Frequently Asked Questions FAQ
What is an OBL (Original Bill of Lading)?
An Original Bill of Lading (OBL) is a legal document issued by a carrier to a shipper.
It serves as a receipt for the goods, a contract of carriage and proof of ownership.
The holder of the OBL is entitled to the goods and can claim them at the destination.
What is an Express BL (Express Bill of Lading)?
An Express Bill of Lading (Express BL) is a non-negotiable document that is processed faster than an OBL.
It simplifies the procedure by eliminating the need for physical documents and allows the recipient to claim the goods without presenting the original paperwork.
How many pallets fit in a container
Standard containers: 20ft container: about 10-11 Euro pallets (120×80 cm) or 9-10 standard American pallets (120×100 cm).
40ft container: about 21-22 Euro pallets or 20-21 standard US pallets. Pallet Wide (PW) containers: 20ft PW container: about 14 Euro pallets or 11 standard American pallets.
40ft PW container: about 30 Euro pallets or 24 standard American pallets. High Cube (HC) containers: 40ft HC container: the same capacity as the standard 40ft container, but with extra height, which can be advantageous for bulky loads.
This still means about 21-22 Euro pallets or 20-21 standard US pallets, but with more vertical space.
45ft HC container: about 24-25 Euro pallets or 22-23 standard US pallets. 45ft Pallet Wide (PW) containers: 45ft PW container: about 33 Euro pallets or 27 standard US pallets.
These variants of containers are designed to maximize space efficiency, especially when transporting large quantities of pallets.
Pallet Wide containers offer more width to carry extra pallets, while High Cube containers offer extra height for bulky loads.
What is an HS (Harmonized System code) code?
An HS code (Harmonized System code) is an international standardized system of names and numbers to classify marketable products.
It is used by customs authorities worldwide to calculate import duties and keep track of trade statistics.
What are Incoterms and why are they important?
Incoterms (International Commercial Terms) are standardized terms of trade that define the responsibilities of buyer and seller in international trade.
They determine who is responsible for the costs and risks while transporting goods from the seller to the buyer.
Here are some important Incoterms and their explanation: EXW (Ex Works): The seller delivers the goods ready for collection at their own location or other agreed place.
The buyer is responsible for all costs and risks from that point on, including transportation, insurance, and customs clearance.
EXW means that the seller has the minimum responsibility. FOB (Free on Board): The seller bears the costs and risks until the goods are loaded on board the vessel.
From that moment on, the costs and risks are for the buyer.
The seller is responsible for arranging transportation to the port of shipment and handling export formalities.
The buyer arranges international transportation, insurance, and customs clearance at the destination. CFR (Cost and Freight): The seller bears the cost of transportation to the agreed port of destination, but the risk of loss or damage to the goods passes to the buyer once the goods are on board the ship.
The seller must also pay the cost of freight up to the port of destination.
The buyer is responsible for insurance and customs clearance upon arrival. CIF (Cost, Insurance, and Freight): The seller is responsible for the cost of transportation, insurance, and freight to the agreed port of destination.
This means that the seller must also purchase insurance for the goods to protect the buyer from any loss or damage in transit.
The risk passes to the buyer once the goods are on board the ship, but the seller covers the cost until the destination.
These Incoterms are crucial because they make clear agreements about who bears which costs and risks during the various phases of transport.
This helps to avoid misunderstandings and disputes between buyer and seller and ensures smooth handling of international shipments.
What is the difference between FCL and LCL shipping?
FCL (Full Container Load) means that one shipment fills an entire container, while LCL (Less than Container Load) means that the container is shared with shipments from other shippers.
FCL tends to be faster and safer, while LCL is cost-effective for smaller shipments.
What is a commercial invoice and why is it necessary?
A commercial invoice is a document that describes the goods sold and lists the price, quantity, and shipping terms.
It is essential for customs clearance because it is the basis for calculating duties and taxes.
What is a packing list and why is it important?
A packing list is a document that provides detailed information about the contents of a shipment, including the description of the items, quantities, and packaging details.
It is important for customs clearance and logistics management as it helps in identifying and verifying the goods.
What are the maximum weight and size restrictions for air and sea freight?
For air freight, restrictions vary by airline and aircraft type, but in general, the maximum weight limit is around 1,000 kg per pallet, with a height restriction of 160-200 cm.
For ocean freight, the limits depend on the container type; A 20ft container can hold up to 28,000kg, while a 40ft container can carry up to 30,000kg, with standard interior dimensions of around 2.35 x 2.39 x 5.90 metres (20ft) or 2.35 x 2.39 x 12.02 metres (40ft).
What is a freight forwarder and what do they do?
A freight forwarder is a company that offers logistics services, such as organizing the transportation of goods, arranging documentation, and handling customs clearance.
They act as an intermediary between the shipper and the carriers to ensure efficient and cost-effective shipping.
What are the costs for demurrage and detention and how can I avoid them?
Demurrage fees will be charged when containers stay at the terminal for longer than the allowed free time.
Detention costs arise when containers are kept outside the terminal for longer than the permitted time.
These costs can be avoided through efficient planning and coordination of shipping and timely return of containers.
What does it mean if my shipment is 'held up at customs'?
If a shipment is ‘held up at customs’, it means that the customs authorities are holding the goods for inspection, document control or other reasons such as unclear or missing documents.
To resolve this, you must comply with customs requirements and provide the requested information or documents.
What are the most important customs regulations I need to know for my destination?
Major customs regulations vary by country and may include duties, taxes, prohibited and restricted goods, documentation requirements, and compliance procedures.
It is essential to know the specific rules of the destination country and ensure that all documents are correct and complete.
Please contact us for advice.
How can I calculate the import tariffs and taxes for my shipment?
Import tariffs and taxes can be calculated based on the value of the goods, the HS code, and the customs regulations of the destination country.
Tools such as the customs tariff databases and calculators provided by the destination country’s customs authorities can help calculate these costs.
We can also do this for you, please contact us for advice.
What is a Certificate of Origin and when is it needed?
A Certificate of Origin is a document that certifies the country in which the goods were produced.
It is needed for customs clearance and may affect the import duties that apply.
It is often required in trade agreements between countries that offer preferential tariffs on goods from certain regions.
What is a EUR1 document and when is it needed?
A EUR1 document is a certificate of origin used to confirm the origin of goods and to qualify for preferential import duties within the European Union (EU).
This document is intended to prove that the goods comply with the rules of origin and can lead to a reduction or elimination of import duties when imported into another country within the EU or other countries that have a trade agreement with the EU.
The EUR1 document is often used in trade relations with countries outside the EU that have a preferential trade agreement with the EU, such as countries in the Mediterranean or other partners in free trade agreements.
What is a CMR consignment note and when is it needed?
A CMR consignment note is an international transport document used for the carriage of goods by road between countries that are signatories to the CMR Convention (Convention on the Contract for the International Carriage of Goods by Road).
The CMR Convention regulates the legal and contractual obligations of the parties involved in long-distance road transport.
Key features of the CMR Bill of Lading include: Insurance and Liability: The CMR Bill of Lading specifies the responsibilities and liabilities of the carrier and the shipper.
The document contains provisions on compensation and liability in the event of loss or damage to the goods in transit.
Proof of Contract: It serves as proof of the contract of carriage between the shipper (exporter) and the carrier.
The document confirms that the carrier has received the goods and that he will transport them to the destination according to the terms of the contract.
Content and information: The CMR consignment note contains detailed information about the shipment, such as the description of the goods, the number and nature of the packages, the weight, the destination, and the names and addresses of the sender, recipient, and carrier.
Customs formalities: The document can also be useful for customs formalities, although it usually does not serve as proof of ownership.
In some cases, it can be used for the import or export declaration.
Non-negotiable: Unlike some other transport documents such as the Bill of Lading, the CMR bill of lading is not negotiable.
This means that the transfer of the goods cannot take place by means of the CMR document.
The CMR consignment note is an essential document for international road transport within Europe and other countries that are parties to the CMR Convention.
It provides a structured and legal basis for the transport of goods by road and provides protection and clarity for all parties involved.
What is an ATR document and when is it needed?
An ATR document is a certificate of origin used for importing goods from Turkey and European Free Trade Association (EFTA) countries, such as Switzerland, Norway, and Iceland, to the European Union (EU).
The ATR document confirms that the goods comply with the rules of origin and is intended to benefit from preferential import duties within the EU.
This means that goods with an ATR document can benefit from lower or even no import duties when imported into the EU, provided that they meet the requirements of the preferential trade agreement.
The ATR document is often used in trade relations with these specific countries and helps simplify customs procedures and promote trade by providing tax benefits.
What is a T1 document and when is it needed?
A T1 document is a customs document that is used for the temporary importation of goods within the European Union (EU) that originate from non-EU countries.
It aims to move the goods under customs supervision without having to pay customs duties and taxes until the goods have arrived at the EU destination.
The T1 document is used for transit shipments, where the goods are transported from one EU country to another EU country via a non-EU country.
The document contains information about the consignment, the goods and the parties involved and serves as proof of temporary importation under customs conditions.
What is an ATA carnet and when is it needed?
An ATA carnet is an international customs document used for temporary import and export of goods.
The ATA carnet, often referred to as an “international passport for goods,” allows goods to be temporarily used in another country without having to pay customs duties and taxes, provided that the goods are returned to the country of origin within a certain period of time.
The ATA carnet is widely used for trade fairs, exhibitions, and professional equipment.
The document is recognized in most countries and helps simplify customs procedures for temporary shipments.