Overview
What You Learn in This Topic
- What is an Air Waybill (AWB)?
- Air Waybill’s Format
- The Roles
- Types of Air Waybill
- Issuance Process
- Contents
What is an Air Waybill? (AWB)
Air Waybill is a carriage contract between the shipper and an airline. It serves as a receipt, evidence of the agreement, and a tracking tool for the shipped goods.
Air Waybill’s Format
An Air Waybill is issued in a format specified by IATA. The document includes details such as the following:
- The goods details to be transported
- Precautions to be taken during transportation
- Air Freight, etc.
AWB number is used to manage cargo inquiries. This can be found in the upper left and lower right corners of the AWB.
Roles of Air Waybill
An Air Waybill has various functions beyond being a simple transportation contract.
The roles include:
- Evidence of the carriage contract
- Cargo receipt
- Invoice for airfreight charges
- Instructions to the airline for cargo handling
- Cargo Delivery Instruction
Air Waybill Types
There are two types of Air Waybills:
・ Master Air Waybill (MAWB)
This is issued by an airline to a forwarder.
・ House Air Waybill (HAWB)：
This is usually issued by a forwarder to a shipper and is commonly linked with a MAWB
In consolidated shipments, forwarders combine cargo from multiple shippers and book it with the airline.
Simply put, the document issued by the airline for the forwarder is a MAWB, while the one issued by the forwarder to the multiple shippers are a HAWB.
Direct AWB and Single AWB
In some cases, only MAWB is issued.
This document is called a Direct AWB or a Single AWB and is issued when a shipper books directly with an airline.
Differences between HAWB and MAWB
What a MAWB Contains
The features are the following:
- Format: Airline’s one
- Shipper: The exporting forwarder
- Consignee: The importing forwarder
Unlike a HAWB, a MAWB includes information about the airlines’ local branches and agents.
What a HAWB Contains
The features are the following:
- Format: Forwarder’s one
- Shipper: The actual exporter
- Consignee: The actual importer
A HAWB shows the name and address of the forwarder’s local agents or subsidiaries, allowing the consignee to contact the local forwarder.
In the case of the Letters of Credit Transaction
An Air Waybill is not negotiable securities like a Bill of Lading (B/L), so you can pick up the goods even without the original Air Waybill.
Therefore, it is common to state the L/C issuing bank name in the Consignee column to avoid these situations.
AWB Issuing Process
- A shipper hands over the goods to the forwarder
- A forwarder measures and packs the goods
- The forwarder makes a booking with an airline
- Export customs clearance
- A HAWB is issued by the forwarder to the shipper
- A MAWB is issued by the airline to the forwarder
- Goods are assembled into ULDs with other consolidated cargo
- Hand over the MAWB along with the goods and pass the HAWB to the airline
- Flight
- Arrival
- The forwarder receives the MAWB and the HAWB along with the goods from the airline.
- Cargo breaking
- Import customs clearance
- Delivery
This is the process when the HAWB and MAWB are issued and the cargo is transported to the destination. Each flow’s timing may vary, but this is the general order.
Contents of an Air Waybill
An AWB contains the following information:
- HAWB Number
- MAWB Number
- Shipper Information
- Consignee information
- HAWB issuing forwarder
- Origin airport
- Destination city, airport, and flight number
- Currency, Freight Payer
- Quantity Weight
- Applicable Weight for Fare Calculation
- Applicable Fare per Kilogram
- Prepaid air freight
- Collect air freight
- Issuing Date
- Place of Issuance
How many Air Waybills are issued
In air transport, three original copies and six duplicate copies are issued.
Three Originals
Each role is different as follows:
- For the Transportation:
- Role: Acts as a carriage contract
- Signatory: The Shipper signs this copy
- For the Consignee:
- Role: Functions as a shipping label for the cargo
- Signatories: Both the airlines and the Shipper sign this copy
- For the Shipper:
- Role: Acts as a cargo receipt and a “carriage contract.”
- Signatory: The airline signs this copy
Six duplicate copies
Each role is different as follows:
1. For the Airline to deliver the cargo to the Consignee at destination
2. For the destination airport
3-5. For the airlines involved in the transportation
6. For the AWB issuing agent
Summary
In this topic, we explained the Air Waybill used in air transportation. Typically, air transport is booked through a forwarder, and, as a result, two main types of Air Waybills are issued.
- Mater Air Waybill
- House Air Waybill
When booking directly with the airline, only the MAWB is issued, referred to as a Direct AWB or Single AWB.
Learn by Video
Air Waybill Features – About AWB Charges
Air Waybill Features – About Straight AWB
Take the Test
Reinforce your understanding of this topic by working through the exercises. Attempting the exercises without referring to the material as much as possible is advisable.
