7/27/2019 Container Terminology

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CONTAINER TERMINOLOGY

Velzquez 94, 1 Planta28006 Madr id , Spa inTel + 34 91 417 45 44Fax + 34 91 417 45 46www.emi rag roup . com

CONTAINER TERMINOLOGY

THE CONTAINER

The respective meaning of the terms FCL and LCL is as follows

FCL Full container loadFull carload*

LCL less than container loadLoose container load

Less than carload*Loose carload*

* The word carload relates to the rail car.

FCL full container load

FCL means the load reaches its allowable maximum (or full) weight or measurement.In practice, however, the FCL in the ocean freight does not always mean packing a container to itsfull payload or full capacity. For example, an exporter books a 20 container that is intended for aconsignee at FCL flat rate of US$1.500. If the consignment occupies 500 cu. ft. and weighs 5.000kgs only, the case is still FCL and the exporter has to pay USS1.500.

LCL less than container load / carload loose container load / carload

LCL means that the cargo of the container is made up of various consignments that can be from orfor various consignors and/or various consignees.If an exporter intends to pack a container to the full capacity or full payload with theconsignments of two or more consignees for the same destination, the case is LCL and the carrierwill charge the LCL freight rate on each consignment. In the LCL arrangement, the shipper isrequired to deliver the cargo to the carriers container freight station for containerization, thusthere is no guarantee that the two or more consignments from the same exporter will share thesame container. In some cases, the exporter is allowed to pack the container at their premises inthe LCL arrangement, and then the carrier uses that same container to pack in more cargo from

other shipper(s) to make a full container load at the container freight station.

CONTAINER SERVICES

The respective meaning of the terms CY, CFS, H and P is as follows and apply to the manner andthe location of the cargo delivery and receipt in a container service:

CY container yardCFS container freight stationH houseP pier/port

CY container yard & H house

The CY is the delivery (or receipt) of a whole container from (or at) the shippers or theforwarders (or the consignees) cargo yard or premises.

7/27/2019 Container Terminology

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CONTAINER TERMINOLOGY

Velzquez 94, 1 Planta28006 Madr id , Spa inTel + 34 91 417 45 44Fax + 34 91 417 45 46www.emi rag roup . com

CFS container freight station & P pier/port

The CFS is the delivery (receipt) of loose cargo from (or at) the carriers container freight station.

The container freight station (CFS) is operated by the carrier for the receipt, forwarding, andassembling or disassembling of cargo. Normally, the container freight station is a customsclearance centre.

The CFS Service may be necessary under any of the following circumstances:

The kind of cargo and quantity of order does not warrant the use of the whole container. The shippers or the consignees premises are inaccessible by container due to poor roadconditions (e.g. narrow road) and location (e.g. remote area not served by container).

The overall load of vehicle exceeds the legal limitation. The shipper or the consignee lacks the necessary container loading or unloading

equipment.

MODES OF CONTAINER SERVICE

CY/CY container serviceH/H container servicedoor to - door container service

The whole container received by the carrier is packed at the shippers or forwarders premises andthe delivery of that same container is to the consignees premises.

In related term door-to-door service, which is often used in the cargo forwarding and may involvethe LCL, refers to a type of freight service available from a forwarder whereby the cargo is pickedup at the consignors premises and delivered to the consignees premises.

CY/CFS container serviceH/P container service

The whole container received by the carrier is packed at the shippers or the forwarderspremises, and the same whole container is emptied at the carriers container freight station at the

port of destination. The consignee arranges the delivery of the loose cargo from the containerfreight station to his/her premises.

CFS/CY container serviceP/H container service

The delivery of the loose cargo to the carriers container freight station at the port of origin ispacked into the whole container and the delivery of that same whole container is to theconsignees premises.

CFS/CFS container serviceP/P container service

The delivery of the loose cargo to the carriers container freight station at the port of origin ispacked into the whole container and the same whole container is emptied at the carrierscontainer freight station at the port of destination. The consignee arranges the delivery of theloose cargo from the container freight station to his/her premises.