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What you should know when using a Freight Companies & Trucking Companies

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Shipping is the transport of cargo between seaports by ships, typically large steel vessels powered by diesel engines or steam turbine plants. Cargo is a term used to denotes goods or produce being transported generally for commercial gain, usually on a ship, plane, train or lorry. Containers are used in all intermodal long-haul cargo transport. The money charged by the carrier for transporting goods.

(Consult the glossary at the bottom of this page to learn more about customs brokers, freight and shipping terms)

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Accessorials: Charges by the carrier for address corrections and missing account numbers, among other errors.

Bill of lading: Document that serves as the carrier’s acknowledgement of receipt of goods for shipping.

Certificate of origin: Document required for a package to clear customs in some countries that limit imports from certain nations.

Delivery density: Number of packages being delivered to a particular destination.

Day-definite delivery: Agreement of a carrier to deliver a package by a certain date.

Drop-ship: To have the manufacturer handle delivery to the end user, rather than the reseller stocking the merchandise in its distribution center and then shipping the goods to the buyer.

Geotype reports: Reports from a carrier showing what portion of a shipper’s deliveries go to superrural, rural, suburban, urban, and superurban locales.

LTL: Less than truckload, shipments that do not fill a trailer and can be consolidated with shipments from other senders to save money.

LTL shipper: Carrier that consolidates smaller shipments from multiple shippers, using strategically placed hubs; also called consolidator.

Rate-shopping software: Software that determines the most cost-effective carrier for each package, based on criteria such as package weight and destination.

Portfolio pricing: Bundling of a package carrier’s services within a contract, which includes the creation of revenue tiers that determine a client’s volume discounts.

Tariff code: Product-specific code of 6-10 digits, as determined by the World Customs Organization, that is required on international shipping documents for tax purposes.

TL: Truckload.

TL shipper: Carrier that handles only full truckloads.

Zone reports: Reports from a carrier showing how much volume a client ships to each zone.

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