Documents in Shipping:

A Step-By-Step Guide to Filing

Export/Import Paperwork
Documents are a necessary evil in international trade and the shipping process.
For exporters and importers, a trade transaction means having to deal with piles of
paperwork. For clarity on the paperwork process, Cogoport has prepared a detailed
guide to documents in the shipping process with sample images. While it does not
cover every document that might be required – as the selection would vary from case
to case – it is a comprehensive list of the key documents you will come across at
every stage of the shipping process.

PRE BOOKING PHASE

PROFORMA INVOICE
1 A preliminary bill of sale issued by the exporter to the importer before the
goods are shipped or delivered. It contains a description of the goods, their
price and weight, among other details.

COMMERCIAL INVOICE
2 This is a contract of sale issued by the exporter to the importer that
contains both their names and addresses, the value and quantity of goods,
and accompanying documents. It helps determine transportation tariffs and
customs duties. In an international transaction, the commercial invoice is
the basis for all other documents.
 PACKING LIST
3 An itemised list of the shipment’s contents, it facilitates cargo examination
during clearance. It is prepared by the exporter and submitted to the
customs house agent.

CERTIFICATE OF ORIGIN
4 It confirms the country of origin of a shipment and is used in transactions
between members of a trading bloc or where special privileges are granted
to goods produced in certain countries. Also called a declaration of origin,
it is issued by a chamber of commerce of the exporting country, a trade
promotion office or an exporter approved for self-certification.`

LETTER OF CREDIT
5 This document is issued by the importer’s bank to the exporter/exporter’s
bank. It serves as a promise, on behalf of the importer, to pay the exporter
an agreed upon sum.
 BOOKING PHASE
BOOKING NOTE
1 A contract for reservation of space on a carrier between the exporter and
shipping line, it has the name and address of the booking party, carrier
details, pick-up date, container yard from where empty containers would
be picked up, load and discharge ports, and rates. It is submitted by the
exporter to the carrier.
 DANGEROUS GOODS DECLARATION
2 A declaration by the exporter that the shipment contains goods that pose
a risk to health, safety, property and the environment. A carrier accepts a
dangerous goods booking on the basis of this declaration.

POST-BOOKING PHASE
GATE-IN AND VESSEL LOADING

SHIPPING CHECKLIST
1 This is a document generated by the Indian Customs EDI System (ICES) as
a precursor to the filing of the shipping bill (next entry). The purpose of this
checklist is to help the exporter check the requisite details before filing the
shipping bill.
 SHIPPING BILL
2 An application filed by the exporter seeking customs clearance after the
ship has been granted “entry-outwards” or permission to move out of the
country. Post-submission, the shipping bill (also called a bill of export) is
verified and the value of goods assessed by customs.
 VGM DECLARATION
3 A declaration by the exporter of the shipment’s verified gross mass (VGM),
which is the weight of the empty container (tare weight) plus cargo weight,
including packaging and dunnage. Without the VGM declaration, which is
submitted to carrier and port authorities, the container cannot be loaded on
the ship.

GATE PASS
4 A gate-in permit without which export containers transported by road
cannot enter port terminals. A gate pass is issued by port terminals and
includes details such as vehicle number, shipping line, vessel name,
container number, seal number and ISO code. (Sample image is of Form 13,
which is what a gate pass is called at the Nhava Sheva port in Maharashtra.
 SHIPPING INSTRUCTIONS
5 The exporter’s instructions to the shipping line or freight forwarder on the
processing and invoicing of their shipment. The information in the Shipping
Instructions is fed into the bill of lading to be consequently released by the
carrier.
Shipping Instructions

MARINE INSURANCE
6 A document issued by an insurance company certifying that the shipment
is insured. It includes an abstract of the insurance contract’s most
important provisions
 LET EXPORT ORDER
7 After customs authorities satisfactorily inspect the goods and assess their
value, they endorse the shipping bill with a “Let Export Order” and “Let Ship
Order”. This means the exporter can hand over their shipment to the carrier,
which, in turn, can ship it. This is the final compliance requirement for
exporting a shipment.
 DRAFT BILL OF LADING
8 This is released by the shipping line to enable the exporter/importer to
confirm the relevant details before the final bill of lading is released.

DRAFT BILL OF LADING

9 Issued by the carrier to the exporter, it is a contract of carriage of goods
as well as a receipt of goods accepted for transportation. A bill of lading
contains details of the exporter, importer, shipping line and freight
forwarder, pick-up date and vessel name, cargo specifications and shipping
instructions, among others. There are various types of bills of lading. You
can read all about them in our blog here.
 ELECTRONIC EXPORT INFORMATION
10 Electronic export information (EEI) is an electronic declaration of goods
exported from the US and filed in the Automated Export System (AES
Direct). It is mandatory when the shipment under Schedule B commodity
number is valued at more than $2,500 or if it requires an export licence.
(Schedule B is a US-specific classification code for export goods). The
exporter prepares the EEI and the carrier files it. The EEI is used by
US Customs and Border Protection to ensure compliance with export
regulations and by the US Census Bureau for statistical purposes.

EIC CERTIFICATE
11 Export Inspection Council (EIC) – India’s official export-certification agency
– issues various certificates (sample below) vouching for the safety and
quality of goods exported from the country. Its certification system includes
lab testing and consignment-wise inspections. Based on the importing
country’s rules, EIC certificates are mandatory for some goods (food, meats,
dairy products, honey). But exporters can also volunteer for it.
 PHYTOSANITARY CERTIFICATE
12 A Phytosanitary certificate is an official document issued by the plant
protection organisation of the exporting Country to the plant protection
organisation of the importing country. Certifying that the plants or the
plant products covered by the certificate have been inspected according to
appropriate procedures and are free from quarantine pests and conforms
with the current phytosanitary regulations of the importing country.

DISCHARGE PHASE

BILL OF ENTRY
1 This is a legal declaration filed by the importer with the customs
department and includes the nature, value and quantity of the imported
goods. It is used by customs authorities at the port of destination to inspect
and clear the goods.
 DELIVERY ORDER
2 The delivery order (DO) is issued by the carrier to the importer to take
delivery of the goods at the port of destination. On completion of import
customs clearance, the importer presents the DO to the cargo custodian to
claim the goods.

CERTIFICATE OF ANALYSIS
3 Some export shipments (food, wine, drugs) need a certificate of analysis
to clear customs at the country of import. It states that the goods adhere
to product specifications and production standards. It is issued by a
regulatory authority or quality assurance entity appointed by the exporter or
importer, usually after the products have undergone tests at an authorised
laboratory in the country of export. The certificate includes the test results.
 FUMIGATION CERTIFICATE
4 Also called a pest-control certificate, it is issued by a fumigator and
confirms that any wooden packing material (pallets) used in a shipment or
the container itself is free of pests. Certain countries don’t allow the entry
of imported goods without a fumigation certificate.

To sum it all up, these documents are either mandatory or the ones you are most
likely to come across. For the complete list of papers your shipment requires, seek the
guidance of your partners and agents in the shipping process. Also, remember to fill
all your paperwork accurately and completely for a smooth shipping experience.

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