for the team members/organization.

The POSTNET barcode is used on envelopes and postcards that are sent through the U.S. Postal Service. This barcode is placed in the lower right-hand corner of the envelope.

Power of Attorney
Power of attorney, in the context of customs clearance, is the authorization required to be given to the customs broker on behalf of the importer or exporter.

Pre-Carriage (PRE - CARRIAGE)
Service of providing inland export transportation from our customer's premises to the port of loading. This offers the customer the flexibility of door to door transportation. This service is applicable when the carrier provides inland transportation from the desired inland location, based on the request of the customer.

A pre-pull is when an ocean container is picked up from the port and stored at the trucker's yard, instead of being immediately delivered. A pre-pull may be used to help avoid demurrage fees.

Pre-Trip Inspection Service
A service arranged by the carrier to have a technician perform an extra check on temperature controlled containers to ensure that the unit is functional and ready to transport commodities at the required temperature settings. The inspection is performed before release of the empty container. This service is applied upon the customer's request and/or to certain types of commodities where it is mandatory to be applied in order to permit transport of the shipment.

Preferential Duties
A Preferential Duty Rate is lower than the normal duty rate applied to the imports from third countries.

Pricing and Quoting (PNQ)
Commonly used abbreviation when contacting the Finance GSC team handling late ICB creation

A charge paid by shippers to ship agents for services provided by the agent in Turkish and Greek ports, generally for loading activities conducted by port stevedores. It is not an actual contractual term so the obligation to pay does not depend on its inclusion in the bill of lading.

An informal preliminary document (usually invoice) sent to buyers describing a shipment of goods in advance of their delivery.

Proof Of Delivery (POD)
Documentation signed by the receiver of goods to evidence the completion of the shipment of goods.

Protection and Indemnity Insurance (P&I)
A form of mutual maritime insurance provided by a P&I Clubm. A P&I Club provides cover for open-ended risks that traditional insurers are reluctant to insure. Typical P&I cover includes: a carrier's thrid party risks for damaged caused to cargo during carriage; war risks; and risks of environmental damage such as oil spills and pollution.

PSS (Peak Season Surcharge)
PSS is a fluctuating surcharge that carriers may apply during times of high demand.

Pull Strategy
A production and distribution strategy based upon specific customer demand. In a pure pull strategy, only goods and services that are ordered by a customer are produced and shipped, e.g. the historical DELL model of PC production to order.

Purchase Order
Common grouping of orders for goods/services. Several SKU categories may be listed on one purchase order. Most customers group their orders in a particular way to facilitate distribution at the other end. For example, one purchase order for an apparel importer might encompass 2 dozen green sweaters and 2 dozen red sweaters. If those P.O.s originated from the same store, it is simple for the store to put all items under that P.O. onto the right truck.

Push Strategy
A production and distribution strategy based upon forecasts rather than actual demand, essentially product is produced towards forecast and stored in inventory until required.

Quality Control
The systematic planning, measuring and control of a combination of people, materials, metrology and machines, with the objective of producing a product that satisfies the quality and profitability of the enterprise.

Quarterly Business Review (QBR)
A quarterly meeting with a key customer to discuss operational and business improvements and ways forward. (30% looking backward, 70% looking forward).

A pier, wharf or other structure built along a shore for landing, loading and unloading boats or ships.

Quick Reference Guide (QRG)
Manual / SOP / description of how a task is done

Quick Response (QR)
A consumer-driven system of replenishment in which high-quality products and accurate information flow through a paperless (EDI) system between all distribution points from the manufacturing line to the retail checkout counter. Distributors, carriers and suppliers act as trading partners and focus on improving the total supply system.

A legal instrument used to release one person's right, title or interest to another without providing a guarantee or warranty of title.

Location for loading and unloading containers at railroad terminal.

Rate Agreement
Group of carriers who discuss rates and common problems with options to file independent tariffs.

An approach to improving business operations through reinventing, reevaluating, redesigning and redoing.

Received for Shipment Bill of Lading
Can be issued on the carrier's actual receipt or taking custody of goods, if requested goods are not yet necessarily loaded on board a vessel or other conveyance. This form of bill of lading would usually be switched to an on board bill of lading or added as an on board notation upon the actual loading of goods on board a vessel or other conveyance.

Refers to a refrigerated container.

Register Ton
A unit of interior capacity of ships.1 Register Ton = 100 cubic feet or 2,832 cubic metres.Also known as vessel ton.

Related Parties
Related parties are relationships that may affect the declared import value to U.S. Customs and Border Protection.

Marine shipment that is transferred to its ultimate destination port after having been shipped to an intermediate point.

Cargo is released from the carrier to the consignee/ agent.

The process of moving the inventory of an item from a reserve storage location to the primary picking location or to another mode of storage in which picking is performed.

Request For Quote/Information/Price (RFQ/RFI/RFP)
A formal request by a company or customer for information or prices on products/ services or a defined quotation to support customer needs.

Residential Delivery Fee
A trucker may charge a residential delivery fee if delivering to a residential fee. Other costs may also be associated with a residential delivery.

A restow is a move where a container is off loaded from on board the ship and put back onto the ship either at the same stow position or a different stow position. This could be due to incorrect stowage of a container or a change of destination was requested at a later stage

Return Cargo
Cargo to be returned to original place of receipt.

Revenue Ton
Number of tonnes which freight is paid for per ton.

Reverse Logistics
Reverse Logistics is a rather general term. In its broadest sense, reverse logistics stands for all operations related to the reuse of products and materials. The management of these operations can be referred to as Product Recovery Management (PRM). PRM is concerned with the care of products and materials after they have been used. Some of these activities are, to some extent, similar to those occurring in the case of internal returns of defective items due to unreliable production processes. Reverse logistics refers however to all logistics activities the collection, disassembly and processing of used products, product parts and/or materials in order to ensure a sustainable (environmentally-friendly) recovery.

Roll-on/Roll-off (RoRo)
RoRo ships typically come with ramps or slips that allow workers to drive wheeled cargo on and off them.

Rolled Cargo
Rolled cargo is cargo that could not be loaded onto the vessel it was scheduled to sail on because that vessel ran out of capacity.

Rules of Origin
Rules of origin are legal standards that determine how to treat goods from a tariff standpoint based on their country of origin.

Safety Of Life At Sea (SOLAS)
See IMO, recent updates to SOLAS, effective July 2016, require that the shipper (or a third party under the shipper’s responsibility) is required to weigh the packed container or all of its contents, depending on the selected method. The weighing equipment that is used must meet national certification and calibration requirements. The SOLAS amendments demand that the weight verification must be ‘signed’: a specific person must be named and identified as having verified the accuracy of the weight calculation on behalf of the shipper. A carrier may rely on this signed weight verification as being accurate.

Safety Stock
The average volume of inventory on hand when a new order is received, safety stock is put in place usually to cope with demand and supply volatility and is a factor of volatility, product value, customer needs and product complexity. Safety stock on many occasions is a high cost for organizations. Our SCD teams can review inventory management practices for key customers and suggest improvements.

Seals, also Container Seals
Seals are 'one-time door locks' used to secure goods containers. Each seal-lock can be used only once. Seals are numbered for record and security purposes, minimize the risk of unauthorized access and manipulation to the container contents. After a container is stuffed, the seal must be applied and the number documented. Heavy-duty container seals are designed to withstand natural elements and last the entire voyage of the container until it is removed by the customer at the destination. Unbroken seal can be a proof of integrity.

A type of bill of lading used for port-to-port or combined transport carriage. A waybill is identical to a negotiable bill of lading except that it is not a document of title. There are no originals issued for this type of document. In some jurisdictions, such as the USA, a waybill is deemed the equivalent of a (straight) consigned bill of lading. See also Waybill.

Sell through rate is a calculation, commonly represented as a percentage, comparing the amount of inventory a retailer receives from a manufacturer or supplier against what is actually sold to the customer

Service Agreement
Private contracts between one or more carriers and one or more shippers to transport cargo between specified points under terms and conditions of carriage agreed and listed in the contract. It often allows for particular rates based on volume over a specified period of time. Also commonly known as a service contract.

Service Level agreement (SLA)
A contract or addendum between the client and service provider that specifies in measurable terms the type, quantity and quality of the services the service provider will provide.

Set Point
Specific temperature that a refrigerated container has been set to keep. Ideally, the set point and the actual temperature should be identical throughout the voyage.

Shanghai Shipping Exchange (SSE)
Shanghai Shipping Exchange (SSE), jointly founded by the Ministry of Transport and Shanghai Municipal People’s Government on November 28 1996 under the approval of the State Council, is the first state-level shipping exchange in China and the founding of the SSE represents a major step taken by the Chinese government to promote and invigorateChina’s shipping market and match the construction of Shanghai International Shipping Center.

Ship From Address (Amazon)
Amazon Seller Central will request a Ship From address, and this address will not be your supplier's address.

Ship's Chandlers
Suppliers of various items to the vessel.

A delivery of a parcel

Shipment Window
A date range set by the buyer, during which time the supplier must ship the cargo. The buyer decides on the dates based on when he will need the stock. If the buyer chooses a date that is too early, he may not have space for the stock. If he chooses a date that is too late, he may not have the stock in time for a sale.

Shipped On Board (SOB )
Shipped on Board is a definite statement that the goods are actually on-board the vessel. This is the most satisfactory type of receipt and the shippers prefer such a B/L as there is no doubt about the goods being on-board.

1. Person who consigns something (e.g. the goods of an individual shipment). 2. Legal entity or person named on the bill of lading or waybill as shipper and/or who (or in whose name or on whose behalf) a contract of carriage has been concluded with a carrier. Also known as consignor.

Shipper Packed
Contents of containers as loaded (stuffed), stowed (packed/braced), weighed and/or counted by or for the shipper, usually a CY load.

Shipper's Letter of Instruction (SLI)
An SLI is a necessary document for exporting goods from the U.S.

Shippers Export Declaration
A form required by export authorities of many countries to document the export of goods.

Shipping Instruction (SI)
Shipper instruction on ocean shipment for creation of BL

Shipping Order (SO)
A Shipping Order is the document that confirms space for a shipment has been booked on a vessel.

Short Landed
Cargo volume count (at delivery destination) less than originally shipped.

Short Shipped
Cargo missing a vessel that it was originally intended for.

The act of moving the cargo (vehicles) within the terminal/port or from one terminal to another in the same port on its own wheels. In rail it is the process of sorting items of rolling stock into complete train sets or consists, or the reverse.

Slot Charter
A carrier's chartering of slots/spaces on other carrier's vessels.

User Group for Shipping Lines and Container Terminals. SMDG develops and promotes UN/EDIFACT EDI messages for the maritime industry and is an official Pan European User Group recognised by the UN/EDIFACT Board.

Special Customs Invoice
An official form usually required by U.S. Customs if the rate of duty is based upon the value, and the value of the shipment exceeds USD 500. This document is usually prepared by the foreign exporter or his forwarder and is used by customs in determining the value of the shipment. The exporter or his agent must attest to the authenticity of the data furnished.

Special Delivery Fee
A special delivery fee is charged by a trucker for a delivery outside of their normal service parameters, such as an after-hours delivery or delivery to a destination they don't typically service.

Special Rate
Rate established for a specified commodity for a specific period of time.

Split Shipment
When your air shipment is split, your cargo does not arrive on a single flight, but is instead distributed among two or more flights. This is more likely to happen with a large shipment.


1 Short Ton = 2 000 lbs.

Standard Carrier Alpha Code (SCAC)
The Standard Carrier Alpha Code (SCAC) is a privately controlled US code used to identify vessel operating common carriers. It is typically two to four letters long. The National Motor Freight Traffic Association developed the SCAC code in the 1960s to help road transport companies computerize data and records.

Standard Trading Terms & Conditions (STC)
Reference to Standard Trading Terms which outline the general position of our company regarding the conduct of its services and limitations of liabilities in specific circumstances.

Abbreviation for Said To Contain.

The rear part of a ship, technically defined as the area built up over the sternpost, extending upwards from the counter to the taffrail.

Terminal operator who is designated to facilitate the operation of loading and discharging vessels and various terminal activities. Also known as longshoreman.

Stock Keeping Unit (SKU)
Smallest unit grouping for goods, normally indicating a single retail item. Usually, several SKUs will be under one purchase order.

Stop Off Fee
A stop off fee may be charged if your shipment is split between two delivery locations.

Storage Charges
Storage charges may apply to your shipment even if you don't plan on putting your shipment into storage.

Store-Door Delivery
Service of providing inland import transportation to our customer's premises from the port of discharge. This offers the customer flexibility of door to door transportation. This service is applicable when the carrier provides inland transportation to the desired inland location, based on the request of the customer.

A service offered to the customer in which the carrier performs stripping (cargo unloading) or stuffing (cargo loading) of the customer's container at the port area. This service is applied based upon the customer request.

Stuffing a container in logistics means to load a container.

Supply Chain
The movement of materials and information through the logistics process from acquisition of raw materials to delivery to end-user. The supply chain includes all vendors, service providers and customers.

Supply Chain Development (SCD)
Backed by extensive experience in supply chain and project management, our SCD teams use proven methods and analytical tools to implement solutions that help customers to maximize the value they gain from their supply chain.

Supply Chain Management
The management and control of all materials and information in the logistics process from acquisition of raw materials to delivery to end-user.

Additional charges above ocean freight. See also Add-Ons.

Society for Worldwide Interbank Financial Telecommunication a cooperative organised under Belgian law providing the following services to participating financial institutions: Letters of credit (opening and transmission), money transfers, payment security settlements. Other businesses participating in SWIFT are: Security brokers and delaters, clearing and depository institutions, security exchanges and travellers cheques issuers.

Switch Bill of Lading
This service is provided by the carrier to 'switch' transport documents (B/L's) to show new parties by issuing a 2nd set of documents. A 'switch' is used to prevent the shipper from being visible to the buyer and protects the interests of the cargo intermediary. The service is applicable upon the customer's request for this service.

Tail Gate Exam
A Tail Gate Exam is the next step up from an X-ray exam.

Tare Weight
Weight of an empty container. Gross weight = net weight + tare weight.

TARIC | The Integrated Tariff of the European Union
A TARIC code is a minimum of 10 digits of which the first 6 are based on the international Harmonised System.

List of published rates, rules and regulations applicable to the transportation of goods in specified trade lanes or between two areas.

Tariff Engineering
Tariff engineering is the modification a new or existing product so as to pay the lowest possible duty rate on the product.

Tariff Quotas | Preferential or Autonomous
Tariff concessions that are provided for a predetermined volume of goods are called "preferential tariff quotas".

Telex release
An electronic message transmitted from an agent or shipping line at the port of loading (POL) to the agent at the port of discharge (POD). This message signifies that the shipper has surrendered the original Bill of Lading (OBL).

Terminal Handling Service-Destination (DHC)
This service covers the cost of the handling of a container at the destination port or terminal. This service is applicable to all shipments.

Terminal Handling Service-Origin (OHC)
This service covers the cost of handling a container at the origin port or terminal. This service is applicable to all shipments.

Terminal Receiving Charge (TRC)
Charge assessed by the terminal for cargo being delivered for export.

Terms of Sale (TOS)
Terms of Sale (i.e. FOB/CIF/FAS).

Twenty-foot Equivalent Unit A measure of container capacity still used by some institutions 1 FFE = 2 TEU

Third Party Providers
Companies that can be employed (hired) to assume tasks that were previously performed in-house by the client.

Through Rates
A rate applicable from point of origin to destination. A through rate may be either a joint rate or a combination of two or more rates.

TI-HI, also Ti-High, Tie-High, or Ti by Hi
It refers to the number of boxes/cartons stored on a layer, or tier, (the TI) and the number of layers high that these will be stacked on the pallet (the HI).[1] It can also be used in reference to the stacking pattern used to load a pallet in order to generate a relatively stable stack. These measurements will usually be asked for following the Cube (cubic feet) of a Master Carton.

TIR Carnet
A document which can be issued to ease border crossings in Europe. Customs at a European location places a seal on a container and issues the TIR Carnet. The document and seal allow the container to cross borders without inspection to the consignee's door, where destination customs will then inspect the cargo.

To order of Shipper
The shipper, by way of endorsement and passing of the document, allows a transfer of the rights to take delivery of the goods in the document e.g. a bill of lading.

Total Average Inventory
The sum of average order quantity (one half of order quantity) plus safety stock. Safety stock is the amount on hand after the arrival of the order. Also, the average normal use stock plus the average lead stock plus safety stock.

Total Cost of Distribution
The sum of purchasing, transportation and storage costs in the movement of finished products through the post production channel.

Total Quality Management
An approach to business management that focuses on quality and typically has: a strong customer orientation, total involvement, measurement systems, systematic support and continuous improvement.

A request on a transportation line to trace a shipment for the purpose of expediting its movement or establishing delivery. Common usage of this term has been simplified to mean any request for status of a shipment.

Trade Remedy
Trade remedies are tactics such as imposing additional duties, quotas, prohibitions on imports or other methods that government organizations use to counteract unfair trade practices.

Trailer on Flat Car Rail (TOFC)
Trailer on Flat Car Rail Service in which a container is loaded on a rail car with chassis, bogies or wheels.

Transloading is the process of moving a shipment from one mode of transport to another. See below for why your shipment might be transloaded.

Transmittal Letter
List of the particulars of the shipment and a record of the documents being transmitted, together with instructions for the disposition of documents.

Transport Management System (TMS)
Transport Management System assists in the planning and coordination of shipping tracking and delivering freight from one place to another. It also tracks processes and delivers customized shipping solutions that save time and money

The shipment of freight to an intermediate destination and from there to another destination.

A transtainer is a large gantry crane, sometimes called an RTG, used to load, unload, or stack containers.

Trucking Wait Fee
A trucking wait fee is typically charged by a truck driver if they have to wait more than 1-2 hours while cargo is being unloaded. This is a prorated hourly charge.

TTW | Toestemming Tot Wegvoering
Permission from the customs authorities for the goods to be removed from Customs supervision.

This barcode is a specially defined subset of Code 128 that is used mostly on shipping containers. It is numeric only, having a fixed length of 19 digits.

ULD (Unit Load Device)
ULDs contain airfreight cargo.

Free space above a liquid contained in a tank, drum or tank-container, expressed as a percentage of the total capacity. Ullage is often used to leave room for possible expansion of the liquid.

Ultimate Consignee
An ultimate consignee is the party who will be the final recipient of a shipment.

Ultra Large Container Ship (ULCS)
A container carrier with a minimum capacity of 12,500 TEUs.

Ultra Large Crude Carrier (ULCC)
A tanker vessel with a minimum capacity of 320,000 dwt.

UN Dangerous Goods Number (UNDG)
The four-digit number assigned by the United Nations Committee of Experts on the Transport of Dangerous Goods to classify a substance or a particular groups of substances. Note: The prefix 'UN' must always be used in conjunction with these numbers.

UN Number
The same as UNDG. An identification number referring to hazardous cargoes as classified by the I.M.O.

United Nations Centre for Trade Facilitation and Electronic Business. The worldwide facilitation of international transactions through the simplification and harmonisation of procedures and information flows.

United Nations Electronic Data Interchange for Administration, Commerce and Transport.

United Nations Code for Trade and Transport Locations, a geographic coding scheme developed and maintained by the UNECE. Assigns codes to lcoations uses in trade and transport.

Unaccompanied Baggage
A term mostly used in aircraft. Ocean Shipping uses instead 'Household Goods' or 'Personal Effects.'

Unclean Bill of Lading
A bill containing reservations as to the good order and condition of the goods, or the packaging, or both - for example, 'bags torn;' 'drums leaking;' 'one case damaged' or 'rolls chafed.'

Under the weather
Serving a watch on the weather side of the ship, exposed to wind and spray.

Under way
A vessel that is moving under control: that is, neither at anchor, made fast to the shore, aground nor adrift.

Under-keel clearance (UKC)
Commonly used to define the distance between the lowest point on the ship's keel (or hull) and the highest point on the channel bottom beneath the ship.

Underwater hull or underwater ship
The underwater section of a vessel beneath the waterline, normally not visible except when in drydock.

Uniform Customs and Practice (UCP)
An internationally recognized codification of rules unifying banking practice regarding documentary credits (L/C’s) and should be referenced within L/C’s. The UCP was co-developed with the International Chamber of Commerce (ICC).

Uniform Freight Classification (UFC)
Uniform Freight Classification

Unit Cost
The cost associated with a single unit of product; it is calculated as the total cost of producing a product or service divided by the number of units in the run or lot.

Unit Load
Packages loaded on a pallet, in a crate or any other way that enables them to be handled at one time as a unit.

Unit Load Device (ULD)
A pallet or container used to load many items including freight on wide-body aircraft and specific narrow-body aircraft.

Unit load device (UND)
A pallet.

Unit Train
A train of a specified number of railcars, perhaps 100, which remain as a unit for a designated destination or until a change in routing is made.

United Arab Shipping Company (UASC)
Established in July 1976; jointly by the six shareholding states from the Persian Gulf (Bahrain, Iraq, Kuwait, Qatar, Saudi Arabia and UAE). The head office is located in the State of Kuwait. UASC is the largest ocean carrier of dry cargo to the Middle East.

United Nations Convention on the Law of the Sea (UNCLOS)
Also called the Law of the Sea Convention or the Law of the Sea treaty, is the international agreement that resulted from the third United Nations Conference on the Law of the Sea (UNCLOS III), which took place from 1973 through 1982. The Law of the Sea Convention defines the rights and responsibilities of nations in their use of the world's oceans, establishing guidelines for businesses, the environment, and the management of marine natural resources.

The consolidation of a quantity of individual items into one large shipping unit for easier and faster handling through methods such as palletizing, stripping, slinging and containerization.

Port equipment employed to unload ships carrying dry bulk cargo. (Note: Small movable and hoistable unloaders are sometimes referred to as “vacuvators.”).

The removal of a shipment from a container to a platform or warehouse.

To remove the ropes that attach a ship to the shore.

Slack off quickly and run slack to a belaying point. This order is given when a line or wire has been stopped off or falls have been four-in-hand and the hauling part is to be belayed.

UPC (Universal Product Code) version A is used to encode an 11 digit number. The first digit is the system number and the rest are data characters. Both 2 and 5 digit supplementals are also supported.

UPCE 11-Digit
UPCE is a zero suppressed version of the UPCA barcode. This version allows 11 digits to be encoded. The first digit must be zero. Both 2 and 5 digit supplementals are also supported.

UPCE0 6-Digit
UPCE is a zero suppressed version of the UPCA barcode. This version allows 6 digits to be encoded. The first digit must be zero. Both 2 and 5 digit supplementals are also supported.

UPCE1 6-Digit
UPCE is a zero suppressed version of the UPCA barcode. This version allows 6 digits to be encoded. The first digit must be zero. Both 2 and 5 digit supplementals are also supported.

Specially selected personnel destined for high office.

United States Customs and Border Protection Agency Customs authority for the USA

The legal right of using and enjoying the profits of something belonging to another party.

UTB | Uitnodiging Tot Betaling
Is the Dutch term for the actual Duties Bill.

Utilisation Rate
The quotient of used capacity and available capacity.

The shape of a boat or ship which sees the shape of the hull comes to a straight line to the keel.

Validated Export License
A document required for commodities deemed important to national security, foreign-policy objectives, or protecting domestic supplies of strategic materials. The license constitutes permission to export a specific product to a specific party. The exporter applies for the license, which must be returned to an Export Administration after completing the specified shipments.

Valuable Cargo
A consignment which contains one or more valuable articles.

Valuation Challenge
This is a type of customs inspection conducted by customs authorities when they have grounds to be suspicious about the customs value.

Valuation Charge
Transport charges for certain goods, based on the value declared for the carriage of such goods (also: 'Ad Valorem').

Value Added Tax (VAT)
A form of indirect sales tax paid on products and services at each stage of production or distribution, based on the value added at that stage and included in the cost to the ultimate customer.

Value Chain
Variation on supply chain. The term is used to communicate the value each member, contributor or participant adds to the value of the final delivered product.

Value Proposition
A statement of the unique value add an organization offers its customers in differentiating itself from its competition.

A rope leading from the gaff to either side of the deck; used to prevent the gaff from sagging. For more information see boom vang.

Vanishing angle
The maximum degree of heel after which a vessel becomes unable to return to an upright position.

A term for stowing cargo in a container.

Variable cost
Costs that vary directly with the level of activity within a short time. Examples include costs of moving cargo inland on trains or trucks, stevedoring in some ports, and short-term equipment leases.

VAT (Value Added Tax) Number
A VAT number is required to import into the EU.

External supplier of merchandise.

Ventilated Container
A container designed with openings in the side and/or end walls to permit the ingress of outside air when the doors are closed.

Verified Copy of Bill of Lading (VC )
Verified Copy (VC) is a draft of Bill of Lading (B/L) issued by the carrier to the shipper who gave his final approval that all inserted Information in this draft are correct.

Vertical Integration
The expansion, acquisition or merger of firms in the same value chain e.g. a supermarket buying a dairy producer that provides milk to the supermarket.

A floating structure designed for the transport of cargo and/or passengers.

Vessel Manifest
The international carrier is obligated to make declarations of the ship's crew and contents at both the port of departure and arrival. The vessel manifest lists various details about each shipment by bill of lading number. Obviously, the bill of lading serves as the core source from which the manifest is created.

Vessel operating common carrier (VOCC)
A carrier defined by maritime law, offering an international cargo transport service operating their own vessels under their own rate structure in accordance with tariffs filed with the Federal Maritime Commission.

Vessel Sharing Agreement (VSA)
A term agreement between two or more carriers in which a number of container positions (""slots"") equal in space are reserved on particular vessels for each of the participants. The number of slots (space) on different vessels on the same route can vary by vessel type and direction but may also be expressed as each party's capacity use of the vessels employed jointly.

Vessel Supplies for Immediate Exportation (VSIE)
Allows equipment and supplies arriving at one port to be loaded on a vessel, aircraft, etc., for its exclusive use and to be exported from the same port.

Vessel Ton
A unit of interior capacity of ships equal to 100 cubic feet or 2,832 cubic metres; register ton.

Used in tariffs to specify commodities.

Vessel Operation Deployment Key Account

Measure of relative deviation in a system.

Voltri Terminal Europa (VTE)
A Genoa-based container operator.

Volume charge
A charge for the carriage of goods based on their volume (by units of one cubic metre or 40 cubic feet).

Volume Rate
Rate applicable in connection with a specified volume (weight) of freight.

The journey of cargo consignment from its origin to final destination.

Voyage Charter
A contract under which the shipowner agrees to carry an agreed quantity of cargo from a specified port or ports to another port or ports for a remuneration called freight, which is calculated according to the quantity of cargo loaded, or sometimes at a lump sum freight.

Voyage Number
The reference number assigned by the carrier or his agent to the voyage of the vessel.

The central deck of a ship between the forecastle and the quarterdeck.

Waiting Time
A trucking tariff term referring to any period of time beyond the allocated Free Time that a driver has to wait while the customer loads or unloads a container. Until the Free Time period has expired a driver can wait without the customer incurring extra expenses. Waiting Time, however, is chargeable to the client. In the event the necessary Waiting Time would be too costly, shippers may opt for a 'drag-and-drop' solution, whereas the trucker would drop the container and immediately leave. They will return to pick up the container once laden. This option is more costly than a straight load but may be a lot cheaper than paying for Waiting Time.

Waiver Clause
A clause in a marine insurance policy stating that no acts of the insurer or insured in recovering, saving or preserving the property insured, shall be considered a dismissal from or acceptance of abandonment.

The turbulence behind a vessel; not to be confused with wash.

A number of strong and thick planks running length-wise along the ship, covering the lower part of the ship's side.

War Risk Insurance
Insurance issued by marine underwriters against war-like operations specifically described in the policy. In former times, war risk insurance was taken out only in times of war, but currently many exporters cover most of their shipments with war risk insurance as a protection against losses from derelict torpedoes and floating mines placed during former wars, and also as a safeguard against unforeseen warlike developments. In the US, war risk insurance is written in a separate policy from the ordinary marine insurance; it is desirable to take out both policies with the same underwriter in order to avoid the ill effects of a possible dispute between underwriters as to the cause (marine peril or war peril) of a given loss.

A building specially designed for reception, delivery, consolidation, distribution and storage of goods/cargo.

Warehouse Entry
The document that identifies goods imported when placed in a bonded warehouse. The duty is not imposed on the products when stored in the warehouse but will be collected when they are withdrawn for delivery or consumption.

Warehouse receipt
A document that communicates proof of ownership of cargo stroed in the warehouse.

Warehouse Withdrawal for Immediate Exportation (WDEX)
An agreement allowing merchandise that has been withdrawn from a bonded warehouse at one US port to be exported from the same port without paying duty.

Warehouse Withdrawal for Transportation (WDT)
An agreement allowing merchandise that has been withdrawn from a bonded warehouse at one port to be transported in bond to another port, where a superseding entry will be filed.

Warehouse Withdrawal for Transportation Exportation (WDT&E)
An agreement allowing merchandise that has been withdrawn from a bonded warehouse at one port - to be transported in bond through the US - to be exported from another port, without paying duty.

A clause in marine insurance policy whereby the underwriter agrees to cover the goods while in transit between the initial point of shipment and the point of destination, with certain limitations, and also subject to the law of insurable interest. When it was first introduced, the warehouse-to-warehouse clause was extremely important, but now its importance is diminished by the marine extension clauses, which override its provisions.

The storing of goods/cargo.

Warsaw Convention
The Convention for the Unification of Certain Rules Relating to International Carriage by Air, signed at Warsaw, 12 October 1929, or that Convention as amended by the Hague Protocol, 1955, stipulating obligations or parties and limitations and/or exonerations of carriers.

The waves created by a vessel; not to be confused with wake.

A period of time during which a part of the crew is on duty. Changes of watch are marked by strokes on the ship's bell.

Water transport vessels. Ships, boats, personal water craft etc.

A strake of timber laid against the frames or bulwark stanchions at the margin of a laid wooden deck, usually about twice the thickness of the deck plank.

Waybill (WB
A document prepared by a transportation line at the point of a shipment; shows the point of origin, destination, route, consignor, consignee, description of shipment and amount charged for the transportation service. A waybill is forwarded with the shipment or sent by mail to the agent at the transfer point or waybill destination. Unlike a bill of lading, a waybill is not a document of title.

A location defined by navigational coordinates, especially as part of a planned route.

Wear and Tear
The loss or deterioration of an item resulting from ordinary use.

Wearing ship
Tacking away from the wind in a square-rigged vessel. For more information see Gybe.

Weather deck
Whichever deck is that exposed to the weather - usually either the main deck or, in larger vessels, the upper deck.

Weather gage
A favorable position over another sailing vessel to with respect to the wind.

Weather side
The side of a ship exposed to the wind.

Weather working days (W.W.D.)
Some ports might not work with strong winds presenting dangerous conditions on the cranes, some others on the handling equipment, or again on the vertical stacks of containers.

A ship that is easily sailed and manoeuvred; makes little leeway when sailing to windward.

Weigh anchor
To heave up (an anchor) - a preparatory task before setting sail.

Gross - The weight of the goods including packing, wrappers, or containers, internal and external. The total weight as shipped. Net - The weight of the goods themselves without the inclusion of any wrapper. Tare - The weight of the packaging or container. Weight / Measurement Ton - In many cases, a rate is shown per weight/measurement ton, carrier's option. This means that the rate will be assessed on either a weight ton or measurement ton basis, whichever will yield the carrier the greater revenue. As example, the rate may be quoted on the basis of 2,240 pounds or 40 cubic feet or of one metric ton or one cubic metre. Weight Ton - There are three types of weight ton; the short ton, weighing 2,000 pounds; the long ton, weighing 2,240 pounds; and the metric ton weight 2,204.68 pounds. The last is frequently quoted for cargo being exported from Europe.

Weight Cargo
A cargo on which the transportation charge is assessed on the basis of weight.

Weight Charge
A charge for the carriage of goods based on their weight.

Weight guarenteed (W.G.)
Weight guarenteed

Weight Load Factor
Payload achieved as against available, expressed as a percentage. Cargo is frequently limited by volume rather than weight; load factors of 100% are rarely achieved.

Weight or measurement (W/M)
The basis for assessing freight charges used in breakbulk shipments. Also known as 'worm.'

Weight Ton
A ton of 1

Weight, Legal
Net weight of goods, plus inside packing.

Weight/measurement (W/M)
The term in a Bill of Lading signifying that the master and the carrier are unaware of the nature or quantity of the contents of e.g. a carton, crate, container or bundle and are relying on the abbreviation for 'Weight and/or measurement.' This is also a possible method to assess a freight rate to a shipment.

Places in the ship's hold for the pumps.

A structure built on the shore of a harbour extending into deep water so that vessels may lie alongside. For more information see Dock and Pier.

Wharfage is the fee charged for use of the wharf to unload a vessel.

Wheel or ship's wheel
The usual steering device on larger vessels, a wheel connected by cables to the rudder.

The location on a ship where the steering wheel is located; often interchanged with pilothouse and bridge.

Whether in berth or not (W.I.B.O.N.)
Whether in berth or not

A vertical lever connected to the tiller, used for steering on larger ships before the development of the ship's wheel.

White horses or whitecaps
Foam or spray on wave tops caused by stronger winds (usually above Force 4).

Wide berth
To leave room between two ships moored (berthed) allowing space for manoeuvre.

Sea conditions with a tidal current and a wind in opposite directions, leading to short, heavy seas.

The wind resistance of a boat.

A condition wherein the ship is detained in one particular station by contrary winds.

A winch mechanism, usually with a horizontal axis. It is used where the mechanical advantage is greater than that obtainable by block and tackle (such as raising the anchor on small ships).

In the direction that the wind is coming from.

Windy Booking
A freight booking made by a shipper or freight forwarder to reserve space but not actually having a specific cargo at the time the booking is made. Carriers often overbook a vessel by 10 to 20 percent in recognition that 'windy booking' cargo will not actually ship.

With Average
A marine insurance term meaning that shipment is protected for partial damage whenever the damage exceeds a stated percentage.

With Particular Average
An insurance term meaning that the partial loss or damage of goods is insured. The damage must generally be caused by sea water. Many have a minimum percentage of damage before payment. It can also be extended to cover loss by theft, pilferage, delivery, leakage, and breakage.

Without Recourse
A phrase preceding the signature of a drawer or endorser of a negotiable instrument; it signifies that the instrument is passed onto subsequent holders without any liability to the endorser in the event of non-payment or non-delivery.

Without Reserve
A term indicating a shipper's agent or representative is empowered to make definitive decisions and adjustments abroad without the approval of the group or individual represented. For more information see advisory capacity.

World customs organisation
An intergovernmental organisation, headquartered in Brussels, Belgium. With its worldwide membership, the WCO is recognised as the voice of the global Customs community. It is particularly noted for its work in areas covering the development of international conventions, instruments, and tools on topics such as commodity classification, valuation, rules of origin, collection of customs revenue, supply chain security, international trade facilitation, customs enforcement activities, combating counterfeiting in support of Intellectual Property Rights (IPR), integrity promotion, and delivering sustainable capacity building to assist with customs reforms and modernisation. The WCO maintains the international Harmonised System (HS) goods nomenclature, and administers the technical aspects of the World Trade Organisation (WTO) Agreements on Customs Valuation and Rules of Origin.

World trade organisation (W.T.O.)
An organisation that supervises international trade.

Worm, serve, and parcel
To protect a section of rope from chafing by: laying yarns (worming), wrapping marline or other small stuff (serving) around it, and stitching a covering of canvas (parceling) over all.

X-Ray Exam
A Customs X-ray exam is the least intensive Customs exams.

International standard of the CCITT for packet switching of electronic data transmission.

A CCITT recommendation designed to facilitate international message and information exchange between subscribers of computer based store-and-forward services and office information systems in association with public and private data networks.

A series of computer networking standards regarding electronic directory services.

Xiamen International Container Terminals (XICT)
Xiamen International Container Terminals

1. The horizontal spar from which a square sail is suspended. 2. Fenced off, outdoor storage and repair area.

Yard Storage
Yard storage is charged by the trucker if a container is stored at the trucker's yard, instead of a terminal.

The very end of a yard; often mistaken for a "yard"

The acknowledgement of an order, or agreement.

A vessel's rotational motion about the vertical axis, causing the fore and aft ends to swing from side to side repetitively.

1. A vessel's small boat moved by one oar. 2. A small sailboat rigged fore-and-aft, with a short mizzenmast astern of the cockpit - distinguished from ketch.

Revenue, not necessarily profitable, per unit of traffic.

Yield Bucket
The remaining slot capacity for a trade/voyage in a certain port of loading after deduction of the allowance for specific contracts.

Yield Management
The process of maximising the contribution of every slot, vessel, trade and network. Basically it should be seen as the process of allocating the right type of capacity to the right kind of customer at the right price as to maximise revenue or yield. The concept should be used in combination with load factor management.

York-Antwerp Rules
A code of rules adopted by an international convention in 1890

A rubber dinghy. An inflatable craft for the transport of people.

Zone Rate
A zone rate is a type of freight rate used to determine cost by moving through geographic areas.