What is a Bill of Lading (B/L)?

A Bill of Lading (B/L) is one of the most important documents in ocean freight. It serves as a receipt of goods, evidence of the contract of carriage, and a document representing ownership of the cargo. Each field on the B/L carries specific legal and operational significance.

Contents of a Bill of Lading

Below are the main sections commonly found on an ocean Bill of Lading:

1. House Bill of Lading Number (HBL No.)

A unique identification number issued by the forwarder or the carrier. Each company has its own numbering format for document management and tracking.

2. Shipper / Consignee / Notify Party

Shipper: Name of the exporter or cargo sender.
Consignee: Name of the cargo receiver, which may be the buyer or stated as “To Order of Shipper/Bank” for L/C shipments.
Notify Party: Party to be notified upon cargo arrival (can be written as “Same as Consignee” if no additional notification party is required).

These three fields identify the legal entities involved in the shipment and affect the rights and responsibilities of receiving goods.

3. Place of Receipt

The first location where the carrier/forwarder receives the goods.
In multimodal transport, this field indicates the inland point of receipt such as an ICD or CFS warehouse before the cargo is moved to the main loading port.

4. Port of Loading (POL)

The port where the container or cargo is loaded onto the vessel (or feeder).
If a feeder vessel is used, the feeder port must be clearly stated to avoid confusion.

5. Port of Discharge (POD)

The port where the goods are unloaded from the vessel.
For shipments involving transshipments, the POD reflects the final discharge port according to the contract of carriage.

6. Place of Delivery

The final delivery point for the consignee. Used in door delivery or multimodal transport.
If delivered to a warehouse or ICD, note the actual location where customs clearance and cargo handover take place.

7. Pre-carriage By

Indicates the inland or feeder transport used to move the goods from the warehouse/ICD/feeder port to the main POL.
Applicable only to shipments with multiple pre-carriage stages.

8. Vessel / Voyage

Shows the name of the main vessel (mother vessel) and voyage number.
This information is crucial for tracking the shipping schedule and container movement.

9. Freight Payable at

Indicates where freight charges are paid:

Prepaid: Paid at origin.
Collect: Paid at destination.
Third Party: Paid in another country (e.g., “Freight to be paid in Hong Kong by ABC Co.”).

10. Number of Original B/L

Specifies how many original B/Ls were issued (usually three originals and several copies).
Only one original is required to release the cargo; the remaining originals become void automatically.

11. Type of Movement

Shows the container handling mode:

FCL/FCL (CY/CY) – Full container, door-to-door.
LCL/LCL (CFS/CFS) – Loose cargo, consolidated.
LCL/FCL (CFS/CY) – Consolidated then stuffed into full containers.
FCL/LCL (CY/CFS) – One shipper, multiple consignees.

12. Container No. / Seal No.

Indicates the container number and seal number used for the shipment.
For LCL shipments, it may state “As per attached container list” if multiple containers are involved.

13. Shipping Marks (Marks & Numbers)

Marks printed on packaging to identify the cargo.
If no marks exist, indicate “N/M” (No Marks).
LCL cargo must have marks for easy identification at CFS warehouses.

14. Number of Packages

Total number of packages (cartons, pallets, bundles, etc.).
Must match the Packing List and Manifest.
For U.S.-bound shipments, detailed package information is required per AMS regulations.

15. Gross Weight

Total weight including packaging and pallets, in kilograms (KGS).
Must match the Commercial Invoice, Customs Declaration, and Shipping Instruction.

16. Measurement (CBM)

Cargo volume measured in cubic meters (1 CBM = 1 m³).
A key element in freight calculation, especially for LCL or volumetric cargo.

17. Description of Goods

Detailed cargo description. May include:

Product name, HS code
Temperature settings for reefer cargo
UN number, Class, IMO labels for DG cargo
Additional notes such as “Local charges at destination for receiver’s account”
“STC” (Said To Contain) for shipper-packed containers

Examples:

“Shipper’s Load, Count & Seal” for shipper-packed FCL
“2 x 40’GP containers STC…” for FCL shipments
“Part of 1 x 40’GP container STC…” for LCL shipments

18. Shipped on Board (SOB)

Confirms the cargo has been loaded onto the vessel.
The SOB date indicates the vessel departure date.
For feeder shipments: “Shipped on board feeder vessel [Name] at [Port] on [Date].”
This date is crucial for L/C payment terms.

19. Freight and Charges

Shows freight payment terms:

Prepaid
Collect
As Arranged / As Agreed (freight details provided in a separate invoice)
May also list surcharges such as BAF, LSS, etc.

20. For Delivery of Goods Please Apply To

Lists the delivery agent at the POD or final delivery point to help the consignee contact the correct party for D/O issuance.

21. Place and Date of Issue

Indicates where and when the B/L was issued.

For “Shipped on Board B/L”: issue date must be on or after the SOB date.
For “Received for Shipment B/L”: may be issued before vessel departure.
Issuance can take place at the origin port, destination, or another location depending on customer requirements.

22. Signed for… As Agent for the Carrier

Signature of the issuing party.
For HBL, it usually reads: “Signed for [Forwarder Name], as Agent for the Carrier (or as Carrier).”
The signature validates the B/L as a legally recognized document.

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22 Important Things You Must Know When Reading a Bill of Lading (Ocean Bill of Lading)