Essential Terms You Need to Know in Air Cargo and Global Freight Shipping
A
- Air Waybill (AWB):
A legal document issued by an air carrier that acts as a receipt for the shipper and a contract of carriage. It contains shipment details, routing, and terms. - Airport-to-Airport:
A shipping service where cargo is moved from one airport to another, with the customer handling pick-up and delivery at both ends. - ATA (Actual Time of Arrival):
The real time the aircraft arrives at the destination airport, used for tracking and logistics planning. - ATD (Actual Time of Departure):
The actual time the aircraft leaves the origin airport.
B
- Belly Cargo:
Freight carried in the cargo hold of a passenger aircraft. - Bill of Lading (BOL):
A document issued by a carrier detailing the type, quantity, and destination of goods. In air freight, this refers more commonly to the AWB.
C
- Cargo Aircraft:
An aircraft specifically designed or converted for the transport of goods rather than passengers. - Charter Flight:
A non-scheduled flight reserved for specific cargo, offering full control over routing, timing, and aircraft type. - Chargeable Weight:
The weight used to calculate air freight cost, based on the greater of actual weight or volumetric weight. - Consignee:
The person or business receiving the shipment. - Customs Clearance:
The process of gaining official approval for goods to enter or leave a country, requiring documents and potential duty payments.
D
- Dangerous Goods (DG):
Hazardous materials that require special handling, labeling, and documentation when shipped by air. - Door-to-Door:
A full-service logistics option where the freight forwarder manages pickup from origin to final delivery at the consignee’s location.
E
- ETA (Estimated Time of Arrival):
The projected time the flight or shipment is expected to arrive. - ETD (Estimated Time of Departure):
The expected departure time of a shipment or aircraft. - Express Freight:
A premium, fast-delivery service for urgent shipments, often delivered within 24–72 hours globally.
F
- Freight Forwarder:
A logistics partner who arranges transportation, documentation, and coordination for cargo shipments on behalf of a shipper. - Freighter Aircraft:
A plane used exclusively for transporting cargo, not passengers.
H
- Hand-Carry / On-Board Courier (OBC):
A time-critical service where a courier personally travels with the shipment via commercial flight to ensure urgent, secure delivery. - HAWB (House Air Waybill):
A shipping document issued by a freight forwarder to the customer, detailing individual shipment info under a master AWB.
I
- IATA (International Air Transport Association):
The global trade association for airlines, setting safety, security, and operational standards in air transport. - Incoterms:
A set of standardized trade terms published by the ICC that define responsibilities for shipping, insurance, and customs.
L
- Lead Time:
The total time from placing a shipment request to final delivery—includes booking, handling, transit, and clearance. - Load Plan:
The arrangement of cargo in an aircraft to maximize space and meet weight distribution regulations.
M
- MAWB (Master Air Waybill):
A single Air Waybill covering a consolidated shipment, issued by the carrier to the freight forwarder.
O
- On-Board Courier (OBC):
A dedicated courier who hand-carries critical cargo on a commercial flight, ensuring maximum speed and security. - Out-of-Gauge Cargo (OOG):
Cargo that exceeds standard size limits and requires special handling or aircraft type.
P
- Palletization:
The process of securing cargo onto pallets to improve handling, stacking, and space usage during transport. - Pre-Alert:
A notice sent by a freight forwarder or agent indicating a shipment is en route and includes key documents for customs clearance.
R
- Routing:
The planned air travel path from origin to destination, including any stopovers or transshipments.
S
- Scheduled Flight:
A commercial flight operating on a fixed schedule that can carry both passengers and cargo. - Security Screening:
A mandatory process to inspect air cargo for explosives or other prohibited items before boarding.
T
- Tracking Number:
A unique ID that allows shippers and consignees to monitor real-time shipment status. - Transit Time:
The duration between departure and arrival of a shipment, not including handling or customs.
U
- ULD (Unit Load Device):
A standardized container or pallet used to load cargo into aircraft efficiently and safely.
W
- Waybill Number:
The unique identifier of a shipment, typically found on the AWB or tracking system. - Weight Break:
Tiered pricing structure based on cargo weight—cost per kilo drops as total weight increases.