Optimize your business: use unlimited savings with Pazago fulfilled now!

Get Started ->

Did you know the Bill of Lading has roots in mediaeval Europe, where traders used handwritten documents to prove their shipments? Today, it’s still essential for global trade. 

For businesses, moving goods from factory to customer requires key documents. The Received for Shipment Bill of Lading (RFS BL) is crucial in the shipping process for tracking goods, managing payments, and resolving cargo issues.

Whether you're hearing about this term for the first time or it's already on your radar, this article will provide valuable insights, from the basics to detailed comparisons with other lading bills. 

Let’s dive in!

What is Received for Shipment Bill of Lading (RFS BL)?

A Received for Shipment Bill of Lading (RFS BL) is a document that shows the carrier has received the goods from the shipper, even though they haven't been loaded onto the ship yet. It’s like a receipt from the carrier confirming they have the cargo and will ship it to the destination.

Here are some key features of the RFS BL.

  • Issued by the Carrier: The RFS BL is given by the carrier when they receive the goods from the shipper.
  • Confirms Possession: It shows that the carrier has taken possession of the cargo.
  • Not a Shipping Confirmation: It doesn’t mean the goods have been loaded onto the vessel yet.

Let’s discuss the elements of RFS BL to help you understand the software better.

Key Element of RFS BL

Before incorporating the RFS Bill of Lading (BL) into your business operations, it's essential to understand its key elements. These components are vital for ensuring that your shipping processes are handled accurately and efficiently. 

The below points will help you be better equipped to manage and optimise your logistics, reducing the risk of errors and enhancing overall efficiency.

  • Acknowledgment of Receipt: The RFS B/L confirms that the carrier has received the goods but does not guarantee that they have been loaded onto the vessel.
  • Detailed Cargo Information: It includes essential details such as the description, quantity, and packaging of the goods, which are critical for customs and tracking.
  • Signatures and Dates: The document must be signed and dated by authorised representatives of the exporter, carrier, and consignee to ensure legal validity and acceptance of the terms.

Are you wondering why RFS BL is essential in Global trade? Below, we have explained in detail.

Importance of RFS BL in Global Trade

The importance of an RFS BL lies in creating a clear contractual relationship between exporters and carriers, which is crucial for smooth international transactions. It provides proof that the carrier has received the goods and outlines the terms of their transportation. 

Below are some points indicating the importance of RFS BL in Global Trading.

Contractual Evidence

It acts as a legally binding contract between the exporter and the carrier, outlining the terms and conditions of the transportation. This is crucial for securing payment and protecting the interests of exporters.

Supports Trade Finance

The RFS BL is crucial for transactions involving Letters of Credit, as it assures banks and financial institutions that the goods have been received by the carrier, which is necessary for processing payments.

Risk Management

These bills of lading help manage risks associated with loss or damage by clearly delineating the responsibilities and conditions of the cargo at different stages. If issues arise, the documentation can clarify liability and protect the interests of exporters and carriers alike.

Also Read: Differences and Comparisons: Carriers and Shippers

At Pazago, we simplify the process with our comprehensive trade management platform. Our one-stop toolkit allows you to digitally manage trades, collaborate, create documents, and track shipments around the clock.

The RFS BL is a type of Bill of Lading. To fully understand the shipping process, it's helpful to understand the various types of Bills of Lading. Let’s explore these different types to get a clearer picture.

Type of Bill of Lading

A Bill of Lading (B/L) is a critical document in shipping that serves as a contract between the shipper and the carrier, detailing the terms of carriage for the goods being transported. 

There are several types of bills of lading, each serving different purposes and catering to various shipping needs. 

Below is a summary of the main types of bills of lading.

Type

Description

Master Bill of Lading (MBL)

The shipping line issues it to the booking party after receiving the goods and the vessel has sailed.

House Bill of Lading (HBL)

A freight forwarder issues it to the shipper, corresponding to a Master Bill of Lading.

Clean Bill of Lading

Issued when goods are received in good condition, with no damages noted.

Claused Bill of Lading

Issued when goods are received with visible damage or discrepancies in quantity.

Order Bill of Lading

Negotiable and can be transferred to another party by endorsement.

Bearer Bill of Lading

Negotiable and can be transferred by simply handing over the document.

Received for Shipment Bill of Lading (RFS)

Confirms that the carrier has received the goods but they are not yet loaded onto the vessel.

Shipped on Board Bill of Lading (SOB)

Issued once the goods have been loaded onto the vessel, confirming their shipment.

In the next section, we’ll explore the key differences between RFS BL and other Bills of Lading and highlight the unique role of RFS BL in the shipping process.

How does RFS BL Differ from Other Bill of Lading?

Bill of Lading is divided into various types. Each plays a crucial role in the process of import and export. However, many often get confused between some bills like Received of Shipment Bill of Lading and Shipped on board Bill of Lading as both fall under the category of “vessel status.”

The table below will help illustrate how these two types of bills differ.

Aspect

Received for Shipment Bill of Lading (RFS BL)

Shipped on Board Bill of Lading

Timing of Issuance

Issued upon receiving goods at the port facility before loading them onto the vessel.

Issued after loading the goods onto the vessel.

Confirmation of Loading

Does not confirm that the carrier has loaded the goods onto the vessel.

Confirms that the carrier has loaded the goods onto the vessel.

Carrier's Liability

Limits the carrier's liability until loading the goods on board.

Assumes full liability for the goods once loading them onto the vessel.

Assurance of Condition

Does not assure the condition of the goods. It only acknowledges receipt.

Assures that the carrier received the goods in good order and condition at the time of loading.

Use in Trade Finance

It may be less acceptable in trade finance transactions, as it does not confirm loading.

Preferred in trade finance transactions because it indicates that the goods are in transit and under the carrier's responsibility.

Legal Implications

Less binding in terms of liability. The carrier may not be held responsible for issues arising before loading.

More binding, the carrier is responsible for the goods during transit, which can lead to liability for loss or damage.

This table summarises the primary difference between a Received for Shipment Bill of Lading and a Shipped on Board Bill of Lading.

Let's learn how you can ensure a smooth RFS BL issuance process and avoid any issues.

How Can You Ensure a Smooth Issuance of the RFS BL?

Issuance provides clear details about the goods received by the carrier from the shipper. It also serves as essential documentation for records, tracking shipments, and securing payments.

Therefore, it's crucial to make sure the issuance of the RFS BL is smooth and accurate. Below are some tips for exporters to help achieve this.

Accurate Goods Descriptions 

Accurate goods descriptions are the first and most important factor for a smooth issuance. Here's how you can get it right!

  • Dimensions and Weight: Clearly stating the size and weight of each package helps in proper handling and avoiding loading issues.
  • Packaging: Describe the packaging type (cartons, crates, pallets) and the number of packages for efficient loading and unloading.
  • Hazardous Materials: Clearly identify any hazardous materials, including the UN number and hazard class, for safe handling and compliance.

Shipment Terms Verification

Shipment terms verification ensures that the terms and conditions, such as responsibilities, costs, and risks, are accurately reflected in the shipping documents and match the agreed-upon contract.

  • Incoterms: Ensure the RFS BL matches the agreed Incoterms in the sales contract to clarify responsibilities and costs.
  • Freight Charges: Clearly state who is responsible for freight charges, aligned with the sales contract and Incoterms.

Also Read: Understanding Freight Charges and Costs [2024 Guide]

Curious about why accurate documentation is crucial and how mistakes can lead to delays? Here's what you need to know!

How Can You Avoid Errors and Prevent Shipping Delays?

Accurate documentation is essential in international trade and shipping. Errors or delays in the RFS BL documentation process can lead to significant financial losses, damaged customer relationships, and legal issues.

Below are some key points to help exporters avoid errors and delays in their shipping documentation.

  • Importance of Accurate Documentation: Accurate documentation is crucial for smooth shipping processes. Errors in documents such as RFS BL can cause delays at customs or during transit, resulting in additional costs and penalties.
  • Common Issues with Bills of Lading: Inaccuracies in RFS BL, such as incorrect descriptions of goods or quantities, can lead customs authorities to hold shipments for inspection, causing delays in delivery.
  • Timeliness Matters: Providing documentation on time is crucial. Delays in submitting required documents can result in missed shipment deadlines, leading to disruptions in the supply chain and additional costs for rescheduling.

By focusing on accuracy and timeliness in documentation, exporters can enhance their shipping processes and reduce the risk of errors and delays.

Managing these details can be complex, but Pazago simplifies the process. We help you to manage all your tracking needs with ease, making the entire process smooth and efficient.

Why Choose Pazago?

Pazago takes care of everything from your purchase order to the final delivery, allowing you to concentrate solely on growing your business. We handle the trading complexities so you can focus on other important aspects.

Here’s how we make your trading easy.

  • Logistics: Our logistics services are both reliable and cost-effective, guaranteeing that your goods are transported efficiently and reach their destination on time.
  • Insurance: We provide comprehensive cargo protection, giving you peace of mind that your shipments are fully insured and safeguarded against any potential risks.
  • Documentation Handling: Pazago simplifies document management, providing secure handling of all your trade paperwork.
  • Seamless Team Communication: Our inbox centralises communication, keeping your team connected and provides easy access to all trade-related messages.
  • Payments: We offer transparent international payment solutions, ensuring that your transactions are straightforward, secure, and free of hidden fees.

With Pazago, you can trade with confidence, knowing that every detail is expertly handled from start to finish.

Frequently Asked Questions

1. What are the risks associated with inaccuracies in an RFS B/L?

Inaccuracies in an RFS B/L can lead to significant issues, including delays at customs, additional costs, and potential penalties.

2. What information is typically included in an RFS B/L?

An RFS B/L typically includes essential details such as the names and addresses of the shipper and consignee, a detailed description of the goods, quantities, the port of loading and discharge, the vessel or flight number, and the terms of shipment.

3. What happens when goods are received with damage or discrepancies?

If goods are received with visible damage or discrepancies, a Claused or Dirty Bill of Lading will be issued detailing the issues.

The Takeaway

We’ve reached the end of our blog, and we hope it has provided you with a thorough understanding of the Received for Shipment Bill of Lading and its importance in your trading.

Are you still feeling overwhelmed by the complexities of the process and billing systems? Don’t worry—Pazago has you covered! 

Our mission is to make trading as smooth and straightforward as possible. Serving industries from textiles to chemicals, Pazago simplifies trade across 110+ countries with effortless international payments, streamlined compliance, and an optimised supply chain—all through one platform.

Connect with our experts today, and let’s make trading not just easy but enjoyable!

Optimize your business: use unlimited savings with Pazago fulfilled now!

Get Started ->

Table of content

Get in Touch Now!

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Optimize your business: use unlimited savings with Pazago fulfilled now!

Get Started ->

Related Blogs

GUIDECustoms delays can significantly impact the efficiency and cost-effectiveness of international shipments. Each day a shipment is delayed in customs, it can lead to increased storage fees, demurrage charges, and potential loss of market opportunities. In some cases, lengthy customs delays can damage customer relationships due to missed deadlines or increased costs. The commercial invoice ensures accurate tariff codes, valuation, and classification, preventing customs delays and fines by ensuring correct duty and tax calculations. The packing list provides an itemized breakdown, verifying the shipment matches its declaration. These documents are crucial to ensure efficient customs clearance. This blog will walk you through creating a commercial invoice and packing list for international export, covering essential elements like product details, pricing, and shipping instructions. Importance of a Commercial Invoice and Packing List The commercial invoice and packing list are vital for efficient international trade. The commercial invoice serves as the primary document for customs declaration, outlining the value of goods for duty and tax assessments. The packing list, however, provides a detailed shipment breakdown, including the contents, quantities, and packaging type. Together, these documents guarantee compliance with regulations and ease communication between exporters, importers, and customs authorities, helping prevent costly delays, fines, and potential legal issues. What is a Commercial Invoice? A commercial invoice is a critical document used in international trade to facilitate customs declarations. It provides essential information about the transaction, ensuring easy clearance through customs and determining the duties and taxes due. Description and Use for Customs Declaration Customs authorities use the commercial invoice to assess the value of goods, calculate duties and taxes, and verify compliance with trade regulations. Identifies Value and Quantity of Shipped Products It specifies the total value of the goods being shipped and their quantities, enabling customs officials to determine the applicable fees. Essential Elements of a Commercial Invoice A commercial invoice must contain specific details to ensure proper processing by customs and facilitate the easy movement of goods. Key elements include: Seller and Buyer Information: The names, addresses, and contact details of both the seller (exporter) and the buyer (importer) are essential for identifying the parties involved in the transaction. Invoice Number and Date: A unique invoice number and the issue date are required for record-keeping and reference during customs clearance. Description of Goods: A detailed description of the products being shipped, including the type, model, and purpose, helps customs verify the nature of the goods. Quantity and Unit Price: The quantity of each item and the unit price, along with the total cost for each product, allow customs to determine the overall value of the shipment for duty assessment. Total Value of Goods: The total invoice value calculates the duties and taxes owed, making it one of the most crucial pieces of information on the commercial invoice. Country of Origin: This specifies the country where the goods were manufactured or assembled, which is important for calculating customs duty and complying with trade agreements. Payment Terms: The payment terms (e.g., net 30, prepayment, letter of credit) outline how the buyer will pay for the goods and under what conditions. Harmonized System (HS) Code: The HS code is a standardized system of names and numbers that customs use to classify goods. It helps determine applicable tariffs and facilitates international trade. Shipping Information: The method of shipment (air, sea, road), the name of the shipping company, and the destination are essential for the logistics of the goods' movement. Additional Costs: Any extra charges, such as shipping, insurance, and packaging costs, are typically included to provide a complete view of the total transaction. These essential elements ensure the commercial invoice meets legal and regulatory requirements, allowing customs authorities to clear the goods efficiently and accurately. Interesting Read: Understanding the Format and Importance of a Commercial Invoice What is a Packing List? A packing list is a detailed document that accompanies shipments, providing important information about the contents of each package. It plays a crucial role in facilitating customs clearance and ensuring proper handling throughout the shipping process. Purpose and Definition for Customs Clearance The packing list serves as an essential document for customs officials to verify the contents of a shipment. It helps ensure that the transported items match what is declared on the commercial invoice and comply with import/export regulations. Provides Shipment Item Details, Including Weight and Dimensions The packing list includes detailed information about each item in the shipment, such as the quantity, weight, dimensions, and packaging type. This helps customs authorities assess the shipment more accurately and makes it easier to verify the goods during inspection. Consistency with the Commercial Invoice The invoice packing list must align with the commercial invoice in terms of item descriptions, quantities, and total value. Consistency between the two documents helps avoid discrepancies that could lead to delays or issues with customs clearance. Contents of a Packing List A packing list provides detailed information about the contents of a shipment to ensure easy handling, shipping, and customs clearance. The key components of a packing list include: Shipper and Receiver Details: This section includes the names, addresses, and contact information of the shipper (exporter) and the receiver (importer), ensuring that the shipment can be traced to the right parties. Invoice Number: The packing list should align with the commercial invoice number to ensure it matches the shipment details and facilitates easier tracking. Description of Goods: Each item in the shipment is listed with a brief description, including the type, model, or category of the products. This helps customs officials and handling staff identify the goods. Quantity of Items: The packing list includes the amount of each product being shipped, ensuring accuracy when the shipment is inspected or when goods are counted at the destination. Weight and Dimensions: Detailed information about the weight and dimensions of each package or item is included to help with logistics planning, shipping cost calculation, and customs requirements. Packaging Details: Information on how the goods are packaged, such as boxes, pallets, crates, or containers, is provided to aid in handling and unloading. Shipment Type: The packing list specifies the method of shipment (e.g., air, sea, land) and may also include the mode of transport (e.g., container, truck, etc.). HS Code: Some packing lists include the Harmonized System (HS) code, which classifies products for customs purposes, ensuring proper tariff classification. Country of Origin: The packing list typically includes the country where the goods were produced, which is necessary for customs clearance and duty calculation. Additional Instructions or Notes: Any special instructions or conditions, such as fragile items, handling requirements, or delivery specifics, can be added to ensure proper care during shipping and delivery. By including these details, the invoice packing list ensures accurate documentation for shipping, customs clearance, and inventory management, helping to avoid delays and errors in the logistics process. You may also be interested in reading Creating a Packing List for International Exports. It's important to understand why merging the commercial invoice and packing list into one document can benefit your business. Let's look at the details. Why Have a Combined Document for Commercial Invoice and Packing List? Combining the commercial invoice and packing list is a practical approach that enhances the efficiency of international shipping and customs processes. By bringing these two essential documents together, businesses can simplify operations, reduce delays, and ensure efficient transactions from start to finish. Here's why combining them makes sense: Efficient Customs Clearance: Customs authorities require both documents to assess the value, contents, and origin of goods. Having both in one package simplifies the process and reduces the likelihood of delays or mistakes. Consistency and Accuracy: When both documents are combined, they offer a clear and consistent reference for the shipment. This ensures that the details on the commercial invoice (such as quantity, description, and value) align with the packing list, reducing discrepancies that could trigger customs inspections or shipping issues. Improved Efficiency in Handling: Combining the two documents (commercial invoice and invoice packing list) helps simplify logistics operations by providing all necessary shipment information at once. This makes it easier for warehouse staff, freight forwarders, and customs officers to process the shipment without cross-referencing multiple documents. Enhanced Customer Experience: By ensuring that shipments are accurately documented and processed, combining these documents reduces the chance of errors, returns, or delays, resulting in a better experience for both the importer and exporter. Saves Time and Reduces Paperwork: A single combined document reduces the need to manage multiple forms. This simplifies administrative tasks, reduces paperwork, and speeds up processing for logistics teams, freight forwarders, and customs officials. Improves Logistics Operations: With all relevant shipment details in one document, it becomes easier for logistics and warehouse teams to handle shipments quickly and accurately. This leads to more efficient inventory management and faster processing times. While a combined document for the commercial invoice and packing list offers significant benefits, there are also several challenges that must be addressed to ensure its effectiveness. Challenges in Creating and Managing Combined Documents Creating and managing combined commercial invoices and invoice packing lists can come with certain challenges, but understanding these obstacles can help you address them effectively and ensure better shipping operations. Complex Regulations: International shipping involves managing various regulations, including customs rules, taxes, and export/import laws. A combined document can simplify the process, but staying updated on regulations is critical to avoid costly mistakes. Language Barriers: Language barriers may pose challenges for shipments to different countries. Make sure all necessary fields are accurately translated to meet local requirements. The shipping software or third-party translation services can often handle this. Varying Requirements by Country: Different countries may have unique commercial invoice and packing list requirements. While combining these documents is often effective, it's essential to stay aware of any specific local guidelines that may affect how these documents should be formatted or the information they must include. Overcoming these challenges is essential to ensuring the success of a combined document, which is why implementing best practices becomes crucial for maintaining accuracy and compliance. Best Practices for Creating a Combined Document Best practices ensure the accuracy and consistency of both the commercial invoice and packing list, reducing the risk of errors and delays. By adhering to these practices, businesses can simplify the shipping process, ensure compliance with regulations, and improve customs clearance and delivery efficiency. Double-Check All Details: Ensure the commercial invoice and packing list contain accurate, up-to-date information, such as correct product descriptions, quantities, pricing, and weights. This is crucial for customs and to avoid any potential issues with your shipment. Use Clear and Concise Descriptions: Where applicable, provide clear descriptions of the goods, including model numbers or specific identifiers. This avoids ambiguity and helps customs authorities and recipients understand precisely what is being shipped. Organize the Document Clearly: Structure the document in an easy-to-read format, with well-labelled sections for item descriptions, quantities, prices, and shipping details. This will facilitate quicker processing by all parties involved, from logistics teams to customs officers. Automate Document Generation: Using logistics software, like Pazago, to automate the creation of these documents reduces human error, ensures compliance, and speeds up the entire process. While following best practices is essential for creating an accurate combined document, there are still challenges that can arise during the process. Understanding these challenges helps ensure efficient document preparation and management. How Pazago Simplifies International Export Pazago helps businesses simplify the creation of commercial invoices and packing lists for international export, ensuring accuracy, compliance, and efficiency. Centralized Document Management: Store, manage, and share export documents in one place, reducing paperwork and ensuring compliance with international regulations. Easy Collaboration: Facilitate efficient communication between export teams, customs agents, and freight forwarders to ensure timely and accurate document preparation. Fast, Secure Payments: Simplify payments and currency conversions for faster, secure transactions during the export process. Affordable Logistics: Pazago optimizes shipping routes to reduce costs and minimize delays, while still ensuring timely deliveries, so you can manage your shipping expenses effectively. Pazago simplifies the creation and management of export documentation, making international shipping more efficient. Conclusion Exporting internationally can be complex, and managing the required documentation efficiently is crucial to avoid delays and errors. A combined commercial invoice and packing list simplifies the shipping process, ensures compliance, and improves accuracy across the board. Having both documents in one place reduces the chances of discrepancies, speeds up customs clearance, and enhances overall efficiency in your supply chain. However, creating and managing these documents manually can be time-consuming. That’s where Pazago can help. With automated document generation, efficient integration, and real-time tracking, Pazago ensures your commercial invoices and packing lists are accurate and ready for shipment, making international trade more efficient. Ready to simplify your export documentation process? Schedule a demo today and see how Pazago can help simplify your commercial invoice and packing list management!

Creating a Commercial Invoice and Packing List for International Export

Learn how to create a commercial invoice and packing list for international export, ensuring compliance and accuracy for your shipments.

June 3, 2025