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Glossary of shipping terms

Affreightment

Ship rental. Contract of freightment: freight contract, contract stipulated between a freight forwarder and a shipping company for the transport of goods

AR – All risks

Full risk insurance coverage. This policy, increasingly used in the world of international transport and shipping, revolutionizes the normal concept of insurance, completely overturning it: in traditional policies the companies list the events and damages covered by the various guarantees, in All Risk policies the opposite happens, they are coverage exclusions listed.

ARES

Shippers' liability insurance policy. It does not concern all the responsibilities incumbent on shippers, but only professional errors and omissions.

Average bond

Compromissory act with which the owner of the goods, committing himself to the payment of the general average contribution, obtains free availability of the goods from the maritime carrier.

AWB

AWB, Air Way Bill, is the document accompanying the goods for air transport and which corresponds to DDT transported by road. This letter is issued for goods loaded either on aircraft dedicated exclusively to cargo loading (all-cargo or Freighters) and within the holds of aircraft carrying passengers. The consignment note, whose numbering code is standardized in 3 + 8 digits (the first 3 representing the code of the airline that issues it and the following a unique number) must contain the following information:

  • Name and domicile of the carrier (carrier)
  • name and address of the sender (shipper or forwarder)
  • Place of destination and, if nominative, name and domicile of the recipient
  • Nature and quality of the goods (if loose or in packages), of the packaging
  • Brands and numbers
  • Weight, dimensions and volume
  • The state of the packaging
  • The place and date of loading,
  • Freight: freight prepaid (prepaid) or freight collect (payable at destination)
  • Declared value for transport purposes
  • Value declared for customs purposes
  • Declaration of value for insurance purposes (optional)
  • Notify (person or company to be informed upon arrival of the shipment at destination)
  • the price of the goods and the amount of expenses (if transport is made against check)
  • any declared value;
  • the documents delivered to the carrier accompanying the goods,
  • the duration of transportation and the route to be taken;
  • the indication if it concerns dangerous goods as well as all specific indications of the danger itself.

Back freight

Cost due for transport from the place of destination of the goods to the place of embarkation as a result of rejection by the health authorities. It can be attributed to the shipper and/or sender if it is not attributable to the responsibility of the carrier.

Bad stowage

Stowage operation not carried out correctly in relation to the different types of packaging, weight and dimensions. In such circumstances, normal travel stresses can cause the deterioration of part of the load, especially if heterogeneous.

Bond

bond, voucher, bond/customs warehouse, guarantee. Advance payment bond refund guarantee or advance refund guarantee. Bid bond/tender bond offer guarantee. Ex/out bond cleared through customs, released. In/under bondin warehouse/under customs bond.Performance bond contractual guarantee of good execution.

Booking

It is the request to the shipping company for a reservation on a ship. Can be requested by the forwarder or the shipper and contains ship name, date, port of departure, port of destination, goods description.

Booking note

Confirm reserve space on a ship.

Bulk

Term used in contrast to unitized transport to classify goods based on load conditioning. It generally indicates all goods loaded as bulk, but is usually accompanied by a subclassification into solid bulk and liquid bulk, which specifies their characteristics.

Bulk cargoes code – BC Code

IMO regulations for the maritime transport of dry bulk cargoes.

Bulk carrier – BC

Ships for the transport of dry bulk cargo.

Bulk carriers

Unlike cargo ships, they have holds designed exclusively for the transport of dry cargo such as wheat, rice, etc. Ships used for the transport of minerals also belong to this category.

Bunker

Fuel. The bunker tank is the tank on board ships where fuel is stored.

Cabotage

Transportation within the national borders of a Country.

Cabotaggio

Transportation from one point to another within national borders.

Cargo

load. Cargo manifest on-board/loading manifest.

Carriage forward

Agreement according to which the transport costs are borne by the recipient.

Carriage paid

Agreement according to which transport costs are borne by the sender.

Cash against documents (CAD)

Payment for the goods upon delivery of the documents representing the goods.

Cash on delivery (COD)

Payment for goods on delivery.

Classic crane

Traditional lifting crane in which the load is suspended from a cable via an arm.

Classification clause

Every insurance contract concerning the shipment of goods by sea expressly refers to this clause. An essential prerequisite for the validity of the insurance service is compliance with the provisions contained therein or the use of a vessel registered in one of the classification registers such as Lloyd's Register, Registro Italiano (R.I.NA.), etc.

Clean on board

Term used in transport documents, mainly in ocean bills of lading, to confirm the integrity of the goods loaded.

Collect freight

Freight payable at destination.

Combined Bill of Lading – CBL – HBL – TBL

Combined Bill of Lading – CBL – HBL - TBL

Combined transport operator – CTO

Combined transport operator – CTO

Container

Term that has become widely used, which identifies a metal structure capable of receiving the most varied types of goods inside it with the aim of reducing load handling times for loading and unloading and offering greater safety for the goods during the entire course of the shipment. voyage. The Institute of Standardization Organization (ISO) has established four main sizes (10, 20, 30 and 40 feet) which differ in length. There are various types of containers: air, sea, land, large and very large capacity.

Containers shipping Lo/Lo – Containers shipping Ro/Ro

A ship designed to optimize the space reserved for containers. It can also have space for break bulk cargo or road vehicles.

Corner fitting

Blocks to secure the cargo unit on the ship or vehicle transporting it. The corner blocks represent balanced attachment points for handling by crane, and also points of application of all the forces normally active on the container during storage, handling and transport. They must be firmly fixed to the structure and with well-defined measurements in length and width.

Customs

Customs

Customs broker

Customs broker

Customs clearance

Customs clearance

Customs duties

Customs duties

Customs invoice

Customs invoice

Customs regime

Term indicating the outcome of the goods. The types are: Release for free circulation, Customs warehouse transit, Inward processing, Processing under customs control, Temporary admission, Outward processing, Export.

Customs tariff

Customs tariff

Customs wharehouse

Customs wharehouse

Delivery order

It is issued by the carrier to the receiver, bearer of the bill of lading, so that he can collect the goods. This document does not have the nature of a credit document, but of a mere legitimation document. Its release does not implement the transfer of the availability of the goods to the receiver and therefore the unloading company continues to hold it on behalf of the carrier until the receiver obtains material possession of it.

Door to door

Organization of transport from origin to destination (door to door).

Door to pier

Container transport service from door to dock in the port of destination.

Droits de tirage special

Virtual money created by the International Monetary Fund in order to calculate the value of carrier responsibility.

Dry bulk containers

Dry bulk containers have different type of openings on the side or on the bottom wall in order to ease the process of loading and unloading.

Dry bulk)

They are solid bulk cargoes. Very different loads are included: iron, zinc, bauxite, scrap, grains, sugar, coal, sand, fertilizers, phosphates, chips, etc. Loading generally occurs with pumps, lifting belts, bucket lifts, etc

Endorsement

Appeared on the bill of lading and on the insurance certificate, it gives legitimacy to the holder of the document, to collect the goods and to claim any damage occurred during the journey. Blank endorsement

ETA

Expected time arrival

ETD

Expected time departure

FCR – Fiata forwarder certificate of receipt

Certificate of acceptance of the goods by the forwarder.

FCT – Fiata forwarder certificate of transport

Transport document issued by the shipper.

Feeder

Small tonnage container ships, or traffic redistribution ports.

Ferry boat – Roll on/Roll off

Ship built with criteria that make it possible to embark and disembark self-propelled vehicles as well as semi-trailers or railway trolleys to be removed with road tractors.

FEU – Forty equivalent unit

Unit of measurement of containers equivalent to 40 feet (12.20 m).

Flag

Distinguishes the nationality of the ship; it is hoisted at the stern during day navigation. Ships must fly the flag of a single nation in order to make known to the international community which state has jurisdiction over them. As a consequence of this obligation, "Non-Nationality" ships are ships not lawfully registered in any State and, consequently, are under the jurisdiction of all States.

Flat rack containers

A flat rack container has removable side walls and is usually utilized to forward out of gauge material. They are used for bulky loads that may exceed the shape of the container.

Free in-Free out/Free in and out

Free entry and exit costs from the hold.

Freight to be paid in any case

It is the agreed expense for transportation, not advanced to the shipowner, but due to him even if the ship perishes during the voyage.

FWR – Fiata warehouse receipt

Receipt for collection of goods in the warehouse.

Gas carriers

Used for the transport of gas (propane, butane, methane, etc.) liquefied at room temperature, made liquid by compression; or if, by cooling, at atmospheric pressure.

General cargo ship

Thus defined because its use is aimed at the transport of goods in general.

Goods in bulk

In commercial use it is goods shipped without packaging or not placed in containers.

Gross registered tonnage

Measure of the volumes of spaces in a ship, including those not used for securing the load. It is performed by the Naval Register that issues the registration certificate. It is performed by the Naval Register that issues the registration certificate.

Gross weight

Gross weight

Handling

Set of operations and services auxiliary to freight transport relating to the movement of goods; loading and unloading goods are always part of this category.

Harbour

Harbour

Harbour dues

Harbour dues

Hold

Space of the vessel used to receive the cargo to be transported.

Hull

An insurance term that defines the set consisting of hull, equipment and appliances of a ship.

Hull & Machinery

An insurance term that refers to the hull of the ship, as well as to the engine or auxiliary machinery and all other parts.

Institute cargo clauses – ICC

English clauses for the insurance of goods issued by the ILU.

Institute cargo clauses (A) – ICC (A)

English clauses for the insurance of goods transported under "All risks" conditions.

Institute strikes clause – ISC

English clause for the insurance of the risks of strikes, riots and civil disturbances.

Institute strikes clauses (cargo) – ISCC

English clauses for the insurance of the risk of strikes and similar on transported goods.

Institute strikes riots civil commotions clause – ISRCCC

English clauses for the insurance of the risks of strikes, riots, civil disturbances on transported goods.

Institute time clauses hulls – ITCH

Clauses for ship's Body & Machinery insurance.

Institute war clause – IWC

English clause for war risk insurance.

Institute warranties – IW

English clause on sea areas prohibited to ships, concerning H&M policies, due to the seasonal presence of ice.

Insulated containers

This type of containers have insulated walls to reduce the gap of temperatures between outside and inside environment.

Istitute of London Underwriters – ILU

It brought together 46 English and foreign insurance companies specializing in the transport sector, dissolved on 31.12.98 to join the IUA.

Large capacity container

Container compliant with ISO standards in terms of length and width, but with an abnormal height (9'6″, i.e. 2.9 m. instead of 8′, i.e. 2.44 m.). Only the 40′ (12.20 m) type is taken into consideration.

Lash carriers

Carriers that have their own equipment allowing the loading and unloading of barges without the mooring quay.

Lashing

The operation that, with the use of special cables, permits the displacement of voluminous and heavy loads.

Layday and demurrages

Layday is the period of time during which the ship remains available to the loader (or receiver) in the loading ports (or unloading ports) to carry out the loading (or disembarking) operations of the goods. Layday are provided for in the contract (trip rental) and are compensated by freight. The demurrage constitutes additional time to allow the completion of the goods loading (or unloading) operations. For the further waiting, the shipper (or receiver) must pay the carrier an additional compensation for this additional service, which is not compensated for in the transport freight.

LCL – “Less than Container Loaded”

Container used by multiple subjects both at departure and upon arrival. A typical case is groupage, where the batch of goods is not the cntr but individual packages, pallets, cartons etc.

Less container loaded/less container loaded

With this term it is agreed that the stowage operations of the goods in the container and the emptying at destination will be carried out by the carrier and this concerns only the maritime journey. Preliminary and subsequent land transport is carried out conventionally.

Liner

Regular maritime transport for container and general cargo traffic.

Liner terms

Freight conditions which attribute the costs of loading and unloading the goods to the carrier, according to the customs of the port in which the loading or unloading operation is carried out.

Liners

They differ from the so-called flying ships due to their use in regular scheduled service, with pre-established and advertised itineraries, ports of call and timetables.

Liquid bulk

These are liquid bulk cargoes whose loading takes place via pumps. For example, they include: petroleum and derivatives, bulk liquid chemicals, vegetable oils, molasses, wine, caustic soda in solution, fertilizers in solution.

Lo-Lo – Lift on/Lift off

Loading and disembarking of intermodal transport units by vertical movement with a lifting system.

Loading dock

Loading dock.

Log book

The log books are usually books that have to be necessarily kept on board the ship and on which are shown chronologically, the inventory of existing objects, revenues and expenses, the route followed, meteorological observations and extraordinary events that have occurred.

Lump sum

Flat rate amount.

Mulex

Large bulk bag for small batches.

Net

net, net-net express weight without packaging

Net registered tonnage

Measure of the volumes of spaces in a ship for securing the loads. It is performed by the Naval Register that issues the registration certificate.

Net weight

Net weight

Non-vessel operating common carrier – NVOCC

Maritime contractual carrier that does not manage ships: it is in contrast with the Ocean common carrier - OCC - Actual ocean carrier.

On deck loading

If the goods are loaded on deck (not in the hold), the policyholder or the insured must notify the insurer for the purposes of evaluating the risk. However, if the circumstance is not known at the time of stipulation of the contract or at the time of delivery of the bill of lading, the insurance is provided under limited conditions, i.e. only against navigational accidents, except in the case of shipment by ship. ferry or in a container embarked on a specially equipped vessel.

Open hatch gantry crane – OHGC

Open hold ships equipped with overhead cranes.

Open top containers

Unlike what happens with traditional container, the goods are protected by tarpaulin fixed to the walls. Goods are loaded from the top, utilzed usually for heavy loads.

Ore/Oil carriers – Ore/Bulk/Oil carriers

Used for the transport of cargoes of high specific weight (minerals) and petroleum products, or liquid or dry cargoes of relatively low specific weight, but which saturate the capacity of the ship.

Overhead crane

Crane that allows you to move the load according to three dimensions (height, length, width) by moving in its own seat or on rails or tyres.

Packing list

Packing list; list indicating the contents of a container; loading list.

Perils of the sea

This defines every harmful consequence deriving from navigational accidents, excluding however the normal action of wind and waves.

Pier

Quay, abseil, pier.

Quay

Pier, quay.

Quick work – Bottom

Parts of a ship's hull located below the waterline.

Refrigerated carriers

Used for the transport of foodstuffs (meat, fruit, vegetables, etc., fresh or frozen) which must be stored at different low temperatures. They are equipped with thermally insulated hold walls and equipped with a refrigeration system.

Refrigerating containers

Containers provided with fixed or removable refrigerating equipment, powerd by the electric generator coupled to a diesel engine.

Refrigerating containers

Containers provided with fixed or removable refrigerating equipment, powerd by the electric generator coupled to a diesel engine.

Rider trolley

Mobile gantry crane on tires that lifts, moves or stacks a container.

Said to contain – STC

Clause inserted on the BL by the maritime carrier when loading FCL full container load containers.

Sea way bill

Non-negotiable sea transport document..

Ship owner

Person or company established and legally recognized which manages and uses one or more ships for the transport of things, people or both: it takes care of their supply, the composition of the crew and the assignment to the captain.

Ship owner

Person or entity that is entitled to the management of one or more ship to transport goods or persons.

Ship use contracts: leasing, rental, transport.

Ship use contracts are the means through which shipping companies carry out their activity and are governed by the Navigation Code (articles 376/456) which provides for the following classification. Lease: With the lease which concerns the relationship between the owner and the owner of the ship, one of the parties undertakes towards the other to let them use the ship for a certain period of time, upon payment of a fee. This contract has the effect of transferring ownership of the ship from the lessor to the lessee, who assumes the role of shipowner and in this capacity has the crew under his control. Rental: With rental contracts the ship can be used on a time or voyage basis or on the basis of a tonnage agreement depending on the different degrees of control that you wish to exercise over the ship and the distribution of risks and costs that you intend to implement . In time chartering, the charterer (shipowner) assumes the obligation to have his ship complete the voyages that will be ordered by the charterer, within a certain period of time, according to the use envisaged by the contract and customs. In this type of rental which is time charter, the freight is paid in fortnightly or monthly instalments, paid in advance for the established period. In voyage charter, the freight is paid with reference to the voyage, with particular regard to the tons of cargo transported and not in relation to the time. Payment is usually made at the end of the loading operations. Documents of time and voyage charter contracts are called charter parties. Transport: transport in the technical sense occurs when the carrier uses the ship to transport goods on behalf of the shipper. The Navigation Code distinguishes two types of transport: the transport of a total load (voyage charter) and the transport of specific items. These two contract hypotheses concern the relationships between carrier and shipper, i.e. the commercial activity. The Navigation Code regulates the transport of people in a separate section.

Shipped on deck at shipper’s risk

shipped on the deck of the ship with risks borne by the shipper.

Shipper

Natural or legal person who stipulates the transport contract with the carrier.

Shipper

Shipper, shipper.

Shipper declaration for transport of dangerous goods – SDT

Declaration issued by the shipper for the transport of dangerous goods, prepared by FIATA.

Shipping agent

Shipping agent/freight forwarder (as applicable).

Shipping company

Shipping company

Shipyard

Shipyard.

Short sea shipping (SSS)

Short sea shipping (SSS) Expresses the movement of goods and passengers by sea between national ports, between ports located in geographical Europe or between the latter and ports located in non-European countries with a coastline on seas closed to the borders of Europe.

Shut out – Left out – Short shipping

A not very rare eventuality, generally due to an error in the evaluation of the space available in the ship's hold which prevents the embarkation of part of the goods for which a regular bill of lading has been issued. The phrase is also used to refer to goods missing from their packaging, as there is no space to contain them.

Slot

Cell of a ship designed for loading containers, swap bodies, semi-trailers.

Spreader

Equipment that connects the cables of a crane with a container.

Stowage

Operation of placing goods in the hold of the ship or on any other means of transport, to be carried out with due diligence, taking into account the type of packaging, the weight of the packages, etc., as well as the normal stresses during the journey.

Tank containers

Cylindrical tanks fixed to a metal structure having the external dimensions of a container.

Tanker

Tanker for the transportation of liquid bulk cargo.

Tankers

Ships that transport liquid cargo (oil and its derivatives, wine, water and so on). The tanks, in almost all cases, have walls glazed the ensure greater protection for the product and facilitate the washing operations.

Terms

Clauses, conditions, terms. C-terms clauses with main freight paid. E-terms clauses with outbound delivery. D-terms clauses with delivery on arrival. F-terms clauses with main freight unpaid

TEU – Twenty foot equivalent unit

It represents the standard measurement of volume in container transport. Most containers are 20 or 40 feet long: a 20 foot container therefore corresponds to 1 TEU, a 40 foot container corresponds to 2 TEU.

THC (Terminal handling charges)

Costs for grounding and handling of containers stowed on the ship.

Through bill of lading

Maritime multimodal transport document.

Through bill of lading

Maritime transport contract with which the carrier assumes the burden of carrying out, by another means, the land journey to the final destination.

Transhipment

The process by which the goods are transferd from the ship or other means for the transport, on the ground or other vessel or other means of transport to enable it to reach the place of final destination

Transhipment

The operation with which the goods are transferred from the ship or other means of transport, to land or to another ship or other means of transport in order to allow them to reach the final destination. Transshipment may occur if it has been provided for in the transport contract as well as following an event that does not allow the continuation of the voyage or due to the unquestionable decision of the shipowner.

Transroulage

Combined land/sea transport.

Trumps

Ships that do not operate regular scheduled services, but call at ports where there is the possibility of loading goods or concluding a rental contract.

Twistlock

Locking pin of a loading unit (e.g. container) to lock it to the vessel or the transport vehicle.

Upper work

Parts of a ship's hull located above the waterline.

Very large capacity containers

Container not ISO standardized either in length or width. Its variable dimensions can reach 45′ (13.72 m.) or 48′ (14.64 m.) or 53′ (16.10 m.) in length.

Very large crude carrier – VLCC

This term indicates a type of oil tanker (defined as a supertanker) whose deadweight capacity is between 150,000 and 320,000 tons. In practice, in terms of size and load capacity, VLCCs are immediately ahead of the even larger ULCCs (mega tankers). Given their size, these ships cannot transit either the Suez or Panama Canal.

Warehouse

Deposit. Bonded warehouse Where goods are temporary stored (e.g. goods in transit). Customs warehouse Where goods are stored before clearing. Delivery wharehouse delivery warehouse abroad. General wharehouse general warehouse. Sale-or-return warehouse warehouse on consignment

Warehousing

Warehousing, or storage, involves the design and management of logistics infrastructure, plants and other equipment used for the collection, storage and movement of goods.  

Warrant

Warrant. Dock warrant certificato di deposito. Warehouse warrant fede di deposito (doganale).