Logistics Glossary

F

FAIR WORK COMMISSION
Created under the Fair Work Act 2009 as Australia's national workplace relations tribunal.

FAF
Fuel Adjustment Factor. See Bunker Adjustment Factor for more information.

FAIRWAY DUES
Fairway Dues are a two part charge on cargo and vessel gross tonnage collected by the Swedish and Finnish governments to cover costs incurred in the construction, maintenance and care of public fairways used for navigation, and safety devices required by waterborne traffic, and from assistance provided by icebreakers.

FAK (Freight all Kinds)
A term used in sea and air freight business.
1. FAK Rate: A flat rate per container, or per unit of weight/measurement, regardless of the type of cargo.
2. FAK Container: A groupage or consolidated container, containing an assembly of compatible cargo belonging to different parties.

FANTAINER
A container with inbuilt forced ventilation fans.

FAS
Free Alongside Ship. Incoterm which means that the seller fulfils his obligation when the goods have been placed alongside the ship on the wharf or in lighters at the named port of shipment.

FAV
First Available Vessel.

FBL
1. A FIATA form - (negotiable FIATA Multimodal Transport Bill of Lading).
2. Also used generally to denote a Forwarder's Bill of Lading (see House Bill of Lading).

FC and S
Free of Capture and Seizure, i.e. excluding war risks.

FCA
Free Carrier (INCOTERM).

FCL
Full Container Load. The shipper packs the container and utilises the space exclusively for his own cargo and presents the container to the carrier. It is not necessary for all the space to be utilised; that is the shipper's option.

FCL/FCL
Full Container Load/ Full Container Load. Also called House/House movement. A term used to describe a delivery whereby a container is packed by the exporter or forwarder and unpacked by the consignee. The shipping line receives and delivers the cargo as a sealed container unit.

FCR
Forwarders Certificate of Receipt (an FIATA form).

FCT
Forwarders Certificate of Transport (an FIATA form).

FCX
An ABF term referring to full container loads with multiple bill of lading destined for the one unpack address. For Department of Agriculture and Water Resources purposes this is the same as FCL.

FEEDER SHIP
A vessel employed in short sea trades to carry cargo between main ports and smaller ports where deep-sea ships do not call. Feeder ships usually operate from larger hub ports such as Singapore.

FEU
Forty Foot Equivalent Unit. The acronym of the measurement unit used to describe the space occupied by a 40ft container in a container vessel.

FFA
Forward Freight Agreement. Freight derivatives providing a means of hedging exposure to freight market risk through the trading of specified time charter and voyage rates for forward positions. Settlement is effected against a relevant route assessment, usually one published by the Baltic Exchange.

FFI
FIATA Forwarding Instructions (a FIATA form).

FHL
An IATA term (Consolidation List Message) - A standard CargoIMP message identifier used to provide a Check-list of House Waybills (HAWB's) associated with a Master Air Waybill (MAWB).

FIATA
(English) International Federation of Freight Forwarders Associations. A Switzerland based organization that represents the interests of freight forwarders worldwide.

FIATA FORMS
The current list of standard FIATA forms comprises:
· FIATA FCR (Forwarders Certificate of Receipt).
· FIATA FCT (Forwarders Certificate of Transport).
· FWR (FIATA Warehouse Receipt).
· FBL (negotiable FIATA Multimodal Transport Bill of Lading).
· FWB (non-negotiable FIATA Multimodal Transport Waybill).
· FIATA SDT (Shippers Declaration for the Transport of Dangerous Goods).
· FIATA SIC (Shippers Intermodal Weight Certificate).
· FFI (FIATA Forwarding Instructions).

FIO
Free In and Out. Cargo to be loaded and discharged free of expense to the ship owner/operator.

FIS
Free into Store (see DDP) not a current Incoterm.

FIXED
The term used to signify that negotiations to charter a ship have been completed and the ship is now fixed for the agreed business. The negotiating process is called fixing.

FLAG
Used in relation to the nationality of a ship that is flown from the stern of a commercial ship. Nationality is further indicated by the Port of Registry. The UN Convention on the Law of the Sea confers the right of a country to fix conditions for the registration of ships in its territory.

FLAG OF CONVENIENCE (FoC)
See Open Register.

FLASH POINT
The lowest temperature under very specific conditions at which a combustible liquid produces enough vapour to form an inflammable mixture with air.

FLAT RACK CONTAINER
A container with open sides and collapsible ends. Some are fitted with side gates and roof tarpaulins.

FLEXITANK
A very large plastic bag that is fitted to the inside of a general purpose shipping container for carrying liquids, powders and granules.

FLOTSAM
Goods lost by shipwreck or cast overboard which remains afloat.

FMC
The U.S.A Federal Maritime Commission, which governs maritime transport.

FOB
Free On Board. Incoterm that means the seller delivers the cargo when the goods pass the ship's rail at the named port of loading. This means that the buyer has to bear all costs and risks of loss or damage to the goods from that point. The FOB term requires the seller to clear the goods for export.

FOB's
This term is used widely in the international freight industry to describe the variety of costs and charges that arise in moving cargo from the Ex-Works point up to the 'Free-On-Board the vessel or aircraft point'. FOB's therefore will include such costs as cartage from Factory door to export depot or vessel/aircraft; export clearance and handling costs, export document fees and other costs incurred to load the goods on board the vessel or aircraft.

FOD ABS.
Free of Damage Absolutely.

FOOD QUALITY SURCHARGE
A charge imposed by shipping lines to cover costs incurred in the preparation and cleaning of containers to bring them to a standard fit for the purpose of carrying food.

FOR
Free on Rail (An obsolete Incoterm).

FORCE MAJEURE
Literally, an irresistible force or an event beyond control. It is a clause used in contracts of sale to stipulate which events shall not be deemed as events causing frustration, and as such these listed events shall cause postponement of the contract, rather than outright termination.

FORTUITOUS
Accidental; Produced by chance or fortune.

FOT
Free on Truck (An obsolete Incoterm).

FONASBA
Federation of National Associations of Ship Brokers and Agents. A London based organisation that provides a united voice worldwide for shipbrokers and agents.

FORWARDING INSTRUCTION
A form completed by the shipper or his agent containing instructions for the forwarding of the goods. This is the source of cargo details for the carrier to complete the Bill of Lading and other documentation.

FOUL BILL OF LADING
See Claused Bill of Lading.

FPA
Free of Particular Average. In marine insurance, means that the insurer is not responsible for partial losses other than a general average partial loss.

FREE CARRIER (FCA)
(INCOTERM) Goods are delivered free, cleared for export, to a named carrier at a named point.

FREE ON BOARD (FOB)
(INCOTERM) See FOB.

FREE STORAGE
A period, usually about three days that a FCL is allowed to remain at a container terminal before storage costs/demurrage start to be applied.

FREIGHT
The use of this word dates back to the 15th and 16th centuries, and its usage has evolved to have several meanings. The strict shipping line usage is that 'freight' means the amount payable to the carrier for the carriage of the cargo, and they do not use the word to describe the cargo itself. However, the word 'freight' is widely used throughout the world to describe the cargo, whether it be a single piece, or an entire load.

FREIGHT ALL KINDS (FAK)
Freight rate applicable to all types of goods and therefore is not restricted to a particular commodity. FAK freight rates are quoted primarily by under carriers to consolidators (NVOCCs and air freight consolidators) who fill shipping containers with different kinds of cargoes received either from different shippers or for different consignees or both. While the consolidator may charge its clients on a commodity-specific basis, it pays the under carrier a predetermined FAK rate.

FREIGHT DERIVATIVE
A financial instrument's value that is derived on the future levels of freight rates, such as dry bulk freight rates and tanker rates. Freight derivatives are used most often by end users such as ship owners and charterers to mitigate risk and hedge against price spikes in the supply chain.

FREIGHT FORWARDER
A company that manages the logistics of shipments on behalf of the exporter/importer. Services might include transportation, storage, documentation, payment of charges and delivery.

FREIGHT FORWARDERS SHIPPING RATE
The forwarder's shipping rate is the freight rate agreed between the shipper and forwarder before shipment.

FREIGHT RATE
The charge levied by the shipowner/operator on either the weight of the cargo, its volume measurement or as a per container rate for the ocean movement of the cargo. It is the main source of revenue for the carrier.

FREIGHT TONNE (TON)
In Ocean shipping, the base tonne (i.e. 1000kg = 1 m3) to which the freight rate is applied and from which the freight amount is calculated. Also called w/m tonne, meaning weight or measurement tonne. Example: A shipment has a weight of 2500kg and a volume of 3.50m3. It will be rated as 3.50 freight tonnes, or 3.50 w/m tonnes; i.e. the higher of the weight or measurement.

FRONT HAUL
A term used to indicate the typical flow of the transportation of cargo from the main loading areas to the main discharging areas.

FROZEN CARGO
Different products have different carrying temperature levels and these should be consulted. This is an explanation only. For frozen cargo usually 'dead cargo' such as meat, the carriage temperature is usually about minus 20O C. Frozen have a different packing profile; it is only necessary for the air to circulate around a the periphery of the load - a block stow, one that has no deliberate spacing between any of the packages or pallets. For frozen cargo the temperature is controlled by the return air temperature sensor.

FRT
Freight.

FS
See Fuel Surcharge.

FSC
See Fuel Surcharge.

FUEL SURCHARGE
Now applied in all modes of transport.
1. A surcharge applied to an airfreight rate. Usually applied as xx number of currency units per kilogram of cargo, sometimes applied to the actual weight, but commonly applied by forwarders against the chargeable weight.
2. Ocean transport see 'Bunker Adjustment Factor'.
3. Domestic Land Transport in Australia - usually applied as a percentage surcharge against the base freight rate.
4. International couriers - usually applied as a percentage surcharge against the base freight rate.

FTA
Free Trade Agreement.

FTL
Full Truck or Trailer Load.

FULL CONTAINER LOAD
See FCL.

FWB
1. IATA term - Standard Cargo-IMP message identifier for electronic Master Air Waybill.
2. An FIATA form - non-negotiable FIATA Multimodal Transport Waybill.

FWR
FIATA Warehouse Receipt (A FIATA form).

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G

GA
General Average.

GANTRY CRANE
An overhead crane used widely in container terminals that can straddle a rail line or road. Containers can be lifted with a hoist that can traverse horizontally on a beam that joins the legs of the crane at the top to lower the container alongside the rail line or road to be picked up by another machine - forklift or straddle carrier.

GATEWAY
The last airport or port within a country from which a shipment departs for an international destination, and the first airport or port at which a shipment arrives from an international origin.

GATT
General Agreement on Tariffs and Trade. An agreement signed by most trading nations in 1947 that was designed to provide an international forum that encouraged free trade between member states. It was planned to achieve this by regulating and reducing tariffs on traded goods and providing a common mechanism for resolving trade disputes. The World Trade Organisation was formed as the successor to GATT.

GDP
Gross Domestic Product represents the total value (AUD) of all goods and services produced in a country over a specific period. Usually expressed as a comparison with the previous period to enable a comparison to be made and trends indicated.

GDP PER CAPITA
GDP value divided by population which is a further measure of the productivity of a country and an indicator of involvement in international trade.

GENCON
Uniform General Charter Party (1994) produced by BIMCO.

GENERAL AVERAGE
A principle of Maritime Law that arises when an extraordinary sacrifice or expenditure is voluntarily made to save a common venture. The principle requires all parties to the venture to contribute to the losses and expenses incurred. The contributions are determined by each party's share of the value of the whole venture.

GENERAL AVERAGE DEPOSIT
A security deposit payable, when cargo is liable for a general average contribution, to the shipowner to obtain release of the cargo. See General Average Guarantee.

GENERAL AVERAGE GUARANTEE
A guarantee given in lieu of a monetary deposit, to the shipowner by an underwriter, to:
1. Remove the lien and obtain release of the cargo; and
2. As security for the payment of the general average contribution.
See also Average Bond.

GENERAL CARGO
Term applied to dry cargo, not liquids, that is not carried in a container and which might include timber, steel, bales/bags/drums and machinery. Ships suitable for carrying this type of cargo are often referred to as General Cargo ships.

GENERAL SALES AGENT
A General Sales Agent (GSA) is a sales representative for an airline in a specific country or region. Typically, the GSA is responsible for selling cargo space. A GSA will typically sell products from multiple airlines.

GERMANISCHER-LLOYD (GL)
Formerly a German classification society which ceased to exist in 2013 and merged with the Norwegian society Det Norske Veritas (DNV) as above.

GFC
Global Financial Crisis also called the Global Recession. The financial crisis brought about by a complex interplay of valuation and liquidity problems in the United States and Europe from 2006 that was termed as the worst financial crisis since the Great Depression of the 1930s.

GLOBALISATION
A term that generally used in economic terms, that describes global distribution of goods and services to be achieved through reduction in barriers to international trade such as tariffs, export fees, quotas and subsidies.

GMT
Greenwich Meantime.

GOH
Garments on Hangers (loose in a shipping container).

GOH BOX
A container that has been fitted out with special racks to accommodate the stowage of Garments on Hangers.

GOH SURCHARGE
The charge levied by shipping lines for supplying and installing the special racks in a container to accommodate the stowage of Garments on Hangers.

GP
General Purpose shipping container. Refers to a standard 20ft or 40ft dry container.

GRAIN CAPACITY
The maximum space available for cargo measured in cbm, the measurement being taken to the inside of the shell plating of the ship or to the outside of the frames and to the top of the beam or underside of the deck plating. It is a measurement of capacity for cargo like grain, where the cargo flows to conform to the shape of the ship.

GRI
General Rate Increase - A term used by shipping lines to label a general increase in ocean freight rates on particular trade routes. Also sometimes called RR = Rate Restoration.

GROSS TONNAGE (GT)
The internal cubic measurement of all enclosed spaces within a ship's hull and superstructure. Calculated to a formula of 1GT to a little less than 3 cbm. Mostly used as the basis for port charges.

GROUPAGE
Also called Consolidation. The consolidation (grouping) of LCL consignments into a container.

GROUPAGE AGENT
An agent who consolidates LCL cargo into containers for subsequent presentation to the shipping lines as FCL's.

GSP
Generalized System of Preferences - A global program designed to promote economic growth in the developing world by providing preferential duty rates for goods from developing countries. Australia is a participant in this program. The GSP origin certificate Form A is still used widely around the world. Visit website unctad.org for more information.

GST
The Australian Tax known as the Goods and Services Tax. Not applicable to export goods, but is payable on most import shipments, and domestic sales. Some classes of goods, such as certain foods and medicines are exempt.

GULF OF ADEN SURCHARGE (GOA)
Same as Emergency Risk Surcharge - also called Piracy Risk Surcharge. A charge per TEU or per w/m introduced by shipping lines in 2008 to cover increased costs associated with the risk of piracy off East Africa and in the Gulf of Aden and the western Indian Ocean. The Charge is passed on by consolidators to customers as a rate per w/m for LCL cargo.

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H

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.

HALF HEIGHT CONTAINER
An open top container with or without a soft cover/tarpaulin, either 4ft or 4ft 9in high (1.12m - 1.45m).

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.

HANDYMAX
Dry bulk carriers in the 40,000 to 64,999 dwt range.

HANDYSIZE
A term used to describe smaller dry bulk carriers in the 10,000 to 39,000 dwt range.

HARBOUR MASTER
Usually employed by a port authority to direct and coordinate all maritime activities within a port. This will include enforcement of relevant regulations governing ship movements within the harbour limits and issuing instructions in accordance with policies of the Port Authority. Customarily the Harbour Master will be a Master Mariner. Other responsibilities will depend on the type of port.

HATCH
The opening or access in a rectangular or square form on the deck of a ship through which cargo passes either to be stowed below deck or, being discharged. It is usual to have one hatch opening per hold in the ship.

HAWB
House Air Waybill i.e. A Waybill issued by a Forwarder or Consolidator, as distinct from a Master Air Waybill issued by an airline.

HAZ
See Hazardous Surcharge.

HAZARDOUS CARGO
See Dangerous Goods.

HAZARDOUS SURCHARGE
A surcharge applied by shipping lines for the carriage of hazardous cargo. Usually applied as a fixed amount per bill of lading, but could be applied as xx number of dollars per freight tonne of cargo.

HAZMAT
Hazardous Materials.

HBL
See House Bill of Lading.

H/C
See High-Cube (container).

HDLG
Handling (as in handling charge).

HEAT EXCHANGER
That section of the reefer machinery in which high pressure, high temperature sub-cooled liquid transfers heat to the low pressure, low temperature super-heated vapour returning to the compressor. This results in increased efficiency and safety.

HEAVY SURCHARGE
See Overweight Surcharge.

H/H
See Half Height (container).

HIGH-CUBE
Refers to a container than instead of being the conventional 8'6" high is 9'6" high. This is usually a 40ft container and increases the cubic capacity.

HIGH SECURITY SEALS SURCHARGE
A charge levied by a shipping line to the shipper/consignee for affixing an approved seal to a container that has been received from a shipper with no seal affixed, or with an inadequate seal affixed.

HL
Hectolitre - A unit of volume equivalent to 100 litres.

HOUSE BILL OF LADING
A Bill of Lading issued by a cargo consolidator or freight forwarder to the shipper. It is not accepted by the Carrier as sufficient evidence of the ownership of the cargo covered by the Bill.

HOUSE/HOUSE
See FCL/FCL. A shipment of goods from the shippers premises through to the consignee's premises.

HOUSE/PIER
See LCL/FCL.

HS
Harmonized System. The International Convention on the Harmonized Commodity Description and Coding System.

HS NUMBER
The Harmonized System classification code number.

HYGROSCOPIC
The property of absorbing moisture from the air. An example of hygroscopic is what makes honey have a long shelf life from pulling moisture out of the air.

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I

IATA
International Air Transport Association. The international organisation of airlines that regulates conditions of operation, safety, schedules, and pricing for international air transport.

ICAO
International Civil Aviation Organisation. Whereas IATA is an association of airlines, ICAO is an association of government bodies that suggests and attempts to set globally standard rules and terms for civil aviation, including the technical standards that relate to the carriage of Dangerous Goods.

ICC
International Chamber of Commerce based in Geneva.

ICS
(1) International Chamber of Shipping (2) Integrated Cargo System - Australian Customs Service computerised cargo reporting system, made operational in 2004. (3) European Union 'Import Control System'.

ICD
Inland Container Depot. A terminal away from the port where containers, and other cargo, can be moved to undergo Customs clearance. Often used to relieve congestion at the ocean terminal.

IDF
Import Document Fee. A charge levied by airlines in Australia for handling the documents for each shipment they carry.

ICHCA
International Cargo Handling Co-ordination Association.

IGLOO
An aircraft container, the shape of which is contoured to fit the shape and dimensions of an aircraft cargo hold.

ILC
Intermodal Logistics Centre.

IMB
International Maritime Bureau.

IMDG CODE
International Maritime Dangerous Goods Code. The IMO recommendations for the carriage of dangerous goods by sea.

IMF
International Monetary Fund. International institution engaged in advising countries of strategies to correct trade imbalances and in supporting currencies of countries experiencing financial difficulties.

IMO
International Maritime Organisation. The United Nations agency dealing with maritime affairs on behalf of member countries. The IMO provides a forum where countries discuss and formulate international policy on shipping matters. Based in London.

IMO NUMBER
Ship Identification Number. The ship number consists of the three letters IMO followed by a unique seven-digit number assigned to sea-going merchant ships under the International Convention for the Safety of Life at Sea (SOLAS). The number must be visible on the ship at some distance to enable identification.

IMPERIAL SYSTEM
Imperial system uses measurements in non-decimal units including feet, inches, pounds and ounces. At this time, only three countries, Burma, Liberia, and the United States of America have not adopted the International System of Units (or metric system) as their official system of weights and measures.

IMS
Intermodal Fuel Surcharge. Shipping line cost recovery surcharge applied to inland movements of containers in the USA and Canada.

INBOUND ARBITRARY
See Arbitrary Charges.

INCOTERMS
International commercial terms and abbreviations developed by the International Chamber of Commerce identifying parties responsibilities under different shipment terms which cover all modes of transport.

INHERENT VICE
A term used in relation to cargo signifying a fault in the goods themselves, or in their packing causing deterioration, loss or damage without any person being at fault.

INF CODE
The International Code for the Safe Carriage of Packaged Irradiated Nuclear Fuel, Plutonium and High-Level Radioactive Wastes on board Ships as adopted and amended by the IMO.

INMARSAT
International Maritime Satellite Communications. Inmarsat owns and operates a global satellite network, offering mobile and fixed communications services for maritime, enterprise, government & aviation.

INSOLVENCY
Unable to satisfy creditors or discharge liabilities.

INSTITUTE CLAUSES
Clauses in a marine insurance policy which have been standardised for the trade by the American Institute of Marine Underwriters. The London Institute Clauses, used by the British market and internationally, are those adopted by the Institute of London Underwriters.

INSTITUTE OF CHARTERED SHIPBROKERS
The professional body to commercial shipping worldwide representing all sectors of shipping. London based.

INSULATED CONTAINER
A container possessing protective insulation to minimise the effect on cargo of external temperatures.

INSURABLE INTEREST
For an insurance policy to be valid, the assured must have an 'insurable interest' in the goods. This is defined as the insured being so related to the goods that he will benefit from their survival, or suffer loss or liability if they are damaged or lost.

INSURABLE VALUE
In marine and transit insurance - generally 110% of the CIF value of the goods.

INSURANCE PREMIUM
An amount to be paid for a contract of insurance.

INTER ALIA (LATIN)
Amongst other things.

INTERMEDIARY
Serving as an intermediate agent or agency.

INTERMODAL
A term to describe the interface where different modes of transport might be used to transport cargo.

INTERNATIONAL ORGANIZATION FOR STANDARDIZATION
The International Organization for Standardization is an international standard-setting body composed of representatives from various national standards organizations. Founded on 23 February 1947, the organization promotes worldwide proprietary, industrial and commercial standards. It is headquartered in Geneva, Switzerland, and works in 164 countries. It was one of the first organizations granted general consultative status with the United Nations Economic and Social Council.

INVERSION
Turning a piece of cargo upside down.

IOFC
International Offshore Financial Centre. A country that offers incentives for businesses to locate their operations there. Widely used by companies to register their ships in those countries due to the material advantages offered by the country. Examples are Panama, Liberia, Bahamas, Honduras, Vanuatu, and Marshall Islands and are known as Open Register countries.

ISM CODE
The ISM Code is the International Management Code for the Safe Operation of Ships and for Pollution Prevention. The purpose of the Code is to provide an international standard for the safe management and operation of ships and for pollution prevention. In relation to insurance of cargo, it is now a common requirement in policies that shippers ensure their goods are carried on vessels with current ISM compliance certification, failing which, the insurers may refuse to pay claims. See the IMO website for the text of the ISM code, and see the ISM insurance clauses on the Joint Cargo Committee page of the LMA website www.lmalloyds.com

ISO
International Standards Organisation maintains standards for business, government and society. Standards, e.g. dimensions, for containers internationally were developed and are managed by ISO.

ISPM
International Standards for Phytosanitary Measures. See ISPM 15.

ISPM 15
ISPM 15 denotes International Standards for Phytosanitary Measures number 15 - The Guidelines for Regulating Wood Packaging in International Trade. It aims to reduce the risk of unprocessed raw wood being used as a pathway for the introduction and the spread of pests and diseases.

Australia has regulated the import of timber packaging for many years and requires that all wood packaging be free of bark and may be subject to inspection and/or treatment depending on the mode of transport. (See the articles on this and other Biosecurity related issues in the relevant chapter in the manual).

ISPS (INT'L CODE)
The International Ship and Port Facility Security (ISPS) Code. For a detailed explanation see the Website of the IMO at http://www.imo.org/en/OurWork/Security/Guide_to_Maritime_Security/Pages/SOLAS-XI-2%20ISPS%20Code.aspx.

INTERCARGO
International Association of Dry Cargo Shipowners.

INTERMODAL
Involving the transportation by more than one form of transport during a single journey. In the movement of cargo by sea an intermodal transfer takes place at a port from the ship to land transport and the reverse.

INTERTANKO
International Association of Independent Tanker Owners.

ISPS FEE
A fee charged by Shipping Lines, Stevedores and others to recover costs associated with the implementation and management of security measures in compliance with the ISPS Code, introduced by the IMO (and the Australian government) in July 2004.

ISSUING CARRIER
(IATA) The carrier who issues the Air Waybill.

ITF
International Terminal Fee. A charge applied at Australian Airports by Air Freight Forwarders to cover the cost of handling cargo and documents.

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J

JETSAM
Goods which are cast into the sea where they sink and remain below the water surface.

JETTISON
The deliberate throwing overboard or destruction of cargo or ship's tackle to lighten the ship in a storm or to assist in saving the ship when in danger. The loss occasioned by a properly justified jettison is the subject of general average contribution.

JOULE
The recommended unit for measuring energy and heat.

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K

KG
Kilogram. One Kg = 2.20462 LBS.

KNOWN OR UNKNOWN SHIPPER
The Aviation and/or maritime security status of a shipper/consignor of cargo. Also called Frequent/Infrequent shipper. In Australia the term for known shipper is Regular Customer. See the Chapter on Aviation Security for more information on the subject.

KW
Kilowatt.

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L

LAGAN
Cargo jettisoned and buoyed so that it may float and be recovered.

LANDBRIDGE
Descriptive term for an overland transit coming between two ocean passages during a container's journey from origin port to destination.

LANE METRE
The unit of measurement of capacity of Roero vessels and PCC/PCTC which is calculated by multiplying the deck length in metres by the cargo deck width in lanes.

LASH (noun)
Lighter Aboard Ship. Also barge carrier or barge-carrying vessel. A ship capable of lifting barges by crane over the stern of the ship. Different configurations and capacities with some able to carry over 24 barges and carrying barges which might contain 600 to 1000 tonnes of cargo either in bulk or in containers. The barges float and can be towed to upriver berths for load/discharge. Formerly widely used in trade from US Gulf to Europe and Europe to West Africa. A variation on LASH but similar cargo handling method - SeaBees.

LASH (verb)
To secure cargo either in a hold or on deck to prevent movement.

LATENT DEFECT
A defect in cargo not immediately apparent.

LAYCAN
A clause in charter parties that enables either party to cancel a fixture if certain conditions are not met. This might include the ship arriving after the agreed commencement of the presentation date.

LAYTIME
Period calculated for a ship under voyage charter to load/discharge cargo under a Charter Party.

LBS
The symbol used to describe the weight measurement unit Pounds.

LCL
Less than Container Load. A small consignment that on its own will not fill the container to its capacity. For example personal effects.

LCL/FCL
Also called Pier/House movement. Exporters or forwarders deliver loose cargo to the ship's depot (container base or container freight stations). The ocean carrier packs all the loose cargo into a container and loads onto ship. At destination, the full container is delivered to the consignee for unpacking at his premises.

LCL/LCL
Also called Pier/Pier movement. Cargo is delivered 'loose' to Container Freight Station (CFS) and packed for shipment by ocean carrier. At destination, the cargo is then unpacked from the container at the ocean carrier's unpacking facility.

LCT
Luxury Car Tax. An import tax applied to passenger motor cars entering Australia and which exceed a prescribed value.

LENGTH BP
Length Between Perpendiculars. The distance on the summer load water line from the fore side of the stem to the aft side of the rudder post or to the centre of the rudder stock if there is no post.

L/C
See Letter of Credit.

LETTER OF CREDIT
The full definition of this term is provided by the ICC in their booklet 'Uniform Customs and Practice for Documentary Credits'. It reads:
For the purposes of these articles, the expressions documentary credits and standby letter(s) of credit used herein (hereinafter referred to as credit(s)), mean any arrangement, however named or described, whereby a bank (the issuing bank), acting at the request and on the instructions of a customer (the applicant for the credit),
1. is to make a payment to or to the order of a third party (the beneficiary), or is to pay or accept bills of exchange (drafts) drawn by the beneficiary, or
2. authorises another bank to effect such payment, or to pay, accept or negotiate such bills of exchange (drafts) against stipulated documents, provided that the terms and conditions of the credit are complied with.

LETTER OF INDEMNITY
A Guarantee document, usually countersigned by a bank, which indemnifies the shipowner against any risk or claim which may arise. Such documentary undertakings are given to the ship owner to allow a consignee to take delivery of cargo in instances where Bills of Lading have been lost or delayed.

LEXAN
Lexan is a polycarbonate resin thermoplastic.

LIFT ON/LIFT OFF (LO/LO)
Charge by the carrier for lifting of an FCL from the truck upon receipt at a depot or container yard. Term is also used when import FCL's are lifted at the ocean carriers facility onto the importers or forwarders truck. Also called EHC.

LIFTVAN
A specialised, large packing case used for personal effects.

LIGHTER
An open or closed vessel from where cargo may be loaded/discharged. Often used when the depth of water in the port is shallow and the ship is unable to berth alongside the wharf.

LIEN
A clause on a Bill of Lading that provides the carrier with a legal right for any amount due and entitles the carrier to sell or auction the cargo to recover outstanding amounts.

LIGHTWEIGHT TONNAGE
The weight of the empty ship's hull including the superstructure and machinery. Used when the ship is being sold for scrap.

LINER
A ship on a regular schedule, loading and discharging at specified ports of call.

LINER TERMS
Loading and discharge of the ship is carried out by the shipowner/operator for which the ocean freight paid by the cargo owner, covers the cost.

LINER VESSEL
A ship employed on a regular schedule calling at specified advertised ports.

LIQUIFICATION TRAIN
Gas is liquefied prior to export by a liquification train which removes the CO2 and by-products and acts like a giant refrigerator, freezing the gas cryogenically (to minus 162 degrees Centigrade) so that it is reduced to on six-hundredth of its gaseous volume. When the frozen LNG arrives at the customer's port, it is discharged into tanks and gradually vapourised back into its gaseous form.

LLOYD'S OPEN FORM
A printed form used in the contract of any salvage operation whereby the salvor is only remunerated on a no cure no pay basis and the award if successful is agreed upon beforehand by the master and/or owners with the salvors. In case of no agreement reached the parties will go to arbitration.

LLOYD'S REGISTER (LR)
A diversified group involved in oil and gas, process industries, nuclear and rail. Primarily in relation to shipping Lloyd's is Classification Society providing standards of and rules for the construction and maintenance of ships.

LLOYD'S REGISTER OF SHIPS
A catalogue of ships describing each ship - dimensions, age, ownership, place of construction and other important information used by industry and regulatory authorities. Data is mostly accessed electronically from a database.

LNG
Liquified Natural Gas. A naturally occurring gas that has been cooled to -162°C. At this temperature the gas turns into a clear, colourless, non-toxic liquid that is 600 times smaller in volume than in its gaseous state making it easier to transport.

LOA
Length Overall. The extreme length of the ship.

LOADLINE
Also Plimsoll Line. An internationally recognised mark painted midships on both sides of commercial ships to indicate, together with associated markings, the maximum safe loaded draught of a ship under different conditions of weather, season, water salinity and location.

LOADLINE CERTIFICATE
A certificate issued by a government authority or an authorised classification society confirming the assignment of loadlines in accordance with Measurement regulations.

LO/LO
A charge levied by the shipowner/operator to cover the cost of handling and delivering the empty container. Also known as Equipment Handover Charge.

LOG BOOK
An official book kept by the Master of the ship where all accidents and general navigation management are carefully recorded.

LOGISTICS
For a complete explanation see the article in Wikipedia at http://en.wikipedia.org/wiki/Logistics, which opens with the following definition:
Logistics is the management of the flow of goods, information and other resources, including energy and people, between the point of origin and the point of consumption in order to meet the requirements of consumers (frequently, and originally, military organizations). Logistics involves the integration of information, transportation, inventory, warehousing, material-handling, and packaging. Logistics is a channel of the supply chain which adds the value of time and place utility.
The Wikipedia article covers the following subject material relaying to logistics: Origins and definition, Logistician, Military logistics, Logistics management, Definitions of logistics outsourcing (3PL), Clarification of definitions of third-party logistics, Logistics Management Software, Business logistics, and Production logistics.

LONG TON
A shipping weight of 2240 lbs.

LONDON TANKER BROKERS PANEL (LTBP)
A group of independent tanker brokers based in London who determine the average charter rates for tankers. Those rates are known as Average Freight Rate Assessment (AFRA) rates.

LOWER DECK
On an aircraft, the deck (or compartment) below the main deck. Also called Lower Hold.

LOWER DECK CONTAINER
An aircraft container (ULD) that is shaped to fit the contours and/or dimensions of the aircraft's lower hold. These ULD's, as with main deck containers come in a variety of sizes and configurations.

LOWER HOLD
See Lower Deck.

LOW NITROUS OXIDE EMISSION SURCHARGE
See LSFS.

LOW SULPHUR FUEL SURCHARGE
See LSFS.

LPG
Liquified Petroleum Gas such as Propane and Butane carried on special ships below -100°C.

LSFS
Low Sulphur Fuel Surcharge (ocean freight surcharge) also named EFF and MAR. Under the international convention relating to Marine Pollution (MARPOL), shipping lines are required to use fuel oil with a low sulphur content. The extra cost of the fuel is passed on to shippers through a surcharge, which is charged usually as a fee per container. The charge was introduced in 2006 in relation to ships crossing the Baltic Sea but has been since extended to other areas.

LUMP SUM FREIGHT
A fixed freight amount agreed to be paid irrespective of the amount of cargo loaded.

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M

M2
Square Metre.

M3
Cubic Metre - Also denoted as cbm or CBM.

MAF
Ministry of Agriculture and Fisheries - New Zealand.

MAFI TRAILER
Also known as Roll Trailers these are trailers designed to be used for the transport of large heavy units, but can also be used for most types of general cargo and containers. MAFI trailers are frequently used for transporting cargo into or and out of the lower decks of a vessel, where the cargo is taken off trailer and stowed loose and secured.

MAIN DECK
On an aircraft, the upper, and larger cargo hold. In a passenger aircraft, the passengers sit on the main deck.

MANIFEST
An inventory detailing the particulars of all cargo and passengers on board a ship.

MAR
Low Sulphur Fuel Surcharge (ocean freight surcharge) See LSFS.

MARINE INSURANCE
Insurance taken out to insure cargo against risks associated with the carriage of goods by sea, e.g. loss or damage in transit.

MARINE ORDERS
Notices issued by the Australian Maritime Safety Authority under the authority of the Navigation Act 2012. These Notices advise the shipping industry and other interested parties, of matters such as the application of new regulations or pending implementation of new regulations.

MARITIME LABOUR CONVENTION (MLC)
A convention developed by the International Maritime Organisation (IMO). The convention establishes rights and protections at work for the world's seafarers and aims to achieve decent work arrangements for seafarers and secure economic interests in fair competition for quality shipowners. Australia is a signatory to this Convention.

MARKS AND NUMBERS
Literally the marks, numbers and/or labels applied to cargo packages. It is vital, to prevent misidentification and loss, that cargo shipped loose either by air, sea, road or rail, is adequately marked with identifying details, preferably, with consignee name and address, and, when second hand packaging is used, that all old markings, labels, addresses, etc. are removed. It is worthy of note that carriers will reject liability for the loss of loose cargo that is insufficiently marked and/or labelled.

MARPOL
The International Convention on the Prevention of Pollution from Ships. Australia is a signatory to this Convention.

MARS
Maritime Arrivals Reporting System introduced in 2016 by the Australian Department of Agriculture and Water Resources. MARS must be used by all international vessel masters and shipping agents who undertake functions to meet Department pre-arrival reporting requirements and associated biosecurity vessel clearance at the Australian border.

MASS
Mass is a measure of how much matter is in an object. An objects mass is the same where ever you are, an objects mass never changes, that's because the amount of matter an object is made of doesn't change.

MASTER
The Captain of a merchant vessel.

MASTER BILL OF LADING
In the Liner Trade a document issued by the carrier which is a receipt for the goods loaded on a ship and is the evidence of a contract of affreightment between the carrier and the shipper. The Bill is also evidence of title to the goods described and specifies the carrier's terms and conditions of carriage. For a ship under charter the function of Bill, usually produced by the Charterer to be signed by the Master/Agent, will be specified in Charter Party. There are many types of Bills: see separate entries for Received for Shipment, Express, House, Through, Claused, Combined Transport.

MASTREP
The Modernised Australian Ship Tracking and Reporting System. This system is used to track the location of vessels and is operated by the Australian Maritime Safety Authority (AMSA). Operating requirements of ships is described in Marine Order 63 Vessel Reporting Systems, effective 1 January 2016.

MATE'S RECEIPT
A receipt signed by the Chief Officer of a commercial ship acknowledging that the cargo listed on the Receipt has been loaded on the ship. It may be claused by the Chief Officer if necessary drawing attention to the condition of the cargo. It is not normally used for container terminal loadings.

MATERIAL CIRCUMSTANCE
Any circumstance or fact that a prudent underwriter would be affected by in determining risk acceptance and premium level.

MAWB
Master Air Waybill (i.e. An Air Waybill issued by an airline, either directly to an exporter, or to a forwarder).

MECANUM WHEEL
The Mecanum wheel is an omnidirectional (move in any direction) wheel.

METABOLIC PROCESS
A naturally occurring organic process that is necessary for the life of the object which in fruit and vegetables leads to ripening.

METHYL BROMIDE
A fumigant used to kill infestation in various commodities and to fumigate containers. An odourless and dangerous poison which is gradually being replaced by less toxic but equally effective chemicals.

METRIC
Metric system is an internationally adopted decimal system of units for weights and measures.

METRIC TON
A tonne of 1000 kgs equivalent to 2,204.6223 lbs.

MAXIMUM GROSS WEIGHT (MGW)
The maximum permitted weight of the container and its contents.

MIAL
Maritime Industry Australia Limited. An industry association that represents the collective interests of maritime businesses, primarily those operating maritime assets of facilities from Australia. Formerly known as the Australian Shipowners Association.

MINIMUM CHARGE
This charge is applied in nearly all modes of transport, and is the lowest amount that will be charged for transporting a consignment between two ports.

MMN
Main Manifest Number - Australian Customs abbreviation for a main-manifest number under the ICS system.

MRN
Manifest Reference Number. Australian Customs abbreviation for a main-manifest number under the EXIT system - now redundant. See MMN.

M/S
Motor Ship.

MSIC
Maritime Security Identification Card. A nationally consistent identification card issued to identify a person who has been the subject of a background check and has satisfied the minimum security requirements and needs to work unescorted in a maritime security zone. Issued to comply with the Australian Maritime Transport and Offshore Facilities Security Act 2003.

MUA
The Maritime Union of Australia. A registered trade union whose membership is made up of Australia seafarers and waterside workers.

M/V
Motor Vessel.

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N

NAPHTHA
A straight-run gasoline fraction boiling below kerosene. Used as a feedstock for refinery conversion and as a chemical feedstock.

NARROW BODY
A typical narrow-body airliner has a diameter of 3 to 4 m (10 to 13 ft). This allows for a single aisle in passenger aircraft, and seats between two and six people abreast.

NATURAL GAS
A mixture of methane and ethane found in the earth's crust, often in association with oil.

NAVIGATION ACT 2012
Australian Federal legislation that comprehensively covers maritime affairs and includes sections that give effect to IMO Conventions.

NAVIGATIONAL AIDS
These could take the form of lights, beacons, racons, signs, bouys, that are placed in a position to aid the safe navigation of the ship.

NCV
No commercial Value.

NES FEE
New Export System Fee - a fee charged by shipping lines and forwarders for making an electronic declaration to Customs of exports leaving the UK.

NET TONNAGE (NT)
The gross tonnage (GT) of the ship minus the cubic measurement converted to tonnage of non-revenue earning spaces such as the engine room.

NOSE DOOR
A door at the front of the aircraft or 'nose' which can be raised above the cockpit for loading.

NOTICE OF READINESS (NOR)
Written notice usually from the Master of a ship to the charterer that the ship has arrived at the required port and is ready in all respects to load/discharge cargo as per Charter Party conditions.

NON-CONFERENCE LINE
An independent shipping line that is not a member of a conference or consortium.

NOR
Non-Operating Refrigerated Container.

NRAD
No Risk After Discharge.

NRAS
No Risk After Shipment.

NVOCC
Non-Vessel Operating Common Carrier. A Carrier (may be a Forwarder or Consolidator) who issues Bills of Lading for the carriage of cargo on vessels which he/she neither operates nor owns.

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O

OBL
Original Bill of Lading.

OD
See Over Dimensional.

OCEAN FREIGHT RATE
The freight charge for the ocean transport of cargo.

OCTANE NUMBER
A measure of the detonation quality of gasoline. The higher the octane number, the higher the resistance to engine knock.

ODF
Origin Document Fee.

OFFICE OF TRANSPORT SECURITY (OTS)
Within the Australian Government Department of Infrastructure, Regional Development and Cities, OTS is the Government's preventative security regulator for the maritime and aviation sectors and primary adviser on transport security. OTS is responsible for administering an intelligence led, risk based preventative security regime for these sectors.

OHC
Origin Handling Charge - see OTHC and THC - ocean freight port charge.

OIL TANKER
A ship purposely built to carry petroleum products such as crude oil, in tanks.

ON-DECK STOWAGE
System whereby containers are secured for carriage on a ship's deck. This usually means that the ship is fitted with location shoes and containers secured by lashings and twist-locks. On-deck carriage of non-containerised cargo is quite common and this cargo also requires securing.

OOG
See Out of Gauge and Out of Gauge Surcharge.

OPEN REGISTER
The term applied to those countries that maintain ship registration facilities that are open to all shipowners irrespective of the country of domicile of the actual shipowner. These countries operate in an open market environment and compete with each other to attract ship registration business. Financial incentives make it very attractive for shipowners to register their ships in those countries. Also referred to as Flag of Convenience countries and IOFC.

OPEN SIDED CONTAINER
A container with either a grille, shutters, or tarpaulin side(s).

OPEN TOP CONTAINER
An ISO container without a roof but covered with a soft top tarpaulin, that can be used for the loading of awkward and out-of-gauge, e.g. over-height, cargo.

OPL
Optional Port Lodgement - used in Australia to indicate that a customs declaration for a shipment can be lodged at any port regardless of which port the import cargo is to be discharged or delivered, or at which port cargo is to be loaded for export.

ORGANISATION OF PETROLEUM EXPORTING COUNTRIES (OPEC)
Membership comprises the 12 largest petroleum producing and exporting countries and its mission is to coordinate policies to ensure stabilisation of oil markets.

OT
Open Top - (shipping container).

OTHC
Origin Terminal Handling Charge - see THC - ocean freight port charge.

OUTBOUND ARBITRARY
See Arbitrary charges.

OUT-OF-GAUGE CARGO
Goods whose dimensions exceed those of the container in/on which they will be carried. This can refer to width, height and/or length.

OUT-OF-GAUGE SURCHARGE
A surcharge applied by shipping lines when cargo is shipped in open type containers, such as flat racks, open tops, and bolsters, and there are one or more protrusions of the cargo from the sides and/or the top of the container. These protrusions, of course, in a cellular vessel, will preclude the use of adjacent cells in the ship, cause problems in loading, and will result in loss of revenue and extra costs for the shipping company.

OUTSIDER LINE
An independent shipping line. One that is not a member of a shipping conference.

OUTTURN
The quantity of cargo discharged from a ship at the relevant port of discharge. If a discrepancy is found this may be the subject of a claim for loss.

OVER DIMENSIONAL
This term is used in airfreight and domestic road and rail transport, and it simply means that the cargo to be carried does not fit within the confined spaces of the vehicles or equipment that will be used to carry it. Depending upon the sizes, this type of cargo may attract surcharges or higher than normal freight rates. For road transport, government permits and escorts may be required before the goods can be moved.

OVERWEIGHT SURCHARGE
This surcharge (also called Heavy Surcharge) is quite common on some ocean shipping routes, but not on all routes. The charge, per TEU, is applied to containers that exceed a certain weight determined as the threshold weight by the carrier. The reason for the charge is mainly related to operational deadweight limits of vessels and the fact that heavy containers can cause loss of business opportunities if the vessel reaches its weight limit before all container slots are occupied.

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P

PALLET
A standard sized platform usually of wooden construction, on which unitised loads can be placed and secured. Usually lifted by forklift or in some cases pallet legs that are placed through the openings in the base of the pallet.

PANAMA CANAL SURCHARGE
A charge applied by shipping lines, usually on a per TEU basis, to recover the costs involved in transiting the Panama Canal. The Panama Canal Authority charges a toll on all ships passing through the canal.

PANAMAX
The maximum sized ship able to transit the Panama Canal. The term applies to ships not exceeding capacity of 3000 TEU's with a beam below 33.2m. With the recent operation of expanded locks in the Canal larger vessels are now able to transit. These ships are termed Neo-Panamax and the maximum dimensions are length overall - 366m and beam maximum - 49m.

PARTICIPATION RATE
Applied to the labour force of a country and measures the percentage of the working age population who are in the labour force.

PARTICULAR AVERAGE
A loss which falls on the particular property insured, as opposed to a general average which is a loss for the account of all interests.

PAYLOAD
Payload is the carrying capacity of an aircraft, usually measured in terms of weight.

PCC
Pure Car Carrier.

PCS
Port Congestion Surcharge.

PCTC
Pure Car and Truck Carrier.

PEAK SEASON SURCHARGE
Peak Season Surcharge. A charge applied by shipping lines, over the base freight rate, during the busiest seasons of the year. This charge is applied particularly to cargo moving out of South East Asian and Chinese ports during the pre and post-Christmas period. It is a method of improving the lines overall freight revenues, and it is applied at times when demand is high and supply (space) is low. When applied, is usually a fixed sum of money per container.

PETROLEUM
A collective name given to crude oil which is a natural occurring flammable liquid comprising a complex mixture of hydrocarbons and other liquid organic compounds. Refined and processed at a refinery to produce a large number of consumer products.

P&I CLUB
Protection and Indemnity Clubs providing insurance cover for third party risks to shipowners and operators.

PIER PASS FEE (TRAFFIC MITIGATION FEE)
A surcharge imposed on cargo moving in and out of the ports of Los Angeles and Long Beach between the hours of 3.00am and 5.59pm on weekdays. The charge, as billed to cargo interests by the Pier Pass Authority, is properly called the Traffic Mitigation Fee. The fee was introduced in 2005 to encourage cargo interests to deliver and collect containers during off peak hours with the objective of reducing traffic congestion and air pollution in and around the port area.

The foregoing Fee shall not be applicable to or paid by:
1. Empty Containers or empty chassis;
2. Import or Export Cargo entering or leaving any Terminal Facility during Off-Peak Hours;
3. Import Cargo or Export Cargo that transits the Alameda Corridor in a Container and is subject to a fee imposed by the Alameda Corridor Transportation Authority; and
4. Transshipment Cargo.

In relation to LCL cargo, the charge is usually billed by consolidators as a charge per w/m.

PILFERAGE
Thefts of cargo from a ship either while at sea or in port.

PILLAGE
Robbery of goods by use of force as in wartime. The term is also applied to the theft of cargo from a ship.

PILOT
A qualified and experienced Master Mariner employed by a port authority, government body or private organisation to board incoming and departing ships at a particular port and advise the Master on safely navigating the ship.

PIVOT WEIGHT
Minimum chargeable ULD. Weight.

POD
1. Proof of Delivery; a signed receipt proving that delivery was effected.
2. Place of Delivery; The place where delivery is effected and the Carrier's liability ceases.
3. Port of discharge.

POL
Port of Loading.

PORT AUTHORITY
A government authority or private organisation that operates and manages a commercial port with specific responsibilities for safety, environmental protection, development and trade facilitation.

PORTAINER CRANE
A gantry crane used at container terminals for the loading/discharge of containers on/from a ship. Usually owned and operated by the stevedore.

PORT CHARGES
Charges levied on ships by a port authority for the use of port services and facilities and by port service providers such tug operators.

PORT PAIRS
Two specific ports (Port of Load and Port of Discharge) is defined as port pairs.

PORT SIDE
The left-hand side of a ship looking forward from the stern.

PORT STATE CONTROL
A strategy practiced internationally by government authorities, in Australia the Australian Maritime Safety Authority (AMSA), to ensure the safe operation of ships calling at ports within the jurisdiction of the authority and compliance with international conventions on safety. Implemented through ship inspections by AMSA surveyors.

PORT SERVICE CHARGE
PSC. A charge payable on cargo loaded/discharged by the cargo owner to the shipowner/operator incorporating the port authority Wharfage.

PORTS AUSTRALIA
Australian industry peak body representing the interests of port authorities.

PPD
Prepaid - as in 'freight charges prepaid'. This as opposed to CCX as in 'freight charges collect' at destination.

PRA
Pre Receival Advice. Cargo information sent electronically to the loading terminal before the delivery of the container/cargo.

PRATIQUE
Permission - health clearance, issued by a government authority, in Australia the Department of Agriculture and Water Resources. See MARS.

PROJECT CARGO
A term used to broadly describe the national or international transportation of large, heavy, high value or a critical (to the project they are intended for) pieces of equipment.

PROTEST
A sworn statement by the Master describing any unusual event that has occurred during a voyage. Usually completed before a Notary Public. If necessary the Statement can be used as evidence in cargo claims or other enquiries.

PROXIMATE CAUSE
An insurance term. The immediate, or most effective cause of a loss. In insurance contracts, underwriters are not liable for losses unless such loss is proximately caused by an insured peril.

PRS
Piracy Risk Surcharge - See ERS (Emergency Risk Surcharge), Gulf of Aden Surcharge (GOA).

PSC
Port Service Charge - A charge for loading containers on and off vessels at wharf terminals. See also BSRA, APCA, and THC.

PSS
Peak Season Surcharge - See PSC.

PURGE PORT
In cases of reefers shipped with Modified Atmosphere MA, the port is used to flush the container with a mixture of nitrogen and oxygen as required by the produce to ensure it is in best condition on discharge.

PWD
Port Dues/Port tax (PWD) - Additional weight tax charged by port authorities to shipping lines at certain European ports.

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Q

QPAR
Quarantine Pre Arrival Report. Information sent electronically - known as eQPAR now superseded by the MARS system usually sent 96 hours before arrival of the ship at the first Australian port of call in order to obtain health clearance - pratique.

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R

REACH STACKER
A machine mostly used in container terminals capable of lifting and moving containers. The machine has an extendable jib which allows it to reach over other vehicles and high stack containers.

RECEIVED BILL
A Bill of Lading that indicates only that the cargo has been received into the custody of the ocean carrier; not that it has actually been shipped.

RECEIVED FOR SHIPMENT
A Bill of Lading marked to indicate that the goods described on the face of the Bill have been received into the custody of the carrier but have not been loaded on the ship.

RECLAIMER
A very large machine mostly found where dry bulk cargoes are stockpiled. The reclaimer usually has a large wheel at the end of an arm fitted with buckets that enables it to pick up the commodity and feed it to a conveyor system that then moves the cargo to the ship loader. The reclaimer can be moved short distances.

REDELIVERY
On completion of a Time or Demise charter when the ship is redelivered from the charterer to the Owner. This is usually accompanied by a Certificate certifying the time, date and place of redelivery of the ship stating the quantity of bunkers on board at the time of redelivery.

REEFVTS
The International Maritime Organization (IMO) named the Great Barrier Reef as the world's first particularly sensitive sea area (PSSA) in 1990. The IMO also named Torres Strait as a PSSA in 2005. The Great Barrier Reef and Torres Strait vessel traffic service (REEFVTS) was established by the Australian and Queensland Governments in 2004 to improve the safety and efficiency of vessel movements and to help protect the marine environment. REEFVTS is operated under joint arrangements with Maritime Safety Queensland.

REEFER CONTAINER
A container that is capable of refrigerating the contents and maintaining a set temperature for as long as required. Most reefer containers are built with an integrated compressor requiring only a power supply to operate. Reefer also refers to a multi-deck ship that is capable of carrying reefer cargo in break bulk form, e.g. bananas, at low temperatures.

REEFER TOWER
Usually located at a container terminal, a static piece of equipment that can provide the power connection for four or more containers.

REGISTERED AGREEMENT
In Australia an agreement reached between shipping lines to operate a joint service that under the Australian Consumer and Competition Act 2010 requires registration by the Registrar of Shipping in the Department of Infrastructure, Regional Development and Cities.

RELATIVE HUMIDITY
The ratio (expressed as a percentage) of the amount of moisture in the air to that in saturated air at the same temperature.

RENEWABLE ENERGY
Energy resources which are continually replenished, i.e. solar energy, wind power, wave power, biomass, hydroelectric, geothermal energy.

RESPIRATION
The process whereby fruit and vegetables that are living products after harvest continue to breath and take in oxygen. Carbon Dioxide and Ethylene and moisture are then released which is retarded by refrigeration.

RESPONDENTIA
In maritime law a loan of money using goods loaded on a ship as security which in the course of the voyage would be sold or exchanged. These proceeds would then form the repayment from the borrower, plus interest.

REVENUE TONNE
Shipping term. The tonne unit against which the freight payment is calculated. In general shipping it is one cubic metre or 1000 kg. See also W/M tonne, or Weight/Measurement tonne, and Freight tonne.

ROLLER BED TRANSFER SYSTEMS
A system to facilitate the movement of heavy or bulk loads into and out of trailers or bodies. These systems offer significant reductions in loading and unloading times and have considerable health and safety benefits since there is more control over the load and less manual handling is required.

RO/RO
Roll On/Roll Off ship. A ship with either a stern or quarter ramp on which cargo can be driven/towed/carried into/out of the ship. Designed to carry wheeled cargo such as cars, trucks, trailers, etc.

ROPAX
Roll On/Roll Off passenger ship. A RO/RO vessel built for freight vehicle transport along with passenger accommodation. Technically this covers all ferries with both a roll on/roll off car deck and passenger-carrying capacities, but in practice ships with facilities for more than 500 passengers are often referred to as cruise/ferries.

ROTTERDAM RULES
A treaty comprising international rules that revises the legal and political framework for the maritime carriage of goods. The convention establishes a modern, comprehensive, uniform legal regime governing the rights and obligations of shippers, carriers and consignees under a contract for door-to-door shipments. Not in operation pending full international ratification. The Rules will replace the Hague Rule, Hague-Visby Rules and the Hamburg Rules.

RR
Rate Restoration - also known as GRI or General Rate Increase - A term used by shipping lines to label a general increase in ocean freight rates on particular trade routes.

R/T
See Revenue Tonne.

RUNNING TIME/DAYS
Lay time runs continuously - consecutive days of 24 hours including weekends and holidays.

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S

SAD
Single Administrative Document. In the European Union and some other countries - a single document for administering all customs transactions.

SAL
Shipping Australia Limited. Peak body representing shipowners/operators, agents and other organisations with maritime connections.

SALES CONTRACT
The agreement between the seller/exporter of the goods and the buyer/importer. Standard contract forms that contain relevant clauses and conditions are often used as the basis of the agreement.

SALVAGE
Compensation due to those who through their exertions have saved a ship and/ or goods from the perils of the seas, fire, pirates or enemies. The expression may also refer to that which is saved, or that which is abandoned by the assured to the underwriter, the former claiming total loss.

SC
Salvage Charges.

SCA AND SCA FEE
Sea Cargo Automation. The term applied by Australian Customs to the computer system that coordinates and controls the reporting and delivery of import sea-cargo in Australia. Sea Cargo Automation fee. A charge applied by Forwarders and Consolidators in Australia to cover the costs associated with the operation of the Sea Cargo Automation System.

SCAC
Standard Carrier Alpha Code - a unique two-to-four-letter code used to identify transportation companies. The USA organisation, National Motor Freight Traffic Association (NMFTA) developed the SCAC identification codes in the mid 1960's to facilitate computerization in the transportation industry. See www.nmfta.org for more information.

SCALE WEIGHT
The actual weight of a shipment.

SCR
See Specific Commodity Rate.

SDR
See Special Drawing Rights.

SDT
Shippers Declaration for the Transport of Dangerous Goods - A FIATA form.

SEA
Security Administration Surcharge (ocean freight).

SEAL (CONTAINER SEAL)
Usually a numbered or coded metal rod or metal band, used to seal the doors of containers after they have been packed. The seal number is usually recorded on The Bill of Lading, but may also be required by the consignee on other documents. Some types of seals provide better security than others. When shipping FCL loads of cargo, which may be subject to pilferage, it may be better to use a good quality padlock.

SEC
Terminal Security Surcharge. A charge passed on by shipping lines to recover additional security related costs imposed upon them by ocean container terminal operators.

SES
Special Equipment Surcharge. A surcharge applied by shipping lines for supplying Flat Rack (FR) and Open Top (OT) containers to shippers.

SECURITY SURCHARGE(S)
A surcharge applied to air and sea cargo. For air cargo, usually applied as xx number of currency units per chargeable kilogram of cargo. For ocean cargo may be applied as a rate per container or revenue tonne or Bill of Lading.

SED
Shipper's Export Declaration. USA term. Also used as a code for Security Surcharge Destination in some ocean trades.

SELF TRIMMING
A bulk carrier described as a Self-Trimming Bulk Carrier for cargoes other than grain, means that the vessel is able to self-trim specified free-flowing cargo when loaded by virtue of the physical characteristics of the design of its holds without the need for additional trimming.

SHIP'S GEAR
A term that generally describes any cargo handling equipment that the ship is fitted with.

SHIPPING REFORM
The expression used by the Australian Government to refer to changes in legislation that will change the conditions under which Australian flagged ships are permitted to operate.

SHIPLOADER
The equipment situated on a wharf that is the final point in the movement of a dry bulk commodity usually from a conveyor system that effectively loads the cargo into the hold of the ship.

SHIPMAN 2009
The Standard Ship Management Agreement form produced by BIMCO.

SHIPPED ON BOARD BILL OF LADING
A Shipped on Board Bill of Lading evidences the fact that the cargo has actually been loaded on board the vessel. A 'shipped' Bill is not issued unless the cargo is so loaded on board. This is in stark contrast to a Received Bill of Lading which evidences only that the cargo has been received at the ship's terminal.

SHIPPER
The Consignor, or person or company that is sending the shipment.

SHIPPER'S LETTER OF INSTRUCTION (SLI)
A document containing instructions by shipper (consignor) relating to the preparation of documents and movement of the shipment.

SHIPPING CONFERENCE
See Conference.

SHIPPING CONSORTIUM
See Shipping Conference.

SHORT LANDED
When part or all of a consignment, which has been completely shipped, has not arrived at destination. It may have a different meaning to the term short shipment.

SHORT SEA
Term used to describe ship operations between ports in close proximity with voyages of short duration.

SHORT SHIPMENT
An incomplete delivery of the goods which are the subject of the contract between the buyer and seller. Also used to describe a situation where the carrier fails to load all cargo booked by the shipper and delivered to the terminal for a particular ship. This may be due to several factors including weather, strikes or other operational reasons.

SHUT-OUT
A shipping line term meaning: Goods not carried on intended vessel.

SIC
Shippers Intermodal Weight Certificate - A FIATA form.

SIDEPORT
An opening in the side of a ship giving direct access from the wharf to the hold. Some wide ports allow Ro/Ro operation with forklifts or similar equipment which allow the load to be passed from a wharf machine to one in the ship. Often used with break bulk reefer cargoes unitised on pallets.

SILO
A vertical cylindrical structure usually associated with the storage of grain that is poured from a conveyor system through the top of the silo and bottom fed onto another system that conveys the grain to the ship loader and into the ship.

SINGLE WINDOW
A common definition of the term single window is A facility that allows parties involved in trade and transport to lodge standardised information and documents with a single entry point to fulfil all import, export, and transit-related regulatory requirements. If information is electronic then individual data elements should only be submitted once.

SKELETAL TRAILER
Semi-trailer without a floor (platform) mostly constructed with different transverse ribs so as to offer various locating possibilities for different sized containers.

SKID
A skid is a single deck loading platform while a pallet is a double deck loading platform.

SLI
Shippers Letter of Instruction.

SLOT
1. Is the space in a container vessel which can be taken up by one standard twenty foot container.
2. Also used to describe the appointed time to collect or deliver a container from or into the ship's container terminal yard - see Time Slot.

SLOT CHARTER
A term used to denote a part charter arrangement between a container shipowner/operator and another operator or consortia, company, freight forwarder to provide an agreed number of slots on a regular basis on the carrier's ships.

SOC
Shipper Owned Container.

SOLAS
The International Convention for the Safety of Life at Sea. Probably the most important international maritime agreement that deals with all aspects of measures to be taken for the preservation of life at sea.

SPECIAL DRAWING RIGHT (SDR)
Special Drawing Right (SDR): The official account unit of the International Monetary Fund. It is used as an international reserve asset to settle transactions between countries and help balance international liquidity.

SPECIFIC COMMODITY RATE (SCR)
A rate applicable to the carriage of a specific commodity between specific places.

SPOT MARKET
A market in which goods/currency etc. are traded for immediate delivery and at the current price, i.e. spot price.

SPREADER
A device/frame used for lifting containers by engaging the container on corner post castings. Different sized spreaders can be used to carry multiple lifts. Some have telescopic arms to be able to carry different sized containers.

SRCC
Insurance clause - Strikes, Riots and Civil Commotions.

SSC
Security Surcharge - Abbreviation now commonly used in air cargo business to denote the Security Surcharge applied to freight rates, mainly applied as a rate per kg.

SSD
Ship Security Surcharge - Destination.

SSL
Ship Security Levy - A port charge. See ISPS Code and ISPS Fee.

SSO
Ship Security Surcharge - Origin.

STANDARD RATE
Air freight charges are calculated on weight or volume, whichever is the greater, using a volume/weight ratio of 6000cm3 = 1 kg or 167 kg = 1m3. This is known as the standard rate.

STARBOARD SIDE
The right hand side of the ship when looking forward from the stern.

STC
Said to Contain. A common abbreviation used on Bills of Lading and Waybills, e.g.: 1 x 20' container STC xxx number of packages.

STILLAGE
A stand or specialised cage for keeping something off the ground or for facilitating the carriage and handling of goods. Used extensively in some industries to protect cargo from handling damage whilst simultaneously improving the handling speed when loading and unloading cargo. Many are collapsible and stackable and are used in the automotive manufacturing industry for shipping vehicle components. Other specialised types are used in the postal, airline and courier industries.

STCW2010
Standards of Training, Certification and Watch keeping for Seafarers. The internationally accepted IMO convention setting the standards of training and qualification of seafarers to ensure a high standard of safety in ship operation.

STERN
The aft most part of a ship.

STEVEDORING
The operation of loading and discharging cargo onto/from a ship.

STOWAGE
The amount of room available for stowing materials aboard a ship, aircraft or container, or the placement (lading) of cargo in an ship or aircraft in a manner that provides optimum safety for the vessel and the cargo, gives maximum space usage, and allows easy access to cargo at the point of offloading.

STOWAGE FACTOR
The volume (cbm) occupied by I tonne of a particular cargo.

STRADDLE CARRIER
A vehicle specially constructed to lift and move containers in a container terminal and an intermodal zone. It is capable of straddling a rail/road truck to lift/load the container. Manually operated but in some port they are robotic.

STRAIGHT BILL OF LADING
A term for a non-negotiable Bill of Lading in the U.S.A.

STRIPPING
Emptying a container. The removal (or unloading) of the contents of a container or other unit load device. Also called Breaking-Bulk, Destuffing, Devanning, Discharging, Unpacking, and Unstuffing.

STUFFING
A term to denote the packing of a container.

SUBROGATION
A legal principle whereby an Insurance Company can inherit the rights and liabilities of the assured, and counter-claim against the Carrier who caused the loss or damage. The subrogation process can begin once the Insurer has paid out the assured under the terms of the policy.

SUEZ CANAL TRANSIT SURCHARGE
A charge applied to containers that are carried through the Suez Canal. Usually a charge per TEU.

SUEZMAX
Usually applied to crude oil tankers of approximately 120,000 to 200,000 dwt.

SUPPLY CHAIN
A sequence of events involved in the production and distribution of a product or service. The chain is a system of organisations, people, technology, activities, information and resources.

SURVEY
In relation to cargo, an inspection to quantify loss and damage, usually in the presence of surveyors from insurance companies and carriers.

SURVEYOR
A specialist who conducts surveys of cargo or the hull and machinery of a ship. The surveyor might be employed by a government body such as AMSA to ensure compliance with safety regulations or a classification society to ensure that the ship follows Society Rules or, an insurance company to assess cargo damage.

SUPRAMAX
A dry bulk carrier within the Handymax sector which is usually fitted with deck cranes.

SUZ
Suez Canal Transit Surcharge (ocean freight surcharge).

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T

TACT
The Air Cargo Tariff book, issued by IATA.

TACT RATE
The IATA Tariff rate as listed in the TACT books. See Chapter on Freight rates for a full explanation of TACT rates.

TAILGATE INSPECTION
A physical inspection of a container undertaken by a Biosecurity officer to visually verify that some aspects of the cargo, or the contents of a container or the outside of a container are free from biosecurity risk material.

TANK
An enclosed space in a ship that can be used for the carriage of liquid cargoes or fuel, fresh water or water ballast.

TANK CONTAINER
A container designed for the carriage of bulk gases, liquids and powders.

TANKERVOY 87
A voyage charter form issued by BIMCO and widely used in tanker chartering.

TANKTAINER
A cylindrical shaped container designed to carry bulk liquids. It is usually within a frame that enables the tank to be lifted by a container spreader at the terminal.

TARE
The weight of an empty container.

TARIFF
A list of ocean freight rates and charges and the terms and conditions of carriage normally confined to the Liner Trade.

TARIFF, WORKING, CUSTOMS
The Schedule of Harmonised Classifications and their related duty rates and terms and conditions.

TARS
Temporary Additional Risk Surcharge. See War Risk Surcharge.

TBA
To Be Advised - commonly used in the forwarding industry.

TBL
See Through Bill of Lading.

TBN
To Be Named.

TDC
Ocean shipping - Temperature Download Charge. A charge levied by a shipping line to a shipper who has requested the line to download and supply the temperature records for a refrigerated cargo shipment.

TERMINAL LOAD LIST
A list of containers actually loaded on a ship from a particular port showing the stowage position for each discharge port. Usually prepared by the terminal operator and can be used in conjunction with the release of export bills of lading.

TEU
Twenty-Foot Equivalent unit. The acronym used to describe the space occupied by a 20' container.
> i.e. 1 x 20' container = 1 TEU
1 x 40' container = 2 TEU
Used as measurement unit to describe the carrying capacity of a container vessel.

THC
Terminal Handling Charge. A charge based on part of the cost for handling a container at a terminal often charged on both exports and imports. The charge is payable by the cargo owner to the carrier and is not common to all trades or ports.

THERMAL POWER STATION
A Thermal Power Station is a power plant in which a turbine which drives an electrical generator is steam driven. Fuel source is thermal coal that has low levels of pollutants. Australia is the world's leading exporter of this type of coal.

THIRD PARTY LOGISTICS PROVIDER
An organization that manages and performs logistics functions, using its own resources, on behalf of another company.

THROUGH BILL OF LADING
Used frequently in modern commerce. It is a Bill of Lading covering transport of the goods by more than one carrier or by more than one means of transport. The carrier who issues the bill will be responsible for the transhipping and/or on-forwarding.

TIME BAR
In relation to cargo claims against the carrier, the time limit set for lodging claims. Once expired no claims will be considered. Under the Hague-Visby Rules a one year time limit applies from the time when the cargo was or should have been delivered. The clause on the Bill of Lading specifies the time limit.

TIME CHARTER
The charter of a ship for an agreed period of time, e.g. approximately twelve months. Applies to all types of ships.

TIME SLOT
An appointment made by a container exporter/importer with a terminal at which time the container can be received or delivered.

TIR CARNET
A carnet issued under the auspices of the UN TIR (TRANSPORT INTERNATIONAUX ROUTIERS) customs convention for facilitating the international transport of goods by road.

TN
Transshipment Number - Australian Customs abbreviation - See CAN.

TOMMING-OFF
Shoring and securing cargo either break bulk or in a container to prevent movement while in transit.

TON
Imperial (English) Ton = 2240 pounds (LBS.) American Ton = 2000 pounds (LBS.) Metric Ton = 2204.6223 pounds (LBS.)

TONNE
Metric ton = 1000 kg or 2204.6223 LBS.

TON MILES
A calculation performed by multiplying the distance travelled on a voyage by the tonnage of cargo carried. This could be done for one voyage or a number of voyages. The result is useful in determining changes in the demand for the ship and destinations/origins for cargo.

TOP STACKED
Where cargo can't have anything stacked on top of it due to its fragility and has to be either by itself or on top of another piece.

TPND
Theft, Pilferage and Non-Delivery (insurance term).

TRADE DEFICIT
When the balance on merchandise trade in national accounts shows that the value of imports exceeds the value of exports.

TRAMP TRADE
Ships employed in this trade do not operate to a schedule and go wherever cargo is available. Voyages to particular ports might not be repeated and shipowners do not engage in service promotion as Liner Trade shipowners do. Tramp trade is often referred to as the Bulk Trade.

TRANSFERRING CARRIER
The carrier who transfers the cargo to another carrier at a transfer point (IATA).

TRANSPORT RELATED DOCUMENTS
The core documents related to the transport of goods are as follows:
· Shipper's Letter of Instruction
· Bill of Lading
· Master Bill of Lading
· House Bill of Lading
· Air Waybill
· Master Air Waybill
· House Air Waybill
· Combined Transport Bill of Lading
· Non-negotiable Waybill (Express)
· Interim receipt
· Pre-receival advice
· Marine Insurance Certificate.

TRANSSHIPMENT
The act of transferring goods from one ship - the first carrier at a transshipment port, to another ship - the second carrier, for onward movement to a port not usually served direct by the first carrier.

TRC
Terminal Receiving Charge. A charge for handling containers and goods at Container Terminals.

T/S
See Transshipment.

TSC
Terminal Security Charge.

TSO
Terminal Security Charge at Origin.

TUG
A small vessel predominantly used in ports to assist ships in manoeuvring. Also used in off-shore oil activity, salvage work and barge towing.

TWEEN DECK
The space between any continuous decks. Intermediate deck within a cargo space above the lower hold and below the upper deck.

TWISTLOCK
A cone with flattened sides that fits into a container corner casting with a moveable tip which when turned 90 degrees will securely lock and tie down the container.

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U

UCP600
The Uniform Customs and Practice for Documentary Credits. A set of rules on the issuance and use of letters of credit. The UCP is used by bankers and commercial parties almost universally in trade finance.

U.L.D.
Unit Load Device. The collective term used to describe the specialised containers and pallet bases used with cargo aircraft.

U.L.D. RATE
A rate charged by an airline for carrying a ULD. See chapter on freight rates for an explanation.

ULLAGE
The difference between the contents and the total capacity of a tank, cask or other vessel for containing liquids. The terms is used in relation to inspections for loss and so it describes the amount of liquid that is missing from the tank, cask, bottle, etc.

UNCLEAN BILL OF LADING
A Bill of Lading that has been claused/endorsed by the carrier to show that the goods covered by the Bill were not received and shipped in good order or condition or some other remark as to the condition of the cargo.

UNCITRAL
United Nations Commission on International Trade Law.

UNCLOS
United Nations Convention on the Law of the Sea which came into force in November 1994. The Law of the Sea Convention defines the rights and responsibilities of nations with respect to their use of the world's oceans that includes the management of marine natural resources.

UNCTAD
United Nations Conference on Trade and Development. Established in 1964 to promote the development-friendly integration of developing countries into the world economy.

UNDERBOND
Cargo that has not been cleared by the ABF and remains under ABF control.

UNECE
UN Economic Commission for Europe.

UNIT LOAD DEVICE
An assembly of components consisting of any of the following:
1. Aircraft pallet and pallet net.
2. Aircraft pallet and pallet net over an igloo.
3. Aircraft container.

UNIT OF ACCOUNT
Under the Hague-Visby (amended Hague) rules, is a Special Drawing Right. See Special Drawing Right.

ULCC
Ultra Large Crude Carrier. Referring to tankers in excess of approx. 350,000 GT.

ULLAGE
Deficiency of liquid; space in a container or drum or tank that is not filled.

UNSTUFFING
The removal (or unloading) of the contents of a container or other unit load device. Also called Breaking-Bulk, Destuffing, Devanning, Discharging, Stripping, and Unpacking.

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V

VALEMAX
A class of very large ore carriers (VOOC) built for Brazilian mining company Vale S.A. to carry Iron Ore from Brazil to Asian and European ports. Capacity ranges from 380,000 to 400,000 deadweight they are the largest bulk carriers ever built. Twelve ships have been ordered by Vale the first entered service in 2011. Similar ships although slightly smaller have also been ordered by Berge Bulk.

VALUABLE CARGO
(IATA). Air Cargo having an actual value of US $1,000 (or equivalent) or more per gross kg or which contains precious metals, banknotes, pearls (including cultured pearls) and precious stones. In consequence of the greater responsibility, and also the higher level of liability borne by the airline, a freight surcharge of 200% of the normal rate is applied to the carriage of such goods.

VALUATION SURCHARGE
An IATA term. A surcharge on an airfreight rate, charged under IATA rules and applied to the cost of carriage of valuable cargo. The airlines' normal liability level is increased upon payment of the surcharge.

VALUE FOR DUTY
The value used by Customs to determine duty payable. It is usually the FOB value of the cargo. Still declared even though duty might not be payable. Also used for import statistics.

VBS
Vehicle Booking System.

VENTURE
An undertaking such as one voyage of a ship.

VETTING
A system whereby charterers make use of a wide range of information from various sources to determine the condition of the ship before completing the charter. The purpose is to ensure that the ship has been properly maintained, that it complies with international regulations and is suitable for the intended business.

VFLC
Victorian Freight and Logistics Council. An independent advisory body that provides advice to government on the development, planning, regulation and operation of freight and logistics, transport and infrastructure services in Victoria Australia. http://www.vflc.com.au/

VIENNA CONVENTION
The United Nations Convention on Contracts for the International Sale of Goods (CISG) Drafted in Vienna in 1980.

Vehicle Identification Number (VIN)
The identifying code to identify individual motor vehicles, towed vehicles, motorcycles, scooters and mopeds.

VIS-À-VIS
French - face to face with, opposite one another. Used in the sense of 'as against'.

VISA
A document or endorsement in a passport by an authorised representative of a country verifying that a citizen of another country may lawfully enter that country. In Australia that authority is the Department of Immigration and Border Protection. A current visa is required as soon as the person enters Australian territory. Because of the likelihood of multiple entry into Australia or, late diversion of a ship to an Australian port, seafarers are able to obtain a Maritime Crew Visa through an on-line facility.

VLCC
Very Large Crude Carrier. Referring to Tankers in the 200,000 to 349,999 GT range.

VOLUME CHARGE
Charges based on volume.

VOLUMETRIC WEIGHT
The volumetric weight of a shipment is a calculation that reflects the density of a package. A less dense item generally occupies more volume of space, in comparison to its actual weight.

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W

WAIVE
To Waive - a: to relinquish voluntarily (as a legal right) b: to refrain from pressing or enforcing (as a claim or rule): forgo (from Miriam Webster Dictionary).

WAIVER
The act of intentionally relinquishing or abandoning a known right, claim, or privilege; also: the legal instrument evidencing such an act (From Miriam Webster Dictionary).

WAR RISK SURCHARGE
A charge, usually per TEU for FCL cargo or per freight tonne for LCL cargo, levied by shipping lines for shipments originating, transiting, or destined for ports/countries considered to represent a risk of war. The surcharge reflects the associated increased costs of insurance, fuel and possible service disruptions.

WAR RISK INSURANCE
Insurance against loss or damage to property due to acts of enemies of a country. This coverage is freely written and included in marine risks insurance policies.

WAYBILL
A receipt for goods shipped and a not negotiable document which authorises delivery only to the named consignee. It is not a document of title as it is not usually required to be presented to claim possession of the cargo.

WEIGHT
Weight is the measure of the force of gravity acting on an object. Weight depends on how much gravity is acting on an object at its location.

WEIGHT BREAKS
The weight or quantity at which a shipment will be rated at a lower price for the cargo's transportation.

WEIGHT/MEASUREMENT
See Freight tonne or Revenue Tonne.

WHARFAGE
Traditionally, in the 'pre-containerisation era', and currently for break-bulk cargo, a charge applied for handling cargo on or off a vessel and across the wharf area. It is still being used to describe charges for handling cargo in and out of containers. The charge is usually levied on a 'per tonne/cubic metre' basis.

WIDE-BODY
A wide-body aircraft has a diameter of 5 to 6 m (16 to 20 ft). This allows for two aisles in passenger aircraft, and seats between seven and ten people abreast.

WINTER SURCHARGE
In ocean shipping a season surcharge that may be applied per TEU to cargo being loaded or discharged at particular ports affected by extreme climatic conditions.

W/M
Weight/Measurement. See Freight Tonne.

WOOL DUMP
A designated facility where wool bales are compressed in order to maximise the utilisation of the space in a container.

WORLD TRADE ORGANISATION (WTO)
The international organisation based in Geneva that is responsible for international fair trade compliance and dispute settlement on trade issues.

WRS
See War Risk Surcharge.

WSC
Winter Surcharge - for shipments to or from Russia - shipping line fee - charged on a per container basis. At time of writing in August 2009 the fee is Euro 50 per TEU.

W/V
Weight/Volume - same as weight/measurement. See Freight Tonne or Revenue tonne.

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X

XWT
Overweight Container Surcharge.

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Y

YORK ANTWERP RULES
International agreement for the settlement of General Average claims in ocean shipping. The 2004 amendments were approved at a conference in Vancouver in 2004.

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Z

ZONE CHARGES
Charges in an ocean carrier's tariff for cartage of LCL or FCL cargo.

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