Shipping Terms

Advising Bank

An advising bank is a bank that receives a letter of credit from an issuing bank, verifies its authenticity, and forwards it to the exporter. The advising bank need not be obliged to pay the credit.

Air Freight Forwarder

An air freight forwarder specializes in air cargo. He is licensed by the CAB (Civil Aeronautics Board) and has the status of an indirect air carrier. An air freight forwarder consolidates the air shipments of various exporters and issues his own air waybills (See also Air Cargo Agent, Forwarder, Freight Forwarder, and Foreign Freight Forwarder).

Air WayBill

An air waybill is a bill of landing that covers flights transporting goods to a specified destination. This is a non-negotiable document of air transport that serves as a receipt for the shipper, indicating that the carrier has accepted the goods listed and is obligated to carry the consignment to the destination according to specified conditions.

All Risk Insurance

All Risk Insurance is a clause included in marine insurance policies to cover loss and damage due to external causes such as fire, collision, pilferage, etc. However it does not cover losses due to innate flaws in the goods, faulty packaging, fluctuating markets, wars, strikes, riots and civil commotions.