Logistics glossary
Short, clear definitions of the terms you meet most often in logistics and international trade.
A
- A.TR movement certificate
- A document showing that industrial goods are in free circulation under the customs union between Türkiye and the European Union.
- ADR
- The European agreement on the international carriage of dangerous goods by road. It sets rules for packaging, labelling and vehicles.
- Agent
- A partner that handles loading, delivery and paperwork in another country or region on behalf of a logistics company.
- Air waybill (AWB)
- The air freight document that evidences the contract of carriage and the carrier’s receipt of the goods.
B
- Bill of lading (B/L)
- The sea freight document that confirms loading on board, evidences the contract of carriage and serves as a document of title.
- Bonded warehouse
- A facility where goods on which duties have not yet been paid are stored under customs supervision.
C
- Cargo insurance
- Insurance covering loss of or damage to goods in transit.
- Certificate of origin
- A document stating the country where goods were produced, usually certified by a chamber of commerce.
- CMR consignment note
- The international road freight document that evidences the contract of carriage and receipt of the goods.
- Commercial invoice
- The invoice documenting the sale, the value of the goods and the terms. A key customs document.
- Consolidation
- Combining small shipments from different shippers into one container or vehicle.
- Cross-docking
- A distribution method where cargo moves straight from an inbound to an outbound vehicle without being stored.
- Customs declaration
- The official document declaring the type, quantity and value of imported or exported goods to customs.
D
- Delivery order
- A document issued by the carrier or its agent authorising release of the cargo to the consignee.
- Demurrage
- The charge a carrier applies when a container stays at the port beyond its free time.
- Detention
- The charge applied when a container is kept outside the port by the shipper or consignee beyond its free time.
E
- ETA
- Estimated time of arrival.
- ETD
- Estimated time of departure.
- EUR.1 movement certificate
- A document proving the origin of goods under preferential trade agreements, giving access to reduced duties.
F
- FCL
- Full container load: a container used for a single shipper’s cargo.
- Free time
- The period during which a container can be used without demurrage or detention charges.
- Freight forwarder
- A company that organises transport end to end through carriers and other providers rather than with its own vehicles.
- Freight rate
- The price paid to carry cargo from one point to another.
- Full truck load (FTL)
- A road shipment where the whole vehicle is used for one shipper’s cargo.
I
- IMDG Code
- The international rules for carrying dangerous goods by sea.
- Incoterms
- Delivery terms published by the International Chamber of Commerce (ICC) that define where cost and risk pass from seller to buyer.
L
- Last mile
- The final delivery stage, from the last hub to the recipient’s door.
- LCL
- Less than container load: cargo that shares a container with other shipments.
- Loading and discharge
- Putting cargo onto a vehicle or ship (loading) and taking it off (discharge).
- Loading metre (LDM)
- The length of trailer floor a load takes up. A standard trailer is 13.6 LDM; one Euro pallet is about 0.4 LDM.
P
- Packing list
- A list of the contents, dimensions and weight of each package in a shipment, used for customs and delivery checks.
- Pallet
- A platform goods are stacked on for handling. A Euro pallet measures 120 x 80 cm and an industrial pallet 120 x 100 cm.
- Part load (LTL)
- A load that does not fill the vehicle and travels together with other shippers’ cargo.
- Proforma invoice
- A preliminary invoice sent before a sale to set out prices and terms.
R
- Reefer
- A container or vehicle with a cooling unit that keeps cargo at a set temperature.
T
- T1 transit document
- A document that lets goods move under customs supervision, with duties unpaid, from one customs office to another.
- TEU
- Twenty-foot equivalent unit. One 40ft container counts as 2 TEU.
- Transit time
- The time cargo takes to travel from origin to destination.
V
- Volumetric weight
- A weight calculated from the space cargo takes up. Freight is charged on whichever is greater, the actual or the volumetric weight.
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