TOOLS

• INCOTERMS
• CONVERTER/TOOLS
• GLOSSARY OF TERMS

ABI U.S. Customs' "Automated Broker Interface," by which brokers file importers' entries electronically AMS Automated Manifest System.? An application that expedites the clearance of cargo for the subsequent release of containers when imported to the U.S. through electronic submission of cargo manifests in lieu of bulk paper manifests.? Arrival notice An advice that the carrier sends to the consignee advising of goods coming forward for delivery. Pertinent information such as BL number, container number and total charges due from consignee etc, are included and sent to consignee prior to vessel arrival. This is done gratuitously by the carrier to ensure smooth delivery but there is no obligation by the carrier to do so. The responsibility to monitor the transit and present himself to take timely delivery still rests with the consignee. Alex load Maximum load permitted to be carried on each axle of a motor vehicle. BCO Abbreviation for "Beneficial Cargo Owner." Refers to the importer of record, who physically takes possession of cargo at destination and does not act as a third party in the movement of such goods. Bill of landing(B/L) Official legal document representing ownership of cargo, a negotiable document to receive cargo, and the contract for cargo between the shipper and the carrier. Blanket Waybill A waybill covering two or more consignments of freight. Block trail Railcars grouped in a train by destination so that segments (blocks) can be uncoupled and routed to different destinations as the train moves through various junctions. Eliminates the need to break up a train and sort individual railcars at each junction. Blocking or bracing Wood or metal supports to keep shipments in place or on railcars. Bls. Bales. A kind of customary packing unit Bobtail Movement of a tractor, without trailer, over the highway. Bona fide In good faith. Bonded Freight Freight moving under a bond to U.S. Customs or to the Internal Revenue Service, and to be delivered only under stated conditions. Bonded Warehouse A warehouse authorized by Customs authorities for storage of goods on which payment of duties is deferred until the goods are removed. Booking number A reference number for bookings registered. It should be unique without duplication for a three-year period. Bow The front of a vessel. Box Common term for an ocean going freight container. Boxcar A closed freight car. BPS Business Process and Systems - section within ISD responsible for implementation of IRIS-2 and user support in system and business processes. Break-bulk cargo Goods shipped loose in the vessel's hold and not in a container. British Thermal Unit(BTU) The amount of heat required to produce a temperature change of one degree Fahrenheit in one pound of water. Bulk Cargo Not in packages or containers; shipped loose in the hold of a ship without mark and count." Grain, coal and sulfur are usually bulk freight. Bulk carriers A vessel carrying dry, liquid, grain, not packaged, bundled or bottled cargo, and is loaded without marks & number or count. Bull rings Cargo-securing devices mounted in the floor of containers; allow lashing and securing of cargo. Bunker surcharge(BAF,BSC) Bunker Adjustment factor (BAF), or Bunker Surcharge (BSC) are surcharges assessed by the carrier to freight rates to reflect current cost of bunker. Bunkers Heavy oil used as fuel for ocean vessels. C.A.F Currency Adjustment Factor. Surcharge percentage applied to freight rates to reflect currency fluctuations. C.B.M(C.M) Cubic meter. C.K.D Abbreviation for Cars Knocked Down.? Automobile parts and subassemblies manufactured abroad and transported to a designated assembly plant.? A classification of Third Party International shippers. See Knocked Down. C.O.D Collect (cash) on Delivery; Carried on Docket (pricing); Change of Destination. Cargo manifest A manifest that lists only cargo, without freight and charges. Carrier Any individual, company or corporation engaged in transporting goods. Carrier's Certificate A certificate required by U.S. Customs to release cargo properly to the correct party. Cells The construction system employed in container vessels; permits below ship containers to be stowed in a vertical line with each container supporting the one above it. Cellular vessel A vessel designed with internal ribbing to permit the support of stacked containers. Certificate of origin Document certifying the country of origin of goods which is normally issued or signed by a Chamber of Commerce or Embassy. CFC's (chlorofluorcarbons) Chemical compounds containing mixtures of carbon, chlorine and fluorine molecules. Because of their stability, lack of flammability and ability to absorb and give up heat readily, CFC's have in the past been popular refrigerants. However, CFC's have been found to contribute to the deterioration of the ozone layer of the upper atmosphere, which is a condition believed to be hazardous to global health. These compounds should not be released into the atmosphere, but should be carefully collected for recycling. Production of CFC's is being phased out by an international convention, the Montreal Protocol. CFS/CFS A kind of cargo movement by container. Delivered loose at origin point with vanning by carrier, devanned by carrier at destination, and picked up loose at destination. Chassis A wheeled flat bed or a trailer constructed to accommodate containers moved over the road. Closing date Last day on which export cargo can be accepted for a nominated sailing.. Commercial Invoice Represents a complete record of the transaction between exporter and importer with regard to the goods sold. Also reports the content of the shipment and serves as the basis for all other documents about the shipment Confirmed Letter of Credit A letter of credit, issued by a foreign bank, whose validity has been confirmed by a domestic bank. An exporter with a confirmed letter of credit is assured of payment even if the foreign buyer or the foreign bank defaults. Consolidated cargo Cargo containing shipments of two or more shippers, usually shipped by a firm called a consolidator. The consolidator takes advantage of lower F.C.L. rates, and savings are passed on to shippers. Consolidation The combination of many small shipments into one container. Consolidator A person or firm performing a consolidation service for others. Consortium Group of carriers pooling resources in a trade lane to maximize their resources efficiently. Container A receptacle designed to transport cargo of many types in continuous transportation. Container freight station(CFS,C.F.S.) Consolidation depots where parcels of cargo are grouped and loaded into containers. D&H Dangerous and Hazardous. (Also see "Dangerous Goods") D.W. Dead Weight. The number of tons a ship can transport of cargo, stores and bunker fuel.? (Also see "Deadweight Tonnage") Dangerous Goods The term used by I.M.C.O. for hazardous materials which are capable of posing a significant risk to health, safety or property while being transported. DDC Destination Delivery Charges. A charge assessed by the carrier for handling positioning of a full container. Dead Space Space in a car, truck, vessel, etc., that is not utilized. Deadweight Tonnage(D/W) The number of total weight tons that a vessel can transport of cargo, stores and bunker fuel. It is the difference between the number of tons of water a vessel displaces "light" and the number of tons it displaces when submerged to the "load line." Dedicated Unit Train An unit train operated by various railroads for exclusive usage. Delivery Order A document authorizing delivery to a nominated party of goods in the care of a third party. Can be issued by a carrier on surrender of a bill of lading and then used by the merchant to transfer title by endorsement. Demurrage A penalty charge against shippers or consignees for delaying the carrier's equipment beyond the allowed free time. The? free time and demurrage charges are set forth in the charter party or freight tariff.? Depot Container Container freight station or a designated area where empty containers can be picked up or dropped off. Destination The place where the carrier actually turns over the cargo to consignee or his agent. Detention Charges raised for detaining container/trailer at customer's premises for longer period than provided in Tariff. Detention Charge See "Detention". ECU European Currency Units. A financial unit used for EC accounting. EDI Abbreviation for "Electronic Data Interface." Generic term for transmission of transactional data between computer systems. EDI is typically via a batched transmission, usually conforming to consistent standards. En route Along the route of movement. ETA Estimated time of arrival ETD Estimated time of departure. Ex Work An INCOTERMS term of sale applicable to all modes of transport. Export Shipment of goods to another country. Export Declaration A government document permitting designated goods to be shipped out of the country. F.A.K. Freight All Kind. System whereby freight is charged per container, irrespective of the nature of the goods, and not according to a Tariff. F.A.S. Free Alongside Ship. F.C.L. Full Containerload. Arrangement whereby shipper utilizes all the space in a container which he packs himself. F.I.O. Free In and Out. F.O.B. Stands for Free On Board which is a mercantile expression used in sale contracts denoting that goods have to be delivered by the shippers on board the vessel at a particular place, free of charge. FCL/FCL See CY/CY. FCL/LCL See CY/CFS. Feeder Vessel Vessel employed in normally short sea routes to fetch or carry goods and containers to and from ocean going vessels. FEU Forty-foot Equivalent Unit (40'' or 2 TEUs) Final Destibation(FND) End of carrier's liability where carrier delivers the cargo to consignee. Flash Point A temperature that when certain inflammable cargo reaches will trigger spontaneous ignition. It is an IMCO standard information requirement for dangerous goods. FMC Federal Maritime Commission. US Government Agency responsible for regulatory aspects of all maritime activities. Freight (a) The price paid to the carrier for the transportation of goods or merchandise by sea from one place to another. (b) Freight is also used to denote goods which are in the process of being transported from one place to another. Fresh Air Exchange(FAE) The fresh air exchange system on a reefer removes harmful gases from reefers carrying sensitive perishable commodities. The fresh air vent is located on the reefer machinery end of the container. The fresh air vent is adjustable to accommodate a variety of cargo and chilled load operating conditions. The fresh air vent should be tightly closed when carrying frozen cargo. Full Cellular Ship A ship fitted for container carriage in all available space. The ship is fitted with vertical cells for container placement both below and above deck. No provisions are available for cargo other than containers. Fumigation Treatment with a pesticide active ingredient that is a gas under treatment conditions. G.R.I. General Rate Increase GATT General Agreement on Tariff and Trade.? An international multilateral agreement embodying a code of practice for fair trading in international commerce General Average. General average is an unwritten, non-statutory, international maritime law which is universally recognized and applied. It is founded on the principle that vessel and goods are parties to the same venture and share exposure to the same perils, which may require sacrifice or the incurring of extraordinary expense on the part of one for the benefit of the whole venture. Genset(Generator Set) Free In and Out.A portable power generator, which converts fuel into electrical power by mechanical means, and from which a reefer draws power. A clip-on generator set is mounted to the front of the refrigeration unit. An underslung generator set is mounted to the chassis upon which the reefer is mounted for handling and transport. The underslung generator set can be either side-mounted or center-mounted on the chassis. Gooseneck The front rails of the chassis that raise above the plane of the chassis and engage in the tunnel of a container. Gross Tonnage Applies to vessels, not to cargo. Determined by dividing by 100 the contents, in cubic feet, of the vessel's closed-in spaces. A vessel ton is 100 cubic feet. Gross Weight Entire weight of goods, packaging and container, ready for shipment. Hague Rules 1924 International Convention on Carriage of Goods by Sea. These rules govern liability for loss or damage to goods carried by sea under a bill of lading. Hagur-Visby Rules 1968 Revision of Hague Rules Hamburg Rules In March 1978 an international conference in Hamburg adopted a new set of rules (The Hamburg Rules), which radically alter the liability which shipowners have to bear for loss or damage to goods in the courts of those nations where the rules apply. Harmoniazed Commodity Description and Coding System A multi-purpose international goods-classification for manufacturers. Transporters, exporters, importers, customs officials, statisticians, and others in classifying goods moving in international trade under a single commodity code. Developed under the auspices of the Customs Cooperations Council (CCC), an international customs organization in Brussels, this code is a hierarchically structured product nomenclature containing approximately 5,000 headings and subheadings describing the articles moving in international trade. It is organized into 99 chapters arranged in 22 sections. Sections encompass an industry [ (e.g., Section XI, Textiles and Textile Articles); chapters encompass the various materials and products of the industry (e.g.: Chapter 50, Silk; Chapter 55, Manmade Staple Fibres; Chapter 57, Carpets).] The basic code contains four-digit headings and six-digit subheadings. (The U.S. will add digits for tariff and statistical purposes. In the U.S. duty rates will be the 8-digit level; statistical suffixes will be at the 10-digit level. The Harmonized System (HS) is scheduled to supplant the current U.S. tariff schedule (TSUSA) in January 1988.) Hatch The opening in the deck of a vessel; gives access to the cargo hold. Haulier The participating carrier responsible for drayage. Heavy Lift Articles too heavy to be lifted by a ship's tackle. Heavy-Lift Charge A charge made for lifting articles too heavy to be lifted by a ship's tackle. High Cube Any container which exceeds 8 feet 6 inches (102 inches) in height, usually 9 feet 6 inches. House B/L Bill of lading issued by forwarder. House-to-House(H/H) See CY/CY. House-to-Pier(H/P) See CY/CFS. Hull The body of a vessel exclusive of masts, yards, sails, rigging, machinery and equipment. Hull Underwriter The person with whom the ship's hull, machinery apparel, and tackle is insured. I.M.C.O. International Maritime Consultative Organization. A forum in which most major maritime nations participate and through which recommendations for the carriage of dangerous goods, bulk commodities and maritime regulations become internationally acceptable I.P.I. Inland Points Intermodal. Inland carriage by another mode of transportation after discharge. IMDG Code International Maritime Dangerous Goods Code. The IMO recommendations for the carriage of dangerous goods by sea. Immediate Exportation(I.E.) An entry that allows foreign merchandise arriving at one port to be exported from the same port without the payment of duty. Import Shipment of goods from a foreign country. Import License A document required and issued by some national governments authorizing the importation of goods into their individual countries. Import Permit Usually required for items that might affect the public health, morals, animal life, vegetation, etc. Examples include foodstuffs, feedstuffs, pharmaceuticals (human and veterinary), medical equipment, seeds, plants and various written material (including tapes, cassettes, movies, TV tapes or TV movies). In some countries an import permit is the same as an import license. In Transit In transit, or in passage. Inbound Inward bound. Direction of vessel or cargo going to port of discharge or final destination. Incoterms Incoterms are a set of uniform rules codifying the interpretation of trade terms defining the rights and obligation of both buyer and seller in an international transaction, thereby enabling anotherwise complex basis for a sale contract to be accomplished in three letters. Incoterms are drafted by the International Chamber of Commerce. Inland Clearance Depot A CFS with Customs Clearance Facilities Insulated Tank Container The frame of a container constructed to hold one or more thermally insulated tanks for liquids. Interchange Transfer of a container from one party to another. Interchange Points A terminal at which freight in the course of transportation is delivered by one transportation line to another. Intercoastal Water service between two coasts; usually refers to water service between a point on the Atlantic and Pacific Coasts. Intermodal Used to denote movements of cargo or container between motor, rail or water carriers. Intermodal Transport Moving ocean freight containers by various transportation modes. The fact that the containers are of the same size and have common handling characteristics permits them to be transferred from truck to railroad to air carrier to ocean carrier. International Organization for Standardization(ISO) ISO is a worldwide federation of national standards bodies from some 130 countries, one from each country. It is a non-governmental organization established in 1947 to promote the development of standardization facilitating international trade. ISO's work results in international agreements which are published as International Standards In-Transit Entry or Immediate Transfer(I.T.) Allows foreign merchandise arriving at one port to be transported in bond to another port, where a superseding entry is filed. The document (prepared by the carrier) allows shipment to proceed from the port of entry in the U.S. to Customs clearing at the destination. The shipment clears Customs at its final destination. Also called an "In-Transit" Entry. ` Keel The main center-line structural member, running fore and aft along the bottom of a ship, sometimes referred to as the backbone. Knot A unit of speed. The term "knot" means velocity in nautical miles per hour whether of a vessel or current. One nautical mile is roughly equivalent to 1.15 statute miles or 1.85 kilometers. L.C.L. Less than Container Load. Cargo in quantity less than required for the application of a container load rate. Laden Loaded aboard a vessel. Manifest Document that lists in detail all the bills of lading issued by a vessel or its agent or master, i.e., a detailed summary of the total cargo of a vessel.? Used principally for customs purposes. It is also called summary of Bills of lading Marine Insurance Broadly, insurance covering loss or damage of goods at sea. Marine insurance typically compensates the owner of merchandise for losses sustained from fire, shipwreck, piracy and various other causes but excludes losses that can be legally recovered. Non-negotiale B/L Original bill of lading endorsed by shipper that is used for negotiating with banks. Non-vessel Owning/Operating Common Carrier(N.V.O.C.C.) A bank named in the credit; examines the documents and certifies to the issuing bank that the terms are complied with. O.C.P. rate Overland Common Point rates which are generally lower than local tariff rates, were established by the U.S. West Coast steamship companies in conjunction with railroads serving the western U.S. so that cargo originating or destined to the American Midwest and East would be competitive with all-water rates via the U.S. Atlantic and Gulf ports. O.C.P. rates are also applicable to eastern Canada.. Ocean Bill of Lading(Ocean B/L) Document indicating that the exporter will consign a shipment to an international carrier for transportation to a specified foreign market. Unlike an inland B/L, the ocean B/L also serves as a collection document. if it is a Straight B/L the foreign buyer can obtain the shipment from the carrier by simply showing proof of identity. If a negotiable B/L is used, the buyer must first pay for the goods, post a bond or meet other conditions agreeable to the seller. Ocean Route The all water transportation portion of a route. On Board Cargo has been loaded on board a combined transport mode of conveyance. Used to satisfy the requirements of a letter of credit, in the absence of an express requirement to the contrary. On Deck A special stowage instruction to confine that the cargo stowage must be on deck rather than under deck. One-Way lease Lease that covers the outbound voyage only, after which the container is returned to the lease holder at or near destination. Open-Top Container A container fitted with a solid removable roof or with a tarpaulin roof that can be loaded or unloaded from the top. Out Gate Transaction or interchange that occurs at the time a container leaves a rail or water terminal. Outbound Outward bound. Direction of vessel or cargo going out from port of loading or point/place of receipt. Overheight Cargo Cargo stowed in an open-top container; projects above the uppermost level of the roof struts. P.O.D. Port of Discharge where cargo is discharged from vessel. When transshipment is needed, there can be a number of PODs during the course of shipment until it reaches the final POD. P.O.L. Port of Loading where loading to vessel takes place. P.O.R. Point or Place of Receipt. Starting point of carrier's liability where cargo is received from shipper and under carrier's custody for transportation to final destination. Packing List Itemized list of commodities with marks/numbers but no cost values indicated. Pallet platform (usually two-deck), with or without sides, on which a number of packages or pieces may be loaded to facilitate handling by a lift truck. Participating Carrier(Tariff) A transportation line that is a party, under concurrence, to a tariff issued by another transportation line or by a tariff's publishing agent. Quarantine The period during which a vessel is detained in isolation until free from any contagious disease among the passengers or crew. The word is now applied to the sanitary regulations which are the modern substitute for quarantine. During the quarantine period, the Q flag is hoisted. Quarantine buoy One of the yellow buoys at the entrance of a harbor indicating the place where vessel must anchor for the exercise of quarantine regulations. Quarantine declaration A document signed by the captain and the ship's doctor before the port health officer when a ship arrives at the quarantine station. It gives the name of the ship, tonnage, number of crew, first port of voyage and date of sailing, intermediate ports called at, number of passengers for the port at which the vessel is arriving, number of transit passengers, cases of infectious diseases during voyage, deaths, nature of cargo, name of agents. The port health officer then proceeds with the medical inspection of passengers and crew. Also called entry declaration. Quarantine dues A charge against all vessels entering a harbor to provide for the maintenance of medical control service. Also called quarantine fees. Quarantine flag A yellow flag used as a sanitary signal. It is displayed by all vessels entering a harbor; also when a contagious or infectious disease exists on board or when the vessel has been placed in quarantine. Quarantine harbor A place where vessels in quarantine are stationed when arriving from contaminated ports. Rail Onboard B/L This is unique practice in NAT having the similar function as onboard vessel B/L. In the event of multimodal B/L is prepared, shipper can request a clause on the B/L to satisfy their commercial transaction as LADEN ONBOARD RAIL MMDDYY. The date on the B/L is on which containers are loaded onboard rail flat car. However, the word RAIL is not necessary. Receipt for shipment B/L A term used in contradistinction to shipped bill of lading, which is the standard document. Some bankers object to such bill of lading on the ground that the security they offer is imperfect. This kind of bill of lading is normally issued to acknowledge receipt of shipment before cargo loading or before official original bill of lading is issued. Nowadays, not many shippers ask for this kind of bill of lading. Reefer In the industry, it is the generic name for a temperature controlled container. The containers, which are insulated, are specially designed to allow temperature controlled air circulation within the container. A refrigeration plant is built into the rear of the container. Relative Humidity (%) The ratio of the actual amount of water vapor in the air to the maximum it can hold at a given temperature, multiplied by 100. Relay To transfer goods from one ship to another of the same ownership. More frequently used by OOCL as T/S (Transshipment). Release note Receipt signed by customer acknowledging delivery of goods. Salvage The property which has been recovered from a wrecked vessel, or the recovery of the ship herself. Salvage clause A marine insurance policy clause which states the proportion of salvage charges for which underwriters are liable. Salvage lien A maritime lien which exists when a ship or goods comes into the possession of one who preserves them from peril at sea. All salvage services carry with them a maritime lien on the things saved. Salvage loss A loss which it is presumed would, but for certain services rendered, have become a total loss. The charges incurred are "salvage charges". The property saved is the "salvage". When referring to goods a salvage loss is one resulting from shipwreck or from a situation where, by the peril of the sea, the vessel is prevented from proceeding on her voyage and the cargo, or the part that is saved is obliged to be sold at a place short of the port of destination. The term is used in marine insurance when at a point short of destination, it can be shown that it would cost more to forward damaged goods to their destination than the goods would realize on the spot. The underwriters usually pay the difference between the total insured value and the net proceeds of the goods, such a settlement being known as a "salvage loss". Salvage value The value on which salvage is awarded. It generally means the value of ship and cargo when they have been brought to a place of safety by the salvors. SCAC Standard Carrier Abbreviation Code identifying an individual common carrier. A three letter carrier code followed by a suffix identifies the carrier's equipment. A suffix of "U" is a container and "C" is a chassis. T.&E. Abbreviation for "Transportation and Exportation." Customs form used to control cargo movement from port of entry to port of exit, meaning that the cargo is moving from one country, through the United States, to another country. Tail The rear of a container. Tank Container A specially constructed container for transporting liquids and gases in bulk. Tare Weight The weight of packing material or, in carload shipments, the weight of the empty freight car. Tariff(Trf.) A publication setting forth the charges, rates and rules of transportation companies. TDR Terminal departure report UCP500 Revised and updated version operating from January 1, 1994. UN United Nations. UNCTAD United Nations Conference on Trade and Development. UNCTAD MMO UNCTAD Multi Modal Transport Convention. Underwriter In marine insurance, one who subscribes his name to the policy indicating his acceptance of the liability mentioned therein, in consideration for which he receives a premium. 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 Train A train of a specified number of railcars, perhaps 100, wherein they remain in a unit for a designated destination or until a change in routing is made. USDA United States Department of Agriculture. Vanning A term sometimes used for stowing cargo in a container. 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. Vol. Volume. Voyage Direction The sector of a round trip voyage normally denoted by the direction of the sailing. Voyage Number The numeric identification of a round trip sailing of a vessel on a fixed trade lane. War Risk Insurance coverage for loss of goods resulting from any act of war. Warehouse A place for the reception and storage of goods. Waybill(WB) A document prepared by a transportation line at the point of a shipment; shows the point of the 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. Abbreviation is WB. Unlike a bill of lading, a waybill is not a document of title. Weight Cargo A cargo on which the transportation charge is assessed on the basis of weight. Wharfage(Whfge.) A charge assessed by a pier or dock owner against freight handled over the pier or dock or against a steamship company using the pier or dock.

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