Terms used in shipping such as Bill of Ladinq, Bunker Surcharge, BackHaul, Backfreight, Backhaul etc.
This post explains about terms used in shipping such as Awkward Cargo, Bill of Ladinq,BunkerSurcharge,BackHaul,Backfreight,Backhaul,Restricted,Revolving,Transferable etc. These terms used in international business are arranged in alphabetical order and you may add more information about terms used in export business at the end of this article, if you wish.
Terms used in shipping
Automated Trade Locator Assistance Network - "ATLAS is a Small Business Administration-sponsored, contractor-operated, automated system which provides market research information and statistics on world markets by SIC code (and possibly harmonized system). Indirect access is available for businesses"
Average to Laytime - As a voyage charterer, to offset the time used in loading cargo against that used in discharging for the purpose of calculating demurrage or despatch. If, for example, a charterer earns five days despatch at the loading port but there is a period of three days demurrage at the discharging port, the charterer has a net claim for two days despatch money.
Average:See insurance.
Avoirdupois Pound:Same as 0.4535924277 kilograms.
Awkward Cargo:Cargo of irregular size that can either be containerized (packed in container) or non-containerized (without equipment associated with) during transportation. It requires prior approval on a case-by-case basis before confirmation of booking.
AWWL;Always within Institute Warranties Limits (Insurance purpose).
Axle Load - Each freight shipping transport has a weight limit. The axle load refers to the weight limit permitted for each axle over the nation's highways.
Axle Load:Maximum load permitted to be carried on each axle of a motor vehicle.
B.N.A. - British North America.
B/B - [check Break Bulk Cargo]
B/D:Barrels per day (measure of petroleum production)
B/L - Bill of Ladinq - Document issued by a shipowner to a shipper of goods. It serves as a receipt for the goods, evidence of the contract of carriage and document of title. As a receipt it contains the description and quantity of the goods as well as suitable notations if the goods are not in apparent good condition when received by the ship. As evidence of the contract of carriage, the Bill of Lading contains the terms and conditions of the contract or, where the contract is represented by a Charter-Party, a reference to the Charter-Party As a document of title, the "to order" Bill of Lading is used by a third party to take delivery of the goods from a ship.
B/L:Abbreviation for "Bill of Lading."
B/N - Booking Note - Document containing the terms and conditions of a contract between a shipper and a shipping line for the carriage of goods on a particular ship between specified ports or places.
B/S - Bunker Surcharge - Extra charge applied by shipping lines, or set by liner conferences on behalf of their members, to reflect fluctuations in the cost of bunkers. This surcharge is expressed either as an amount per freight ton or as a percentage of the freight. Also referred to as bunker adjustment factor (BAF), or fuel oil surcharge (FOS), or fuel adjustment factor (FAF).
Back Haul - The second half of a carrier's round trip in which the freight shipping cost is less than the first half. The second half can be referred to as the back haul rate.
BACK HAUL :(1)Part or all of the return portion of a route over which a trailer or container has traveled (2) A deviation to move cargo on the return leg of a voyage for the purpose of minimizing ballast mileage and thereby reducing transportation costs.
Back to Back Charter - Contract between a charterer and a subcharterer whose terms and conditions are identical to the contract, known as the head charter, between the charterer and the shipowner. The purpose of agreeing identical terms is to ensure that any money for which the charterer may be liable to in the sub-charter, for example despatch money, is recoverable from the shipowner.
Backfreight - Freight payable to a shipowner for the carriage of goods back to the port of loading or to another convenient port when the vessel is unable to reach the port of destination because of an excepted peril or because the consignee fails to take delivery of The goods or provide instructions for their disposal.
BACKFREIGHT: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.
Backhaul carrier:carrier that picks up goods from a region they are not domiciled out of, but is consigned to the area in which goods are.
Backhaul: To haul a shipment back over part of a route which it has already traveled; a marine transportation carrier’s return movement of cargo, usually opposite from the direction of its primary cargo distribution.
Backhaul:A freight movement in a direction (or lane) of secondary importance or light demand. Backhauls are preferable to deadheads by transportation companies, since revenue is generated. In order to entice shippers to move goods in backhaul markets, carriers may offer lower rates.
Backhaul:To haul a shipment back over part of a route it has traveled.
BACKLETTER:Where a seller/shipper issues a ‘letter of indemnity’ in favor of the carrier in exchange for a clean bill of lading. May have only a limited value. Example: P & I problems.
Back-to-Back: A new letter of credit issued to another beneficiary on the strength of a primary credit. The second L/C uses the first L/C as collateral for the bank. Used in a three-party transaction.
· Clean: A letter of credit that requires the beneficiary to present only a draft or a receipt for specified funds before receiving payment.
· Confirmed: An L/C guaranteed by both the issuing and advising banks of payment so long as seller's documents are in order, and the L/C terms are met. Only applied to irrevocable L/C's. The confirming bank assumes the credit risk of the issuing bank.
· Deferred Payment: A letter of credit issued for the purchase and financing of merchandise, similar to acceptance-type letter of credit, except that it requires presentation of sight drafts payable on an installment basis.
· Irrevocable: An instrument that, once established, cannot be modified or cancelled without the agreement of all parties concerned.
· Non cumulative: A revolving letter of credit that prohibits the amount not used during the specific period from being available afterwards.
· Restricted: A condition within the letter of credit which restricts its negotiation to a named bank.
· Revocable: An instrument that can be modified or cancelled at any moment without notice to and agreement of the beneficiary, but customarily includes a clause in the credit to the effect that any draft negotiated by a bank prior to the receipt of a notice of revocation or amendment will be honored by the issuing bank. Rarely used since there is no protection for the seller.
· Revolving: An irrevocable letter issued for a specific amount; renews itself for the same amount over a given period.
· Straight: A letter of credit that contains a limited engagement clause which states that the issuing bank promises to pay the beneficiary upon presentation of the required documents at its counters or the counters of the named bank.
· Transferable: A letter of credit that allows the beneficiary to transfer in whole or in part to another beneficiary any amount which, in aggregate, of such transfers does not exceed the amount of the credit. Used by middlemen.
BADEA - Banque Arabe pour le Developpement Economique en Afrique
BAF (BUNKER ADJUSTMENT FACTOR):An adjustment in shipping charges to offset price fluctuations in the cost of bunker fuel. Also known as a Bunker Surcharge (B/S).
BAF :Bunker Adjustment Factor refers to floating part of sea freight charges which represents additions due to oil prices;
BAF:Abbreviation for "Bunker Adjustment Factor." Used to compensate steamship lines for fluctuating fuel costs. Sometimes called "Fuel Adjustment Factor" or FAF.
BAGGAGE - General License – BAGGAGE
The above details describes about terms called in shipping such as Awkward Cargo, Bill of Ladinq, Bunker Surcharge, BackHaul, Backfreight, Backhaul,Restricted, Revolving,Transferable etc These phrases may help importers and exporters on their day to day business activities. The readers can also add more information about terms used in shipping business below this post.Terms used in shipping such as ATDNSHINC,Australia Group,Automated Clearinghouse, Ausstellungs etc
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