Understanding the Distinction between CY/CY and CFS/CFS Terms on

a Bill of Lading in Ocean Freight

BL Terms

The Bill of Lading (B/L), issued by the carrier or freight agent to the shipper, is the most important document in ocean freight. It includes information about the shipper, consignee, cargo description, port of loading (POL), and port of destination (POD). Additionally, the B/L includes terms such as CY/CY, CFS/CFS, etc. To comprehend these terms, one must be familiar with the meanings of CY and CFS in international shipping.

CY stands for Container Yard, which is a location where containers are stored prior to or following loading or unloading at the port. A container yard is utilized primarily for FCL (full container load shipment). On the other hand, CFS is used for LCL (less than container load) shipments and stands for Container Freight Station. The goods are transported to CFS for consolidation prior to loading onto the vessel and deconsolidation upon arrival at the port. Additionally, the goods are weighed and inspected at CFS before being loaded onto the vessel.

There are various types of shipments with varying terms listed on the B.O.L. Listed below are some examples:

CY/CY – This refers to an FCL shipment in which the packed containerized cargo is collected from the container yard at the origin port and delivered to the container yard at the destination port for the consignee. The liability of the carrier begins at the CY of the origin port and ends at the CY of the destination port. These shipments will have a single shipper and consignee and are also known as FCL or FCL shipments.

CFS/CFS – This refers to a shipment in which the goods are delivered to CFS in order to be grouped (consolidated) for a particular destination. Typically, this is the case for LCL shipments. The merchandise is delivered to the destination CFS, where it is deconsolidated. Such shipments are known as LCL or LCL shipments and involve multiple shippers and multiple recipients.

CFS/CY: This is typically a shipment consolidation for a buyer. The cargo is grouped or consolidated at a CFS at the origin port (LCL). However, at the destination, the container is delivered to a container yard (FCL). Consequently, these shipments are also referred to as LCL or FCL shipments and involve multiple shippers and a single consignee.

CY/CFS – This term appears on the B/L when cargo is picked up from the container yard at the origin port (FCL) but delivered to a CFS at the destination port (LCL) for de-consolidation. These shipments, also known as FCL and LCL shipments, have a single shipper and multiple consignees.

It is important to note that all deliveries are port-to-port, which means that it is the responsibility of the shipper or consignee to arrange for the cargo to be sent to the container yard or container freight station at the origin port and to receive the delivery from the same location at the destination port.

In the event of consolidation services, carriers will also issue a CY/CY Bill of Lading to the consolidator (freight forwarder), who will then issue a House Bill of Lading to the shipper with CFS pickup or delivery.