Commonly Used Air Cargo Terms
The following is a list of air cargo terms commonly used in the industry:
Advance Charge or Disbursement - A charge paid by a carrier to an agent to another carrier, which the delivery carrier then collects from the consignee. Such charges are usually for agents' forwarding fees and incidental expenses paid out of pocket for account of the shipment by an agent or other carrier.
Airline, Delivering - The carrier who delivers the consignment to the consignee or his agent.
Airline, Issuing - The airline whose airway bills is issued.
Airline, Participating - An airline over whose air routes one or more section of carriage under the air way bill is undertaken or performed.
Airway bill - The document made out by or on behalf of the shipper which evidences the contract between the shipper and carrier(s) for carriage of goods over routes of carrier(s).
Airway bill Neutral - A standard airway bill without identification of issuing carrier in any form.
Air Cargo Aircraft - An aircraft which carries air freight exclusively.
Break even/weight or Break pack point - The weight at which it is cheaper to charge the lower rate for the next weight break times the minimum weight indicated than to charge the higher rate for the actual weight of the shipment.
Bulk Cargo - Loose cargo not loaded on a pallet or in a container (ULD).
Bulk Unitization - An agreement whereby a carrier rents containers and pallets to agent cargo into one ULD.
Cargo - Equivalent to the term goods, means anything carried or to be carried in an aircraft, other than mail or other property carried under the term of an international postal convention, baggage or property of the carrier, provided that baggage moving under an airway bill is cargo.
Carriage - Is equivalent to the terms "transportation", means carriage of cargo by air gratuitously for hire.
Charges Collect - The charges enter on the airway bill for collection from the consignee.
Charges Prepaid - The charges entered on the airway bill for payment by the shipper.
Consignment - (Which is equivalent to the term "Shipment"). One or more pieces of goods accepted by the carrier from one shipper at one time and at one address, receipted for in one lot and moving on one airway bill to one consignee at one destination address.
Consolidation - Several individual consignments grouped together and covered one airway bill (Master Airway Bill) with separate House Waybills issued by the forwarder for each individual consignment.
Consolidated Shipment - A shipment resulting from consolidation.
Conventional Aircraft - Also Narrow Body Aircraft. Aircraft with single aisle in the passenger cabin.
Declared Value for Carriage - Value of goods declared by the shipper to the carrier for determining charges or establishing carrier's liability.
Embargo - Refusal by carrier for a limited period to accept goods for transportation.
Freedom of the Air - Also Traffic Rights. The rights of a carrier to operate from / to or between stipulated points.
French Gold Franc - Franc consisting of 65.5 milligrams of gold with fineness of nine hundred thousandths (900/1000).
High Capacity Aircraft or Wide Bodied Aircraft - Also WIDE BODY AIRCRAFT. Aircraft with twin aisles in the passenger cabin. The cargo holds are equipped to carry containers and pallets (ULD's). Loose (bulk) cargo is loaded in the bulk cargo hold.
IATA - Abbreviation for International Air Transport Association.
IATA Cargo Agent - An IATA approved agent, appointed and authorized by a carrier to receive shipments, execute airway bills and collect charges.
ICAO - International Civil Aviation Organization. The regulatory organization under the Untied Nations for the proper and safe management of air transportation of which all countries in the world having airlines are members.
TACT - Abbreviation for The Air Cargo Tariff. Publication of official airline tariffs, rules, etc.
Valuation Charge - A charge for carrier of goods based on the declared value of carriage of such goods.
Volume Charge - The charge for the carriage of goods based on the volume of such goods.
Weight Charge - The charge for the carriage of goods based on the weight of such goods.
Advance Charge or Disbursement - A charge paid by a carrier to an agent to another carrier, which the delivery carrier then collects from the consignee. Such charges are usually for agents' forwarding fees and incidental expenses paid out of pocket for account of the shipment by an agent or other carrier.
Airline, Delivering - The carrier who delivers the consignment to the consignee or his agent.
Airline, Issuing - The airline whose airway bills is issued.
Airline, Participating - An airline over whose air routes one or more section of carriage under the air way bill is undertaken or performed.
Airway bill - The document made out by or on behalf of the shipper which evidences the contract between the shipper and carrier(s) for carriage of goods over routes of carrier(s).
Airway bill Neutral - A standard airway bill without identification of issuing carrier in any form.
Air Cargo Aircraft - An aircraft which carries air freight exclusively.
Break even/weight or Break pack point - The weight at which it is cheaper to charge the lower rate for the next weight break times the minimum weight indicated than to charge the higher rate for the actual weight of the shipment.
Bulk Cargo - Loose cargo not loaded on a pallet or in a container (ULD).
Bulk Unitization - An agreement whereby a carrier rents containers and pallets to agent cargo into one ULD.
Cargo - Equivalent to the term goods, means anything carried or to be carried in an aircraft, other than mail or other property carried under the term of an international postal convention, baggage or property of the carrier, provided that baggage moving under an airway bill is cargo.
Carriage - Is equivalent to the terms "transportation", means carriage of cargo by air gratuitously for hire.
Charges Collect - The charges enter on the airway bill for collection from the consignee.
Charges Prepaid - The charges entered on the airway bill for payment by the shipper.
Consignment - (Which is equivalent to the term "Shipment"). One or more pieces of goods accepted by the carrier from one shipper at one time and at one address, receipted for in one lot and moving on one airway bill to one consignee at one destination address.
Consolidation - Several individual consignments grouped together and covered one airway bill (Master Airway Bill) with separate House Waybills issued by the forwarder for each individual consignment.
Consolidated Shipment - A shipment resulting from consolidation.
Conventional Aircraft - Also Narrow Body Aircraft. Aircraft with single aisle in the passenger cabin.
Declared Value for Carriage - Value of goods declared by the shipper to the carrier for determining charges or establishing carrier's liability.
Embargo - Refusal by carrier for a limited period to accept goods for transportation.
Freedom of the Air - Also Traffic Rights. The rights of a carrier to operate from / to or between stipulated points.
French Gold Franc - Franc consisting of 65.5 milligrams of gold with fineness of nine hundred thousandths (900/1000).
High Capacity Aircraft or Wide Bodied Aircraft - Also WIDE BODY AIRCRAFT. Aircraft with twin aisles in the passenger cabin. The cargo holds are equipped to carry containers and pallets (ULD's). Loose (bulk) cargo is loaded in the bulk cargo hold.
IATA - Abbreviation for International Air Transport Association.
IATA Cargo Agent - An IATA approved agent, appointed and authorized by a carrier to receive shipments, execute airway bills and collect charges.
ICAO - International Civil Aviation Organization. The regulatory organization under the Untied Nations for the proper and safe management of air transportation of which all countries in the world having airlines are members.
TACT - Abbreviation for The Air Cargo Tariff. Publication of official airline tariffs, rules, etc.
Valuation Charge - A charge for carrier of goods based on the declared value of carriage of such goods.
Volume Charge - The charge for the carriage of goods based on the volume of such goods.
Weight Charge - The charge for the carriage of goods based on the weight of such goods.
