| Act of God |
| |
An act beyond human control, such as lightning, flood or earthquake. |
|
| Arrival Notice |
| |
A notification by carrier to the consignee about shipment arrival date and local costs involved (CFS charges). It is sent by fax or mail. |
|
| Bank Draft |
| |
Bank draft is a check guaranteed by a bank. They are usually treated as cash since most banks clear them instantly. |
|
| Beneficiary |
| |
A beneficiary in the broadest sense is a natural person or other legal entity who receives money or other benefits from a benefactor. |
|
| Bill of Lading(B/L) |
| |
A bill of lading (also referred to as a BOL or B/L) is a document issued by a carrier acknowledging that specified goods have been received on board as cargo for conveyance to a named place for delivery to the consignee who is usually identified. |
|
| CFR or C&F(Cost and Freight)(...Named Port of Destination) |
| |
Cost and Freight (CFR) is an Incoterm (international commercial terms). It means that the seller pays for transportation to the Port of Loading (POL), loading and freight. The buyer pays for the insurance and transportation of the goods from the Port of Discharge (POD) to his factory. The passing of risk occurs when the goods pass the ship's rail at the port of shipment.
|
|
| CIF(Cost, Insurance and Freight)(...Named Place of Destination) |
| |
A Term of Sale where the seller has the same obligations as under the CFR but also has to procure marine insurance against the buyer's risk of loss of or damage to the goods during the carriage. The seller contracts for insurance and pays the insurance premium. The CIF term requires the seller to clear the goods for export. |
|
| Commercial Invoice |
| |
A commercial invoice is document used in foreign trade. It is used as a customs declaration provided by the person or corporation that is exporting an item across international borders. Although there is no standard format, the document must include a few specific pieces of information such as the parties involved in the shipping transaction, the goods being transported (details, number, cost and others), the country of manufacture. |
|
| Confirming Bank |
| |
The bank that adds its confirmation to another bank's (the issuing bank's) letter of credit and promises to pay the beneficiary upon presentation of documents specified in the letter of credit. |
|
| Consignee |
| |
A person or legal entity to whom the shipment is to be delivered. |
|
| Container |
| |
A truck trailer body that can be detached from the chassis for loading onto a vessel, a rail car or stacked at a container depot. Containers may be ventilated, refrigerated, insulated, flat rack, vehicle rack, open top, bulk liquid or equipped with interior devices. A container may be 20 feet, 40 feet, 45 feet, 48 feet or 53 feet in length, 8'0" or 8'6" in width, and 8'6" or 9'6" in height. |
|
| Customs |
| |
Customs is a government authority or agency responsible for collecting and safeguarding customs duties and for controlling the flow of goods including animals, personal effects and hazardous items) in and out of a country. |
|
| Demurrage |
| |
Demurrage is a general term used to indicate a surcharge for delays in delivering a product. |
| Door-to-Door |
| |
Transportation of a shipment (FCL or LCL) from the door of a shipper to the door of consignee. Also known as House to House. |
|
| Export |
| |
Export is any good or commodity, transported from one country to another country typically for use in trade. |
|
| FOB (Free On Board) (...Named Port of Shipment) |
| |
Under the Incoterm standard, FOB stands for "Free On Board". Indicating "FOB" means that the seller pays for transportation of the goods to the port of shipment, plus loading costs. The buyer pays freight, insurance, unloading costs and transportation from the arrival port to the final destination. The passing of risks occurs when the goods pass the ship's rail at the port of shipment. |
|
| Freight Forwarder |
| |
A freight forwarder is an individual or company that dispatches shipments via asset based carriers and books or otherwise arranges space for those shipments. |
|
| Import |
| |
An import is any good or commodity, brought into one country from another country typically for use in trade. |
|
| Import License |
| |
An import license is a document issued by a national government authorizing the importation of certain goods into its territory. |
|
| Invoice |
| |
An invoice or bill is a commercial document issued by a seller to a buyer, indicating the products, quantities and agreed prices for products or services with which the seller has already provided the buyer. An invoice indicates that payment is due from the buyer to the seller, according to the payment terms. |
|
| Letter of credit |
| |
A letter of credit is a document issued mostly by a financial institution which usually provides an irrevocable payment undertaking (it can also be revocable, confirmed, unconfirmed, transferable or others e.g. back to back: revolving but is most commonly irrevocable/confirmed) to a beneficiary against complying documents as stated in the Letter of Credit. Letter of Credit is abbreviated as an LC or L/C, and often is referred to as a documentary credit, abbreviated as DC or D/C, documentary letter of credit, or simply as credit. |
|
| Marine Insurance |
| |
Marine Insurance covers the loss or damage of ships, cargo, terminals, and any transport or property by which cargo is transferred, acquired, or held between the points of origin and final destination. |
|
| Partner bank |
| |
A bank that, in its own country, handles the business of a foreign bank. |
|
| Pro Forma Invoice |
| |
An invoice provided by a supplier before to the shipment of merchandises, informing the buyer of the kinds and quantities of goods to be sent, their value, and specifications (weight, size, etc.). |
|
| Quotation |
| |
An offer to sell goods at a stated price and under stated terms. |
|
| "Ro/Ro" |
| |
Shortening of the term, "Roll On/Roll Off." A method of ocean cargo service using a vessel with ramps, which allows wheeled vehicles to be loaded and discharged without cranes. |
|
| Roll-on/Roll-off vessels |
| |
Ships specially designed to carry wheeled containers or trailers using interior ramps. |
|
| Shipper |
| |
The person or company who is usually the supplier or owner of commodities shipped. Also called Consignor. A classification, storage or switching area. |
