Air Waybill
The Air Waybill is a document used by the airlines for air freight shipments and is a non- negotiable Bill of Lading. The AWB acts as a receipt for cargo and a contract for transportation between shipper and air carrier. It is a contract for carriage that includes carrier conditions of carriage including such items as limits of liability and claims procedures. The air waybill also contains shipping instructions to airlines, a description of the commodity and applicable transportation charges. Air waybills are used by many truckers as through documents for coordinated air/truck service. Unlike an ocean carrier with a "to order" ocean bill of lading, the air carrier must deliver the shipment to the ultimate consignee named on the AWB. International Air Waybills, commonly called "airline air waybills", are used by the air carriers; "House Air Waybills," or "neutral air waybills," are used by Freight Forwarders to consolidate other manufacturer's shipments with the air carriers' International Air Waybills.

Certificates of Origin
The Certificate of Origin is a document attesting to the goods country of origin. A certificate of origin maybe required by the customs authorities of a country as part of the import entry process. The C/O is signed by the shipper, and may also be certified by a local Chamber of Commerce, notarized, and for control purposes may be visaed by a resident foreign government or for the foreign importer to ensure the receiving goods are manufactured in a specific country. C/Os are required for duty reductions on goods shipped to countries bound by Free Trade Agreements, (e.g. Canada and Mexico or NAFTA).

Charter Party - Contract
A Charter Party is a contract signed between a ship owner and a charterer who hires the vessel for a period (Time Charter) or for a particular voyage (Voyage Charter). There are many types of Charter Parties, and most are codified by various shipping associations. This contract will precisely designate freight room of a ship or the whole ship as leased by the owner to a charterer for a specific period, specific voyage or voyages. If a ship is chartered without crew this is a bare boat charter. The freight documents issued by the current charterer or his authorized party are called charter party bills of lading.

Collection Letter
A collection letter is an instrument used to move commercial documents (Invoices, Packing List, Bill of Lading, etc.) to a remitting bank for processing to a collection bank for settlement from the buyer. This Collection Letter document is used by the remitting bank to forward complete and precise instructions to the collecting bank. Refer to the Transmittal Letter entry for additional information.

Commercial Invoice
A Commercial Invoice is a basic statement of the seller to the buyer for payment of the goods shipped. The invoice, as a document, must conform to requirements specified in any Letter of Credit, foreign government import controls, and U.S. Export Control regulations regarding destination statements. The invoice is used as one of the primary documents in the collection process, and is the controlling document used by import customs for control purposes, valuation, quotas, taxes and duty determination. The C/I identifies the seller and buyer of goods and services and should contain identifying numbers such as invoice number and date, shipping date, and a complete listing and description of the goods or services being sold including prices, discounts and quantities, kind of currency, terms of sale, payment and delivery terms, bills of lading numbers, mode of transport, Letter of Credit numbers, import license numbers, shipper and consignee names, and shipping marks and numbers. Commercial invoices are usually signed by the exporter. A commercial invoice is often used by both import and export governments to determine the true (transaction) value of goods for the assessment of customs duties, for export control, and consularized documentation. Governments using the commercial invoice to control imports often specify its form, content, number of copies, language, and other distinctive elements vital to the process.

Consular Invoice
A consular invoice covering a shipment of goods certified (usually in triplicate) by the consul of the country for which the merchandise is destined. This invoice is used by customs officials of the country of entry to verify the value, quantity, and nature of the merchandise imported. This document is usually stamped with an official seal.

Customs Invoice
An invoice, containing specific information for Customs clearance and valuation of imported shipments, is made out on a special form prescribed by the customs authorities of the importing country. These documents, used only in a few countries ,contain most of the elements of the Commercial Invoice, and are usually in the language of the importing country.

Delivery Instructions
This document, also called Delivery Orders, provides specific delivery instructions for the freight forwarder or carrier (transport company) stating exactly where the goods are to be delivered i.e. specific port, pier, terminal, airport, or steamship line, shipping carrier, delivery deadlines, name and address of consignee, and the contact name and telephone number of the shipper if delivery problems are encountered.

Dock Receipt
The Dock Receipt is a document issued by a warehouse supervisor or port officer to provide the exporter with a receipt indicating that the ocean terminal operator has taken custody of the shipment on behalf of the ocean carrier or shipping company. The Dock Receipt is proof of delivery of the goods from the exporter to the shipping company at the pier. The dock receipt is used to transfer accountability when an export item is moved by the domestic carrier to the port of embarkation and left with the international carrier for movement to its final destination.

Draft (Bill of Exchange)
A draft is a negotiable instrument, sometimes called a bank draft or bill of exchange, which contains an order to pay and is payable at sight or by a certain date. A draft is an unconditional order in writing, signed by a person or drawer (seller) to a buyer, and addressed to another person or drawee, (typically a bank), ordering the drawee to pay a certain sum of money to yet another person (payee), (often a seller). The most common versions of a bill of exchange are: A) A draft, wherein the drawer instructs the drawee to pay a certain amount to a named person. Sight drafts are payable when presented. Time drafts (also called usance drafts) are payable at a future fixed date or indeterminable date (e.g. 30,60,90 days etc.) Time drafts are used as a financing tool (as with Documents against Acceptance) to give the buyer time to pay for his purchase. B) A promissory note, wherein the issuer promises to pay a certain amount by a stated date.

Entry/Documents
A document required to secure the release of imported merchandise. In the U.S. Customs Form CF3461 (Applications & Special Permit for Immediate Delivery) allows the importer or Customs Broker to take immediate possession of most types of imported goods prior to payment of duties and processing of the official Entry Summary. The importer of record or Customs Broker has ten days to file the Entry Summary and pay the appropriate duties.

Entry Summary
A document filed by the importer or Customs Broker for merchandise entered into a country for consumption, warehousing, or temporarily in bond. This document is used for computing duties and fees, and for the compilation of import statistics. In the U.S. Customs Form CF7501 is the designated document to finalize an entry.

Export License (E/L)
A document issued by a government authorizing the export of commodities for which written export authorization is required by law. This document is prepared by a government authority, granting the right to export a specified quantity of a commodity to a specified country. An export license may be required in some countries for most or all exports and in other countries only under special circumstances. Under the Export Administration Act, the U.S. Departments. of Commerce, State, Energy are charged with controlling and licensing items exported from the U.S. for reasons of national security, short supply, and foreign policy. There are two basic types of export licenses: Individual Validated Licenses which must be authorized in writing; and General Licenses, which is a published authorization covering general commodities not subject to validated licensing.

Form A
A document required by customs from the foreign shipper to prove eligibility of merchandise under duty-free import programs. "Form A" document refers to a country of manufacturer or origin to enable favorable Customs assessment (usually duty free) for goods imported under the Generalized System of Preference (GSP) and the Caribbean Basin Initiative.

Form B
"Form B" acts as a U. S. exporter's origin declaration for shipments to Israel and is represented by the U.S./Israel Free Trade Area Certificate of Origin.

Harbor Maintenance Fee
Charges assessed to users for use of a harbor; used generally for maintenance of the harbor. In the U.S. Customs form CF349 is to be completed for all shipments which used a U.S. water port. Both exporters and importers must file a report within 30 days after each calendar quarter along with a transaction fee based on the value of the shipment to be paid.

Hazmat Bill of Lading
The Research and Special Programs Administration (RSPA) of the Department of Transportation provides specific regulations for shipping papers documenting hazardous material shipments. A hazardous, material, when so designated, is a substance or material which has been determined by the U.S. Secretary of Transportation to be capable of posing an unreasonable risk to health, safety, and property when transported in commerce. Title 49, Code of Federal Regulations (U.S.) Transportation - Parts 100-199, govern the transportation of hazardous materials. Hazardous materials may be transported domestically, but they may be classified as Dangerous Good when transported via air to international destinations.

Import License (I/L)
A document required and issued by some national governments authorizing importation of goods. The import license is a mechanism to control a currency available for the purchase of foreign produced goods. Many countries have currency exchange controls and use the Import License to limit the importation of goods.

Inland Bill of Lading
The Inland Bill of Lading is used to transport goods overland and to evidence receipt by an inland carrier for transport from the point of origin to the point of export. A through bill of lading (both an inland bill of lading and/or an ocean/air bill of lading) can sometimes be used for export shipments.

Inspection Certificate
A Certificate of Inspection document certifying the quality, quantity, and conformity of the goods to the Purchase Order or as advertised by the vendor. Inspection Certificates are generally obtained from independent, neutral testing organizations and are an affidavit verifying conformity to a set of industry, customer, government or carrier specifications prior to shipment.

Insurance Certificate
An insurance certificate indicates the type and amount of insurance coverage in force on a particular shipment. This legal binding document is used to assure the consignee that insurance is enforce for loss of or damage to the cargo while in transit. The certificate is sent to the bank, when required by Letter of Credit or Documentary Collection transactions, along with other collection documents, and with a demand (draft) to remit payment. Coverage is usually 110% of the value of cargo exported. In some cases a shipper can not certify that a shipment has been insured under a given open policy, and the certificate will take the place of such open policy. Because of the objections that an instrument of this kind did not constitute a "policy" within the requirements of a letter of credit, it has become the practice to use a special marine policy. A special marine policy makes no reference to an open policy and stands on its own as an obligation of the underwriting company.

International Import Certificate
A document required for the import of certain commodities. This certificate is usually used for export control purposes. For imports into the U.S., the importer would supply this form, after authorization by the U.S. Department of Commerce (Bureau of Export Administration ), to the foreign exporter so that the appropriate export authorization can be obtained from the foreign government.

In-Transit Declaration
The In-Transit Declaration (Department of Commerce form 7513) is prepared for shipments from one foreign country to another which in transit pass through the continental U.S., the U.S. Virgin Islands, or Puerto Rico. Also used for foreign origin merchandise to be re-exported from General Order warehouses and for imports rejected by the U.S. government.

Letter of Credit
The Letter of Credit is a financial instrument issued by an importer's bank (issuing bank) on behalf of the importer. The issuing bank generates its own credit for that of the importer, and undertakes a commitment to a designated beneficiary (the exporter). This commitment will state an amount, time period to ensure that the exporter complies with all the terms, provisions, and conditions of the Letter of Credit.

Loss and Damage Claim
This document is used to initiate an insurance compensation claim for goods lost or damaged while in transit. A comprehensive description of the items lost or damaged must be provided and supported with copies of the Commercial Invoice, Bill of Lading, and Insurance Certificate.

Manufacturer's Certificate
A Certificate of Manufacture is used when a buyer intends to partial pay for goods in advance of shipment, as the manufacturing process is lengthy and the buyer does not wish to tie up funds. Usually, the goods are manufactured after a small down payment. After goods are manufactured, the seller prepares a Manufacturer's Certificate stating that the goods have been produced according to the contract with the buyer. Upon receiving the certificate, the buyer forwards remaining payment and shipping instructions.

Ocean Bill of Lading
The Ocean Bill of Lading serves three main purposes;
1) as a contract to deliver the goods;
2) as a receipt from the ocean carrier for the goods shipped;
3) as a certificate of ownership.
Also used as an instrument of ownership (negotiable bill of lading) which can be bought, sold, or traded while the goods are in transit. To be used in this manner, this instrument must be a negotiable "Order" Bill-of-Lading. When the Ocean Bill of Lading is made out "To Order", endorsed and delivered to another party, the title of the goods is transferred to the other party. The "order" party can initiate a demand for delivery of the goods at the port of destination

Packing List
A document prepared by the shipper listing the kinds and quantities of merchandise in a particular shipment. A packing list describes the content, packaging (e.g. box, crate, pallet, or container), dimensions, and weight of the export shipment. This document is used to determine total shipping weight and volume (in both imperial and metric measures) by Customs officials to check cargo, and by the buyer to inventory merchandise received. Prices and item values are usually omitted from the packing list. Shipping marks, reference numbers, mode of shipment and carton numbers are also important elements in the packing list.

Phytosanitary Inspection Certificates
This document, also referred to as "plant health" certificate, is required by many foreign countries to import shipments of plants and plant products. This certificate certifies conformity to local plant quarantine import regulations with respect to pest and disease infestations. This certificate is issued by the U.S. Department of Agriculture to satisfy import regulations of foreign countries, indicating that a U.S. export shipment has been inspected and is free from harmful pests and plant diseases.

Pro Forma Invoice
The Pro Forma is used primarily to document to the buyer, prior to the sale of goods, specific product cost and terms of sale of a proposed export. The foreign buyer uses this document as a quotation from the exporter, as an application for an import license, for customs purposes in connection with shipments of samples, advertising material, etc. and to assist in applying for a Letter of Credit. The Pro Forma Invoice serves as the basis for the subsequent Commercial Invoice.

Power of Attorney
A written legal document by which one entity (principal) authorizes another entity (agent) to perform stated acts on the principal's behalf. Exporters and Importers use the document to authorize Freight Forwarders and Customs Brokers to act as their agents for export control and Customs purposes. Completed Power of Attorney documents, however, do not relieve importers or exporters from liability to the U.S. Government in the event of export control or import entry violations.

Shipper's Declaration for Dangerous Goods
Under the regulations of the Department of Transportation (DOT), the International Air Transport Association (IATA), and the International Maritime Organization (IMO), shippers and exporters are required to declare dangerous cargo to the air and ocean carriers being employed for the transaction. Both the IMO and IATA require specific documents to report hazardous goods, and these requirements are published in their respective Codes. IATA also provides a document specifically for non- restricted articles.

Shipper's Export Declaration (SED)
This document is prepared by the shipper (or agent) and reports all the pertinent export data of a transaction such as parties to the transaction, transportation details, product description, Schedule B Export-Import Commodity classifications, and value of the goods, as well as necessary regulatory information and certification signatures. Completion and requirements of the SED are governed by the Export Administration Regulations.

Shipper's Letter of Instruction (SLI)
These instructions are the exporter's directions on how to transact the exporter's shipment. The information conveyed includes a description of the goods and containers, the ultimate consignee, shipping distribution logistics desired, insurance essentials, and special requirements pertaining to the shipment. The SLI is used to authorize a carrier to issue a bill of lading or an air waybill on the shipper's behalf. The form contains all details of the shipment and authorizes the carrier to sign the bill of lading in the name of the shipper.

Single Access Document (SAD)
The Single Access Document is required for movement of goods through the countries of the European Economic Community. It is generally prepared by Customs Brokers in Europe for imports entering the EC.

Transmittal Letter
The transmittal letter is used to distribute various documents to the parties involved in the transaction. This letter contains the shipper's precise and complete instructions on how the documents are to be handled and the payments remitted.