Where is Your Cargo Going?
You receive a call from your water carrier to get additional information about a shipment because your container is involved in an incident and there has been a release. The shipment originated in Dayton, OH, and is bound to Fremantle, Australia. You are surprised because the release has occurred in the Nansha District in the Guangdong province in China.
International water routings can be complex. The routing for the shipment from Dayton to Fremantle moved by truck to Columbus, OH, and loaded to the rail to Chicago, IL where the container was interchanged to a second rail carrier. The container moved from Chicago, IL to load out of Long Beach, CA. The initial vessel sailed from Long Beach and called Hong Kong, Yantian, then Kaohsiung where it was discharged from the vessel and relayed to the next water carrier. The second vessel sailed from Kaohsiung to Nansha, China, then on to Singapore and discharged again to relay to a third vessel which sailed to the destination of Fremantle.
Illogical routings in containerized shipping are as common as flying from Phoenix to Seattle to get to Miami. However, when flying by air typically one stays on the same airline. You may book cargo with your preferred carrier who will provide a bill of lading, but the shipment may never physically touch your carrier’s assets. The cargo may not go in the booking line’s container, the container may not go to the carrier’s terminals or on the carrier’s vessels.
Many factors contribute to the complexity of multi-modal transportation including equipment pools, ship sharing agreements, carriers divesting of terminal assets, etc. However, many shippers do not realize that they agreed to the terms. The bill of lading is the key. Flip over the bill of lading (or go online) and read what terms are agreed to when you offer cargo to a line, one may be surprised! Below is a sample of the standard language regarding the routing of containers from the CMA-CGM website:
(1) The Carrier may at any time and without notice to the Merchant,
(a) use any means of Carriage whatsoever,
(b) transfer the Goods from one conveyance to another, including but not limited to transhipping or carrying them on another Vessel than that named on the back hereof,
(c) unpack and remove the Goods which have been packed into a Container and forward them in a Container or otherwise,
(d) proceed by any route, place, or port, in its discretion (whether or not the nearest or most direct or customary or advertised route), at any speed, and proceed to or stay at any place or port whatsoever, once or more often and in any order,
(e) load or unload the Goods at any place or port (whether or not such port is named overleaf as the Port of Loading or Port of Discharge) and store the Goods at any such place or port,
(f) comply with any orders or recommendations given by any government or authority, or any Person acting or purporting to act as or on behalf of such government or authority, or having under the terms of any insurance on any conveyance employed by the Carrier the right to give orders or directions.
(g) permit the Vessel to proceed with or without pilots, to tow or be towed or to be dry-docked.
One may focus on transit times, cut-off dates, and estimated times of arrival when booking cargo. However, know the products being shipped and identify where shipments are routed. Confirm cargo routing options on your carrier’s website. Fortunately, most transit and relay ports are chosen for the ability to handle vessel and cargo volumes. However, proactively engage with your emergency response provider. Verify their capabilities to respond to your specific cargo. Confirm the responder has resources available in the locations cargo will be transported, especially the relay points where cargo discharges and reloads to a connecting carrier.
Again, if you are not familiar with the contract of carriage, the conditions are very enlightening! To learn more about all the bill of lading terms and conditions go to your water carriers’ websites to review the bill of lading terms page.
CMA CGM Terms and Conditions. (n.d.). Www.Cma-Cgm.Com. Retrieved 2 February 2021, from https://www.cma-cgm.com/products-services/shipping-guide/bl-clauses
Author: Shannon Mizell
Global DOT & Hazardous Materials (Dangerous Goods) Compliance, STERIS Corporation
Head – Global Safety, Security, Environment & Dangerous Goods
Americas for APL (America), LLC
Early 2021 APAC Regulatory Update
The regulatory landscape in the APAC region is changing quickly. Since the end of 2020, many countries within the region have either considered or enacted new regulations or guidelines related to chemicals.
China has proposed or approved the below-listed items:
· National standards for non-hazardous industrial waste, hazardous waste, and medical waste are scheduled to enter into force on July 1st, 2021
· China General Administration of Customs China (GACC) updated the inspection rules for imported and exported hazardous chemicals and their packaging, with enterprises assuming primary responsibilities for regulatory compliance
· Adding QR Codes to new versions of five Chemical Business Permits and Certificates
· Yangtze River Protection Law will take effect starting from March 1, 2021
· Safe Production Law revision
Japan introduced a new numbering system for chemical substances subject to Pollutant Release and Transfer Register (PRTR), along with changes to Substance Lists. The Japanese Ministry of Health, Labor and Welfare (MHLW) released two public notices, announcing a total of 32 substances that are deemed to be strong mutagenic chemicals.
Starting Jan 16, 2021, South Korea will require SDS submission and CBI non-disclosure approval through the KOSHA IT system which is mandatory before manufacture or import.
South Korea introduced new Consumer Chemical Products and Biocides Safety Act (K-BPR) Requirements for Biocidal Products. Korea Registration, Evaluation, Authorization and Restriction of Chemicals (REACH) reported that 187,494 pre-registration applications were submitted for 17,045 chemical substances.
The 3rd Draft of the Chemical Substance Act was released in which the number of articles of the Act has increased from 100 to 108.
Stay tuned to this article in each issue of the quarterly APAC Newsletter.
APAC Consortium – A New Direction
From the beginning, the COVID-19 pandemic has had a negative impact on OURAY's efforts to establish the Asia-Pacific Response Consortium. From the limitations on international travel to our partner-customers going to “zero-budgets”, we have struggled to make positive movement. After speaking with several key partners and, as part of OURAY’s commitment to the global chemical manufacturing and transportation industry, we have decided to move forward with a more targeted approach. OURAY is adding an additional location in Singapore to provide comprehensive chemical response capabilities to the Asia-Pacific region. At the request of our customers and partners, OURAY will establish a permanent location there to provide true chemical response services within the region. Starting on January 1st of 2022, the Singapore location will provide a geographically advantageous site that will allow OURAY to provide comprehensive service capabilities to the entire Asia-Pacific region including:
- Bulk Vessel
- Intermodal Tanks
- Road Tankers
- Bags & Pails
- Compressed Gasses
- Liquified Gasses
- Toxic by Inhalation
- Dangerous when Wet
- Non-Hazardous/Non-Regulated Materials
- Waste Transportation & Disposal
- Industrial & TransportationTank Cleaning
- Non-Destructive Testing
- Logistics Exposure Audit
- Warehouse Compliance Audit
- Waste Disposal Facility Audits
- Facility Preparedness Audits
- Response Plan Writing & Review
With a central location in Singapore and additional strategically placed equipment caches in other locations, along with our robust network of contracted providers, OURAY will have quick response access to the entire region.
Please call for additional details:
Aaron Montgomery / President & CEO / +1 (303) 593-2087
OURAY Corner - 10 Years!
OURAY is celebrating our 10-year anniversary!
The Q3 newsletter will feature articles on:
A Global Approach to "Responsible Care"
Emergency Number Requirements in APAC Counties
OURAY Singapore - Update