MANKO News Alerts

    February 25, 2015

    MANKO Delivery Systems Inc. – One Year Later!

    MANKO Delivery Systems Inc. – One Year Later!

    It is our pleasure to confirm the success of the first year of MANKO Delivery Systems, Inc. under the ownership and direction of Dave Armitage – CEO / President and Bryan Bilchik – COO / SVP.

    Acquiring the business in January of 2014 and working diligently on establishing a solid foundation for service in our marketplace, it has been a year of opportunity and development. We have assembled an excellent team of dedicated Management, Operations and Driver personnel. This team consistently exceeds the service standards set forth by the various customers’ requirements and is a critical element in our confidence for the future of MANKO.

    February 25, 2015 marks the anniversary of our expansion to the southwest Florida marketplace when we opened a dedicated facility for service. This facility (5,865 sq ft) with dock high and ramp grade access, allows for direct line haul connection from our Tampa facility (46,400 sq ft) and distribution to the markets throughout southwest Florida. Jeremy Garbin, RSW Station Manager, has been with us from our initial market planning through to today and leads the team in Fort Myers in providing excellent service to MANKO customers. The additional facility supports our geographic coverage goals of providing direct service from Hernando County (Brooksville, FL) on the north, Collier County (Marco) to the south, Polk County (Lakeland) to the east and the Gulf Coast to the west!

    We will continue to build on the foundation established in warehouse, cross dock, line haul, white glove, two man, lift-gate and courier services. We are looking to add the customers, equipment and facilities necessary to provide excellence in service throughout Florida!

    January 10, 2014

    Announcement

    January 10th, 2014: David Armitage and Bryan Bilchik are extremely pleased to announce the completion of their purchase of Manko Delivery Systems, Inc from it’s founder – John Benko. With an excellent base of customers, dedicated team members and a vision for expansion; David Armitage as President/CEO and Bryan Bilchik as VP/COO are extremely excited about the business potential and future success. With facilities servicing the Tampa and Fort Myers markets Manko is positioned to provide service throughout Central and Southwest Florida.

Trade Definitions

A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z

3PL

A firm [that] provides multiple logistics services for use by customers. Preferably, these services are integrated, or bundled together, by the provider. Among the services 3PLs provide are transportation, warehousing, cross-docking, inventory management, packaging, and freight forwarding.

4PL

A fourth-party logistics provider is an independent, singularly accountable, non-asset based integrator of a client’s supply and demand chains.

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A

A.T.A.

American Trucking Association.

AAR

Abbreviation for Against All Risks (insurance clause). – Association of American Railroads.

Abandon

A proceeding wherein a shipper/consignee seeks authority to abandon all or parts of their cargo.

Abatement

A discount allowed for damage or overcharge in the payment of a bill.

ABI

U.S. Customs’ “Automated Broker Interface,” by which brokers file importers’ entries electronically.

Aboard

Referring to cargo being put, or laden, onto a means of conveyance.

Absorption

One carrier assumes the charges of another without any increase in charges to the shipper.

Accessorial Charges

Charges that are applied to the base tariff rate or base contract rate, e.g., bunkers, container, currency, destination/delivery.

Acquiescence

When a bill of lading is accepted or signed by a shipper or shipper’s agent without protest, the shipper is said to acquiesce to the terms, giving a silent form of consent.

Acquittance

A written receipt in full, in discharge from all claims.

ACS

(A.C.S.) U.S. Customs’ master computer system, “Automated Commercial Systems.”

Act of God

An act beyond human control, such as lightning, flood or earthquake.

Actual Weight

The actual scale weight of a shipment. See also Dimensional Weight or Chargeable Weight.

Ad Valorem

A term from Latin meaning, “according to value.”

Administrative Law Judge

A representative of a government commission or agency vested with power to administer oaths, examine witnesses, take testimony, and conduct hearings of cases submitted to, or initiated by, that agency. Also called Hearing Examiner.

Admiralty (Adm.)

Refers to marine matters such as an Admiralty Court.

Advance

To move cargo up line to a vessel leaving sooner than the one booked. (See “Roll.”)

Advanced Charge

Transportation charge advanced by one carrier to another to be collected by the later carrier from the consignor or consignee.

Adventure

Shipment of goods on shipper’s own account. A bill of adventure is a document signed by the master of the ship that carries goods at owner’ risk.

Advice of Shipment

A notice sent to a local or foreign buyer advising that shipment has gone forward and containing details of packing, routing, etc. A copy of the invoice is often enclosed and, if desired, a copy of the bill of lading.

Advising Bank

A bank operating in the seller’s country, that handles letters of credit in behalf of a foreign bank.

Affreightment

Contract of An agreement by an ocean carrier to provide cargo space on a vessel at a specified time and for a specified price to accommodate an exporter or importer.

Aft

Movement toward the stern (back end) of a ship.

After Hours

Before 8am and after 6pm (Monday – Friday) or weekends and holidays.

AFV

(Alternative Fueled Vehicle) Vehicle powered by a fuel other than gasoline or diesel.

Agency Tariff

A tariff published by an agent on behalf of several carriers.

Agent (Agt.)

A person authorized to transact business for and in the name of another person or company. Types of agent are: (1) brokers, (2) commission merchants, (3) resident buyers, (4) sales agents, 5) manufacturer’s representatives.

Aggregate Shipment

Numerous shipments from different shippers to one consignee that are consolidated and treated as a single consignment.

Agreed valuation

The value of a shipment agreed upon in order to secure a specific freight rate.

Agreed Weight

The weight prescribed by agreement between carrier and shipper for goods shipped in certain packages or in a certain number.

Air Waybill

The forwarding agreement or carrying agreement between shipper and air carrier and is issued only in nonnegotiable form.

All In

The total price to move cargo from origin to destination, inclusive of all charges.

Alongside

A phrase referring to the side of a ship. Goods delivered “alongside” are to be placed on the dock or barge within reach of the transport ship’s tackle so that they can be loaded.

Alternative Rates Privilege

to use the rate producing the lowest charge.

Ambient Temperature

The temperature of a surrounding body. The ambient temperature of a container is the atmospheric temperature to which it is exposed.

American Bureau of Shipping

U.S. classification society which certifies seagoing vessels for compliance to standardized rules regarding construction and maintenance.

AMS

The U.S. Customs’ “Automated Manifest System.”

Anti-Dumping Duty

A tariff imposed to discourage sale of foreign goods, subsidized to sell at low prices detrimental to local manufacturers.

Any Quantity (A.Q.)

Usually refers to a rating that applies to an article regardless of size or quantity.

Apparent Good Order

When freight appears to be free of damage so far as a general survey can determine.

Appraisement

Determination of the dutiable value of imported merchandise by a Customs official who follows procedures outlined in their country’s tariff, such as the U.S. Tariff Act of 1930.

Appraiser’s Stores

The warehouse or public stores to which samples of imported goods are taken to be inspected, analyzed, weighed, etc. by examiners or appraisers.

Arbitrary

A stated amount over a fixed rate to one point to make a rate to another point.

Arrival Notice

A notification by carrier of ship’s arrival to the consignee, the “Notify Party,” and – when applicable – the “Also Notify Party.” These parties in interest are listed in blocks 3, 4 and 10, respectively, of the Bill of Lading.

ASC X12

American Standards Committee X12 responsible for developing EDI standards for the United States.

Assembly

Labor intensive warehouse work designed to put together a finished product per the specification of individual client from several sku’s stored in warehouse.

Assignment

A term commonly used in connection with a bill of lading. It involves the transfer of rights, title and interest in order to assign goods by endorsing the bill of lading.

Astern

Behind a vessel. Move in a reverse direction.

ATDNSHINC

Any time Day or Night Sundays & Holidays Included.

Athwartships

A direction across the width of a vessel.

ATIS

Advance Traveler Information Systems (ATIS)

ATMS

Advance Traffic Management Systems (ATMS)

AVCS

Advanced Vehicle Control Systems (AVCS)

AVI

(Automatic Vehicle Identification) System combining an on-board transponder with roadside receivers to automate identification of vehicles. Uses include electronic toll collection and stolen vehicle detection.  (See IVHS)

Avoirdupois Pound

Same as 0.4535924277 kilograms.

AWWL

Always within Institute Warranties Limits (Insurance purpose).

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B

B/L

Abbreviation for “Bill of Lading.”

Backhaul

To haul a shipment back over part of a route it has traveled.

BAF

Abbreviation for “Bunker Adjustment Factor.” Used to compensate steamship lines for fluctuating fuel costs. Sometimes called “Fuel Adjustment Factor” or FAF.

Balloon Freight

Light, bulky articles.

Bank Guarantee

Guarantee issued by a bank to a carrier to be used in lieu of lost or misplaced original negotiable bill of lading.

Barratry

An act committed by the master or mariners of a vessel, for some unlawful or fraudulent purpose, contrary to their duty to the owners, whereby the latter sustain injury. It may include negligence, if so gross as to evidence fraud.

Barrel (BBL)

A term of measure referring to 42 gallons of liquid at 60o F.

Base Price

Price before tax; accessorials; Fuel Surcharge; or any other ancillary charges are added to a shipment.

Base Rate

A tariff term referring to ocean rate less accessorial charges, or simply the base tariff rate.

BB Ballast Bonus

(Special payment above the Chartering price when the ship has to sail a long way on ballast to reach the loading port.)

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.

Beam

The width of a ship.

Belt Line

A switching railroad operating within a commercial area.

Beneficiary

Entity to whom money is payable.

Berth Terms

Shipped under rate that includes cost from end of ship’s tackle at load port to end of ship’s tackle at discharge port.

Beyond

Used with reference to charges assessed for cargo movement past a line-haul terminating point.

Bilateral

A contract term meaning both parties agree to provide something for the other.

Bill of Exchange

In the United States, commonly known as a “Draft.” However, bill of exchange is the correct term.

Bill of Lading

The legal document that sets out the details of a shipment such as consignor, consignee, pieces, weight, product description, collect, prepaid, declared value and any particular service requirements. The bill of lading is signed by the shipper and the driver picking up the freight.

Bill of Lading

Multi-use documents that are essential to conduct the day-to-day operations when transportation of supplies, materials, and personal property is required. These primary documents are used to procure freight and express transportation and related services from commercial carriers, including freight forwarders.

Bill of Lading Port of Discharge

Port where cargo is discharged from means of transport.

Bill of Sale

Confirms the transfer of ownership of certain goods to another person in return for money paid or loaned.

Bill to Party

Customer designated as party paying for services.

Billed Weight

The weight shown in a waybill and freight bill, i.e, the invoiced weight.

Blanket Bond

A bond covering a group of persons, articles or properties.

Blanket Rate

A rate applicable to or from a group of points. A special rate applicable to several different articles in a single shipment.

Blanket Waybill

A waybill covering two or more consignments of freight.

Blanket Wrapping

Specialized transportation handling service designed to protect certain commodities such as furniture, large appliances, household goods, or large office machines such as copiers.

Blind Shipment

A B/L wherein the paying customer has contracted with the carrier that shipper or consignee information is not given.

Block Stowage

Stowing cargo destined for a specific location close together to avoid unnecessary cargo movement.

Blocked Trains

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 (Dunnage) to keep shipments in place to prevent cargo shifting.

Bls.

Abbreviation for “Bales.”

Board Feet

The basic unit of measurement for lumber. One board foot is equal to a one-inch board, 12 inches wide and one foot long. Thus, a board ten feet long, 12 inches wide, and one inch thick contains ten board feet.

Bobtail

Movement of a tractor, without trailer, over the highway.

Bogie

A set of wheels built specifically as rear wheels under the container.

Bolster

A device fitted on a chassis or railcar to hold and secure the container.

Bond Port

Port of initial Customs entry of a vessel to any country. Also known as First Port of Call.

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

Arrangements with a carrier for the acceptance and carriage of freight; i.e., a space reservation.

Booking Number

Reservation number used to secure equipment and act as a control number prior to completion of a B/L.

Bottom Side Rails

Structural members on the longitudinal sides of the base of the container.

Bottom-Air Delivery

A type of air circulation in a temperature control container. Air is pulled by a fan from the top of the container, passed through the evaporator coil for cooling, and then forced through the space under the load and up through the cargo. This type of airflow provides even temperatures.

Bow

The front of a vessel.

Boxcar

A closed rail freight car.

Break Bulk

To unload and distribute A portion or all of the contents of A rail car, container, or trailer.

Breakbulk

Carrier facility designed to unload consolidated shipments and cross dock them on to delivery vehicles.

Bridge Point

An inland location where cargo is received by the ocean carrier and then moved to a coastal port for loading.

Bridge Port

A port where cargo is received by the ocean carrier and stuffed into containers but then moved to another coastal port to be waded on a vessel.

Broken Stowage

the loss of space caused by irregularity in the shape of packages.

Broker

A person who arranges for transportation of loads for a percentage of the revenue from the load.

Brokerage

Freight forwarder/broker compensation as specified by ocean tariff or contract.

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 Shipment

A shipment of loose boxes or pieces.

Bulk-Freight Container

A container with a discharge hatch in the front wall; allows bulk commodities to be carried.

Bulkhead

A partition separating one part of A ship, Freight car, aircraft or truck from Another part.

Bull Rings

Cargo-securing devices mounted in the floor of containers; allow lashing and securing of cargo.

Bunker Charge

An extra charge sometimes added to steamship freight rates; justified by higher fuel costs. (Also known as Fuel Adjustment Factor or FAF.)

Bunkers

A Maritime term referring to Fuel used aboard the ship. Coal stowage areas aboard a vessel in the past were in bins or bunkers.

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C

C&F Terms of Sale, or INCOTERMS.

Obsolete, albeit heavily used, term of sale meaning “cargo and freight” whereby Seller pays for cost of goods and freight charges up to destination port. In July, 1990 the International Chamber of Commerce replaced C&F with CFR.

Cab Over (Cab-Over-Engine, COE)

Truck or tractor design in which the cab sits over the engine on the chassis.

Cabotage

Water transportation term applicable to shipments between ports of a nation; commonly refers to coast-wise or inter-coastal navigation or trade. Many nations, including the United States, have cabotage laws which require national flag vessels to provide domestic interport service.

CAF

Abbreviation for “Currency Adjustment Factor.” A charge, expressed as a percentage of a base rate, that is applied to compensate ocean carriers of currency fluctuations.

Captain’s Protest

A document prepared by the captain of a vessel on arriving at port; shows conditions encountered during voyage, generally for the purpose of relieving ship owner of any loss to cargo and shifting responsibility for reimbursement to the insurance company.

Car Pooling

Use of individual carrier/rail equipment through a central agency for the benefit of carriers and shippers.

Car Seal

Metal strip and lead fastener used for locking freight car or truck doors. Seals are numbered for record purposes.

Carfloat

A barge equipped with tracks on which up to about 12 railroad cars are moved in harbors or inland waterways.

Cargo

Freight loaded into a ship.

Cargo Manifest

A manifest that lists all cargo carried on a specific vessel voyage.

Cargo NOS

Cargo Not Otherwise Specified. Usually the rate entry in a tariff that can apply to commodities not covered under a specific item or sub_item in the applicable tariff.

Cargo Preference

Cargo reserved by a Nation’s laws for transportation only on vessels registered in that Nation. Typically the cargo is moving due to a direct or indirect support or activity of the Government.

Cargo Tonnage

Most ocean freight is billed on the basis of weight or measurement tons (W/M). Weight tons can be expressed in short tons of 2000 pounds, long tons of 2240 pounds or metric tons of 1000 kilos (2204.62 pounds). Measurement tons are usually expressed as cargo measurement of 40 cubic feet (1.12 meters) or cubic meters (35.3 cubic feet.)

Cargo Weight

Combined weight of all loads, gear and supplies on a vehicle.

Carload Rate

A rate applicable to a carload of goods.

Carnet

A Customs document permitting the holder to temporarily carry or send merchandise into certain foreign countries (for display, demonstration or similar purposes) without paying duties or posting bonds. Any of various Customs documents required for crossing some international borders.

Carrier

Any person or entity who, in a contract of carriage, undertakes to perform or to procure the performance of carriage by rail, road, sea, air, inland waterway or by a combination of such modes.

Carrier’s Certificate

A certificate required by U.S. Customs to release cargo properly to the correct party.

Cartage

Usually refers to intra-city hauling on drays or trucks.

Cartage Company

Company that provides local (within a town, city or municipality) pick-up and delivery.

Cartment

Customs form permitting in_bond cargo to be moved from one location to another under Customs control, within the same Customs district. Usually in motor carrier’s possession while draying cargo.

Cash Against Documents (CAD)

Method of payment for goods in which documents transferring title are given the buyer upon payment of cash to an intermediary acting for the seller, usually a commission house.

Cash in Advance (CIA)

A method of payment for goods in which the buyer pays the seller in advance of the shipment of goods. Usually employed when the goods, such as specialized machinery, are built to order.

Cash With Order (CWO)

A method of payment for goods in which cash is paid at the time of order and the transaction becomes binding on both buyer and seller.

CBM (CM)

Abbreviation for “Cubic Meter.”

CDL (Commercial Driver’s License)

License which authorizes an individual to operate commercial motor vehicles and buses over 26,000 pounds gross vehicle weight. For operators of freight-hauling trucks, the maximum size which may be driven without a CDL is Class 6 (maximum 26,000 pounds gross vehicle weight).

CE

Abbreviation for “Consumption Entry.” The process of declaring the importation of foreign_made goods for use in the United States.

Cells

The construction system employed in container vessels; permits ship containers to be stowed in a vertical line with each container supporting the one above it.

Center of Gravity

The point of equilibrium of the total weight of a containership, truck, train or a piece of cargo.

Certificate

The document issued by the U.S. Coast Guard certifying an American flag vessel’s compliance with applicable laws and regulations.

Certificate of Origin

A certified document showing the origin of goods; used in international commerce.

CFS

Abbreviation for “Container Freight Station.” A shipping dock where cargo is loaded (“stuffed”) into or unloaded (“stripped”) from containers. Generally, this involves less than container load shipments, although small shipments destined to same consignee are often consolidated. Container reloading from/to rail or motor carrier equipment is a typical activity.

Chargeable Weight

Charges based on the greater of scale weight or the dimensional weight. See also Actual Weight or Dimensional Weight.

Charter Party

A written contract between the owner of a vessel and the person desiring to employ the vessel (charterer); sets forth the terms of the arrangement such as duration of agreement, freight rate and ports involved in the trip.

Chassis

A frame with wheels and container locking devices in order to secure the container for movement.

Chassis Weight (Curb Weight, Tare Weight)

Weight of the empty truck, without occupants or load.

Chock

A piece of wood or other material placed at the side of cargo to prevent rolling or moving sideways.

CI

Abbreviation for “Cost and Insurance.” A price that includes the cost of the goods, the marine insurance and all transportation charges except the ocean freight to the named point of destination.

CIF

Abbreviation for “Cost, Insurance, Freight.” (Named Port) Same as C&F or CFR except seller also provides insurance to named destination.

CIF&C

Price includes commission as well as CIF.

CIF&E

Abbreviation for “Cost, Insurance, Freight And Exchange.”

CIFCI

Abbreviation for “Cost, Insurance, Freight, Collection And Interest.”

CIFI&E

Cost, Insurance, Freight, Interest and Exchange.

CKD

Abbreviation for “Completely Knocked Down.” Parts and subassemblies being transported to an assembly plant.

CL

Abbreviation for “Car load” and “Container load”.

Claim

A demand made upon a transportation line for payment on account of a loss sustained through its alleged negligence.

Classification

A publication, such as Uniform Freight Classification (railroad) or the National Motor Freight Classification (motor carrier), that assigns ratings to various articles and provides bill of lading descriptions and rules.

Classification Rating

The designation provided in a classification by which a class rate is determined.

Classification Yard

A railroad yard with many tracks used for assembling freight trains.

Clayton Act

An anti-trust act of the U.S. Congress making price discrimination unlawful.

Clean Bill of Lading

A receipt for goods issued by a carrier with an indication that the goods were received in “apparent good order and condition,” without damage or other irregularities. If no notation or exception is made, the B/L is assumed to be “cleaned.”

Cleaning in Transit

The stopping of articles, such as peanuts, etc., for cleaning at a point between the point of origin and destination.

Clearance

The size beyond which cars or loads cannot use Limits bridges, tunnels, etc.

Cleat

A strip of wood or metal used to afford additional strength, to prevent warping, or to hold in place.

Clip-On

Refrigeration equipment attachable to an insulated container that does not have its own refrigeration unit.

CM

Abbreviation for “Cubic Meter” (capital letters).

Coastwise

Water transportation along the coast.

COD

Not to be confused with Collect. COD is, collect upon delivery. Payment is required immediately from the consignee.

COD

Abbreviation for: Collect (cash) on Delivery. Carried on Docket (pricing).

COFC

Abbreviation for the Railway Service “Container On Flat Car.”

COGSA

Carriage of Goods by Sea Act. U.S. federal codification passed in 1936 which standardizes carrier’s liability under carrier’s bill of lading. U.S. enactment of The Hague Rules.

Collect

Billing terms in which consignee receives freight invoices instead of the shipper.

Collecting

A bank that acts as an agent to the seller’s bank (the presenting bank). The collecting bank assumes no responsibility for either the documents or the merchandise.

Collection

A draft drawn on the buyer, usually accompanied by documents, with complete instructions concerning processing for payment or acceptance.

Combination Export Mgr.

A firm that acts as an export sales agent for more than one noncompeting manufacturer.

Combination Rate

A rate made up of two or more factors, separately published.

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.

Commodity

Article shipped. For dangerous and hazardous cargo, the correct commodity identification is critical.

Commodity Rate

A rate published to apply to a specific article or articles.

Common Carrier

Freight transportation company which serves the general public. May be regular route service (over designated highways on a regular basis) or irregular route (between various points on an unscheduled basis).

Common Carrier

A transportation company which provides service to the general public at published rates.

Common Law

Law that derives its force and authority from precedent, custom and usage rather than from statutes, particularly with reference to the laws of England and the United States.

Concealed Damage

Damage that is not evident from viewing the unopened package.

Concealed Damage

This type damage is only noticeable once a shipment has been unpackaged.

Conference

An association of ship owners operating in the same trade route who operate under collective conditions and agree on tariff rates.

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.

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.

Connecting Carrier

A carrier which has a direct physical connection with, or forms a link between two or more carriers.

Consignee

The party to which a given shipment is addressed on freight bill.

Consignee

A person or company to whom commodities are shipped.

Consignee Mark

A symbol placed on packages for identification purposes; generally a triangle,square, circle, etc. with letters and/or numbers and port of discharge.

Consignment

(1) A stock of merchandise advanced to a dealer and located at his place of business, but with title remaining in the source of supply. (2) A shipment of goods to a consignee.

Consignor

A person or company shown on the bill of lading as the shipper.

Consolidation

Converting individual smaller shipments into larger, multi-shipment loads in order to achieve transportation savings.

Consolidation

Cargo containing shipments of two or more shippers or suppliers. Containerload shipments may be consolidated for one or more consignees.

Consolidator

A person or firm performing a consolidation service for others. The consolidator takes advantage of lower full carload (FCL) rates, and savings are passed on to shippers.

Construction Differential Subsidy

A program whereby the U.S. government attempted to offset the higher shipbuilding cost in the U.S. by paying up to 50% of the difference between cost of U.S. and non_U.S. construction. The difference went to the U.S. shipyard. It is unfunded since 1982.

Consul

A government official residing in a foreign country who represents the interests of her or his country and its nationals.

Consular Declaration

A formal statement describing goods to be shipped; filed with and approved by the consul of the country of destination prior to shipment.

Consular Invoice

A document, certified by a consular official, is required by some countries to describe a shipment. Used by Customs of the foreign country, to verify the value, quantity and nature of the cargo.

Consular Visa

An official signature or seal affixed to certain documents by the consul of the country of destination.

Consumption Entry (CE)

The process of declaring the importation of foreign-made goods into the United States for use in the United States.

Container

A truck trailer body that can be detached from the chassis for loading into a vessel, a rail car or stacked in a container depot. Containers may be ventilated, insulated, refrigerated, 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.

Container (Shipping Container)

Standard-sized rectangular box used to transport freight by ship, rail and highway. International shipping containers are 20 or 40 feet long, conform to International Standards Organization (ISO) standards and are designed to fit in ships’ holds. Containers are transported on public roads atop a container chassis towed by a tractor. Domestic containers, up to 53 feet long and of lighter construction, are designed for rail and highway use only.

Container Booking

Arrangements with a steamship line to transport containerized cargo.

Container Freight Station

See CFS.

Container Load

A load sufficient in size to fill a container either by cubic measurement or by weight.

Container Manifest

Document showing contents and loading sequence of a container.

Container Pool

An agreement between parties that allows the efficient use and supply of containers. A common supply of containers available to the shipper as required.

Container Terminal

An area designated for the stowage of cargoes in container; usually accessible by truck, railroad and marine transportation. Here containers are picked up, dropped off, maintained and housed.

Container Yard (CY)

A materials_handling/storage facility used for completely unitized loads in containers and/or empty containers. Commonly referred to as CY.

Containerizable Cargo

Cargo that will fit into a container and result in an economical shipment.

Containerization

Stowage of general or special cargoes in a container for transport in the various modes.

Contraband

Cargo that is prohibited.

Contract

A legally binding agreement between two or more persons/organizations to carry out reciprocal obligations or value.

Contract Carrier

Company that transports freight under contract with one or a limited number of shippers.

Contract Carrier

Any person not a common carrier who, under special and individual contracts or agreements, transports passengers or property for compensation.

Controlled Atmosphere

Sophisticated, computer-controlled systems that manage the mixtures of gases within a container throughout an intermodal journey reducing decay.

Corner Posts

Vertical frame components fitted at the corners of the container, integral to the corner fittings and connecting the roof and floor structures. Containers are lifted and secured in a stack using the castings at the ends.

Correspondent Bank

A bank that, in its own country, handles the business of a foreign bank.

Cost, Insurance and Freight (CIF)

Cost of goods, marine insurance and all transportation (freight) charges are paid to the foreign point of delivery by the seller.

Countervailing Duty

An additional duty imposed to offset export grants, bounties or subsidies paid to foreign suppliers in certain countries by the government of that country for the purpose of promoting export.

Critical Parts

The practice of warehousing; inventorying; and delivering small parts for companies that do not wish to handle or do not have the space to handle those parts in house.

Cross Docking

The operational process of transferring freight from one truck to another at a dock facility. Usually involves skidded and shrunk-wrapped LTL freight transferred with the use of forklifts.

Cross Docking

Cross-docking is a practice in logistics of unloading materials from an incoming semi-trailer truck or railroad car and loading these materials directly into outbound trucks, trailers, or rail cars, with little or no storage in between. This may be done to change type of conveyance, to sort material intended for different destinations, or to combine material from different origins into transport vehicles (or containers) with the same, or similar destination.

Cross Member

Transverse members fitted to the bottom side rails of a container, which support the floor.

Cu.

An abbreviation for “Cubic.” A unit of volume measurement.

Cube (Cubic Capacity)

Interior volume of a truck body, semi-trailer or trailer, measured in cubic feet.

Cube Out

When a container or vessel has reached its volumetric capacity before its permitted weight limit.

Cubic Foot

1,728 cubic inches. A volume contained in a space measuring one foot high, one foot wide and one foot long.

Customhouse

A government office where duties are paid, import documents filed, etc., on foreign shipments.

Customhouse Broker

A person or firm, licensed by the treasury department of their country when required, engaged in entering and clearing goods through Customs for a client (importer).

Customs

Government agency charged with enforcing the rules passed to protect the country’s import and export revenues.

Customs Bonded Warehouse

A warehouse authorized by Customs to receive duty-free merchandise.

Customs Entry

All countries require that the importer make a declaration on incoming foreign goods. The importer then normally pays a duty on the imported merchandise. The importer’s statement is compared against the carrier’s vessel manifest to ensure that all foreign goods are properly declared.

Customs Invoice

A form requiring all data in a commercial invoice along with a certificate of value and/or a certificate of origin. Required in a few countries (usually former British territories) and usually serves as a seller’s commercial invoice.

Customs of the Port

A phrase often included in charter parties and freight contracts referring to local rules and practices which may impact upon the costs borne by the various parties.

Cut-Off Time

The latest time cargo may be delivered to a terminal for loading to a scheduled train or ship.

CVO

Commercial Vehicle Operations (CVO)

CWT

Hundred weight increments.

Cwt.

Hundred weight (United States, 100 pounds: U.K.,112)

CY

Abbreviation for Container Yard

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D

D.B.A.

Abbreviation for “Doing Business As.” A legal term for conducting business under a registered name.

D.O.T.

Department of Transportation.

D&H

Abbreviation for “Dangerous and Hazardous” cargo.

Dangerous Goods

Dangerous Goods (also referred to as hazardous materials or restricted articles), are described as articles or substances that are capable of posing a significant risk to health, safety or property when transported by air. The following are some examples of dangerous goods that must be declared at time of booking.

Dangerous Goods Partial Listing

Oil-based paint and thinners (flammable liquids)

DDC

Abbreviation for “Destination Delivery Charge.” A charge, based on container size, that is applied in many tariffs to cargo. This charge is considered accessorial and is added to the base ocean freight. This charge covers crane lifts off the vessel, drayage of the container within the terminal and gate fees at the terminal operation.

Dead-Heading

Operating a truck without cargo.

Deadhead

One leg of a move without a paying cargo load. Usually refers to repositioning an empty piece of equipment.

Deadweight

The number of tons of 2,240 pounds 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.”

Deadweight Cargo

A long ton of cargo that can be stowed in less than 40 cubic feet.

Declared Value

The value of goods declared by the shipper for the purposes of determining charges and/or establishing the limit of the carrier’s liability for loss, damage, or delay. Valuation charges will be assessed to shippers who declare a value of goods higher than the value of the carrier’s limits of liability.

Deconsolidation Point

Place where loose or other non-containerized cargo is ungrouped for delivery.

Dedicated

A truck and a driver that handles a set amount of work for one particular customer with predetermined parameters.

Dedicated Trucks

Trucks which contain freight from a single exclusive shipper.

Deficit Weight

The weight by which a shipment is less than the minimum weight.

Delivery Instructions

Order to pick up goods at a named place and deliver them to a pier. Usually issued by exporter to trucker but may apply to a railroad, which completes delivery by land. Use is limited to a few major U.S. ports. Also known as shipping delivery order.

DEMDES

Demurrage/Despatch money. (Under vessel chartering terms, the amount to be paid if the ship is loading/discharging slower/faster than foreseen.)

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.

Density

The weight of cargo per cubic foot or other unit.

Depot, Container

Container freight station or a designated area where empty containers can be picked up or dropped off.

Desktop Delivery

Inside delivery of small shipment directly to end user’s desk.

Despatch

An incentive payment paid to a carrier to loading and unloading the cargo faster than agreed. Usually negotiated only in charter parties.

Destination

the place where carrier actually turns over cargo to consignee or his agent.

Destination Control Statements

Various statements that the U.S. government requires to be displayed on export shipments. The statements specify the authorized destinations.

Detention

A penalty charge against shippers or consignees for delaying carrier’s equipment beyond allowed time. Demurrage applies to cargo; detention applies to equipment. See Per Diem.

Devanning

The unloading of a container or cargo van.

DF Car

Damage-Free Car. Boxcars equipped with special bracing material.

Differential

An amount added or deducted from base rate to make a rate to or from some other point or via another route.

DIM (Dimensional Weight)

The space or volume of a shipment. Determined by multiplying the length by the width by the height and dividing the product by 194 for domestic shipments or by 166 for international shipments. See also Actual Weight or Chargeable Weight.

Dimensional Weight

the formula for calculating dimensional weight in pounds is to multiply using inches the total of Length x Width x Height  / Divided by 166.

Discrepancy Letter of Credit

When documents presented do not conform to the requirements of the letter of credit (L/C), it is referred to as a “discrepancy.” Banks will not process L/C’s which have discrepancies. They will refer the situation back to the buyer and/or seller and await further instructions.

Displacement

The weight, in tons of 2,240 pounds, of the vessel and its contents. Calculated by dividing the volume of water displaced in cubic feet by 35, the average density of sea water.

Diversion

A change made either in the route of a shipment in transit (see Reconsignment) or of the entire ship.

Division

Carriers’ practice of dividing revenue received from through rates where joint hauls are involved. This is usually according to agreed formulae.

Dock

for land transportation, A loading or unloading platform at an industrial location or carrier terminal.

Dock High

An industrial building with loading docks at the height of a delivery truck, opening to a floor at the same height.

Dock Receipt

A form used to acknowledge receipt of cargo and often serves as basis for preparation of the ocean bill of lading.

Docket

Present a rate proposal to a conference meeting for adoption as a conference group rate.

Documents Against Acceptance (D/A)

Instructions given by a shipper to a bank indicating that documents transferring title to goods should be delivered to the buyer only upon the buyer’s acceptance of the attached draft.

Documents Against Payment (D/P)

An indication on a draft that the documents attached are to be released to the drawee only on payment.

Dolly

A set of wheels that support the front of a container; used when the automotive unit is disconnected.

Door-to-Door

Through transportation of a container and its contents from consignor to consignee. Also known as House to House. Not necessarily a through rate.

Draft

an unconditional order in writing, addressed by one party (drawer) to Another party (drawee), requiring the drawee to pay at A fixed or determinable future date A specified sum in lawful currency to the order of A specified person.

Draft, Bank

An order issued by a seller against a purchaser; directs payment, usually through an intermediary bank. Typical bank drafts are negotiable instruments and are similar in many ways to checks on checking accounts in a bank.

Draft, Clean

A draft to which no documents are attached.

Draft, Date

A draft that matures on a fixed date, regardless of the time of acceptance.

Draft, Discounted

A time draft under a letter of credit that has been accepted and purchased by a bank at a discount.

Draft, Sight

A draft payable on demand upon presentation.

Draft, Time

A draft that matures at a fixed or determinable time after presentation or acceptance.

Drawback

A partial refund of an import fee. Refund usually results because goods are re-exported from the country that collected the fee.

Drawee

The individual or firm that issues a draft and thus stands to receive payment.

Drayage

Charge made for local hauling by dray or truck. Same as Cartage.

DRFS

Abbreviation for “Destination Rail Freight Station.” Same as CFS at destination, except a DRFS is operated by the rail carrier participating in the shipment.

Dry Cargo

Cargo that is not liquid and normally does not require temperature control.

Dry Van

The type truck or trailer that is typically used for dry goods, non-reefer or non-food type shipments.

Dry-Bulk Container

A container constructed to carry grain, powder and other free-flowing solids in bulk. Used in conjunction with a tilt chassis or platform.

DSU

Delay in Startup Insurance is a policy to protect the seller of a construction project from penalties if the project is not completed on time. See “Liquidated Damages.”

Dumping

Attempting to import merchandise into a country at a price less than the fair market value, usually through subsidy by exporting country.

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E

E- Trac

Metal stripping that runs the length of the inside van of a truck or trailer used to attach strapping to secure product during transport.

E.C.M.C.A.

Eastern Central Motor Carriers Association.

E.W.I.B.

Eastern Weighing and Inspection Bureau.

Edge Protector

An angle piece fitted over the edge of boxes, crates, bundles and other packages to prevent the pressure from metal bands or other types from cutting into the package.

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.

EDI (Electronic Data Interchange)

The business-to-business interconnection of computers for the rapid exchange of a wide variety of documents, from bills of lading to build tickets at auto plants.

EDIFACT

International data interchange standards sponsored by the United Nations. See UN/EDIFACT.

Elkins Act

An act of Congress (1903) prohibiting rebates, concession, misbilling, etc. and providing specific penalties for such violations.

Embargo

Order to restrict the hauling of freight.

Eminent Domain

The sovereign power to take property for a necessary public use, with reasonable compensation.

Empty Repo

Contraction for Empty Repositioning. The movement of empty containers.

Endorsement

A legal signature usually placed on the reverse of a draft; signifies transfer of rights from the holder to another party.

Entry

Customs documents required to clear an import shipment for entry into the general commerce of a country.

Equalization

A monetary allowance to the customer for picking up or delivering at a point other than the destination shown on the bill of lading. This provision is covered by tariff publication.

Equipment Interchange Receipt (EIR)

A document transferring a container from one carrier to another, or to/from a terminal.

ETA

Estimated time of arrival.

EV (Electric Vehicle)

Vehicle powered by electric motor(s) rather than by an internal combustion engine. Most common source of electricity is chemical storage batteries.

Ex – “From”

When used in pricing terms such as “Ex Factory” or “Ex Dock,” it signifies that the price quoted applies only at the point of origin indicated.

Ex Dec

Contraction for “Shipper’s Export Declaration.”

Exception

Notations made when the cargo is received at the carrier’s terminal or loaded aboard a vessel. They show any irregularities in packaging or actual or suspected damage to the cargo. Exceptions are then noted on the bill of lading.

Exempt Carrier

Company which transports commodities exempted from Interstate Commerce Commission (ICC) economic regulation.

EXIM Bank

Abbreviation for Export-Import Bank of the United States. An independent U.S. Government Agency which facilitates exports of U.S. goods by providing loan guarantees and insurance for repayment of bank-provided export credit.

Expiry Date

Issued in connection with documents such as letters of credit, tariffs etc. to advise that stated provisions will expire at a certain time.

Export

Shipment of goods to a foreign country.

Export Declaration

A government document declaring designated goods to be shipped out of the country. To be completed by the exporter and filed with the U.S. Government.

Export License

A government document which permits the “Licensee” to engage in the export of designated goods to certain destinations.

Export Rate

A rate published on traffic moving from an interior point to a port for transshipment to a foreign country

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F

F.D.A.

Food and Drug Administration.

F.P.A.

See “Free of Particular Average.”

Factor

A factor is an agent who will, at a discount (usually five to 8% of the gross), buy receivables.

FAK

Abbreviation for “Freight All Kinds.” Usually refers to full container loads of mixed shipments.

False Billing

Misrepresenting freight or weight on shipping documents.

FAS

Abbreviation for “Free Alongside Ship.”

FCL

Abbreviation for “Full Container Load.”

FD

Abbreviation for “Free Discharge.”

Feeder Service

Cargo to/from regional ports are transferred to/from a central hub port for a long-haul ocean voyage.

Feeder Vessel

A short-sea vessel which transfers cargo between a central “hub” port and smaller “spoke” ports.

FEU

Abbreviation for “Forty-Foot Equivalent Units.” Refers to container size standard of forty feet. Two twenty-foot containers or TEU’s equal one FEU.

Fifth Wheel

Coupling device attached to a tractor or dolly which supports the front of a semitrailer and locks it to the tractor or dolly. The fifth wheel’s center is designed to accept a trailer’s kingpin, around which the trailer and tract or or dolly pivot in turns.

Fifth Wheel

The semi-circular steel coupling device mounted on a tractor which engages and locks with a chassis semi-trailer.

FIO

See Free In and Out.

Firkin

A capacity measurement equal to one-fourth of a barrel.

Five IVHS functional areas:

Advanced Public Transportation Systems (APTS)

Fixed Costs

Costs that do not vary with the level of activity. Some fixed costs continue even if no cargo is carried. Terminal leases, rent and property taxes are fixed costs.

Flat Car

A rail car without a roof and walls.

Flat Rack/Flat Bed Container

A container with no sides and frame members at the front and rear. Container can be loaded from the sides and top.

Fleet Replacement

The process of providing drivers and vehicles to a company, rather than the company owning vehicles and employees for the benefit of reducing the companies cost structure and employee exposure.

Floor Minimum

This is the minimum charge associated with any shipment.

FMC (F.M.C.)

Federal Maritime Commission. The U.S. Governmental regulatory body responsible for administering maritime affairs including the tariff system, Freight Forwarder Licensing, enforcing the conditions of the Shipping Act and approving conference or other carrier agreements.

FOB

See Free On Board. See also Terms of Sale, FOB.

FOB Freight Allowed

the same as FOB named inland carrier, except the buyer pays the transportation charge and the seller reduces the invoice by A like amount.

FOB Freight Prepaid

the same as FOB named inland carrier, except the seller pays the Freight charges of the inland carrier.

FOB named point of Exportation

seller is responsible FOR the cost of placing the goods at A named point of exportation. Some European buyers use This Form when they actually mean FOB vessel.

FOB vessel

seller is responsible FOR goods and preparation of export documentation until actually placed aboard the vessel.

FOR

Abbreviation for “Free on Rail.”

For-Hire Carrier

Company in the business of transporting freight belonging to others (see Private Carrier).

Force Majeure

The title of a common clause in contracts, exempting the parties for non-fulfillment of their obligations as a result of conditions beyond their control, such as earthquakes, floods or war.

Fore and Aft

The direction on a vessel parallel to the center line.

Foreign Sales Corporation

Under U.S. tax law, a corporation created to obtain tax exemption on part of the earnings of U.S. products in foreign markets. Must be set-up as a foreign corporation with an office outside the USA.

Foreign Trade Zone

A free port in a country divorced from Customs authority but under government control. Merchandise, except that which is prohibited, may be stored in the zone without being subject to import duty regulations.

Fork Lift

A machine used to pick up and move goods loaded on pallets or skids.

Forwarder Compensation

See Brokerage.

Foul Bill of Lading

A receipt for goods issued by a carrier with an indication that the goods were damaged when received. Compare Clean Bill of Lading.

Four-Way Pallet

A pallet designed so that the forks of a fork lift truck can be inserted from all four sides. See Fork lift.

Free Alongside (FAS)

The seller must deliver the goods to a pier and place them within reach of the ship’s loading equipment. See Terms of Sale.

Free Astray

An astray shipment (a lost shipment that is found) sent to its proper destination without additional charge.

Free In and Out (FIO)

Cost of loading and unloading a vessel is borne by the charterer/shipper.

Free of Particular Average (FPA)

A marine insurance term meaning that the assurer will not allow payment for partial loss or damage to cargo shipments except in certain circumstances, such as stranding, sinking, collision or fire.

Free on Board (FOB – U.S. Domestic Use)

Shipped under a rate that includes costs of delivery to and the loading onto a carrier at a specified point.

Free on Board (Int’l Use)

See Terms of Sale.

Free Out (FO)

Cost of unloading a vessel is borne by the charterer.

Free Port

A restricted area at a seaport for the handling of duty-exempted import goods. Also called a Foreign Trade Zone.

Free Sale Certificate

The U.S. government does not issue certificates of free sale. However, the Food and Drug Administration, Silver Spring, Maryland, will issue, upon request, a letter of comment to the U.S. manufacturers whose products are subject to the Federal Food, Drug and Cosmetic Act or other acts administered by the agency. The letter can take the place of the certificate.

Free Time

That amount of time that a carrier’s equipment may be used without incurring additional charges. (See Storage, Demurrage or Per Diem.)

Free Trade Zone

A port designated by the government of a country for duty-free entry of any non-prohibited goods. Merchandise may be stored, displayed, used for manufacturing, etc., within the zone and re-exported without duties.

Freight

Refers to either the cargo carried or the charges assessed for carriage of the cargo.

Freight Bill

A document issued by the carrier based on the bill of lading and other information; used to account for a shipment operationally, statistically, and financially. An Invoice.

Freight Forwarder

A person whose business is to act as an agent on behalf of the shipper. A freight forwarder frequently makes the booking reservation.

FTP (File Transfer Protocol)

a set of rules for exchanging files between computers via the Internet.

Fuel Surcharge (FSC)

The price paid for fuel to accomplish a particular shipment that is above a carrier’s base rate for fuel.  This charge is met to compensate for fluctuating fuel prices.

Fulfillment

A central warehouse or location that draws in multiple products and then aggregates them into a finished product that is then sent out for delivery (or pick and pack).

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G

Gateway

The last city within a country that a shipment departs when going to an international destination. For example, a shipment that travels from Denver, Colorado to Chicago, Illinois to Paris, France would list Chicago, Illinois as the “Gateway”.

Gateway

Industry-related: A point at which freight moving from one territory to another is interchanged between transportation lines.

GATT

Abbreviation for “General Agreement on Tariffs and Trade.” A multilateral treaty to help reduce trade barriers between the signatory countries and to promote trade through tariff concessions. The World Trade Organization (WTO) superseded GATT in 1994.

GBL

Abbreviation for “Government Bill of Lading.”

GCW (Gross Combination Weight)

Total weight of a loaded combination vehicle, such as a tractor-semi-trailer or truck and full trailer(s).

GDSM

Abbreviation for “General Department Store Merchandise.” A classification of commodities that includes goods generally shipped by mass-merchandise companies. This commodity structure occurs only in service contracts.

General Order (G.O.)

When U.S. Customs orders shipments without entries to be kept in their custody in a bonded warehouse.

Generator Set (Gen Set)

A portable generator which can be attached to a refrigerated container to power the refrigeration unit during transit.

Go-Down

In the Far East, a warehouse where goods are stored and delivered.

Gooseneck

The front rails of the chassis that raise above the plane of the chassis and engage in the tunnel of a container leading to the connection to tractor.

GRI

Abbreviation for “General Rate Increase.” Used to describe an across-the-board tariff rate increase implemented by conference members and applied to base rates.

Gross Tonnage (GT)

Applies to vessels, not to cargo, (0.2+0.02 log10V) where V is the volume in cubic meters of all enclosed spaces on the vessel.

Gross Weight

Entire weight of goods, packaging and freight car or container, ready for shipment. Generally, 80,000 pounds maximum container, cargo and tractor for highway transport.

Groupage

A consolidation service, putting small shipments into containers for shipment.

GVW

Abbreviation for “Gross Vehicle Weight.” The combined total weight of a vehicle and its container, inclusive of prime mover

GVW (Gross Vehicle Weight)

Total weight of a vehicle and everything aboard, including its load.

GVWR (Gross Vehicle Weight Rating)

Total weight a vehicle is rated to carry by the manufacturer, including its own weight and the weight of its load.

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H

Hague Rules, The

A multilateral maritime treaty adopted in 1921 (at The Hague, Netherlands). Standardizes liability of an international carrier under the Ocean B/L. Establishes a legal “floor” for B/L. See COGSA

Harbor Master

An officer who attends to the berthing, etc., of ships in a harbor.

Harmonized System of Codes (HS)

An international goods classification system for describing cargo in international trade under a single commodity-coding scheme. 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. 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 Fibers; Chapter 57, Carpets). The basic code contains four-digit headings and six-digit subheadings. Many countries add digits for Customs tariff and statistical purposes. In the United States, duty rates will be the eight-digit level; statistical suffixes will be at the ten-digit level. The Harmonized System (HS) is the current U.S. tariff schedule (TSUSA) for imports and is the basis for the ten-digit Schedule B export code.

Hatch

The opening in the deck of a vessel; gives access to the cargo hold.

HAZ MAT

An industry abbreviation for “Hazardous Material.”

Hazardous Materials

as classified by the U.S. Environmental Protection Agency (EPA). Transport of hazardous materials is strictly regulated by the U.S. Department of Transportation.

Headache Rack

Heavy protective barrier mounted behind the driver’s seat designed to prevent “headaches” caused by load shifting forward from the trailer and crushing the cab.

Heavy-Lift Charge

A charge made for lifting articles too heavy to be lifted by a ship’s normal tackle.

High-Density Compression

Compression of a flat or standard bale of cotton to approximately 32 pounds per cubic foot. Usually applies to cotton exported or shipped coastwise.

Hitchment

The marrying of two or more portions of one shipment that originate at different locations, moving under one bill of lading, from one shipper to one consignee. Authority for this service must be granted by tariff publication. See Bill of Lading.

Hopper Barge

A barge which loads material dumped into it by a dredger and discharges the cargo through the bottom.

Hours-Of-Service

U.S. Department of Transportation safety regulations which govern the hours of service of commercial vehicle drivers engaged in interstate trucking operations.

House-to-House

See Door-to-Door.

House-to-Pier

Cargo loaded into a container by the shipper under shipper’s supervision. When the cargo is exported, it is unloaded at the foreign pier destination.

Humping

The process of connecting a moving rail car with a motionless rail car within a rail classification yard in order to make up a train. The cars move by gravity from an incline or “hump” onto the appropriate track.

Hundred Weight Pricing

A unit of weight measurement created by U.S. merchants in the late 1800s. A hundred weight is equal to exactly 100 pounds.

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I

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.M.D.G. Code

International Maritime Dangerous Goods Code. The regulations published by the IMO for transporting hazardous materials internationally.

I.S.O.

International Standards Organization which deals in standards of all sorts, ranging from documentation to equipment packaging and labeling.

I.T.

Abbreviation for “Immediate Transport.” 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.

I/A

Abbreviation for “Independent Action.” The right of a conference member to publish a rate of tariff rule that departs from the Agreement’s common rate or rule.

IAC (Indirect Air Carrier)

means any person or entity within the United States not in possession of a Federal Aviation Administration air carrier operating certificate, that undertakes to engage indirectly in air transportation of property and uses for all or any part of such transportation the services of a passenger air carrier. Each Indirect Air Carrier must adopt and carry out a security program that meets TSA requirements.

IACMS (Indirect Air Carrier Management System)

a management system used by the TSA to approve and validate new and existing Indirect Air Carriers. This management system and application is intended for freight forwarders wishing to receive TSA approval to tender cargo utilizing an Indirect Air Carrier certification. The IACMS is not intended for individuals wanting to ship cargo. New applicants and those needing to renew their security can go to the Indirect Air Carrier Management System for further information.

IATA (International Air Transport Association)

the air transport global trade organization who regulates the shipping of dangerous goods and publishes the IATA Dangerous Goods Regulations manual, a globally accepted field source reference for airlines shipping hazardous materials.

IATA Number

A number associated with a forwarder or broker who has been approved and is recognized by the International Air Transport Association (IATA) to receive cargo, issue air waybills and other documents for carriers and collect charges for air shipments.

ICC

Abbreviation for (1) “Interstate Commerce Commission,” (2) “International Chamber of Commerce.”

IE

Stands for “Immediate Exit.” In the U.S., Customs IE Form is used when goods are brought into the U.S. and are to be immediately re-exported without being transported within the U.S.

Immediate Exportation

An entry that allows foreign merchandise arriving at one port to be exported from the same port without the payment of duty.

Import

To receive goods from a foreign country.

Import License

A document required and issued by some national governments authorizing the importation of goods.

In Bond

Cargo moving under Customs control where duty has not yet been paid.

In Gate

The transaction or interchange that occurs at the time a container is received by a rail terminal or water port from another carrier.

In Transit

In transit, or in passage.

In-Transit Entry (I.T.)

Allows foreign merchandise arriving at one port to be transported in bond to another port, where a superseding entry is filed.

Incentive Rate

A lower-than-usual tariff rate assessed because a shipper offers a greater volume than specified in the tariff. The incentive rate is assessed for that portion exceeding the normal volume.

INCOTERMS

The recognized abbreviation for the International Chamber of Commerce Terms of Sale. These terms were last amended, effective July 1, 1990.

Indemnity Bond

An agreement to hold a carrier harmless with regard to a liability.

Independent Action

Setting rate within a conference tariff that is different from the rate(s) for the same items established by other conference members.

Independent Contractor

A person or business who performs services for another person under an express or implied agreement and who is not subject to the other’s control, or right to control, the manner and means of performing the services; not as an employee. One who engages an independent contractor is not liable to others for the acts or omissions of the independent contractor.

Independent Tariff

Any body of rate tariffs that are not part of an agreement or conference system.

Inducement

Placing a port on a vessel’s itinerary because the volume of cargo offered at that port justifies the cost of routing the vessel.

Inherent Vice

An insurance term referring to any defect or other characteristic of a product that could result in damage to the product without external cause (for example, instability in a chemical that could cause it to explode spontaneously). Insurance policies may exclude inherent vice losses.

Inland Carrier

A transportation line that hauls export or import traffic between ports and inland points.

Inside Delivery

A beyond the dock type delivery.  Typically into and office; up stairs; etc.

Inspection Certificate

A certificate issued by an independent agent or firm attesting to the quality and/or quantity of the merchandise being shipped. Such a certificate is usually required in a letter of credit for commodity shipments.

Installment Shipments

Successive shipments are permitted under letters of credit. Usually they must take place within a given period of time.

Insulated Container

A container insulated on the walls, roof, floor, and doors, to reduce the effect of external temperatures on the cargo.

Insulated Container Tank

The frame of a container constructed to hold one or more thermally insulated tanks for liquids.

Insurance with Average-clause

This type of clause covers merchandise if the damage amounts to three percent or more of the insured value of the package or cargo. If the vessel burns, sinks, collides, or sinks, all losses are fully covered. In marine insurance, the word average describes partial damage or partial loss.

Insurance, All-risk

This type of insurance offers the shipper the broadest coverage available, covering against all losses that may occur in transit.

Insurance, General-Average

In water transportation, the deliberate sacrifice of cargo to make the vessel safe for the remaining cargo. Those sharing in the spared cargo proportionately cover the loss.

Insurance, Particular Average

A Marine insurance term to refer to partial loss on an individual shipment from one of the perils insured against, regardless of the balance of the cargo. Particular-average insurance can usually be obtained, but the loss must be in excess of a certain percentage of the insured value of the shipment, usually three to five percent, before a claim will be allowed by the company.

Interchange Point

A location where one carrier delivers freight to another carrier.

Intercoastal

Water service between two coasts; in the U.S., this usually refers to water service between the Atlantic and Pacific or Gulf Coasts.

Interline Freight

Freight moving from origin to destination over the Freight lines of two or more transportation carriers.

Intermediate Point

A point located en route between two other points.

Intermodal

Used to denote movements of cargo containers interchangeably between transport modes, i.e., motor, water, and air carriers, and where the equipment is compatible within the multiple systems.

Invoice

An itemized list of goods shipped to a buyer, stating quantities, prices, shipping charges, etc.

Inward Foreign Manifest (IFM)

A complete listing of all cargo entering the country of discharge. Required at all world ports and is the primary source of cargo control, against which duty is assessed by the receiving country.

IPI

Abbreviation for “Inland Point Intermodal.” Refers to inland points (non-ports) that can be served by carriers on a through bill of lading.

Irrevocable Letter of Credit

Letter of credit in which the specified payment is guaranteed by the bank if all terms and conditions are met by the drawee and which cannot be revoked without joint agreement of both the buyer and the seller.

Issuing Bank

Bank that opens a straight or negotiable letter of credit and assumes the obligation to pay the bank or beneficiary if the documents presented are in accordance with the terms of the letter of credit.

Issuing Carrier

The carrier issuing transportation documents or publishing a tariff

ITS

A more recently coined term, Intelligent Transportation Systems (ITS), encompasses both IVHS and modes of transportation other than highway, such as rail.

IVHS (Intelligent Vehicle Highway Systems)

Blanket term for a wide array of technologies, including electronic sensors, computer hardware and software and radio communications. The purpose of IVHS is to increase efficiency of use of existing highways, reducing travel time, fuel consumption, air pollution and accidents.

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J

Jacket

A wood or fiber cover placed around such containers as cans and bottles.

Jacob’s Ladder

A rope ladder suspended from the side of a vessel and used for boarding.

Jettison

Act of throwing cargo or equipment (jetsam) overboard when a ship is in danger.

JIT

Abbreviation for “Just In Time.” In this method of inventory control, warehousing is minimal or non-existent; the container is the movable warehouse and must arrive “just in time;” not too early nor too late.

Joint Rate

A rate applicable from a point on one transportation line to a point on another line, made by agreement and published in a single tariff by all transportation lines over which the rate applies.

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K

Kilogram

1,000 grams or 2.2046 pounds.

King Pin

A coupling pin centered on the front underside of a chassis; couples to the tractor.

Knocked Down (KD)

Articles which are taken apart to reduce the cubic footage displaced or to make a better shipping unit and are to be re-assembled.

Knot

One nautical mile (6,076 feet or 1852 meters) per hour. In the days of sail, speed was measured by tossing overboard a log which was secured by a line. Knots were tied into the line at intervals of approximately six feet. The number of knots measured was then compared against time required to travel the distance of 1000 knots in the line.

Known Loss

A loss discovered before or at the time of delivery of a shipment.

Known Shipper

a person or entity that is authorized to ship cargo on Passenger Air Carriers.  A systematic approach is used to assess risk and determine the legitimacy of shippers.  Passenger Air Carriers and Indirect Air Carriers must comply with a broad range of specific security requirements to qualify their clients as Known Shippers.

KT

Kilo or metric ton. 1,000 Kilos or 2,204.6 pounds.

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L

L/C

Abbreviation for “Letter of Credit.”

Laden

Loaded aboard a vessel.

Lading

Refers to the freight shipped; the contents of a shipment.

Landbridge

Movement of cargo by water from one country through the port of another country, thence, using rail or truck, to an inland point in that country or to a third country. As example, a through movement of Asian cargo to Europe across North America.

Landed Cost

The total cost of a good to a buyer, including the cost of transportation.

Landing Certificate

Certificate issued by consular officials of some importing countries at the point or place of export when the subject goods are exported under bond.

Landing Gear

Retracting legs which support the front of a semi-trailer when it is not coupled to a tractor.

Landing Gear

A support fixed on the front part of a chassis (which is retractable); used to support the front end of a chassis when the tractor has been removed.

LASH

A maritime industry abbreviation for “Lighter Aboard Ship.” A specially constructed vessel equipped with an overhead crane for lifting specially designed barges and stowing them into cellular slots in an athwartship position.

LAYCAN

Laydays/Cancelling (date): Range of dates within the hire contract must start.

LCL

Abbreviation for “Less than Container Load.” The quantity of freight which is less than that required for the application of a container load rate. Loose Freight.

Less Than Truckload

Also known as LTL or LCL.

Lessee

Company or individual which leases vehicles.

Lessor

Company which leases vehicles.

Letter of Credit (LC)

A document, issued by a bank per instructions by a buyer of goods, authorizing the seller to draw a specified sum of money under specified terms, usually the receipt by the bank of certain documents within a given time. Some of the specific descriptions are:

Letter of Credit (LC) – Back-to-Back

A new letter of credit issued to another beneficiary on the strength of a primary credit. The second L/C uses the first L/C as collateral for the bank. Used in a three-party transaction.

Letter of Credit (LC) – Clean

A letter of credit that requires the beneficiary to present only a draft or a receipt for specified funds before receiving payment.

Letter of Credit (LC) – Confirmed

An L/C guaranteed by both the issuing and advising banks of payment so long as seller’s documents are in order, and the L/C terms are met. Only applied to irrevocable L/C’s. The confirming bank assumes the credit risk of the issuing bank.

Letter of Credit (LC) – Deferred Payment

A letter of credit issued for the purchase and financing of merchandise, similar to acceptance-type letter of credit, except that it requires presentation of sight drafts payable on an installment basis.

Letter of Credit (LC) – Irrevocable

An instrument that, once established, cannot be modified or cancelled without the agreement of all parties concerned.

Letter of Credit (LC) – Non cumulative

A revolving letter of credit that prohibits the amount not used during the specific period from being available afterwards.

Letter of Credit (LC) – Restricted

A condition within the letter of credit which restricts its negotiation to a named bank.

Letter of Credit (LC) – Revocable

An instrument that can be modified or cancelled at any moment without notice to and agreement of the beneficiary, but customarily includes a clause in the credit to the effect that any draft negotiated by a bank prior to the receipt of a notice of revocation or amendment will be honored by the issuing bank. Rarely used since there is no protection for the seller.

Letter of Credit (LC) – Revolving

An irrevocable letter issued for a specific amount; renews itself for the same amount over a given period.

Letter of Credit (LC) – Straight

A letter of credit that contains a limited engagement clause which states that the issuing bank promises to pay the beneficiary upon presentation of the required documents at its counters or the counters of the named bank.

Letter of Credit (LC) – Transferable

A letter of credit that allows the beneficiary to transfer in whole or in part to another beneficiary any amount which, in aggregate, of such transfers does not exceed the amount of the credit. Used by middlemen.

Letter of Credit (LC) – Unconfirmed

A letter of credit forwarded to the beneficiary by the advising bank without engagement on the part of the advising bank.

Letter of Indemnity

In order to obtain the clean bill of lading, the shipper signs a letter of indemnity to the carrier on the basis of which may be obtained the clean bill of lading, although the dock or mate’s receipt showed that the shipment was damaged or in bad condition.

Licenses

Some governments require certain commodities to be licensed prior to exportation or importation. Clauses attesting to compliance are often required on the B/L. Various types issued for export (general, validated) and import as mandated by government(s).

Lien

A legal claim upon goods for the satisfaction of some debt or duty.

Lift-Gate

Electric or hydraulic lift used to load and unload off of the back of                                    commercial straight trucks and tractor trailers.

Lightening

A vessel discharges part of its cargo at anchor into a lighter to reduce the vessel’s draft so it can then get alongside a pier.

Lighter

An open or covered barge towed by a tugboat and used mainly in harbors and inland waterways to carry cargo to/from alongside a vessel.

Lighterage

Refers to carriage of goods by lighter and the charge assessed therefrom.

Line-Haul

Transportation from one city to another as differentiated from local switching service.

Liner

A vessel sailing between specified ports on a regular basis.

Liquidated Damages

The penalty a seller must pay if the construction project does not meet contractual standards or deadlines.

List

The amount in degrees that a vessel tilts from the vertical.

Listserv

An electronic mailing list typically used by a broad range of discussion groups. When you subscribe to a listserv, you will receive periodic email messages about the topic that you have requested.

Liter

1.06 liquid U.S. quarts or 33.9 fluid ounces.

Lloyds’ Registry

An organization maintained for the surveying and classing of ships so that insurance underwriters and others may know the quality and condition of the vessels offered for insurance or employment.

Load Ratio

The ratio of loaded miles to empty miles.

Local Cargo

Cargo delivered to/from the carrier where origin/destination of the cargo is in the local area.

Logbook

Book carried by truck drivers in which they record their hours of service and duty status for each 24-hour period. Required in interstate commercial trucking by the U.S. Department of Transportation.

Logistics

Logistics is that part of the supply chain process that plans, implements, and controls the efficient, effective flow and storage of goods, services, and related information from the point of origin to the point of consumption in order to meet customers’ requirements.

Long Ton

2,240 pounds

Longshoreman

Individual employed in a port to load and unload ships.

Loose

Without packing.

Loose Shipment

A shipment that is tendered as individual boxes or pieces. Also referred to as a Bulk Shipment.

Low-Boy

A trailer or semi-trailer with no sides and with the floor of the unit close to the ground.

Lowboy

Open flat-bed trailer with a deck height very low to the ground, used to haul construction equipment or bulky or heavy loads.

LTL (Less-Than-Truckload)

A quantity of freight less than that required for the application of a truckload (TL) rate; usually less than 10,000 pounds. (See TL)

LTL Carrier

trucking company which consolidates less-than-truckload cargo for multiple destinations on one vehicle. (see TL Carrier)

Lumper

A labor to load and unload trucks in a dock setting.

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M

M.M.F.B.

Middlewest Motor Freight Bureau.

Malpractice

A carrier giving a customer illegal preference to attract cargo. This can take the form of a money refund (rebate); using lower figures than actual for the assessment of freight charges (undercubing); misdeclaration of the commodity shipped to allow the assessment of a lower tariff rate; waiving published tariff charges for demurrage, CFS handling or equalization; providing specialized equipment to a shipper to the detriment of other shippers, etc.

Mandamus

A writ issued by a court; requires that specific things be done.

Manifest

Document that lists in detail all the bills of lading issued by a carrier or its agent or master for a specific voyage. A detailed summary of the total cargo of a vessel. Used principally for Customs purposes.

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, etc., but excludes losses that can be recovered from the carrier.

Maritime

Business pertaining to commerce or navigation transacted upon the sea or in seaports in such matters as the court of admiralty has jurisdiction.

Marking

Letters, numbers, and other symbols placed on cargo packages to facilitate identification. Also known as marks.

Marlinespike

A pointed metal spike, used to separate strands of rope in splicing.

Master Inbond

U.S. Customs’ automated program under AMS. It allows for electronic reporting of inbound (foreign) cargoes in the U.S.

Mate’s Receipt

An archaic practice. An acknowledgement of cargo receipt signed by a mate of the vessel. The possessor of the mate’s receipt is entitled to the bill of lading, in exchange for that receipt.

MBM

1,000 board feet. One MBM equals 2,265 C.M.

MCFS

Abbreviation for “Master Container Freight Station.” See CFS.

Measurement Cargo

Freight on which transportation charges are calculated on the basis of volume measurement.

Measurement Ton

40 cubic feet.

Mechanically Ventilated Container

A container fitted with a means of forced air ventilation.

Memorandum Bill of Lading

An in-house bill of lading. A duplicate copy.

Memorandum Freight Bill

See Multiple Containerload Shipment.

Meter

39.37 inches (approximately).

Metric Ton

2,204.6 pounds or 1,000 kilograms.

Microbridge

A cargo movement in which the water carrier provides a through service between an inland point and the port of load/discharge. The carrier is responsible for cargo and costs from origin on to destination. Also known as IPI or Through Service.

Mile

A unit equal to 5,280 feet on land. A nautical mile is 6076.115.

Mini Landbridge

An intermodal system for transporting containers by ocean and then by rail or motor to a port previously served as an all_water move (e.g., Hong Kong to New York over Seattle).

Minimum Bill of Lading

A clause in a Bill of lading which specifies the least charge that the carrier will make for issuing a lading. The charge may be a definite sum or the current charge per ton for any specified quantity.

Minimum Charge

The lowest charge that can be assessed to transport a shipment.

Mixed Charges

When the shipping and other charges are split between the shipper and the receiver (consignee).

Mixed Container Load

A containerload of different articles in a single consignment.

MLB

Abbreviation for “Mini Landbridge.”

Modified Atmosphere

A blend of gases tailored to replace the normal atmosphere within a container.

MT

Abbreviation for “Metric Ton.”

Multimodal

Synonymous for all practical purposes with “Intermodal.”

MultiTank Container

A container frame fitted to accommodate two or more separate tanks for liquids.

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N

N.C.I.T.D.

National Committee on International Trade Documentation

N.M.F.C.

National Motor Freight Classification.

N.P.C.F.B.

North Pacific Coast Freight Bureau.

Nautical Mile

Distance of one minute of longitude at the equator, approximately 6,076.115. The metric equivalent is 1852.

NEC

Abbreviation for “Not Elsewhere Classified.”

Negotiable Instruments

A document of title (such as a draft, promissory note, check, or bill of lading) transferable from one person to another in good faith for a consideration. Non-negotiable bills of lading are known as “straight consignment.” Negotiable bills are known as “order b/l’s.”

NES

Abbreviation for “Not Elsewhere Specified.”

Nested

Articles packed so that one rests partially or entirely within another, thereby reducing the cubic-foot displacement.

Net Tare Weight

The weight of an empty cargo-carrying piece of equipment plus any fixtures permanently attached.

Net Tonnage (NT)

(0.2+0.02 log10(Vc)) Vc (4d/3D)2, for passenger ships the following formula is added: 1.25 (GT+10000)/10000 (N1+(N2/10)), where Vc is the volume of cargo holds, D is the distance between ship’s bottom and the uppermost deck, d is the draught N1 is the number of cabin passengers, and N2 is the number of deck passengers.) “Ton” is figured as an 100 cubic foot ton.

Net Weight

Weight of the goods alone without any immediate wrappings, e.g., the weight of the contents of a tin can without the weight of the can.

Neutral Body

An organization established by the members of an ocean conference acts as a self-policing force with broad authority to investigate tariff violations, including authority to scrutinize all documents kept by the carriers and their personnel. Violations are reported to the membership and significant penalties are assessed.

No-show

Cargo which has been booked but does not arrive in time to be loaded before the vessel sails. See also “Windy Booking.”

NOI

Abbreviation for “Not Otherwise Indexed.”

NOIBN

Abbreviation for “Not Otherwise Indexed By Name.”

Nomenclature of the Customs Cooperation Council

The Customs tariff used by most countries worldwide. It was formerly known as the Brussels Tariff Nomenclature and is the basis of the commodity coding system known as the Harmonized System.

Non-Dumping Certificate

Required by some countries for protection against the dumping of certain types of merchandise or products.

Non-Vessel Operating Common Carrier (NVOCC)

A cargo consolidator in ocean trades who will buy space from a carrier and sub_sell it to smaller shippers. The NVOCC issues bills of lading, publishes tariffs and otherwise conducts itself as an ocean common carrier, except that it will not provide the actual ocean or intermodal service.

NOR

Notice of Readiness. (When the ship is ready to load.)

NOS

Abbreviation for “Not Otherwise Specified.”

Nose

Front of a container or trailer – opposite the tail.

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O

O.E.C.D.

Organization of Economic Cooperation and Development, headquartered in Paris with membership consisting of the world’s developed nations.

O.P.I.C.

Overseas Private Investment Corporation.

Ocean Bill of Lading (Ocean B/L)

A contract for transportation between a shipper and a carrier. It also evidences receipt of the cargo by the carrier. A bill of lading shows ownership of the cargo and, if made negotiable, can be bought, sold or traded while the goods are in-transit.

OCP

See “Overland Common Points.”

ODS

Abbreviation for “Operating Differential Subsidy.” An amount of money the U.S. government paid U.S. shipping companies that qualify for this subsidy. The intent was to help offset the higher subsidy. The intent was to help ofset the higher cost of operating a U.S.-flag vessel. The ODS program is administered by the U.S. Maritime Administration and is being phased out.

On Board

A notation on a bill of lading that cargo has been loaded on board a vessel. Used to satisfy the requirements of a letter of credit, in the absence of an express requirement to the contrary.

On Deck

A notation on a bill of lading that the cargo has been stowed on the open deck of the ship.

Open Account

A trade arrangement in which goods are shipped to a foreign buyer without guarantee of payment.

Open Insurance Policy

A marine insurance policy that applies to all shipments made by an exporter over a period of time rather than to one shipment only.

Open Top Container

A container fitted with a solid removable roof, or with a tarpaulin roof so the container can be loaded or unloaded from the top.

Operating Ratio

A comparison of a carrier’s operating expense with its net sales. The most general measure of operating efficiency.

Optimum Cube

The highest level of cube utilization that can be achieved when loading cargo into a container.

Order-Notify (O/N)

A bill of lading term to provide surrender of the original bill of lading before freight is released; usually associated with a shipment covered under a letter of credit.

ORFS

Abbreviation for “Origin Rail Freight Station.” Same as CFS at origin except an ORFS is operated by the rail carrier participating in the shipment.

Origin

Location where shipment begins its movement.

Original Bill of Lading (OBL)

A document which requires proper signatures for consummating carriage of contract. Must be marked as “original” by the issuing carrier.

OS&D (Over, short & damaged)

A report designed to provide all exception from a consolidated shipment once received by delivering carrier. This report is critical in the transfer of cargo liability.

Out Gate

Transaction or interchange that occurs at the time a container leaves a rail or water terminal.

Overcharge

To charge more than the proper amount according to the published rates.

Overheight Cargo

Cargo more than eight feet high which thus cannot fit into a standard container.

Overland Common Point (OCP)

A term stated on the bills of lading offering lower shipping rates to importers east of the Rockies, provided merchandise from the Far East comes in through the West Coast ports. OCP rates were established by U.S. West Coast steamship companies in conjunction with western railroads so that cargo originating or destined for the American Midwest and East would be competitive with all-water rates via the U.S. Atlantic and Gulf ports. Applies to eastern Canada.

Oversized Package

A package that is between 84″ and 130″ in length and girth but weighs less than 30 lbs. will be rated at the 30 lbs. small package rate. (This is a standard provision established by UPS).

Owner Code (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

Owner-Operator

people who own and operate his/her own truck(s).

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P

P&D

Pickup and delivery.

P&I

Abbreviation for “Protection and Indemnity,” an insurance term.

Packing List

Itemized list of commodities with marks/numbers but no cost values indicated.

PADAG

Abbreviation for “Please Authorize Delivery Against Guarantee.” A request from the consignee to the shipper to allow the carrier or agent to release cargo against a guarantee, either bank or personal. Made when the consignee is unable to produce original bills of lading.

Paired Ports

A U.S. Customs program wherein at least two designated Customs ports will enter cargo that arrives at either port without the necessity of an in-bound document.

Pallet

A platform with or without sides, on which a number of packages or pieces may be loaded to facilitate handling by a lift truck.

Pallet-Jack

A manually operated jack that assists in moving palletized shipments around the warehouse or onto and off of a truck.

Paper Ramp

A technical rail ramp, used for equalization of points not actually served.

Paper Rate

A published rate that is never assessed because no freight moves under it.

Parcel Receipt

An arrangement whereby a steamship company, under rules and regulations established in the freight tariff of a given trade, accepts small packages at rates below the minimum bill of lading, and issues a parcel receipt instead of a bill of lading.

Partial Shipments

Under letters of credit, one or more shipments are allowed by the phrase “partial shipments permitted.”

Particular Average

See Insurance, Particular Average.

Payee

A party named in an instrument as the beneficiary of the funds. Under letters of credit, the payee is either the drawer of the draft or a bank.

Payer

A party responsible for the payment as evidenced by the given instrument. Under letters of credit, the payer is the party on whom the draft is drawn, usually the drawee bank.

Payload

Weight of the cargo being hauled.

Pedal Runs

LTL shipments loaded onto trailer such that the truck can drop them off in order on a given route.

Per Diem

A charge, based on a fixed daily rate.

Perils of the Sea

Those causes of loss for which the carrier is not legally liable. The elemental risks of ocean transport.

Phytosanitary Inspection Certificate

A certificate issued by the U.S. Department of Agriculture to satisfy import regulations of foreign countries; indicates that a U.S. shipment has been inspected and found free from harmful pests and plant diseases.

Pick & Pack

The fulfillment of orders of more than one sku into a shipping container from the warehouse floor.

Pickup

The act of calling for freight by truck at the consignor’s shipping platform.

Pier

The structure perpendicular to the shoreline to which a vessel is secured for the purpose of loading and unloading cargo.

Pier-to-House

A shipment loaded into a container at the pier or terminal, thence to the consignee’s facility.

Pier-to-Pier

Containers loaded at port of loading and discharged at port of destination.

Piggy Packer

A mobile container-handling crane used to load/unload containers to/from railcars.

Piggyback

Semi-trailer built with reinforcements to withstand transport by a railroad flatcar.

Piggyback

A transportation arrangement in which truck trailers with their loads are moved by train to a destination. Also known as Rail Pigs.

Pigtail

Cable used to transmit electrical power from the tractor to the trailer.

Place of Delivery

Place where cargo leaves the care and custody of carrier.

Place of Receipt

Location where cargo enters the care and custody of carrier.

Plimsoll Mark

A series of horizontal lines, corresponding to the seasons of the year and fresh or saltwater, painted on the outside of a ship marking the level which must remain above the surface of the water for the vessel’s stability.

POD

Proof of delivery.

POD

Abbreviation for: Port of Discharge, or Port of Destination.

Point of Origin

The place at which a shipment is received by a carrier from the shipper.

POL

Abbreviation for: Port of Loading, or Petroleum, Oil, and Lubricants.

Pomerene Act, Also known as (U.S.) Federal Bill of Lading Act of 1916.

U.S. federal law enacting conditions by which a B/L may be issued. Penalties for issuing B/L’s containing false data include monetary fines and/or imprisonment.

Port

Left side of A ship when facing forward. Also opening in a ship’s side for handling freight.

Port of Call

Port where a ship discharges or receives traffic.

Port of Entry

Port where cargo is unloaded and enters a country.

Port of Exit

Place where cargo is loaded and leaves a country.

Pratique Certificate

Lifts temporary quarantine of a vessel; granted pratique by Health Officer.

Pre-cooling

A process employed in the shipment of citrus fruits and other perishable commodities. The fruit is packed and placed in a cold room from which the heat is gradually extracted. The boxes of fruit are packed in containers that have been thoroughly cooled and transported through to destination without opening the doors.

Prepaid

When the shipper is responsible for payment of charges.

Prepaid (Ppd.)

Freight charges paid by the consignor (shipper) prior to the release of the bills of lading by the carrier.

Private Carrier

Business which operates trucks primarily for the purpose of transporting its own products and raw materials. The principle business activity of a private carrier is not transportation. (See For-Hire Carrier)

Pro Forma

A Latin term meaning “For the sake of form.”

Pro Forma Invoice

An invoice provided by a supplier prior to the shipment of merchandise, informing the buyer of the kinds and quantities of goods to be sent, their value, and specifications (weight, size, etc.).

Pro Rata

A Latin term meaning “In proportion.”

Project Rate

Single tariff item, established to move multiple commodities needed for a specified project, usually construction.

Proof of Delivery

A document required from the Carrier or driver FOR proper payment.

Public Service Commission

A name usually given to a State body having control or regulation of public utilities.

Publishing Agent

Person authorized by transportation lines to publish tariffs or rates, rules, and regulations for their account.

Pulp Temperature

Procedure where carrier tests the temperature of the internal flesh of refrigerated commodities to assure that the temperature at time of shipment conforms to prescribed temperature ranges.

Pup

A short semi-trailer used jointly with a dolly and another semi-trailer to create a twin trailer.

Pup Trailer

Short semi-trailer, usually between 26 and 32 feet long, with a single axle.

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Q

Quarantine

A restraint placed on an operation to protect the public against a health hazard. A ship may be quarantined so that it cannot leave a protected point. During the quarantine period, the Q flag is hoisted.

Quay

A structure attached to land to which a vessel is moored. See also Pier and Dock.

Quoin

A wedge-shaped piece of timber used to secure barrels against movement.

Quota

The quantity of goods that may be imported without restriction during a set period of time.

Quotation

An offer to sell goods at a stated price and under stated terms

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R

Rag Top

A slang term for an open-top trailer or container with a tarpaulin cover.

Rail Division

The amount of money an ocean carrier pays to the railroad for overland carriage.

Rail Grounding

The time that the container was discharged (grounded) from the train

Ramp

Railroad terminal where containers are received or delivered and trains loaded or discharged. Originally, trailers moved onto the rearmost flatcar via a ramp and driven into position in a technique known as “circus loading.” Most modern rail facilities use lifting equipment to position containers onto the flatcars.

Ramp-to-Door

A movement where the load initiates at an origin rail ramp and terminates at a consignee’s door.

Ramp-to-Ramp

A movement of equipment from an origin rail ramp to a destination rail ramp only.

Rate Basis

A formula of the specific factors or elements that control the making of a rate. A rate can be based on any number of factors (i.e., weight, measure, equipment type, package, box, etc.).

Reasonableness

Under ICC and common law, the requirement that a rate not be higher than is necessary to reimburse the carrier for the actual cost of transporting the traffic and allow a fair profit.

Rebate

An illegal form of discounting or refunding that has the net effect of lowering the tariff price. See also Malpractice.

Reconsignment

Changing the consignee or destination on a bill of lading while shipment is still in transit. Diversion has substantially the same meaning.

Recourse

A right claim against the guarantors of a loan or draft or bill of exchange.

Recovery

The act of picking up a shipment at the destination.

Recovery Time

The amount of time it takes to process a shipment and have it available for pick up after a flight arrives at the final destination.

Red Label

A label required on shipments of flammable articles.

Reefer

Refrigerated trailer with insulated walls and a self-powered refrigeration unit. Most commonly used for transporting food.

Reefer

Refrigerated container.

Related Points

A group of points to which rates are made the same as or in relation to rates to other points in group.

Relay

To transfer containers from one ship to another when both vessels are controlled by the same network (carrier) manager.

Relay (Relay Driving)

Common practice in the less-than-truckload industry, in which one driver takes a truck for 8 to 10 hours, then turns the truck over to another driver, pony express style.

Remittance

Funds sent by one person to another as payment.

Restricted Articles

Articles handled only under certain conditions.

Revenue Ton (RT)

A ton on which the shipment is freighted. If cargo is rated as weight or measure (W/M), whichever produces the highest revenue will be considered the revenue ton. Weights are based on metric tons and measures are based on cubic meters. RT=1 MT or 1 CBM.

Reverse IPI

An inland point provided by an all-water carrier’s through bill of lading in the U.S. by first discharging the container in an East Coast port.

RFG (Reformulated Gasoline)

Gasoline blended with pollution reducing additives.

RFQ

Request for quotation.

Ro/Ro

A 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

To re-book cargo to a later vessel.

Rolling

The side-to-side (athwartship) motion of a vessel.

Route

The manner in which a shipment moves; i.e., the carriers handling it and the points at which the carriers interchange.

Routed

Predetermined set of stops that get serviced on a regular basis.

Running Gear

Complementary equipment for terminal and over-the-road handling containers.

Rush

Delivery within 90 minutes of receipt of order.

RVNX

Abbreviation for “Released Value Not Exceeding.” Usually used to limit the value of goods transported. The limitation refers to carrier liability when paying a claim for lost or damaged goods.

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S

S/D

Abbreviation for: Sight draft, or Sea Damage

Same-Day

Delivered between 8am and 6pm (Monday thru Friday).

Sanction

An embargo imposed by a Government against another countr

SCAC Code

See Owner Code.

Scale Weight

The actual weight of a shipment.

Schedule B

The Statistical Classification of Domestic and Foreign Commodities Exported from the United States.

Scheduled

Coordinated ahead of time with the customer.

Sea Waybill

Document indicating the goods were loaded onboard when a document of title (b/L) is not needed. Typically used when a company is shipping goods to itself.

Sea-Bee Vessels

Ocean vessels constructed with heavy-duty submersible hydraulic lift or elevator system at the stern of the vessel. The Sea-Bee system facilitates forward transfer and positioning of barges. Sea-Bee barges are larger than LASH barges. The Sea-Bee system is no longer used.

Seaworthiness

The fitness of a vessel for its intended use.

SED

U.S. Commerce Department document, “Shipper’s Export Declaration.”

Service

A string of vessels which makes a particular voyage and serves a particular market.

Service Contract

As provided in the Shipping Act of 1984, a contract between a shipper (or a shippers association) and an ocean common carrier (or conference) in which the shipper makes a commitment to provide a certain minimum quantity of cargo or freight revenue over a fixed time period, and the ocean common carrier or conference commits to a certain rate or rate schedule as well as a defined service level (such as assured space, transit time, port rotation or similar service features). The contract may also specify provisions in the event of nonperformance on the part of either party.

SHEX

Saturday and Holidays Excluded.

SHINC

Saturday and Holidays Included.

Ship Chandler

An individual or company selling equipment and supplies for ships.

Ship Demurrage

A charge for delaying a steamer beyond a stipulated period.

Ship’s Bells

Measure time onboard ship. One bell sounds for each half hour. One bell means 12:30, two bells mean 1:00, three bells mean 1:30, and so on until 4:00 (eight bells). At 4:30 the cycle begins again with one bell.

Ship’s Manifest

A statement listing the particulars of all shipments loaded for a specified voyage.

Ship’s Tackle

All rigging, cranes, etc., utilized on a ship to load or unload cargo.

Shipment

The tender of one lot of cargo at one time from one shipper to one consignee on one bill of lading.

Shipper

The person or company who is usually the supplier or owner of commodities shipped. Also called Consignor.

Shipper’s Export Declaration (SED,”Ex Dec”)

A joint Bureau of the Census’ International Trade Administration form used for compiling U.S. exports. It is completed by a shipper and shows the value, weight, destination, etc., of export shipments as well as Schedule B commodity code.

Shipper’s Instructions

Shipper’s communication(s) to its agent and/or directly to the international water-carrier. Instructions may be varied, e.g., specific details/clauses to be printed on the B/L, directions for cargo pickup and delivery.

Shipper’s Letter of Instructions for issuing an Air Waybill

The document required by the carrier or freight forwarders to obtain (besides the data needed) authorization to issue and sign the air waybill in the name of the shipper.

Shipper’s Load & Count (SL&C)

Shipments loaded and sealed by shippers and not checked or verified by the carriers.

Shippers Association

A non-profit entity that represents the interests of a number of shippers. The main focus of shippers associations is to pool the cargo volumes of members to leverage the most favorable service contract rate levels.

Shipping Act of 1916

The act of the U.S. Congress (1916) that created the U.S. Shipping Board to develop water transportation, operate the merchant ships owned by the government, and regulate the water carriers engaged in commerce under the flag of the United States. As of June 18, 1984, applies only to domestic offshore ocean transport.

Shipping Act of 1984

Effective June 18, 1984, describes the law covering water transportation in the U.S. foreign trade.

Shipping Act of 1998

Amends the Act of 1984 to provide for confidential service contracts and other items.

Shipping Order

Shipper’s instructions to carrier for forwarding goods; usually the triplicate copy of the bill of lading.

Shipping Weight

“Dry” weight of a truck including all standard equipment, but excluding fuel and coolant.

Ships – Barge Carriers

Ships designed to carry barges; some are fitted to act as full containerships and can carry a varying number of barges and containers at the same time. At present this class includes two types of vessels LASH and Sea-Bee.

Ships – Bulk Carriers

All vessels designed to carry bulk cargo such as grain, fertilizers, ore, and oil.

Ships – Combination Passenger and Cargo Ships

Ships with a capacity for 13 or more passengers.

Ships – Freighters

Breakbulk vessels both refrigerated and unrefrigerated, containerships, partial containerships, roll_on/roll_off vessels, and barge carriers.

Ships – Full Containerships

Ships equipped with permanent container cells, with little or no space for other types of cargo.

Ships – General Cargo Carriers

Breakbulk freighters, car carriers, cattle carriers, pallet carriers and timber carriers.

Ships – Partial Containerships

Multipurpose containerships where one or more but not all compartments are fitted with permanent container cells. Remaining compartments are used for other types of cargo.

Ships – Roll-on/Roll-off vessels

Ships specially designed to carry wheeled containers or trailers using interior ramps.

Ships – Tankers

Ships fitted with tanks to carry liquid cargo such as crude petroleum and petroleum products; chemicals, Liquefied gasses (LNG and LPG), wine, molasses, and similar product tankers.

Shore

A prop or support placed against or beneath anything to prevent sinking or sagging.

Short Ton (ST)

2,000 pounds.

Shrink Wrap

Polyethylene or similar substance heat-treated and shrunk into an envelope around several units, thereby securing them as a single pack for presentation or to secure units on a pallet.

Side Loader

A lift truck fitted with lifting attachments operating to one side for handling containers.

Side-Door Container

A container fitted with a rear door and a minimum of one side door.

Sight Draft

A draft payable upon presentation to the drawee.

Single-Source Leasing

Service in which companies can lease drivers and trucks from the same source, rather than having to procure them from different companies.

Skids

Battens, or a series of parallel runners, fitted beneath boxes or packages to raise them clear of the floor to permit easy access of forklift blades or other handling equipment.

SL/W

Shippers load and count. All three clauses are used as needed on the bill of lading to exclude the carrier from liability when the cargo is loaded by the shipper.

Sleepers

Loaded containers moving within the railroad system that are not clearly identified on any internally generated reports.

Sliding Fifth Wheel

Fifth wheel mounted to a mechanism that allows it to be moved back and forth for the purpose of adjusting the distribution of weight on the tractor’s axles. Also provides the capability to vary vehicle combination lengths.

Sliding Tandem (Slider)

Mechanism that allows a tandem axle suspension to be moved back and forth at the rear of a semi-trailer, for the purpose of adjusting the distribution of weight between the axles and fifth wheel.

Sling

A wire or rope contrivance placed around cargo and used to load or discharge it to/from a vessel.

Slip

A vessel’s berth between two piers.

SPA

Abbreviation for “Subject to Particular Average.” See also Particular Average.

Special

Any shipment that does not fit the normal delivery parameters.    

Spine Car

An articulated five-platform railcar. Used where height and weight restrictions limit the use of stack cars. It holds five 40-foot containers or combinations of 40- and 20-foot containers.

Spotting

Placing a container where required to be loaded or unloaded.

Spreader

A piece of equipment designed to lift containers by their corner castings.

Stability

The force that holds a vessel upright or returns it to upright if keeled over. Weight in the lower hold increases stability. A vessel is stiff if it has high stability, tender if it has low stability.

Stack Car

An articulated five-platform rail car that allows containers to be double stacked. A typical stack car holds ten 40-foot equivalent units (FEU’s).

Stacktrain

A rail service whereby rail cars carry containers stacked two high on specially operated unit trains. Each train includes up to 35 articulated multi-platform cars. Each car is comprised of 5 well-type platforms upon which containers can be stacked. No chassis accompany containers.

Standard Industrial Classification (SIC)

A standard numerical code used by the U.S. Government to classify products and services.

Standard International Trade Classification (SITC)

A standard numeric code developed by the United Nations to classify commodities used in international trade, based on a hierarchy.

Starboard

The right side of a ship when facing the bow.

Statute Of Limitation

A law limiting the time in which claims or suits may be instituted.

STC

Said to contain.

STCC

Abbreviation for “Standard Transportation Commodity Code.”

Steamship Conference

A group of vessel operators joined together for the purpose of establishing freight rates.

Steamship Guarantee

An indemnity issued to the carrier by a bank; protects the carrier against any possible losses or damages arising from release of the merchandise to the receiving party. This instrument is usually issued when the bill of lading is lost or is not available.

Stern

The end of a vessel. Opposite of bow.

Stevedore

Individual or firm that employs longshoremen and who contracts to load or unload the ship.

Store-Door Pick-up Delivery

A complete package of pick up or delivery services performed by a carrier from origin to final consumption point.

Stowage

A marine term referring to loading freight into ships’ holds.

Straddle Carrier

Mobile truck equipment with the capacity for lifting a container within its own framework.

Straight Bill of Lading

A non-negotiable bill of lading which states a specific identity to whom the goods should be delivered. See Bill of Lading.

Stripping

Removing cargo from a container (devanning)

Stuffing

Putting cargo into a container.

STW

Said to weigh.

Subrogate

To put in place of another; i.e., when an insurance company pays a claim it is placed in the same position as the payee with regard to any rights against others.

Sufferance Wharf

A wharf licensed and attended by Customs authorities.

Supply Chain

A logistical management system which integrates the sequence of activities from delivery of raw materials to the manufacturer through to delivery of the finished product to the customer into measurable components. “Just in Time” is a typical value-added example of supply chain management.

Surcharge

An extra or additional charge.

Surface Transportation Board (STB)

The U.S. federal body charged with enforcing acts of the U.S. Congress that affect common carriers in interstate commerce. STB replaced the Interstate Commerce Commission (ICC) in 1997.

Surtax

An additional extra tax

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T

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

Rear of a container or trailer-opposite the front or nose.

Tare Weight

In railcar or container shipments, the weight of the empty railcar or empty container.

Tariff (Trf.)

A publication setting forth the charges, rates and rules of transportation companies.

TBN

To Be Nominated. (When the name of a ship is still unknown.)

Team (Driver Team)

Team of two drivers who alternative driving and resting.

Telex

Used for sending messages to outside companies. Messages are transmitted via Western Union, ITT and RCA. Being replaced by fax and internet.

Temperature Recorder

A device to record temperature in a container while cargo is en route.

Tender

The act of dropping off a shipment at the origin.

Tender

The offer of goods for transportation or the offer to place cars or containers for loading or unloading.

Tenor

Time and date for payment of a draft.

Terminal

An assigned area in which containers are prepared for loading into a vessel, train, truck, or airplane or are stacked immediately after discharge from the vessel, train, truck, or airplane.

Terminal Charge

A charge made for a service performed in a carrier’s terminal area.

Terms of Sale

The point at which sellers have fulfilled their obligations so the goods in a legal sense could be said to have been delivered to the buyer. They are shorthand expressions that set out the rights and obligations of each party when it comes to transporting the goods. Following, are the thirteen terms of sale in international trade as Terms of Sale reflected in the recent amendment to the International chamber of Commerce Terms of Trade (INCOTERMS), effective July 1990: exw, fca, fas, fob, cfr, cif, cpt, cip, daf, des, deq, ddu and ddp.

Terms of Sale – CFR (Cost and Freight) (…Named Port of Destination)

A Term of Sale where the seller pays the costs and freight necessary to bring the goods to the named port of destination, Terms of Sale but the risk of loss of or damage to the goods, as (continued) well as any additional costs due to events occurring after the time the goods have been delivered on board the vessel, is transferred from the seller to the buyer when the goods pass the ship’s rail in the port of shipment. The CFR term requires the seller to clear the goods for export.

Terms of Sale – 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 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.

Terms of Sale – CIP (Carriage and Insurance Paid To) (…Named Place of Destination)

A Term of Sale which means the seller has the same obligations as under CPT, but with the addition that the seller has to procure cargo 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 buyer should note that under the CIP term the seller is required to obtain insurance only on minimum coverage. The CIP term requires the seller to clear the goods for export.

Terms of Sale – CPT (Carriage Paid To) (…Named Place of Destination)

A Term of Sale which means the seller pays the freight for the carriage of the goods to the named destination. The risk of loss of or damage to the goods, as well as any additional costs due to events occurring after the time the goods have been delivered to the carrier, is transferred from the seller to the buyer when the goods have been delivered into the custody of the carrier. If subsequent carriers are used for the carriage to the agreed upon destination, the risk passes when the goods have been delivered to the first carrier. The CPT term requires the seller to clear the goods for export.

Terms of Sale – DAF (Delivered At Frontier) (…Named Place)

A Term of Sale which means the sellers fulfill their obligation to deliver when the goods have been made available, cleared for export, at the named point and placed at the frontier, but before the customs Terms of Sale border of the adjoining country.

Terms of Sale – DDP (Delivered Duty paid) (…Named Port of Destination)

Delivered Duty Paid means that the seller fulfills his obligation to deliver when the goods have been made available at the named place in the country of importation. The seller has to bear the risks and costs, including duties, taxes and other charges of delivering the goods thereto, clear for importation. While the EXW term represents the minimum obligation for the seller, DDP represents the maximum.

Terms of Sale – DDU (Delivered Duty Unpaid) (…Named Port of Destination)

A Term of Sale where the seller fulfills his obligation to deliver when the goods have been made available at the named place in the country of importation. The seller has to bear the costs and risks involved in bringing the goods thereto (excluding duties, taxes and other official charges payable upon importation) as well as the costs and risks of carrying out customs formalities. The buyer has to pay any additional costs and to bear any risks caused by failure to clear the goods for in time.

Terms of Sale – DEQ (Delivered Ex Quay, [Duty Paid]) (…Named Port of Destination)

A Term of Sale which means the DDU term has been fulfilled when the goods have been available to the buyer on the quay (wharf) at the named port of destination, cleared for importation. The seller has to bear all risks and costs including duties, taxes and other charges of delivering the goods thereto.

Terms of Sale – DES (Delivered Ex Ship) (…Named Port of Destination)

A Term of Sale where the seller fulfills his/her obligation to deliver when the goods have been made available to the buyer on board the ship, uncleared for import at the named port of destination. The seller has to bear all the costs and risks involved in bringing the goods to the named port destination.

Terms of Sale – EXW (Ex Works) (…Named Place)

A Term of Sale which means that the seller fulfills the obligation to deliver when he or she has made the goods available at his/her premises (i.e., works, factory, warehouse, etc.) to the buyer. In particular, the seller is not responsible for loading the goods in the vehicle provided by the buyer or for clearing the goods for export, unless otherwise agreed. The buyer bears all costs and risks involved in taking the goods from the seller’s premises to the desired destination. This term thus represents the minimum obligation for the seller.

Terms of Sale – FAS (Free Alongside Ship) (…Named Port of Shipment)

A Term of Sale which means the seller fulfills his obligation to deliver when the goods have been placed alongside the vessel on the quay or in lighters at the named port of shipment. This means that the buyer has to bear all costs and risks of loss of or damage to the goods from that moment.

Terms of Sale – FCA (Free Carrier) (… Named Place)

A Term of Sale which means the seller fulfills their obligation when he or she has handed over the goods, cleared for export, into the charge of the carrier named by the buyer at the named place or point. If no precise point is indicated by the buyer, the seller may choose, within the place or range stipulated, where the carrier should take the goods into their charge.

Terms of Sale – FOB (Free On Board) (…Named Port of Shipment)

An International Term of Sale that means the seller fulfills his or her obligation to deliver when the goods have passed over the ship’s rail at the named port of shipment. This means that the buyer has to bear all costs and risks to loss of or damage to the goods from that point. The FOB term requires the seller to clear the goods for export.

TEU

Abbreviation for “Twenty foot Equivalent Unit.”

TEU (Twenty-Foot Equivalent Unit)

Standardized unit for measuring container capacity on ships, railcars, etc.

Third Party

When the person/company paying shipping and related charges is neither the shipper nor the consignee.

Threshold

Home or business deliveries that require you to break the threshold of the entry door.

Through Rate

The total rate from the point of origin to final destination.

Throughput Charge

The charge for moving a container through a container yard off or onto a ship.

Time Charter

A contract for leasing between the ship owners and the lessee. It would state, e.g., the duration of the lease in years or voyages.

Time Draft

A draft that matures either a certain number of days after acceptance or a certain number of days after the date of the draft.

TIR

“Transport International par la Route.” Road transport operating agreement among European governments and the United States for the international movement of cargo by road. Display of the TIR carnet allows sealed container loads to cross national frontier

TL

Abbreviation for “Trailer Load.”

TL (Truckload)

The quantity of freight required to fill a trailer; usually more than 10,000 pounds. (see LTL)

TL Carrier

trucking company which dedicates trailers to a single shipper’s cargo, as opposed to an LTL (Less Than Truckload) carrier which transports the consolidated cargo of several shippers and makes multiple deliveries. (see LTL Carrier)

TOFC

Abbreviation for “Trailer on Flat Car.” The movement of a highway trailer on a railroad flatcar. Also known as Piggyback.

Ton-Mile

A unit used in comparing freight earnings or expenses. The amount earned from the cost of hauling a ton of freight one mile. Also, the movement of a ton of freight one mile.

Tonnage

100 cubic feet.

Top-Air Delivery

A type of air circulation in a container. In top air units, air is drawn from the bottom of the container, filtered through the evaporator for cooling and then forced through the ducted passages along the top of the container. This type of airflow requires a special loading pattern.

Towage

The charge made for towing a vessel.

Tractor

truck designed primarily to pull a semi-trailer by means of a fifth wheel mounted over the rear axle(s).

Tractor

Unit of highway motive power used to pull one or more trailers/containers.

Tractor Trailer

Tractor and semi-trailer combination.

Trade Acceptance

A time or a date draft that has been accepted by the buyer (the drawee) for payment at maturity.

Traffic

Persons and property carried by transport lines.

Trailer

The truck unit into which freight is loaded as in tractor trailer combination. See Container.

Tramp Line

An ocean carrier company operating vessels not on regular runs or schedules. They call at any port where cargo may be available.

Transport

To move cargo from one place to another.

Transportation & Exit (T&E)

Allows foreign merchandise arriving at one port to be transported in bond through the U.S. to be exported from another port, without paying duty.

Transship

To transfer goods from one transportation line to another, or from one ship to another.

Transshipment Port

Place where cargo is transferred to another carrier.

Trip Leasing

Leasing a company’s vehicle to another transportation provider for a single trip.

Trust Receipt

Release of merchandise by a bank to a buyer while the bank retains title to the merchandise. The goods are usually obtained for manufacturing or sales purposes. The buyer is obligated to maintain the goods (or the proceeds from their sales) distinct from the remainder of the assets and to hold them ready for repossession by the bank.

TSA

Transportation Security Administration exercises authority over the safety and security of the traveling public in the United States.

TSA (Transportation Security Administration)

a component of the Department of Homeland Security and is responsible for the security of the nation’s transportation systems. With state, local and regional partners, the TSA oversees security for highways, railroads, buses, mass transit systems, ports, and 450 U.S. airports. The TSA is charged with developing policies to ensure the security of U.S. air traffic and other forms of transportation.

Turnaround

In water transportation, the time it takes between the arrival of a vessel and its departure.

Twist Locks

A set of four twistable bayonet type shear keys used as part of a spreader to pick up a container or as part of a chassis to secure the containers.

Two-Way Pallet

A pallet so designed that the forks of a fork lift truck can be inserted from two sides only.

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U

U.S. Consular Invoice

A document required on merchandise imported into the United States.

UCP

Abbreviation for the “Uniform Customs and Practice for Documentary Credits,” published by the International Chamber of Commerce. This is the most frequently used standard for making payments in international trade; e.g., paying on a Letter of Credit. It is most frequently referred to by its shorthand title: UCP No. 500. This revised publication reflects recent changes in the transportation and banking industries, such as electronic transfer of funds.

UFC

Abbreviation for “Uniform Freight Classification.”

Ullage

The space not filled with liquid in a drum or tank.

UN/EDIFACT

United Nations EDI for Administration, Commerce and Transport. EDI Standards are developed and supported by the UN for electronic message (data) interchange on an international level.

Unclaimed Freight

Freight that has not been called for or picked up by the consignee or owner.

Undercharge

To charge less than the proper amount.

Uniform Customs and Practices for Documentary Credits (UCP)

Rules for letters of credit drawn up by the Commission on Banking Technique and Practices of the International Chamber of Commerce in consultation with the banking associations of many countries. See Terms of Payment.

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, which remain as a unit for a designated destination or until a change in routing is made.

Unitization

Loading one or more large items of Cargo onto A single piece of equipment, such as A pallet.

Unknown Shipper

a person or entity that does not meet the security status of a “Known Shipper”.  Unknown Shippers cannot ship cargo on Passenger Air Carriers.

Unloading

Removal of a shipment from a vessel

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V

Validated Export License

A document issued by the U.S. government; authorizes the export of commodities for which written authorization is required by law.

Validation

Authentication of B/L and when B/L becomes effective.

Vanning

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. For business analysis, all costs are either defined as variable or fixed. For a business to break even, all fixed costs must be covered. To make a profit, all variable and fixed costs must be recovered plus some extra amount.

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.

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 B/L number. Obviously, the B/L serves as the core source from which the manifest is created.

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.

Viz.

Namely. Used in tariffs to specify commodities

VMRS (Vehicle Maintenance Reporting Standards)

Set of codes developed to facilitate computerized tracking of parts and labor used in equipment repair. Established and maintained by the American Trucking Associations.

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W

Wait

The time beyond what the carrier allows to accomplish a pick-up or delivery due to the customer not being timely in there consignment of their order.

Walking Beam Suspension

type of truck and tractor rear suspension consisting of two beams, one at each side of the chassis, which pivot in the center and connect at the front to one axle of a tandem and at the rear to the other axle.

War Risk

Insurance coverage for loss of goods resulting from any act of war.

Warehouse

A place for the reception, delivery, consolidation, distribution, and storage of goods/cargo.

Warehouse Entry

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

Warehouse Withdrawal for Transportation (WDT)

Allows 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)

Allows merchandise that has been withdrawn from a bonded warehouse at one port to be transported in bond through the U.S. to be exported from another port, without paying duty.

Warehouse Withdrawal for Transportation Immediate Exportation (WDEX)

Allows merchandise that has been withdrawn from a bonded warehouse at one U.S. port to be exported from the same port exported without paying duty.

Warehousing

The storing of goods/cargo.

Warehousing In Fee

the charge associated with receiving freight into a warehouse. This fee covers the costs of labor, forklift handling and storage of the freight. Typically, the In Fee is charged on a per pallet basis.

Warehousing Out Fee

the charge associated with moving freight out of a warehouse. This fee covers the costs of labor, forklift handling and retrieving the freight from inventory. Typically, the Out Fee is charged on a per pallet basis.

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. It is forwarded with the shipment or sent by mail to the agent at the transfer point or waybill destination.

Weights and Measures

Measurement ton 40 cubic ft or one cubic meter. Net ton, or short ton 2,000 lbs. Gross ton/long ton 2,240 lbs. Metric ton/kilo ton 2,204.6 lbs. Cubic meter 35.314 cubic ft

White Glove Delivery

in-home delivery and light assembly of related items as well as removal of all packaging materials.

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X

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Y

Yard

A classification, storage or switching area.

Yard Jockey

Person who operates a yard tractor.

York-Antwerp Rules of 1974

Established the standard basis for adjusting general average and stated the rules for adjusting claims

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Z

Zulu Time

Time based on Greenwich Mean Time.

 

NOTE: Definition excerpts from Georgia Tech Supply Chain & Logistics Institute, MCAA, and other sources.

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