If you plan on using any type of carrier for transporting cargo in Canada, there are some basic terminologies you will come across in a contract or in spoken conversation with a broker. Learn what these common shipping and transportation terms are to avoid confusion and miscommunication with your carrier.
Glossary of Common Shipping Terms
Accessorial Charge – These charges are added fees for additional equipment or services used, such as the use of ramps, tarps, or dunnage.
Backhaul – Transport vehicle returning to its point of origin after cargo delivery.
Bill of Lading – The paper or digital document issued by the carrier that outlines the details and provisions of the shipment, including but not limited to: weight of cargo, type of cargo and estimated destination arrival
Consignee –The person or company the freight is being delivered to
Dead-heading – A transportation vehicle traveling without freight
Dedicated Truck – A dedicated truck carries cargo for one specific client with no other freight in tow.
Demurrage – Additional fee from prolonged use of carrier time and equipment. This is usually caused by untimely loading or unloading due to inaccurately measured or weighed cargo on the part of the client.
Freight Class – The classification of freight based on the type of cargo, weight, and measurement. This is usually what determines the shipping charges for LTL shipping.
Freight Forwarder – Similar to a broker but also handles logistics as it pertains to international cargo, lost freight, etc.
Line Haul – The rate charged per mile
Over-dimensional – Freight which is above the legal dimensions and/or weight and cannot be broken into smaller cargo
Truck Order not Used (TORD) – A shipment which has been canceled by the client after the transport vehicle is already dispatched. The client will usually be required to pay a fee for this.
Know These Common Shipping and Transportation Terms
Knowing these common shipping and transportation terms helps ensure you won’t be left scratching your head when you review the contract or speak with a broker/carrier. If you’re arranging for the transport of machine tools, contact the professionals at Machine Transport. We’re experts in the area of arranging national or international transportation of delicate machine tools for manufacturing industries.
Help With Common Shipping and Transportation Terms in Canada
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