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Supply Chain Glossary
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EDI booking

What is EDI in shipping?

In shipping, EDI stands for Electronic Data Interchange. It's a standard electronic format for exchanging business documents, such as purchase orders, invoices, shipping notices, and other transactional information, between different computer systems or software applications, often between trading partners or companies within the supply chain.

The benefits of EDI

By facilitating the automated exchange of data in a structured format, electronic data interchange (EDI) helps streamline business processes, reduce manual errors, improve efficiency, and speed up transactions.

What is EDI used for?

In the context of shipping, EDI is used for various tasks, including:

  1. Booking and scheduling: Transmitting booking requests, confirming bookings, and scheduling shipments between shipping lines, freight forwarders, and shippers.
  2. Documentation: Sending and receiving shipping documents such as bills of lading, packing lists, customs declarations, and certificates of origin electronically.
  3. Status updates: Providing real-time status updates on shipments, including vessel schedules, container tracking, and delivery notifications.
  4. Invoicing and payments: Sending invoices, payment requests, and remittance advice electronically, facilitating faster payment processing and reconciliation.