Shipping glossary

The trade's vocabulary, in plain words, without the mystique.

All-in

A price that includes freight, fuel, carrier surcharges, terminal handling and the forwarding fee, stated with a validity date. If a price does not say all-in, ask what is missing.

FCL

Full container load. The container is yours alone, priced per box.

LCL

Less than container load. Your cargo shares a container and pays by the cubic metre.

Chargeable weight

Air freight bills on the greater of actual weight and volumetric weight, which converts size into kilograms. Your quotation shows which applied.

Drayage

The short truck move between a port or rail terminal and a nearby warehouse or door.

Bill of lading

The document that is at once the receipt for the goods, the evidence of the carriage contract, and in ocean freight the key to releasing the cargo.

HS code

The harmonized system number that classifies goods for customs and sets the duty rate. Getting it right is the difference between an estimate and a surprise.

Incoterms

The standard trade terms, such as FOB and DDP, that fix where the seller stops paying and the buyer starts. They decide which legs belong on your quotation.

Demurrage and detention

Charges that accrue when a container overstays its welcome at the terminal or out with the consignee. The best defence is a plan, which is part of our job.

PARS and PAPS

The Canadian and American pre-arrival systems that clear trucks across the border. Filed before the truck arrives, or the truck waits.

Validity date

The date until which a quotation can be booked at the stated price. Ours is printed on every quotation.

NVOCC

A carrier that issues its own bills of lading without operating vessels. Much of the industry works this way; the difference is who stands behind the price.

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