The information provided here is part of Export Import Online Tutorial
Terms used in freight forwarding such as Hague Rules, Handling agent,Harmonized Code,Haulage,House Air Waybill,Hazardous Materia etc.
This post explains about terms used in freight forwarding such as Hague Rules, Handling agent,Harmonized Code,Haulage,House Air Waybill,Hazardous Materia, Harbor Maintenance Fee,House B/L 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 freight forwarding
Hague Rules- A code of rules, adopted under international convention in 1924, for the carriage of goods by sea. The rules specify the responsibilities,liabilities, rights and immunities of ocean carriers.
Hague-Visby Rules -The amended Hague rules, altered by the Brussels protocol of 1968.The amendments arose because it was considered that the original Hague rules were too advantageous to the ocean carrier. Australia’s Carriage of Goods by Sea Act embodies the international convention of the Hague-Visby Rules.
Hague-Visby Rules:Set of rules, published in 1968, amending the Hague Rules.
Hamburg Rules-The Hamburg Rules are a revision of the Hague-Visby Rules. They were established at a United Nations Conference in Hamburg in 1978, and have the effect of increasing the liability of ocean carriers. These rules have been surrounded by controversy, and have not yet been adopted by Australia.
HANDLING AGENT :An agent appointed by another company to handle freight in cities where that company is not represented. Handling can include local pick-up and delivery, cross-dock, warehousing, etc.
Handling Costs: The cost involved in moving, transferring, preparing, and otherwise handling inventory.
Harbor Maintenance Fee:Customs form CF349 is used by both exporters and importers to report, on a quarterly basis, all shipments which used a U. S. water port. A fee of .125% of the value of the shipments is collected and used to maintain U.S. harbors.
Harbor Master - An officer who attends to the berthing, etc., of ships in a harbor.
Harimonized System: Detailed numeric system used worldwide to classify freight.
Harmonized Code: An international classification system that assigns identification numbers to specific products. The coding system ensures that all parties in int'l trade use a consistent classification for the purposes of documentation, statistical control, and duty assessment.
Harmonized System of Codes (HS) - An international goods classification system for describing cargo in international trade under a single commodity-coding scheme. Developed under the auspices of the Customs Cooperations Council (CCC), an international Customs organization in Brussels, this code is a hierarchically structured product nomenclature containing approximately 5,000 headings and subheadings. It is organized into 99 chapters arranged in 22 sections. Sections encompass an industry (e.g., Section XI, Textiles and Textile Articles); chapters encompass the various materials and products of the industry (e.g., Chapter 50, Silk; Chapter 55, Manmade Staple Fibers; Chapter 57, Carpets). The basic code contains four-digit headings and six-digit subheadings. Many countries add digits for Customs tariff and statistical purposes. In the United States, duty rates will be the eight-digit level; statistical suffixes will be at the ten-digit level. The Harmonized System (HS) is the current U.S. tariff schedule (TSUSA) for imports and is the basis for the ten-digit Schedule B export code. Schedule B codes are needed to complete AES.
HARMONIZED SYSTEM:An international commodity classification system, developed under auspices of Customs Cooperation Council, adopted by the United States in 1989 and increasingly the most widely accepted import/export classification methodology. Replaces SCHEDULE B export codes and TARIFF SCHEDULE OF THE U.S. import codes.
HARMONIZED TARIFF SCHEDULE (HTS) - An international commodity classification system, developed under auspices of Customs Cooperation Council, adopted by the United States in 1989 and increasingly the most widely accepted import/export classification methodology. Replaces Schedule B export codes and Tariff Schedule of the U.S. import codes.
Haulage:The inland carriage of cargo or containers between named locations/points. Merchant inspired Carrier Haulage or customer nominated Carrier Haulage or shipper preferred Carrier Haulage service performed by a sub-contractor of the merchant. Carrier inspired Merchant Haulage means Haulage service performed by a sub-contractor of the Carrier.
Haulier:Road carrier.
HAWB- House Air Waybill ie. A Waybill issued by a Forwarder or Consolidator, as distinct from a Master Air Waybill issued by an airline.
HAWB: See AWB/MAWB. A document that covers each individual shipment in a consolidation (MAWB). It is issued by the consolidator and contains instructions to the agent breaking down the freight
HAZ MAT - An industry abbreviation for "Hazardous Material."
HAZARDOUS CARGO:Poses hazards to handlers or to other cargoes and, because of this, requires special handling. Often subject to regulatory control.
Hazardous Goods:Certain cargoes, as prescribed by the UN, such as explosive, radioactive, poisonous and flammable goods etc, which must be declared to the carrier before being loaded onto ships or aircraft. The penalties for mis-declaring or failing to declare hazardous or dangerous cargo are extremely high.
Hazardous Material: A substance or material, which the Department of Transportation has determined to be capable of posing a risk to health, safety, and property when stored or transported in commerce.
Hazmat Bill of Lading:The Research and Special Programs Administration (RSPA) of the Department of Transportation provides specific regulations for shipping papers documenting hazardous material shipments in the U.S. The Haznat Bill of Lading, usually based on a straight, non-negotiable Short Form Bill of Lading, includes areas to report the additional requirements of the RSPA.
HBL- See House Bill of Lading
HEALTH CERTIFICATE: A document signed by a veterinarian attesting to the good health of an animal tendered for shipment.
Heavy Lift - Single commodities too heavy to be lifted by the ship's regular equipment.
HEAVY LIFT ADDITIONAL :Extra charge applied by a liner conference of a shipping line on lifts exceeding a weight specified in its tariff, often five tons. Also referred to as a heavy lift surcharge.
Heavy Lift Charge - Extra Charge for cargo which needs extra or heavy equipment to load or unload, charge assessed for cargo over a certain length.
HH/Goods - Household goods.
HHGPE: Household Goods and Personal Effects
HIGH CUBE - Denoted HC or HQ. A 40' ocean container being 9'6" in height as opposed to the standard 40' container freight of 8'6". This container has 26.6% more space and the rates are generally higher at the same percentage.
High Cube- Literally ‘ High Cube Container’. A term used to denote an ocean shipping container that is taller, and therefore has a higher cubic capacity, than a standard shipping container.
HM - Hazardous Materials.
HMF - Harbor Maintenance Fee. This is a port user fee associated with all ocean import shipments and is collected to help maintain U.S. harbors.
Hot Shot: Direct delivery of time-sensitive freight.
HOUSE AIR WAYBILL - see Bill of Lading.
House Air Waybill (HAWB) - this air bill is issued by the forwarder and will typically show the supplier (ex: ABC Manufacturing) as the shipper and the import customer (ex: XYZ Company) as the consignee. This is the shipping agreement between the customer and the freight forwarder. The House bill covers just one shipping agreement and will still require an air carrier's master bill to move the freight.
House B/L:A bill of lading issued by a freight forwarder acting as a carrier. The terms and conditions of the contract may well be different to the terms and conditions contained on the shipping company's B/L, which can in extraordinary circumstances lead to legal complications should a dispute arise.
The above details describes about terms called in freight forwarding such as Hague Rules, Handling agent,Harmonized Code,Haulage,House Air Waybill,Hazardous Materia, Harbor Maintenance Fee,House B/L 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 freight forwarding trade below this post.
Terms used in freight forwarding such as as general average, general cargo,general order,groupage
The above information is a part of Import Export Training online
Related posts about free online training on import and export business:
How to export your product?
Click here to know HS code of your product
What is the ITC code (Indian Tariff Code) of your product?
12 Major risks and solutions in Imports and Exports
Disadvantages of Letter of credit (LC) for Exporter
Foreign Trade Agreements of India
Mode of payments in international trade
Packing credit loan to Indian Exporters
EDI and on EDI ports, separate application to DGFT
How to get duplicate copies of Export Import Authorization
Procedure for import of Vanaspati, Bakery etc to India
Preferential Trade Agreements in India
What is LC Letter of Credit in export import business
What is legalization of documents by embassy?
What is LET EXPORT order in export trade?
How to book empty container for factory/CFS/ICD/port stuffing
How to calculate CBM in LCL export shipments
How to calculate chargeable weight under airfreight in exports?
How to check the time of contract on high sea sale transaction
How to Choose a product for export business
How to cover the risk of Cargo loss or damage