Shipping terms and Chartering glossary

Term Meaning
Fair Return A profit level that enables a carrier to realize a rate of return on investment or property value that the regulatory agencies deem acceptable for that level of risk.
Fair Value The value of the carrier's property; the calculation basis has included original cost minus depreciation, replacement cost, and market value.
Feeder A grain container or reservoir constructed around the hatchway between two decks of a ship which when filled with grain automatically feeds or fills in the vacant areas in the lower holds.
Feeder Service Cargo to/from regional ports are transferred to/from a central hub port for a long-haul ocean voyage.
Feeder Vessel A short-sea vessel which transfers cargo between a central hub port and smaller "spoke" ports.
Field Warehouse A warehouse that stores goods on the goods' owner's property while the goods are under a bona fide public warehouse manager's custody. The owner uses the public warehouse receipts as collateral for a loan.
Fill Rate The percentage of order items that the picking operation actually found.
Fixed Costs Costs that do not fluctuate with the business volume in the short run.
Fixed Quantity Inventory Model A setup wherein a company orders the same(fixed) quantity each time it places an order for an item.
Flexible-Path Equipment Materials handling devices that include hand trucks and forklifts.
Flow Rack A storage method where product is presented to picking operations at one end of a rack and replenished from the opposite end.
For-Hire Carrier A carrier that provides transportation service to the public on a fee basis.
Forklift Truck A machine-powered device used to raise and lower freight and to move freight to different warehouse locations.
Free Time The period of time allowed for the removal or accumulation of cargo before charges become applicable.
Free Trade Zone A port designated by the government of a country for duty-free entry of any non-prohibited goods. Merchandise may be stored, displayed, used for manufacturing, etc., within the zone and re-exported without duties.
Freight Goods being transported from one place to another.
Freight Bill The carriers invoice for payment of transport services rendered.
Freight Charge The rate established for transporting freight.
Freight Collect The freight and charges to be paid by the consignee.
Freight Forwarder An enterprise that provides services to facilitate the transport of shipments. Services can include documentation preparation, space and equipment reservation, warehousing, consolidation, delivery, clearance, banking and insurance services, and agency services. The forwarder may facilitate transport by land, air, ocean, or may specialize in one mode of transport. Also called Forwarder or Foreign Freight Forwarder.
Freight Prepaid The freight and charges to be paid by the consignor.
Freight Quotation A quotation from a carrier or forwarder covering the cost of transport between two specified locations.