Shipping Glossary
Common logistics and shipping terms explained in one place. Find definitions for abbreviations, technical terms, and industry jargon.
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Key Terms
FOB, ETA, Incoterms, HS Codes, and more.
Freight Terms
Shipping Abbreviations
Trade Compliance Terms
Container Terminology
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Shipping Glossary
Alphabetical list of logistics and shipping terms
AWB
Air Waybill, the main air freight document.
B/L
Bill of Lading, the main ocean transport document.
CBM
Cubic Meter, a unit of volume measurement.
CIF
Cost, Insurance and Freight. Seller pays for cost, insurance, and freight to destination port.
COO
Certificate of Origin, document certifying the country where goods were produced.
CTPAT
Customs-Trade Partnership Against Terrorism program.
DAP
Delivered At Place. Seller delivers goods to named place, buyer handles import clearance.
DDP
Delivered Duty Paid. Seller delivers goods to buyer with all duties and taxes paid.
ETA
Estimated Time of Arrival.
ETD
Estimated Time of Departure.
EXW
Ex Works. Buyer takes responsibility once goods are available at seller's premises.
FCL
Full Container Load. A shipment that occupies a full container.
FOB
Free On Board. Seller delivers goods on board the vessel, buyer takes risk after loading.
HS Code
Harmonized System code used for customs classification.
LCL
Less than Container Load. A shipment that does not fill a full container.
NVOCC
Non-Vessel Operating Common Carrier. A company that provides ocean freight services without owning ships.
POD
Proof of Delivery. Document confirming goods were delivered to consignee.
POL
Port of Loading. The port where cargo is loaded onto the vessel.
PON
Port of Origin. The port where the shipment originates.
TEU
Twenty-foot Equivalent Unit. Standard container measurement unit.
ULD
Unit Load Device used in air cargo.
VGM
Verified Gross Mass. The verified total weight of a packed container.
WMS
Warehouse Management System. Software for managing warehouse operations.
3PL
Third-Party Logistics. Outsourced logistics services provider.
ADR
European Agreement concerning the International Carriage of Dangerous Goods by Road.
BOL
Bill of Lading. Document issued by carrier acknowledging receipt of cargo.
CFR
Cost and Freight. Seller pays cost and freight to destination port.
CIP
Carriage and Insurance Paid To. Seller pays freight and insurance to named destination.
CPT
Carriage Paid To. Seller pays freight to named destination.
DDU
Delivered Duty Unpaid. Seller delivers goods, buyer pays import duties.
FAS
Free Alongside Ship. Seller delivers goods alongside the vessel at port.
FCA
Free Carrier. Seller delivers goods to carrier at named place.
FEU
Forty-foot Equivalent Unit. Standard 40ft container measurement.
GRI
General Rate Increase. Annual freight rate increase by carriers.
HBL
House Bill of Lading. Bill of lading issued by freight forwarder.
IMO
International Maritime Organization. UN agency for maritime safety.
ISPS
International Ship and Port Facility Security Code.
MBL
Master Bill of Lading. Bill of lading issued by ocean carrier.
P&I
Protection and Indemnity. Marine insurance for shipowners.
PCS
Port Congestion Surcharge. Additional fee for port delays.
PSS
Peak Season Surcharge. Additional fee during high-demand periods.
RO/RO
Roll-On/Roll-Off. Vessel designed for wheeled cargo.
SOC
Shipper Owned Container. Container owned by shipper, not carrier.
THC
Terminal Handling Charge. Fee for container handling at port.
TIR
Transports Internationaux Routiers. International road transport customs system.
WCO
World Customs Organization. International customs organization.
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