Air and sea freight charges are made up of several elements that will be examined in this paper. Comment will also be made in regard to the anticipated outcomes and recommendations for the best method of negotiating each element with freight suppliers. This documents should be taken as general advice only, for specific assistance you can contact the Canterbury Manufacturers Association or a appropriate service partner.
AAR: Abbreviation for Against All Risks (insurance clause) or Association of American Railroads. Abaft: A point beyond the midpoint of a ship’s length.nt
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: Automated Broker Interface, US Custom’s computer system 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.
Acceptance: A time draft (or bill of exchange) that the drawee (payer) has accepted and is unconditionally obligated to pay at maturity.
Account Party/Accountee: The purchasing party, the importer, the buyer in any transaction.
Accessorial charges: Charges that are applied to the base tariff rate or base contract rate (e.g. bunkers, container, destination/delivery).
ACS: Automated Commercial System, the US Customs master computer system.
Act of God: An act beyond human control, such as lightning, flooding or earthquake.
Act of Man: 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.
Ad Valorem: According to value
Admiralty (Adm.): Refers to marine matters such as Admiralty Court.
Advance: To move cargo up-line to a vessel leaving sooner than the one booked.
Advanced charge: Transportation charge advanced by one carrier to another to be collected by the later carrier from the consignor or consignee.
Adventure: 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’s risk.
Advice, Letter of: This document is sent by one party to another to whom a shipment has been sent, on consignment or otherwise. It involves a description of the goods sent, the carrier or other type of transportation being used, the date of departure, and any additional pertinent data. (Bankers use the term letter of advice when notifying interested parties of such actions as the opening of credits, the drawing of drafts and the payment or nonpayment of drafts.)
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 usually enclosed and sometimes, if desired, a copy of the bill of lading.
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.
Agency tariff: A tariff published by an agent on behalf of several carriers.
Agent: A person authorized to transact business for and in the name of another person or company.
Types of agents are: brokers, commission merchants, resident buyers,sales agents, 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 shipment.
Agreed weight: The weight prescribed by agreement between carrier and shipper for goods shipped in certain packages or a certain number.
A.I.D.: Agency for International Development.
Air Waybill: The forwarding agreement or carrying agreement between shipper and air carrier and is issued only in non-negotiable form.
All-In: The total price to move a container from origin to destination, inclusive of all charges.
All Water: Transport exclusively by water.
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.
Amendment: A written notice of a change in the terms of a letter of credit. The change becomes an integral part of the original letter of credit.
American Bureau of Shipping: AUS classification society which certifies seagoing vessels for compliance to standardize rules regarding construction and maintenance.
AMS: Automated Manifest System, U.S. Customs computerized system to automate the flow of customs-related information among customs brokers, importers, and carriers.
Any-Quantity (A.Q.): refers to a rating that applies to an article regardless of weight.
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, as amended.
Arbitrary: A stated amount over a fixed rate to one point to make a rate to another point.
Arrival Notice: A notice from the ocean carrier to the “notify party,” indicating the vessel’s estimated arrival date; identifying shipment details such as number of packages, weight, and container number; and indicating when free time expires. Often includes a freight invoice.
ASC X12: American Standards Committee X12 responsible for developing EDI standards for the US.
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.
A.T.A.: American Trucking Association.
ATLAS: ACL’s customer service and documentation software.
Athwartships: A direction across the width of a vessel.
Avoirdupois Pound: 0.4535924277 kilograms
Backhaul: To haul a shipment back over part of a route it has travelled.
BAF: Bunker Adjustment Factor, used to compensate steamship lines for fluctuating fuel costs. Also called FAF, Fuel Adjustment factor.
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.
Barrel (BBL): A term of measure referring to 42 gallons of liquid at 60F.
Base Rate: A tariff term referring to ocean rate less accessorial charges or base tariff rate.
BCO: Beneficial Cargo Owner, referring to the importer of record, who physically take 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 within a commercial area.
Berth Term: Shipped under rate that does not include cost of loading or unloading.
BBill of Lading (B/L): A document that establishes the terms of a contract between a shipper and a transportation company that moves freight between specified ports for a specified charge. Usually prepared by the shipper on forms issued by the carrier, it serves as a document of title, a contract of carriage and a receipt for goods.
Amended B/L: Requires updates that do not change financial status (slightly different from corrected B/L).
Cancelled B/L: Used to cancel a processed B/L usually per shipper s request. (different from a voided B/L).
Clean B/L: No recorded irregularities in packing or general condition of all or any part of the shipment.
Combined B/L: Covers cargo moving over various transports.
Consolidated B/L: Combined or consolidated from two or more B/Ls.
Corrected B/L: One that requires an update which results in money or other financially-related changes.
Domestic B/L: Non-negotiable primarily containing routing details; used by truckers and freight forwarders.
Express B/L: Non-negotiable where there are no printed copies of original B/L.
Freight B/L: A contract of carriage between a shipper and forwarder (usually an NVOCC); a non-negotiable document.
Hitchment B/L: Covering parts of a shipment which are loaded at more than one location. Usually consists of two parts: hitchment and hitchment memo. The hitchment portion usually covers the majority of a divided shipment and carries the entire revenue.
House B/L: Issued by a freight forwarder or consolidation covering a single shipment, containing the names, addresses and specific description of the goods shipped.
Memo B/L: Unfreighted with no charges listed.
Military/GBL/Form DD1252: B/L issued by the US Military.
Numbers: US Customs standardized B/L format to facilitate electronic communications.
Negotiable B/L (To Order B/L): B/L names are legal and by endorsement, the shipper can transfer the title of the goods to the bank representing the buyer or directly to the buyer of the goods.
Non-Negotiable/Straight Consignment B/L: File copy. Used when goods are consigned directly to a named consignee and not negotiable.
On-Board B/L: Validated at the time of loading to transport. Common types: on-board air, boxcar, container, rail, truck, vessel.
Optional Discharge B/L: Covering cargo with more than one discharge point option possibility.
Order B/L: Issued to the order of a party, usually the shipper, whose endorsement is required to affect its negotiation.
Order Notify B/L: Issued usually to the order of the shipper with the additional clause that the consignee is to be notified upon arrival of the merchandise. Such mention of the consignee does not give the consignee title to the merchandise.
Original B/L (OBL): Part of the B/L that has value, especially when negotiable; remaining parts are informational file copies.
Received for Shipment B/L: Validated at the time cargo is received by ocean carrier to commence movement but before being validated as On-board.
Reconciled B/L: Set which has completed a prescribed number of edits between the shipper s instructions and the actual shipment received. This produces a very accurate B/L.
Short Term/Short Form B/L: One that does not have written Terms & Conditions on back of document.
Split B/L: One of two or more B/Ls which have been split from a single B/L.
Stale B/L: A late B/L. In banking, one that has passed the time deadline of the L/C and is void.
Through B/L: Blanket documentation when multiple carriers of various transport modes are involved.
Unique B/L Identifier: US Customs standardization consisting of a four-alpha-code unique to each carrier( e.g. ACL s B/L identifier is ACLU) placed in front of nine-digit B/L number. These prefixes are also used as the container identification.
Voided B/L: Those absorbed in the combined process. Different from Canceled B/L.
B/L 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.
Blanket Bond: A bond covering a group of persons, articles or properties.
Blanket Rates: 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.
Blind Shipment: Bill of lading wherein the paying customer has contracted with the carrier and the shipper or consignee information is not given.
Block Stowage: Stowing cargo destined for a specific location close together to avoid unnecessary movement.
Blocking/Bracing: Wood or metal supports (dunnage) to keep shipments in place to prevent cargo shifting.
Bls: Abbreviation for bales.
Board: Gain access to a vessel.
Board Feet: Unit of measurement for lumber; one board foot is equal to a one-inch board, 12 wide and 1 long.
Bobtail: Movement of a tractor, without trailer over the highway.
Bogie: A set of wheels built specifically as rear wheels under a container.
Bolster: A device fitted on a chassis or rail car to hold and secure the container.
Bond Port: Port of initial Customs entry of a vessel to any country (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: Warehouse approved by the U.S. Treasury Department and under bond or guarantee of compliance with revenue laws. Goods held until duties are paid are normally stored in a bonded warehouse.
Booking: Arrangements with a carrier, often a steamship or airline, for the acceptance and carriage of passengers or freight.
Booking Number: Reservation number used to secure equipment and act as a control number prior to completion of a bill of lading.
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.
Bottom Side Rails: Structural members on the longitudinal sides of the base of the container.
Bow: The front of a vessel.
Box: Common term for an ocean going freight container.
Box Car: A closed rail freight car.
Breakbulk: Palletized packaged goods that are not containerized. To unload and distribute a portion or all of the contents of a rail car, container or trailer.
Broken Stowage: The loss of space cause by irregularity in the shape of packages. Any void or empty space in a container not occupied by cargo.
Broker: A person/organization who arranges for transportation of multiple loads for a percentage of the revenue.
Brokerage: Freight forwarder/broker compensation as specified by ocean tariff.
Bulk Freight: Goods that are shipped loose not in packages or containers (i.e. grain, coal, sulfur).
Bulk Freight Container: Refers to a container with a discharge hatch in the front wall; allows bulk commodities to be grasped by loading hatches.
Bulkhead: A partition separating one part of a ship, freight car, aircraft or truck from another part. A structure to resist water.
Bull Rings: Cargo-securing devices mounted in a floor of containers that allow lashing and securing of cargo.
Bunker charge: An extra charge added to an ocean carrier s freight rates. Also known as FAF (Fuel Adjustment Factor).
Bunkers: A maritime term referring to fuel used aboard the ship. In the past, coal stowage areas aboard a vessel were in bins or bunkers.
Cabotage: Water transportation term applicable to shipments between ports of a nation; commonly refers to coast-wide navigation or trade.
CAF (Currency Adjustment Factor): A charge, expressed as a percentage of a base rate, that is applied to compensate ocean carriers of currency fluctuations.
Camet: 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.
Capacity/Weight: Total internal container volume (LxWxD) or weight limitation.
Captain s Protest: A document prepared by the captain of a vessel on arriving at port. It shows conditions encountered during voyage, generally for the purpose of relieving ship owner of any loss to cargo and shifting responsibility for the reimbursement to the insurance company.
Carfloat: A barge equipped with tracks on which up to 12 railroad cars are moved in harbors or inland waterways.
Car Pooling: Use of individual carrier 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 numbers for record purposes.
Cargo: Freight loaded into a ship.
Cargo Manifest: A manifest that lists only cargo, not charges.
Cargo NOS: Cargo Not Otherwise Specified, usually the first rate entry in a tariff that can apply to commodities not covered under a specific item or sub-item in the applicable tariff.
Cargo Tonnage: The weight ton varies from country to country United States : 2,000 or 2,240 pounds; United Kingdom: the English long ton, or gross ton is 2,240 pounds; France and other countries having the metric system, the weight ton is 2,204.62 pounds. The measurement ton is usually 40 cubic feet (1.12 meters) or cubic meters (35.3 cubic feet), but in some instances a large number of cubic feet is taken as a weight ton. Most ocean freight is billed at weight or measurement tons (W/M).
Carload Rate: A rate applicable to a carload of goods.
Carnet: A Customs document allowing special categories of goods to cross international borders without payment of duties.
Carrier: Any individual or organization who in a contract of carriage, undertakes to perform or procure the performance of carriage by rail, road, sea, air, inland waterway or a combination of such modes.
Carrier Certificate/Release Order: A certificate required by US Customs to certify the firm or individual named in the certificate as the owner or consignee of the cargo.
Cartage: Intra-city hauling on drays or trucks.
Cartment: Customs form permitting in-bond cargo to be moved from one location to another under Customs control, within the same district. Usually in motor carrier s possession while draying cargo..
Cell Guides: A fixed racking system for securing all containers stowed above deck. With cell guides, it is virtually impossible to lose a container overboard during rough weather conditions. Every ACL vessel has two permanent 20 cell guide sections and four portable sections which can be converted to 20 or 40 depending on the mix of containers.
Center of Gravity: The point of equilibrium of the combined weight of the containership or stacktrain and its cargo.
Certificate of Inspection: A document certifying that merchandise (such as perishable goods) was in good condition immediately prior to its shipment.
Certificate of Manufacture: A statement (often notarized) in which a producer of goods certifies that the manufacturing has been completed and the goods are now at the disposal of the buyer.
Certificate of Origin: A certified document used in international commerce that shows the origin of goods.
Certificate of Weight: A certified statement of the weight of a shipment.
Container Freight Station to Container Freight Station (C.F.S.): A type of steamship line service in which cargo is transported between container freight stations, where containers may be stuffed, stripped, or consolidated. Usually used for less-than-containerload shipments although small shipments destined to the same consignee are often consolidated into full containers as well as reloading containerload quantities from foreign rail or motor carrier equipment.
Charges, Statement of: A detailed statement of all charges sent to the importer, illustrating how the charges were calculated. The statement of charges deals with charges incurred by the shipper to the importer, outside of the quoted or agreed price.
Chassis: A frame with wheels and container locking devices in order to secure and move containers.
Chock: A piece of wood or other material placed at the side of cargo to prevent rolling or moving sideways.
Cars Knocked Down (CKD): Automobile parts and sub-assemblies manufactured abroad and transported to a US assembly plant.
Cost and Insurance (C.I.): A price that includes the cost of goods, the marine insurance and all transportation charges with the exception of ocean freight to the named point of destination.
Cost, insurance and freight (C.I.F.): Price determined at point of destination that includes the cost of goods. The marine insurance and all transportation charges are calculated from point of destination.
Claim: A demand made upon a transportation line for payment of a loss sustained through negligence.
Classification: A publication, such as the 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 Yard: A railroad yard with many tracks used for assembling freight trains.
Clayton Act: An anti-trust act of the US 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 “good order and condition,” without damage or other irregularities.
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.
CBM: Abbreviation for cubic meter.
CM: Abbreviation for centimeter.
Coastwise: Water transportation along the coast.
COGSA: Carriage of Goods by Sea Act. US federal codification passed in 1936 which standardizes carrier s liability under carrier s bill of lading. US enactment of The Hague Rules.
Collect Freight: Freight payable to the carrier at destination. Most bills of lading specify that collect freight is payable even if the cargo does not arrive at destination.
Collection: A draft drawn on 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 non-competing manufacturer.
Commercial invoice: A complete record of a transaction between exporter and importer with regard to goods sold. Also reports the content of the shipment and serves as the basis for all other documents about the shipment.
Commodity: An article that can be transported.
Commodity Rate: A rate published to apply to a specific article or articles.
Commodity Tariff: A tariff published to show specific rates on specific articles.
Common Carrier: A transportation company that operates under a Certificate of Convenience and Necessity and provides service to the general public at published rates.
Concealed Damage: Damage that is not evident from viewing the unopened package.
Clearance Limits: The size beyond which cars or loads cannot use tunnels, bridges, etc.
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 foreign bank defaults.
Connecting Carrier: A carrier which has a direct physical connection with, or forms a link between two or more carriers.
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 discharge.
Consignor: A person or company shown on the bill of lading as the shipper.
Consolidated Cargo: Cargo containing the shipments of two or more shippers, usually coordinated by a consolidator.
Consolidation: The combination of many small shipments into one container.
Consolidator: A person or firm performing a consolidation service for others. Takes advantage of lower full car load (FCL) rates, and the savings are passed on to shippers.
Consular Declaration: A formal statement describing goods to be shipped, filled with and approved by the counsel 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 value, quantity and nature of the cargo.
Consular Visa: An official signature or seal affixes 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 this country.
Container: A truck trailer body that can be detached from the chassis for loading onto 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 , 40 , 45 ,48 or 53 in length, 8 0 or 8 6 in width and 8 6 or 9 6 in height.
Container Booking: Arrangements with a steamship line to transport containerized cargo.
Container Manifest: Document showing contents and loading sequence of a container.
Containerizable Cargo: Cargo that fits into a container resulting in an economical transport.
Containerization: Stowage of cargo/goods in a container for shipment by a variety of transportation modes.
Container Load: A load sufficient in size to fill a container either by cubic measurement or by weight.
Container Part Load: A shipment that does not utilize the full volume of a container nor the maximum payload by weight. Usually, additional part loads are added to fill the container for transport.
Container Pool: An agreement between transportation companies that allows for the most efficient use and supply of containers.
Container Yard (CY): A materials-handling/storage facility used for completely unitized loads in containers and/or empty containers.
Container Terminal: An area designated for the stowage of cargoes in container; usually accessible by truck, railroad and marine transportation. Containers are pick-up, dropped-off, maintained and housed here.
CContraband: Cargo that is prohibited.
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 frames 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.
Cost, Insurance and Freight (CIF): 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.
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.
Cross Member: Transverse members fitted to the bottom side rails of a container, which support the floor.
Cube Out: A Container reaching its volumetric capacity before its permitted weight limit.
Cubic Foot: A volume of measurement that equals 1,728 cubic inches.
Custom House: A U.S. Treasury Department office where duties, etc., on foreign shipments are handled.
Custom House Broker: A person or firm engaged in entering and clearing goods cross border, licensed by the treasury department of their country when required.
Customs Bonded Warehouse: A warehouse where goods may be stored, authorized and established by Customs.
Customs Broker: A firm that represents importers in all dealings with Customs. Responsible for obtaining and submitting all documents for clearing merchandise through Customs, arranging inland transport, and paying all charges related to these functions.
Customs Invoice: A form requiring all data in a commercial invoice along with a certificate of value and/or a certificate or origin. Required in some countries (usually former British territories) and serves as a seller’s commercial invoice.
Customs Tariff: A schedule of charges assessed by a government on imported or exported goods.
Cut-Off Time: The latest time a container may be delivered to a terminal for loading to a scheduled train or ship.
Cwt.: Hundred weight (US:100 lb.; UK: 112 lbs.)
D&H: Abbreviation for Dangerous and Hazardous cargo.
Deadhead: One leg of a move with either a bobtail tractor alone or a tractor pulling an empty container.
Deadweight Cargo: A long ton of cargo that can be stowed in less than 70 cubic feet.
Deadweight Tonnage (D/W): The number of tons of 2,240 lbs 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.
Declared Value for Carriage: The value of the goods, declared by the shipper on a bill of lading for the purpose of determining a freight rate or the limit of the carrier’s liability.
Deconsolidation Point: Place where loose or other non-containerized cargo is ungrouped for delivery.
Deficit Weight: Weight by which a shipment is less than the minimum weight.
Delivery: The transfer of property/goods from consignor to carrier, one carrier to another, or carrier to consignee.
Delivery Instructions: Order to pick-up goods at an in-transit (temporary) terminal and deliver to a pier. Usually issued by an exporter to trucker but may apply to a railroad, which completes delivery by land. Use is limited to a few major US ports.
Demurrage: US/Domestic Transportation: A penalty charge against shippers or consignees for delaying the carrier s equipment beyond the allowed free time provision of the tariff at the rail ramp; International Transportation: A storage charge to shipper s which starts accruing after a container is discharged from a vessel. The charge varies according to rules of the appropriate tariff.
Density: The weight of freight 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.
Destination: Area where carrier physically turns over cargo to consignee or agent. Destination Delivery Charge (DDC): 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. It covers crane lifts off the vessel, drayage of the container within the terminal and gate fees at the terminal operation.
Detention: A penalty charge against shippers or receivers for delaying carrier’s equipment beyond allowed time.
Devanning: The removal of freight.
Differential: An amount added or deducted from base rate to make a rate to or from some other point or via another route.
Displacement: The weight, in tons of 2,240 pounds, of the vessel and its weight contents. Calculated by dividing the volume of water displaced in cubic feet by 35, the average density of sea water.
Distributor: A person or firm performing a service of distribution on pool cars or consolidated shipments at destination.
Diversion: A change made in the route of a shipment in transit (also, reconsignment).
Division: Carriers practice of dividing revenue received through rates where joint hauls are involved. This is usually according to agreed formulas.
Dock: For Ships: A cargo handling area parallel to th e shoreline; For Land Transportation: A pier or wharf used as a loading or unloading platform at an industrial site or carrier terminal.
Dock Receipt (D/R): A document issued by an exporter (or freight forwarder on exporter’s behalf) which includes shipment description, physical details and shipping information. Used by both shipper and carrier to verify shipment particulars, condition, and delivery to carrier. Signed by receiving clerk on behalf of carrier.
Docket: Present a rate proposal to a conference meeting for adoption as a conference group rate.
Doing Business As (D.B.A.): A legal term for conducting business under a registered name.
Dolly: A set of wheels that support the front of a container and used when the automotive unit is disconnected.
Door-to-Door: Through transportation of a container and its contents or cargo from consignor to consignee. Also known as House to House. Not necessarily a through rate.
D.O.T.: Department of Transportation.
Draft: The number of feet that the hull of a ship is beneath the surface of the water. 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, 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 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.
Drawee: The individual or firm that issues a draft and thus stands to receive payment.
Dray: A truck or other equipment designed to haul heavy loads.
Drayage: Charge made for local hauling by dray or truck.
Dry cargo: Cargo that does not require temperature control.
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.
Dry Freight: Dry cargoes that does not require controlled temperature.
Dumping: Attempt to import merchandise into a country at a price less that the fair market value, usually by subsidy by exporting country.
Duty: A tax imposed by a government on merchandise imported from one country to another. There are several types of duty, including: a) Ad valorem duty (“According to the value.”): An assessment based on the actual value of an article. b) Specific duty: An assessment based on the weight or quantity of an article without reference to its monetary value or market price.
Duty Drawback: A refund of duty paid on imported merchandise when it later is exported.
Edge Protector: An angle piece fitting 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.
Electronic Data Interface (EDI): Generic term for transmission of transactional data between computer systems. EDI is typically via a batched transmission, usually conforming to consistent standards.
EDIFACT: International data interchange standards sponsored by the United Nations.
Elevating: A charge for services performed in connection with floating elevators.
Elkins Act: An act of US Congress (1903) prohibiting rebates, concession, misbilling, etc. and providing specific penalties for such violations.
Embargo: Order to restrict the hauling of freight.
Empty Repositioning: The move of empty containers by truck or rail to meet service needs elsewhere.
Empty slot: An available loading position on a stack car created when a container is not loaded to an available position. Also known as a vacant slot.
Entry Summary: A document issued by a customs broker on behalf of an importer. Customs Form 7501 specifies all shipment particulars that allow U.S. Customs to assess and collect import duties. Highly standardized to allow computer processing. Includes Harmonized Code number, broker identification number, and auxiliary fees. Broker figures all assessments, then submits form with supporting documents and payment. Customs later either accepts or modifies payment.
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): See Trailer Interchange Receipt (TIR).
ETA: Estimated time of availability. That time when a tractor/partner carrier is available for dispatch.
Ethylene: A gas produced by many fruits and vegetables that accelerates the ripening and aging process.
Exchange Rate: The price of one currency in terms of another; i.e., the number of units of one currency that may be exchanged for one unit of another currency.
Ex Dec: Shipper’s Export Declaration
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.
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.
EXIM Bank (Export Import Bank): An independent US Government Agency which facilitates exports of US 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.
DExport: Shipment of goods outside one’s own country to a foreign country.
Export Broker: An individual or firm that joins together buyers and sellers for a fee but does not take part in actual sales transactions.
Export Declaration: A government document permitting designated goods to be shipped out of the country.
DExport License: A government document which permits the “License” to engage in the export of designated goods to certain destinations.
Export-Management Company: A private firm that serves as the export department for several manufacturers, soliciting and transacting export business on behalf of its clients in return for a commission, salary, or retainer plus commission.
Export Rate: A rate published on traffic moving from an interior point to a port for transshipment to a foreign country.
Export Trading Company: A firm that buys domestic products for sale overseas. A trading company takes title to the goods; an export-management company usually does not.
Factor: An agent who will buy receivables at a discount.
FAS: Free Alongside Ship
FCL: Full Container Load.
FD: Free Discharge.
Federal Maritime Commission (F.M.C): Regulatory shipping agency responsible for rates and practices of ocean carriersshipping to and from the United States.
Feeder Service: Loaded or empty containers in a regional area are transferred to a “mother ship” for a long-haul ocean voyage.
Feeder Vessel: A vessel which transfers containers to a “mother ship” for an ocean voyage.
FEU (Forty-Foot Equivalent Units): Refers to a container size standard of forty feet. Two twenty-foot containers or TEUs equal one FEU.
Fifth Wheel: The semi-circular steel coupling device mounted on a tractor which engages and locks with a chassis semi-trailer.
Firkin: A capacity measurement equal to one-fourth of a barrel.
Fixed Costs: Costs that do 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 without sides and frame members at the front and rear. Container can be loaded from the sides and top.
Final Destination: Consignee’s facility where shipment ends its movement.
F.O.B.: Free on Board. Shipped under a rate that includes costs of delivery to and the loading onto a carrier at a specified point.
F.O.B. Freight Allowed: The same as F.O.B. named inland carrier, except the buyer pays the transportation charge and the seller reduces the invoice by a like amount.
F.O.B. Freight Prepaid: The same as F.O.B. named inland carrier, except the seller pays the freight charges of the inland carrier.
F.O.B. Named Point of Exportation: Seller is responsible for the cost of placing the goods at a named point of exportation.
F.O.B. Vessel: Seller is responsible for goods and preparation of export documentation until actually placed aboard the vessel.
Force Mejeure: The title of a common clause in contracts, exempting parties for unfulfillment of obligations as the 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 Trade Zone: A site sanctioned by the U.S. Customs Service in which imported goods are exempted from duties until withdrawn for domestic sale or use. Such zones are used for commercial warehouses or assembly plants.
Foul Bill of Lading: A receipt for goods issued by a carrier with an indication that the goods were damaged when received.
Four-Way Pallet: A pallet designed so that the forks of a folk lift truck can be inserted from all four sides.
Free Alongside (FAS): The seller must deliver the goods to a pier and place them within reach of the ship’s loading equipment. The buyer arranges ship space and informs the seller when and where the goods are to be placed.
Free Astray: A lost shipment that is found and sent to its proper destination without additional charge.
Free On Board (FOB-US Domestic Use): Shipped under a rate that includes costs of a delivery to and loading onto a carrier at a specific point. (FOB-International Use): An International Term of Sale than means the seller fulfills an 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.
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 similar amount.
FOB Freight Prepaid: The same as FOB named inland carrier, except the seller pays the freight charges of the inland carrier.
FOB Names 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.
Free Time: The time allowed shippers or receivers to load or unload cars before demurrage, detention or storage charges accrue.
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, Foreign Trade Zone.
Free Sale, Certificate: The US Government does not issue certificates of free sale. The Food and Drug Administration, Silver Springs, Maryland USA, will issue, upon request, a letter of comment to the US 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: The amount that a carrier s equipment may be used without incurring additional charges.
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.
Freight Charge: The charge assessed for transporting freight.
Freight Claim: Demand upon a carrier for the payment of overcharge or loss or damage sustained by a shipper or consignee.
Freight Forwarder: An organization that represents shippers by arranging transport and completing documentation required for international shipping. Freight forwarders also act as cargo consolidators.
Foreign Sales Corporation: Takes the place of the Domestic International Sales Corporation (DISC). Studies the legal aspects of importing goods produced or assembled in more than one country.
Gateway: A point at which freight moving from one territory to another is interchanged between transportation lines.
GATT (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.
General Order (G.O.): A customs term referring to a warehouse where merchandise not entered within five working days after the carrier’s arrival, is stored at the risk and expense of the importer.
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 its plane and engage in the tunnel of a container.
GRI (General Rate Increase): Describes an across-the-board tariff rate increase implemented by conference members and applied to base rates.
Gross Ton: 2,240 pounds.
Gross Tonnage: Applies to vessels, not to cargo. Determined by dividing the vessel’s contents by 100 cubic feet. A vessel ton is 100 cubic feet.
Gross Weight: Entire weight of goods, packaging and freight car or container, ready for shipment. Generally, 80,000 lbs. maximum container, cargo and tractor for highway transport.
Groupage: A consolidation service, putting small shipments into containers for shipment.
GVW (Gross Vehicle Weight): The combined total weight of a vehicle and its container, inclusive of prime mover.
Hague Rules, The: A multilateral maritime treaty adopted 1921 at the Hague, Netherlands. Standardizes liability of an international carrier under the Ocean Bill of Lading. Establishes a legal “floor” for the bill of lading.
Harbor Master: An officer who attends to the berthing, etc. of ships in a harbor and related duties.
Hard-Top Container: A closed container fitted with a roof that can be opened or lifted off.
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 into 22 sections. Sections encompass an industry; chapters encompass the various materials and products of the industry. The basic code contains 44 headings and 6 digit subheadings. Many countries add digits for Customs tariff and statistical purposes. In the US, duty rates will be 8 digit level; statistical suffixes will be at the 10 digit level. The Harmonized System (HS) is the current US tariff schedule (TSUSA) for imports and is the basis for the 10 digit Schedule B export code.
Hatch: The opening in the deck of a vessel. It gives access to the cargo hold.
HAZ MAT: Abbreviation for hazardous material.
Heavy-Lift Charge: A charge made for lifting articles that are too heavy for a ship’s tackle.
High Cube: Any container which exceeds 8 feet 6 inches (102 inches) in height.
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.
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.
I.A. (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.
IATA (International Air Transport Association): The trade and service organization representing international airlines from more than 100 countries.
ICAO (International Civil Aviation Organization): A United Nations agency organized to ensure orderly worldwide technical development of civil aviation.
ICC: Abbreviation for Interstate Commerce Commission/ International Chamber of Commerce.
IE (Immediate Exit): The US Customs IE Customs form is used when goods are brought into the US and are to be immediately re-exported without being transported within the US.
I.F.M. (Inward Freight Manifest): A complete listing of all cargo entering the country of discharge. Required at all world ports. Failure to provide, errors in preparation, or late submittal causes the vessel operator to be fined. IFM is the primary source of cargo control, against which duty is assessed by the receiving country. Since it is a revenue-producing document, it must be accurate.
I.M.C.O. (International Maritime Consultative Organization): A United Nations-affiliated organization representing all maritime countries in matters affecting maritime transportation, including the movement of dangerous goods, bulk commodities and maritime regulations. The organization also is involved in deliberations on marine environmental pollution.
I.M.D.G. Code (International Maritime Dangerous Goods Code): The regulations published by the IMO for transporting hazardous materials internationally.
Immediate Exportation: An entry that allows foreign merchandise arriving at one port to be exported from the same port without payment of duty.
Immediate Transport (I.T.): Allows foreign merchandise arriving at one port to be transported in bond to another port, where a superseding entry is filed.
Import: To receive goods from a foreign country.
Import license: A document issued by a carrier required and issued by some national governments authorizing the importation of goods into their individual countries.
In Bond: A term applied to the status of merchandise admitted provisionally to a country without payment of duties, either for storage in a bonded warehouse or for transshipment to another point, where duties eventually will be 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.
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 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 a rate within a conference tariff that is the different from the rate (s) for the same items established by other Conference members.
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 by that port justifies the cost
of routing the vessel.
Inland Carrier: A transportation line that hauls export or import traffic between ports and inland points 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 Tank: The frame of a container constructed to hold one or more thermally insulated tanks for liquids.
Interchange Points: A terminal at which freight in the course of transportation is delivered by one transportation line to another.
Intercoastal: Water service between two coasts. In the US, this usually refers to water service between the Atlantic and Pacific Coasts.
Interline Freight: Freight moving from origin to destination over the lines of two or more transportation carriers.
Intermediate Points: A point located en route between two other points.
Intermodal: Term used to denote movements of cargo and containers interchangeably between transport modes (motor, water and air carriers) where the equipment is compatible within the multiple systems.
Interstate Commerce Commission (ICC): The US federal body charged with enforcing acts of the US Congress that affect common carriers in interstate control.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.
Inland Point Intermodal (IPI): Refers to inland points (non-ports) that can be served by carriers on a through bill of lading.
I.S.O.: International Standards Organization which deals in standards of all sorts, ranging from documentation to equipment packaging and labelling.
Issuing Carrier: The carrier issuing transportation documents or publishing a tariff.
I.T. (Immediate Transport): U.S. Customs document prepared by carrier to allow a shipment to proceed from port of entry in United States to Customs clearing at destination. The shipment clears Customs at its final destination.
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.
Just-In-Time (JIT): With 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, not 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.
KT: Kilo or metric ton. 1,000 kilos or 2,204.6 pounds.
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 will be re-assembled.
Knot: The nautical mile (6,082.66 ft.). This term evolved in early maritime history when speed was measured by tossing a log which was secured by a line. A knot was tied into the line at approximately six feet intervals. The number of knots measured was then compared against time required to travel the distance of 1,000 knots in the line.
Known Loss: A loss discovered before or at the time of delivery of a shipment.
Laden: Loaded aboard a vessel.
Lading: Refers to the freight shipped. The contents of a shipment.
Land bridge: Movement of cargo by water from one country through the port of another country, then using rail or truck, to an inland point in that country or to a third country. (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: A support fitted on the front part of a chassis (which is retractable). It is used to support the front end of a chassis when the tractor has been removed.
LASH (Lighter Aboard Ship): A specially constructed vessel equipped with an overhead crane for lifting custom designed barges and stowing them into cellular slots in an athwart ship position.
L.C.L.: Less than container load. The quantity of freight which is less than that required for the application of a container load rate. Loose freight.
Letter of Credit (L/C): 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. Secondary party accepts responsibility and meets the demands stated in the letter of credit.
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 thereafter.
Liner: A vessel sailing between specified ports on a regular basis.
Line-Haul: Transportation from one city to another as differentiated from local switching service.
List: The amount in degrees that a vessel tilts from the vertical.
L.T.L.: Less than truckload. The quantity of freight less than that required for the application of a truckload rate.
Litre/Liter: 1.06 liquid US 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: The freight in a vehicle or container.
Load Ratio: The ration of loaded miles to empty miles per tractor.
Long Ton: 2,240 pounds.
Longshoreman: Individual employed locally in a port to load and unload ships.
Loose: Without packing.
Low-Boy: A trailer or semi-trailer with no sides and with the floor of the unit close to the ground.
N.C.I.T.D.: National Committee on International Trade Documentation
Nested: Articles packed so that one rests partially or entirely within another, thereby reducing the cubic-foot displacement.
Net Short Ton: 2,000 pounds.
Net Tare Weight: The weight of an empty cargo-carrying piece of equipment plus any fixtures permanently attached.
Neutral Body: Operates within the framework of a rate conference. Established by the member carriers to act as a self-policing force to ferret out malpractices and other tariff violations. The neutral body has authority to scrutinize all documents kept by the carriers and the carriers’ personnel. Has right of entry to all areas of the carriers’ facilities, including desks, briefcases, etc. Violations found are reported to the membership, and significant penalties are assessed. Repeated offenses are subject to escalating penalties. Revenue from penalties is used to support the cost of the neutral body’s activity.
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 know as the Harmonized System.
NOS/NES: Not otherwise specified/Not elsewhere specified. This term often appears in ocean or airfreight tariffs respectively. If no rate for the specific commodity shipped appears in the tariff, then a general class rate (for example, “printed matter NES”) will apply. Such rates usually are higher than rates for specific commodities.
Nose: Front of a container or trailer – opposite the tail.
NVOCC: Non-vessel operating common carrier. A firm that offers the same services as an ocean carrier, but which does not own or operate a vessel. NVOCCs usually act as consolidators, accepting small shipments (LCL) and consolidating them into full container loads. They then act as a shipper, tendering the containers to ocean common carriers. They are required to file tariffs with the Federal Maritime Commission, and are subject to the same laws and statutes that apply to primary common carriers.
Ocean Bill of Lading (Ocean B/L): Document indicating that the exporter will consign a shipment to an international carrier for transportation to a specified foreign market and indicates the terms of the contract of carriage. The ocean B/L serves as a collection document. If it is a straight B/L, the foreign buyer can obtain the shipment from the carrier by simply showing proof of identity. If it is a negotiable B/L, the buyer must first pay for the goods, post a bond, surrender the original B/L or meet other conditions agreeable to the seller.
O.E.C.D.: Organization of Economic Cooperation and Development, headquartered in Paris with membership consisting of the World’s Developed Nations.
On-Board: Cargo that has been loaded on board a combined transport mode of conveyance. Used to satisfy the requirements of a letter of credit, in the absence of an express requirement to the country.
Open Account: A trade arrangement in which goods are shipped to a foreign buyer without guarantee of payment.
Open-Top Container: A container fitted with a solid removable roof or with a tarpaulin roof that can be loaded or unloaded from the top.
Operating Ratio: A comparison of a carrier’s operating expense with its gross receipts.
O.P.I.C.: Overseas Private Investment Corporation
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.
Origin: Location where shipment begins its movement at cargo’s expense.
Original Bill of Lading (O.B.L.): A document which requires proper signatures for consummating carriage of contract.
OS&D: Abbreviation for Over, Short or Damaged. Usually discovered at cargo unloading.
Out Gate: Transaction or interchange that occurs at the time a container leaves a rail or water terminal. Overland Common Point (OCP): A term stated on the bills of lading offering lower shipping rates to importers east of the Rockies, providing merchandise from the Far East comes through the West Coast ports. OCP rates were established by US 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 US Atlantic and Gulf ports. Applies to eastern Canada.
Over height Cargo: Cargo stowed in an open-top container; projects above the uppermost level of the roof struts.
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.
Packing List: Itemized list of commodities with marks/numbers but no cost values indicated.
Paired Ports: A US Customs program wherein at least two designated Customs ports will enter cargo that arrives at either port without the necessity of an inbound document.Pallet: A platform (usually two-deck), with or without sides, on which a number of packages or pieces may be loaded to facilitate handling by a lift truck.
Paper Ramp: A technical rail ramp, used for equalization of points not actually served.
Paper Rate: A published 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.
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.
Per diem: A charge made by one transportation line against another for the use of its equipment. The charge is based on a fixed rate per day.
Perishable Cargo: Cargo subject to decay or deterioration. Phytosanitary Inspection Certificate: A certificate issued by the US department of Agriculture to satisfy import regulations of foreign countries; indicates that a US shipment has been inspected and found free from harmful pests and plant diseases.
Pick-up: The act of calling for freight by truck at the consignor’s shipping platform.
Pier: The structure 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, then 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: A transportation agreement in which truck trailers with their loads are moved by train to a destination. Also know as Rail Pegs.
Place of Delivery: Place where cargo leaves the care and custody of the carrier.
Place of Receipt: Location where cargo enters the care and custody of carrier.
Plimsoll Mark: A series of horizontal lines painted on the outside of a ship marking the level which must remain above the surface of the water for the vessel s stability.
Point of Origin: The station at which a shipment is received by a carrier from the shipper.
Pool: A common supply of containers available to the shippers.
Port: A harbor with piers or docks. Left side of a ship when facing forward. 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 loaded and leaves a country.
Port of Loading: Port where cargo is transferred from one vessel to another.
Pratique Certificate: Lifts temporary quarantine of a vessel, granted by a 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 Freight (Pgd.): Freight paid by the shipper to the carrier when merchandise is tendered for shipment. Not refundable if the merchandise does not arrive at the intended destination.
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, “In proportion.”
Project Rate: Single tariff item, established to move multiple commodities needed for a specified project, usually construction.
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.
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 that period, the Q flag is hoisted.
Quoin: A wedge-shaped piece of timber used to secure barrels against movement.
Quota: The quantity of goods that may be imported without restriction or additional duties or taxes.
Rag Top: A slang term for an open-top trailer with a tarpaulin cover.
Rail Division: The amount of money an ocean carrier pays to the railroad for overland charges.
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 (weight, measure, equipment type, package, box, etc.) that control the making of a rate.
Reasonableness: Under ICC and common law, the requirement that a rate not be higher than is necessary to reimburse the carrier for actual cost of transporting the traffic and allow a fair profit.
Reconsignment: Changing the consignee or destination on a bill of lading while the shipment is still in transit. Diversion has substantially the same meaning.
Reconsolidation point: Location where loose or other non-containerized cargo is regrouped for further carriage.
Red Label: Label required on shipments of flammable articles.
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: Transfer containers from one ship to another.
Released Value Not Exceeding (RVNX): Used to limit the value of goods transported. The limitation refers to carrier liability when paying a claim for lost or damaged goods.
Restricted articles: Articles handled only under special conditions.
Return pool: Place where equipment is returned.
Revenue Ton: 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.
Reverse IPI: An inland point provided by an all-water carrier’s through bill of lading in the US by first discharging the container in an East Coast port.
RORO: An abbreviated term for 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. Also used to refer to the cargo itself.
Roll: Move cargo to a down-line or vessel.
Rolling: The side-to-side (athwart ship) motion of a vessel.
Route: The manner in which a shipment moves; i.e., the carriers handling it and the points via which they handle it.
Running Gear: Complimentary equipment for terminal and over-the-road handling containers.
Schedule B: The statistical classification of Domestic and Foreign Commodities Exported from the United States.
See-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.
SED: US Commerce Department document, “Shipper’s Export Declaration.”
Service: A string of vessels which make 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 shipper’s associations) and an ocean common carrier (of 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 non-performance on the part of either party.
Ship: A large vessel able to navigate large bodies of water and designed to carry passengers and/or cargo. Broadly speaking, a ship cannot fit on a boat.
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: Time measure 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 to one shipment for a specified voyage.
Ship’s Tackle: All rigging, etc. utilized on a ship to load or unload cargo.
Shipment: The tender of one lot of cargo at one time from one shipper at one location to one consignee, at one destination, on one bill of lading.
Shipper: The person or company who is usually the supplier or owner of commodities shipper. Also called, consignor.
Shipper’s 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 favourable service contract rate levels. Shipping Act of 1916: The act of 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.
Shipper’s Export Declaration (SED, “Ex Dec”): A joint Bureau of Census International Trade Administration form used for compiling US export control laws. 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 communications (s) to its agent and/or directly to the international water-carrier. Instructions may be varied, for example, specific details/clauses to be printed on the bill of lading, directions for pick-up and delivery.
Shipper’s Load & Count (SL&C): Shipments loaded and sealed by shippers and not checked or verified by the carriers. Shipping Order: Shipper’s instructions to carrier for forwarding goods; usually the triplicate copy of the bill of lading.
Barge Carriers: Ships designed to carry barges. Some are fitted to act as full container ships 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.
Bulk Carriers: All vessels designed to carry dry bulk cargo, as well as carriers with bulk cargoes such as grain, ore and oil.
Combination Passenger and Cargo Ships: Ships with a capacity for 13 or more passengers.
Freighters: Break-bulk vessels both refrigerated and unrefrigerated, containerships, partial containerships, roll-on/roll-off vessels, and barge carriers.
Full Containerships: Ships equipped with permanent container cells, with little or no space for other types of cargo.
General Cargo Carriers: Break-bulk freighters, car carriers, cattle carriers, pallet carriers and timber carriers.
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.
Roll-on/Roll-off vessels: Ships custom built to carry wheeled containers or trailers using interior ramps.
Tankers: Ships fitted with tanks to carry liquid cargo such as crude petroleum and petroleum products, chemicals, liquified gasses (LNG & LPG), wine, molasses and similar product tanke
Shore: A prop or support placed against or beneath anything to prevent sinking or sagging.
Short Ton (ST): 2,000 lbs.
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.
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.
Sleepers: Loaded containers moving within the railroad system that are not clearly identified on any internally generated reports.
Spine Car: An articulated five-platform railcar. Used where height and weight restrictions limit the use of stack cars. It holds five, forty-foot containers or combinations of forty and twenty-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 to increase 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 doubled stacked. A typical stack car holds ten, forty-foot equivalent units (FEUs).
Stack train: A rail service whereby rail cars carry containers stacked two-high on specially-operated unit trains. Each train includes up to 35 articulated multiplatform cars. Each car is comprised of multiplatform cars. Each car is comprised of five, well-type platforms upon which containers can be stacked. No chassis accompany containers.
Standard Industrial Classification (SIC): A standard numerical code used by the US 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 trader, based on a hierarchy.
Starboard: The right side of a ship when facing the bow.
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. It protects the carrier against any possible losses or damages arising from the release of the merchandise to the receiving party. This instrument is usually issued when the bill of lading is lost or is not available.
Steamship line: A company that owns and/or operates vessels in maritime trade.
Stern: The end of a vessel. Opposite of bow.
Stevedore: Individual or firm that handles cargo discharged from or loaded onto a freight carrying vessel.
Store-Door Delivery: Delivery of goods to consignee’s place of business or warehouse by motor vehicle. Refers to a complete package of delivery services performed by a carrier from origin to final consumption point, whether that be a retail, wholesale or other final distribution facility.
Store-Door Pick-up: Picking up a container from a carrier, delivering it to a merchant and returning the empty container; the portion of store-door delivery performed by the carrier’s trucker.
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.
Stripping: The unloading of a container.
Stuffing: The loading of a container.
Subrogate: To put in place of another, for example, 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.
Surcharge: An extra or additional charge.
Surtax: An additional extra tax.
T.&E. (Transportation and Exportation): Customs form used to control cargo movement from port of entry to port of exit, meaning that the cargo is moving from one country, through the United States, to another country.
Tail: The rear of a container or trailer-opposite the front or nose.
Tare Weight: The weight of packing material, or in railcar or container shipments, the weight of the empty railcar or empty container.
Tariff: A document issued by a carrier setting forth applicable rules, rates, and charges for the movement of goods. It sets up a contract of carriage between the shipper, consignee, and carrier. In international trade applications, the term also refers to a tax on imports.
Telex: Used for messages transmitted via Western Union, ITT and RCA to outside companies.
Temperature Recorder: A device to record temperature in a container while cargo is en route.
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 a vessel, train, truck or airplane.
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. The following are the thirteen terms of sale in international trade as reflected in the International Chamber of Commerce Terms of Trade (INCOTERMS), effective July, 1990:
EXW (Ex Works): The seller fulfils the obligation to deliver when the goods are made available at the seller’s premises (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 the taking the goods from the seller’s premises to desired destination. This term thus represents the minimum obligation for the seller.
FCA (Free Carrier): The seller delivers goods, cleared for export, to a carrier named by the buyer at a named place. If no designated point is indicated by the buyer, the seller may choose, within the place or range stipulated, where the carrier may include any party that undertakes to provide transportation services.
FAS (Free Alongside Ship): The seller delivers the goods alongside the vessel on the quay or in lighters at the named port of shipment. The buyer bears all risks of loss or damage from that moment, contracts and pays for carriage, and clears the goods for export.
FOB (Free On Board-International Use): The seller’s responsibility ends when the goods pass over the ship’s rail at the named port of shipment. The buyer bears all costs and risks of loss or damage from that moment, contracts and pays for carriage, and clears the goods for export.
CFR (Cost and Freight): The seller prepays the cost of carriage to the named port of destination, and clears the goods for export. Risk of cargo loss or damage transfers to the buyer when the goods pass the ship’s rail at the port of shipment.
CIF (Cost, Insurance, and Freight): 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.
CPT(Carriage Paid To): The seller pays the freight for the carriage of the goods to the named destination. The risk of loss 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.
CIP (Carriage and Insurance Paid To): The seller has the same obligations as under CPT, but also must contract and pay for insurance against the buyer’s 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.
DAF (Delivered At Frontier): The seller fulfils the 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 border of the adjoining country.
DDU (Delivered Duty Unpaid): The seller fulfils the 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.
DDP (Delivered Duty Paid): The seller fulfils his obligation to deliver when the goods have been made available at the names 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.
DES (Delivered Ex Ship): The seller fulfils the obligation to deliver when the goods have been made available to the buyer onboard the ship, nucleated for import at the named port of destination. The seller bears all costs and risks involved in bringing the goods to the named port of destination.
DEQ (Delivered Ex Quay (Duty Paid)): 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. Attaching the term “Duty Paid” indicates that the seller bears all risks and costs of delivery to the named point, including duties and other import charges. Attaching the term “Duty Unpaid” indicates that the buyer must clear the goods for import and pay duties.
TEU: Twenty-foot equivalent unit container. Used to measure a vessel’s capacity.
Through Rate: The total rate from the port 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 ship owners and the lessee. It would state 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 Internationaux 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 frontiers without inspection.
TL: Abbreviation for Trailer Load.
TOFC (Trailer on Flat Car): The movement of a highway trailer on a railroad flatcar. Also known as piggyback.
Ton-Mile: Unit used in comparing freight earnings or expenses. The amount earned from the cost of hauling a ton of freight one mile. The movement of a ton of freight one mile.
Tonnage: Generally refers to freight handled.
Top-Air Delivery: A type of air circulation in a container. 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: Unit of highway motive power used to pull one or more trailers/containers.
Trade Acceptance: A time or date draft that has been accepted by the buyer (the drawee) for payment at maturity.
Traffic: Person or property carried by transport lines.
Trailer: The truck unit into which freight is loaded as in tractor-trailer combination.
Tramp Line: An ocean carrier company operating tramp steamers not on regular runs or schedules.
Transport: To move traffic from one place to another.
Transportation: The movement of traffic from one place to another.
Transmittal letter: A letter from the shipper to its agent that lists the particulars of a shipment, the documents being transmitted, and instructions for the disposition of those documents.
Transhipment: Shipment of merchandise to the point of destination in another country on more than one vessel or vehicle. The liability may pass from one carrier to the next, or it may be covered by “through bills of lading” issued by the first carrier. Sometimes referred to as relay.
Transhipment Port: Place where cargo is transferred to another carrier.
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.
UCP (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 (paying on Letters 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 support by the UN for electronic message (data) interchange on an international level.
Uniform Customs and Practices for Documentary Credits (UPC): 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.
Unit Load: Packages loaded on a pallet, in a crate or any potherb 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: The consolidation of a quantity of individual items into one large shipping unit for easier handling. Loading one or more large items of cargo onto a single piece of equipment, such as a pallet.
Unloading: Removal of a shipment from a container to a platform or warehouse.
US Consular Invoice: A document required on merchandise imported into the United States.
Validated Export License: A document issued by the U.S. Department of Commerce. It is required for commodities deemed important to national security, foreign-policy objectives, or protecting domestic supplies of strategic materials. Constitutes permission to export a specific product to a specific party. Exporter applies for license, which must be returned to Bureau of Export Administration after completing specified shipments.
Vanning: 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. For profit, all variable costs must be recovered.
Ventilated Container: A container designed with openings in the side and/or end walls to admit the ingress of outside air when the doors are closed.
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.
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 bill of lading number. Obviously, the bill of lading serves as the core source from which the manifest is created.
Viz: Namely. Used in tariffs to specify commodities.
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 which in the warehouse but will be collected when they are withdrawn for delivery or consumption.
Warehouse Withdrawal for Immediate Exportation (WDEX): Allows merchandise that has been withdrawn from a bonded warehouse at one US port to be exported from the same port without paying duty.
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 US, to be exported from another port, without paying duty.
Warehousing: The storing of goods / cargo
Waybill (WB): A document prepared by a transportation line at the point of a shipment; shows the point of origin, destination, route, consignor, consignee, description of shipment and amount charged for the transportation service. A waybill is forwarded with the shipment or sent by mail to the agent at the transfer point or waybill destination. Unlike a bill of lading, a waybill is not a document of title.
Weight Cargo: A cargo on which the transportation charge is assessed on the basis of weight.
Weights and Measures:
Measurement ton: 40 cubic feet
Net ton, or short ton: 2,000 lbs.
Gross ton, or long ton: 2,240 lbs.
Metric ton, or kilo ton: 2,204.6 lbs. Cubic Meter: 35.314 cubic ft.
Well Car: A stack car; a drop-frame rail flat car.
Wharf age (Whfg.): Charge assessed by a pier or dock owner against freight handling over the pier or dock against a steamship company using the pier or dock.
W.M. (W/M): Weight or measurement, the basis for assessing freight charges. Also known as worm. The rate charged under W/M will be whichever produces the highest revenue between the weight of the shipment and the measure of the shipment.
WPA: Abbreviation for With Particular Average.
Yard: A classification, storage or switching area.
