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Freight Forwarders Must Know:Shipping Basics Knowledge

Views: 32     Author: Site Editor     Publish Time: 2022-04-08      Origin: Site

A freight forwarder is an intermediary between the consignor of the goods and the distribution point such as the port of destination. They arrange inland transportation, port and customs documentation, ocean shipping and other supplementary activities. As can be seen, the main responsibility of a freight forwarder is to arrange the shipment of the goods and to process their export documents.


Table of Contents

1. What is Freight Rate? What is Freight? How are the two related? 

2. The difference and connection between shipping agency and ship owner

3. What does the bill of lading (SI) provided by the cargo party to the shipping company or freight forwarder mean? 

4. What do CY Open, Customs Cut-off, CY Closing, and SI Cut mean?

5. What are the meanings of opening the cabin, cutting customs, cutting weight and cutting orders?

6. A detailed explanation of the new VGM regulations (submission responsible person, calculation formula, allowable deviation, risk, etc.)

7. What is delivery without bill of lading? Why is FOB designated cargo more risky?

8. What does a classification society do? What are the famous classification societies in the world?

9. What is Confirmation of Class? What is the purpose of this certificate?

10. What is the Certificate of Registry? What do you want this certificate for?

11. What is Ship's Age Certificate? Why do you want this certificate?

12. How to avoid the big pit of releasing goods without a bill of lading? What if it is FOB designated goods?

13. What does the yard (CY) in freight forwarding container transportation mean?





【What is Freight Rate? What is Freight? How are the two related? 】

1. Freight Rate

Freight rate refers to the price of transportation labor required to carry a unit of goods. Freight rate is a monetary representation of the value of a product being transported, expressed as the price of a unit of product being transported.


Sea freight rate refers to the price of goods shipped by sea.


The transportation product refers to the displacement of the goods in space, so the freight rate is an increasing function of the transportation distance.


Freight rate is a key factor in regulating the state of the shipping market and a lever for balancing capacity and transportation demand. In practice, freight rates fall whenever capacity exceeds transportation demand. When the demand for transportation exceeds the capacity, the freight rate will rise again. In the market economy, the distribution, adjustment and development of shipping resources are completely determined by the role of the shipping market and the freight rate mechanism. The law of value plays a guiding role in regulating the relationship between supply and demand and resource allocation. The market average level of freight rates mainly depends on the supply and demand relationship in the market at that time, rather than on the subjective wishes of a certain enterprise.


Freight rate is not only the main concern of shipping companies and cargo owners, but also international freight forwarders. Understanding the basic content of freight theory, mastering market price changes and its operation mode is a basic quality that must be possessed by managers and business personnel of international freight forwarders.


2. Freight

Freight refers to the remuneration paid by the shipper to the carrier after the carrier completes the task of transporting goods according to the contract of carriage. Or the monetary consideration paid by the owner (shipper or consignee) to the carrier for transporting the goods.


3. The relationship between Freight Rate and Freight

After the carrier completes the transportation task, the freight will be calculated according to the freight rate and the freight volume. At this time, the relationship between freight rate and freight is relatively clear - that is, freight is equal to the product of freight rate and transportation volume.


We can use a mathematical expression to express the relationship between freight and freight rate: the mathematical expression of the basic relationship between freight and freight rates is:


F=R X Q


In the formula, F is Freight, R is Freight rate, and Q is transportation volume.


【The difference and connection between shipping agency and ship owner】

1. What is a shipping agency?

Shipping agency is a port ship service enterprise, mainly providing services for shipping companies, ship owners and ports. For example, handling customs and port joint inspection procedures for ships, dispatching tugboats to pilot, inspection and maintenance, cleaning or cleaning of cabins, fumigation and disinfection, handover procedures for ships in port, handling fuel supply, fresh water, materials, food and other materials, etc.


2. What is a ship owner?

Ship owner refers to the owner, operator, manager or bareboat charterer of a ship. The shipowner is the legal holder of the Ship Ownership Certificate, which can be a natural person, a corporate legal person, a group company or other organization. It can be seen that the ship owner is not necessarily the shipping company. If the shipping company is also the owner of the ship, then the shipping company is the ship owner. In reality, however, shipping companies generally own their own ships, although they may also lease ships to operate. Therefore, what we usually call a shipowner is generally a shipping company or a shipping company.


3. What is the main difference between shipping agency and ship owner?

Shipping agency generally provides a series of services for ships, shipping companies and shipping companies at the port to facilitate ship entry and exit, fumigation and disinfection, tugboat pilotage, inspection and maintenance, fuel and food supply, etc. Shipping companies mainly operate a lot of ship transportation (as the actual carrier), including near-ocean transportation and ocean-going transportation.


Shipping agency is a service company, and its service objects are mainly transportation companies (shipping companies), of course, it can also be a ship or crew intermediary service company (the crew trained by the shipping company will be sent to the ship owner company to board the ship), or even a ship repair company. The service object of the ship owner is mainly ships and goods, and the transportation of goods is done well. The ship owner is like a car transportation company. The car transportation company has many cars for land transportation, and the shipping company has many ships for sea or river transportation. These ships can be owned or leased.


In general, the Shipping agency is the agent of the ship owner in a certain port, it represents the interests of the shipping company, and the ship owner pays the "salary" for the Shipping agency.


【What does the bill of lading (SI) provided by the cargo party to the shipping company or freight forwarder mean? 】

1. What is SI?


Before talking about the bill of lading replenishment, let's talk about the SI cut off.


The so-called SI cut is the time to cut the sample of the bill of lading. If the sample of the bill of lading is submitted later than this time, a bill of lading will be charged.


Bill Of Lading Supplement, also known as Shipping Instructions, or SI for short, means that the cargo provides the shipping company with the details of the shipment - that is, the contents required to be filled in on the bill of lading. SI is provided, which means that as the shipper, the bill of lading information has been confirmed. SI is the last step to confirm the sample bill of lading. In other words, the feed cannot exceed the SI cut-off time at the latest.


In layman's terms, bill of lading replenishment means that the shipper first provides the contents of the bill of lading to the forwarder (or shipping company), and they make a draft bill of lading and send it to the shipper for confirmation.


2. What information and materials are generally included in SI?


The supplementary materials include the detailed information of the consignor, the consignee and the notifier, as well as the container number, seal number, gross weight, total cubic volume (CBM), shipping mark, cargo description, etc. Shipping companies and their agents (forwarders) need these information to make bills of lading.


If it is an L/C letter of credit, the replenishment must be done in strict accordance with the requirements of the L/C or the customer to ensure that the information on the bill of lading is exactly the same as the letter of credit requirements. Including the shipping certificate (if any) issued by the shipping company along with the bill of lading. What are the common ship certificates? Such as ship registration certificate, voyage certificate, age certificate, class certificate, liner association certificate, etc.


3. Why provide SI?


Because the cargo information (such as product name, quantity, weight, volume) actually loaded by the cargo party may be inconsistent with the cargo information displayed on the booking form when the booking power of attorney is issued to the freight forwarder. Then the shipper must give the forwarder a detailed and accurate packing list before the original bill of lading is issued, including the box number, seal number, etc., then the forwarder can make the final bill of lading according to this SI.


4. Who provides SI to whom?


SI is provided by the entrusting party/cargo party and is provided to the shipping company or its agent such as shipping agency and freight forwarder.


5. What if the SI cannot be provided in time?


If the shipper fails to submit the SI information within the specified time (the freight forwarder will remind you during this time period), there will be a change fee. The bill of lading change fee, different shipping companies have their own standards, about 200-500 yuan, or even higher. Because it may also involve changing the pre-allocation manifest, changing AMS (United States), etc.


6. Where do the cabinet numbers and titles required by SI come from?


When picking up the container and loading, the towing company (driver) can provide the container number and seal number, because the driver can get the container number and seal number after taking the equipment transfer order (EIR) to the yard to pick up the box.


When loading or after loading the goods, the consignor shall provide supplementary materials (including container number and seal number) to the shipping company or its agent in time. There will be SI Cut Off Time (SI Cut Off Time) on the bill of lading (S/O), and the shipper must provide accurate and comprehensive SI information to the shipping company or its agent before this time, otherwise it is likely that a bill change fee will be incurred.


7. What is the relationship between the SI cut-off time and the Customs cut-off and CY Closing?


The SI cut-off time is generally two days earlier than the Customs Cut-off and CY Closing time. for example:


Expected SI Cut Off: 2017-12-28 13:00 (cut SI is usually two days earlier than Customs Cut-off and CY Closing)

Estimated CY Closing time: 2017-12-30 12:00 (CY Closing and Customs Cut-off time are usually similar)

Estimated Customs Cut-off time: 2017-12-30 17:00


【What do CY Open, Customs Cut-off, CY Closing, and SI Cut mean? 】

1. How to understand CY Open and CY Open date?

CY Open, that is, you can extract empty boxes or return heavy boxes. CY Open date is the time when you can extract empty boxes or return heavy boxes. CY Open date is the normal cargo receiving date (Cargo Receiving Date). Usually only after CY Open, the shipping company will not charge dock storage fee. You can place an order for you in advance.


The shipping company will generally indicate the CY Open date on the bill of lading (S/O) - usually the Customs Cut-off day (including the Customs Cut-off date) 7 days before the check-in date is the CY Open date. Such as CY Open on December 10, Customs Cut-off on December 17.


If you want to pre-contain, do or return the container in CY Open, the shipping company will generally approve the application, but there may be additional container charges - the shipping company generally provides exporters with a free container period of 5-7 days . CY Open luggage, generally will not exceed the free use period.


The regulations of each shipping company may be different for the CY Open date and the free container period. The specific operation is subject to the relevant regulations of the shipping company.


2. What are Customs Cut-off and Customs Release Vouch?

Customs Cut-off, also known as (Customs Release Vouch/Slip Cut Off) - Before this time, your cabinet must be cleared and the customs release slip must be submitted. Usually Customs Cut-off 1-2 days before ETD. For example, if the ETD is at 2:00 on December 10, then the Customs Cut-off time is likely to be at 17:00 on December 8.


3. What is CY Closing?

CY Closing - The terminal will no longer accept loaded containers after this time. This is the so-called latest entry (collection) time.


Some shipping companies Customs Cut-off and CY Closing have Late Come, some do not. If you apply for Late Come, there is usually a fee, which is the Late Come fee. It is best to complete customs clearance and return the container at the time specified on the S/O.


4. What is SI Cut?

SI Cut, that is, the time when the sample of the bill of lading is cut. If the sample of the bill of lading is submitted later than this time, a change fee will be incurred.


To sum up, the time relationship between the opening of the cabin, the cut-off of the weight, the cut-off of the customs, the cut-off of the order and the ETD is roughly as follows:

Expected CY Open date: 2017-12-23 00:00 (7 days earlier than CY Closing date)

Estimated SI Cut-off date: 2017-12-28 13:00 (B/L cut samples are usually two days earlier than SI Cut-off and CY Closing)

Expected CY Closing date: 2017-12-30 12:00 (CY Closing and Customs Cut-off date are usually similar)

Estimated Customs Cut-off date: 2017-12-30 17:00 (Customs Cut-off and CY Closing are generally 1-2 days earlier than ETD)

Expected ETD: 2018-01-01 02:00




【What does the container equipment delivery order (EIR) mean? 】

Equipment Interchange Receipt (EIR for short), as the name suggests, is used when equipment (container) is handed over, mainly used in storage yard (CY) pick-up and re-return containers. To be more academic, it is the certificate that the container owner or lessor entrusts the container loading and unloading area, transfer station or inland station and the cargo owner or its representative to hand over the container and the carrying equipment.


In short, the EIR is issued by the carrier or its agent to the cargo party (the fleet represents the cargo party), to collect or return heavy or empty boxes to the district, station. EIR is a written document for the handover of equipment (container) by all parties.


Container trailer drivers must be very familiar with the equipment transfer order (EIR), because each cabinet has an "equipment transfer order" (one-type multi-link), and the container trailer driver should take this equipment transfer order for the exit and entry of the container. Waiting for handover work.


Where did this equipment transfer order come from? The trailer company takes the S/O provided by the shipping company or the freight forwarder and goes to the place where the order is placed to make an order, and then gets an equipment handover order. There are also teams that take S/O directly to the yard to print. It may be different for each pier depending on pier regulations.


The driver picks up the empty box with the equipment handover slip, leaves the station, and goes to load (production or interior). Then enter the venue with this handover slip and return the counter. All handovers are based on EIR, so it is called equipment handover order.


On the back of the first sheet of the Equipment Delivery Receipt (EIR), the terms of use for delivery are printed on the back, which mainly include the costs incurred by the container and equipment during the period of use by the seller, the division of responsibilities in the event of damage or loss of the equipment and the loaded goods, and the responsibilities for the third party. The three parties are liable for damages. Equipment handover is generally handled at the gate of the district and station.


The contents on the equipment handover list include: the name and address of the person using the container, the time of entering and leaving the yard, the container number and seal number, whether the container is empty or heavy, the booking number, the name and voyage of the ship, and the description of whether the container or other equipment is in good condition, etc.



【Detailed explanation of the new VGM regulations (submission responsible person, calculation formula, allowable deviation, risk, etc.)】

1. What are the new VGM regulations?

VGM is the abbreviation of Verified Gross Mass, and the Chinese name is "Verified Gross Weight of Containers". Commonly known as "container re-regulation" or "VGM new regulations".


According to the new regulations, from July 1, 2016, unless the shipper on the bill of lading provides the ocean carrier and/or the terminal representative with the container weight (ie provides the VGM), this container will be prohibited from being shipped.


The new regulations make it clear that:

1) The shipper is responsible for providing the container weight.

2) There are two approved weighing methods (calculation formulas) to determine the container weight.

3) Terminal operators are obliged to ensure that containers of verified weight can be boarded.


For the shipper, although the gross weight of the container has been marked on the foreign trade bill of lading, it is still necessary to submit the actual box weight (VGM) data, otherwise the shipping company will refuse to ship.


2. Why do we need to verify the total weight of the container?

1) In order to increase maritime safety, improve the maritime safety transportation factor.

2) In order to reduce the risk of unreasonable stowage caused by the unrealistic container weight, which will cause casualties on shore and at sea, and the risk of loss of goods.


3. Who is responsible for submitting VGM information?

1) The shipper (the shipper on the bill of lading) is the party responsible for weighing and providing the VGM to the carrier.

2) The shipper can authorize a third party (such as an operating freight forwarder or a booking agent) to submit VGM in the name of the shipper.


4. Who will verify the VGM data?

1) It is the responsibility and obligation of the shipper to provide accurate VGM.

2) Shipping companies and terminals will not verify the accuracy of VGM data.

3) Each port and maritime administration has the right to conduct random inspections of VGM.


5. Which two weighing methods are provided by the SOLAS Convention?

1) Overall weighing method

After the cargo is packed and the door of the container is closed, the shipper can use the equipment certified by the metrological supervision department to weigh the container by itself or by entrusting a third party (such as a port terminal or a weighbridge unit).


Specifically, the trailer loaded with the container is weighed as a whole, and the total weight obtained minus the weight of the trailer head, frame and fuel tank gasoline or diesel, the result is the required VGM weight.


Calculation formula:

VGM weight = total weight of trailer loaded with containers - weight of trailer head, frame and fuel tank gasoline or diesel.


2) Cumulative calculation method

First, calculate the weight of the goods;

Second, calculate the weight of the packaging (pallets, padding and other filling and securing materials);

Third, add up the cargo weight, package weight and the tare weight of the container.


Calculation formula:

VGM weight = weight of cargo + total weight of packing materials such as pallets, dunnage and other filling and securing materials + tare weight of the container.


6. What is the allowable deviation range of VGM?

VGM weight must not exceed +-5%, or 1 ton. Whichever is the lesser of the two.


Example 1: When the actual weight of a container is 42 tons, the declared VGM weight is 40 tons. Although the deviation is 2 tons (more than 1 ton), its percentage is (42-40)/42=4.76%. Before the deviation of 2 tons and the deviation of 4.76%, take the smaller of the two values, that is, 4.76%, so it is still within the acceptable range, so there is no problem.


Example 1: When the actual weight of a container is 10 tons, the declared VGM weight is 9.2 tons, although its percentage is (10-9.2)/10=8% (has exceeded +-5%). However, since the deviation does not exceed 1 ton, the smaller of the deviation of 0.8 ton and the deviation of 8% is taken, that is, 0.8 ton, so it is still within the acceptable range, so there is no problem.


7. What are the risks of not submitting VGM or submitting VGM late?

At present, the unified regulations of major ports and various shipping companies are "NO VGM, NO LOAD" - that is, containers without VGM weighing information shall not be loaded on ships.


【What is delivery without bill of lading? Why is FOB designated cargo more risky? 】

1. What is delivery without bill of lading?

Delivery without a bill of lading means delivery without an original bill of lading, which means that the carrier or its agent, or the port authority or warehouse manager, without taking back the original bill of lading, according to the consignee or notifier recorded on the bill of lading with a copy of the bill of lading Or a copy of the bill of lading, plus a letter of guarantee to release the goods.


The carrier or its agent, or the port authority, or the warehouse manager may release the goods without a bill of lading. However, what we usually refer to as delivery without a bill of lading is generally that the carrier, or its agent (forwarder), releases the goods without a bill of lading according to the instructions of the shipper, or does not release the goods without a bill of lading without the order of the shipper.


The delivery without a bill of lading is different from the bill of lading we do most often. The notifier shall release the goods without the original bill of lading by presenting the duplicate bill of lading or a copy of the bill of lading and the "Telephone Release Guarantee".


2. Why is it more risky to release goods without a bill of lading when specifying a forwarder?

Designated freight forwarding, also called FOB designated freight, can be simply understood as "customer designated freight forwarding".


Why is "the freight forwarder designated by the customer"? ——Because Freight Collect - CC


Why do customers have to pay for shipping? - Because the transaction price does not include shipping.


Why does the transaction price not include shipping? - Because the Incoterms used (such as FOB) do not include freight.


Since it is the freight forwarder designated by the buyer (consignee), the freight is also paid by the buyer to the freight forwarder or carrier, and the buyer (consignee) is the real customer of the freight forwarder, so the freight forwarder only listens to the buyer (consignee) , resulting in that the forwarder designated by the buyer (consignee) is not under the control of the seller (shipper).


Since it is not under the control of the seller (shipper), it is not easy for the seller (shipper) to control the ownership of the goods by controlling the bill of lading or controlling the goods. Because the bill of lading is in the hands of the freight forwarder, the freight forwarder is designated by the buyer (consignee) and does not necessarily follow the instructions of the seller (consignor).


The designated forwarder may even collude with the buyer (the consignee) to defraud or coerce the seller (the shipper), or charge the seller (the shipper) indiscriminately and with high fees. Because under the FOB term, miscellaneous charges and shipping charges are separate, although the shipping charges are the responsibility of the buyer (the consignee), the miscellaneous charges at the port of departure are generally the responsibility of the seller (the shipper). Therefore, when the FOB transaction is completed and the freight forwarder is designated, the seller (shipper) is easily in a passive position.


Since the miscellaneous fees and shipping costs are separated under the FOB term, in order to avoid the designated freight forwarder charging the seller (shipper) arbitrarily, the seller (shipper) must sign the FOB contract with the customer, and must contact the buyer (collector). The consignor) make it clear that the miscellaneous expenses should be paid by him, or the two parties should negotiate and bear it reasonably.


If it is not made clear in advance, those miscellaneous expenses must be borne by the exporter. And because the exporter has not signed the contract price with the carrier, the carrier or freight forwarder can charge whatever they want. Pressing your bill of lading, they still have reasons to say that you have not paid the fee, and you are very passive at this time.



【What does the classification society do? What are the famous classification societies in the world?】

If you are a freight forwarder by sea, or a foreign trader who often travels by sea, you may have heard of classification societies.


1. What is a classification society?

Classification Society (Classification Society), also known as the Society of Ships, the survey agency. It is an agency that establishes and maintains relevant technical standards for the construction and operation of ships and offshore facilities. Usually civil organizations, a few non-civil organizations. For example, China Classification Society is a public institution directly under the Ministry of Communications.


A classification society is an organization that surveys and classifies ships according to their condition for insurance or other purposes. Its main role is to conduct periodic surveys of ships during and after construction, with the purpose of setting and maintaining standards for the construction and maintenance of ships and their equipment.


Classification societies play a unique role in ensuring the safety of ships with their professional ship technical knowledge. Classification societies conduct inspections of ships to ensure that ships meet the safety standards required by governments and insurers, as well as the expectations of shipowners and the public.


2. Does the ship have to be graded according to the requirements of the classification society?

Each classification society has a set of rules specifying the inspection requirements that must be followed for ships to maintain their class. In most countries shipowners are not obliged to have their ships graded, but this is usually a condition of ship insurance and is a requirement of most charterers and shippers. Therefore, if the ships are not graded, there are considerable difficulties in the trade.


3. What are the main businesses of classification societies?

1) Carry out technical inspection on newly-built ships, and the qualified ones will be given various safety facilities of the ship and awarded corresponding certificates - such as class certificates.


2) According to the needs of inspection business, formulate corresponding technical specifications and standards.


3) Entrusted by the government of their own country or other countries to participate in maritime activities on their behalf.


4) Some classification societies also accept the inspection business of onshore engineering facilities.


Among them, the first two are its main businesses. Have you heard of class certificate? The Confirmation of Vessel's Class is a certificate issued by a classification society stating that a cargo ship meets certain classification standards.


4. What are the famous classification societies in the world?

Lloyd's UK


Germanischer Lloyd - GL


Bureau Veritas (BV)


Det Norske Veritas (Det Norske Veritas - DNV)


Italian Bureau of Shipping (Registro Italiano Navale - R.I.N.A)


Russian Maritime Register of Shipping (RS)


Japan Maritime Association (Nippon Kaiji Kyokai - NK)


Korean Register of Shipping (KR)


American Bureau of Shipping (ABS)


……There are a lot more


There is also International Association of Classification Societies, referred to as I.A.C.S. - International Federation of Classification Societies. This is an association of major classification societies whose main purpose is to improve maritime safety standards. The classification societies mentioned above are full members of the International Federation of Classification Societies.



【What is a Confirmation of Class? What is the purpose of this certificate? 】

1. What is a class certificate?

"Confirmation of Vessel's Class" (Confirmation of Vessel's Class) is a certificate issued by a classification society indicating that a cargo ship meets certain classification standards.


According to international practice, the classification certificate is generally issued by the Classification Society.


Classification societies are institutions engaged in ship inspection. Classification societies in the world are usually non-governmental organizations, but in my country, China Classification Society (China Classification Society) is a public institution directly under the Ministry of Communications.


Internationally renowned classification societies include Lloyd's, Germanischer Lloyd - GL, Det Norske Veritas - DNV, Bureau Veritas - BV, Japan Maritime Association (Nippon Kaiji Kyokai - NK), American Bureau of Shipping (American Bureau of Shipping - ABS), etc.


Vessel's Class is an index used by the international shipping community to assess the technical condition of a ship. In a sense, a ship's class can reflect the seaworthiness of a ship, so a violation of the rules of the ship's class can be regarded as a breach of contract.


2. Why do you need a class certificate?

There are strict rules for the construction and operation of ships, and the ship must be built according to the rules of the classification society you want to register. The materials used on the ship must be certified or inspected by them before they can be used; without the certificate, your product cannot be used on the ship.


The classification society conducts technical inspections on newly built ships, and those who pass the test will be given various safety facilities of the ship and awarded corresponding certificates - class certificate. In order to grasp the situation of the ship, especially in terms of safety and environmental protection, to protect the safety of cargo transportation, a class certificate is also required. Insurance companies may also charge different rates of cargo transportation insurance for ships of different classes.


3. Class certificate and other ship certificates

In my country's foreign trade operations, it may be encountered that the importer requests the certificate of classification (ship certificate) in the letter of credit, so the foreign trade and documentation personnel should understand and master this. The class certificate is one of the certification documents of the ship itself, and it is a relatively common ship certification document (ship certificate).


What is the Certificate of Registry? What do you want this certificate for?

1. What is the certificate of registry?

A certificate of registry is a document used to prove the nationality of the ship. That is, the flag of the ship. In which country the ship is registered, the flag of which country is attached.


The flag is also called Vessel's Nationality or Vessel's Flag. In times of war, the nationality or flag of a ship is related to the status of a neutral country, which directly affects whether the ship will be bombarded, detained, confiscated, requisitioned, and confiscated. In peacetime, it may affect the application of law, marine insurance, port charges, etc.


2. Why do I need a certificate of registry?

First look at the terms on the L/C letter of credit for a customer from an Islamic country:


Shipping on Israeli/Un-Sanctioned Flag Vessels Are Prohibited.


A Certificate Regarding This Must Be Attached With original Shipping Documents.


Consciousness says that shipments on ships using the Israeli flag are prohibited. Do you know what the certificate of registry is used for?


Why are there such "weird" terms and requirements? Because some Islamic countries have hostile relations with Israel.


At present, for goods going to Arab countries, customers often require a certificate that the cargo is not a ship of Israeli nationality, that it does not call at Israeli ports during the voyage, and that it is not a ship on the blacklist of Arab countries. In shipping practice, it is often referred to as "three no proofs".


3. Certificate of registry and other certificates

In my country's foreign trade operations, the importer may ask for the certificate of registry (ship certificate) in the letter of credit, so the foreign trader and the document personnel should understand and master this. Ship registration certificate is a common type of ship certificate (ship certificate). Other ship certificates include container ship certificate, ship age certificate, ship class certificate, etc.


【How to avoid the big pit of releasing goods without a bill of lading? What if it is FOB designated goods? 】

Delivery without a bill of lading generally refers to delivery without an original bill of lading. The notifier is the act of releasing the goods with a duplicate bill of lading or a copy of the bill of lading and a letter of guarantee.


Since the original bill of lading has not been recovered, there is a greater risk in releasing goods without a bill of lading. In international trade, releasing goods without a bill of lading may make you fall into some big pits.


How to avoid falling into the big pit or trap of delivering goods without a bill of lading?

First, don't trust customers, don't be fooled by the so-called promises of customers, stick to your own payment principles, and don't put yourself and the company at huge risks just to get jobs. Don't take it for granted that you are an old customer or have a good relationship with the customer, or take it for granted that the customer is a powerful company. No matter what, the security of collection is the first. Especially in times of economic downturn, be extra careful.


After the goods are ready, the customer is urged to pay the balance and ship the goods. If you say good delivery and pay the balance, but the customer suddenly delays for various reasons, or changes the payment terms, you have to be careful. If it is a customer from developed countries in Europe and the United States, it is better. In South America, Africa and other places, the risk of fraud is higher.


What if it is FOB designated goods?

1. We all know that FOB goods are the freight forwarder/carrier designated by the customer. Once the goods are handed over to the freight forwarder or carrier, the control of the goods is not in your own hands, and you will be very passive. Therefore, FOB goods should pay special attention to:


2. Ask the designated forwarder to provide a copy of the business license - according to its business license, conduct the necessary background checks.


3. Sign a formal transportation contract with the designated forwarder.


4. After sending the consignment note to the designated forwarder, let it stamp the official seal on the consignment note and send it back (original if necessary).


5. Keep all records of mail, fax, etc. with the freight forwarder; declare the name and value of the goods truthfully when making customs declarations. Now that there is a claim for releasing the goods without a bill of lading, the State Maritime Court is based on the declared customs declaration form, not with the declaration form. The customer's pro forma invoice shall prevail.


6. After the goods are shipped, ask for the original bill of lading from the designated forwarder in time. If it is a whole container, the original bill of lading from the shipping company is required.


7. Request the original cost invoice from the designated forwarder in time.


8. After the goods are shipped, track the status of the goods in time. Usually, most shipping companies can check the status of the goods on their official website - just enter the container number or the bill of lading number. Don't neglect to track the goods because you are busy with work. .


9. To remind customers for money, if the customer does not reply by sending emails or faxes, they can send an official document to the designated freight forwarder in the name of their own company. When the goods are delivered to the consignee, the legal responsibility arising therefrom shall be borne by the freight forwarder. At the same time, you can call the customer to dunnage.


10. If a lot of e-mails and faxes are sent and the customer has no news, send an e-mail to tell the customer that if he does not remit the money, after the goods arrive, the goods will be returned, and at the same time, the customer will be blacklisted by China Customs.


What should I do if there is a delivery without a bill of lading?

Check the cargo situation through the shipping company's website. If the shipping company's website shows that the container has been emptied and loaded to other destinations, it means that the cargo has been taken away. At this time, the original bill of lading is still in the hands of the consignor, and it is recommended to deal with it as follows:


1. Send a lawyer's letter to the designated freight forwarder through a lawyer, saying that the goods have been picked up by the consignee, and ask the designated freight forwarder to compensate the consignor for the loss within a limited time.


2. If the designated freight forwarder fails to make compensation within the time limit, prepare all the original records and original cost invoices with the designated freight forwarder, find a lawyer specializing in maritime affairs, and prepare to sue the designated freight forwarder.


3. Tax refunds and bank interest can also be listed as compensation.


【What does the yard (CY) in freight forwarding container transportation mean? 】

1. What is a container yard?

Container Yard, referred to as CY. The handover method of container transportation, such as CY-CY, CY-CFS, etc., is like this. CY-CY means yard to yard, which is the most common handover method for FCL shipping by sea.


A container yard, often referred to as a yard. It refers to the place where the loading and unloading, handling, transshipment, storage, maintenance, washing, fumigation and handover of heavy or empty containers are handled. Container yards play an important role in container transportation.


2. What types of storage yards are there?

Container yards can be divided into many types, such as: Mainland container yards, port container yards, customs-supervised container yards, foreign trade container yards, terminal container yards, public container yards, transit container yards, dangerous goods containers Yard, front/rear container yard, heavy/empty container yard, etc.


The following mainly introduces the front, rear and empty container yards.


(1) Front yard

It refers to the site where containers are temporarily stacked in front of the container terminal in order to speed up the loading and unloading of ships. Its function is: when the container ship arrives at the port, the export containers are neatly stacked in a planned and orderly manner according to the stowage requirements (some people call it a port), and the imported containers are temporarily stacked in front of the wharf when unloading the ship to speed up the loading and unloading of the ship. Operation.


(2) Rear storage yard

A place where heavy or empty boxes are handed over, kept and stacked. In some countries, container yards are not divided into front yards or rear yards, which are collectively referred to as yards. The container rear yard is an integral part of the container handling area. It is the place where the FCL of the container transportation "on-site" handover method is handed over (actually it is handed over at the "gateway" of the container loading and unloading area).


(3) Empty container yard

Refers to the site dedicated to the collection, storage, storage or handover of empty containers. It is specially set up when the container handling area or the transfer station yard is insufficient. This kind of yard does not handle heavy box or cargo handover. It can be operated independently, or it can be set up outside the area by the container handling area. In some countries, the operation of such empty container yards must be declared to the shipping association.


3. What is the function of the yard?

The role of the container yard includes storage and storage, container handover, port loading, handling of special containers, container repair, etc.


For the export of shipping containers, the role of the yard is to gather all the containers of export customers somewhere (regardless of customs clearance), and then board the ship after the port cut-off time (it must have cleared customs at this time). That is to say, the yard is a unified gathering place for containers before customs clearance and boarding. The container goods in the yard are waiting for customs clearance, which is convenient for the management of shipping companies and customs.


——Many customs stipulate that heavy containers must enter the customs-supervised container yard (meaning that the goods are already under the control of customs) before they can be declared.


4. What is the difference between CY and CFS at the freight station?


Container Freight Station (CFS) generally refers to a place where LCL cargo is handled in a narrow sense. The specific business usually includes the handover of LCL cargo, stowage and stowage, packing, unpacking, distribution and tally, etc.


The container yard (CY) is generally used for the handover of FCL. The difference between the two can be simply understood as - the freight station is suitable for LCL cargo, and the yard is suitable for FCL cargo. Of course, this is not absolute, and the actual situation will be very complicated.


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