Freight Forwarding Terminology

Bill Of Lading. A document by which the Master of a ship acknowledges having received in good order and condition (or the reverse) certain specified goods consigned to him by some particular shipper, and binds himself to deliver them in similar condition, unless the perils of the sea, fire or enemies prevent him, to the consignees of the shippers at the point of destination on their paying him the stipulated freight. A bill of lading specifies the name of the master, the port and destination of the ship, a description of the goods, the consignee, and the rate of freight.

Booking note

The owners of a ship are entitled to payment as freight for merchandise returned through the fault of either the consignees or the consignors. Such payment, which is over and above the normal freight, is called backfreight.

A deviation to move cargo on the return leg of a voyage for the purpose of minimizing ballast mileage and thereby reducing transportation costs.

Where a seller/shipper issues a 'letter of indemnity' in favour of the carrier in exchange for a clean bill of lading. May have only a limited value. Example: P & I problems.

Bunker Adjustment Factor. An adjustment factor representing variations in the price of bunker fuels, expressed as a plus/minus percentage which is applied to freight calculations.

Various kinds of commodities usually packed in sacks or in bags, such as sugar, cement, milk powder, onion, grain, flour, etc.

Cubic capacity of a vessels holds to carry packaged dry cargo such as bales/pallets.

Heavy substances loaded by a vessel to improve stability, trimming, sea-keeping and to increase the immersion at the propeller. Sea water ballast is commonly loaded in most vessels in ballast tanks, positioned in compartments right at the bottom and in some cases on the sides, called wing tanks. On a tanker, ballast is seawater that is taken into the cargo tanks to submerge the vessel to a proper trim.

Compensation for relatively long ballast voyage.

A voyage or voyage leg made without any paying cargo in a vessel's tanks. To maintain proper stability, trim, or draft, sea water is usually carried during such movements.

Compartments at the bottom of a ship or on the sides which are filled with liquids for stability and to make the ship seaworthy. Any shipboard tank or compartment on a tanker normally used for carrying salt water ballast. When these compartments or tanks are not connected with the cargo system they are called segregated ballast tanks or systems.

A charter in which the bare ship is chartered without crew; the charterer, for a stipulated sum taking over the vessel for a stated period of time, with a minimum of restrictions; the charterer appoints the master and the crew and pays all running expenses. See Demise Charter.

Vessel contract where charterers take over all responsibility for the operation of the vessel and expenses for a certain period of time.

Flat-bottomed boat designed to carry cargo on inland waterways,usually without engines or crew accommodations. Barges can be lashed together and either pushed or pulled by tugs, carrying cargo of 60,000 tons or more. Small barges for carrying cargo between ship and shore are known as lighters.

A way of loading cargo into large barges and then in turn loading the barges into a ship.

Ships designed to carry either barges or containers exclusively, or some variable number of barges and containers simultaneously. Currently this class includes two types of vessels, the LASH and the SEABEE.

The off-loading of a container from a vessel to a barge for forwarding by river or canal.

Ships which are designed to carry fully loaded barges. The barges are loaded to/from the ship in harbour without the need for berthing facilities. Loaded barges are towed between ship and shore.

Any wrongful act committed by the master or crew of a vessel.

Port areas freighted as though overseas ships called there.

Plan of a vessel showing the distribution of cargo weights throughout the vessel and the amount of ballast and fuel at departure conditions.

Before breaking bulk. Refers to freight payments that must be received before discharge of a vessel commences.

The width of a ship. Also called breadth.

Designates the owner who receives the benefits or profits from the operation.

Term used in a voyage charter party, e.g. vessel shall proceed to Berth 2 at Falmouth.

When a liner cargo vessel accepts extra cargo to fill up the empty space remaining.

An open-top container (with or without a soft cover) with the insides constructed as a hard tray for rough bulk loads, for grab or tipper discharge.

Cargo banned by general cargo workers for some reason. This ban could be because the cargo is dangerous or hazardous to health.

A slang expression referring to the personnel in the engine department aboard ship.

1. A container consisting of a rectangular base only. See also FLAT, FLAT-TAINER, PLATFORM.
2. Device placed on a railcar or trailer to hold a container. A set of bolsters are used where tiedown fittings for containers are absent.

Dutiable goods upon which duties have not been paid.

A privately owned warehouse which is licensed by the Customs Authorities in which goods subject to the control of Customs may be stored without the payment of duties. The owners of the warehouse must normally give a bond to Customs for the duty on the goods held in the store, hence the common name, BOND. See also FREE STORE.

A propeller at the lower sea-covered part of the bow of the ship which turns at right angles to the fore-and-aft line and thus provides transverse thrust as a maneuvering aid. See also STERN THRUSTER.

Shipping container enclosed on all sides, normally with doors in the rear only.

A pallet with sides (and top) mostly of wire mesh or grills.

The process of assimilating many small shipments into one large shipment at a central point, to be sorted or disseminated after discharge, so that economies of scale may be achieved; to commence discharge of cargo.

Where the cargo does not completely fill or fit the capacity or where the weight load limit of the container is reached in advance or the volumetric limit leaving empty space in the container. See also WASTE CUBE.

A general, multipurpose, cargo ship that carriers cargoes of non-uniform sizes, often on pallets, resulting in labor-intensive loading and unloading; calls at various ports to pick up different kinds of cargoes.

The lost space where a cargo is such that it cannot fit all available space.

Percentage of freight payable to broker (by owners in c/p's) or applicable to sale or purchase.

Basic Service Rate. The basic freight rate (generally European).

Cargo shipped in loose condition and of a homogeneous nature. Cargoes that are shipped unpacked either dry, such as grain and ore, or liquid, such as petroleum products. Bulk service generally is not provided on a regularly scheduled basis, but rather as needed, on specialized ships, transporting a specific commodity.

Ship specifically designed to transport vast amounts of cargoes such as sugar, grain, wine, ore, chemicals, liquefied natural gas; coal and oil. See also LNG Carrier, Tanker, OBO Ship.

Any container which, by design, will allow bulk loading materials.

1. A name given to any vertical partition which separates different compartments or spaces from one another.
2. Front wall of a container.

1. Fuel consumed by the engines of a ship.
2. Compartments or tanks in a ship for fuel storage.