Transport, Logistics, and Foreign Trade Dictionary

This dictionary contains the fundamental concepts you may frequently encounter in the fields of transportation, logistics, and foreign trade. Here are some important terms specific to these areas

A.T.A. Carnet

This is a document used for international temporary importation and exportation. It allows goods to be temporarily imported and exported free of customs duties and other taxes and charges.

ATR

It's a document that determines Preferential Rules of Origin related to Free Circulation between Türkiye and the European Community. The ATR certifies that goods are in free circulation between Türkiye and European Union member countries.

Letter of Credit Payment

It's a payment method where a bank commits to pay the seller on behalf of the buyer, provided certain conditions are met. This method is often used in international trade, especially in long-distance trade, to reduce risk.

Acceptance Credit Payment

Acceptance credit payment is a payment method used in commercial transactions. In this method, when a buyer purchases products or services, the payment is deferred for a specified period, and the seller receives payment during that period based on the credit accepted by the buyer. Acceptance credit payment can provide more flexible financing options in trade and allows businesses to manage their cash flows.

Airway Bill (AWB)

An official transportation document used for the delivery of cargo sent by air transportation to its recipient. The airway bill includes sender and recipient information, a description of the transported goods, their weight, and other transportation details. It also regulates all legal responsibilities related to air transportation.

BAF (Bunker Adjustment Factor)

It's a rate adjustment applied to freight charges in sea transportation to account for fluctuations in fuel costs. BAF is an additional charge or discount applied to compensate for increases or decreases in fuel prices.

Bill of Lading (B/L)

A bill of lading (B/L) is a transport document, especially used in maritime shipping transactions. This document serves as a contract of carriage and specifies the terms of delivery between the shipper (sender) and the consignee (receiver). The bill of lading serves as evidence that the cargo has been received by the shipping vessel and will be delivered. It also includes information about the owner of the cargo and details of the cargo.

Bonded Warehouse

A special warehouse or facility where goods are stored under customs control. In these warehouses, goods can be stored for a specified period without the payment of customs duties.

Border Crossing

A border crossing refers to the point of entry or exit between two different countries' borders. These points allow individuals and goods to enter or exit one country and travel to the other. Border crossings are typically used for customs checks, passport control, and other security measures. They are also places where international trade occurs and diplomatic relations between countries are conducted.

Cabotage

Cabotage refers to a country's right to engage in maritime transportation within its own coastal or inland waters. The boundaries and rules of this right are typically determined by national maritime authorities and include regulations related to maritime transportation. Cabotage rights may limit the ability of foreign vessels to compete in the local transportation market.

Cargo/Freight

Cargo or freight refers to any goods or items that are to be transported or shipped, typically by a transportation vehicle or carrier. Cargo can vary in size and weight and is used in transportation processes.

Certificate of Origin

A certificate of origin is an official document that verifies the country of origin and source of a product or goods. It is commonly used in international trade transactions and affects customs procedures for the import or export of products. The certificate of origin is important for customs tariffs, taxes, and trade agreements as it documents which country the product was manufactured in and to which country it belongs.

CMR Convention

The Convention on the Contract for the International Carriage of Goods by Road (CMR) is an agreement that governs international road transport of goods. The CMR Convention stipulates the obligations and liabilities of the carrier and the sender.

CMR International Consignment Note

An official document in international road transportation that provides details about the goods being transported. This document includes information about the carrier, sender, and receiver, as well as the type of goods, quantity, and delivery location. It is issued under the CMR Convention and specifies the rights and obligations of the parties.

Commodity

A general name for raw materials or processed products. It typically refers to standardized goods that are bought and sold on international trade and exchanges. For instance, gold, oil, and wheat are considered commodities.

Consignment Export

Consignment export is the process of entrusting products to an intermediary or representative by a manufacturer or seller for the purpose of being sent and sold in another country. This representative or intermediary attempts to sell the products in the local market and pays the product price to the manufacturer as sales are made. Consignment export can enable products to enter different markets and increase sales.

Consignment Stock

Consignment stock is inventory that a business does not own but stores or agrees to sell. This stock is typically sent to the business by a supplier or manufacturer, and the business attempts to generate revenue by selling this stock. However, if the stock remains unsold, the business has the option to return or return it without owning it. Consignment stock can help businesses diversify their inventories and reduce risks.

Consolidation

Consolidation is the process of bringing together or merging information or assets from different sources into a single whole. In financial terms, consolidation often refers to combining the financial statements of subsidiary or affiliated companies with those of the parent company. This is done to better understand the financial position of the company at the group level.

Countertrade

Countertrade refers to the exchange of goods or services between two or more countries. In this type of trade, one country buys goods or services from another country while simultaneously selling goods or services to that country. Countertrade is a part of international trade and is used to enhance economic relationships.

Crane

A crane is a machine or device used to lift or move heavy loads. It is commonly used in construction, shipyards, warehouses, or other industrial areas. A crane utilizes a lifting hook or arm to raise or lower loads.

Cross-Docking

A logistics procedure where products or goods are distributed directly from a supplier or manufacturer to a customer or retailer with minimal to no storage time in between. This method is used to expedite logistic processes and reduce storage costs.

Customs Clearance Certificate

An official document that confirms goods imported into or exported from a country comply with customs procedures. This certificate verifies that the goods are transported in compliance with the stipulated standards and regulations and that customs duties have been paid.

Customs Declaration (Bill Of Entry)

An official document presented to customs authorities for goods imported into a country. This document includes the description, quantity, value, and other relevant details of the imported goods. It's also used for calculating customs duties and other taxes applied upon entry into the country.

Damage

The condition of harm or deterioration to something, an object, or property. Damage can occur for various reasons, such as accidents, weather conditions, decay, or misuse.

Declared Value

It is the value of goods or services stated on a customs form or other official documents during an import or export transaction. This value is used as a basis for calculating customs duties, fees, or other relevant charges.

Delivery

Delivery refers to the process of handing over a goods or items to the buyer or recipient. It is commonly used in trade or logistics transactions and indicates the transfer of the goods to the buyer.

Delivery Note

A delivery note is an official shipment document that serves as proof that a product or material has been transported from the sender to the recipient. The delivery note includes the quantity, description, and sender and recipient information of the transported goods. It also specifies the shipment process and transportation details.

Demurrage

An additional charge applied when a transportation vehicle (e.g., a ship or truck) is not loaded or unloaded within an allocated time. If the given time for loading or unloading is exceeded, the transport company may claim this additional cost.

Documentary Payment

Documentary payment is a payment method in which specific documents are exchanged as part of a transaction in return for goods or services. In this method, the buyer and seller exchange specific documents (documents) and payment is made during this exchange process. This payment method is commonly used in trade transactions and is typically subject to specific conditions.

ETA (Estimated Time Of Arrival)

Refers to the expected date and time when a transportation vehicle will reach its destination. It is commonly used in logistics, aviation, and maritime industries.

Euro Pallet (EUR – pallet)

A standardized type of pallet with dimensions typically of 800 mm x 1200 mm. Widely used in Europe, this type of pallet facilitates the transport and storage of goods.

Export

Exporting is the process of selling a country's goods or services to foreign countries. This process can stimulate economic growth in a country and enhance international trade relationships. Exporting is often a significant part of a country's economy and involves various industries.

Export Declaration

The process where an exporter declares the sale of goods to foreign countries to customs. It is done to formalize export transactions and keep them on record.

Feeder Service

A smaller-scale transportation service used to connect to main transport routes. Especially in maritime transport, it refers to smaller ships that collect cargoes from ports not visited by larger vessels and transport them to major ports.

FIFO (First In, First Out)

An inventory management method, FIFO means that the first product or material that comes in will be the first one to go out. This method is especially used to maintain freshness in perishable goods.

Fleet Management

Covers all activities related to the maintenance, operation, monitoring, and coordination of a company's vehicles (trucks, cars, ships, airplanes, etc.). Effective fleet management is essential to reduce costs, increase efficiency, and optimize operations.

Forklift

A vehicle designed to lift and transport heavy loads. It is commonly used in warehouses, factories, and construction sites. It features a mechanism that extends forward with two or more "tines" or "forks".

Free Zone

A free zone is a specific geographical area within a country that has a special economic status and offers certain advantages in terms of import, export, production, and trade. Free zones typically provide benefits such as customs duty exemption, tax incentives, low operating costs, and other incentives. These zones are established to promote international trade and investment, reduce trade barriers, and stimulate economic growth.

Freight

Freight refers to the charge paid for the transportation of goods or cargo. This fee is collected by the carrier or shipping company providing transportation services. The freight charge is determined based on factors such as the type of cargo, quantity, distance, transportation method, and other variables. Freight is a significant financial aspect in trade and logistics operations and is paid according to the conditions specified in transportation contracts.

FTL (Full Truck Load)

Refers to the transportation model where a truck is fully loaded with the cargo of one customer. This means the cargo fills the entire truck, and the truck is dedicated solely for this load.

Full Truckload (FTL)

Full truckload (FTL) is a logistics service that provides a complete transportation solution in a freight operation. This service is used to transport all of a customer's cargo or freight in a single transportation vehicle or container to its destination. Full truckload ensures the complete and secure delivery of the cargo.

Gauge

Refers to the defined limits based on the dimensions (height, width, length) and weight of a transport vehicle, including its load. Gauge indicates the maximum dimensions vehicles interacting with structures like bridges, tunnels, or other infrastructures might encounter while passing through them.

Gauge

Refers to the defined limits based on the dimensions (height, width, length) and weight of a transport vehicle, including its load. Gauge indicates the maximum dimensions vehicles interacting with structures like bridges, tunnels, or other infrastructures might encounter while passing through them.

Gauge

Refers to the defined limits based on the dimensions (height, width, length) and weight of a transport vehicle, including its load. Gauge indicates the maximum dimensions vehicles interacting with structures like bridges, tunnels, or other infrastructures might encounter while passing through them.

Groupage

A transportation method where small shipments from different senders are consolidated into a larger transportation unit. This method offers an economical shipping option since one transportation unit carries cargo for multiple customers.

Handling

Refers to the physical processes of loading, unloading, moving, or storing goods or cargo. In logistics and transportation, handling represents the process of moving products safely and efficiently from one point to another.

Hazardous Substance

A hazardous substance refers to chemicals, materials, or products that have the potential to create risks or cause harm to people, the environment, or property. These substances can lead to incidents such as fires, explosions, chemical spills, or other hazardous events. The transportation, storage, and use of hazardous substances typically require special safety regulations.

Hazardous Substance

A hazardous substance refers to a substance that has chemical or physical properties that can potentially harm human health, the environment, or other organisms. The transportation and use of such substances are subject to strict regulations.

IATA (International Air Transport Association)

IATA is a trade association that represents the international air transportation industry and establishes standards and practices for the industry. Its goal is to enhance safety, efficiency, and sustainability in air transportation, regulate transportation rules, and promote collaboration within the industry.

IMO Document (International Maritime Organization Document)

An IMO (International Maritime Organization) document is an official document containing certificates and documentation for ships and ship equipment that comply with international standards and regulations related to ship safety and environmental protection. IMO documents are required to ensure the safety of ships and the protection of the marine environment, demonstrating compliance with international maritime regulations.

IMO Document (International Maritime Organization Document)

An IMO (International Maritime Organization) document is an official document containing certificates and documentation for ships and ship equipment that comply with international standards and regulations related to ship safety and environmental protection. IMO documents are required to ensure the safety of ships and the protection of the marine environment, demonstrating compliance with international maritime regulations.

Import

Importing is the process of bringing goods or services from foreign countries into a country and selling them in local markets. Importing is done to meet the domestic demand of a country or to address the shortage of specific goods or services. It plays a significant role in international trade and can impact a country's economy.

Insurance

Insurance refers to the contract made with an insurance company to financially protect against a specific risk or event. An insurance policy requires the insured party to pay a certain premium to the insurance company in exchange for the company covering the cost of a specific event or risk within a specified period. Insurance can be provided in various types for individuals, properties, and businesses.

Insurance Policy

An insurance policy refers to a contract between an insurance company and a policyholder. This document serves as an official record of the agreement and outlines the risks covered by the insurance, the premiums, payment terms, and other important details. An insurance policy defines the insurance coverage and rights, making it an essential document for policyholders.

Intermodal Transportation

Intermodal transportation is a method of transportation that involves the use of multiple transportation modes (road, rail, sea, air) in combination. This method allows for the most efficient and cost-effective transportation of cargo, with the cargo being transferred between different modes of transportation using containers or trailers.

Inventory

A detailed list or record of an organization's assets, such as goods, items, equipment, etc. Inventory is critical for stock tracking, cost calculations, and asset management.

Invoice

An invoice is a document used to request payment for goods or services provided. It typically includes details such as the description of the products or services, quantity, price, and payment terms. In business and commerce, invoices are important for tracking transactions and managing payments.

L2 Certificate

An L2 certificate is a transportation document issued for vehicles carrying hazardous chemicals. This document verifies that hazardous chemicals are transported safely and in compliance with transportation regulations. The L2 certificate is important for the regulation and oversight of the transportation of chemical substances and is typically issued by competent authorities.

Less Than Truckload (LTL) Shipping

Less than truckload (LTL) shipping, also known as partial load shipping, is a transportation method where multiple shipments share the same transportation vehicle or truck. In this method, shipments from different shippers are consolidated into the same vehicle and transported on the same route. LTL shipping allows for the efficient transportation of small to medium-sized loads and can help reduce costs.

Loading

Loading refers to the process of loading goods or cargo onto a transportation vehicle, ship, airplane, or another carrier. It involves placing the goods onto the transportation vehicle, marking them for transport, and preparing for the transportation process.

Logistics Management

Logistics management is a business process that ensures the effective transportation, storage, and management of goods and services throughout the supply chain. This process is crucial at all stages, from suppliers through production, distribution, and to the final customers. Logistics management encompasses various elements, including inventory management, warehouse operations, transportation planning, logistics network design, and customer service. Its goal is to minimize costs, increase efficiency, and ensure customer satisfaction.

Low-bed Trailer

A low-bed trailer, also known as a "Deve Boynu Treyler" in Turkish, is a type of transportation vehicle commonly used for transporting high and heavy loads. This trailer is preferred for transporting tall and large equipment, construction machinery, or heavy industrial machinery. It gets its name from the fact that the front part of the trailer is high, while the rear part is low. This design allows for the easy placement and transportation of the load at a lower height.

Manifest

A manifest is an official document that typically lists the cargo or load of a transportation vehicle, as specified by the person or organization conducting the transportation process. This document may include information about the contents, quantity, destination, and other important details of the transportation vehicle. A manifest ensures that accurate information is available during the transportation process and helps organize the transportation process.

Master Bill of Lading

It's an official document used in international transportation that details the conditions of a cargo's transportation and the carrier's obligation to receive the cargo. It's most commonly used in sea freight but is valid for other modes of transport as well.

Packing List

A document used to detail the contents of a shipment. This list defines the items, their quantities, weights, and other characteristics that are contained in a cargo. The packing list helps both the sender and the receiver to verify the contents of the shipment.

Panel Van

A "panel van" is a type of transportation vehicle typically designed for commercial use. This vehicle is often characterized by a large cargo compartment or loading area and is used in various commercial activities. Panel vans are commonly preferred for tasks such as goods delivery, cargo transportation, construction work, and similar jobs. These vehicles are versatile transportation tools widely used in various industries.

Proforma

"Proforma" is a term commonly used in commercial transactions and refers to a document that shows the estimated cost or price of a product or service that a business provides to its customer. This document is used as a pre-sale quotation and shows the buyer how much they need to pay or what kind of product or service they will receive. It is also referred to as a proforma invoice or proforma contract.

Provisional Acceptance

It is the acceptance process that allows a product, structure, or project to be used for a certain period or under specific conditions. It usually follows the final acceptance process after certain corrections or modifications are made.

Quality Control

Quality control is a process that assesses and verifies the conformity of products or services to specific standards, specifications, and requirements. This process is used to detect errors and defects, improve product or service quality, and ensure customer satisfaction. Quality control is also important for guaranteeing the safety and compliance of products.

R2 Certificate

The R2 certificate is a document that transporters operating in Türkiye or working as carriers must have. The R2 certificate is a permit document that must be obtained for transportation companies engaged in road transportation to legally conduct their transportation activities. This document ensures that businesses operating in the transportation sector operate in compliance with the law and includes various conditions and requirements.

Raw Material

Raw materials are unprocessed or partially processed materials used in the production process of a product or object. Raw materials are the materials or components that need to be processed before the final product is completed.

Refrigerated Transport

It refers to temperature-controlled transportation. It is used especially for products requiring cold chain logistics (food, medicine, etc.). Refrigerated transport ensures products are transported while maintaining a specific temperature range.

Return to Country Of Origin

It refers to the process of returning a product or item to the seller or supplier after it has been sent to the buyer. This can occur when the product is defective, not as ordered, or rejected by the buyer for various reasons. Return to sender typically follows return policies and procedures and can result in a refund to the buyer or a replacement with another product.

Road Transportation

Road transportation refers to the transportation of goods or passengers on highways and roads. This type of transportation is carried out using vehicles such as trucks, buses, minibuses, and other road vehicles. Road transportation provides a fast and flexible transportation option, but it can be influenced by factors such as traffic conditions and road conditions.

Route

A planned path or course for transportation or travel, from the starting point to the destination. A route includes details of the journey from origin to destination and is often determined using maps or navigation systems.

Stacking

Stacking refers to the arrangement of materials in a warehouse or storage area in an organized manner. This arrangement ensures that goods are easily accessible and manageable. Stacking is an important part of warehouse management and logistics processes.

Storage Fee

It's the fee paid to the owner or operator of a warehouse for storing goods. It can also refer to the storage place or warehouse itself.

Summary Declaration

A summary declaration is a document used in customs procedures. This document contains a summary of the customs declaration for the goods or products that are being imported or exported. The summary declaration helps facilitate customs procedures and provides the necessary information to customs authorities. This document is important for customs duties, tax refunds, import or export permits, and other customs processes.

Supplier

A supplier is an individual or a company that provides the materials, products, or services needed by a company or organization. Suppliers are typically specialized in a specific industry or sector and provide their products or services under specified terms or agreements.

Supply Chain

The supply chain is a process that encompasses all stages and activities from the production of a product or service to its delivery to the end consumer. This process extends from the procurement of raw materials to the production, distribution, storage, sale, and finally the delivery to the consumer.

Supply Chain Management

Supply chain management aims to optimize these processes, increase efficiency, and reduce costs. It also includes various factors such as inventory management, logistics, supplier relationships, and demand forecasting. Supply chain management plays a critical role in enhancing a company's competitive advantage and ensuring customer satisfaction.

Trailer

A trailer is a transportation vehicle that is pulled by a tractor (often a truck or vehicle) and is used for the transportation of goods. Trailers come in different types, such as land trailers used for road transportation or container trailers used for maritime transportation. These transportation vehicles assist in the safe and efficient transportation of goods.

Transit Hub

In transportation, it's a central facility or area where goods and/or passengers are organized, directed, and transferred between different modes of transport.

Transshipment

It's the process of transferring cargo or passengers from one mode of transport to another. This action is especially common in international transportation when switching between different modes of transport.

Value-Added Services (VAS)

Value-added services (VAS) refer to additional processes offered to enhance or customize the value of a product or service. These processes aim to provide customers with more value by enhancing or personalizing the features of the core product or service. Examples may include custom packaging, product assembly, customized printing, or fast delivery services.

Warehouse

It's a closed space or structure where goods are stored, protected, and maintained. Warehouses are used for storing commercial goods, raw materials, and products.