Freight Dictionary

Frequently Asked Freight Questions

What are Freight Forwarders?

What are Domestic Couriers?

What are International Couriers?

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

A

"Ad Valorem"

The method by which freight or customs duty may be calculated ;- based on the value of the goods as opposed to the weight or volume.

"ADR"

'Accord europeen relatif au transport international des marchandises dangereuses par route' sets out classifications and regulations regarding the transport of dangerous goods by road.It is based in Geneva.Switzerland.

"AGV"

Automated guided vehicles replace manually-driven fork lift trucks in highly sophisticated storage and retrieval systems.

“Air Waybill”

The Air Waybill is the documentary evidence of the contract of carriage between the shipper, carrier and consignee.It is different from a Bill of Lading in that it is not a document of title to the goods.

“AREAS- IATA”

The International Air Transport Association, for administrative purposes, divides the world into three IATA TRaffic Conference Areas .These are referred to as Areas No 1, 2 & 3.
IATA Area1 comprises all of the North and South American Continent and adjacent islands.
IATA Area 2 comprises all of Europe, Iceland, Africa and Iran
IATA Area 3 comprises all of Asia and Australia and New Zealand.

"ATAG"

The Air Transport Action Group - based in Geneva - has been co-ordinating
the efforts to harmonise and integrate Air Traffic Control throughout Europe. (see EATCHIP)

"Average Adjusters"

In the case of General Average a specialist firm of Average Adjusters is appointed to assist with the initial problems and calculate the contribution due from each interest.Because the adjustment may take years before it is issued, the Adjusters' first task is to obtain security for General Average contribution from cargo interests by obtaining the Merchant's signature on an Average Bond( the promise to pay) backed up by either an Average Guarantee signed by a reputable Underwriter or by a cash deposit based on the contributing value estimated by the Average Adjuster.

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B

"Back Load"

Load which enables a truck or vessel to return loaded to the place where the original load originated.

"Bi-Modal (Trailer)

Road Semi-trailer with retractable running gear mounted onto a rail bogey for rail transport.During rail transport the wheels of the trailer are lifted.

"Bill of Lading - B/L"

Document issued by a carrier(shipowner or shipping line) to a shipper of goods.It is a receipt for goods, evidence of the carriage contract, and a document of title to the goods.The latter feature is something akin to the relationship a cheque has to money or another analogy is a cloakroom ticket.Without a ticket you don't get the coat..Without a Bill of Lading (with the proper endorsement) no goods.The goods can be bought or sold merely by the passing of the B/L consigned "to order" provided that all the endorsements are in order.

"Bill of Lading - straight"

Under the Pomerene Act of 1916 (United States) a Bill of Lading need not be surrendered for goods in the case of exports or interstate transactions if the Bill of Lading is consigned to a named party and marked "Not Negotiable".Such a document is referred to as a "Straight Bill"

“BLOCK OFF”

IATA scheduled airlines can block off a scheduled cargo flight which is under utilised and sell the capacity to a charterer.

“Break bulk -air”

The break bulk agent is an agent who breaks consolidations into their individual parts at destination.He may also attend to customs clearance or he may hand over the clearances to a broker nominated by the importer (or the shipper ).His responsibility normally includes collection of all charges and their transfer back to the consolidator. He can be paid either by a fee per HAWB (House Waybill) or a share in the consol. profit with the originating agent.

"Brussels Tariff Nomenclature"

A list of classification of commodities for Customs purposes which is also used as a basis for their freight tariff by many shipping lines.Each commodity has a unique code known as a BTN number.

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C

"C32 Loading Gauge"

The maximum for United Kingdom International trains: accommodates swap bodies of 2.77m high and 2.50m wide on multifret wagons.

"Cabotage Authorisation"

Cabotage i.e. point to point haulage within another EU Member State is not permitted under a Community Authorisation. However special Cabotage Authorisations, each valid for two months, are available from the Department.

"Caisse Mobile"

In France the long form of swap body is referred to as Caisse Mobile.(see Swap Body ).

"Car Transporter Wagon-Multimodal"

Specialist wagons, single or double deck, open or closed, for carrying trade vehicles.

"Carello-Multimodal"

Low loader for road transport of laden conventional rail wagon: commonly used in Italy.

"Cargo Agent - IATA"

The International Air Transport Association's Cargo Agency Programme is to ensure that all agency outlets used by IATA Members (airlines) are competent business organisations capable of providing an accurate and dependable service to the public. Through a single standard agreement executed with IATA, known as the Cargo Agency Agreement, an agent whose approval to represent IATA members is recognised after appropriate appraisal, may hold air waybills and sell transportation on behalf of any appointing member.
The overall authority for the Cargo Agency Programme lies with the Cargo Agency Conference (CAConf) which is made up of representatives from IATA Member airlines. The Conference adopts Resolutions directly relating to the financial, professional and security standards of the cargo agent.
Minimum requirements for professional background in staff, equipment and capital investment are set and when approved by IATA they are called registered IATA cargo agents.There are in excess of 4000 IATA
cargo agents worldwide now and they represent small as well as medium and large companies.
The agent acts on behalf of IATA member airlines.

"CASS"

The Cargo Account Settlement System was developed by IATA in 1979 to simplify the reporting of cargo sales and settling of accounts. There are separate systems for Export and Import and are introduced in close co-operation with National Associations of cargo agents and freight forwarders. On the remittance date the agent pays to the Settlement Office all charges due for freight etc. to the carriers. Monies received from agents are placed in a hinge account from which one payment is made to each carrier.
Both IATA and non-IATA carriers are eligible to participate and in case of a dispute the CASS Manager acts as a neutral mediator between carriers, agents and the Settlement Office.

"CCS"

Cargo Community Systems are computer systems set up for the transfer of data using EDI between members of a given community such as airlines and forwarders,
shipping lines and shippers, retailers and their suppliers.

"Carello-Multimodal"

Low loader for road transport of laden conventional rail wagon: commonly used in Italy
“Chargeable weight”
In airfreight the chargeable weight is the actual gross weight or volume weight whichever is higher apart from certain exceptions.

“Charter contract - Air”

The contract of carriage between an airline and a charterer, it stipulates the conditions of the charter i.e. the aircraft type - cubic capacity and maximum weight limitations of the payload offered - time an date of operation - airports between which the aircraft will operate - price and charges payable and the charge for cancellation. This latter charge is usually based on a scale in days
whereby the penalty increases the closer to the departure date the cancellation is notified.
Letter of credit conditions could affect contracted carriage or routing and these should be ascertained before placing an enquiry on the market.

“Charters - Air”

To move large or outsize loads, cargo agents and consolidators charter an aircraft from an airline. Also an aircraft may be chartered to fly to destinations not served or infrequently served by scheduled carriers. Another factor could
be where transport by road or rail is impossible to inland destinations.
All charter costs are payable before departure and must be made by the charterer through the IATA cargo agent, together with a written certification that the agent effected the sale.

"Charter party"

A document containing all the terms and conditions of the contract between the owners of the ship or aircraft and the charterer and signed by both parties or their agents for the hire of the craft or the space in it (see also part charter)

"Chassis"

Trailer on which containers - 40's or 20's - are moved by road. Also referred to as skeletal trailers.

“CFR”

Cost and freight..... (named port of destination) means that the seller must pay the costs and freight charges necessary to bring the goods to the named port of destination.However it is important to note that the risk of loss or damage to the goods as well as any additional costs occurring after the time the goods have been delivered on board the vessel, is transferred to the buyer when the goods pass the ships rail in the port of shipment.

"Chock (to)"

To place pieces of dunnage in between pieces of cargo to prevent shifting of cargo during a sea voyage.
In the case of air cargo it means to put the requisite restraints at the wheels of the aircraft after coming to a halt. Hence the expression "chocks -on 14.00 hours " meaning in effect that the aircraft arrived at 2.00 pm.

"CIF"

Cost, Insurance and Freight ........(named port of destination) means that the seller must pay the costs and freight charges necessary to bring the goods to the named port of destination but with the addition that he has to procure marine insurance against the buyer's risk of loss or damage to the goods during the carriage.The buyer should note that under this term the seller is only required to obtain insurance on minimum coverage.

"CIP"

Carriage and Insurance paid to .......(named place) means that the seller pays the freight to the named destination but with the addition that he has to procure cargo insurance against the buyer's risk of loss or damage to the goods during the carriage.The buyer should note that the seller is only required to obtain insurance on minimum coverage.

"CLECAT"

Comite de Liaison Europeen des Commissionnaires et Auxiliaries de Transport du Marche Commun, - The European Liaison Committee of Common Market Forwarders based in Brussels.It represents 25 national federations of freight forwarders bringing together 25 000 companies and some 300, 000 employees.
Not to be confused with FIATA in Geneva(see FIATA) CLECAT is unique among such European groups in that it represents the multimodal interests of freight movements as distinct from other groups who tend to represent only one mode of transport.

“CMR”

'Conventional relative au contrat transport international des Marchandises per Route' -International convention on carriage of Goods by Road.Signed at Geneva in 1956 this convention governs the carriage of goods by road and has been adopted by most European nations. It applies to contracts for the international carriage of goods by road in vehicles over the territories of two different countries of which one at least is a contracting party to CMR. (Traffic between Ireland and the UK is the exception.) Therefore it only applies to RO /Ro or Channel Tunnel movements where goods remain on vehicles throughout.The carrier is entitled to limit his liability, under the convention, to SDR 8.33 per kilo.The carrier is also liable for delay if the goods have not been delivered within the agreed time limit or if there is no such agreement, within a reasonable time.

"Code-sharing"

An arrangement between two airlines to work together as one airline so that benefits such as one time check-in which enables passengers to complete all paperwork and ticketing for both legs of a two - airline flight. Collective freight initiatives are also possible with the programme and frequent - flyer programmes linkages are common.

“Combined Transport”

Combined transport is the term used to describe the utilisation of different modes of carriage. It normally embraces Intermodal, Multi-modal, Bi-modal and and ‘road - on - rail’ methods of transportation. Carriage by more than one mode of transport against one contract of carriage.A true combined transport movement starts at the Shipper's premises and ends at the Consignee's premises i.e. House to House or Door to Door.Combined Transport services are operated by a CTO (Combined Transport Operator).

"Community Authorisation"

A Community Authorisation is issued automatically with the grant of an International Road Freight Carrier's Licence. This authorisation permits the transport of goods between any of the EU Member States and to transit an EU country en route to deliver or pick up goods outside the European Union.

"Completely knocked down"

Cargo shipped in pieces and cased to be assembled at destination - normally vehicles of all descriptions. The abbreviation c.k.d. is a commonly used term.

“Conditions of Trading”

Conditions under which a company trades with customers.Normally in the Transport business conditions are printed on the reverse of Shippers Letters of Instruction and/or letter heading.Also referred to as "Conditions" they are printed on the reverse side of Airwaybills and Surface Waybills and Bills of Lading.

"Conference Rate"

A rate for freight set by a Conference that is subject to the standard terms and conditions of the particular liner conference.

"Consignment-Intermodal"

The International Union of Combined Road-Rail Transport Companies uses the term in reporting traffic carried.It is the equivalent of 2.3 teus. (20’ container equivalent).

“Consolidator-airfreight”

The consolidator is a freight forwarder specialised in the grouping together of a number of consignments and presenting them to the airline and forwarding them as one shipment.A freight forwarder can be both an IATA cargo agent and a consolidator.
Because the rate structure is such that the higher the weight the lower the rate ( per kilo) the consolidator can publish a tariff lower than the airlines' rates and make a profit. Certain types of commodities such as valuable cargo, live animals, diplomatic bags or human remains may not be included in a consolidation.By using ULDs freight costs can be further reduced by the consolidator.
The consolidation is forwarded on a Master Airwaybill (MAWB) and shipments comprising the consol. are covered by a freight forwarders House Waybill (HAWB).

"Container - aircraft"

Aircraft carry containers somewhat similar to the 20' boxes carried on surface transport.Here are some sample dimensions and capacities:
Descpt. Measurement Tare Wt.* Shape Notional Vol.
M'n Deck 8'WX20'LX8'H 1000Kg Rect'glr. 1174 cu ft
" " 8'Wx10'LX8'H 260Kg Rect'gr. 606 cu ft
*This is a tare weight allowance figure.
Because of the light construction of these containers true intermodal transport is not practical except for Air/Road combinations.

"Conventional Wagon-Multimodal"

Wagon with a fixed bogie of various types: side access ; including high capacity ( up to 66 tonnes payload ) and up to 22m in length.

“Container Vessel”

Ship specially designed to carry shipping containers.
The vessel consists of cells into which containers are guided by uprights.Capacity of current new-buildings are in excess of 6000 TEUs.

"Couriers"

See Domestic

See International

“CPT”

Carriage paid to ... (named place of destination) means that the seller pays the freight for the carriage of the goods to the named destination.The buyer should note that all risks for loss or damage to the goods transfer to him/her when goods are handed over into the custody of the carrier.

“CTD”

A document issued by a Combined Transport Operator(CTO) that covers the multimodal transport on a door-to-door basis in one contract of carriage. It is issued by a Carrier who contracts as a principal with the Merchant to effect a combined Transport and as such is liable to the Merchant throughout the carriage from end to end.

"Curtain sider"

Swap body or trailer with a sliding curtain along the length of the unit which allows free access from the sides with the curtains drawn back.

"Customs Clearance Agents"

For all consignments coming into or leaving the state from countries outside the EU customs formalities have to be attended to on behalf of the importer or exporter as the case may be.
A freight forwarder or customs clearance agent( who specialises in customs clearance only) may perform the task and raise an appropriate fee for carrying out the job.In some cases the agent also guarantees and advances the duties to Customs. Also referred to as Customs Brokers since" free circulation" of goods within Europe came into being on January 1st '93.

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D

"DAF"

Delivered at frontier ........(named place) means that the seller fulfills his obligation to deliver when the goods have been made available, cleared for export, at the named point and place at the frontier , but before the customs border of the adjoining country.It is of vital importance that the frontier in question be defined precisely by always naming the point and place in the term.

“DDP”

Delivered duty paid ..... (named place of destination) means that the seller fulfills his 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 risks and costs including duties ,taxes and other charges for delivering the goods to that point cleared for importation.If the seller is unable directly or indirectly to obtain an import licence(if required) the term should not be used. Whilst the EXW term represents the minium obligation for the seller DDP represents the maximum obligation.

“DDU”

Delivered duty unpaid ...........(named place of destination) means that the seller fulfills his 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 to that point but excludes duties and taxes.The seller however has to bear the risks and costs of carrying out clearance through customs although the buyer has to pay any additional costs incurred by delays in clearance caused by him.

“DES”

Delivered ex ship (named port of destination) means that the seller fulfills his obligation to deliver when the goods have been made available to the buyer on board the ship uncleared for import at the named port of destination.The seller bears all the risks and costs involved in bringing the goods to the named port.

“Detention”

Charge raised for detaining container/trailer at Customer’s premises for longer period than provided for in Tariff.

“DEQ”

Delivered ex quay(dutypaid)(named port of destination) means that the seller fulfills his obligation to deliver when he has made the goods available to the buyer on the quay at the named port of destination, cleared for importation. The seller has to bear all risks and costs including duties, taxes and other charges of delivering the goods to there. It should be noted here that if the parties wish to exclude from the seller's obligations some of the costs payable on importation( such as VAT) this should be made clear by adding words to this effect e.g.Delivered ex quay VAT unpaid (n. port of destination).

“Dead leg”

In air chartering the charterer will be charged on the basis of a round - trip.However the agent and carrier may try to fill the empty sector to avoid flying a "dead leg" (empty leg ).The charter price may then reflect a calculated risk on the part of the operator, depending on whether or not it is possible to find a return load to cover at least part of the cost.

“Delayed flights”

The definition of a delayed flight is "delayed by more than fifteen minutes". By summer '93 the figure was halved and by November '93 it was down to 7minutes. The average wait is now 15 minutes.

"Demurrage"

Amount of money payable for failing to load or discharge a vessel or aircraft in the time allowed in the charter party. In the case of containerised cargo it is also payable for delays to equipment such as containers caused by slow customs clearance for example.

“Direct shipment -air”

The IATA cargo agent acts in the capacity of an authorised representative of the IATA airlines when he delivers a direct ( non-consolidated) shipment to the airline.The Air Waybill in this instance is issued by the cargo agent with the names and addresses of the shipper and consignee. In the case of a consolidation the shipment is delivered by the consolidator acting in the capacity of a client of the airline.

"Documentary Credit"

The basis of international trade by means of which payment is made against surrender of specified documents. A letter addressed by a banker to an exporter( usually but not always) undertaking to make payment to him against documents relating to the dispatch of goods.The documents usually required are bill of lading or airwaybill , invoice and insurance document and if these are in order and shipment has been made in as specified in the credit, the bank will pay for the consignment in exchange for the documents. It is important that the details of the credit are in accordance with the contract of sale between the exporter and importer and letters of credit should be checked carefully when first received by the exporter to ensure that he can comply with its conditions .An international code of practise called the Uniform Customs and Practise for Documentary Credits protects all parties in a documentary credit.(See UCP 500)

"Domestic Couriers"

A courier is a person who is paid to deliver urgent messages. The ‘original of the species’ must have been the founder of United Parcel Service, Mr Tom Casey, when he started to deliver hot sandwiches to the business community around Seattle in 1903. The helmeted motorbike courier of many integrated carriers and parcel carriers is now part of everyday domestic business scene and his frenetic activity is controlled by sophisticated computer and communications systems. These systems co-ordinate pickups and deliveries so that the result is a highly effective service.

See Related - International Couriers

"Drawback"

Repayment of duty upon re-exportation of goods previously imported.

“Dwell time”

Is the time a consignment remains on the ground during transit using airfreight. An IATA study showed that air cargo shipments my spend up to 92% of their transportation time on the ground.

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E

"EATCHIP"

The European Air Traffic Control Harmonisation and Integration Programme's function is to get air traffic control and flow management organisations in Europe working and talking together.

"ECMT"

European Conference of Ministers of Transport based in Paris.

“EDISHIP”

An organisation for the exchange of data between carriers and shippers by electronic means.”

“EDIAI”

Electronic Data Interchange Association of Ireland - which was et up to bring about an awareness of EDI and its implications for Irish Business. It's awareness centre is located at 95 Haddington Road, Dublin 4 and is open to members and non-member. EDIAI- tel - 01 - 660 9532 and fax - 01 - 660 9828.

“Edifact”

EDI for Administration, Commerce and Transport - Organisation responsible to the United Nations Economic Commission for Europe for the development of standard EDI messages for Administration, Commerce and Transport.

“EDP”

Electronic Data Processing - Computer processing of data

“EFT”

Electronic Funds Transfer

“EHA”

Equipment Handover Agreement - an agreement acknowledging condition of equipment signed when taking over equipment from Carriers etc., and also on return of the equipment.It incorporates terms of contract under which equipment is taken over.

“Encryption”

The encoding and scrambling of data.Encryption is done for reasons of information privacy and security.

“EPOS"

Electronic Point of Sale - Cash register with the appropriate electronic set up.Enables the implementation of QR(Quick Response) systems in the retail business.

“Euro-pallet”

Size of pallet is 1200mm X 800mm. Height of pallet itself is approximately 185mm.
“ETA” - Estimated time of arrival of vessel, flight , truck or train.
“ETD “ - Estimated time of departure.

"Eurocontrol"

Based in Brussels Air Traffic Control fees are levied on airlines through it's agency but these are set by individual states. The EU Commission's report ( the Comite des Sages ) recommends the development of a single European air traffic management system as a separate legal entity.
"Export Credits Guarantee" Insurance on goods shipped against non-payment by reason of commercial and /or political risks as arranged.

"Export Licence"

A document issued by the Government authorising export of restricted goods.

"Ex Works"

Ex Works ...(named place) means that the seller fulfills his obligation to deliver when he has made the goods available to the buyer at his premises.He is not responsible under this term for loading the goods on the vehicle provided by the buyer or for clearing the goods through customs for export, unless otherwise agreed.

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F

“FAK”

System whereby freight is charged per container or unit, irrespective of the nature of the goods and not according to goods classification.

“FAS”

Free alongside ship.....(named port of shipment) means that the seller fulfills his obligation to deliver when the goods have been placed alongside the vessel on the quay or in lighters at the named port of shipment.The buyer has to bear all costs and risks of loss or damage to the goods from that moment.

"FCA"

Free Carrier ....(named place) means that the seller fulfills his obligation to deliver when he has handed over the goods cleared for export in the charge of the carrier named by the buyer at the named place.

"FIATA"

The abbreviated name of the International Federation of Freight Forwarders Associations -FIATA - is derived from the French Appelation "Federation Internationale des Associations de Transitaires et Assimiles".The term "Assimiles", indicates that membership is extended to related enterprises such as customs, ships or aircraft brokerage, warehousing, trucking, consolidation etc . all part of international transportation. It is a non-profit organisation of national forwarders' associations and individual forwarding firms throughout the world.
FIATA was founded in Vienna in 1926 to handle problems arising from the expansion of the international forwarding industry. Ordinary membership by National Associations now exceeds 80 members and there are in excess of 2000 associate memberships. The latter membership consists of individual forwarding firms in countries where no national association exists or other related enterprises such as port and airport authorities.
There are three technical Institutes in FIATA.These are the
Air Freight Institute - Multimodal Transport Institute - Customs and Facilitation Institute.
There are four advisory bodies under the authority of the Board and these cover - Legal questions - Public relations - Vocational Training and Dangerous Goods.
In conjunction with IATA the IATA-FIATA Air Cargo Training Programme has been developed into a highly successful training package(See IATA/FIATA) for the airfreight industry world-wide.
FIATA is to be found at Baumacker Strasse 24. PO Box CH- 8050 Zurich. Switzerland.
Tel - 00 41 1 3116511, Fax- 00 41 1 311904
FIATA's general assembly is convened every two years (1981 in Dublin) .

"FOB"

Free on board .....(named port of shipment) means that the seller fulfills his obligation to deliver when the goods have passed over the ship's rail at the named port of shipment.The buyer bears all costs and risk of loss or damage to goods from that point.

"Forwarding Agent"

Arranges the carriage of goods and the associated formalities on behalf of the shipper or the receiver. In some instances the Forwarding Agent may be the operator of the service used e.g. Driver accompanied Trailer service from the originating country to destination country.
(see also Freight Forwarder )

"Freight"

The amount payable for the carriage of goods.The word is also used to describe the goods themselves.

“Freighter”

Aircraft dedicated to the carriage of air cargo.
The following details are meant to give an idea of the cargo carrying capacity of modern freighter aircraft e.g. Boeing 757-200 F
Main deck - Fifteen - 88 x125 inch pallets @ 440 Cu.ft each(equivalent to nearly five TEU's and approx 65 tonnes weight)
Bulk Holds with almost 2000 Cu.ft capacity also.
Airbus A 340 - 300
Main deck - Eleven - 88 x 125 inch pallets(almost five TEU's) plus Bulk Hold with 425 cu ft.( nearly 50 tonnes payload).

“Freight Forwarder”

The original function of the forwarder, or spediteur, was to arrange for the carriage of his customers' good by contracting with various carriers. His responsibilities included advice on all documentation and customs requirements in the country of destination. His correspondent agent in far-away lands looked after his customers' interests and kept him informed about matters that would affect movement of goods.

In modern times the forwarder still carreis out those same responsibilities for his client. He still operates either with a corresponding agent overseas or with his own company branch-office. In many instances, the freight forwarder also acts as a carrier for part of a movement it can happen that in a single transaction the forwarder may be acting either as a carrier (principal) or as an agent for his customer.

The FIATA short-hand description of the freight forwarder as the 'Architect of Transport' illustrates clearly the commercial postition of the forwarder relative to his client. In Europe there are forwarders that specialise in 'niche' areas such as Railfreight and collection and deliveries around a large prot. The latter are called Hafen(port) Spediteure (Port Forwarders).

A forwarder in some countries may sometimes deal only with domestic traffic and never handle international traffic. (see also Forwarding Agent).

“Freight Ton”

The tonnage on which freight is charged -e.g. it could be based on the greater weight or measurement of goods where a freight ton is either 1000 kgs or 1 cubic metre. It might also have a conversion factor of 1000 kgs = 3 cubic metres.(see also W/M)”

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G

“GATT(World Trade Organisation)”

General Agreement on Tariffs and Trade - an international multilateral agreement embodying a code of practise for fair trading in international commerce.Based in Geneva. GATT concerns have now been taken over by the World Trade Organisation.

“Gateway”

A connection between two networks(VANS) which allows messages on one to be routed through to the other.

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H

“House Waybill”

The consolidator issues his own House Waybill (HWB) for each shipment and each customer receives a copy to identify his consignment.The House Waybills are forwarded with the consol. in a sealed envelope attached to the Master Waybill accompanied by a manifest itemising all the shipments by House Waybill number for identification purposes at destination. Cargo identification labels will show both Air Waybill numbers.

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I

"IATA"

The International Air Transport Association was founded in 1945. It is the successor to the International Air Traffic Association set up at the Hague at the dawn of regular air transport in 1919. It is a voluntary non-political industry association and it's aims are to promote safe, regular and economical air transport for the benefit of the peoples of the world, to foster air commerce and to study the problems connected therewith. It cooperates with the International Civil Aviation Organisation - ICAO in Montreal, Canada and other international organisations.

“IATA/FIATA Training”

The Cargo Training Programme, run by IATA in conjunction with FIATA (International Federation of Freight Forwarders Associations) has been in existence since 1977 and up to date in excess of 30,000 students have registered and over 8,000 have obtained diplomas through distance learning.
Contact The Irish International Freight Association. (see IIFA) for further details.

"ICAO"

The International Civil Aviation Organisation was founded in 1947 as a permanent body under the scope of the United Nations Organisation by the Chicago Convention on International Civil Aviation which was drawn up three years previously. It is composed of states generally members of the U.N.O.
It's aims and objectives are to develop the principles and techniques of international air navigation, and foster the planning and development of international air transport so as to:
ensure safe and orderly growth - encourage the arts of aircraft design and operation for peaceful purposes - encourage development of airways, airports and air navigation facilities - meet the needs of people for safe, regular, efficient and economical air transport - prevent economic waste caused by unreasonable competition - ensure the rights of contracting States are fully respected, avoid discrimination between contracting States and ensure that every contracting State has a fair opportunity to operate international airlines - promote safety of flights and development of all aspects of civilian aeronautics.
Headquarters are in Montreal, Canada with local offices in Paris, Dakar, Cairo, Bangkok, Lima and Mexico.

"IIFA"

The Irish International Freight Association was reconstituted in the early '70s with the the primary objective of promoting the interests of forwarding agents in the Republic of Ireland.The Institute represents its members with Government departments and other entities such as Port and Airport authorities, Shipping Lines and Airlines.
IIFA is a member of FIATA - the International Federation of Freight Forwarders (see FIATA).Contactable at Strand House, Strand Street, Malahide, Co. Dublin. Tel - 8331429 .

"Incoterms"

Incoterms provides a set of international rules for the interpretation of the most commonly used trade terms in foreign trade.When drawing up a contract the buyer and seller can be sure of defining their respective responsibilities, by specifically referring to one of the ICC Incoterms.
The International Chamber of Commerce first published a set of rules in 1936 and amendments and additions were later made in '53, '67,'76, '80, and '90 which incorporates the rules now in force.
The terms are grouped into four basically different categories ;-
Group E - Departure , Group F - Main carriage unpaid , Group C - Main carriage paid , Group D - Arrival.
Incoterms relate only to trade terms used in the contract of sale and do not deal with terms which may be used in the contract of carriage, although they may have similar wording.
(see EXW, FCA, FAS, FOB, CFR, CIF, CPT, CIP,DAF DES,DEQ,DDU,DDP.)
Incoterms 2000 is available from Chamber of Commerce, Clare Street, Dublin.

"International Air Cargo Association"

The Association includes top executives from major aircraft manufacturers, airlines, airports, shippers and freight forwarders from all parts of the world.It organises an annual International Air Cargo Forum and Exposition ('94 in Seattle September 13-16) and acts as a catalyst and the voice of the air logistics industry.
According to IACA 35-40% of the world's trade - by value - moves by air.

"International Couriers"

As an extension of the domestic courier, the international courier arranges the transfer of documents and packages across frontiers, using both airfreight and road transport. These services are sometimes referred to as ‘express parcels’ and in general the consignments are relatively light and consist of documents or packages.

International movements of documents by using an ‘on-board’ courier travelling with the envelopes developed rapidly because merchandise carried in this way avoided the delays and cut-off times imposed when the merchandise was booked as ‘cargo’. By being accompanied by a passenger (the courier) the goods went with the passenger and either as hand luggage or as Merchandise in Baggage (MIB) through customs at the passenger terminal, rather than the cargo shed. After immediate clearance through customs the goods are handed over by the courier to his local representative for delivery. After picking up a consignment of goods from the local representative, the courier retraces his steps and returns to his base.

The ‘on-board’ courier is somewhat rare these days and nowadays is only used to accompany cargo that is either extremely urgent ‘one-off’ type transactions or very valuable and needing a high degree of security in transit.

See Related - Domestic Couriers

“IRHA"

The Irish Road Haulage Association was established in 1973 to represent the interests of the Licenced Road Transport Industry in Ireland.It holds regular meetings with the Government Departments concerned with transport and also offers a number of benefits to it's members including a group insurance scheme for both motor and goods in transit risks, a disability and pension scheme designed for hauliers and a group VHI scheme. Address: Unit 12, CGI Building, Blanchardstown Industrial Park, Dublin 15.
Tel: 8224888.

“IRU”

The International Road Transport Union founded in Geneva in 1956 is a Union of Associations, Groups and Undertakings active in the Road Transport Industry. It has more than 100 members in over 50 countries and is divided into three main sections ; 1.Passenger transport - 2. Goods transport. - 3.Own account goods transport.

“ISO”

International Standardisation Organisation - a body which sets down standards in matters involved with international commerce e.g. Container dimensions .ISO has a worldwide membership of National Standards Bodies (NSAI in Ireland) and its address is:- ISO Central Secretariat, 1 rue de Varembe, PO Box 56, CH-1211 Geneva 20; tel - 0041-22/749 01 11. fax - 733 34 30.

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"Loading meter"

This is the term used to describe the space taken by freight utilising one meter's length and the full internal width and height of a trailer.

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“Master Air Waybill”

The Waybill (MWB) covering a consolidated shipment is a transportation document for the IATA airlines and is issued by the consolidator who is shown as the shipper and the break bulk agent is shown as the consignee.The consolidated shipment is delivered by the consolidator acting in the capacity of a client to the airline.

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"NAFTA"

North American Free Trade Agreement links the United States with Mexico and Canada somewhat similar to the EU.

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“Pallet- aircraft”

An aircraft pallet consists of a platform made of aluminium with a flat under surface and with standard dimensions used for assembling goods into unit loads.Cargo is covered with a net and the pallets are handled with roller-bed equipment on trailers and in terminals.They should not be handled the same as normal pallets, e.g. with fork-lifts because they are easily buckled and bent and cannot be used in such a condition. A pallet can be either 88" or 96" width and is usually 125" long. Depending on whether the pallet is being loaded on the lower deck(LD) or the main deck(MD) of an aircraft the height can vary e.g.
LD =64" high(max), MD =118", (see also container-aircraft)

"Part charter"

To charter an aircraft or vessel to carry a quantity of goods which represents only part of the cargo.

"Piggyback"

A Road trailer with fixed running gear, carried on a rail wagon.

“Pivot weight”

In assessing a rate for a unit load device(ULD) in airfreight rating, the total charges consist of a specified minimum charge or a rate per kilogram to arrive at a minimum charge plus a special rate per kilogram for the excess weight over and above the "pivot weight" - that is the maximum weight permitted at the minimum charge.

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“Rate structure -air cargo”

Airfreight rates are expressed as price per kilo(2.2lbs).The higher the weight the lower the rate per kilo.The rates are published in The Air Cargo Tarif(TACT) and are given in the selling currency of the airport of departure. There is a basic minimum charge per shipment .( designated in TACT by the letter "M").The Normal General Cargo Rate applies to consignments weighing up to 45Kgs(100Lbs) or 100 Kgs.(Letter "N")
and Quantity rate for over 45Kgs chargeable weight.(letter "Q") e.g. Dublin-Bucharest
M - 40.00, N - 3.16, Q - (45 Kg) 2.40
In addition to General Cargo Rates (GCR) there are specific commodity rates(SCR) and Class Rates.
The other main type of rates are ULD Charges (applicable to pallets and containers etc)(see Pivot weight)

"Reach stacker-multimodal"

Mobile high-powered truck with a telescopic lifting arm of up to 35 tonnes lifting capability for bottom lift of swap bodies.

“Road Freight Carrier’s Licence”

An International road freight carrier's licence comes with a Community Authorisation and a certified copy of the authorisation for each truck.These are issued for five years and cost £55 plus £180 per truck.
The requirements for getting a carrier's licence are
1. be of good repute 2. satisfy professional competence 3. be of appropriate financial standing.
For further information contact: Road Haulage Licensing Section, Road Haulage Division, Department of Public Enterprise, Frederick Building, South Frederick Street, Dublin 2. Tel - 01 - 670 7444.

"Rollende Landstrasse"

Also referred to as rolling motorway whereby a whole unit ( i.e.tractor and trailer ) drives on a rail wagon(s) - "Le Shuttle" employs this technique.

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“Semi-Trailer”

Also known as a "Trailer" - attached to an articulated vehicle with a "fifth-wheel" coupling.It can be a Tilt, Curtainsider, Rigid, Flat or Skeletal .When a flat trailer or skeletal trailer is used in Multimodal operation there is a derogation to 44 tonnes GVW in the United Kingdom.

“Skeletal trailers”

Trailer which does not have a platform but has twist locks and a frame capable of moving 40’ and 20’ ISO containers by road.

“Smart Card”

A credit card sized device which contains a tiny computer capable of holding the secret or private numbers relevant to an individual or organisation and necessary to provide security.

“Standard pallet” (metric pallet)

Size of standard pallet is 1200 mmx1000 mm .Height is 185 mm.

“SWIFT”

Society for Worldwide Interbank Financial Telecommunications -is now the service in place which processes interbank transactions automatically.This would include payment orders, fund transfers, foreign exchange confirmations, and collections. In May 1973, 239 banks from 15 countries created SWIFT and since then new members have joined the "co-operative" of international banks and today 2200 banks are members of SWIFT and around 4400 financial institutions use the network daily.

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“TACT”

The Air Cargo Tariff is a publication containing rules and official airline cargo tariffs and is issued on behalf of a number of air carriers.The Tariff is divided into three volumes viz.: Rules, Rates(North America Issue) and Rates (Worldwide Issue).The Rates books are issued every two months with effective dates Feb The Rules book is issued twice a year (April and October) with bulletins distributed as necessary.
Address:- The Air Cargo Tariff.PO Box 903. 2130 EA Hoopdorp.Holland.Tel - 00 31 2503 73504.

“Tilt”

Fabric covered trailer or swapbody.Essentially the tilt unit can be totally dismantled so as to allow access from all sides and the top if necessary.

“TIR -United States”

Trailer Interchange Receipt is used when equipment such as containers are trailers are handed over. It records the details of the equipment and including its condition and seal number at the time of the handover.(see also Handover Receipt)

“TIR-Europe”

Transport international routier (lit. international road transport) - A system involving the issue of a Carnet (lit.log book) to road hauliers which allows loaded vehicles to cross national frontiers with minimum Customs formalities.On departure the trailer is sealed by Customs and as the TIR Carnet is completed and stamped by Customs the contents are thereby guaranteed, obviating the requirement for checking by other Customs authorities at crossing points in transit to the country of final destination.The system is currently in force in all European countries and parts of the Middle East .The Customs Convention on the International Transport of Goods under cover of TIR Carnets was established in 1959(new Convention in 1975) under the auspices of the Inland Transport Committee of the UN Economic Commission for Europe.The International Road Union(see IRU) became guarantor of the system and working through it's national association in each country, it issues more than 600.000 carnets each year all of which must be returned to the IRU in Geneva for processing.

“Trem Card”

Transport Emergency Card used in the carriage of chemicals by road.The card must accompany the load at all times.They are prepared by CEFIC - the European Council of Chemical Manufacturers' Federations of Zurich according to regulations of the ADR.

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“UCP 500”

Uniform Customs and Practice for Documentary Credits is a code of practice issued by the International Chamber of Commerce. The latest revision is in effect since January 1st '94 and is entitled UCP 500.The marked increase in litigation connected with documentary credits and the fact that surveys indicated that up to 50% of documents are rejected when first presented to Banks led to the authorisation of the revision in November 1989 of UCP Publication No. 400 published in 1983.It was the first such revision for 10 years and it took into account international judicial decisions and technological innovations.First published in 1933, the new UCP 500 provides a comprehensive and practical working aid to bankers, lawyers, importers, exporters transport executives and everyone involved in international trade.
Available from the Dublin Chamber of Commerce in Clare Street.Dublin.

“ULD”

Unit Load Device - air freight term for devices such as aircraft containers and pallets used for assembling goods into unit loads.ULD rates apply to shipments loaded by the shipper on such ULDs and delivered by the shipper to the airline at the airport of departure.These rates only apply where the shipment is carried from airport of departure to destination entirely in an aircraft unit load device.(see pivot weight)

“Unit Load Devices - dimensions”

96 inch LD = lower deck pallet measuring 96"w X 125"long X 64" h
Volume 11.5 Cu.M.(405 cu ft) .Max Gross Wt. 5100 Kgs.
88 inch LD = lower deck pallet measuring 88"w X125"long X 64" h
Volume 10.2 Cu.M.(360 cu ft). Max Gross Wt. 4324 Kgs.

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“Volume-air”

The airlines set a density restriction on all weight rates and offer a volumetric allowance of 6000 cubic centimeters per kilo.This translates to an allowance of 6 Cubic Metres per 1000 Kilos.(366 cubic inches).
This is more liberal compared to the usual road freight allowance of 3cbm per 1000 Kg or indeed the deep sea allowance of 1cbm per 1000 kgs and is an important factor when comparing costs of different transport modes. The allowance mentioned here is the IATA allowance ;-consolidators and General Sales Agents may have different allowances. The cubic volume is established by applying the greatest length, width and height of the consignment or it's packages and if the average is more than 6000 cc per kilo then freight is charged on a volume basis.
( see chargeable weight)

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"Warehouse-bonded"

Pending completion of customs formalities for Import or Export goods may be held in a bonded warehouse until such time as any relevant taxes or duties are paid.A Bond holder gives the authorities the assurance that they will accept responsibility for the duty on any consignment lost while under their control.
Similarly, certain goods are manufactured under government control and are kept in bond on the local market or export. Duties will be assessed on these goods before they can leave the bonded warehouse.

“Warsaw Convention”

International air carriage is subject to the Warsaw Convention 1929 or the Amended Warsaw Convention 1955 and sets out the limit if liability of the carrier subject to certain conditions. The limit is 250 Poincare francs or SDR 17 per kilo.

"Waybill"

A document used in airfreight and surface freight for the transmission of all relevant shipment information along the transport chain.It contains all details regarding the consignment and charges connected with the transportation elements of the transaction. It is a receipt and evidence of a contract of carriage but it is not a document of title.
In sea transport there are advantages to using the Waybill instead of a Bill of Lading by virtue of the fact that there is no need to send a document of title to destination to secure delivery and the possibility of a requirement for a Letter of Indemnity arising is nil. The costs of producing a Bill of Lading is avoided and the waybill can be a paper document or an electronic message thus helping the use of paperless trading (electronic commerce).

“Weight Charges-air”

Charges are calculated by multiplying the applicable specific commodity rate, class rate or general cargo rate as published in TACT by the chargeable weight.

"Weight or Measure"

All transport modes "convert " space utilised by a consignment by different factors .Deadweight cargo by sea is cargo weighing one tonne and measuring one cubic meter (volume) or less. Road transport converts usually at 3 cubic meters per tonne and Airfreight allows 6 cubic meters of space per tonne.
Freight charges in each case are then calculated on the basis of whatever will bring the carriers the greatest return.

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“X.25”

The International Standard for electronic packet switching.

“X 400”

X 400 is a series of international standards for electronic mail which was first published in 1984 by the CCITT and ISO.The biggest advantage of X.400 is the open technology and ability to communicate regardless of the type of hardware to software components are running on. The X.400 standard has contributed to the connections between Electronic Networks (VANS).

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