Consignment Notes in International Transport – A Comprehensive Guide

What is a consignment note in international transport?

An international consignment note is a commercial document used for the transport of goods, regardless of the selected mode of transport. It serves as proof that the goods have been handed over to the carrier and that responsibility for the shipment has formally been entrusted to them.

It also facilitates customs clearance and provides the basis for releasing the cargo to the authorised person at the destination.

It is important to remember that the consignment note accompanies the shipment throughout the entire transport route, but it does not replace the commercial invoice.

When are consignment notes used and what functions do they serve?

Consignment notes are used in international trade for the transport of goods by sea, road, rail and air. Although issuing such a document is not legally mandatory in every case, in practice it significantly facilitates the entire logistics process.

A consignment note serves four main functions:

• informational – it contains key information about the shipment, such as cargo specifications, details of the parties involved in the transaction and the transport route,
• evidentiary – it confirms the conclusion of the contract of carriage and the acceptance of the goods by the carrier,
• document of entitlement – it authorises the consignee, freight forwarder or carrier to collect the goods from the port of destination or terminal,
• instructional – it specifies the conditions of carriage.

What information should a consignment note contain and what is its structure?

A consignment note contains a range of detailed information, including:

• details of the consignor and consignee, as well as the name and address of the carrier with whom the contract was concluded,
• details of the goods, including their weight, quantity and type of packaging,
• information about the transport route and conditions of carriage.

What types of consignment notes are used depending on the mode of transport?

Depending on the selected mode of transport, the following types of transport documents are used in international trade:

Sea freight – Bill of Lading (B/L)

A Bill of Lading is issued by the sea carrier at the request of the shipper.

Unlike transport documents used for other modes of transport, a Bill of Lading is a document of title. This means that the holder of the document has the right to dispose of the cargo.

There are two main types of Bill of Lading:

• MBL – Master Bill of Lading, issued by the shipping line,
• HBL – House Bill of Lading, issued by the freight forwarder.

If the original paper B/L is unavailable and the shipment is transported under CIF terms, the importer may ask the shipping line whether the Bill of Lading can be released using a Telex Release (TLX Release) or a Sea Waybill (SWB).

Road transport – CMR consignment note

The CMR consignment note serves as evidence of the conclusion of a contract of carriage in international road transport under the provisions of the CMR Convention.

The consignor is responsible for preparing the document in the language of the country of dispatch and is also liable for any errors in the information provided. The carrier, on the other hand, is required to verify whether the condition and quantity of the goods correspond with the information stated in the consignment note.

Air freight – Air Waybill (AWB)

An Air Waybill confirms the conclusion of a contract of carriage with the airline and the acceptance of the goods for transport.

The document is prepared in English in three main originals and is commonly issued in two forms.

The first is the HAWB (House Air Waybill), issued by the freight forwarder. It confirms that the shipment has been accepted from the shipper and contains details relating to the specific consignor and consignee.

The second type is the MAWB (Master Air Waybill), issued by the airline to the freight forwarder for the main air transport route.

Who issues consignment notes?

In road transport, under the CMR Convention, the consignor is responsible for preparing and completing the CMR consignment note, while the carrier verifies whether the actual condition of the goods corresponds with the information provided in the document.

In sea freight, the Bill of Lading is issued by the shipping line.

In air freight, the MAWB is issued by the airline, while the HAWB is prepared by the freight forwarder handling the shipment.

Do consignment notes need to be translated from English?

Language requirements are determined by the conventions and regulations applicable to each mode of transport.

Air Waybills and maritime Bills of Lading are prepared in English, while the CMR road consignment note is completed in the language of the country of dispatch.