NVOCC

Simplify your shipping requirements with our reliable NVOCC services – Your worldwide logistics ally.

As a specialized provider of Non-Vessel Operating Common Carrier (NVOCC) services, we focus on delivering affordable and dependable shipping solutions tailored to the unique needs of our clients in Egypt. Our team’s expertise and resources enable us to operate as agents on behalf of our clients, offering comprehensive assistance with various shipping-related requirements, thereby ensuring seamless and efficient operations throughout the shipping process. Leveraging an extensive network of partners, we are able to offer competitive pricing alongside efficient services, all while upholding strict quality standards. This approach not only fosters successful shipping experiences but also builds lasting relationships based on trust and reliability with our clients.

Our scope includes:

• Sales and Marketing
• Equipment Logistics
• Customer Service & Documentation
• Finance & Credit control

What is a Non-Vessel Operating Common Carrier (NVOCC)?

An NVOCC is an ocean freight carrier that offers all the services of a traditional shipping carrier but does not own or operate its own vessels. Instead, NVOCCs lease space on ships from actual shipping lines and arrange containerized freight on behalf of shippers and consignees. These companies are often referred to as “virtual shipowners” because they secure vessel space for a set period, negotiate rates with shipping lines, and handle shipping logistics without the responsibility of owning ships. NVOCCs act as intermediaries, offering flexible and specialized services while avoiding the costs associated with vessel ownership.

What is an NVOCC Agent?

An NVOCC Agent is the individual or representative handling a shipment on behalf of an NVOCC company. Their responsibilities include:

• Providing quotes and essential shipping documentation.
• Booking vessel space for the cargo.

NVOCC agents manage all the intricate details of a shipment, ensuring that the shipping process is streamlined and all requirements are met.

What is an NVOCC License?

An NVOCC license is a certification granted by the Federal Maritime Commission (FMC) in the U.S. that registers an NVOCC company as an Ocean Transportation Intermediary (OTI). Any company operating as an NVOCC in the U.S. must obtain this license. Non-U.S. NVOCCs are not required to hold a license but must register with the FMC for transporting goods to or from U.S. ports. Licensed NVOCCs can enter into contracts with shipping lines, providing them with greater operational legitimacy.

NVOCC vs. Shipping Line: Key Differences

• Vessel Ownership:

• • NVOCCs lease vessel space from shipping lines but do not own vessels themselves.
  • Shipping lines own and operate the vessels that carry cargo.

• Sales of Vessel Space:

• • NVOCCs sell space on ships to shippers or freight forwarders.
  • Shipping lines sell vessel space to intermediaries, including NVOCCs and freight forwarders.

• Logistical Services:

• • NVOCCs may provide services such as customs clearance, inland transport, and documentation.
  • Shipping lines may also offer similar logistical services but focus primarily on ocean freight.

• Bill of Lading:

• • NVOCCs issue sub-bills of lading for shippers (House Bill of Lading).
  • Shipping lines issue the main Bill of Lading (Master Bill of Lading).

• Control Over Capacity:

• • NVOCCs have limited control over vessel capacity.
  • Shipping lines have full control over their vessels and routes.

Advantages of Using NVOCCs

• Efficiency and Flexibility: NVOCCs are more flexible than traditional shipping lines, offering access to a wider range of destinations and container options. This was particularly beneficial during disruptions like the COVID-19 pandemic and the Red Sea crisis.
• Competitive Pricing: Because NVOCCs do not incur the high capital costs associated with owning ships, they can often provide more competitive ocean freight rates. However, it’s important to carefully review pricing to avoid hidden fees.

Conclusion

NVOCCs are key players in the ocean freight industry, providing vital logistical services without the overhead of vessel ownership. They offer flexibility and often lower costs compared to shipping lines, but shippers should be aware of potential hidden costs and limitations in tracking and cargo types.