Benefits of Using an NVOCC

As defined by the Federal Maritime Commission (FMC), a Non-Vessel-Operating Common Carrier (NVOCC) is “a common carrier that holds itself out to the public to provide ocean transportation, issues its house bill of lading or equivalent document, and does not operate the vessels by which ocean transportation is provided.”

Some of the main tasks of an NVOCC are:

Shipping Services: NVOCCs provide ocean shipping services and issue their own bills of lading, similar to a carrier. However, they typically arrange for the transportation of goods by contracting with actual vessel-operating carriers.

Consolidation of Cargo: They may consolidate smaller shipments into a larger one, allowing shippers to move goods even if they don’t have enough cargo to fill a container themselves.

Carrier-Like Role: Although NVOCCs do not own or operate vessels, they assume certain carrier responsibilities, including liability for cargo, handling disputes, and compliance with regulations.

Rates negotiation: NVOCCs negotiate rates with ocean carriers and then set prices for their customers. They may offer fixed rates for shipments or negotiate individual contracts depending on volume, frequency, or specific needs. NVOCCs typically have agreements with multiple carriers, enabling them to offer competitive pricing and flexibility to shippers.

Benefits:

Flexibility

• NVOCCs work with multiple carriers and can offer more route and schedule options than a single VOCC (Vessel Operating Common Carrier).
• Easier to accommodate last-minute changes or disruptions.

Consolidation Services (LCL)

• Ideal for shippers with Less than Container Load (LCL) shipments.
• NVOCCs consolidate smaller shipments from multiple customers into full containers, reducing cost.

Competitive Pricing

• NVOCCs negotiate bulk rates with VOCCs and pass on cost savings to smaller shippers.

Personalized Customer Service

• Attentive and customized service and enhanced support in documentation, customs brokerage, and problem resolution.

Simplified Documentation

• NVOCCs issue their own House Bills of Lading, streamlining the paperwork process for customers.

Global Network Access

• Most NVO’s sustain strong relationships with agents, forwarders, and carriers across global trade lanes, which makes it useful for shipments to or from smaller or less-connected ports.

Promptus is licensed by the Federal Maritime Commission (FMC) as a Non-Vessel Operating Common Carrier (NVOCC). Call us today at 1-877-776-6799 or write to info@promptus.us for all your logistics needs.

Source:
https://www.fmc.gov/about/bureaus-offices/bureau-of-enforcement-investigations-and-compliance-beic/office-of-compliance/ocean-transportation-intermediaries/#about