Agenda

1 Mode of Transportation basic Knowledge

2 Air Operation Process, Airfreight case study

3 Ocean Operation Process, Oceanfreight case study

4 Booking template

DB SCHENKER | Ocean Induction Training | July 2021 1

Freight cost and leadtime

Freight Cost

Lead Time

2
Mode of transportation

 FCL
Terminal Terminal Consignee
Shipper

 LCL
Shipper 1, 2… Warehouse Warehouse Consignee 1, 2…
Terminal Terminal

 BC 1
Shipper 1, 2… Warehouse Terminal Terminal Consignee

 BC 2
Terminal Terminal Consignee 1, 2…
Shipper

 BC 3
Shipper 1, 2… Terminal Consignee 1, 2…
Terminal

3
Basic Freight Forwarding Process

46
Rate & Lead-time Comparison

45
Air Freight
What is Air Air freight is the transfer, shipment and delivery of cargo

Freight? via an air carrier, which may be charter or commercial.

We can transport goods anywhere in the world.
Global Hub System
Worldwide Overview

8
 Air Freight
▪ Type of services

✓ Air Defer/ Air Standard/ AirExpress Carriers

✓ Passenger / Freighter / Charter

✓ Airfreight multimodal solution: Sea/air –

Land/air – Air/sea
IATA Airport Codes - QUIZ
Data Hub for all the World's Airports - World Airport Codes
(world-airport-codes.com)

STOCKHOLM ARLANDA AIRPORT ARN

LHR LONDON HEATHROW
DFW DALLAS FORT WORTH
LOS ANGELES AIRPORT LAX
YYZ TORONTO PEARSON INT’L
ORD CHICAGO O’HARE
MUNICH MUC

DB SCHENKER | Hello Team-Mate | Global Air Freight 10

AIRCRAFT TYPES

11
AIRCRAFT TYPES

12
Carrier Pre-fix - QUIZ

AIR CARGO TRACKING (utopiax.org)

695 EVA AIR

020 LUFTHANSA
001 AMERICAN AIRLINES
160 CATHAY PACIFIC
738 VIETNAM AIRLINES
999 AIR CHINA
176 EMIRATES
DB SCHENKER | Hello Team-Mate | Global Air Freight 157 QATAR AIRWAYS 13
 STANDARD GENERAL PROCESS

Consignee
Shipper

Airport/Port Airport/Port
Origin Dest.

Export Import

14
 Air freight

Air freight rates

➢ Chargeable weight: Gross Weight / Volume weight: which will be higher

➢ Volume weight: calculated based on dimensions (Length x Width x Height) in meters
Equivalence 6m3 = 1000kgs → 1m3 = 167kgs
➢What is the chargeable weight of your shipment? What
is the real weight of your shipment in kg?
What is the volume of your shipment in m3, divide it by 6 (equivalence 1000 kg = 6
m3).

15
52
Case study: Airfreight

Subject: New Rate Request: AE || P&G || VNSGN – Germany

Kindly check and help us to advise rates for below shipment with tks!

1. Incoterm: DAP - ATA

2. POL – POD: VNSGN – Germany
3. Commodity Name: Nguyên liệu sản xuất dao cạo râu: Chế phẩm phụ gia tạo màu đen dạng hạt nhựa (non -DG)
4. PKGS/GW/DIMS:
6 Pallets / 114x114x110 cm / 8.58 cbm / 3540 kgs
Loading date: 19-Sep
Expected ETD: 21-Sep
Expected ETA: the earliest ETA
This shipment will be packed by pallets and fumi by P&G.
This is urgent shipment, look forward to receiving your response ASAP by 14-Sep morning – Sorry for the short
notice!

17
Please see below for our ATA charges for this case which must be confirmed not later than 15SEP for space arrangement without
it being changed due to tight capacity of flights at the moment.
•General: stackable & mix-loaded
•Commodity Name: Nguyên liệu sản xuất dao cạo râu: Chế phẩm phụ gia tạo màu đen dạng hạt nhựa (non -DG)
•This shipment will be packed by pallets and fumi by P&G.
•Loading date: 19-Sep
•Expected ETD: 21-Sep
•Expected ETA: the earliest ETA
1.Origin charges
•Airport THC & x-ray: $0.07/kg or min $10/shpt
•Documentation: $20.00/awb
•ICS/AMS (PLACI charges):$19.50/awb
•Fumigation: $25/AWB – if any
•Customs liquidation – if any: $25.0/CDS
•Other arising charges if any: at cost
Terms and conditions:
•This offer excludes fees/surcharges/charges arising and/or in connection with any events/incidents beyond our control, including and
not limited to: insurance, examination, demurrage, loading/unloading at shipper’s warehouse, etc.
•Shipper is to prepare export license or other required licenses if they are required.
•This offer excludes fees for applying C/O, and any special inspections fee if any. These will be charged back per outlay.
1.ATA selling:
*Our offer is based on ECO/DEF service without any guarantee about T/T

SGN-STR +1000K FSC SSC T/T Notes

ECO –
Subject to space at official time of booking placed.
skid/stackabl $1.95/kg incl incl 5-7 days
ETD = 24SEP / Console via FRA hub
e
DEF –
Subject to space at official time of booking placed
skid/stackabl $1.75/kg incl incl 8-9 days
ETD = 24SEP
e

18
1.Other Origin charges (if any or required)
•Handling charges: $25/pallet (only charged on each plt on which we incur and fix any issues (being un-banded, inappropriate banding, etc)
•Storage:
+ For General cargoes: Free storage charge for 03 consecutive days from acceptance day (including Sunday and Public Holidays, if any), Sundays and Public Holidays.
After that Storage fee: $0.08/kg or min $10/shipment/day
•Surcharge rates for overtime service: (after 17.00 from Mon to Fri & on Sat, Sun and holidays): $0.05/kg or min $25/shipment
- Other charges per out lay
Attached Excel file is our estimating for the total ATA charges under ECO service FYI
Remarks:
*** Our present offer can be adjusted - within validity period - without prior notice, subject to availability of space, to be confirmed at the time of booking placed***
•This offer is applied to General cargoes (non DG & non oversized/overweight) only.
•Our quotation is based on provided GW/CW. If any changes to these figures, the charges will change accordingly.
•AF rates are subject to space and can be valid till end of 21 MAY 2023 and to secure space, we should book 1 week in advance.
•Ratio 1:6.
•VAT has been included
•Destination charges are not included

19
Ocean Freight

1 Ocean Products and Basic Ocean Knowledge

2 Ocean Operation Process & Events

3 Standard selling- baseline

4 Global Ocean SOP and references

20
Ocean Products and
Basic Ocean Knowledge

21
1 Ocean Freight Introduction

2 Products and Services

3 Parties Involved in Ocean Freight

4 Incoterms

5 Trade Management/FCL

6 Less Container Load (LCL)

7 Compliance

8 Freight Rates

22
 Ocean Freight is the logistics of exporting
and importing cargo by shipping lines.
Goods are packed in shipping containers,
What is Ocean the freight forwarder books the space
Freight? or container with the shipping lines,
cargo is trucked to the shipping line at
the port of origin and shipped overseas
to the importer at the port of
destination.

23
 90% of everything is
shipped via ocean

– Suitable for wide range of products with long lead times

– Large volumes. A single, ultra-large container ship can carry +/-20,000 twenty-foot equivalent
units (TEU)

– Most environment friendly among all modes of transport

– Economical. Liner shipping is the most efficient mode of transport for goods

– Extensive coverage around the world

– Multiple carrier options for the shippers

24
Carrier Alliances

25
Goods normally shipped via ocean

WHEN WILL
OCEAN FREIGHT
BE USED? Wheat/ Cereal Coal Liquor Oil and Petroleum products
preparations

– Non-urgent and in
high/large
volumes

– Can cater wide

range of products
Foodstuffs Industrial machinery and equipment
including Furnitures

commodities that
cannot be shipped
via air

Semiconductors and electronic products

26
Key benefits of using

– Suitable for wide range of products with long

lead times

– Large volumes. A single, ultra-large container

ship can carry +/-20,000 twenty-foot equivalent
units (TEU)

– Most environment friendly among all modes of

transport

– Economical. Liner shipping is the most efficient

mode of transport for goods

– Extensive coverage around the world

– Multiple carrier options for the shippers

27
 1 Ocean Freight Introduction

2 Products and Services

3 Parties Involved in Ocean Freight

4 Incoterms

5 Trade Management/FCL

6 Less Container Load (LCL)

7 Compliance

8 Freight Rates

DB SCHENKER | Ocean Induction Training | July 2021 28

What is the different between FCL and LCL?

FCL ( A Full Container Load) LCL(Less-Than-Container Load )

– A shipment that occupies the entire space – The consolidation of multiple
of a container without having to share it consignments, originating from multiple
with other shipper/cnee. FCL will include shippers, destined to multiple consignees
“Customer Consolidation” service. – Order quantities can be determined by
– Must to wait for enough cargo to ship actual customer demand, not by
– FCL’s cost will be count entired container container sizes
size. – Transport costs per CBM stay the same
regardless of the shipment size

29
What is LCL?
Less-Than-Container Load (LCL) ….cargo in “multi-consignment & “multi-party”
consolidations covered by an “Ocean Transportation Contract”.

30
1 Ocean Freight Introduction

2 Products & Services

3 Parties Involved in Ocean Freight

4 Incoterms

5 Trade Management/FCL

6 Less Container Load (LCL)

7 Compliance

8 Freight Rates

31
Parties Involved In The Ocean Freight Process

Trucker

CFS CY

LSP Carrier

Shipper Booking Agent Shipping Agent

Customs Broker Customs

32
1 Ocean Freight Introduction

2 Products & Services

3 Parties Involved in Ocean Freight

4 Incoterms

5 Trade Management/FCL

6 Less Container Load (LCL)

7 Compliance

8 Freight Rates

33
Introduction to INCOTERMS
Key Obligation of Seller and Buyer

The rules associated with each term clearly describe the

obligations of sellers and buyers with regards to:

DELIVERY OF THE GOODS

COST
Where and When the seller fulfills his obligation to deliver the
goods?

RISK
DOCUMENTS
Who provides what documents, whether manual or electronic?

OBLIGATION
TRANSFER OF RISK
Who bears the risk of loss of, or damage to the goods at any
point of transit?

TRANSFER OF COSTS
Who pays for what?

34
Introduction to INCOTERMS
Transport Obligations, Costs and Risks

35
Introduction to INCOTERMS
Transport Obligations, Costs and Risks

36
Introduction to INCOTERMS
Transport Obligations, Costs and Risks

37
Ocean service

Door to Door
Door to Destination CY
Door to Port of
Discharge
CY/CFS to CY/CFS
Port/CFS to Port/CFS
Door to Port of Loading Port of Discharge to Door
Origin CY to Port of Discharge
Origin CY to Door

Port of Loading to Inland CY

Port of Loading to Door

38
Container Flow

Export Import

Container Shipper’s Container Port Port Container Customer’s Container

Depot Premises Yard Vessel Yard premises Depot

(Pick up) (Load) (Discharge) (Drop Off)

Detention Port Storage Port Storage Detention

Demurrage Demurrage
39
1 Ocean Freight Introduction

2 Products & Services

3 Parties Involved in Ocean Freight

4 Incoterms

5 Trade Management/FCL

6 Less Container Load (LCL)

7 Compliance

8 Freight Rates

40
Opportunities
Who are potential LCL customers?

1 Any existing Airfreight Customer

→ used to shipping “smaller” shipment sizes
2 Any existing Logistics Customer
→ how does the cargo get “into” or “out” of a warehouse…?
3 Any existing FCL Customer
→ small orders, spare parts, brochures, promo items
4 Any existing LCL Customer
→ did we ask for cargo from/to other places…?
5 Other Freight Forwarders
→ coload together… Why not?

41
1 Ocean Freight Introduction

2 Products & Services

3 Parties Involved in Ocean Freight

4 Incoterms

5 Trade Management/FCL

7 Less Container Load (LCL)

6 Compliance

8 Freight rates

42
VGM – Verified Gross Mass (SOLAS) Basic Principle

What is VGM
This regulation became effective on July 1st, 2016, – The Shipper (named on the ocean bill of
applies to all containers loaded on to an ocean-going lading or sea waybill) is the party
vessel must to submit the Verified Gross Mass to responsible for providing the ocean carrier
carrier before the container will be loaded on board. and terminal operator with the VGM of a
packed container.
Benefits
Final Thoughts
– Elimination of accidents caused by miss-declared container weights
– Provisions of assurance to other parties within a supply chain – There will be no exception
– Improvement of security of the stevedores, vessel crews and vessels to this requirement.
itself Estimating the weight is
not permitted.
– Keep equipment and terminals in good conditions
– A container without a VGM
Determine Methods will not be loaded onto an
ocean-going vessel.
– Method 1: Weighting
– Failure to comply with this
– After a container has been completely packed, the container can be obligation may result in
weighted. commercial and
– Method 2: Calculating operational penalties.
– Weighting all the cargo parts, lashing parts and tare weight of the – Global SOP reference Link
container and sum it up here

43
ACR Advance Cargo Reporting - AMS

ACR AMS Advanced Manifest System Attention

– ACR allow origin participants to – It is the responsibility of the “lowest – Users involved in manifest
transmit manifest data level bill” so if there is a LSP BL, LSP filing require specific,
electronically to customs must file AMS detailed training covering
– It is mandatory to file manifest following at minimum:
authorities prior to vessel arrival
information for all shipments travelling – mandatory data elements
– These procedures are intended to to or via US ports no later than 24 – cargo description
hours before loading of mother vessel; – HS Codes
increase security and speed up LSP deadline: 2 days prior to ETD
customs processing upon cargo – routing scenarios
– Mother vessel = vessel that will call US
arrival port – filing deadlines
– This information is submitted directly – return message types and
– Country individual regulations events
to US Customs for review to avoid
oblige all carriers to present possible importation of unwanted or – helpdesk contacts
manifest data for export cargoes to dangerous cargo into United States
the customs authorities at territory
destination usually 24 hours before – A complete and successful AMS filing
the goods are loaded at the port of requires 1Y = MVOC-NVOC BILL OF
origin LADING MATCH (TRM event code)
message from US Customs

44
ACR Advance Cargo Reporting – ISF, ACI, CAAT

CAAT (Mexico) ACI (Canada) ISF Importer Security Filing

– Harmonized Alphanumeric – Advance Commercial – Requirement of the U.S. Customs and
Carrier Code Information Border Protection for the vessel
– Initiative by General Customs – Canada Border Services Agency operators and US Importers to provide
Administration (AGA) (CBSA) requires specified data to additional advanced trade data
– The rule is applicable to all be transmitted electronically – The purpose is to further enhance
full and empty import and before goods arrive in Canada targeting of high risk shipments prior to
transshipment ocean – ACI data is used to identify loading
containers in Mexican ports threatening cargo and to respond – Required for non-bulk ocean freight
– Freight Forwarder must with approval and/or rejection of shipments arriving US by vessel
provide selected cargo and cargo loading. – Transmit to US ISF filing branch no
conveyance details 24 hours – All cargo on LSP B/L destined to later than 4 days before ETD
prior to vessel loading at Canada will be filed with CBSA – Data elements for electronic
origin at least 24 hours prior to transmission: 10 data elements to be
– User guide for CAAT filing is loading of mother vessel provided by US importer or ISF Agent +
available under Mexico – For cargo transiting to other 2 data elements to be provided by the
Country Ocean SOPZ countries, only master/carrier vessel operator
filings are required. House level
filing with the ocean carriers is
not allowed for these transit
shipments

45
ACR Advance Cargo Reporting – AFR, CCAM

AFR (Japan) CCAM (China)

– Advance Filing Rules – China Customs Advance Manifest
– Require a vessel operator or a NVOCC to – Relevant cargo details have to be submitted to
electronically submit to Customs information on China customs latest 24 hours prior to the loading
maritime container cargoes to be loaded on a time of the last foreign loading port
vessel intended for entry into a port in Japan – FCL - the CCAM require basic shipment
– No later than 24 hours before departure of the information on a Master B/L level to be submitted
vessel from a port of loading on a foreign trading to China customs by the “master loader” (= the
vessel intended for entry into Japan “carrier”). This is complied with by the carriers
– Attention points:
receiving our MBL instructions 24 hours prior to
the loading time of the last foreign loading port
– Shipper, consignee, notify phone numbers are
– LCL /LCL - CCAM considers the consolidator
mandatory
(= ”Schenker”) as the “master loader”, which
– Cargo descriptions means it is up to Schenker to submit CCAM data to
– Entry of Harmonised Tariff System codes (HTS) is China customs. The only parties authorized and
mandatory for JP AFR capable of submitting CCMA manifest data into the
– Co-loader does filing on their “house” level customs IT systems are the 8/eight officially
– No filing for F.R.O.B and Directs appointed bonded warehouse operators in
– Back up via Descartes website for appointed Shanghai
users

46
Weight restrictions

– Country specific weight restrictions are listed in the Country Ocean Freight
– Maximum payload of containers must be complied; heavy duty containers to
be used when applicable; always check destination requirements!
– Cargo weight as declared by shipper must be shown in the LSP HBL and the
same to be declared to ocean carrier and shown on the MBL
– Weight shown in HBL and MBL must match 100%
Weight
– Ocean carriers may impose penalties in case of wrong declaration; in
restriction extreme scenario of wrongly declared containers weight may cause vessel to
sink!
– Most of the countries police does regular checks on the vehicle weight and
incorrectly declared weight will be subject to penalties
– Prior to acceptance of LCL bookings of heavy pieces please check weight
restrictions at destination as well as transshipment country

47
1 Ocean Freight Introduction

2 Products & Services

3 Parties Involved in Ocean Freight

4 Incoterms

5 Trade Management/FCL

7 Less Container Load (LCL)

8 Compliance

9 Freight Rates

48
Ocean Freight Rates

FAK - Rate applicable to various commodities. The freight is charged per container,
irrespective of nature of the goods. FAK (or GDSM) rates are considered
Freight All general contract rates, unless a particular commodity is either excluded from
Kinds this description or covered under a contract Bullet (Commodity) Rate.

Commodity Rate agreed with the carrier applicable to specific commodity or group of
commodities. Cannot be used if the commodity is not matching agreed ones.
rates Example: textiles, electronics, furniture, timber, stone products.

Named Special agreement with shipping line providing rate applicable to all
shipments shipped under customer’s name. Shipping line will provide filing
accounts code reference no. which should be used when booking is made and inserted
in the waybill for the easy settlement.

49
Most common freight charges and surcharges

▪ BAF/FAF Bunker Adjustment Factor or Fuel Adjustment Factor

An adjustment in shipping charges to offset price fluctuations in the cost of bunker fuel.
• EBS Emergency Bunker Surcharge
The charge associated with vessel extraordinary fuel cost.
• LSFS Low Sulphur Fuel Surcharge
Under EU Convention, vessels operating in the Baltic and North Sea have to use fuel oil with a
sulphur content not exceeding 1.5%.
• CAF Currency Adjustment Factor
The percentage by which the rate is increased in response to fluctuating currency exchange rates.
• PSS Peak Season Surcharge
Seasonal surcharge, applicable in various time of the year, depends on the traffic.
• GRI General Rate Increase
Rate increase imposed by the carrier or a conference.

50
Most common freight charges and surcharges

▪ AMS Surcharge /USA

Automated Manifest System is a filing requirement of the US Customs and Border Protection.
Carriers and registered NVOCC must transmit electronic manifest data about all containers to and in
transit via USA 24 hours prior to vessel sailing from foreign port. AMS surcharges were imposed by
carriers due to the increased administrative cost.
• AMS Surcharge /Mexico
Effective September 1, 2007 Mexico requires manifest to be filed electronically 24 hours prior to
cargo sailing from foreign port
• ACI Surcharge
Advance Commercial Information Program requires carriers to electronically transmit cargo data to
Canada Border Services Agency 24 hours prior to cargo loading at foreign port.
• PCS Panama Canal Surcharge
The charge associated with cost of the vessel’s transit the Panama Canal.

51
Most common freight charges and surcharges

▪ Alameda Corridor Surcharge

Alameda Corridor is running from the ports of Los Angeles and Long Beach to downtown Los
Angeles connecting both ports to the transcontinental rail network. The surcharge is applicable on
cargo moving inland by rail.
• WRS War Risk Surcharge
Applicable for shipments to areas of potential military conflict or terrorist threat. Such countries,
areas will be mentioned on Lloyd’s war risk list assessed by War Risk Rating Committee. Insurance
underwriters impose higher premiums on vessels sailing to/from such areas which result in
carrier's implementation of the war risk surcharge.
• Congestion surcharge
Applicable for shipments to destination where congestion is suffered. Might be called on
temporary basis and cancelled when situation improves.

52
Most common freight charges and surcharges

• Low Water Surcharge

Applies during the time when low water level on Rhine river is limiting barge transportation
carriage capacity. Only charged on full /loaded/ containers. The amount depends on the
water level and destination or pick up inland terminal location.
• IFS Inland Fuel Surcharge
Charge associated with arranging intermodal transportation, related to fuel cost. It is
commonly used in US when inland delivery has to be arranged.
• HWS Heavy Weight Surcharge
Implemented by carriers due to weight/volume imbalance. Charged for 20’ containers with
cargo weight exceeding 14 tons. Not applicable on Europe – Asia eastbound lane.
• IMO surcharge
Additional chargeable on cargo of a hazardous nature.

53
Port Charges
Demurrage
Compensation for delay in removing cargo from terminal facilities, beyond allowable free time for removal or unloading. Might be
charged directly by container terminal or as outlay charge by carrier.

Detention
Costs incurred when a shipper/consignee or his/her agent removes a container from the carrier's origin/destination CY to the
shipper/consignee's place of business and does not return the loaded/empty container to the CY or to another location designated by
the carrier within the permitted free time.

Storage
Applicable for container storage, charged directly by container depot. It is not a carrier’s charge. Amount depends on the container
type, storage period and depot or container yard.

Container Cleaning Fee

If the returned container is found dirty the Container Cleaning Fee will be charged to the party returning the equipment. Normal
cleaning consist of sweeping and steam cleaning. If the contamination was caused by cargo nature or wrong packaging the fee in
general should be absorbed by shipper.

Container drop off fee

Charge associated to the container return to the inland depot.

54
Port Charges
Container Repair Fee
Will be charged if any damage to the container is discovered when returning empty equipment. Damage is defined as a physical defect on
a container that affects cargo carrying capabilities.

ORC, THC
The charge assessed by the terminal for the positioning of containers within the terminal/yard.

Wharfage
Charge for handling the cargo on the wharf or for docking vessels at the wharf. One of the handling charges applicable in US or Korean
ports.

ISPS Port Security Charge /Carrier Security Charge + Terminal Security Charge/
The International Ship and Port Facility Security Code (ISPS Code) is a comprehensive set of measures to enhance the security of ships
and port facilities. Security of the ships and terminals must comply with regulations of the Code.

Equipment Interchange Receipt Fee

Charge related to EIR issue, payable by the party returning the container to depot.

Heavy lift charge

Charge for cargo which is too heavy to be lifted by standard cranes or ship's tackle.
55
Other Bill of Lading other terms

Clean B/L Surrender

– A bank will only accept a clean transport document. – The party holding 3/3 originals of Bill of Lading can turn to
– A clean transport document is one bearing no clause or any Schenker office to surrender. Upon receiving full set of
notation expressly declaring a defective condition of the originals and delivery instruction the message will be sent
goods or their packaging. The word "clean" does not to Schenker destination office that 3/3 originals were
need to appear on a transport document, even if letters collected and the cargo can be released to consignee
of credit require to issue “clean on board” transport without presentation of Bill of Lading.
documents.
– Consequently it is disallowed to mention the term
“clean on board” on SCHENKERocean transport
documents.

“Shipper’s load and count” “Telex-release”

– The clause in the B/L which exclude liability of the – When 3/3 originals of Bill of Lading have been issued at
carrier for the consistency of the description of the Schenker office Shipper may request to arrange Telex
goods loaded by shipper. Release after they received payment from Consignee. In
– “Said to contain” shall not be used anymore. this situation 3/3 originals stay all the time at Schenker’s
possession just awaiting instruction from Shipper to
release the cargo to consignee under Telex Release.

56
Switch HBL

How Attention
– Vendor will be the party making – Switch HBL can only be
transport arrangements and paying issued/released when first set
freight charges of HBL is back in our hands
– First set of HBL is issued at Origin: – Allowed changes on the Switch
Why HBL are limited to
– Supplier = Shipper
Shipper/Consignee/Notify
– Vendor is present; buying – Vendor = Consignee
– No changes to the ports are
commodities from supplier and – Freight payable at……….. allowed; it could indicate
selling to buyer – First set of HBL fully surrendered different origin of the goods
– Vendor wants to keep the by Vendor and have tax/duty implications
source of goods confidential – Second set of HBL issued at switch at destination
location: – Cargo release at destination
– Vendor = Shipper takes place only against Switch
– Final buyer = Consignee HBL
– Freight prepaid – Pre-alert to destination should
be sent from Switch HBL
location
– Reference: Bill of Lading Guide
section B.8.1

57
Forwarder’s Certificate of Receipt

– An FCR is often used to speed up the payment process in international business. If a supplier sells on ex works terms he
is entitled to be paid as soon as he has delivered goods to the forwarder. However the B/L will only be issued after actual
sailing of the vessel. An FCR bridges this time gap. It gives the buyer the assurance that the seller has delivered the cargo
to the forwarder. Once the FCR has been handed over in exchange for payment, the seller has no further right to stop or
delay the transport.
– FCR’s may also be issued in case of “buyer’s consolidation” (LCL/FCL). Only one HB/L will be issued for the consolidated
FCL shipment. Consequently this HB/L can not be released to the shippers. Alternatively each supplier may require an
FCR as a confirmation that he has delivered his “part-shipment” to the forwarder.

Attention!
– An FCR never represents or evidences a contract of carriage by sea and may never be issued instead of a
SCHENKERocean B/L. The issuing of a SCHENKERocean B/L remains unaffected from the issuing of an FCR.
– An FCR is not a document of title and cannot be utilised to obtain release of the goods.
– The actual date shall be mentioned on which the goods or container was received by Schenker.
– There is no requirement to include conveyance data since an FCR is no evidence of a contract of carriage.
– Only one original shall be issued (unless copies are required).
– Will be issued only upon request.

58
IMDG basics

References
– Rules for the transport of
dangerous goods by sea – SOP OO 01 General Ocean Freight section B. (9) (c)
are mentioned in the
– SOP OG 04 Corporate Operational Instructions on Transport
IMDG-Code formulated by
and Handling of Dangerous Goods
the International Maritime
Organization (IMO).
– IMDG Code: International
Maritime Dangerous Goods
Code
– IMDG Code is part of the
Convention for the Safety
of Life at Sea (SOLAS)
– Amendments to the IMDG
Code are issued every
second year. The IMDG
Code, 2018 Edition (Inc.
Amendment 39-18) comes
into force on 1 January
2020 for two years and
may be applied voluntarily
as from 1 January 2019.

59
IMDG basics
MSDS (Material Safety Data Sheet)
Dangerous Goods Declaration – The original consignor (shipper/client) provides the
employee with the valid Material Safety Data Sheet
– Schenker, regardless whether acting as a freight (MSDS) in accordance with ISO 11014
forwarder or NVOCC, shall not prepare and/or sign a – The 16 Headings of ISO 11014
Dangerous Goods declaration on behalf of customers. 1. Identification
– Any exception from this rule requires a written 2. Hazard(s) Identification
agreement with the customer and written approval by 3. Composition / information on ingredients
Regional CEO/MD. 4. First-aid measures
5. Fire-fighting measures
6. Accidental release measures
Attention
7. Handling and storage
– Country specific regulations and possible restrictions 8. Exposure controls / personal protection
need always to be checked prior to shipping. Some DB 9. Physical and chemical properties
Schenker Logistics subsidiaries do not accept Class 1 10. Stability and reactivity
and 7, or other specific dangerous goods, for carriage. 11. Toxicological information
– Employees involved in Dangerous Goods shipments must 12. Ecological information
be trained in accordance with subsection 1.3.1.3 of the 13. Disposal considerations
IMDG Code. 14. Transport information
– Corporate e-learning is available 15. Regulatory information
https://learning.dbschenker.com/
16. Other information

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Thank you!