Essential Shipping Terms: A Comprehensive Glossary
This glossary defines common shipping terms used in the international logistics and freight industry.
O/F (Ocean Freight)
The international shipping term used in the ocean freight industry means that the carrier is NOT responsible for the cost of loading and unloading goods onto/from the vessel.
RT (Revenue Ton)
A ton on which the shipment is freighted. If cargo is rated as weight or measure (W/M), whichever produces the highest revenue will be considered the revenue ton. Weights are based on metric
Commercial Road Transport: Company Operations & Contracts
Commercial Road Transport: Company Operations
Transport Company:
- Owns a vehicle fleet.
- The traffic department manages the main activity. Workers are organized.
- Depending on the market, export/return journey traffic, language, etc. are considered.
- It can “sell” freight that it cannot carry with its own vehicle fleet.
Commercialization of Road Transport: Auxiliary Activities
Transport Operator:
- Warehouse owner/Distributor: Keeps goods in its warehouse and performs activities of manipulation and order preparation.
International Trade: Payment Methods & Documents
International Payment Terms
- Cash in Advance: The exporter requests money from the customer before any shipment of goods takes place.
- Open Account: The exporter sends an invoice to the importer with the shipment and trusts the customer will pay.
- Letter of Credit (LC): Issued by a bank at the request of the importer, stating that the bank will pay money to a beneficiary (normally the exporter) upon presentation of specific documents. This involves trusting a third party.
- Documentary Collection: The exporter
International Trade Documents: Key Functions
Key Documents in International Trade
Banking Documents
- Banking Documents: Used for paying and getting paid.
- Bill of Exchange: The exporter completes a form instructing their bank to prepare a draft and send it to the importer’s bank.
- Cash in Advance: The importer sends a check or deposits funds into the exporter’s bank account.
- Letter of Credit: Must be completed by the importer and given to the opening bank.
Transportation Documents
- Transportation Documents: Used to keep track of merchandise.
- Packing List:
Car Parts and Actions
Vehicle Types
- Saloon: A car with four doors and a separate area for luggage.
- Limousine: A very long, large, expensive, comfortable car.
- Family Car: (C.familiar)
- Four-wheel Drive (4×4): A strong car for traveling over rough ground.
- Van: A car for transporting things.
- Sport Car: A low, fast car, usually for 2 people.
- Convertible: A car with a roof that can be opened.
Interior Car Parts
- Steering Wheel: (Volante)
- Ignition Key: (Llave)
- Air Vent: (RanuraVenti)
- Gear Level: (PalanCambio)
- Pedals: (Pedales)
- Safety Belt:
International Shipping and Logistics: Modes, Packaging, Insurance
International Ocean Transport
Types of merchant ships:
- Wet-bulk (liquid) cargoes: Liquid cargo that is loaded directly into the hold.
- Dry bulk cargoes: Although dry, the cargo exhibits the properties of a liquid, in that it takes the shape of the hold.
- Other dry cargo: Shipped in bulk or unitized (shipped in units that are unloaded once at a time, such as boxes, crates, or containers).
Ships are categorized partly by cargo capacity, weight, and partly by dimensions.
International Air Transport
Growth is
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