Glossary

Customs clearance is a mandatory process for global shipments that involves cargo inspection, proper paperwork and cargo loading.

The Federal Maritime Commission (FMC ) oversees & regulates U.S. global ocean commerce to safeguard the shipping public from unfair competition.

NVOCCs are vessel-less ocean carriers that consolidate shipments, issue House Bills of Lading, and negotiate rates using their own tariff structure.

A Bill of Lading is a legal document for shipped goods serving as a receipt, carriage contract, and title document.

A Tailgate Exam is a visual inspection of a container’s interior by Customs officials to check for anomalies or contraband.

Certificate of Origin (CoO) confirms the product’s country of origin, which is essential for customs clearance and relevant duties determination.

A Forty-Foot Equivalent Unit (FEU) denotes a 40-foot container’s volume, instrumental for cargo capacity assessment & shipping costs calculation.

Break bulk is the shipment of oversized or non-standard size and shape goods, requiring labor-intensive handling & specialized equipment.

Customs Bond is a type of financial guarantee required for certain imports to ensure payment of duties and help streamline customs clearance.

A Service Level Agreement (SLA) in logistics is a contract defining service quality and performance metrics between provider and client.

The Merchandise Processing Fee (MPF) is an ad-valorem fee at 0.3464% of imported goods’ value, imposed by U.S. Customs for processing of imports.

A Centralized Examination Station (CES) is a private facility designated by CBP for efficient physical examination of imported or exported cargo.

Bulk cargo refers to loose and unpackaged items, including raw materials shipped in large quantities. It is categorized into liquid bulk and dry bulk.

High cube containers (HC) are 9.6‘ tall & come in 40’ or 45‘ lengths. They offer more cargo space than standard containers due to their extra height.

A Twenty-foot Equivalent Unit (TEU) is a standard metric for gauging container volume, measured in terms of 20-foot-long containers. 2 TEU = 1 FEU