Have you ever wondered why your forwarder or clearing agent needs invoice and packing list for your shipment? Why they are so particular about it?

First we need to look at the meaning of both terms so we can understand why freight forwarders need them.

Invoice:

An invoice is referred to as a commercial document, which is issued to a buyer from a seller as regards a sale transaction. It indicates the products, quantities, and agreed prices for products or services that the seller had provided the buyer. In other words, it is a document sent to a buyer that specifies the amount and cost of products or services that have been provided by a seller.

Payment terms are usually stated on the invoice. These may specify that the buyer has a maximum number of days, or period of time in which to pay and is sometimes offered a discount if paid before the due date. The buyer could have already paid for the products or services listed on the invoice. An invoice indicates what must be paid by the buyer according to the payment terms of the seller.

From the perspective of a buyer, an invoice is a purchase invoice. The document indicates the buyer and seller, but the term invoice indicates money is owed or owing. An invoice provides a detailed account of the products or service and a set of other information. It can vary a bit depending on the requirements in the country the invoice is issued and the type of product or service being sold.

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Packing List

Packing List (which is also known as a bill of parcel, unpacking note, packaging slip, (delivery) docket, delivery list, manifest or customer receipt, shipping list) is a document which details the contents, quantities, carton count of the shipped product, and often dimensions and weight, of each package or container. It serves to inform all parties involved with shipping, including transport agencies, government authorities, and customers, about the contents of the package. It helps them deal with the package accordingly.

It is a document that contains all details concerning the package. It helps the different parties handling the package know how well to handle it.

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Reasons Why Your Forwarder Needs Invoice and Packing List For Your Shipment