Logistic terms

We’ll help you make sense of the industry jargon and terms used.

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Rail Consignment Note

Document evidencing a contract for the transport of goods by rail.


Artificially inclined path, road or track along which wheeled vehicles, cargo and trailers may pass for the purpose of changing their elevation and facilitating the loading and unloading operation (e.g. an entrance way into a Roll-on/Roll-off vessel).

Ramp Handling

All activities connected with an aircraft during the time it is on the platform.


Charge per unit of freight for a specific service.

Rate of Calculation

Factor for the calculation of an amount.

Rate of Turn

Figure indicating the speed of a change of course of a means of transport expressed in degrees per minute.

Rate Proration

Proration on the basis of the applicable local rates (air cargo).




Procedure whereby goods are invoiced in two stages: at first by the supplier to an intermediary and subsequently by the intermediary to the customer.




Written acknowledgement confirming receipt of goods, cash or documents.

Received for Shipment Bill of Lading

Bill of Lading issued by the carrier evidencing actual receipt of merchandise for shipment. Also referred to as a Dock Receipt.

Receiving Carrier

Carrier receiving a consignment on behalf of a carrier, agent or shipper for onward transport.

Receiving Stock

Stock comprising all the goods that have arrived at the door of the receiving organization and which is not yet available in the stock of that organization.


All activities connected with restoring and/or adjusting the packaging of a product so that it is presented to the customer in the requested form.


Amount recovered from a third party responsible for a loss on which a claim has been paid.

Red Clause Letter of Credit

Letter of Credit that allows the exporter to receive a percentage of the face value of the Letter of Credit in advance of shipment. This enables the exporter to purchase inventory and any other costs associated with producing and preparing the export order.


Return of a charter vessel to the owners.

Reefer Cargo

Cargo requiring temperature control.

Reefer Container

Thermal container with refrigerating appliances (mechanical compressor unit, absorption unit, etc.) to control the temperature of cargo.


Repayment to the purchaser of the total charge or a portion of that charge for unused carriage.

Register Ton

1. The unit of measurement for the capacity of a vessel whereby one register ton equals 100 cubic feet (2.83 cubic meters). 2. The gross (brutto) tonnage comprises all spaces below the main (tonnage) deck and the enclosed spaces above the main (tonnage) deck less exempted spaces. 3. The net tonnage consists of the gross tonnage less exemptions like ballast tanks, engine room, living quarters, etc. Register tonnage is mentioned on the tonnage certificate.


Process of splitting up shipments into various consignments (degroupage) and combining these small consignments into other shipments (groupage).


Non-acceptance of e.g. cargo.

Released Bill

Type of affreightment where no specific value has been declared for carriage (No Value Declared).

Remitting Bank

Bank that sends the draft to the overseas bank for collection.


Completion of stock.

Rerforwarding Charge

Charges paid or to be paid for subsequent surface or air transport from the airport of destination by a forwarder, but not by a carrier under the Air Waybill (air cargo).


Route to be followed as altered from the one originally specified in the Air Waybill (air cargo).


Allotment in advance of space or weight capacity. Also referred to as “booking” (air cargo).

Reserve Inventory

1. A quantity of stock planned to be in inventory to protect against fluctuations in demand and/or supply. 2. In the context of master production scheduling, safety stock can refer to additional inventory and/or capacity planned as protection against forecast errors and/or short term changes in the backlog. Also referred to as “over-planning” or a “market hedge”.

Responsible Carrier

1. The carrier liable under the terms of a Bill of Lading.

2. Carrier responsible for the transport of goods as indicated in the transport document (air cargo).

Return Shipment

Goods returned to the place of acceptance.

Reverse Distribution

Collection of used, damaged, or outdated products and/or packaging from end-users.

Revocable Letter of Credit

Letter of Credit that can be cancelled or altered by the drawee (buyer) after it has been issued by the drawee’s bank.

Road Carrier

Synonym: Haulier, Trucker

Roll Trailer

Special trailer for terminal haulage and stowage on board of Roll-on/Roll-off vessels.


Abbreviation: RoRo. System of loading and discharging a vessel whereby the cargo is driven on and off by means of a ramp.


Abbreviation: RoRo. System of loading and discharging a vessel whereby the cargo is driven on and off by means of a ramp.


Sequence in which a vessel calls at the ports on her itinerary.

Round Trip

Voyage, a journey, etc. to a certain place, port or country and back again.


Track along which goods are (to be) transported.


1. The determination of the most efficient route(s) to follow. 2. The process of determining how a shipment will be moved between shipper and consignee or between place of acceptance by the carrier and place of delivery to the consignee. 3. The process of aiding a vessel’s navigation by supplying long-range weather forecasts and indicating the most economic and safe sailing route.

Routing Orders

Abbreviation: R/O. The routing order is a specific written Shipping Instruction issued by the buyer. It is usually issued in the case of “ex-works” or “delivered at frontier”/”free on board” deals, thereby ensuring that the supplier organizes the transport according to the wishes of the buyer.


Vertical division of a vessel from starboard to portside, used as a part of the indication of a stowage place for containers. The numbers run from midships to both sides.

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