Shipping Documentation

Numerous documents are required for shipping. The primary documents are listed below with links to samples. Exporters should seriously consider having a freight forwarder handle the formidable amount of documentation that exporting requires, as forwarders are specialists in this process.

Documentation must be precise because slight discrepancies or omissions may prevent merchandise from being exported, result in nonpayment, or even result in the seizure of the shipment by customs. Collection documents are subject to precise time limits and may not be honored by a bank if time has expired.

Most documentation is routine for freight forwarders and customs brokers, but the exporter is ultimately responsible for the accuracy of its contents.

The following documents are commonly used in the shipping process:

• Bill of lading
• Commercial invoice
• Packing list
  

Bill of lading (B/L)

A bill of lading (B/L) is used for sea shipment and is a certificate of ownership of goods. It must be produced at the port of final destination by the importer in order to claim goods.

As a document of title, the bill of lading is also a negotiable document and you may sell the goods by endorsing or handing it over to another authorized party, even while the goods are still at sea.

Although negotiable bills of lading are in common use, some countries do not allow them or make it difficult fro them to be used. You have to be sure that a negotiable B/L is accepted in your country. Otherwise, a non-negotiable B/L is issued.

The B/L is a formal, signed receipt for a specified number of packs, which is given to the export agent by the shipping line when the shipping line receives the consignment. If the cargo is apparently in good order and properly packed when received by the shipping line, the bill of lading, is deemed as "clean". The ship owner thus accepts full liability for the cargo described in the bill.

See sample B/L below:

Commercial invoices

A commercial invoice is a bill for the goods from the seller to the buyer. These invoices are often used by governments to determine the true value of goods when assessing customs duties. Governments that use the commercial invoices to control imports will often specify its form, content, number of copies, and language to be used, as well as other important details.

The packing list

The packing list indicates the number of items in the contents of each pack, along with individual weights and dimensions. This list enables you to check that the correct number of units has been received. Customs authorities can also easily identify a specific pack if they wish to inspect.

See a sample of a packing list below: