House Bill of Lading (HBL): The key for consolidated shipments

The House Bill of Lading (HBL) is a type of document used in maritime transport. This is a bill of lading document issued by a freight forwarder or an NVOCC (Non-Vessel Operating Common Carrier).

Unlike the Master Bill of Lading (MBL), which is issued directly by the shipping line, the HBL is the document your company receives from the freight forwarder. It is your receipt and contract of carriage directly with them.

How does the HBL work? A practical example

Imagine your company wants to send two pallets of goods to the USA. It's a small quantity, so you contract a freight forwarder to manage the shipment. The steps would be as follows:

1

Consolidation

Your freight forwarder collects your two pallets and combines them with cargo from other exporters also sending goods to the same destination.

2

HBL Issuance

The freight forwarder issues the House Bill of Lading to you. In this document, your company appears as the "shipper" and your client in the USA as the "consignee".

3

MBL Issuance

With all consolidated cargo in a single container, the freight forwarder takes the container to the shipping line. The shipping line, in turn, issues a Master Bill of Lading (MBL) to the freight forwarder.

Result: In a single maritime transport operation, two key documents coexist:

  • HBL:Your contract with the freight forwarder.
  • MBL:The freight forwarder's contract with the shipping line.

Functions of the HBL: What is it for?

The HBL fulfills the same three functions as any Bill of Lading, but in the context of your relationship with the freight forwarder:

Receipt of goods

Certifies that the freight forwarder has received your cargo.

Contract of carriage

Evidences the agreement between your company and the freight forwarder.

Title of ownership

Gives you legal control over your cargo. For your client at the destination to receive the goods, they must present the HBL to the freight forwarder's office or its agent.

HBL vs. MBL: What's the difference?

Issued by:

HBL

The freight forwarder or NVOCC.

MBL

The shipping line or maritime carrier.

Shipper:

HBL

The original exporter (your company).

MBL

The freight forwarder who consolidates the cargo.

Consignee:

HBL

The final importer (your client).

MBL

The freight forwarder's agent at the destination port.

Scope:

HBL

Covers a single shipment or part of a container.

MBL

Covers the entire container, which may contain shipments from several clients.

Main use:

HBL

For LCL (Less than Container Load) shipments or when a freight forwarder is used to manage logistics.

MBL

For direct FCL (Full Container Load) shipments with the shipping line or for consolidations managed by a freight forwarder.

In short, the House Bill of Lading is your document of ownership and control when you work with a logistics intermediary, a freight forwarder in this case. It is a fundamental piece in the complex machinery of maritime transport, especially in consolidated cargo shipments, so knowing the document and how to manage it correctly is essential.

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