Common terms used in the freight forwarding and logistics industry.
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Bill of Lading (B/L)
A crucial legal document issued by a carrier (or their agent) to acknowledge receipt of cargo for shipment. It serves as a receipt, a contract of carriage, and a document of title.
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Consignee
The person or company legally entitled to receive the shipment (the receiver).
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Consignor
The person or company sending the shipment (the shipper).
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Customs Broker
A licensed individual or company that clears goods through customs barriers for importers and exporters. They handle the necessary documentation and payments.
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Demurrage
Charges assessed by a carrier when freight (usually containers) is held at the terminal beyond the allowed free time.
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Detention
Charges assessed by a carrier when its equipment (like containers) is held by the shipper or consignee outside the terminal beyond the allowed free time.
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ETA (Estimated Time of Arrival)
The projected date and time a shipment is scheduled to arrive at its destination.
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ETD (Estimated Time of Departure)
The projected date and time a shipment is scheduled to depart from its origin or a transit point.
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FCL (Full Container Load)
A shipment where the shipper uses an entire container, regardless of whether it's filled completely or not.
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Freight Forwarder
A company that organizes shipments for individuals or corporations to get goods from the manufacturer or producer to a market, customer or final point of distribution. They act as an intermediary between the shipper and transportation services.
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Incoterms
International Commercial Terms. A series of pre-defined commercial terms published by the International Chamber of Commerce (ICC) relating to international commercial law. They define the responsibilities of buyers and sellers for the delivery of goods under sales contracts.
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LCL (Less than Container Load)
A shipment that does not fill an entire container. LCL shipments are typically consolidated with other small shipments from various shippers into one container.
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NVOCC (Non-Vessel Operating Common Carrier)
A shipment consolidator or freight forwarder who does not own any vessels, but functions as a carrier by issuing their own bills of lading or air waybills and assuming responsibility for the shipments.
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TEU (Twenty-foot Equivalent Unit)
A standard unit for counting containers of various capacities and for describing container ship capacity. One standard 40ft container equals two TEUs.