Misdeclared Cargoes - Economies of scale – consortium / slot charterer biz


Special mention should be made about slot charterers which refers to the sharing of spare capacity on container ships to maximise the cargo loaded on each voyage. There are sound economic reasons for this practice, but the commercially sensitive and confidential nature of these shipments means the carrier operator is usually provided little information other than the container number, weight, destination port and carriage requirements of non-dangerous goods containers. The shared information does not usually include what the containers actually contain. As such, the carrier relies totally on the due diligence checks of the slot charterer.


There have been cases where a carrier bans the carriage of, for


example, calcium hypochlorite but the slot charterer does not. This results in a carrier transporting a container that is otherwise banned on the vessel.


summary


In summary, a single incorrectly declared container is enough to trigger a catastrophe. We know that a large number of containers are misdeclared daily. The serious dangers and risks associated with this practice are not acceptable and cannot be allowed to continue. The container industry needs to work together to tackle this problem and this collaboration is underway. Shipping companies are urged to examine their cargo booking processes carefully and to make improvements, implement better and more efficient controls through, for example, specific DG training for all of the non-DG and DG booking staff or through the


use of specialist computer software that can scan booking applications for suspicious products. Shipping companies are also urged to know their customers as well as possible. This is imperative for effective safety management.


Finally, slot charterer and vessel sharing agreements should be closely examined. Owners should assess the operating standards of their partners to ensure that suspicious cargo bookings are detected prior to the cargo being loaded. We understand that every additional inspection in the supply change is a potential ‘friction’ that slows down the transport of the cargo. Only in an ideal / compliant world, can these checks be done away with. Today, these checks are unavoidable in the interests of safety and the protection of the ship and crews. Checks and balances must be in place for trust to be restored in the shipping industry.


References: Standard Club publication “Better box booking”. Free to download: http://standard-club.com/media/2679007/standard-safety-better-box-booking-march-2018.pdf


The Report • March 2020 • Issue 91 | 53


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