mcom 2nd sem bill of lading topic

1. TRANSPORT DOUMENTS
By,
Rajatha Shetty
Shamala Bhat

2. Background:
• We all know, International trade
necessitates for evidence about trade
in the form of different documents.
• The need for these documents arise
out of commercial factors, exchange
control regulations in certain countries
require certain documents.

3. • Important documents are:
1. Bill of exchange.
2. Transport documents.
3. Marine insurance policy.
4. Invoices.
5. Other documents.

4. TRANSPORT DOCUMENTS
• Transport documents lies in the heart
of international trade transactions.
These documents are issued by
shipping line, airline, international
trucking company, rail road, freight
forwarders and logistic companies.

5. •There is a type of document for each mode
of transport
• All transport documents have in
common three elements:
–They are contracts for the carriage
of the goods.
–They serve as receipt of the
goods at the state destination.
–They have a similar structure in
terms of number of boxes, content

6. Main Transport Documents
1. Bill of lading.
2. Multimodal bill of lading.
3. Airway bill.
4. Road, rail or inland waterway
transport documents.

7. 5. Courier receipts.
6. CMR documents.
7. Cargo insurance certificate.
8. Packaging list.
9. Delivery note.

8. Bill of lading:
• Sometimes misspelled as "Bill of
Landing," the Bill of Lading (BOL) is a
legal document between the shipping
carrier and your business stating that
your shipping carrier has received the
goods you're shipping with them. For
most every type of shipping there is a
unique Bill of Lading layout that

9. • What Is A Bill of Lading?
• A Bill of Lading, in its simplest form, is a
receipt. The document states that the
carrier has received the shipment and
contains information about the shipper and
the receiver. There are several alternate
names and abbreviations for the term "Bill
of Lading:"
Bill of Landing (Common misspelling.)
BOL
B/L

10. FEATURES
• Nature of Bill of Lading.
A.Receipt of goods received by
carrier:
B.Evidence of contract of carriage.
C.Document to title of goods.

11. Contents of bill of lading:
• The general nature of goods.
• Leading marks for identification of the
consignment.
• The number of packages or pieces.
• The weights of the goods or their
quantity otherwise expressed.

12. • The apparent condition of the goods,
normally BOL declares that the goods have
been received in apparent goods order and
conditions.
• The name and principal place of
business of shipping company
• The name of shipper (consigner)
• The consignee.
• Notify addressee.
• The port of loading.
• The number of originals of bill of lading
issued.

13. • The signature of the master of the ship or
an agent of the shipping company.
• The freight to the extent payable by the
consignee or other indication that the
freight is payable by him or particulars of
freight paid.

17. Types of bill of lading:
Through or port to port bill of lading:
Where goods are to be carried by two
or more ships or partly by ship and
partly by train, the bill of lading
providing for continuous responsibility
of all the shipping companies or the
shipping company or railway

18. Stale bill of exchange:
Occasionally in cases of short-over-
seas cargo transportation, the cargo
arrives to port before the Bill of
Lading. When that happens, the Bill
of Lading is then "stale."

19. Charter party bill of lading:
A complete ship may be made
available to a shipper for a particular
voyage or for a particular period of
time. These document containing the
terms and conditions of this contract
is known as the charter party.

20. House bill of lading:
A few freight forwarders indulge in
collection of cargo from different
shippers and arrange for a
consolidated shipment under their
name, normally in containers. They
issue their own bill of lading in favor
of the shippers who have entrusted

21. Liner bill of lading:
A liner vessel is a ship operating on a
fixed route between two ports or
series of ports. It operates a regular
scheduled service and the freight
charges can be quoted from a fixed
schedule. Its an arrangement
between liners operating on same
route to avoid unhealthy competition

22. Short form bill of lading:
A bill of lading, which indicates some or
all of the conditions of carriage by
reference to a source or document
other than bill of lading itself, is called
a short form or blank back bill of
lading.

23. Third party bill of lading:
It is a bill of lading in which the
consigner is a party other than the
seller. This BOL is acceptable
because Article 14(k) states that
shipper or consignor of the goods
indicated on any document need not
to be beneficiary of the credit.

24. Multimodal Bill of Lading :
i. A Multimodal Bill of Lading FBL is
an international transport document
covering two or more modes of
transport, such as shipping by road
and by sea.
ii. It is also used as a carriage
contract and receipt that the goods
have been received.

25. Airway bill
An Air Waybill AWB is a non-
negotiable transport document
covering transport of cargo from
airport to airport.
Carriage by air is suitable where
quick delivery is essential. It is
frequently employed in carriage of life
saving drugs, costly and sophisticated
items etc where the parties require

26. Nature and content of airway
bill:
Place and date of execution.
Place of departure and destination.
Agreed stopping places.
Name and address of consignee
Nature of goods
Value of goods
Number of packages and
identification marks

27. Weight, quantity and volume/
dimensions of goods.
Apparent conditions of goods and
packaging
Freight, paid or yet to collect.

28. Road, rail or inland waterway transport
documents:
indicate the name of the carrier and:
 be signed by the carrier or a named agent for or
on behalf of the carrier, or
 indicate receipt of the goods by signature,
stamp or notation by the carrier or a named
agent for or on behalf of the carrier.
 indicate the date of shipment or the date the
goods have been received for shipment,
dispatch or carriage at the place stated in the
credit. Unless the transport document contains a
dated reception stamp, an indication of the date
of receipt or a date of shipment, the date of
issuance of the transport document will be

29. Courier receipts:
• A courier receipt, evidencing receipt
of goods for transport, must appear to
indicate the name of the courier
service and be stamped by the
named courier service at the place
from which the credit states goods
are shipped.

30. CMR document:
The CMR transport document is an
international consignment note used by
drivers, operators and forwarders alike
that governs the responsibilities and
liabilities of the parties to a contract for the
carriage of goods by road internationally.
The carrier usually completes the form, but
the sender -in other words the exporter-is
responsible for the accuracy of the
information and must sign the form when
on delivery, which is essential for the

31. The CMR transport document is not a
document of title and is therefore non-
negotiable.
This document is prepared by the
exporter and the freight forwarder and
is addressed to the importer and the
carrier.

32. Cargo Insurance Certificate:
 The Cargo Insurance Certificate is
a document indicating the type and
amount of insurance coverage in
force on a particular shipment. It
includes the name of the insurance
company and conditions of
coverage.

33.  In addition to these documents
prepared and managed transportation
companies, it should also mention
three other documents prepared by
the exporter which accompany the
goods during transportation:
international commercial invoice,

34. International Commercial
invoice:
• The International Commercial Invoice
is an administrative document which
contains all the information about the
international sale. The item, quantity,
price for the products/services sold,
delivery and payment conditions, as
well as the taxes and other expenses
that might be included in the sale, are
detailed in an International

35. Packing List:
The Packing List is a more detailed
version of the commercial invoice but
without price information.
 It contains invoice number, quantity
and description of the goods, weight
of the goods, number of packages,
and shipping marks and numbers.

36. Although not required in all
transactions, it is required by some
countries and some buyers.
This document is prepared by the
exporter and addressed to the
importer, the carrier and the import
customs clearance.

37. Delivery Note:
Delivery Note is a document
accompanying the shipment of goods
that list de description and quantity of
goods delivered. A copy of the
Delivery Note, signed by the buyer or
consignee is returned to the seller or
consignor as a proof of delivery.

38. Delivery Notes have a dual function
for the exporter: justify the removal of
the products from its store and proof
credit delivery to the importer and
therefore it is important that de
importer sign the copy provided by
the carrier. For the importer, Delivery
Notes serve to verify that the goods
received match those listed on the
purchase order or contract. For the
carrier is the document used as a

39. Conclusions:
Transport documentation is needed
to provide instructions to the carrier
on what should be done with the
goods. They can be used to pass
responsibility for, and sometimes
ownership of, the goods during their
journey.

40. • The carrier should provide you with
documentary evidence that they have
received the goods, eg: a bill of lading or a
waybill. You should keep any documents
as evidence in case of later problems with
the shipment.
• You may need to insure the goods, and
you may also be required to provide proof
of insurance to your customer, particularly
if you are passing on the costs. You