TRUCKING GLOSSARY

Term Full Form Description
DHM

Dead head miles

It is also known as dead running or dead heading. The term is generally used in public and road transport. In road transport the term refers to the miles & hours covered while driving empty from the point of unloading to the point where a fresh load is all set to pickup. In case of a mileage paid driver, they'll be remunerated for all credited miles run - loaded or empty. For a percentage paid driver, they will be remunerated with a percentage of what the load disburses to the truck, as a result, they should not be paid for deadhead miles

Dead head mileage incurs costs for the operator concerning non-revenue earning fuel utilization, wages, and a cutback in the deployment of the driver's legal hours of driving.

In order to get rid of dead head miles many operators apply GPS technology to supervise vehicle and trip activity for taking effective dispatch decisions. GPS technology can be beneficial to work out travel time. Besides automated transit can be tapped into real-time traffic updates and can minimize deadhead miles 10-20% & enhance dispatcher efficiency on the whole.

 

Freightshaker

Any model Freightliner straight truck or tractor

 

Bobtail

Tractor with no trailer

 

Auto haulers

Perform for hauling cars on specially fabricated trailers and need particular skills loading and operating this type of specialized trailer

 

Owner-operators

They are also known as O/Os, or "doublestuffs”.  Owner-operators generally own the trucks they drive and will be in a position to lease their trucks by contract with a trucking company to deliver freight for that company utilizing their own trucks, otherwise they haul loads for a number of companies and perform as the self-employed independent contractors. There are also others who lease a truck from a company and pay money for purchasing it in two to five years

Agt.

Agent

In the logistics supply chain, the types of agents include:
i Brokers
ii Commission merchants
iii Resident buyers
iv Sales agents
v Manufacturer's representatives

3PL

3rd Party Logistics

A third party, who takes care of the logistic value chain. A third party, who takes care of the logistic value chain.  At a fundamental level, a 3PL provider will ensure the services of warehousing and distribution for you (evolved service providers now do much more - tracking, packing, sourcing etc.)

4PL

4th Party Logistics

A supplier of outsourced supply chain coordination and management services that generally does not own or operate the underlying logistical assets and resources. 4PL can be termed as an integrator that accumulates the resources, capabilities and technology of its own organization and other organizations to design, build, and operate comprehensive supply chain solutions. A third party logistics (3PL) service provider targets a function whereas a 4PL targets management of the entire process.
4PL services can also be defined as follows :
1. Dealing with the several 3PL providers for the client
3. Supervising the financial, operational, IT and customer services for the client for services where 3PL agencies are engaged.

BAF

Bunker Adjustment Factor

A kind of fuel surcharge added to the freight rates.

Barge

A kind of small ship

Flat Bottomed cargo carrying boat. It is used for movement of small quantity cargo. Mainly used for coastal or river movements.

BL

Bill of Lading

BL is issued by the carrier (Shipping Line/NVOCC). This is the document which is presented to the shipping line at POD, and then only cargo can be cleared.

Break Bulk

Break Bulk Cargo

The cargo which can be counted (Other than Containers). It includes Steel coils, Vehicles etc.

CAF

Currency Adjustment Factor

A kind of surcharge added to freight rates, to mitigate the currency risk.

CAN

Cargo Arrival Notice

A document issued by carrier/agent to the importer, notifying him about the arrival of cargo.

CBU

Completely Built Unit

Vehicles being shipped in fully built form.

CFS

Container Freight Station

CFS is a kind of customs bound warehouse, where stuffing and destuffing of containers are done. These are near to the ports.

CKD

Completely Knocked Down

Vehicles being shipped in parts. One vehicle is knocked down in many small parts and these parts are shipped in containers.

CoC

Carrier Owned Container

The containers owned by the carriers.

CY

Container Yards

These are general purpose yards, where generally empty containers are stacked.

DBL

Draft Bill of Lading

The B/L issued by the Carrier to Freight Forwarder. This is just to check the actual format of the B/L as per LC. Master B/L is issued on the basis of DBL and after MBL is issued, this remains null and void.

DC

Dangerous Cargo

Cargos like petroleum, chemical etc. Special equipments are required to handle these.

Demurrage

Demurrage

The penalty paid by the charterer to the owner of the ship for delay in completing the voyage.

Dispatch

Dispatch

The money paid by the owner of the ship to the charterer for completing the voyage in advance. Generally the rate will be half of demurrage rate.

DO

Delivery Order

A document issued by carrier/agent to the importer, giving him the authority to collect the cargo. This is issued after B/L is surrendered to the carrier/agent.

EGM

Export General Manifest

A document issued by carrier/agent to the port authorities stating that a container is going for export.

FAK

Freight of all Kind

Freight charged by linear operators. Quoted in terms of per TEU.

FCL

Full Container Load

When one container contains cargo for only one consignee.

Feeder

Feeder Service

A kind of shipping service in which ships ply between a distant port and some port having linear service. For Ex- service between Haldia and Colombo. In this case Haldia is a distant port whereas many linear routes pass through Colombo.

FEU

Forty Feet Equivalent Unit

A container of 40' length. One FEU is equal to 2 TEU.

FR

Flat Rack

A kind of container which has just the bottom, like a rack. Generally used for oversized cargo. Freight is more.

Freight

Freight

Money charged by shipping lines to take the cargo from one port to another.

HBL

House Bill of Lading

The B/L issued by Freight Forwarder to the Shipper. In this B/L the name of actual importer will reflect as consignee.

IATA

International Air Transport Organization

An organization of all the air transporters across the world. Any new air transporter needs an IATA license to operate.

ICD

Inland Container Depot

ICDs' are a kind of CFS only. The only difference is that ICDs' are far from the ports. These are generally called Dry Ports.

IGM

Import General Manifest

A document issued by carrier/agent to the port authorities stating that a container is coming for imports.

LC

Letter of Credit

LC is the master document. It is opened by the bank of consignee in favor of the shipper. All the terms & conditions of the trade are mentioned in this document.

LCL

Less than Container Load

When one container contains cargo for more than one consignee.

Lo-Lo

Lift On Lift Off

It is generally used to describe the kind of terminals where vehicles/containers or any cargo are lifted through lifts and put onto the ship.

Mate's Receipt

Mate's Receipt

A declaration given by the captain of the ship about the cargo. B/L is issued based on this.

MBL

Master Bill of Lading

The B/L issued by Carrier to the Freight Forwarder. In this B/L Freight Forwarder will be shown as consignee. This is done to hide the actual importers details from the Carrier.

MLO

Main Line Operator

The shipping lines, having linear services.

MTO

Multimodal Transport Operator

A Kind of license issued by DG-Shipping. It authorizes carriers to issue multimodal B/L.

OT

Open Top

A kind of container which has no ceiling. Used for oversized cargo. Freight is more than general container.

POD

Port of Discharge

The port where cargo is to be discharged.

POL

Port of Loading

The port where cargo has been loaded on the ship.

Reefer

Refrigerated Container

The containers having refrigeration units. They have a battery to operate on and are connected to external power at ports and on ships. Used for shipping meats, fruits etc.

RMQ

Rail Mounted Quay

A kind of crane used at container terminals.

Ro-Ro

Roll On Roll Off

It is a kind of terminal used to ship the vehicles in CBU forms. Vehicles are just driven through the terminal and parked in the ship.

SKD

Semi Knocked Down

Vehicles being shipped in parts. One vehicle is knocked down into 4-5 major parts and these parts are shipped.

Slot

Slot

Money charged by shipping lines from NVOCC operators to take containers from one port to another.

SoC

Shipper Owned Container

The containers which have been arranged by the shipper/agent and not by the shipping line.

TAMP

Tariff Authority of Major Ports

A statutory body formed by Government. It regulates the tariffs charged at all the 12 major ports in India.

TEU

Twenty Feet Equivalent Unit

Represents a unit for containers. One TEU is equal to one container of 20' length.

THC

Terminal Handling Charges

Charges to be paid to terminal operator (Most of the cases-Ports). It includes loading charges and charges paid to the stevedores.

Back Haul

Back Haul

The return movement of a means of transport that has provided a transport service in one direction.