In freight forwarding, a Booking refers to a booking request or a letter of authorization. It is the process where the consignor or their agent requests cargo transportation from the carrier (e.g., shipping companies) in order to reserve space in a container and receive a commitment for loading the cargo.
Booking Content:
A booking typically includes the following details:
Cargo Information: Such as cargo name, container type, consignee’s location, loading port, and destination port.
Gross Weight: The error tolerance is usually within ±5%.
Transport Terms: Examples include CY-CY (Container Yard to Container Yard), CFS-CFS (Container Freight Station to Container Freight Station).
Dangerous Goods Documentation: If applicable, the relevant hazardous materials paperwork.
Booking Process:
Submitting the Booking Request:
As freight forwarders, we provide the customer with a Booking template. After receiving the completed Booking from the customer, we can submit it through the shipping company’s booking system or send it directly by email to the shipping line or other agents.
Rate Negotiation and Space Confirmation:
The freight forwarder will request rates from several shipping companies, considering price types (contract price or temporary price) and additional fees (e.g., BAF, CAF). Once the shipping company confirms available space, they will issue a Shipping Order (S/O).
Cargo Loading and Transportation:
The freight forwarder sends the Shipping Order (S/O) to the customer, who then arranges for the cargo to be loaded into the container at the designated yard. Once the cargo is loaded, the full container is returned to the port or the designated yard. During transport, the cargo’s safety is ensured with a container seal number, and the bill of lading (B/L) finalizes the transfer of ownership.
Types of Bookings:
Temporary Booking:
This type of booking involves reserving a space without immediate cargo loading. It is useful for situations where space is tight, or when cargo volume is uncertain. Note that this may incur a “virtual space fee”.
Confirmed Booking:
A confirmed booking is made according to a contract or letter of credit, where the space is guaranteed and cargo loading is completed before the booking cutoff time.
Important Notes:
S/O (Shipping Order): A shipping order is an official document confirming the reservation of space for cargo transportation. It acts as an authorization for the consignee to pick up the cargo and load it into the designated container.
