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Glossary & Definitions

Trade Terms
FOB : Free on Board
A trade term requires the seller to deliver goods on board a vessel designated by the buyer. The seller fulfills its obligations to deliver when the goods have passed over the ship's rail.

CIF : Cost, Insurance and Freight
A trade term requires the seller to arrange for the carriage of goods by sea to a port of destination, and provide the buyer with the documents necessary to obtain the goods from the carrier. The term of CIF quotation includes insurance and all other charges up to the named port of destination.

CNF : Cost and Freight
A trade term requires the seller to arrange for the carriage of goods by sea to a port of destination, and provide the buyer with the documents necessary to obtain the goods from the carrier. Under CFR, the seller does not have to procure marine insurance against the risk of loss or damage to the goods during transit. 

CFR : Cost and Freight
A trade term requires the seller to arrange for the carriage of goods by sea to a port of destination, and provide the buyer with the documents necessary to obtain the goods from the carrier. Under CFR, the seller does not have to procure marine insurance against the risk of loss or damage to the goods during transit.

EXW : Ex Works
A trade term requires the seller to deliver goods at his or her own place of business. All other transportation costs and risks are assumed by the buyer.

DDP : Delivered Duty Paid
A transaction in which the seller must pay for all of the costs related to transporting the goods and is responsible in full for the goods until they have been received and transferred to the buyer. This includes payments for the shipping, the duties and any other expenses incurred while shipping the goods.

DDU : Delivered Duty Unpaid
A transaction in international trade where the seller is responsible for making a safe delivery of goods to a named destination, paying all transportation expenses but not the duty. The seller bears the risks and costs associated with supplying the good to the delivery location, where the buyer becomes responsible for paying the duty and other customers clearing expenses.

CIP : Carriage and Insurance Paid
The containerised transport/multimodal equivalent of CIF. Seller pays for carriage and insurance to the named destination point, but risk passes when the goods are handed over to the first carrier.

DAF : Delivered At Frontier
In international trade, a contract specification requiring the seller to deliver goods to a named destination, usually a border location, by a predetermined time. Up to the border, the seller is responsible for all risks and expenses associated with the delivery.

DES : Delivered Ex Ship
Where goods are delivered ex ship, the passing of risk does not occur until the ship has arrived at the named port of destination and the goods made available for unloading to the buyer. The seller pays the same freight and insurance costs as he would under a CIF arrangement. Unlike CFR and CIF terms, the seller has agreed to bear not just cost, but also Risk and Title up to the arrival of the vessel at the named port. Costs for unloading the goods and any duties, taxes, etc. are for the Buyer. A commonly used term in shipping bulk commodities, such as coal, grain, dry chemicals, and where the seller either owns or has chartered, their own vessel.

Shipping
G/W: Gross Weight
N/W: Net Weight
W/T : Weight Ton
M/T : Measurement Ton
W/M : Weight or Measurement
FCL : Full Container Load
LCL : Less than Container Load

Product
RC : Resin coated
w/ : with
ft or FT : foot or feet
DPI: dot per inch
H : Height
W : Width
SS : stainless steel
MOQ : Minimum Order Quantity
Min. order: Minimum Order
POP : Point Of Purchase

SKU:Stock Keeping Unit
A store's or catalog's product and service identification code, often portrayed as a machine-readable bar code that helps the item to be tracked for inventory. A stock keeping unit (SKU) does not need to be assigned to physical products in inventory. Often, SKUs are applied to intangible, but billable products, such as units of repair time or warranties. For this reason, a SKU can be thought of as a code assigned to a supplier's billable entities.

A place where sales are made. On a macro-level, a point of purchase may be a mall, market or city. On a micro-level, retailers consider a point of purchase to be the area surrounding the counter where customers pay. Also known as 'point of sale'

Certificates
PI : Proforma Invoice
S/C : Sales Contract
B/L : Bill of Lading
CI : Commercial Invoice
PL : Packing List
CO : Certificate of Origin
UL : Underwriter Laboratories Inc
RoHS : Restriction of the use of certain Hazardous Substances
The Restriction of Hazardous Substances Directive 2002/95/EC, RoHS, short for Directive on the restriction of the use of certain hazardous substances in electrical and electronic equipment, was adopted in February 2003 by the European Union
S/O : Shipping Order
CIQ :China Inspection and Quarantine Bureau

Payment
TT: Telegraphic Transfer Payment
MTCN : Money Transfer Control Number
L/C : Letter of Credit
Paypal, Credit Card, Mastercard