A

Automatic identification
To identify respective items in a cargo according to their assigned codes by using a scanning device, inputting the data automatically into the computer system. Those assigned codes usually come in the form of bar coding, magnetic stripes, optical character recognition and radio frequency (RF).

B

Bonded
The action of storing goods where imported duties are not yet paid to the Customs. Such action involves:

• Bonded goods - a general term referring to those goods which duties have not been paid
• Bonded store - a location on a vessel where bonded goods are stored till the vessel leaves the port
• Bonded warehouse - a warehouse used to store bonded goods

C

Cargo assembly
The receipt of packages of goods, parcels or boxes from separate owners in preparation for consolidation into one single consignment, a procedure of common operation in cargo industries.

Consignee
The designated party or person for whom the consignment of goods to be delivered to. An essential piece of information on shipping documents.

Container Freight Station (CFS)
A facility tailor-made for centrally handling exported LCL cargo from shippers for consolidating into containers, and imported LCL cargo unloaded from containers to be delivered to appointed consignees.

Clearance terminal
Terminals with customs facilities to handle the clearance procedures of imported and exported goods.

Consolidated container
The consolidation of separate parcels or shipments from different shippers into one single container and delivered to one or more consignees.

Customer pick up
Customers arrange cargo pick-up at warehouses by themselves.

D

Declaration of origin
A statement issued by manufacturers, producers or suppliers stating clearly the origins of the goods, usually attached to the invoices or customs documents for customs clearance.

Delivery reliability
The level of fulfillment of which the goods are delivered at the right time, to the right place, of the right quantity and quality in compliance with the specifications of order.

Despatch advice
A statement issued by shippers for the attention of the consignee, confirming that goods are ready to be shipped or already have been shipped, with specifications of the shipment stated.

Distribution Centre (DC)
Warehouses dedicated to receive, store and despatch shipments and cargoes for customers.

E

Electronic Data Interchange (EDI)
The common channel of transmitting relevant data via computers in the same format by a commonly used application software as agreed by both the receivers, senders and relevant parties.

EXW (Ex Works)
means that the seller fulfills his obligation to deliver when he has made the goods available at his premises (i.e. works, factory, warehouse, etc) to the buyer, he is not responsible for loading the goods on the vehicle provided by the buyer or for clearing the goods for export, unless otherwise agreed. The buyer bears all cost and risks involved in taking the goods from the seller's premises to the desired destination. This terms thus represents the minimum obligation for the seller.

F

Free On Board (FOB)
A common term regarding the liability on delivery of goods. When goods have been passed over the ship's rail at the named port of shipment, it should be the buyers instead of the sellers to bear all costs, risks of loss of or damage to the goods afterwards. The sellers are required to clear the goods for export under the FOB terms. This term can only be used for sea or inland waterway transport when the ship's rail serves no practical purpose.

Free Trade Zone (FTZ)
Specific areas in the territory where all goods stored are treated as dutiable goods with all relevant taxes exempted.

Freight forwarder
Party / agent responsible for arranging carriage of goods that include the connected parts and / or related formalities on behalf of a shipper / consignee.

Full Container Load (FCL)
In operational terms, FCL (full container load) container is when a consignment takes up all the container space of a standard container equipment for shipping.

H

Hub
The transhipment focal point / centre in a transport chain, which serves consignees and / or consignors by means of spokes.

I

INCOTerms
This refers to a set of international rules for the interpretation of TRADE TERMS.

Integrated logistics support
To provide customers with reliable service through a systematic approach of simultaneous management and acquisition of equipment and logistics facilities. Life cycle cost can therefore be maintained at an optimum level for effective supply chain management.

International Air Transport Association (IATA)
Founded in 1945, IATA is an international organization of airlines, aiming at promoting commercial air traffic. Members have to co-operate and to abide by certain rules, procedures and tariffs.

J

Just In Time (JIT)
The procurement, movement / delivery of materials / goods to the right place, and at the right time.

L

Less than Container Load (LCL)
In operational terms, LCL (less than full container load) container is a container in which there are multiple consignments / parts being shipped.

Logistics chain
Successive links that are involved in the planning, execution and control of the movement and storage of materials / goods, and of the supporting activities related to such movement.

M

Multimodal transport
Refers to transport where at least two different modes are involved in the carriage of materials / goods.

N

Notify party
Party to be notified upon arrival of goods in addition to the consignee.

P

Project management
Management of a transport related project, in which the design and implementation of logistics solutions such as resource planning, costing and profits are involved.

R

Reverse logistics
Activities leading up to the collection of used, damaged, or outdated products / or packaging from end-users.

S

Shipper
Party by whom a contract of carriage of goods are concluded with a carrier, or any party by whom the goods are delivered to the carrier with a contract of carriage signed.

T

Track & trace
To proactively track the materials / goods along the whole supply chain, and the paper information flow relating to this order.

Transhipment
The breaking of sea transport part of one single shipment under one bill of lading into two or more parts. The port where the shipment is broken is called the transhipment port. Also commonly interpreted as the transfer of cargo from one mode of transport to another mode during the course of one transport operation.

V

Vendor
Party who sells merchandise / materials to buyers.

W

Warehousing
The storage and handling activities of goods in a warehouse/store.