Detailed explanation of overseas liner shipping procedures and processes

As an important part of international logistics, liner transportation has complex and orderly operating procedures and processes. This article will introduce in detail the main aspects of liner shipping, including the specific operational procedures for soliciting goods and booking space, loading and unloading, and delivering goods.

(1) Cargo solicitation and booking

1. The concept of soliciting goods and booking space

Canvassion refers to the behavior of liner companies to secure cargo sources in order to make full use of the ship’s load capacity and cabin capacity. Booking refers to the process in which the shipper or its agent applies to the carrier for the transportation of goods, and the carrier makes a commitment to the application.

2. Booking and Incoterms

Booking is closely related to international trade transaction conditions: under FOB price conditions, the importer is responsible for booking; under CIF or CFR conditions, the exporter is responsible.

(2) Loading and unloading

1. General form of shipment

Goods transported by liner are usually not shipped directly, but through the following centralized shipping modes:

• Warehouse receipt and centralized shipping: suitable for breakbulk cargo;
• Yard receipt and centralized shipping: mainly used for containers;
• Mid-flow operation: Shipment is loaded directly by small boats at the anchorage.

2. General form of unloading

The unloading method of liner transportation echoes the loading mode, taking the form of “concentrated unloading and warehouse (yard) delivery”.

(3) Delivery of goods

1. Basic procedures for delivery of goods

• The shipping company agent notifies the consignee;
• The consignee pays the fee and exchanges the bill of lading for the bill of lading;
• The shipping company’s agent issues the delivery note (D/O);
• For unpaid fees, the shipping company will detain the goods based on the “lien clause” in the bill of lading.

2. Method of delivery of goods

• Container cargo is usually delivered at the container yard (CY);
• LCL goods are delivered at the warehouse;
• “Delivery on board” is also called “cash delivery”;
• The cargo owner can choose or change the port of discharge to deliver the goods, and the application must be made 24 hours before the arrival of the liner;
• Delivery of goods against bank guarantee.

Detailed process of liner transportation

The specific steps for liner transportation are as follows:

1. The shipper submits a cargo shipment application and submits the consignment note and loading bill.
2. The shipping company designates the ship name, reviews the loading order information and issues the loading order to the shipper.
3. After completing the inspection and insurance, the shipper will deliver the goods to the port warehouse and go through export procedures with the customs.
4. The shipping company prepares a loading list and sends it to relevant units.
5. The chief mate develops a cargo stowage plan.
6. The shipper transports the inspected goods to the designated location.
7. After the goods are loaded onto the ship, the head tallyman transfers the loading note to the chief mate, who issues the receipt note.
8. The shipper goes to the shipping company with the receipt note to exchange for the shipped bill of lading.
9. The shipper settles foreign exchange with the bank with the bill of lading and other documents.
10. After completing the loading of the goods, the shipping company prepares the export cargo list and handles the export procedures.
11. The shipping company settles and collects the freight and sends the required documents to the unloading port.
12. When the ship arrives at the port, notify the consignee to prepare to pick up the goods.
13. The consignee pays the payment and obtains the bill of lading.
14. The unloading port agent prepares the ship for import and unloading.
15. Start unloading immediately after the ship arrives at the port.
16. The consignee goes through the procedures for picking up the goods and pays the relevant fees.
17. The consignee completes the import customs declaration procedures.
18. Finally, the consignee takes delivery of the goods based on the bill of lading.