Liner Terms are defined as which of the following?

Liner Terms are defined as which of the following?

• A. Net in, Net out
• B. Gross in, Gross out
• C. Free in, Free out
• D. Freight on Board

Answer: (B)

Liner terms describe who bears the costs for loading at the origin and unloading at the destination in liner trades. The standard convention is Free in, Free out, meaning the carrier covers the charges for loading the cargo onto the vessel at the origin and for unloading it at the destination; these port handling costs are included in the freight rate. This all-inclusive arrangement is typical in container liner services to keep pricing straightforward for both shippers and consignees. The other phrases don’t reflect the liner-term arrangement, and Freight on Board relates to a different contractual framework rather than a liner-term definition.

Liner terms describe who bears the costs for loading at the origin and unloading at the destination in liner trades. The standard convention is Free in, Free out, meaning the carrier covers the charges for loading the cargo onto the vessel at the origin and for unloading it at the destination; these port handling costs are included in the freight rate. This all-inclusive arrangement is typical in container liner services to keep pricing straightforward for both shippers and consignees. The other phrases don’t reflect the liner-term arrangement, and Freight on Board relates to a different contractual framework rather than a liner-term definition.