Definition
A telex release is a message sent by the shipping line's origin office to their destination agent, authorizing the release of cargo without the presentation of an original bill of lading. It is used when the original BL has been surrendered at the origin.
Why it matters for traders
Telex releases speed up cargo release by eliminating the need to courier original documents. This is critical when the vessel arrives before the documents would, preventing demurrage charges.
How telex release works
- Shipper surrenders the original BL to the carrier at the origin port
- Carrier sends a telex/electronic message to the destination agent
- Consignee presents identification and proof of payment at destination
- Carrier releases the cargo without requiring the original BL
When to use telex release
- Short transit times where the vessel arrives before documents
- Full payment already received from the buyer
- Buyer needs urgent cargo release
- Original BL is lost or delayed in courier
Risks to consider
- Only use telex release when payment is confirmed — you lose control of the cargo
- Not accepted by all banks under LC transactions (check LC terms)
- Some countries require original documents for customs
Operational example
A supplier in Shanghai ships goods to Dubai with a 12-day transit time. The original BL would take 5 days by courier. To avoid delays, the supplier surrenders the BL to the carrier in Shanghai and requests a telex release. The buyer in Dubai can collect the cargo as soon as the vessel arrives, without waiting for the original document.