Guide: Learn the freight forwarder’s language

The world of transport and logistics is full of acronyms and industry jargon. If you are not working in freight full-time, it’s easy to feel overwhelmed by terms like LTL, POD or CMR. Here, we break down some of the most common abbreviations you are likely to encounter.

You might be completely new to the world of transport. Maybe you’re an experienced customer who finally wants to understand what your freight forwarder is talking about. We got you. This is your cheat sheet to lean on in times of confusing lingo.

Hopefully, this short guide will help you along the way. If you have any further questions or want to learn more about any specific terms or phrases, please do not hesitate to contact us. Our experienced coworkers Mats Prütz and Madeleine Stein are at your service.

Transport types and documents

• CMR: Convention on the Contract for International Carriage of Goods by Road. International waybill for road transport
• B/L: Bill of Lading. A legal document used in sea freight.
• AWB: Air Waybill. A legal document used in air freight.
• POD: Proof of Delivery (for example a signed CMR).

Customs and trade

• HS-Code: Harmonized System Code. A global classification code used for customs, required for imports/exports.
• EORI: Economic Operator Registration and Identification. A unique number for businesses trading outside the EU. Needed for customs declaration.
• EX: Export declaration.
• IM: Import declaration.
• EUR 1: Certificate of origin for customs benefits.

Delivery Terms (Incoterms)

• EXW: Ex Works. The buyer assumes all the risk and costs once the seller places the goods at the agreed time and location.
• CPT: Carriage paid to. The seller arranges transport to the destination, but risk transfers to the buyer once the goods are handed over to the first carrier or terminal.
• FOB: Free on board. The seller assumes the risk until the goods are loaded onto the vessel designated by the buyer.
• CFR: Cost and freight. The seller bears risk until the goods are loaded onto the vessel they designate and covers cost and freight to the named port of destination.
• DAP: Delivered at place. The seller bears risk until the goods are delivered to the agreed destination.

Other relevant terms

• FTL/FCL: Full Truck Load/Full Container Load.
• LTL/LCL: Less Truck Load/Less Container Load.
• ETD: Estimated Time of Departure.
• ETA: Estimated Time of Arrival.