What is the Bill of Lading?
A Bill of Lading (B/L or BOL) is a legal document that serves as proof of ownership of cargo, whether it is Less than Container Load (LCL), Full Container Load (FCL), or air freight. This document is vital in the export and import shipping industry, encompassing ocean, air, and inland transportation.
The Bill of Lading functions as an agreement between the shipper and the freight carrier, establishing the carrier’s responsibility and authority over the cargo. It contains all the necessary information required to process the freight shipment and accurately invoice the parties involved. This includes details about the type, quantity, and final destination of the goods being transported, along with the agreed-upon terms and conditions for their transportation.

Types of Bills of Lading
- Master Bill of Lading (MBL):
The Master Bill of Lading is a legal receipt of transfer issued by shipping companies and airlines. It outlines the conditions necessary for transporting the freight and includes information about the shipper, consignee, and the individual responsible for the items. - House Bill of Lading (HBL):
A House Bill of Lading is produced by a freight forwarder or a non-vessel operating common carrier (NVOCC). This document is provided to suppliers upon receiving the cargo and serves as an acknowledgment of receipt for items that have been shipped. It is also referred to as a forwarder's bill of lading. - Clean Bill of Lading:
A clean bill of lading is issued by the shipping company or its representatives without making any declarations about the defective condition of the goods or packages loaded on board or stuffed in containers. This indicates that the cargo was received in good condition. - Received for Shipment Bill of Lading:
This type of bill of lading is issued by a carrier as proof that they have received the goods for shipment. It is important to note that this is not an onboard bill of lading, as it is issued prior to the loading of the vessel. - Through Bill of Lading:
The through bill of lading is more complex than most B/Ls. It allows the shipping company to distribute the cargo among various distribution hubs or modes of transportation. Depending on the destination, this document can include both inland and ocean bills of lading. It is also known as a combined transport document or a multimodal transport document. - Clauses Bill of Lading:
A Clauses Bill of Lading is issued when parts of the cargo are lost or damaged during transportation. This document will specify the conditions under which the claim for lost or damaged cargo can be made. - Short-term or Blank Back Bill of Lading:
A short-term or blank back bill of lading is issued when the specific terms and conditions of the carriage contract are not stated on the bill of lading's body or its back. This type of B/L may be used for temporary shipments or when detailed terms are not yet finalized.
How to Issue a Bill of Lading (B/L) for Shipping: A Complete Guide
What is a Bill of Lading?
A Bill of Lading (B/L) is a crucial legal document in the shipping industry that serves as proof of ownership of cargo, whether it pertains to LCL (Less than Container Load), FCL (Full Container Load), or air shipments. It is essential for both import and export operations across ocean, air, and inland transport.
The B/L acts as a binding agreement between the shipper and the freight carrier, outlining their responsibilities and rights regarding the cargo. It includes vital information required to process the shipment, such as the type, quantity, and destination of the goods, along with the terms and conditions for transportation.
Types of Bills of Lading
Understanding the various types of Bills of Lading is essential for anyone involved in shipping:
- Master Bill of Lading (MBL): Issued by the shipping line, it serves as a receipt for cargo and outlines transportation conditions. It includes details about the shipper, consignee, and responsible parties.
- House Bill of Lading (HBL): Created by freight forwarders, this document acknowledges the receipt of goods from the supplier. It is commonly used in LCL shipments.
- Clean Bill of Lading: Issued without any remarks about the condition of the goods, indicating they are received in good order.
- Received for Shipment Bill of Lading: Provides proof that the carrier has received the goods but is not yet an onboard B/L, as it’s issued before loading.
- Through Bill of Lading: This complex document allows the carrier to transfer cargo among various transportation modes and includes both inland and ocean freight details.
- Clauses Bill of Lading: Issued when part of the cargo is lost or damaged, detailing the specific conditions of loss.
- Short-term/Blank Back Bill of Lading: Issued when specific terms are not mentioned on the document.
How to Issue a Bill of Lading
The process of issuing a Bill of Lading involves careful attention to detail:
- Master Bill of Lading (MBL): Issued directly by the shipper to the consignee or by the origin port forwarder to the designated port forwarder (agent).
- House Bill of Lading (HBL): Issued by the forwarder at the origin port to the shipper, containing essential cargo details.
Essential Details for Port-to-Port or Combined Bill of Lading
When issuing a Port-to-Port or Combined Bill of Lading, the following details are typically included:
- Shipper Information: Name and contact details of the shipper.
- Bill of Lading Number: Unique identifier for tracking.
- Carrier Booking Number: Reference for the shipping line.
- Export References: Any relevant export documentation.
- Consignee Information: Details of the recipient.
- Notify Party: Contact person to be notified upon arrival.
- Carrier Name: The shipping line responsible for the cargo.
- Place of Receipt: Location where cargo is received.
- Vessel and Voyage Number: Ship and voyage details.
- Port of Loading and Discharge: Points of departure and arrival.
- Place of Delivery: Final delivery location.
- Container/Seal Numbers: Unique identifiers for containers.
- Number of Packages: Total shipped packages.
- Cargo Description: Details about the goods being shipped.
- Gross Weight: Total weight of the cargo.
- Measurement: Volume or dimensions of the cargo.
- Demurrage and Detention Terms: Conditions related to delayed cargo.
- Terms and Conditions: Shipping agreement terms.
- Rate: Cost for shipping services.
- Prepaid or Collect: Payment terms for shipping.
- Cargo Value: Declared value of the shipment.
- Number of Original Bills: Copies of the B/L issued.
- Date and Place of Issue: When and where the B/L was issued.
- Certification and Stamp: Official validation of the document.
Air Waybill (AWB) Bill of Lading Details
For air cargo, the Air Waybill (AWB) serves as the Bill of Lading and includes:
- Airline Code: Identifying the airline.
- Airport Code: IATA codes for airports involved.
- Air Waybill Number: Reference number for tracking.
- Shipper and Consignee Details: Information about the sender and recipient.
- Value of Cargo: The declared value for customs.
- Insurance Value: The insured value of the cargo.
- Handling Instructions: Guidelines for handling the cargo.
- Signature of Shipper and Carrier: Required for validation.