Transportation and Delivery · 2 of 5
Every line on a Foreign Military Sales case carries a code that fixes how far the United States government will carry the goods. "The Delivery Term Code (DTC) is a logistical code that indicates how far, from the source of supply to the final destination, that the DoD is responsible to transport a shipment" (SAMM C7.4.1).
It is worth being precise about what the code does not settle. "The DTC does not determine the mode of transportation or how it is financed" (SAMM C7.4.1). It marks a handover point, not a method and not a payer.
A purchaser is not passive here. It may specify a preferred code in its Letter of Request, and the code is also used to work out transportation costs on the case (SAMM C7.4.1). The full list of codes and the delivery point each one names sits in the financial chapter of the manual rather than the transportation one.
Assignment happens during case development, and the manual treats it as consequential. The implementing agency's role in determining and assigning the proper code to each line is described as critical to successful shipment (SAMM C7.4.2).
Sensitive and classified material gets an extra step. Implementing agencies are told to conduct a pre-case transportation assessment after receiving the Letter of Request and before the case document is issued, coordinating with United States Transportation Command where necessary (SAMM C7.4.2).
The manual sets a plain test for the result: each code must be feasible and actionable. Once the case is implemented, assigned codes are updated through an amendment, in coordination with the purchaser (SAMM C7.4.2). A code that turns out to be unworkable is a case document change, not an operational adjustment.
The term has a defined meaning here that is narrower than its commercial use. A freight forwarder is "a private company under contract to the FMS purchaser to coordinate, receive, consolidate, stage materiel, and arrange for onward movement to a final destination" (SAMM C7.5.1).
Its position is fixed by whom it works for. The manual states that in all cases "a FMS freight forwarder acts as an agent of the purchaser, but cannot act on behalf of the government as a Designated Government Representative (DGR)" (SAMM C7.5.1).
That single limit does a lot of work. The representative who takes control of a consignment on behalf of the receiving government is a role the forwarder cannot fill, however complete its other duties are. Where title has passed but possession has not, security responsibility stays with the United States until that representative acts, as set out in title transfer and who carries the risk in transit.
The choice belongs to the buyer alone. "Selection of a FMS freight forwarder must be made by the FMS purchaser" (SAMM C7.5.2).
The corresponding restriction on the seller is unusually direct. "Department of Defense personnel must remain impartial and cannot recommend a FMS freight forwarder to a purchaser or direct a FMS freight forwarder how to conduct operations" (SAMM C7.5.2).
A company seeking this work is therefore selling to the partner government, not to the United States government, and no American official is in a position to put it forward. That is the same neutrality principle that governs the choice between the government to government route and a commercial one, described in Foreign Military Sales or Direct Commercial Sales.
Three requirements sit between appointment and operation.
The third requirement has a boundary that is easy to miss. A forwarder that only processes unclassified paperwork and arranges for the delivery of classified material does not require a facility clearance (SAMM C7.5.3.3). Taking custody is the line, not proximity to the consignment.
Release is controlled by a second code on the case document. Offer release codes state how materiel is to be released and whether a notice of availability is required, and they carry through into the requisitioning numbers used to move cargo (SAMM C7.11.2).
Two of the codes set the timing that a forwarder plans around. Code Y means: "Send an NOA before releasing shipment. If no response is received within 15 calendar days, release automatically." Code Z means: "Send an NOA before releasing shipment. Shipment cannot be released until a response is received from the NOA addressee" (SAMM C7.11.2).
The manual states when the stricter code applies. Code Z procedures must be followed where materiel is oversize, overweight, hazardous, perishable, pilferable or classified, where it requires special handling, or where it carries delivery term code 8 (SAMM C7.11.2). Anything a forwarder would consider a difficult load is, by definition, a load that will not move until someone answers a notice.
| DTC | Delivery term code, the code fixing how far the Department transports a shipment. SAMM C7.4.1. |
|---|---|
| FMS freight forwarder | A private company under contract to the purchaser, acting as its agent. SAMM C7.5.1. |
| ORC | Offer release code, stating how materiel is released and whether a notice is required. SAMM C7.11.2. |
| DDTC | Directorate of Defense Trade Controls, where a forwarder registers as an exporter. |
| Facility clearance | The authorization, with approved storage, that allows custody of classified material. |
Every statement above links to the document behind it. The full source list for this piece is on the sources page.
This page describes public United States government programs for general information. It is not legal, regulatory or procurement advice, and it does not address the facts of any particular case.
A freight forwarder is appointed by the buying government, not recommended by anyone in Washington. Sentfore provides secure movement, protective security and in country support around defense deliveries in complex environments, working to the partner rather than to the seller. Requirements can be sent through the contact page.