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Like every industry, international trade and transportation has its own language and its own set of players. In baseball language, there are strikes, balls and batting averages. Some of the players are pitchers, catchers and outfielders. In international trade, there are shippers, consignees, carriers and freight forwarders.
Lets look in more detail at the players involved with international shipping:
Shipper
Ms. Dalton, a manufacturer of cotton cloth in South Carolina, needs to ship 500 bolts of printed cloth to Hong Kong. Ms. Dalton is called the seller of the goods, or the shipper.
Consignee
Mr. Yee, a manufacturer of high fashion clothing in Hong Kong, is the buyer of Ms. Daltons cloth. He is also known as the consignee, or the person or company to whom the goods are shipped.
Carrier
APL agrees to transport the cloth from South Carolina to Hong Kong by an estimated time for a specific rate. APL is the carrier of the goods.
Freight Forwarder
Mr. Caldwell acts as a middleman for Ms. Dalton, rather like a travel agent. He helps make arrangements for packaging, transportation, packing and documentation. He is called a freight forwarder. A shipper may prepare his or her own documentation, but often chooses to use the services of a freight forwarder for convenience.
Who are the players in other fields or industries? Think about the people involved at your school. What about when you shop at the grocery store? How about all of the people involved in shooting a movie?
Review Question:
Whos Who? Match the appropriate party to his/her role in international shipping:
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Shipper |
A person or company engaged in transporting goods |
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Consignee |
A person or company to whom commodities are shipped |
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Freight Forwarder |
The owner of commodities exporting them overseas |
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Carrier |
A person who acts as an agent for the exporter in moving cargo to the overseas destination |
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