Do the terms CYCY, COD, DT, & DM sound foreign to you? As it should be for an untrained ear. It is no less some sort of gibberish. Although, the tale is somewhat different for international shippers.

However, it is mandatory to understand the shipping terms and conditions when transporting goods across the world. Every shipping and logistics company has its own terms and conditions. The better you understand the terms and conditions, lesser time is wasted, resulting in faster shipping of commodities.

In the following article, we are going to discuss some of the common delivery terms with respect to the shipping and logistics industry. Keep scrolling through this article for a better understanding of these terms and conditions. 

The Common Delivery Terms & Conditions In The Shipping Industry

Shipping goods across the world is a fairly convoluted process, rather than just transporting a commodity from one point to another. There are several procedures & regulations ensuring the safe delivery of these commodities, to their final destination, for instance: the UPS label created, next day air saver, etc. 

Hence, keeping track of the shipping terminology becomes extremely crucial. Primarily because of the fundamental role that these terms play, in the lives of the people involved with the entire shipping procedure.

Understanding these terms, will help you avoid misunderstandings & minimize errors in the supply chain. Having said that, let us look at some of the important terms associated with the shipping and logistics industry.

Read Also: What Is FBA Shipping Rapid Express Freight?

The International Commercial Terms

When buying or selling commodities, the commodities need to be transported from their place of origin to their final destination. Item is currently in transit to the destination- is what you will be receiving as a notification from the shipping company.

The correct way to achieve this starts with effective negotiation at the time of purchase and deciding how to accomplish it. But in order to understand the terms and agree to them, both parties need to speak the same language.

The International Commercial Terms, also known as ‘Incoterms’, is a range of pre-determined commercial terms posted by the International Chamber of Commerce. The terms are primarily intended to put up a clearer picture of the costs, tasks, & risks involved with the transportation process.

The Change Of Destination

Just imagine that your commodities have crossed these stages,  the origin post is preparing shipment, your goods have already been loaded in the container ship, and then you suddenly feel the need to change the destination.

How frustrating can that be! Well, this is exactly when you can request for a COD. You request the shipment company to discharge your commodities & transport them to another destination different from the original destination.

The Demurrage 

The fee is charged by the container lines when you do not collect your imported containers timely. The containers post-discharge have a limited period of free storage provided by the container lines, in the port. Therefore, you have to collect it before its expiry. 

It is somewhat like when a commodity is tendered to delivery service provider, you have to collect it. Asap!

However, failing to collect your commodity on time the port will now have the authority to charge you for the days it was left in the port. A demurrage fee is alos applicable, when the container line fails to ship out the commodity.

Container Yard To Container Yard

Container Yard To Container Yard, also known as CYCY, is a port facility that allows the storage of commodities, either pre-loading or post-discharge. This shipping term, states that the responsibility of the carrier starts and ends, at the container yard.

The Detention

Individuals who after collecting their imported containers, have not returned them to the shipping line on time are applicable for a detention fee. You are even entitled to pay for the extra days, that you took to return those containers. 

The Full Container Load And Less Than Container Load

The Full Container Load, popularly known as FCL, means that you have enough commodities to fill up an entire container. Whereas, Less than Container Load, also known as LCL, is exactly the opposite. 

LCL implies that you do not have enough commodities required to fill up an entire container. This is when the individual consignments are combined & shipped together with a few other consignments in the same container ship.

On reaching the port of destination, these consignments are now allocated back to their original individual consignments. For small or midsize businesses that do not have large volumes of goods, LCL acts as an eco-friendly savior. 

It helps you save up on freight costs, since the commodities are shipped at lower rates. 

The Rollover

A rollover happens when a container gets rolled over. This means your container was unable to make it to the vessel. This might happen as a result of custom problems,  vessel omissions, or overbooking.

Your carrier will now reschedule the shipment, allocating the container on the next departing ship.


Keeping that in mind, I will now end this discussion here. Although, I sincerely hope that, after reading this article, transportation of goods will be a piece of cake for you. In case, you have got some extra points to add to the aforementioned list of terms and conditions.

You know the drill. Engage with us in the comments section below.

Author Bio:

Emily Bryant is a professional content writer. She completed her graduation in Psychology from the University of Montreal, Canada. She is very passionate about writing in many journals and magazines. She is the owner and co-founder of Real Wealth Business. She is also associated with many authority blog sites such as Gossipment, Essay Writing Guides, The Parents Magazine, The Pets Magazine, The Sports Mag, Singapore News Hub, and Singapore Journals.