Freight Glossary - find out what those strange words mean!
This glossary is designed to help users understand the terminology frequently used in freight procurement and logistics operations. It simplifies complex industry jargon into clear, concise definitions, making it easier for you.
Friday, June 13, 2025

Ever wonder what some of the terms you've seen in logistics contracts mean? Here we break down the top 100 terms we encounter from customers of Prodensus every day.
The glossary provides definitions of common freight and logistics terms, including:
Charges and Surcharges (e.g., Fuel Surcharge, Bunker Adjustment Factor, Peak Season Surcharge)
Customs and Regulatory Terms (e.g., Entry Summary Declaration, ISF, Import/Export Permits)
Shipping Documentation (e.g., Bill of Lading, Air Waybill, Proof of Delivery)
Operational Metrics and Units (e.g., Actual Weight, Chargeable Weight, Dimensions)
Handling and Service Fees (e.g., Terminal Handling Charge, Chassis Fee, Drayage)
Industry Terminology | Description |
---|---|
Actual Weight | The actual weight of a shipment in kilograms. |
Actual Weight UoM | The Unit of Measure for the associated weight or volume of the individual shipment. |
Aden Gulf Surcharge | The Gulf of Aden is in the Republic of Yemen. |
Air Freight - Fuel | A fuel surcharge is an extra fee that shipping companies (or third parties) charge to cover the fluctuating cost of fuel. |
Air Freight - Security | Airport Security Fee means the fee levied by the Recipient for purposes of financing acquisition, operation and maintenance of airport security equipment and infrastructure, and payable by passengers using any of the Recipient's airports. |
Airline | Name of the Vessel Operating Carrier (VOC). |
Airline Handling Charge | A charge incurred for loading / unloading the cargo from the aircraft. |
AMS | The AMS fee, or Automated Manifest System fee, is a charge levied by customs authorities to cover the cost of processing and managing electronic manifest data for international shipments and facilitating customs clearance. |
ASN | An advanced shipment notice (ASN) is an electronic data interchange (EDI) message sent from the shipper to the receiver prior to the departure of the shipment from the shipper’s facility. |
Base rate | The main component of a fee charged for transporting goods from point A to point B. |
Billed Weight | The billed weight of a shipment in kilograms. |
Billed Weight UoM | The Unit of Measure for the associated billed weight or volume of the individual shipment. |
Bobtail | A bobtail fee is charged by the trucker to drop off an FCL container at the warehouse and pick it up after it has been unloaded, as opposed to a live unload. |
Bond Fee | The bond fee protects the US government should an importer not pay any duties, penalties, etc. |
Brokerage Fee | A fee charged for use of a customers broker. |
Bunker Adjustment Factor | A fuel surcharge is an extra fee that shipping companies (or third parties) charge to cover the fluctuating cost of fuel. |
Carbon Offset | The calculated CO2 impact of a shipment for a given lane as outlined in the Scope 3 emissions policy of the bidding carrier. |
Cargo screening | Air cargo screening is the process of analysing the contents of a shipment before it is taken onboard a plane, to ensure it is compliant with safety and security regulations. |
Carrier | This is the name of the carrier, freight forwarder or 3PL who had responsibility for moving the shipment |
Carrier SCAC | The SCAC code is used as an identification number for carriers moving goods through the United States. |
Chassis Fee | A chassis fee is assessed if your shipment is traveling by truck (e. |
Container Number | A container number is a unique alpha-numeric combination of seven numbers and four letters used for identifying containers internationally. |
Currency Adjustment Factor | If your cargo is paid in a foreign currency, the currency may be subject to exchange fluctuations. |
Customs Clearance - Export | A customs clearance fee is levied by the customs clearance agent or customs broker to cover the cost of preparing and filing customs documents. |
Customs Clearance - Import | A customs clearance fee is levied by the customs clearance agent or customs broker to cover the cost of preparing and filing customs documents. |
Dangerous Goods Handling | The dangerous goods surcharge (Hazmat in US) is a fee for shipping certain regulated dangerous substances and materials. |
Delivery | This charge covers delivery from a warehouse at the destination terminal to your requested delivery point. |
Delivery Drayage | Drayage charge is the cost associated with the movement of shipments over a short distance that may be from a warehouse/rail terminal to the port or vice versa. |
Departure Days (MTWTFSS) | The days of the week during which a shipment can leave it's port of origin. |
Destination Demurrage (Per Day Per Container) | The time the filled containers spend inside the terminal. |
Destination Detention (per day per container) | These charges are similar to demurrage fees, but they arise outside the port terminal. |
Destination Import Permit | An Import Permit or License is a legal document granted by a government that permits the exports of specific commodities. |
Destination Storage Charges (Per Day) | These charges cover the usage of storage space occupied by the container on terminal grounds, inside a warehouse or at the container yard. |
Detention Charge | Detention fees are incurred when trucks are held at pickup or delivery locations beyond the allocated "free time". |
Dimension UoM | The Unit of Measure for the associated volume of the individual shipment. |
Dimensions | The dimensions of a shipment, measured as L x W x H in CMs. |
Doc Fee - Origin | Sometimes referred to as a Bill of Lading Fee. |
Documentation Turnover Fee | Sometimes referred to as a Bill of Lading Fee. |
Driver Assist | When the driver is required to assist with loading/unloading beyond routine responsibilities. |
Entry Summary Declaration (ENS) | A mandatory filing required by EU customs authorities to perform a security assessment of cargo entering EU ports. It contains advance information about the shipment and must be submitted before goods arrive, similar to the AMS filing for the USA. |
Equipment | The equipment moved to complete the transit, in ocean freight this would describe the container type. |
Export Customs Clearance | The customs clearance fee is paid directly to the customs broker or customs clearance agent to cover the cost of submitting documentation and processing duties payment. |
Export Permit | An Export Permit or License is a legal document granted by a government that permits the exports of specific commodities. |
Fee Time | The period, usually in number of days, during which a container can be stored at the port free of charge. |
Free Days | The period, usually in number of days, during which a container can be stored at the port free of charge. |
Freight Currency | The currency of invoice used for all freight fees. |
Fuel Surcharge | A fuel surcharge, or FSC, is an extra fee that shipping companies (or third parties) charge to cover the fluctuating cost of fuel. |
General Administration Charge | A surcharge to cover general admission expenses incurred by a freight forwarder when processing a shipment. |
Handling Export | Handling costs refer to the types of costs associated with preparing and transporting inventory at a port or airport terminal. |
Handling Import | Handling costs refer to the types of costs associated with preparing and transporting inventory at a port or airport terminal. |
Homeland Security Fee | Airport Security Fee means the fee levied by the Recipient for purposes of financing acquisition, operation and maintenance of airport security equipment and infrastructure, and payable by passengers using any of the Recipient's airports. |
House Airway Bill | House air waybill (HAWB) is a transport document, which is used in air shipments, issued and signed by a freight forwarder, generally on a natural air waybill format, evidences the terms and conditions of the carriage of goods as specified by the freight forwarder. |
House BOL | A House Bill of Lading (HBL) is a BOL created by an Ocean Transport Intermediary (OTI), such as a freight forwarder or non-vessel operating company (NVOCC), and is issued to the supplier once the cargo has been received. |
Import Customs Clearance | The customs clearance fee is paid directly to the customs broker or customs clearance agent to cover the cost of submitting documentation and processing duties payment. |
Import Permit | An Import Permit or License is a legal document granted by a government that permits the exports of specific commodities. |
Incoterms | Rules defining responsibility of buyers and sellers during the lifespan of a shipment. |
Interim Fuel Participation | It is an additional cost equivalent to the BAF and is applied when there is an increase in fuel prices. |
ISF | An Importer Security Filing (ISF) is required by US customs (CBP). |
ISPS | ISPS fees are there to cover the expenses of implementing security measures. |
Low Sulphur Charge | It is a surcharge for vessels operating in the European Union area. |
Lumper Fee | Paid to third-party laborers for unloading cargo, often at warehouses. |
Master Airway Bill | Master air waybill (MAWB) is a transport document, which is used in air shipments, issued and signed by the air cargo carrier or its agent, generally on a pre-printed carrier’s air waybill format, evidences the terms and conditions of the carriage of goods over routes of the carrier(s). |
Master BOL | A Master Bill of Lading is issued by the owner or operator of a ship (carrier). |
Mileage | The miles travelled per shipment |
Miscellaneous - Export | An open category for bidders to place additional destination charges which are required to complete a shipment that are not currently contained within the bid document. |
Movement Type | Term that defines what charge components are contained within the price. |
OGA | The term OGA refers to Other Government Agencies (OGA). |
Origin Demurrage (per day per container) | Demurrage: The time the filled containers spend inside the terminal. |
Origin Detention (per day per container) | Detention: The time the containers spend outside the terminal. |
Origin Drayage | Drayage charge is the cost associated with the movement of shipments over a short distance that may be from a warehouse/rail terminal to the port or vice versa. |
Origin Export Permit | The customs clearance fee is paid directly to the customs broker or customs clearance agent to cover the cost of submitting documentation and processing duties payment. |
Origin Fuel | A fuel surcharge is an extra fee that shipping companies (or third parties) charge to cover the fluctuating cost of fuel. |
Origin Pick Up | This charge covers delivery from an origin pickup point to a warehouse at the origin terminal. |
Origin Storage Charges (Per Day) | These charges cover the usage of storage space occupied by the container on terminal grounds, inside a warehouse or at the container yard. |
Origin Terminal Handling Charge | Handling costs refer to the types of costs associated with preparing and transporting inventory at a port or airport terminal. |
Out of Route / Circuitous Miles | More commonly referred to as out-of-route miles. |
Panama Canal Charge | It is a surcharge applied to cargo transiting through the Panama Canal. |
Peak Surcharge | Peak Season Surcharge is a variable surcharge imposed on shippers during the peak season. |
Pieces | The number of component pieces within a single shipment. |
Precise Route (List Ports) | For shipments that transit through more than two ports, this is a field whereby a bidder inputs the string of port codes through which a shipment normally flows. |
Pro Number | A pro number is a progressive or serialized number applied for the identification of freight bills, bills of lading, etc. |
Proof of Delivery | Proof of delivery, or POD, is an acknowledgment that an order successfully arrived at its intended destination. |
Protective Services | The dangerous goods surcharge is a fee for shipping certain regulated dangerous substances and materials. |
Reconsignment | A reconsignment happens when freight that is already in transit is re-directed from one delivery location to another. |
Reefer Haulage Surcharge | A surcharge added to reefer (refrigerated) containers, usually done to offset additional costs associated with temperature controlled containers. |
Regulatory Fee | A charge applied to cover costs associated with compliance with government regulations or security measures during the transportation process. |
Seal | Charges applied for placing a container seal. |
Service | Charges applied for placing a container seal. |
Steamship Line | Name of the Vessel Operating Carrier (VOC). |
Stop Charge | A Stop Off Charge is an additional fee charged by a carrier for stopping at intermediate points during a shipment. |
Suez Canal Charge | It is a surcharge applied to cargo transiting through the Suez Canal. |
Sustainable Aviation Fuel | This is a surcharge for use of SAF. |
Tarping | Tarps are heavy pieces of equipment and take time and effort from the drivers, so, like detention, this charge provides compensation during a time they typically wouldn't be earning. |
Team Driver | A charge for a truck that has more than one driver, and they take turns in driving it. |
Terminal Handling Charge - Destination | Handling costs refer to the types of costs associated with preparing and transporting inventory at a port or airport terminal. |
Terminal Service Charge - Origin | Handling costs refer to the types of costs associated with preparing and transporting inventory at a port or airport terminal. |
Tracking Number | Tracking numbers are numbers assigned to packages when they are shipped. |
Transit Time | Total transit time for a full movement from place of origin to place of delivery covered under the Incoterms for the associated shipment. |
Trucked ordered not used | A flat that determines if an empty trailer was called for. |
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