Drayage is often referred to as the "first mile" of logistics, playing a crucial role in the movement of goods within the supply chain. Whether you're new to the industry or looking to sharpen your knowledge, understanding the key terms used in drayage can help you navigate this complex and fast-paced sector with confidence. This glossary breaks down the most commonly used drayage terms, ensuring you stay informed and up to speed with the language of the industry.
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A-C
Chassis:
Specialized equipment designed to carry shipping containers over the road. Chassis comes in various sizes to accommodate different container lengths (20’, 40’, or 45’).
Container:
(See below for more container sizes and types)
A standardized metal box is used to transport goods via intermodal means (ship, rail, and truck). Common sizes are 20 feet, 40 feet, and high cube (40 feet with extra height).
Container Discharge Date:
The container discharge date is the day the container is taken off the vessel.
Container Ingate Date/Time:
Container Ingate is the date and time the container was interchanged into the terminal.
Container Outgate Date/Time:
Container Outgate is the date and time the container was interchanged out of the terminal.
Container SSL (Owner):
The Steamship Line that owns the container.
Status & Holds:
Container Status is the overall status of your container.
Customs Clearance:
The process of ensuring goods comply with all import/export regulations before entering or leaving a country.
Cut-Off Time:
The deadline for a container to be delivered to a terminal for loading onto a ship or train.
D-F
Demurrage:
Fees charged by a terminal or shipping line for containers that remain at the terminal beyond the free storage time allowed.
Detention:
Fees incurred when a container is held by the trucking company or consignee beyond the agreed-upon free time.
Drayage:
The short-distance transportation of containers between ports, rail terminals, warehouses, or distribution centers, typically by truck.
EDI:
Electronic Data Interchange (EDI) refers to the automated, standardized exchange of business documents (such as load tenders, invoices, and status updates) between drayage trucking companies, brokers, freight forwarders, and BCOs.
Free Flow/Peel Pile:
A system where drivers pull the next available container from a stack instead of waiting for a specific one, speeding up terminal operations. (process may vary on different markets)
Free Time:
The period during which no demurrage or detention charges are applied to a container.
G-I
Gate Fee:
A fee charged by a terminal for processing a truck and container entry or exit.
Gross Weight:
The total weight of a shipment, including the container, cargo, and packaging.
Interchange Agreement:
A contractual agreement that governs the transfer of containers and chassis between carriers, terminals, and trucking companies.
Intermodal Transportation:
The movement of goods using multiple modes of transportation (e.g., ship, rail, and truck) in a single journey without handling the goods themselves.
J-L
JIT (Just-in-Time):
A supply chain strategy that ensures cargo arrives precisely when needed, minimizing storage costs and improving efficiency.
Last Free Day:
The Last Free Day marks the final opportunity for a container to remain at the terminal without incurring demurrage charges.
LCL (Less than Container Load):
Shipments that do not fill a container and are consolidated with other cargo.
Lift-On/Lift-Off (LO/LO):
The process of loading or unloading containers from a truck, ship, or railcar using specialized cranes or equipment.
M-O
Manifest:
A document listing all cargo and shipment details on a container, vessel, or train.
Master BOL:
Master bill of lading.
MT (Empty Container):
A container that is transported without cargo, is often repositioned to meet demand.
On-Dock Rail:
A rail facility located directly within a port terminal enables containers to be transferred between ships and trains efficiently.
P-R
Per Diem:
A daily fee charged for the use of equipment (e.g., containers or chassis) beyond the free time allowed by the carrier.
Port of Discharge (POD):
The port where a container is unloaded from a ship.
Pre-Pull:
The process of moving a container from a port or rail yard to a nearby yard or facility.
Reefer Container:
A refrigerated container that is used for transporting temperature-sensitive cargo.
S-U
Seal Number:
Seals are a way for the intermodal industry to determine if your container has been tampered with and are required for all loaded containers on a terminal.
Split Move:
A situation where the pick-up and drop-off locations for the container are different, requiring additional coordination.
Stack Train:
A train designed to carry double-stacked containers to maximize capacity.
Street Turn:
The practice of reusing an empty container for an export load without returning it to a terminal, reducing transportation costs and emissions.
TEU (Twenty-Foot Equivalent Unit):
A standard measurement of containerized cargo capacity. A 20-foot container equals 1 TEU, while a 40-foot container equals 2 TEUs.
V-Z
Vessel ETA:
The Vessel Estimated Time of Arrival (ETA) plays a crucial role in the efficient management of driver resources and logistical planning.
Vessel Name:
The vessel is the ship that your import container will arrive on, or export container departs on from the terminal.
VGM (Verified Gross Mass):
The total weight of a packed container, which must be declared to ensure safety during transport.
Voyage number:
Every vessel that docks at a terminal will have two voyage numbers. One voyage number will be for the import containers arriving, and the other voyage number will be for the export containers departing.
Wheeled Operation:
A container setup where containers are kept on chassis for ease of movement.
Yard:
A designated area within a terminal or logistics facility for storing containers.
Zone of Relevance:
The specific geographic region where a drayage provider operates efficiently is often defined by proximity to ports or terminals.