Fiata

Fiata FWB (Non-Negotiable Fiata Multimodal Transport Waybill)

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fiata waybill

On this post, I will explain Non-Negotiable Fiata Multimodal Transport Waybill, a transport document, only issued by freight forwarders, whom are the members of the FIATA (International Federation of Freight Forwarders Associations).

The FWB is an acronym which stands for “Forwarder’s Waybill”, “Fiata Waybill” or “Non-Negotiable FIATA Multimodal Transport Waybill”.

FWB is a standard format transport document, which is created by FIATA (International Federation of Freight Forwarders Associations) for general use of the freight forwarders in international freight transportation.

FWB has been restricted to use only by FIATA members.

Structure of a Fiata Waybill

FWB is printed on a white color paper with light blue borders. Fiata logo is positioned in the middle of the FWB transport document. The ICC logo, which signifies the ICC approval, can be seen on the right up side of the document.

FWB is a non-negotiable transport document which was created by Fiata and acknowledged by ICC. This acknowledgement has been secured by the attachment of ICC logo on the right-up side of the document.

Terms and conditions of the carriage have been printed on the reverse side of the FWB transport document under the title of “Standard Conditions (1997) governing the FIATA Multimodal Transport Waybill”.

As a result FWB is not a short form or blank back non-negotiable sea waybill.

FWB is a valid transport document when it is issued as a non-negotiable sea waybill according to letter of credit rules.

This view supported by the Fiata with the following declaration: “The non-negotiable FIATA Multimodal Transport Waybill (FWB) conforms to the requirements of the “Guide for the Uniform Customs and Practice for Documentary Credits (UCP 600)” of ICC (ICC publication No. 600) in line with article 21 when issued as a sea waybill, as an acceptable transport document.”

Why Exporters and Importers Use a FWB transport document?

The main reason to use a FWB would be working with a freight forwarder instead of a carrier.

FBL issued by the freight forwarders in the capacity of contractual carriers. They usually sign FBL transport document “as carrier”.

Additionally, importers could clear the consignment at the port of discharge without surrendering an original bill of lading, as carriers could deliver the cargo to the importers with a proof of identity.

What are the Main Characteristics of a Fiata Waybill?

  1. FWB includes a contract of carriage and it is a valid sea waybill according to current letter of credit rules.
  2. FWB is a non-negotiable transport document. If a FWB is issued, carriers could deliver the cargo to the importers by the proof of identity only without requiring the original copy of the FWB.
  3. FWB transport documents can be used not only in multimodal transportation, but also single mode port-to-port sea shipments.
  4. The copyrights of FBL documents are owned by FIATA. Only Fiata member freight forwarders could use FWB standard format multimodal non-negotiable waybill.
  5. FWB is in conformity with the UNCTAD/ICC Rules for Multimodal Transport Documents only when it is used as non-negotiable sea waybill in port-to-port sea shipments.

What are the Differences Between a FWB (Non-Negotiable FIATA Multimodal Transport Waybill) and a Shipping Line Sea Waybill (SLSWB)?

  1. A Shipping Line Sea Waybill (SLSWB) or carrier’s sea waybill is issued by the carrier or its agent on behalf of the carrier. SLSWB generally printed on the letterhead of the shipping line. On the reverse side of the SLSWB the terms and conditions of carriage of the shipping line are incorporated.
  2. A Non-Negotiable FIATA Multimodal Transport Waybill (FWB) is issued by a freight forwarder. FWB should be printed on the standard form Fiata FWB format incorporating Fiata and ICC logos. “Standard Conditions (1997) governing the FIATA Multimodal Transport Waybill” has been printed on the reverse side of the FWB. FWB signed by the freight forwarder, as carrier.

Sample Form of a Non-Negotiable FIATA Multimodal Transport Waybill

fiata waybill fwb

FIATA FCT (Forwarders Certificate of Transport)

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FCT (Forwarder’s Certificate of Transport)

On this post, I will explain Forwarder’s Certificate of Transport, an international trade document, only issued by freight forwarders, whom are the members of the FIATA (International Federation of Freight Forwarders Associations).

The FCT is an acronym which stands for “Forwarder’s Certificate of Transport”.

FCT is another standard document template created by FIATA (International Federation of Freight Forwarders Associations) for general use in international shipments.

FCT is only available to FIATA member freight forwarders.

FCT certificate is a signed declaration of the freight forwarder, in which he confirms to the consignor that he has taken over the goods and has assumed responsibility for delivery of the consignment as per instructions, that he has received from the consignor as indicated on the FCT document.

It must be noted that according to the FCT certificate a freight forwarder acts as a freight forwarder and not as a carrier.

A freight forwarder is responsible for the signature of the contract of carriage or carriages with the carrier or carriers. The freight forwarder is not responsible for the acts of the carriers.

Important Note: FCT is not a contract of carriage as a result it is not a transport document unlike bill of lading, multimodal bill of lading, air waybill, road transport document or rail transport document.

Why Exporters and Importers are Using a FCT Certificate?

FCT document mostly used in international transactions where Ex Works (EXW) or Free Carrier (FCA) trade terms is chosen by the exporters.

According to ICC’s Incoterms 2010 rules, “Ex Works” means that the seller delivers when it places the goods at the disposal of the buyer at the seller’s premises or at another named place (i.e., works, factory, warehouse, etc.).

The seller does not need to load the goods on any collecting vehicle, nor does it need to clear the goods for export, where such clearance is applicable.

As per Incoterms 2010 “Free Carrier” means that the seller delivers the goods to the carrier or another person nominated by the buyer at the seller’s premises or another named place.

Seller can prove to the buyer that he has already places the goods at the disposal of the buyer’s forwarder with the presentation of Forwarder’s Certificate of Transport.

Also if the payment will be made via documentary collection or letter of credit, banks or buyers would request presentation of a FCT document.

What are the Main Characteristics of a FCT Certificate?

By issuing a FCT certificate, the freight forwarder certifies to the consignor that,

  1. the freight forwarder has been authorized to enter into contracts with the carriers and
  2. the freight forwarder has taken charge of the goods as indicated on the forwarder’s certificate of transport in apparent good order and condition and
  3. the freight forwarder is responsible for delivery of the goods to the holder of the certificate through the services of the carriers of their choice and
  4. the freight forwarder will be acting as a freight forwarder not as a carrier and
  5. the freight forwarder will not be held liable for the acts of the carriers.

FCT certificate does not contain a contract of carriage. As a result it is not considered as a transport document.

FCT certificate can be issued in a negotiable form. If a FCT certificate issued in a negotiable form, it is very important to state whether it is issued in one original or else how many original copies have been issued on the face of the document.

What are the Differences Between a FCR (Forwarder’s Certificate of Receipt) and a B/L (Bill of Lading)?

Bill of Lading

  1. Bill of lading contains a contract of carriage between port of loading and port of discharge.
  2. Bill of lading can be issued in a negotiable form as shown on the below examples:
    -made out to the order of the issuing bank.
    -made out to order and blank endorsed.
  3. At least one original bill of lading must be surrendered to the carrier for delivery of the goods in case bill of lading was issued in negotiable form
  4. Bill of lading is a transport document in regards to letter of credit rules.
  5. Bill of lading should show port of loading, port of discharge and shipped on board date on its face.

Forwarder’s Certificate of Transport

  1. Forwarder’s Certificate of Transport does not contain a contract of carriage as a result it is not a transport document in regards to letter of credit rules.
  2. Forwarder’s Certificate of Transport can also be issued in negotiable form as shown on the below examples:
    *made out to the order of the issuing bank.
    *made out to order and blank endorsed.
  3. At least one original Forwarder’s Certificate of Transport must be surrendered to the carrier for delivery of the goods in case Forwarder’s Certificate of Transport was issued in negotiable form
  4. Forwarder’s Certificate of Transport need not to state port of loading, port of discharge and shipped on board date on its face.

Sample Form of Forwarder’s Certificate of Transport

Sample FCT (Forwarder’s Certificate of Transport)

Fiata FCR (Forwarder’s Certificate of Receipt)

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FCR (Forwarder’s Certificate of Receipt)

On this post, I will explain Forwarder’s Certificate of Receipt, an international trade document, only issued by freight forwarders, whom are the members of FIATA (International Federation of Freight Forwarders Associations).

Freight forwarder is a person, who is expediting goods to the consignee on behalf of the shipper; may be an agent or company who performs services (such as receiving, trans-shipping or delivering) designed to assure and facilitate the passage of goods. (1)

FCR is an acronym, which stands for “Forwarder’s Certificate of Receipt”.

FCR is a standard form of a trade document, which was prepared by FIATA (International Federation of Freight Forwarders Associations) for general use in international shipments.

FCR is available to FIATA members only.

Why Exporters and Importers are Using a FCR Certificate?

FCR certificate mainly used in international transactions where Ex Works (EXW) trade term is selected by the parties.

According to ICC’s Incoterms 2010 rules “Ex Works” means that the seller delivers when it places the goods at the disposal of the buyer at the seller’s premises or at another named place (i.e., works, factory, warehouse, etc.).

The seller does not need to load the goods on any collecting vehicle, nor does it need to clear the goods for export, where such clearance is applicable.

Under Ex Works trade term, the Seller can prove to the Buyer that he has already places the goods at the disposal of the buyer’s forwarder with the presentation of a Forwarder’s Certificate of Receipt.

Also, if the payment will be made via a letter of credit, banks would like to see the FCR document.

What are the Main Characteristics of a FCR Certificate?

FCR document does not contain a contract of carriage. For this reason it is not accepted as a transport document under letter of credit rules.

  1. By issuing a FCR document a freight forwarder certifies to the consignor that,
    1. the freight forwarder has assumed control of the goods as indicated on the forwarder’s certificate of receipt in apparent good order and condition at the disposal of the consignee or
    2. the freight forwarder has assumed control of the goods as indicated on the forwarder’s certificate of receipt in apparent good order and condition with irrevocable instructions to be forwarded to the consignee.
  2. FCR document is not negotiable. It is non-negotiable so that consignee need not to present an original copy to collect the goods from the transport company.

What are the Differences Between a FCR (Forwarder’s Certificate of Receipt) and a B/L (Bill of Lading)?

Bill of Lading

  1. Bill of lading contains a contract of carriage between port of loading and port of discharge.
  2. Bill of lading can be issued in a negotiable form as shown on the below examples:
    -made out to the order of the issuing bank.
    -made out to order and blank endorsed.
  3. At least one original bill of lading must be surrendered to the carrier for delivery of the goods in case bill of lading was issued in negotiable form
  4. Bill of lading is a transport document in regards to letter of credit rules.
  5. Bill of lading should show port of loading, port of discharge and shipped on board date on its face.

Forwarder’s Certificate of Receipt

  1. Forwarder’s Certificate of Receipt does not contain a contract of carriage.
  2. Forwarder’s Certificate of Receipt can’t be issued in negotiable form.
    Consignee can clear the goods from the carrier without surrendering the original copy of
  3. Forwarder’s Certificate of Receipt.
  4. Forwarder’s Certificate of Receipt is not a transport document in regards to letter of credit rules.
  5. Forwarder’s Certificate of Receipt need not to state port of loading, port of discharge and shipped on board date on its face.
  6. Forwarder’s Certificate of Receipt is not a transport document as defined in UCP 600 articles 19‐25. This document is to be examined only to the extent expressly stated in the credit, otherwise according to UCP 600 sub‐article 14 (f).

Sample Form of FCR (Forwarder’s Certificate of Receipt)

Sample FCR (Forwarder’s Certificate of Receipt)

References:

  1. Transportation Best Practices Manual, PF Collins International Trade Services, 2003, Page:44

Fiata Documents

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fiata documents

On this post, I will explain freight forwarders, freight forwarders association and the documents published by the freight forwarders association in a global scale.

Forwarding agents are also known as freight forwarders, freight brokers, transit agents, and they may also act as clearing agents or customs brokers.

In most instances buyers and sellers are not themselves in a position to carry out the necessary arrangements for the shipment of their cargo.

They rely on the services of specialized firms for this work and for processing customs formalities. (1)

Freight forwarders can arrange door-to-door shipments, decrease transportation costs by offering more competitive freight quotes, increase the efficiency of carriers, exporters and importers by giving professional logistics services, consolidate small orders, offer storage, handling, packing, distribution and customs breakage services to their clients. (2)

Freight forwarders around to world are gathered together and formed an association that shapes the international transportation.

FIATA stands for International Federation of Freight Forwarders Associations. FIATA was founded in Vienna/Austria on May 31, 1926.

FIATA, a non-governmental organisation, represents today an industry covering approximately 40,000 forwarding and logistics firms, also known as the “Architects of Transport”, employing around 8 – 10 million people in 150 countries. (3)

Fiata has created several documents and templates in order to reach a uniform standard for use by freight forwarders in a global scale.

Fiata documents are known as FCR, FCT, FWR, FBL, FWB, SDT, SIC and FFI. These documents have been printed in different colors so that they can be distinguished from each other.

Fiata Documents

fiata documents

Main Features of Fiata Documents

Here are some important features of Fiata documents:

  • Fiata documents are highly standardized.
  • Only national freight forwarders associations (general members of FIATA) can issue FIATA documents.
  • Fiata documents can only be used by Fiata members.
  • Every Fiata document must bear the Fiata logo at the right head section of the documents.
  • Only negotiable FIATA Multimodal Transport Bill of Lading and non-negotiable FIATA Multimodal Transport Waybill are accepted as a transport document in terms of letter of credit rules. Other Fiata documents are not considered as a transport document in UCP 600 latest L/C rules.
  • Some major countries that are using Fiata documents are: Australia, Austria, Belgium, Canada, Colombia, Croatia, Cyprus, the Czech republic, Estonia, Finland, France, Germany, Hong Kong, Hungary, Indonesia, Iran, Ireland, Israel, South Korea, Italy, Japan, Kenya, Latvia, Lithuania, Malaysia, the Netherlands, New Zealand, Norway, Poland, Portugal, Romania, Russia, Singapore, Slovenia, Sweden, Switzerland, Spain, Sri Lanka, China, Taiwan, Tunisia, Turkey, Ukraine, United Arab Emirates, United Kingdom, the United States, Vietnam.

References:

  1. Shipping and Incoterms, Practice Guide, UNDP Practice Series, Page.10
  2. What are the functions of freight forwarders in international transportation?
  3. Who is FIATA