FreightAmigo Academy – Shipping Terms

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There are currently 38 terms in this directory beginning with the letter P.
Packing List
List of packages for each shipment, showing individual breakdown in weights/measure and quantity.

Pallet
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

Pier
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.

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

Pilferage
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.

Positioning
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.

POSTNET
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.

Pre-Pull
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

Primage
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.

Proforma
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.