Ocean Bill of Lading	A bill of lading (B/L) indicating that the exporter consigns a shipment to an international carrier for transportation to a specified foreign market. Unlike an inland B/L, the ocean B/L also serves as a collection document. If it is a "straight" B/L, the foreign buyer can obtain the shipment from the carrier by simply showing proof of identity. If a "negotiable" B/L is used, the buyer must first pay for the goods, post a bond, or meet other conditions agreeable to the seller. Compare Air Waybill, Inland Bill of Lading, and Through Bill of Lading.
Ocean Freight Differential	OFD is the amount by which the cost of the ocean freight bill for the portion of commodities required to be carried on U.S. flag vessels exceeds the cost of carrying the same amount on foreign flag vessels. When applied to agricultural commodities shipped under Food for Peace, OFD is the amount paid by the Commodity Credit Corporation.
Offene Handelsgesellschaft – OHG	German, meaning: "general partnership": is characterized by the unlimited and direct liability of all partners who are jointly and severally liable. Their liability cannot be restricted. The partnership must carry the family name of at least one partner with reference to the kind of partnership (such as "& Co.").
Official Number	A registered number given to all merchant vessels and cut in on the vessel's "main beam", together with the net registered tonnage.
Offsets	The term offsets is an umbrella label for a broad range of industrial and commercial compensation practices required as a condition of purchase in commercial or government-to-government sales of either military or high-cost civilian hardware. Whether commercial or military, offsets involve overseas production that results in the creation or expansion of industrial capacity in the importer's country. The compensatory forms of offset include co-production, licensed production, subcontractor production, overseas investment, and technology transfer.
Offshore Banking Unit	An OBU is normally a foreign bank that conducts domestic moneymarket, Eurocurrency, and foreign exchange settlements. OBUs cannot accept domestic deposits but their activities are unrestricted by domestic authorities. OBUs are located in major financial centers (known as offshore banking centers) with liberal reserve, tax, and capital market requirements.
Offshore Jurisdiction	Offshore Jurisdiction/Location is a country, or special area within a country, in which the legislation applicable to the formation, management and taxation of companies is geared towards international business rather than the governance of domestic business within the country. Such countries are competing for this international business and, as a result, the legislation and taxation are often 'favorable' to companies incorporated in these countries.
Offshore Manufacturing	Offshore manufacturing is the foreign manufacture of goods by a domestic firm primarily for import into its home country.
Old-To-Market	As defined by the International Trade Administration, old-to-market is a term that refers to committed/experienced larger-scale firms. A significant portion of manufacturing capability may be foreign sourced. Export sales volume is often in excess of 15 percent of total sales.
Omnibus Clause	A clause in a hull policy extending liability cover to embrace, in addition to the assureds' legal liability, the liability of other organizations who are connected with the ship. It usually excludes liability of shipyards, repair yards and others to whom underwriters do not wish to extend cover.
On Board Bill of Lading	A bill of lading in which a carrier certifies that goods have been placed on board a certain vessel.
Onshore Jurisdiction	This refers to a country in which the legislation applicable to the formation, management and taxation of companies is geared towards the regulation of the domestic economy and the control of companies trading and investing within it. Such jurisdictions are, in general, less favorable to a company and its owners than offshore jurisdictions, whose legislation and taxation is geared more to attracting international business which does not have specific location requirements.
OPEC	See Organization of Petroleum Exporting Countries.
Open Account	A trade arrangement in which goods are shipped to a foreign buyer without guarantee of payment. The obvious risk this method poses to the supplier makes it essential that the buyer's integrity be unquestionable.
Open Charter	Where the charter-party specifies neither the kind of cargo nor the ports of destination.
Open Container	A container with sides and/or ends of bars, grilles, mesh or entirely left open, with or without roof.
Open Cover	A form of long term cargo insurance contract. It has no aggregate limit but, subject to a limit to the amount at risk in any one vessel, and often a limit to the amount at risk in any one location prior to shipment, the contract covers all shipments forwarded by the assured during the currency of the open cover. Underwriters have the right to cancel at any time by giving the requisite notice of their intention to cancel, but shipments that have commenced transit before the notice period expires continue to be covered until final delivery within the terms of the transit clause.
Open-End Contract	An open purchase order with a definite amount of money limit for specific material that remains open over a stated contract period such as three, six or twelve months. Vendor to be selected by public bid and material to be ordered in writing or by phone as needed.
Open Insurance Policy	A cargo insurance policy designed to cover all consignments forwarded by the assured subject to a limit in any one vessel and, usually, a time limit during which declarations must attach. Unlike the floating policy it does not have an aggregate limit, but the underwriter can invoke a cancellation clause if he wishes to withdraw cover.
Open Policy	A cargo policy with no expiration date that provides automatic coverage of cargo to or from an Assured in a specified trade at agreed rates, terms, and conditions. Usually consists of separate Marine and War policies.
Open Top Container	Van size container with soft roof (tarpaulin) or detachable hard roof, for vertical loading of cargo.
Opening Bank	A bank that opens a letter of credit at the request of an importer.
Operating Differential Subsidy	ODS is a payment which the U.S. government makes to vessels carrying the American flag to offset the difference in operating costs between U.S. and foreign carriers.
Order Bill of Lading	A negotiable bill of lading made out to the order of the shipper.
Orderly Marketing Agreement	A bilateral agreement between governments by which one government limits exports to the other. Similar to a voluntary export restriction agreement or a voluntary restraint agreement. Used to address injury to a domestic industry.  Contracts negotiated between two or more governments, in which the exporting nation undertakes to ensure that international trade in specified "sensitive" products will not disrupt, threaten, or impair competitive industries or workers in importing countries.
Ordinary Breakage	Breakage of fragile cargo that by its regularity has become accepted as inevitable loss during transit.
Organization for Economic Cooperation and Development (OECD)	The OECD is a group of 25 industrialized countries whose objectives are to promote members' economic and social welfare and to stimulate and harmonize members' economic development efforts in developing countries. The OECD was established in 1961 and its headquarters are in Paris.
Organization of Petroleum Exporting Countries (OPEC)	An association of 12 oil-exporting countries: Algeria, Gabon, Indonesia, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates, and Venezuela. Formed in 1960, its major purpose is to coordinate the petroleum production and pricing policies of its members.
Origin Receiving Charges	Loading charges at original point. See TRC
Orlop	Lowest deck of a ship.
Outturn	The quantity of cargo discharged from a ship.
Overage	An additional premium applied to a cargo that is carried by a vessel that is over 15 years old or is outside the limits set down in the classification clause.
Overseas Business Reports	These are marketing studies of America's major trading partners that provide updated export and economic outlooks, industrial trends, trade regulations, distribution and sales channels, transportation, and credit situation in individual countries.
Overseas Investment	Investment arising from the offset agreement, taking the form of capital invested to establish or expand a subsidiary or joint venture in the foreign country.
Overseas Private Investment Corporation	OPIC is a government corporation that assists U.S. private investments in less developed nations by providing direct loans and loan guarantees, insuring against a broad range of political risks, and providing a variety of investor services. The overseas investments may include distributorships owned by U.S. manufacturers that are consistent with the economic interests of both the United States and the developing country involved. OPIC was formed as a part of the Agency for International Development in 1961 and became an independent agency 10 years later. Telephone: 800-424-6742.
Oxter Plate	A plate fitted to the top of a rudder post.

   Copyright 2002, 2003, 2004, 2005, 2006, 2007, 2008 EnviroTech Financial, Inc. (714) 532-2731