Bill of lading - A contract between the owner of the goods and the carrier. There are primarily two types of ladings. A straight bill of lading is nonnegotiable. A negotiable or shipper's order bill of lading can be bought, sold, or traded while goods are in transit and is used for letter of credit transactions. The customer usually needs the original or a copy as proof of ownership to take possession of the goods.

Ocean Bill of Lading – The bill of lading (B/L) serves as a receipt for goods, an evidence of the contract of carriage, and a document of title to the goods. The carrier (VOCC) issues the B/L according to the information in a dock receipt provided by the shipping company of the freight forwarder, or in some cases according to a completed working copy of the B/L supplied by the customs broker.

The B/L must indicate that the goods have been loaded on board or shipped on a named vessel, number of pcs. And the definition of goods on board/ shipment.  And it must be signed or authenticated by the carrier or the master, or the agent on behalf of the carrier or the master. The signature or authentication must be identified as carrier or master, and in the case of agent signing or authenticating, the name and capacity of the carrier or the master on whose behalf such agent signs or authenticates must be indicated.

Common carrier - A carrier that offers its facilities to the public as being in the business of transporting goods and passengers for compensation.

• NVOCC (Non-Vessel Operating Common Carrier) - It is a person or company (often a forwarding agent) who does not own or operate the carrying ship but who contracts with a shipping line for the carriage of the goods of third parties to whom he normally issues a house bill of lading.

Backhaul - To haul a shipment or empty container/vessel back over part of a route it has traveled.

Container - A container is a box designed to enable goods to be sent from origination to destination without the contents being handled. Where bulk systems require grain to be handled directly three or four times or more during transportation, grain in a container is not handled until unloaded at its final destination. So it is a way of preserving the identity of grain during transportation.

Containers can be sealed until delivery regardless of whether they are shipped by truck, rail, barge, ocean going vessel, or a combination of transportation methods. Grain quality can be maintained by using a container liner, bulk bags, or mini bags. 

Containers can also be used as a means of storing specialty grains from production until delivery. Containers are the most feasible way of providing just-in-time service.

• FEU (Forty-Foot Equivalent Unit) - It is the unit of measurement equivalent to one 40-foot container. It is also used to quantify the container capacity of a ship, the number of containers carried on a particular voyage or over a period of time, or it may be the unit on which freight is based.

• TEU (Twenty-Foot Equivalent Unit) - It is a unit of measurement equivalent to one 20-foot container. It is also used to quantify the container capacity of a ship, the number of containers carried on a particular voyage over a period of time, or it may be the unit on which freight is based.

• LCL – (lose container load) - Consolidated shipments via sea or air, rates are based on volume or weight, for air shipments the calculation is done by weight or kg volume  

Contract carrier - A private carrier. A carrier that engages to transport goods or passengers on a particular instance, but that does not hold out its facilities to the general public.

Cargo preference - A policy that requires that a certain portion of commodities exported from the US be shipped in American vessels.

C & F (cost and freight ) - Cost and freight paid to the destination (included in the price).

C.I.F. (cost, insurance, freight) - Cost, insurance and freight paid to the destination (included in the price).

C.O.D. (cash on delivery) - Buyer pays the seller cash for the product when it is delivered to a specific destination.
Drayage - Charge made for local hauling by truck.

F.O.B. (free on board) - Usually covers all delivery, inspection, and elevation costs involved in putting commodities or products on board whatever shipment conveyance is being used.

F.A.S. (free along side) - The seller covers all costs up to and including placing the commodity on a dock ready for loading.

Freight forwarder - Duties include the booking of space on a ship or airplane and providing all the necessary documentation and arranging customs clearance. A transportation company that pools their shipments to achieve lower freight rates. Savings are sometimes passed on to shippers.

JIT (Just-in-Time) - A method of inventory control where warehousing is minimal or non-existent. The product is received not too early or not too late but "just in time".

OSRA (Ocean Shipping Reform Act of 1998) - Enacted on May 1 of 1999, the intent of the legislation is to help equalize competition among carriers and bring new flexibility for shippers in dealing with carriers.

Private carrier - A company that owns the goods that it ships.

Shipper’s cooperative - A group of shippers who combine their shipments to achieve lower freight charges.

Tariff - A publication setting forth the charges, rates, and rules of transportation companies.

ETD – Estimated time of departure

ETA – Estimated time of arrival

BAF - Bunker adjustment factor or BAF refers to floating part of sea freight charges which represents additions due to oil prices. Usually BAF charges are determined by Carrier Conferences to be applicable for a certain period on a certain trade route

Roll-on/roll-off (RORO or ro-ro) ships are ferries designed to carry wheeled cargo such as automobiles, trucks, semi-trailer trucks, trailers or railroad cars. This is in contrast to lo-lo (lift on-lift off) vessels which use a crane to load and unload cargo.