Air Cargo Documentation and Insurance

Air Cargo documents

Following are the documents require for the air cargo

Air freight shipments: It is handled by Air Waybills (AWB) which is a contract between the shipper and airline that states the terms and conditions of air transportation and can never be made in negotiable form.

Ocean Bill of Lading (B/L): It is a receipt for cargo in transit, and a contract between the exporter and an ocean carrier for transportation and delivery of goods to a specified party at a specified foreign destination. The Ocean Bill of Lading is Issued after the vessel has sailed and the cargo has been entered in the ship’s manifest.

Commercial Invoice: It 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 invoice to control imports will often specify its form, content, number of copies, language to be used, and other characteristics.

Consular Invoice: It is a document that is required in some countries. It describes the shipment of goods and shows information such as the consignor, consignee, and value of the shipment.

Certificate of Origin: This document is required in certain nations. It is a signed statement as to the origin of the export item. Certificate of origin are usually signed through a semiofficial organization, such as a local chamber of commerce. A certificate may still be required even if the commercial invoice contains the information.

NAFTA Certificate of Origin: It is required for products traded among the NAFTA countries (Canada, the United States, and Mexico). The NAFTA Certificate of Origin is used by Canada, Mexico, and the United States, including Puerto Rico, to determine if goods imported into their countries receive reduced or eliminated duty as specified by the North American Free Trade Agreement (NAFTA). For those forms that are completed online, this application is designed for goods whose origin is the U.S. or Puerto Rico only.

Inspection Certification: It is required by some purchasers and countries in order to attest to the specifications of the goods shipped. This is usually performed by a third party and often obtained from independent testing organizations.

Dock Receipt and Warehouse Receipt:  This document is used to transfer accountability when the export item is moved by the domestic carrier to the port of embarkation or warehouse and left with the ship line or forwarding agent for export. All Dock Receipts and Warehouse Receipts are issue by OceanAiR Logistics eTraffic System and automatically sent to the client, shipper and/or consignee.

Destination Control Statement: It appears on the commercial invoice, and ocean or air waybill of lading to notify the carrier and all foreign parties that the item can be exported only to certain destinations.

A Shipper’s Export Declaration (SED): It is used to control exports and act as a source document for official U.S. export statistics. SEDs must be prepared for shipments through the U.S. Postal Service when the shipment is valued over $500. SEDs are required for shipments not using the U.S. Postal Service when the value of the commodities, classified under any single Schedule B number, is over $2,500. SEDs must be prepared, regardless of value, for all shipments requiring an export license or destined for countries restricted by the Export Administration Regulations. SEDs are prepared by the exporter or the exporter’s agent and filed electronically with the U.S. Census Bureau, prior to shipment departure.

Shipper’s Letter of Instructions: It is the shipping instructions to the forwarder or carrier from the shipper or exporter.

An Export License: It is a government document that authorizes the export of specific goods in specific quantities to a particular destination. This document may be required for most or all exports to some countries or for other countries only under special circumstances.

A Packing List: It itemizes the material in each individual package and indicates the type of package, such as a box, crate, drum, or carton. It also shows the individual net, legal, tare, and gross weights and measurements for each package (in both U.S. and metric systems). Package markings should be shown along with the shipper’s and buyer’s references. The list is used by the shipper or forwarding agent to determine the total shipment weight and volume and whether the correct cargo is being shipped. In addition, U.S. and foreign customs officials may use the list to check the cargo.

A Cargo Insurance Certificate: It is used to assure the consignee that insurance will cover the loss of or damage to the cargo during transit.