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Shipping glossary

AWB, EORI, DAP or volumetric weight: international shipping comes with a lot of jargon and abbreviations. Here you can read what they mean in a few sentences. Want to know more? The link takes you to the full article.

76 terms · can't find your word? Ask our team.

A

A.TR certificate

A document for trade between the EU and Turkey. It shows that goods are in free circulation within the customs union, so little or no import duty is due.

Access Point

A UPS shop or locker where you can drop off or collect a parcel. Other carriers have their own networks, such as DHL ServicePoints.

Actual weight

The weight the scale shows, including packaging.

AGS

The old declaration system of Dutch customs. It is being replaced step by step by DMS, the new Dutch customs system.

Air freight

Transport of goods by plane. Fast, but more expensive than transport by road or sea.

Air Waybill (AWB)

The transport document for air freight and express shipments. The AWB number is usually also the tracking number of your shipment.

ATA Carnet

An international customs document that lets you take goods into another country temporarily without paying import duties, for example for a trade fair, a demonstration or professional equipment.

B

Batch shipping

Booking many shipments at once, for example by uploading a file instead of entering each shipment separately.

More about Batch shipping →

Bill of Lading (B/L)

The transport document for sea freight. It is a receipt, a contract of carriage and often also proof of ownership of the cargo.

Bonded warehouse

A storage facility under customs supervision, where goods are kept without import duties and VAT having been paid yet.

C

Certificate of origin

A document that shows in which country goods were made. Some countries ask for it on import, for example to apply the right tariff.

Chargeable weight

The weight your price is based on: the higher of the actual weight and the volumetric weight.

CMR

The international consignment note for transport by road, for example when a pallet goes by truck.

CN22 and CN23

Customs declarations for postal shipments outside the EU. The CN22 is a small sticker for low-value shipments, the CN23 a form for higher-value shipments.

More about CN22 and CN23 →

Commercial invoice

A document listing the contents, value and origin of your shipment. Customs uses it to work out import duties and VAT. You need one for every shipment of goods to a country outside the EU.

More about Commercial invoice →

Commodity code

The code customs uses to classify goods. In the EU this is the 8-digit CN code, which starts with the 6 digits of the HS code.

Conveyable parcel

A parcel that fits on the carrier's sorting belts. Parcels that are too large, too heavy or not box-shaped often get a surcharge.

Country of origin

The country where a product was made or last substantially processed. That is not always the country you ship it from.

More about Country of origin →

Customs broker

A company that files customs declarations on behalf of others. For courier shipments the carrier usually does this itself.

Customs clearance

Handling the customs formalities on import so a shipment is allowed into the country. Only then is it delivered.

More about Customs clearance →

Customs declaration

A statement to customs of what you import or export: what it is, how much, what it is worth and where it comes from. For courier shipments the carrier usually files it for you, based on your commercial invoice.

More about Customs declaration →

Customs value

The value customs uses to calculate import duties. Usually the price of the goods plus the cost of transporting them to the EU border.

D

Dangerous goods

Goods that are a risk in transport, such as batteries, flammable liquids or aerosols. They are often not allowed, or only under strict conditions.

DAP

Delivered at Place: the sender pays for transport to the destination, the recipient pays any import duties and VAT. DAP is the standard at ParcelParcel.

DDP

Delivered Duty Paid: the sender also pays the import duties and VAT in the destination country, so the recipient pays nothing. At ParcelParcel this is available for businesses, on request.

More about DDP →

Drop-off point

A shop, locker or depot where you take a parcel yourself instead of having it picked up. Every carrier has its own drop-off points.

E

EAD

The Export Accompanying Document: proof that an export declaration has been filed. It travels with the goods until they leave the EU.

EORI number

An identification number for businesses that deal with customs. You need it when you import goods from or export goods to countries outside the EU as a business.

More about EORI number →

EUR.1

A certificate that proves the preferential origin of goods. With it, the recipient can pay less or no import duty under a trade agreement.

Euro pallet

The standard pallet in Europe, 120 by 80 centimetres.

Ex Works (EXW)

An incoterm where the buyer arranges and pays for everything from the seller's warehouse: transport, export declaration and import.

Export declaration

The declaration to customs when goods leave the EU. For a courier shipment the carrier usually takes care of it.

F

FCA

Free Carrier: the seller hands the goods over to the carrier chosen by the buyer and files the export declaration. From then on the buyer bears the costs and risk.

More about FCA →

Free trade agreement

An agreement between countries to charge less or no import duty on each other's products, if you can prove their origin.

More about Free trade agreement →

FTL and LTL

FTL (full truck load) is a whole truck for one load. LTL (less than truck load) means you share the truck with other shipments.

More about FTL and LTL →

Fuel surcharge

A surcharge carriers add to absorb changes in the price of fuel. The percentage changes regularly.

G

Girth

A measure of a parcel's size: the length plus twice the width plus twice the height. Carriers use it for their maximum sizes.

More about Girth →

H

HS code

An international 6-digit code that says what kind of product you are shipping. Customs uses it to set import duties and rules.

More about HS code →

Hub

A large sorting centre of a carrier, where shipments are transferred to the next flight or truck.

I

ICS2

Import Control System 2: the EU security system in which carriers submit data on shipments to the EU in advance. A clear description of the contents matters for this.

More about ICS2 →

Import duties

A tax a country charges on goods coming in. How much depends on the product (HS code), the value and the origin.

More about Import duties →

Incoterms

International rules on who bears which costs and risks in transport, such as DAP, DDP and Ex Works.

IOSS

Import One-Stop Shop: an EU scheme that lets online shops collect the VAT on sales to consumers of up to 150 euros at checkout, so the customer pays nothing more on delivery.

More about IOSS →

L

Letter of Indemnity (LOI)

A statement in which you indemnify the carrier, for example for goods that need an extra declaration.

Loading metre

A measure of the space a load takes up in a truck: one metre of the loading floor across the full width.

M

MRN

Movement Reference Number: the unique number customs gives a declaration. You use it to look the declaration up.

Multi-carrier

Shipping with several carriers from one platform, so you can pick the best price or fastest option for each shipment.

P

Packing list

An overview of what is in each box or on each pallet. Useful for shipments with several packages.

Pallet

A platform on which goods are stacked and secured, so they can be moved in one go with a forklift.

More about Pallet →

Pick-up

The carrier collects your shipment at your own address, in a time slot you choose when you book.

More about Pick-up →

Pro forma invoice

An invoice for shipments without a sale, such as samples, returns or gifts. It gives customs the same information as a commercial invoice.

Proof of Delivery (POD)

Proof that a shipment was delivered, often with the date, time and the name or signature of whoever accepted it.

R

Remote area

A place outside a carrier's normal delivery area, such as an island or a remote region. Delivery or pick-up there often comes with a surcharge. Each carrier decides its own remote areas.

Return shipment

A shipment that goes back to the sender, for example because the recipient refused it or it could not be delivered.

S

Samples

Test pieces or product samples. Even without a sale, you have to declare a realistic value for customs.

More about Samples →

Shipping cost correction

An adjustment of your shipping costs afterwards, for example because the carrier measured a different weight or different dimensions than you entered.

Shipping label

The label on your parcel with the address, barcode and tracking number. After booking, you print it and stick it on the box.

More about Shipping label →

Surcharge

Extra costs on top of the base rate, for example for fuel, a remote area or a parcel that is not conveyable.

More about Surcharge →

T

T1 document

A transit document that lets goods from outside the EU travel through the EU under customs supervision, without import duties being paid yet.

Temporary import

Goods that go into or out of a country temporarily, for example for repair or an exhibition, and then come back. This is often possible without import duties.

More about Temporary import →

Third country

A country outside the European Union, such as Switzerland, Norway, the United Kingdom or the United States. Shipments to a third country need customs paperwork.

Third country shipment

A shipment between two countries where you are not based yourself, for example from Germany to Spain while your business is in the Netherlands.

Third party logistics (3PL)

A company you outsource logistics to, such as storage, order picking and shipping.

Trade documents

All the papers that go with an international shipment, such as the commercial invoice, packing list and origin documents.

Transit time

The time between pick-up and delivery, usually in working days. Customs, public holidays or a remote area can make it longer.

More about Transit time →

Transport guarantee

At ParcelParcel you can cover your shipment against damage, loss and theft when you book, based on the value of the contents.

More about Transport guarantee →

U

UN3373

The UN number for category B biological substances, such as many medical samples. They can be shipped under strict packaging rules.

More about UN3373 →

Union goods

Goods made in the EU or for which import formalities have already been completed. They can move freely within the EU.

V

VAT number

The number a business is registered under for VAT. On business shipments outside the EU it is often shown on the commercial invoice.

Volumetric weight

A weight calculated from your parcel's dimensions. Large, light parcels are charged for the space they take up, not their actual weight.

W

WMS

A warehouse management system: software for stock, order picking and shipping in a warehouse.

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