Ocean Sea Freight Ocean Freight Documentation 2 — Questions and Answers
Question 1: What is an 'Arrival Notice' in ocean freight?
- A notification sent by the carrier to the consignee when cargo arrives at destination (Correct answer)
- A document filed with customs upon vessel arrival
- A port congestion alert issued by the terminal
- A booking confirmation from the shipping line
Correct answer: A notification sent by the carrier to the consignee when cargo arrives at destination
An Arrival Notice is sent by the carrier or its agent to the notify party/consignee to inform them that the shipment has arrived and provide instructions for cargo pickup.
Question 2: What is a 'Certificate of Origin' used for in international shipping?
- To certify the country where goods were manufactured or produced (Correct answer)
- To prove ownership of the cargo
- To confirm the cargo has been inspected
- To declare the value of goods for insurance
Correct answer: To certify the country where goods were manufactured or produced
A Certificate of Origin certifies the country of manufacture and is used by customs authorities to determine applicable duties, tariffs, and trade agreement eligibility.
Question 3: What does 'Notify Party' mean on a Bill of Lading?
- The party to be contacted when the shipment arrives at destination (Correct answer)
- The shipper's bank holding the letter of credit
- The insurance underwriter for the cargo
- The customs broker at origin
Correct answer: The party to be contacted when the shipment arrives at destination
The Notify Party is the entity the carrier alerts upon vessel arrival at destination, typically the consignee, customs broker, or freight forwarder.
Question 4: Which US government agency requires an ISF (Importer Security Filing) for ocean imports?
- US Customs and Border Protection (CBP) (Correct answer)
- Federal Maritime Commission (FMC)
- US Coast Guard
- Department of Commerce
Correct answer: US Customs and Border Protection (CBP)
CBP requires the ISF (also called '10+2') to be filed at least 24 hours before a vessel departs a foreign port bound for the US, to enhance cargo security screening.
Question 5: What is a 'Sea Waybill' and how does it differ from a Bill of Lading?
- A non-negotiable transport document that does not require physical presentation for cargo release (Correct answer)
- A document only used for hazardous cargo
- A bill of lading issued specifically for FCL shipments
- An electronic version of the master bill of lading
Correct answer: A non-negotiable transport document that does not require physical presentation for cargo release
A Sea Waybill is a non-negotiable document that speeds up cargo release at destination since the consignee only needs to identify themselves — no original document surrender is required.
Question 6: What information is NOT typically found on a commercial invoice for an ocean freight shipment?
- The vessel name and voyage number (Correct answer)
- Unit price and total value of goods
- HS (Harmonized System) tariff code
- Buyer and seller contact information
Correct answer: The vessel name and voyage number
The commercial invoice contains trade terms, pricing, and goods description — vessel name and voyage number are shipping details found on the B/L or booking confirmation, not the invoice.
What is an 'Arrival Notice' in ocean freight?