Non-Vessel Operating Common Carrier

A Non-Vessel Operating Common Carrier (NVOCC) fulfills all of the functions of a Vessel Operating Common Carrier (VOCC) regarding cargo transportation, essentially, except that NVOCCs do not own their own vessels like typical carriers. Instead, an NVOCC will lease space on another carrier’s vessel, which it then sells to its customers under its own House Bill of Lading. 

NVOCCs can negotiate freight rates with carriers, provide documentation and tracking services, assist their customers with claims and disputes, and, in some cases, offer additional services such as packaging and cargo insurance. 

Some NVOCCs own fleets of shipping containers and other equipment, depending on the carrier and its services. Some NVOCCs also operate as freight forwarders, though most do not own their own warehousing facilities. Although viewed as simple intermediaries in the supply chain, NVOCCs can offer shippers some useful benefits, such as: 

• Gaining access to a broader range of carriers, including smaller regional carriers, for more schedule flexibility and route options 
• Accessing improved tracking tools to see precisely where cargo is in its journey
• Streamlined shipping processes due to the NVOCC’s existing relationship with other carriers and experience in freight transportation