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An NVOCC, or Non-Vessel Operating Common Carrier, is an ocean carrier that provides freight transportation services without owning or operating its own vessels. They act as an intermediary, buying space on vessels from VOCCs (Vessel Operating Common Carriers) and then reselling that space to shippers, according to MercuryGate. NVOCCs essentially handle the logistics of ocean freight, taking responsibility for the shipment and issuing their own bills of lading, says InTek Logistics.
Unlike VOCCs, which own and operate their own ships, NVOCCs do not own any vessels.
NVOCCs contract with VOCCs to secure space on their vessels for transporting cargo. They then resell this space to individual shippers, acting as the carrier for the shipment.
Despite not owning ships, NVOCCs take on the responsibilities of an ocean carrier, including issuing their own bills of lading (House Bills of Lading or HBLs), says IncoDocs.
What is a Non-Vessel Operating Common Carrier (NVOCC)? An ocean carrier who performs all of the services of a carrier, but who does not own their own vessel(s). They operate by leasing or buying available space in containers and using their own House Bill of Lading to contract with customers.
NVOCCs offer several advantages, including lower shipping rates, greater flexibility in route and schedule options, and streamlined documentation handling. By consolidating cargo and negotiating bulk rates, NVOCCs can pass on cost savings to shippers, especially smaller businesses. They also provide expertise in navigating complex customs regulations and ensuring accurate documentation, minimizing delays.
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