A Shipper’s Letter of Instruction (SLI) is a document that an exporter gives to a freight forwarder or carrier with instructions on how to handle and ship the goods. It typically includes details such as the shipper, consignee, products, destination, and shipping requirements.
The SLI helps the freight forwarder prepare shipping documents and handle the shipment according to the exporter’s instructions. It is commonly used for export shipments and helps reduce mistakes in documentation.
How It Works:
- The exporter prepares shipment instructions.
- Details include destination, carrier preferences, and documentation.
- The document is given to the freight forwarder.
- The forwarder executes the shipment accordingly.
Benefits:
- Ensures accurate execution of shipment requirements and documentation
- Reduces operational errors in logistics handling
- Enhances coordination between exporter and logistics provider
- Supports compliance with export regulations and buyer requirements
Example:
An Indian exporter sends an SLI to its freight forwarder with the buyer’s details, cargo information, and destination so the shipment can be arranged correctly.