A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

A

Abandonment

The act of relinquishing claim or right to property.

About

"About", "Approx.", and "Circa" are terms which when used in a letter of credit, are construed to allow a difference not to exceed 10% more or 10% less than the monetary amount, or the quantity, or the unit price stipulated in the letter of credit.

Absolute Advantage

An advantage of one nation or area over another in the costs of producing an item in terms of used resources.

Absorption

1. An economic term for the total expenditures by a nation's residents on goods and services.
2. The assumption by one carrier of the charges of another without any increase in the charges to the shipper.

Accelerated Tariff Elimination

The reduction of import duties faster than originally had been agreed upon or projected.

Acceptance

1. A draft calling for payment at a future date which the drawee has agreed to pay by signing "Accepted" on the draft.
2. An unconditional assent to an offer; or an assent to an offer conditioned on only minor changes that do not affect any material terms of the offer;
3. An agreement to purchase goods on specified terms.
4. Receipt of a shipment by a consignee thus terminating the liability of the carrier for delivery.

Acceptance Letter Of Credit

A letter of credit which instead of agreeing to pay the beneficiary immediately upon presentation of documents, requires presentation of a time draft drawn by the beneficiary upon the issuing bank or another bank. However, the beneficiary may, in effect, obtain prompt payment by discounting the draft.

Accepted Draft

A draft or a bill of exchange accepted by the drawee (acceptor) by putting his signature and "accepted' on its face. In doing so, he commits himself to pay the bill upon presentation at maturity.

Accepting Bank

A bank which by signing 'accepted' on a time draft accepts responsibility to pay when the draft becomes due.

Acceptor

The party that signs 'accepted' on a draft or obligation, agreeing to pay the stated sum at maturity.

Accession

Accession is a process by which a country becomes a member of an international agreement (usually an agreement that has already been accepted by other countries).

Accessorial Charges

In transportation, those charges made for additional, supplemental, or special services performed in addition to the basic transportation service.

Accessorial Services

`In transportation, services performed which are additional, supplemental, or special, in addition to the basic transportation service.

Accommodation

An arrangement or engagement made as a favor to another, not dependent upon a consideration received.

Accommodation Note Or Paper

A bill of exchange or banker's acceptance which is endorsed, accepted, or drawn by one party (the accommodating party) to benefit another party. The accommodating party generally does not charge or seek compensation for this act.

Accord And Satisfaction

A means of discharging a claim whereby the parties agree to give and accept something in settlement and perform the agreement, the agreement being the "accord" and its performance "the satisfaction."

Account Number

An identification number assigned in its records for purposes of faster and more accurate accounting and record keeping, by banks, institutions, and businesses of all kind to their depositors, users, members, subscribers, customers, vendors, or other entities.

Account Party

Same as Applicant, the party at whose request a bank issues a letter of credit.

Accounts Payable

A current liability representing the amounts owed to creditors for merchandise or services purchased on open account or short-term credit.

Accounts Receivable

The amount of money a business expects to receive for merchandise or services furnished by it to others on open account.

Accrual Of Obligation

The maturing of an obligation to the date when the obligated party must perform. (Such as a time draft which must be paid by the drawee on the date stated.)

Acquisition

The act of becoming owner of a property. In finance, it is the purchase of a company's assets or its common stock.

Act Of God

A violent act of nature such as lightning, flood, earthquake or hurricane which man can neither cause nor intervene with.

Action Ex Contractu

1. A legal action for breach of a promise stated in an express or implied contract.
2. An action arising out of a contract.

Action Ex Delicto

1. A legal action for a breach of a duty that is not stated in a contract but arises from the contract.
2. A legal action that arises from a wrongful act, such as fraud, fault, misconduct or malfeasance.

Ad Valorem Duty

Duty calculated on the basis of value (usually a percentage of the value.)

Address Of Record

The official or primary location for an individual, company, or other organization.

Adhesion Contract

A contract with standard, often printed, terms for sale of goods and services, offered to consumers who usually cannot negotiate any changes in the terms and cannot acquire the product unless they agree to them.

Admiralty

Any civil or criminal matter having to do with maritime legal issues.

Admiralty Court

A court of law that has jurisdiction over maritime legal issues.

Advance Against Collection

A short term loan or credit extended to a seller (usually the exporter) by the seller's bank once a draft has been accepted by the buyer (generally the importer).

Advance Arrangements

In transportation, advance arrangements must be made for certain kinds of cargo which require special handling: hazardous cargo, over weight, over sized, over normal quantity, time sensitive, shipped unpacked, live animals etc. Not every carrier can or will transport every kind of cargo.

Advanced Technology Products (ATP)

Products whose technology is from a recognized high technology field, represent leading edge technology in that field, and constitute a significant part of all items covered in the selected classification code.

Advice

1. A report from one party to another informing them of an occurrence with regard to some business transaction: a shipment, a collection, a manufacture etc.etc.
2. A notification by an advising bank on behalf of the issuing bank to a beneficiary informing them of the terms of a letter of credit,

Advised Credit

A letter of credit whose terms and conditions have been notified to the beneficiary by an advising bank on behalf of the issuing bank. The advising bank does not thereby commit itself to pay or guarantee the payment of the letter of credit.

Advising Bank

An 'advising bank' is a correspondent of a bank which issues a letter of credit, and, on behalf of the issuing bank, the advising bank notifies the beneficiary of the terms of the credit, without engagement on its part to pay or guarantee the credit.

Advisory Committee On Export Policy

A U.S. government interagency dispute resolution body that operates at the Assistant Secretary level.

Advisory Committee On Trade Policy And Negotiation

A U.S. government group appointed by the President to provide advice on matters of trade policy and related issues, including trade agreements.

Affiliate

A condition of being united, allied, associated, or attached. An affiliate company is one effectively controlled by another.

Affreightment Contract

A contract with a ship owner to hire all or part of a ship for transporting goods - may involve a charter.

Afloat

Refers to a shipment of cargo which is currently on board a vessel between ports

Aft

At or towards the stern of the ship or the tail of the aircraft.

After Date

A notation used on financial instruments (such as drafts or bills of exchange) to fix the maturity date as a fixed number of days past the date of drawing of the draft.

After Sight

A notation on a draft that indicates that payment is due a stated number of days after the draft has been presented to the drawee.

Agent

A person or legal entity authorized to act on behalf of another.

Agent Bank

1. A bank acting on behalf of another bank.
2. A bank acting for lenders and bondholders, similar to an indenture trustee.

Aggregated Shipments

Several shipments intended for one consignee from various shippers that are consolidated and treated as a single consignment.

Agreed Valuation

The value of a shipment that is agreed upon by both the shipper and the carrier to define the freight rate and/or the liability of the carrier.

Air Cargo

Property of any kind that is transported by aircraft (excluding passenger baggage and mail).

Air Express

Expedited air freight service.

Air Parcel Post

Parcels shipped through the mails to be transported by air.

Airwaybill

The shipping document used for the transportation of air freight: includes conditions, limitations of liability, shipping instructions, description of commodity, and applicable transportation charges. It is generally similar to a straight non-negotiable bill of lading and is used for similar purposes.

Alienable

Ability to be transferred or conveyed.

All-Cargo Aircraft

Any aircraft that is used for the sole purpose of transporting cargo or mail.

Allowance

A deduction or discount from the price permitted by a seller.

Alternative Tariff

In transportation, a tariff with two or more rates for the same goods, to and from the same points, with the opportunity available to the shipper to use the lowest of the charges.

Amendment

An addition, deletion, or modification of a document.

Amidships

The area of a vessel midway between the front (the bow) and the rear (the stern). When the term applies to an airplane, it is midway between the nose and the tail.

Amortization

1. The provision to pay a debt over a period of time.
2. The gradual repayment of borrowings in a series of installments.
3. A transaction or security where the principal reduces over the life of the agreement.
4. The writing off or reduction in value of an intangible asset over time (c.f.depreciation)
5. Allocation of the cost of an asset over its estimated useful life.

Antidumping Duties

Additional duties which are assessed on imported goods when those goods are sold to the importing country at a price that is less than "fair value", ("fair value" usually being defined as the price on the exporting country's domestic market or to third countries), and when those imported goods are found to cause or to threaten material injury to industry of the importing country.

Any Quantity

A cargo freight rate that applies to an article without regard to the weight or quantity shipped.

Applicant (also Account Party)

1. The party at whose request a bank issues a letter of credit.
2. A person who applies for something: a job, a passport, a visa, a license, a ticket etc. etc.

Appreciation
An increase in the value of something, - of goods, of currency, of shares of stock, etc,.

Approx. (Approximately)

Same as "about" and "circa"; terms which when used in a letter of credit are construed to allow a difference not to exceed 10% more or 10% less than the monetary amount, or the quantity, or the unit price.

Appurtenance

An accessory, adjunct, or appendage connected to a primary property and used in conjunction therewith.

Apron

1. Area of the airport where planes are parked. May be used for loading and unloading of aircraft.
2. Area along the waterside edges of a pier, not under cover, used for loading and unloading of vessels.

Arbitrage

A method of taking advantage of the fact that there may be different prices in different markets for identical goods such as gold, foreign exchange or commodities. Simultaneously, one buys in the lower price market and sells in the higher one.

As Is

Indicates goods for sale do not include a warranty , implied or expressed; the buyer takes the entire risk as to the quality or condition of the goods involved and must trust to his own inspection. In sum, the sale is "without recourse".

Assembly Service

A service under which a carrier or a forwarder or a warehouse combines multiple shipments from multiple shippers into one shipment for one receiver.

Assessment

1. The valuation, or determination as to value, of property.
2. The act of apportioning amounts to be paid.
3. An amount assessed or charged, for example: taxes or dues.

Assignment of Proceeds of a Letter Of Credit

If the bank agrees, the beneficiary assigns all or part of the proceeds to be paid to another party after the required documents have been presented.

At Sight

A notation on a draft which indicates that payment is due upon its presentation.

Athwartships

Across a vessel form side to side.

Automated Broker Interface (ABI)

(USA) A module of the U. S. Customs Automated Commercial System which provides a communications link for the transmission of entry and entry summary data on imported merchandise between ABI users and Customs.

Automated Commercial Environment (ACE)

(USA) A US Customs electronic data system, which provides support for enforcing trade and contraband laws, ensuring trade compliance, and providing service and information to the international trade community. When completed, it will cover the full gamut of Customs activities.

Automated Commercial System (ACS)

(USA) The comprehensive electronic data system of U. S. Customs for tracking, controlling, and processing commercial importations.

Automated Information Exchange System (AIES)

(USA) A module of the Automated Commercial System of U. S. Customs which provides an automated method of exchanging information between Field Import Specialists and National Import Specialists.

Automated Manifest System (AMS)

(USA) A module of the Automated Commercial System of U. S. Customs designed to control imported merchandise from the time a carrier's cargo manifest is electronically transmitted to U.S. Customs until the cargo is properly entered, released by customs and delivered.

Avoidance Of Contract

The legal cancellation of a contract because an event occurs that makes performance of the contract terms impossible or inequitable and that releases the parties from their obligations.

B

Back Haul

The return of a carrier to the original point or area from which its journey began. If a carrier can obtain cargo to carry on the back haul route, that cargo may often obtain a favorable freight rate because otherwise the carrier would have to return empty.

Back Order

That portion of an order that cannot be delivered at the scheduled time, but will be delivered at a later date when available.

Bad Faith

The intent to mislead or deceive. It does not include misleading by an honest, inadvertent or uncalled-for misstatement.

Bagged Cargo

Goods shipped in sacks.

Bailment

A delivery of goods or personal property by one person (the bailor) to another (the bailee) on an express or implied contract for a particular purpose related to the goods while in possession of the bailee, who has a duty to redeliver them to the bailor.

Balance Of Payments

A statement summarizing all the economic and financial transactions between companies, banks, private households and public authorities of one nation with those of the other nations of the world over a specific time period. It includes merchandise trade payments, payments and receipts on account of shipping services, tourist services, financial services, government expenditures, short and long term capital movements, interest and dividends, gold movements, etc.

Balance of Trade

The difference in value between a country's total imports and exports over a specific time period.

Balanced Economy

A condition of national finances in which imports and exports are equal.

Bale

A large bundle or package of compressed and bound goods, usually with an outer covering, often of burlap.

Bale Cargo

Cargo shipped in bales.

Ballast

Heavy material or water placed in the lower holds of a ship or in strategically placed tanks along the sides to improve its stability.

Bank Acceptance

A draft drawn on and accepted by a bank.

Bank Delivery Order to an Airline

A letter addressed to an air carrier from a bank who is shown as consignee on an airwaybill instructing the carrier to release a shipment. Often airlines will accept as a delivery order a bank's endorsement on the airwaybill, although an airwaybill is a non-negotiable document.

Bank Draft

A form of check drawn by a bank against its account in another bank.

Bank Guarantee

An indemnity letter in which the bank commits itself to pay a certain sum if a third party fails to perform or if any other form of default occurs. One use is when a bank wants a carrier to release a shipment which it has financed but the original bills of lading are not yet available for surrender to the carrier.

Bank Holding Company

(USA) Any company which directly controls, with power to vote, more than five percent of voting shares of two or more banks (as defined by the Bank Holding Company Act .

Bank Holiday

A day on which banks are closed.

Bank Note

A promissory note having the appearance of currency, issued by a bank or banker authorized to do so, payable to bearer on demand, and intended to circulate as money.

Bank Release

A document issued by a bank who is the consignee of a shipment authorizing a carrier to deliver a shipment.

Banker's Bank

A bank that is established by mutual consent by independent and unaffiliated banks to provide a clearinghouse for financial transactions.

Banker's Draft

A draft payable on demand and drawn by, or on behalf of, a bank upon itself or upon another bank, sometimes a foreign bank, where it maintains an account or a relationship.

Bankers Acceptance

A draft calling for payment at a future date on which the drawee is a bank, and the bank has agreed to pay by signing "accepted" on the draft.

Bankruptcy

The condition of a legal entity that does not have the financial means to pay their incurred debts as they come due. In the U.S. this status is established through legal procedures involving a petition by the bankrupt or by its creditors.

Bareboat Charter

The charter of a vessel where the charter party has the right to use his own master and crew on the vessel. Pays all operating expenses.

Barge

A flat bottomed cargo vessel primarily used on rivers and canals. Usually it is towed or pushed but it may be self-propelled.

Barratry

1. In maritime law the intentional misconduct of the ship's master or crew; includes theft, intentional casting away of vessel, or breach of trust.
2. The offense of frequently stirring up quarrels and suits, either at law or otherwise.

Barter

Trade of goods or services without the use of money.

Basing Point

A location which is used to set the selling price of goods and the freight rates to all points. A price is set at a given location chosen as the ex-factory basing point with freight to the place of delivery added to create a delivered price. Then like goods, wherever they may be sold from, are charged freight to their destination as if they were shipped from the same location (the basing point).

Basing Rate

A freight rate which is used for the sole purpose of determining other freight rates. For an explanation of how this works, see 'Basing Point'.

Basket of Currencies

A composite unit consisting of weighted amounts of the currencies of a group of designated nations.

Battens

1.The protruding fixtures on the inside walls of a vessel's hold which are used to keep the cargo away or to fasten it in place.
2. Similar structural parts to the above in truck bodies, containers and rail cars.

Bearer

The person in possession of a negotiable instrument, document of title, or security marked "payable to bearer", or the person in possession of one of these documents endorsed in blank.

Beggar-Thy-Neighbor Policy

A course of action through which a country tries to reduce unemployment and increase domestic output by raising tariffs and instituting non-tariff barriers that impede imports, and thus improve its own position at the expense of its trading partners.

Belly Pits or Holds

Compartments beneath the cabin of an aircraft used for the transport of cargo or baggage.

Beneficiary

1. In the case of a letter of credit, the individual or company who is entitled to draw or demand payment under its terms.
2. In the case of insurance, the person entitled to take the proceeds.
3. The person for whose benefit a contract, or trust, or will is executed or enforced.

Berth

The place beside a docking area where a ship is secured and cargo can be loaded or unloaded.

Bid Bond

A type of indemnity bond. A surety guarantee often required to be established by a bidder to guarantee fulfillment of his offer if accepted.

Bilateral Investment Treaty

A treaty between two countries with the goal of ensuring that investments made by either of them in the other receive treatment equal to that afforded their domestic entities or any third country entities.

Bilateral Trade

The commerce between two countries.

Bill

1. A "Bill of Exchange" or "Draft" (same thing).
2. A written statement of contract terms.
3 .The word "Bill" has many other international trade connotations - "Invoice" etc.

Bill of Credit

A written authority from one person to another, empowering the recipient of the document to receive money from the correspondents of the issuer abroad . (The usual issuer is a bank)

Bill of Exchange

Draft or Bill.

Bill of Health

An official certificate (Pratique) issued by the authorities upon the departure of a vessel or airplane showing the state of health at the place of departure, and of the passengers and crew.

Bill of Lading

A document issued by a carrier which is evidence of receipt of the goods, and is a contract of carriage. It describes the goods, the details of the intended voyage, and it specifies the conditions of transportation. If issued in negotiable form, i.e. "to order", it becomes documentary evidence of title to the goods.

Bill of Sale

A written document by which a party legally transfers ownership of goods to another party.

Bill-To Party

The party designated on purchase order, invoice, or bill of lading as the one to whom the bill should be sent for payment.

Billed Weight

The designated weight shown on the freight bill which is used to calculate the freight charges.

Billing Third Party

The transference of transportation charges to a party other than the shipper or consignee.

Biological Agents

A complex substance of organic origin which can treat or cause disease.

Black Market

Buying or selling of products that violate government restrictions.

Blanket Rate

In insurance, a rate of premium applied across the board when there is more than one kind of property which is the subject of insurance.

Blockade

Prevention of commercial exchange by physically preventing carriers from entering a port or nation.

Bona Fide

In or with good faith, honesty, and sincerity.

Bond

1. A written undertaking to perform or refrain from performing specified acts, usually guaranteed by a third party.
2. A security evidencing debt, specifying the date payment is due and usually specifying a rate of interest and its dates of periodic payment.

Bond of Indemnity

A bond to indemnify and save harmless the party to whom the bond is issued against some anticipated loss.

Bond System

(USA) An automated electronic system, part of the Automated Customs System, whose purpose is to control and track indemnity bonds issued to Customs to secure compliance with various laws.

Bonded

(USA) This term refers to goods which are held, stored or transported under circumstances where applicable duty or taxes have not yet been definitely determined or paid, and admissibility has not yet been arranged. Bonds must be posted by those who are responsible for the goods during this period (the carriers, warehouses, and/or importers) to indemnify the government if the goods are released improperly.

Bonded Terminal

(USA) A terminal approved by Customs for temporary storage of imported goods until Customs duties are paid or goods released. Bonds must be posted by the terminal operator to indemnify the government if the goods are released improperly.

Bonded Warehouse

(USA) An approved private warehouse used for the storage of goods until duties or taxes are paid and the goods are properly released by Customs. Bonds must be posted by the warehouse proprietor and by the importer to indemnify the government if the goods are released improperly.

Booking

The making of arrangements for a shipment with the representatives of a vessel or airline.

Bounties

A compensation paid to persons to induce certain actions. In this class are government payments to producers or exporters to strengthen their competitive position.

Box

1. Term referring to a trailer, semi-trailer, or container used in transportation.
2. A type of package of wood, cardboard, metal, plastic or other material.

Box Car

A closed railroad freight car.

Boycott

A concerted refusal to deal commercially with a person, firm, or country.

Breakage

1. A monetary allowance that a manufacturer allots for compensation to a buyer for breakage to goods (usually fragile) while in shipment.
2. A fractional amount due either party in a transaction, for example in computing interest.
3. In marine insurance, "breakage" refers to breakage of fragile goods such as glass and china.

Breakbulk

1. A breakbulk ship is one which transports cargo which is packed in cases, bales, cartons, drums, carboys etc., and this cargo is carried in the ship's cargo holds rather than in containers (although some loaded containers may be carried).
2. 'to breakbulk' is to unload packaged cargo from a 'breakbulk ship' or from a container and to distribute it.

Breakbulk Cargo

Cargo that is shipped in packing units such as cartons, cases, crates, bales, or drums, but not containerized.

Broker

One that acts as an agent for others, as in negotiating contracts, purchases, or sales in return for a fee or commission.

Bulk Cargo

Cargo that is made up of an unpacked commodity; examples include grain, oil, and ore.

Bulk Carrier

A vessel designed for the shipment of bulk cargo.

Bulk Freight

Cargo not in packages or containers.

Bulk Sale

The transfer or sale of substantially all of an inventory of an enterprise in a single transaction not in the usual course of business.

Bulk Solids

Dry cargo shipped loose, such as grain, ore, etc.

Bunker Adjustment Factor

An adjustment in shipping charges to offset price fluctuations in the cost of bunker fuel.

Bunker Fuel

The fuel used to power a ship.

Bunker(s)

1. A compartment (hold) of a ship for storage of fuel.
2. The fuel for a vessel

Bureau Of Alcohol, Tobacco And Firearms

The Bureau of Alcohol, Tobacco and Firearms (ATF) is a law enforcement organization within the United States Department of Treasury with unique responsibilities dedicated to reducing violent crime, collecting revenue, and protecting the public. ATF enforces the Federal laws and regulations relating to alcohol, tobacco, firearms, explosives and arson by working directly and in cooperation with others.

Bureau of Industry and Security

A U.S. government agency responsible for control of exports for reasons of national security, foreign policy and short supply.

Buy American Acts

U.S. federal and state government statutes that give a preference in government contracts to U.S. produced goods.

C

Cabotage

1. Water transportation, navigation or trade along the coasts, between the
ports of one nation.
2 Inland freight movements confined with the national boundaries of a nation
are also sometimes called cabotage.

Call

1. A demand for early repayment of an obligation, or for the performance of
a specific act under a contract.
2. A demand for the payment of money
3. The act of redeeming a bond earlier than the full term.
4. Short for "Call Option," a contract giving the holder the right to
receive from the issuer a specified amount of a security at a specified
price on or before a certain date.
5. Short for "Margin Call" - a call by a future or an options exchange, or
by a broker to its clients, for additional collateral to that previously
posted when the futures, options, or securities were purchased without
posting their full value.

Call Money

Money lent by banks on a short term basis which the bank, as lender, can
"call" (demand payment at any time, usually on 24 hours notice.)

Capacity To Contract

Legal competency to make a contract.

Capital Goods

1. Durable goods which are used to produce other goods for consumption: for
example machinery, equipment, buildings
2. Also, material used or consumed to produce other goods.

Capital Market

The market for long term investment funds in the form of stocks, bonds,
commercial paper etc.

Captain's protest

A written sworn statement of the master of a vessel to the effect that
damage suffered by the ship during the voyage was caused by storm or other
peril of the sea, without any negligence or misconduct on his own part.

Cargo

Merchandise hauled by transportation lines.

Cargo Agent

An agent appointed by an airline or shipping line to solicit and process
international air and ocean freight shipments.

Cargo Manifest

A list of cargo being transported or warehoused.

Cargo Selectivity System

(USA) An Automated Customs System module which is used to identify high risk
cargo and to apply more intensive examinations to it.

Cargo Tonnage

The weight of a shipment or of ship's total cargo expressed in tons.

Carnet

Called an "A T A Carnet". An international customs document which
incorporates guarantees to be used in lieu of Customs documents to enter
goods into certain countries temporarily without paying import duty or
posting bonds.

Carriage Of Goods By Sea Act Of 1936

(USA) The basic law of ocean shipping in the U.S. Among other provisions, it
establishes parameters for the carrier's liability for loss or damage to
cargo.

Carrier

A legal entity that is in the business of transporting passengers or goods
for hire.

Carrier's Certificate

(USA) A document issued by a carrier providing the particulars of a shipment
and designating to customs who may make a customs entry on that shipment..

Cartel

A group of independent producers which regulates production, pricing, and
marketing by members to maximize market power and limit competition.

Cash Against Documents (CAD)

A term used in collections supported by shipping documents which are
released to the buyer only against payment. Same as Documents Against
Payment (D/P).

Casus Major

An extraordinary casualty such as a fire, shipwreck etc.

Category Groups

A classification system which groups various products for statistical,
export control or quota control purposes.

Caveat Emptor

Let the buyer beware, which is to say the purchaser buys at his own risk.

Cell

The space constructed on a ship into which one container fits.

Census Interface

(USA) An Automated Customs System module that captures trade data for the
U.S. Bureau of Census.

Central Bank

An institution with the sole right to issue bank notes and power to dictate
the monetary policy for a currency zone.

Certificate of Inspection

A certificate issued by an independent third party verifying the condition
of cargo or of property.

Certificate of Manufacture

1. A certificate sometimes required from a manufacturer to attest that goods
have been manufactured according to the contract; for example, to support
payment under a letter of credit.
2. (USA) A form required to support a claim for duty drawback based on
manufacture in the United States.

Certificate of Weight

A document certifying to the weight of a shipment.

Certification

1. Official proof of authenticity.
2. The formal assertion of some fact in writing.

Cession of Goods

A surrender or assignment of goods for the benefit of one's creditors.

CFR (Cost and Freight ...named port of destination)

The seller must pay the costs and freight necessary to bring the goods to
the named port of destination but the risk of loss of or damage to the
goods, as well as any additional costs due to events occurring after the
time the goods have been delivered on board the vessel, is transferred from
the seller to the buyer when the goods pass the ship's rail in the port of
shipment. (Note: this Incoterm, CFR, has replaced the term C&F which has
been in common usage)

Chargeable Weight

The weight or volume of a shipment used in determining freight charges.

Charter Service

Temporary hiring of an aircraft or vessel for the transportation of cargo or
passengers.

Chartered Ship

A ship leased for a stated time, voyage, or voyages.

Chassis

1. A special trailer or undercarriage on which containers are moved over the
road.
2. The undercarriage of a vehicle.

CIF (Cost, Insurance and Freight... named port of destination)

The seller has the same obligations as under CFR but with the addition that
he has to procure marine insurance against the buyer's risk of loss of or
damage to the goods during the carriage. The seller pays the insurance
premium and is only required to obtain minimum coverage.

CIP (Carriage and Insurance Paid To...named place of destination)

The seller has the same obligations as under CPT but with the addition that
the seller has to procure cargo insurance against the buyer's risk of loss
of or damage to the goods during the carriage. The seller pays the insurance
premium and is only required to obtain minimum coverage.

Circa

Same as "about" and "approx."; terms which when used in a letter of credit
are construed to allow a difference not to exceed 10% more or 10% less than
the monetary amount, or the quantity, or the unit price.

City Terminal Service

A service provided by some airlines that involves receiving or delivering
cargo at terminals in-town instead of at airports.

Claim

1. A demand of payment.
2. In insurance, a demand for payment of money or property as the result of
an insured loss..
3. In transportation, a demand for return of overpaid charges. Also, a
demand for reimbursement of losses due to loss or casualty to cargo or
failure to deliver.

Classification

The categorization of merchandise:
In transportation - to permit determination of freight rates within a
tariff.
In customs - to permit the determination of duty status within the
Harmonized Tariff Schedules.

Claused Bill of Lading

A notation on a bill of lading which denotes a deficient condition of the
goods or packaging, or other annotated conditions modifying the printed
conditions on the Bill Of Lading.

Clean Bill of Lading

A bill of lading issued by a carrier for goods delivered in "apparent good
order and condition" - bearing no notations or added clauses which may limit
the liability of the carrier.

Clean Draft

A draft with no commercial documents attached.

Clearance

1. The completion of governmental requirements so that a carrier may arrive
in a port and unlade cargo and passengers, or may lade cargo and passengers
and depart for a foreign destination.
2. The accomplishment of the customs formalities necessary to allow goods to
be imported or to be exported.

Closed-End Transaction

A credit transaction with a fixed amount of time for repayment.

Coastal Trade

Trade by vessel between the ports of one nation.

Collar

An agreement that puts upper and lower limits on the interest rate of a
financial instrument or on the price of something, and through this device
limits the possible amount of loss or gain from the rise or fall of interest
or price of the thing "collared"

Collect Charges

1. Transportation practice where the receiver of the goods pays the freight
and charges to the carrier.
2. Collection practice where the buyer is expected to pay the bank charges
for handling the collection.

Collect on Delivery (C.O.D.)

A service where the purchase price of a shipment is collected by the carrier
upon delivery of the shipment and subsequently paid to the shipper.

Collecting Bank

A bank involved in the collection process. In this process if presentation
is made to the drawee, it becomes also "the presenting bank."

Collection

1. The presentation for payment of an obligation and the payment thereof.
2. A gathering of similar goods.

Collection Letter

Customer's written instructions to a bank on how to handle a collection.
Many banks have an instruction form for use instead of a letter.

Collection Papers

Drafts, invoices, printed lists, documents which relate to a shipment, and
other similar instruments presented to the designated buyer/ payee to obtain
payment or acceptance.

Collection System

(USA) In U.S. Customs, it is the process that controls and accounts for
payments collected by the agency.

Combination Aircraft

An aircraft capable of transporting both cargo and passengers on the same
flight.

Combined Bill of Lading

A bill of lading covering a shipment of goods by more than one mode of
transportation.

Combined Transport

Consignment sent by means of various modes of transport.

Comity

1. In international relations it is the recognition that one sovereignty
allows within its territory to the legislative, executive or judicial acts
of another sovereignty, with due regard to the rights of its own citizens.
2. Courtesy, respect, and good will.

Command Economy

An economic system where the decisions about allocation of resources,
production, distribution and consumption are made by a central government
authority instead of being determined by market forces. An example was the
Nazi economy.

Commercial Bank

In the USA, a bank that is authorized to accept demand deposits. It may also
receive time deposits, make loans, engage in trust services, issue letters
of credit, accept and pay drafts, rent safe deposit boxes and engage in many
other similar activities.

Commercial Invoice

A document which details the transaction between a seller and a buyer. It
minimally should give the name and address of the seller and of the buyer,
the date of the sale, a description of the goods sold, the quantity, the
unit price, the terms of sale, and the total money amount due. If it is an
invoice between buyer and seller of different countries it should also
indicate the kind of currency.

Commercial Letter of Credit

An instrument by which a bank substitutes its credit for that of a customer
to enable him to finance the purchase of goods or to incur other
commitments. The bank issues a letter (or document) on behalf of its client
to a supplier and agrees to pay them upon presentation of documentary
evidence that the supplier has performed in accordance with the terms of the
letter of credit.

Commercial Officers

Embassy and consular officials who assist their country's citizens and
businesses in a foreign country through arranging appointments with local
business and government officials and providing counsel on local trade
regulations, laws, and customs.

Commercial Paper

Negotiable instruments used in commerce. Usually they are short term,
unsecured, promissory notes issued by highly rated entities and are traded
on the money markets.

Commercial Set

The documents required to evidence the shipment of goods; usually includes
an invoice, packing list, and bill of lading; may include certificate of
origin, certificate or policy of insurance, and other special documents.

Commercial Treaty

An agreement between two or more countries that establishes the conditions
under which business may be conducted between their citizens within their
countries..

Commingling

1. The packing or mingling of various goods subject to different rates of
duty so that the value and quantity of each class of goods cannot be readily
determined.
2. To combine funds or properties into a common mass.

Commission

1. A board or committee officially appointed to perform certain functions or
exercise certain jurisdiction of a public nature.
2. The amount paid by a principal to an agent for their role in the
completion of a transaction involving the sale of goods or services.
3.The authority under which one acts, transacts business or negotiates for
another.

Commodity Code

The system of identifying a commodity by an assigned number.

Commodity Rate

The rate applicable to shipping a given commodity between points.

Common Point

1. A location serviced by two or more transportation lines.
2. A significant point over which aircraft fly and report to the air
controllers.

Competitive Rate

Rate determined by one transportation line to compete with the rate of
another transportation line.

Compradore

An agent in a foreign country employed by a domestic businessman to
facilitate transactions with local businesses within the foreign country.

Concealed Damage

Damage to the contents of a package which is not evident from the appearance
of the exterior of the package.

Concealed Loss

1. Loss from a package bearing concealed damage.
2. Damage, loss, or shortage of goods within a package which is not apparent
from its exterior condition.

Confirming Bank

A bank which engages to honor a letter of credit issued by another, or
engages that such letter of credit will be honored by the issuer or by a
third bank.

Connecting Carrier

A carrier which has direct physical connection with another carrier or forms
a connecting link between two or more carriers.

Consignee

The person or firm named in a freight contract to whom goods have been
shipped or turned over for care.

Consignment

1. Goods or property sent by the aid of a carrier from one person (the
consignor) to another (the consignee).
2. Entrusting of goods to another to sell as agent for the sender.

Consignor

The entity that ships goods to another. On a bill of lading, the shipper.

Consolidated Container

A shipping container that contains cargo from various shippers for delivery
to various consignees.

Consolidation

1. In transportation, the combining of smaller shipments into a single
shipment that is sent to a destination point.
2.The reorganization of corporations to combine two or more into a successor
corporation.

Consolidator

A company that provides freight consolidation services.

Consular Invoice

An invoice covering a shipment of goods, usually required to be certified by
the counsel of the country for which the merchandise is destined. It may be
required to be on a special form and be subject to the payment of special
fees.

Consulate

An office of a country within another country (often there are several,
located in the larger commercial centers). These offices represent the
commercial interests of the citizens of their country.

Consumer Goods

Any goods produced for the express use of individuals rather than the
production or manufacturing of other goods.

Consumption Entry

(USA) A "consumption entry" is the filing with Customs in proper form of an
"entry summary for consumption" on imported goods , and payment of estimated
duties, taxes, and fees, if any, resulting in the release of the goods by
Customs. When the release is unconditional, the importer may dispose of the
goods.

Container

A reusable, rigid, exterior "box" in which merchandise is shipped by air,
vessel, truck, or rail.

Container Freight Charge

Charge made for the packing or unpacking of cargo from ocean freight
containers.

Container Load

A shipment of cargo that, according to weight or volume, will fit a standard
container.

Container on Flatcar

A container without wheels put on railcars for transport inland,

Container Part Load

A shipment of cargo that according to weight or volume will not fill a
standard container on its own but is expected to be shipped in a container,
if necessary with other shipments which are also too small to take up a full
container themselves.

Container Vessel

An ocean going vessel designed specifically to handle the loading, carriage
and removal of standard freight containers.

Contraband

Any product that a nation has made unlawful to possess, produce, transport,
import, or export.

Contract Carrier

Excluding common carriers, any person who under contract will transport
passengers or goods for agreed upon compensation.

Convertibility

The attribute of being exchangeable, such as a currency freely able to be
exchanged for another, or as preferred stock or bonds to be exchanged for
common stock.

Core Inflation

The basic level of inflation over a period of time as opposed to temporary
fluctuations.

Corporate Dumping

The practice of exporting banned or out of date goods to a foreign market
where restrictions on that product are not as severe.

Cost Plus

A pricing method where the purchaser agrees to pay the production cost of
the good plus a fixed percentage to the seller for profit.

Countervailing Duties (CVD)

(USA) Duties which are assessed, in addition to regular duties, to offset
the effects of foreign subsidies or bounties upon the export of merchandise
to the United States which has been found to materially injure, or threaten
material injury to, an American industry.

Country of Departure

The country from which a shipment of goods, a carrier, or a passenger has or
is scheduled to depart.

Country of Destination

The country that is the ultimate destination for a shipment of goods. For a
carrier, it is the country in which it intends to complete its current
voyage or flight.

Country of Dispatch

The country from which a cargo is shipped.

Country of Export Destination

The country to which goods are going in order to be consumed, further
processed, or manufactured, as presumed by the shipper at the time of
exportation.

Country of Exportation

The country from which goods are shipped with intention to separate them
from the mass of goods in that country.

Country of Origin

The country in which goods were produced, mined, grown or manufactured.

Country Risk

The financial risks of a transaction which relate to the political,
economic, or social instability of the country of the debtor, and is over
and above the credit risk of the borrower.

Courier

1. Attendant who accompanies shipments.
2. Express company which handles shipments of documents and small packages
on an expedited basis and may or may not have the shipments accompanied by
attendants,

CPT (Carriage Paid To...named port of destination)

The seller pays the freight for the carriage of the goods to the named
destination. The risk of loss of or damage to the goods, as well as any
additional costs due to events occurring after the time the goods have been
delivered to the carrier, is transferred from the seller to the buyer when
the goods have been delivered into the custody of the carrier.

Customs

The government service which is responsible for the administration of
Customs law and the collection of duties and taxes relating thereto, and
which has responsibility for the application of other laws and regulations
relative to the importation , transit, and exportation of goods.

Customs Electronic Bulletin Board (CEBB)

(USA) Customs Electronic Bulletin Board (CEBB): An electronic bulletin board
accessible by computer, sponsored by U.S. Customs, providing the trade
community with up-to-date information, clearance requirements, and operation
instructions.

D

DAF (Delivered At Frontier ...named place)

The seller fulfils his obligation to deliver when the goods have been made
available, cleared for export, at the named point and place at the frontier,
but before the customs border of the adjoining country.

Damages

1. A loss or harm to a person or their property.
2. The pecuniary compensation or indemnity which may be recovered by any
person who has suffered loss, detriment or injury to his person, property or
rights through the unlawful act, omission, or negligence of another.

Dangerous Goods

Goods which are capable of posing a health or safety risk.

Date Draft

A draft which matures a specified number of days after the date it is
issued.

Date of Issue

The arbitrary date on a contract or on a financial instrument fixed as the
date from which the term runs. (Neither the actual date on the instrument,
nor the date the instrument was actually signed, nor the date the instrument
was executed, nor the date the instrument was delivered, are considered to
be the "Date of issue" or the "issuance date".)

DDP (Delivered Duty Paid...named place of destination)

The seller fulfils his obligation to deliver when the goods have been made
available at the named place in the country of importation. The seller has
to bear the risks and costs, including duties, taxes and other charges of
delivering the goods thereto, cleared for importation.

DDU (Delivered Duty Unpaid... named place of destination)

The seller fulfils his obligation to deliver when the goods have been made
available at the named place in the country of importation. The seller has
to bear the costs and risks involved in bringing the goods thereto
(excluding duties, taxes and other official charges payable upon importation
as well as the costs and risks of carrying out customs formalities). The
buyer has to pay any additional costs and bear any risks caused by his
failure to clear the goods for import in time.

Deadweight

1. In maritime terms, the deadweight of a vessel is the maximum weight of
the cargo, crew, stores and bunkers that it can carry when loaded so that it
settles in the water to the Plimsoll line. This is also measurable by the
weight of the water the vessel displaces when fully loaded less the
displacement when it was unloaded.
2. Deadweight cargo is cargo of such high density that a long ton (2240
lbs.) of such cargo can be stowed in less than 70 cubic feet.

Dealer

An individual or firm who purchases goods for resale.

Debtor Nation

A nation that is owed less foreign currency obligations than it owes other
nations.

Deck Cargo

Cargo that is shipped on the deck of a vessel rather than in holds below.

Declared Value For Carriage

The value of goods declared to the carrier by the shipper for the purposes
of determining charges and establishing the liability of the carrier.

Declared Value for Customs

The value of a shipment according to the customs laws of the destination
country required to be declared by the shipper on the shipping documents or
by the importer when he presents the goods for customs clearance.

Deferred Air Freight

Arrangements can be made according to the tariffs of some air carriers to
have less urgent freight delivered at a lower cost on later flights which
are more convenient for the airline.

Deferred Payment Letter of Credit

A letter of credit that allows the buyer to take possession of goods by
agreeing to pay the issuing bank or the confirming bank at a fixed future date.

Del Credere Risk

A situation where a sales agent sells on credit and for an additional
commission guarantees to his principal the credit of the purchaser and the
performance of the contract.

Delivery

1. In the case of transportation, the act of transferring physical
possession.
2. The act of actually or of constructively placing goods or property within
the possession or control of another.

Delivery Carrier

The transport carrier whose responsibility it is to place a shipment at the
disposal of the consignee at the named destination.

Delivery Instructions

Specific delivery instructions for the freight forwarder or carrier stating
exactly to whom, where and when goods are to be delivered.

Delivery Order

A document from the consignee, shipper, or owner of freight ordering the
release of freight to another party.

Demise

1. A lease of property.
2. Death. (Isn't English an interesting language?)

Demise charter

A lease of a vessel in which all control is relinquished by the owner to the
charterer, and the charterer bears all the expenses of operation. Similar to
bareboat charter.

Demurrage

1. In international transportation, a charge for the failure to remove cargo
from a terminal within the allowed free time. Also, a charge for failure to
load or unload a ship within the allowed period.
2. (USA) In domestic transportation, a penalty charge against users for use
of carriers' equipment beyond the allowed free time.

DEQ (Delivered Ex Quay - Duty Paid - ...named port of destination)

The seller fulfils his obligation to deliver when he has made the goods
available to the buyer on the quay (wharf) at the named port of destination,
cleared for importation. The seller has to bear all risks and costs
including duties, taxes and other charges of delivering the goods thereto.
(Note: If the parties wish the buyer to clear the goods for importation and
pay the duty, the words "duty unpaid" should be used instead of "duty paid",
and other costs of importation can also be excluded from the seller's
obligations if this is made clear by adding words to this effect.)

DES (Delivered Ex Ship...named port of destination)

The seller fulfils his obligation to deliver when the goods have been made
available to the buyer on board the ship uncleared for import at the named
port of destination. The seller must bear all the costs and risks involved
in bringing the goods to the named port of destination.

Destination

The place to which a shipment or person is going..

Detention

The act of keeping back or withholding either accidentally or by design a
person or thing.

Devanning

The unloading of cargo from a shipping container.

Developed Countries

A term used to describe the industrialized nations.

Developing Countries

A term used to describe countries that lack strong amounts of
industrialization, infrastructure, and sophisticated technology, but are
beginning to build these capabilities.

Differential

An amount added to or deducted from a base shipping freight rate between two
given locations to determine a new rate to or from some other point or via
another route.

Direct Mail Collection (DMC)

A seller may forward his documents and instructions for collecting payment
directly to a collecting bank in a foreign country, without going through
the intermediary of the seller's own domestic bank.

Discharge

1. To release; liberate; annul; unburden; disencounter; dismiss. To
extinguish an obligation; terminate all employment of a person; release, as
from prison or military services.
2. The unloading of passengers or cargo from a vessel, vehicle, or aircraft.

Discharging

The unloading of cargo from a carrier, or of the contents from a container.

Discounted Bill

An accepted draft against which a loan is made and the interest is deducted
immediately.

Discounting

1. The sale at less than original price of a commodity or monetary
instrument, often for immediate payment.
2. A loan by a bank with a deduction of the interest in advance.

Discrimination

A failure to treat all persons or parties equally where no reasonable
distinction can be found between those favored and those not favored. It mat
be reflected in treatment, service or rates.

Dishonor

1. The refusal by a drawee to accept a draft or to pay it when due.
2. The act of disrespect or insult.

Dispatch

1.An amount paid by a vessel's operator to a charterer if loading or
unloading is completed in less time than stipulated in the charter
agreement.
2. a message or report to a newspaper from a correspondent, or between
government services such as state or military.
3. to send to a destination.

Distribution Service

A transportation service that accepts a shipment from a shipper and at
destination separates and sorts the packages and distributes them to many
receivers.

Distributor

An agent who sells for a supplier at wholesale and usually maintains an
inventory of the supplier's products.

Diversion

Any change in the routing of a shipment once it has been received by the
carrier at point of origin and prior to delivery at destination.

Dock

1. A loading or unloading platform at an industrial location or carrier
terminal.
2. A ship's berth or wharf.

Dock Examination

(USA) Examination of imported merchandise by Customs at the terminal where
it is discharged from the import carrier.

Dock Receipt

A receipt issued by a vessel agent that certifies that goods have been
received.

Documents Against Acceptance (D/A)

As a procedure to collect payment on an exported shipment. instructions are
given that documents necessary to obtain the merchandise from customs and
the carrier are to be released to a buyer only against the buyer's
acceptance of a time draft drawn upon him.

Documents Upon Payment (D/P)

As a procedure to collect payment for an export shipment, instructions are
given that the documents necessary for the buyer to obtain the shipment from
customs and the carrier are to be released to him only upon payment of the
draft. (Same as CAD)

Dolly

A piece of equipment with wheels used to move freight with or without a
tractor.

Domestic Exports

Exports of goods which were grown, produced, mined, or manufactured in the
country from which exported.

Domicile

That place where a person or organization has their principal residence with
intent to make it their permanent home.

Door-To-Door

Shipping service from shipper's door to consignee's door.

Double-Column Tariff

A customs tariff schedule with two columns of rates, one for preferred
trading partners and one for imports from others.

Downstream Dumping

The sale of products below cost or below fair value by a producer to a
another producer in its own domestic market by whom the product is then
further processed and exported to another country at a price lower than
would otherwise be charged and thus causing injury in that country.

Drawback

(USA) A refund of duty and taxes which may be obtained upon the exportation
or destruction of certain articles under certain conditions.

Drawback System

(USA) An Automated Customs System module that provides the means for
processing and controlling all types of drawback entries.

Dray

A vehicle used to haul cargo or goods, usually drawn by a horse.

Drayage

The charge made for hauling freight via carts, drays or trucks.

Drop Shipment

At the request of a wholesaler, a shipment of goods from a manufacturer
directly to a dealer or consumer, avoiding delivery to the wholesaler.

Drop-off

The delivery of a shipment by a shipper to a carrier for transportation.

Dry Cargo

Cargo which is of solid, dry material. It is not liquid or gas, and
generally the term excludes cargo requiring special temperature controls.

Dry-Bulk Container

A shipping container designed to carry unpackaged free-flowing dry solids
such as grain or sand.

Dry-Cargo Container

Any shipping container designed to transport goods other than liquids or
gasses.

Dual Exchange Rate

The existence of two exchange rates for a single currency for use in
different circumstances as mandated by the government.

Dual Pricing

The selling of identical products in different markets for different prices.

Dumping

The sale of goods in a foreign country at less than" fair value" (a price
lower than that at which it is sold within the exporting country or to third
countries), and which thereby materially injures, or threatens to materially
injure, that industry in the foreign country.

Dunnage

Materials placed around cargo to prevent shifting or damage while in
transit.

Durable Goods

Any product which is not consumed through use.

Dutiable List

The list of Items in a country's tariff schedule on which it charges import
duty.

Duty

A tax levied by a government on the import or export of goods.
(Note: The U.S. Constitution forbids the levying of taxes by the U.S. on
exports. However, most foreign governments do not have this restriction,)

E

Easement

A right to use another person's property.

Edge Act Corporations

Banks that are subsidiaries either to bank holding companies or other banks
established to engage in foreign business transactions.

Electronic Commerce

A system of integrated communications, data management, and security
services that allow business applications within different organizations to
automatically interchange information.

Electronic Data Interchange (EDI)

Electronic transmission of data and information according to particular
protocols .

Electronic Funds Transfer

System of transferring funds from one account to another by electronic
means.

Electronic Meat Health Certificate

(USA) A demonstration project that illustrates the electronic transmission
of fresh meat health certificates.

Electronic Visa Information System (ELVIS)

(USA) An electronic data system via which participating foreign governments
transmit electronically to the U. S. Government details of shipments of
quota controlled textile goods they have made to the U.S.

Embargo

A government prohibition of exports or imports with respect to specific
products or specific foreign countries.

En Route

In transit (referring to goods, passengers, or vessels).

Entrepot

An intermediary storage facility (often in an intermediate country) where
goods are kept temporarily for distribution.

Entrepot Trade

The import and export of goods which receive no further processing but are
distributed from the entrepot facility which is chosen for its location and
lack of restrictions on trade,

Entry

1.That documentation required to be filed with the appropriate customs
officer to secure the release of imported merchandise from customs custody.
2. The act of filing that documentation.

Entry Documents

The documents required to complete customs entry to secure the release of
imported merchandise.

Entry Summary

(USA) Documentation which is necessary to enable US Customs to collect
duties, collect statistics, and determine whether other requirements of law
or regulations are met upon importation. In the US, the importer must
classify the goods, determine their customs value, and calculate duties,
taxes and fees.

Entry Summary System

(USA) An Automated Customs System module that automates the entry processing
cycle.

Environmental Protection Agency (EPA)

(USA) An independent agency in the executive branch whose mandate is to
control and abate pollution in the areas of air, water, solid waste,
pesticides, radiation, and toxic substances.

Equalization

In transportation, a money allowance given the customer if the transport
company picks up the goods at origin points or delivers them to destination
points other than those named on the bill of lading.

Escape Clause

1. A provision in a bilateral or multilateral commercial agreement
permitting a signatory nation to change their obligations when imports
threaten serious harm to the producers of competitive domestic goods.
2. A provision in a contract or other document permitting parties to avoid
liability for nonperformance under certain conditions.

ETA

The expected date and time of arrival of a carrier.

ETD

The expected date and time of departure of a carrier.

Eurobond

A bond issued in a Euro-currency, usually Euro-dollars

Ex Factory

This term is still widely used but it is being replaced by the Incoterm EXW
- Ex Works. It is a sale term where the title to goods passes to the buyer
when they leave the vendor's dock and consequently at that point the
liability for loss or damage and the expenses of shipment also pass from
vendor to buyer.

Exchange Rate

The price of one currency expressed in terms of another.

Excise Tax

Taxes on the manufacture, sale, or consumption of goods, or upon licenses to
pursue certain occupations, or upon corporate privileges. In current usage
it covers various license fees imposed by government and practically every
internal revenue tax from any source except the income tax.

Exculpatory Clause

1. A contractual clause that releases one party from liability in case of
wrong doing by the other party involved.
2. A contractual clause which excuses a trustee from liability where he
executes a power in good faith.

Expiry Date

The "End", specifically: the cessation; termination by lapse of time as the
expiration of a lease, insurance policy, or statute. Coming to a close or
termination. The expiry date is the date on which these events occur. It is
the last date that options or warrants can be executed.

Export

To send or transport goods abroad out of a customs territory; to sever them
from the mass of things belonging to one country with the intention of
uniting them to the mass of things belonging to a foreign country.

Export Broker

A firm that specializes in bringing foreign buyers and domestic sellers
together for a fee but usually does not participate in the actual business
transaction.

Export Control

The establishment of procedures for the governmental control of exports for
statistical or strategic purposes.

Export Declaration

(USA) The Shipper's Export Declaration is a required customs document for
exportation of goods from the United States which provides statistics and
facilitates control where applicable.

Export Draft

A documentary order in the form of a draft drawn on the importing party to
pay the seller for the exported goods.

Export Duty

A tax imposed by some nations on their exports.

Export License

A license issued to exporters by governments to permit them to export
certain goods to certain countries. Such goods may be of strategic
importance, or simply in short supply, or are controlled to comply with
foreign agreements.

Export Management Company

A private firm that serves as the export department for several
manufacturers and handles the exporting aspect of the business for a
commission or fee.

Export Merchant

A company that buys domestic and foreign products and sells to foreign
purchasers. Usually an export merchant is able to compete because of
specialized knowledge of the products in which they deal, detailed knowledge
of foreign markets, and expertise in international trading techniques.

Export Processing Zone

Industrial parks designated by a government to provide tax and other
incentives to export firms.

Export Quotas

Specified maximums which a nation places on the value or volume of certain
of its exports.

Export Restraints

Restrictions which a nation places upon its exports, often to avoid more
burdensome restrictions being applied by the importing nations.

Export Statistics

The statistics that cover the exports from one country to other countries.

Export Subsidies

Government payments to induce exportation by domestic producers.

Export Trading Company

A corporation organized for the principal purpose of exporting goods and
services.

Exporter

An individual or company that ships goods from one country to another in the
course of trade.

Exporter Identification Number

(USA) An identification number assigned to exporters of goods from the
United States which is required to be shown on the Shipper's Export
Declaration for all shipments from the USA..

External Value

The purchasing power of a currency abroad, converted using the exchange
rate.

Extradition

The surrender by one state or country to another of an individual accused or
convicted of an offense within the jurisdiction of the other.

EXW (Ex Works ...named place)

The seller fulfils his obligation to deliver when he has made the goods
available at his premises (i.e. works, factory, warehouse, etc.) to the
buyer. In particular, he is not responsible for loading the goods on the
vehicle provided by the buyer or for clearing the goods for export, unless
otherwise agreed. The buyer bears all costs and risks involved in taking the
goods from the seller's premises to the desired destination.

F

Facilitation

1. Programs designed to expedite the flow of international commerce.
2. The act of freeing more or less completely from obstruction or hindrance.

Factor

1. An agent who receives merchandise under consignment or under a bailment
contract, who sells it for the principal or in the factor's own name, and
who is paid a commission for each sale.
2. A financing company which purchases accounts receivable under agreed
conditions and at agreed discounts and thus makes funds immediately
available to approved sellers.

Factor's Lien

The right of a factor to retain possession of designated assets of the
principal until the factor receives full compensation from the principal.

Factorage

The commission or other compensation paid to a factor.

Fair Value

(USA) In dumping evaluations, it is the price at which the items being
reviewed should have been sold in the home market in order to be considered
as goods offered for export in the usual course of trade at fair market
value and not guilty of being dumped.

FAS (Free Alongside Ship...named port of shipment)

The seller fulfils his obligation to deliver when the goods have been placed
alongside the vessel on the quay or in lighters at the named port of
shipment. The buyer has to bear all costs and risks of loss or of damage to
the goods from that moment.

FCA (Free Carrier...named place)

The seller fulfils his obligation to deliver when he has handed over the
goods, cleared for export, into the charge of the carrier named by the buyer
at the named place or point.

FDA

Food And Drug Administration.

Federal Reserve System

(USA) The equivalent of the central bank of the USA and the coordinator of
monetary policy.

Feeder Vessel

A vessel which is part of a cargo network in which the larger, faster
vessels only call at the major ports at both ends of the area being covered,
and the smaller ports are served by the smaller feeder vessels which
transfer the cargo to and from the major port terminals and thus keep the
larger vessels filled closer to capacity and spare them the expense and loss
of time in loading and unloading in the subsidiary ports.

FEU

Forty foot equivalent units of shipping containers. (Two 20 ft containers =
1 FEU).

Financial Instrument

A document which has a monetary value or is evidence of a monetary
transaction, such as drafts, bills of exchange, checks and promissory notes.

Financial Market

Market for the exchange of capital and credit in an economy.

First World Countries

"Western, industrialized, non-communist countries," was the previously
accepted criteria, but in view of the emergence of Japan as an economic
power and the rising status of Russia and China, "industrialized" is
probably the only remaining valid criterium for a "First World Country" at
this time.

Five Dragons

Term used to describe the emerging economies of Hong Kong, Singapore, South
Korea, Taiwan, and Thailand.

Fixed Charges

1. Charges which do not increase or decrease with a change in volume.
2. Expenses that have to be borne whether any business is done or not.

Fixed Exchange

1. When Governments or their Central Banks administratively set the exchange
rate for their currency.
2. An administratively set exchange rate where no rate fluctuations are
permitted.

Fixing

The setting of a price by a known method at regular times. For example, the
establishment of an official exchange rate, interest rate, or security or
commodity price.

Flag

A reference to the country of registry of a vessel.

Flag of Convenience

The national flag flown by a ship that is registered in a country other than
that of its owners. (Usually arranged in order to save taxes and operating
expenses)

Flight of Capital

The movement of capital to another country to avoid loss.

Floating

Free determination of rates based on supply and demand, for example exchange
rates or interest rates.

Flotsam

Floating debris or wreckage of a ship and its cargo.

FOB (Free On Board ... named port of shipment)

The seller fulfils his obligation to deliver when the goods have passed over
the ship's rail at the named port of shipment. The buyer has to bear all
costs and risks of loss or damage to the goods from that point.

Force Majeure

A condition of superior or irresistible force such as Acts of God, including
earthquakes and floods, which cannot be avoided by the exercise of due care
and is included in contracts to excuse parties from performance when such
events occur.

Foreign Bond

An international bond usually denominated in the currency of the country
where it is issued.

Foreign Commerce

Trade between individuals or legal entities in different countries.

Foreign Currency

The currency of any foreign country which is authorized by that country as
the medium of circulation.

Foreign Exchange

Currency of countries exchangeable for other currencies according to their
relative values based on supply and demand.

Foreign Exchange Contract

A contract for the sale or purchase of the currency of one country to be
paid for with the currency of another country, specifying an amount, an
exchange rate, and delivery date.

Foreign Exchange Rate

The rate or price of the currency of one country in terms of the currency of
another.

Foreign Exports

1. (USA) Exports from the United States of foreign origin merchandise. (for
the purposes of USA export statistics)
2. Exports by other countries..

Foreign Flag

The national identification of a carrier registered in a foreign country. A
vessel flies the national flag of the country in which it is registered, and
it may be registered in a country different from that of its owner.

Foreign Income

Income gained by residents of one country from another country.

Foreign Investment

The purchase of assets which are abroad.

Foreign Market Value

From the American point of view it is the price at which merchandise is sold
at wholesale in the principal markets of the country from which it is
exported.

Foreign Parent

The first foreign person or entity outside the United States in an
affiliate's ownership chain that has direct investment in the affiliate.

Foreign Person

1. A person belonging to or under citizenship of another country.
2. Using the United States as an example, a person who resides outside of
the United States or is subject to the jurisdiction of another country other
than the United States is a "foreign person".

Foreign Remittances

The transfer of any funds across national boundaries.

Foreign Trade Zone Act (FTZA)

(USA) The act which established foreign trade zones in the USA.

Forward Foreign Exchange

An agreement to purchase or sell an amount of foreign currency at a future
date at a predetermined price.

Foul Bill of Lading

A bill of lading issued with notations on it which limit the carrier's
liability; for example, a notation that the goods were received damaged, or
short, or improperly packaged.

Fractional Currency

Any currency that is smaller than a standard money unit.

Franco

Free from duties, transportation charges and other levies.

Free Domicile

"Free Domicile" is still a widely used pricing term to describe when the
shipper pays all the applicable duties and all the transportation and other
charges until delivered to the buyer's premises. The term is being replaced
by Incoterm "DDP - Delivered Duty Paid ... named point of destination."

Free In and Out

A pricing term indicating that the vessel operator is responsible for the
cost of loading and unloading.

Free List

A schedule of items in a customs tariff that are not subject to the payment
of duties.

Free Market

A market in which there is unrestricted trading of goods with prices
determined by supply and demand. Internationally, there is an unrestricted
movement of goods in and out , and it is unhampered by the existence of
tariffs or other trade barriers.

Free Port

An area where imported goods may be brought without payment of duties.

Free Time

1. The time allowed shippers and receivers to load or unload rail cars
before demurrage or detention.
2. The time allowed consignees to take physical delivery of cargo before
storage or demurrage is assessed.

Free Zone

An area within a country (a seaport, airport, warehouse or any designated
area) regarded as being outside its customs territory where importers may
bring goods of foreign origin without paying customs duties and taxes,
pending their eventual processing, transshipment or re-exportation.

Free-Astray

A shipment or part of a shipment which has been dropped off at a wrong
location by a carrier

Freight

1. All merchandise, goods, products, or commodities shipped by rail, air,
road, or water, other than baggage, express mail, or regular mail.
2. The compensation paid for the transport of goods.

Freight Charge

The charge assessed for transporting cargo.

Freight Claim

1. A demand upon a carrier for the repayment of overcharge.
2. A demand upon a carrier for cargo loss or damage.

Freighter

A ship or airplane used primarily to carry cargo.

Fungibles

Goods that, for commercial purposes, are identical with other goods and
interchangeable in all situations.

Futures Contract

A contract for the future delivery of a specified commodity, currency or
security on a specific date at a rate determined in the present.

G

Gang

Maritime: A group of longshoremen under a supervisor who are assigned to
load or unload a portion of a vessel.

Gangway

1. The opening through which a ship is boarded.
2. A platform connecting quarterdeck and forecastle of a ship.

Gantry Crane

A specialized crane which travels on a structure which can span a wide area
and raises and lowers cargo. Some of them span the deck of a vessel.

Gateway

1. A major airport or seaport;
2. or the port where customs clearance takes place;
3. or a point at which freight moving from one territory to another is
interchanged between transportation lines.

Geisha Bond

Bond issued on the Japanese market in currencies other than yen.

General Agreement On Tariffs And Trade (GATT)

Both a multilateral trade agreement aimed at expanding international trade
and the organization which oversees the agreement. The main goals of GATT
are to liberalize world trade and place it on a secure basis thereby
contributing to economic growth and development and the welfare of the
world's people. The organization, GATT, has been succeeded by the World
Trade Organization (WTO).

General Average

1. loss that affects all cargo interests on board a vessel as well as the
ship herself.
2. An internationally accepted rule of the sea which says when a peril
threatens the survival of the ship, there may be sacrificed (thrown
overboard) any cargo or supplies or ships' furnishings, and any expense
incurred necessary to save the ship. If the vessel is saved, all cargo
owners, ship owner, and owners of the freight revenue share pro rata in the
loss.

General Cargo Rate

The rate a carrier charges for the transportation of cargo which does not
qualify for a lower special class or commodity rate in the carrier's tariff.

General Cargo Vessels

A vessel designed to handle breakbulk cargo such as bags, cartons, cases,
crates and drums, either individually or in unitized or palletized loads.

General Commodity Rate

In a maritime tariff, a freight rate applicable to all commodities except
those for which specific rates have been filed.

General Imports

The total physical arrivals of merchandise into one country from foreign
countries during a period of time..

General Liability

Unlimited responsibility for an obligation, such as payment of debts of a
business.

General Order

(USA) The customs requirement that goods not cleared within a specific
number of days after arrival of the carrier must be taken into custody of
customs and deposited in a warehouse at the risk and expense of the
consignee.

General Order Warehouse

(USA) A bonded warehouse authorized by customs to store goods sent to
General Order.

General Partnership

A partnership where all partners have joint ownership. They share the
profit, losses and management equally and each has personal liability for
all the debts.

General Tariff

A tariff that applies to countries that do not enjoy either preferential or
most favored nation tariff treatment.

Generalized System Of Preferences (GSP)

A program providing for free rates of duty for merchandise from beneficiary
developing independent countries and territories to encourage their economic
growth.

Global Bond

A bond that can be traded in any United States capital market and in the
Euromarket with special arrangements made for transferability between the
markets.

Global Quota

A quota set by a nation on the total imports of a product from all
countries.

Gold Exchange Standard

A monetary system adopted by some countries which did not have enough gold
to go onto the gold standard so they deposited their gold with one of the
leading gold standard countries and made their currency more or less freely
convertible to the currency of that country.

Gold Reserves

Gold retained by a nation or its central banks contributing to the nation's
creditworthiness in the issuance of bonds and currency, although there may
be no commitment by it to exchange gold for its currency.

Gold Standard

A monetary system whereby every form of currency issued by a country is
convertible on demand into its legal equivalent in gold or gold coin

Gondola Car

An open railway car with sides and ends, used principally for hauling coal,
sand, etc.

Goods

Merchandise; supplies; raw materials; wares; commodities; products. The
meaning may vary in various situations but for purposes of a contract for
storage or transportation, or with reference to collateral for security, it
means all things treated as movable.

Grantee

1. One to whom a grant is made; a grant being the giving or permitting as a
right or privilege, an authority, a power, a license, or a property.
2. (USA) As to foreign trade zones in the US, a corporation to which the
privilege of establishing, operating, and maintaining a foreign trade zone
has been granted by the Foreign Trade Zone Board.

Green Card

A popular name for an identity card (visa) issued by the U.S. Immigration
and Naturalization Service entitling a foreign national to enter and reside
in the United States as a permanent resident.

Grid

Fixed margin within which exchange rates are allowed to fluctuate.

Gross

1. 12 dozen or 144 articles.
2. Total (as in "Gross Weight".)

Gross Domestic Product

A measure of the market value of all goods and services produced within the
boundaries of a nation. It excludes income from external enterprises or
investments.

Gross National Product

A measure of the market value of all goods and services produced within the
boundaries of a nation plus receipts from foreign business activities and
investments beyond the national boundaries.

Gross Weight

The total weight of a package or a shipment, including goods and packaging.

H

Hallmark

1. Originally an impression made on gold and silverware introduced in the
beginning of the fourteenth century in England to identify the quality of
the metal used. Later, a mark to identify the maker and year of production.
2. Figuratively, a distinguishing characteristic.

Harbor Fees

Charges assessed to users for use of a harbor, used generally for
maintenance of the harbor.

Harbor Master

An officer who is commander of harbor activities and directs the berthing,
etc. of ships in a harbor.

Hard Loan

A foreign loan that must be paid in hard money.

Hard Money

Currency of a nation having stability in the country and a reputation abroad
for economic strength, and as a result it has wide and ready acceptability
on world markets.

Harmonized System (HS)

A multipurpose international goods classification system designed to be used
by manufacturers, transporters, exporters, importers, customs,
statisticians, and others in classifying under a single commodity code goods
moving in international trade.

Harmonized Tariff Schedule of the United States (HTSUS)

(USA) An organized listing of goods and their duty rates which is used as
the basis for classifying imported products and identifying the rates of
duty to be charged on them. It is based on the international Harmonized
System Convention.

Harter Act

(USA) An 1893 Federal Statute regarding ocean bills of lading and limitation
of some carrier liabilities. It has been substantially superseded by the
Carriage of Goods by Sea Act of 1936 and others.

Hatch

The opening in the deck of a vessel which gives access to a cargo hold.

Haulage

1. The local transport of goods.
2. Also the charge(s) made for hauling freight on carts, drays or trucks.
3. Also called cartage or drayage.

Hazardous Materials

A substance or material which has been determined to be capable of posing an
unreasonable risk to health, safety, and property when transported in
commerce.

Heavy Lift

Any article deemed by rules in a vessel's tariff to be beyond a certain
weight. It may be too heavy for the ship's tackle and require special
equipment such as a floating crane.

Heavy Lift Charge

In a maritime tariff, a charge made for lifting heavy articles to load or
unload them.

Heavy Lift Vessel

A vessel with heavy lift cranes and other equipment designed to be
self-sustaining in the handling of heavy cargo.

Hedge

To reduce one's risk of loss by compensating transactions on the other side.
For example, buy goods for future delivery priced in a foreign currency.
Hedge by buying the foreign exchange needed at the rate then in effect. Or,
another way of hedging is to buy a forward exchange contract. In both cases
the buyer will have a known cost in its own currency. This is a hedge
against the risk of foreign exchange fluctuation; it is not a hedge against
a change in the price of the goods.

Hedge Ratio

The amount of future exchange contracts, options, or underlying financial
instruments, purchased or sold against a position to accomplish a hedge of
the position.

High Density

High density cargo is cargo whose weight is high compared to its volume. A
vessel tariff in which freight is charged according to weight or volume,
whichever yields the highest freight charge, will result in high density
freight being charged on a weight basis.

Hitchment

In maritime situations, if the tariff of the steamship company provides for
it, portions of a shipment originating in different places may be joined
together under one bill of lading from one shipper to one consignee at one
destination.

Hold

1. The interior of a vessel below deck where cargo is carried.
2. to delay; to pause (verb); a delay; a pause (noun).
3. A verb with multiple other meanings than those noted above such as: to
retain, to contain, to maintain, to bind, to bear, to own.

Hold For Pickup

Freight to be held at the carrier's destination location for pickup by the
recipient.

Hold Harmless Contract

An agreement by which one party accepts responsibility for all damages and
other liability that arise from a transaction, relieving the other party of
any such liability.

Honor

To accept a bill of exchange; or to pay a note, check or draft at maturity.

Horizontal Export Trading Company

An export trading company which exports a range of similar or identical
products supplied by a number of manufacturers who may be competitors on the domestic market.

House Air Waybill

1. A bill of lading issued by a freight forwarder for consolidated air
freight shipments.
2. An airwaybill issued by an airfreight forwarder by which the forwarder
assumes the risk and obligations of being "the carrier."

House-To-House

A shipping term indicating that a container will be offered by the carrier
for use by the shipper and the receiver for the transport of the contents
from the domicile of one to the domicile of the other, but the carrier only
contracts to transport the loaded container from terminal at origin to
terminal at destination.(usually called C/Y to C/Y - container yard to
container yard.)

Hub And Spoke Routing

Air cargo routing pattern that feeds traffic from many places to a central
airport where it is sorted and rerouted on other aircraft to final
destinations.

Hull

The outer shell of a vessel.

Hump

An essential feature of a railcar sorting yard . The "hump" is that part of
the track which is elevated so that when a car is pushed up on it and
uncoupled, it runs down the other side by gravity and is switched onto the
siding where a train is being made up for the desired destination.

Hundredweight Pricing

In transportation, special pricing for multiple-piece shipments (weighing
over 100 pounds in total) traveling to one destination, which are rated on
the total weight of the shipment as opposed to rating on a per package
basis.

I

Irrevocable Corporate Purchase Order

A purchase order completed by a buyer on corporate letter head indicating
type and quantity of products being ordered from a supplier.

Identical Merchandise

(USA) For U.S. Customs purposes of appraisement, identical merchandise means
merchandise identical in all respect to and produced in the same country and
by the same person as, the merchandise being appraised.

Immediate Delivery(ID)

(USA) In certain circumstances, merchandise may be released by U. S. Customs under a special permit for immediate delivery with entry summary (details) and duty to be submitted subsequently. It is a procedure principally
utilized along the land borders.

Immediate Transportation Entry

(USA) A form of U.S. Customs entry which allows imported merchandise to be
transported under bond to another port for customs clearance thereat.

Immigration

The entry of foreign nationals into a country for the purpose of
establishing permanent residence.

Implied Conditions

Certain implied conditions are not written into marine insurance policies,
but they are so basic to the understanding between the underwriter and the
assured that the law gives them much the same effect as if written. (In many
other types of contracts there also may be "implied conditions," for example
a seller of goods implies that they are fit for the purpose they purport to
serve.)

Import

The act of bringing or causing any goods to be brought into a customs
territory.

Import Credit

A commercial letter of credit issued for the purpose of financing the
importation of goods.

Import Duty

Customs duty which is collected on in connection with the importation of
goods.

Import License

An import license (or import permit) is an authorization by a competent
authority for the importation of goods which are subject to restriction.

Import Quota

A protective device establishing limits on the quantity of a particular
product that may be imported into a country.

Import Quota Auctioning

The process of auctioning the right to import specified quantities of
quota-restricted goods.

Import Relief

Any of several measures imposed by a government to temporally restrict
imports of a product or commodity to protect domestic producers from
competition. Or, any of several measures to strengthen domestic producers
such as subsidies, educational assistance to workers, training assistance to
workers, low interest loans to producers, tax relief to producers etc.

Import Restrictions

Any one of a series of tariff and non-tariff barriers imposed by an
importing nation to control the volume of goods coming into the country from
other countries.

Import Sensitive Producers

Domestic producers whose economic viability is threatened by competition
(quality, price or service) from imported products.

Import Substitution

A national economic strategy to build up a domestic economy by emphasizing
the replacement of imports by domestically produced goods.

Importer

The individual, firm or legal entity that brings goods, or causes goods to
be brought from a foreign country into a customs territory.

Importer Number

(USA) An identification number assigned by the U.S. Customs Service to each
importer to track entries and other transactions. In most cases the
Taxpayer's Identification Number assigned by the Internal Revenue Service is
the number also used by Customs.

Imports

Goods brought into a customs territory.

Imports For Consumption

The total of merchandise that has physically cleared through the customs of
a country either entering domestic consumption channels immediately or
entering after withdrawal for consumption from bonded warehouses or from
foreign trade zones.

Impost

1. A tax, especially an import duty.
2. To classify an impost in order to fix the duty. (rarely used). (Note: an
imposter is one who imposts. Another definition of an imposter is a
"pretender" but that is not the meaning intended here.).)

Impound

To seize or hold; or to place in custody by order of a court.

In Bond

(USA) A procedure under which goods are transported, stored, or handled,
prior to clearance and release by customs, and the government's interest is
secured by indemnity bonds.

In Bond Shipment

An import or export shipment which has not been cleared by Customs and is
transported, stored, or handled with security to the government provided by
indemnity bonds.

In-Bond System

(USA) A part of U.S. Customs' Automated Commercial System, controls
merchandise from the point of unloading at the place of arrival, while
handled or transported further in bond, until customs cleared.

Incentive

A motivational force that stimulates people to greater activity or increased
efficiency.

Income

Money or its equivalent, earned or accrued, arising from the sale of goods
or services.

Incoterms

An abbreviation of "International Commercial Terms" published by the
International Chamber of Commerce. It is a set of rules for the
interpretation of the most commonly used trade terms in foreign trade which
parties to a contract can agree upon to avoid misunderstandings, disputes
and litigation.

Indemnify

1. To compensate for actual loss sustained.
2. To give security for the reimbursement of a person in case of an
anticipated loss falling upon him.

Indemnity

1. A compensation to make a person whole from a loss already sustained.
2. A contract or assurance by which one engages to secure another against an
anticipated loss.

Independent Action

The right of a conference member to depart from the common freight rates,
terms or conditions of the conference without the need for prior approval of
the conference.

Indexed

In finance this term means "measured by" and/or "adjusted according to,"
thus an interest rate on a note may be, by agreement, "indexed" i.e.
adjusted according to the market at time the interest is due. Or a note
denominated in a foreign currency may have its exchange rate "indexed,"
adjusted according to the market rate in effect at the time of payment.

Indexed Currency Borrowings

Borrowings in a foreign currency where the rate of interest is linked to an
agreed scale, and/or the rate of exchange at repayment is linked to an
agreed scale.

Indexed Currency Option Note

Note denominated and paying interest in one currency but whose redemption
value is linked to an exchange rate for another currency.

Industrial List

(USA) The Coordinating Committee for Multilateral Export Controls industrial
list contains dual-use items (usable for military or nuclear purposes in
addition to normal commercial uses) and as a result whose export is
controlled for strategic reasons.

Industrial Policy

Encompasses traditional activist governmental policies intended to provide a
favorable economic climate for the development of industry in general or
specific industrial sectors.

Infant Industry Argument

The view that "temporary protection" for a new industry or firm in a
particular country through tariff and non-tariff barriers to imports can
help it to become established and eventually competitive in world markets,
in which case the protective measures will no longer be needed.

Inflation

Loss of purchasing power of money caused by growth of the amount of money in circulation and reflected in a rise in prices without a proportionate
increase in value of the things purchased..

Informal Entry

(USA) A simplified import entry procedure accepted at the option of Customs
for any baggage or commercial shipment that does not exceed a specified
value.

Informed Compliance

(USA) A term that describes the improved ability of a entity to comply with
Federal rules and regulations through easy access to up-to-date information.

Infrastructure

The institutions and fundamental organizations which support the basic
structure of a nation's economy, among these are: the educational system,
the transportation systems, the banking system, the public utilities, the
water supply system, the sanitation system, the health maintenance network,
the public security and safety systems, the communication systems, the
postal system etc.

Inherent Vice

The inherent physical properties of goods which may cause them to suffer
deterioration or damage without outside influence. (For example: spontaneous
combustion, rust etc.)

Injury

1. (USA) A finding by the U.S. International Trade Commission that an import
is causing harm (material injury) or threatening to cause harm (material
injury) to a U.S. industry...(If caused by sales to the U.S. at "less than
fair value", it may be considered "dumping" and trigger "antidumping
duties", or if it is caused by foreign subsidies or bounties, it may trigger
"countervailing duties").
2. A wrong or damage done to another, either in his person, rights,
reputation, or property.
3. The invasion of any legally protected interest of another.

Inland Bill of Lading

A bill of lading used in transporting goods overland.

Inland Carrier

A transportation line which hauls cargo inland: truck, rail, barge, inland
waterways, or domestic airline flights.

Inspection Certificate

A document describing the condition of goods and confirming that they have
been inspected.

Instrument

Any written document that gives formal expression to a legal agreement or
act.

Integrated Cargo Service

A blend of all segments of the cargo system providing the combined services
of carrier, forwarder, handlers, and agents, utilizing all forms of
transport.

Integrated Carriers

Carriers that have multiple varieties of fleets (i.e. air and ground, truck
and rail, etc.).

Intellectual Property

Non-tangible property that is the result of creativity such as copyrights
and patents.

Interbank Dealings

Dealings between banks.

Interchange Agreement

An agreement that specifically lays out the terms of leasing or temporarily
borrowing equipment from a carrier. A frequent use of an interchange
agreement is between an ocean carrier and a trucking company when the
trucking company takes a container from the pier for delivery to the
consignee.

Interchange Point

A location where one carrier delivers freight to another carrier.

Interline Shipping

The movement of a single shipment on two or more carriers.

Intermodal Compatibility

The physical capability of a shipment of goods to be transported from one
form of transportation to another.

Intermodal Transport

Coordinated transport of freight using multiple methods of transportation.

International Trade

The business of buying and selling commodities beyond national borders.

International Trade Data System

A proposed electronic system that would integrate the different government
trade and transportation data processes into a system that provides a
standard means of gathering, processing, storing and disseminating import
and export trade data. See IT06.

Interstate Carrier

(USA) A common carrier whose business extends beyond the boundaries of one
state.

Interstate Commerce

(USA) Trade, transport, and communication between or among the several
states of the United States.

Invisible Barriers to Trade

Government regulations (national and local), and cultural conditions that do
not directly restrict trade but hinder it with excessive and obscure
requirements.

Invisible Trade Balance

The balance of trade reflecting the import and export of services.

Invoice

A written account or itemized statement, usually on a printed form with the
name and address of the seller, listing merchandise sold or shipped to a
purchaser, consignee, factor etc., showing their name and address, and
containing a description of the merchandise, the quantity, values or prices
and charges, and other significant details of the transaction such as the
terms of sal