Bagged Cargo Claims - standard-club.com › media › 23979 › StandardCargo-Bag… · cargo to...
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Standard Cargo Ian Price, Director of Loss Prevention +44 20 3320 8807 [email protected] Ian joined Charles Taylor in September 2012 as the director of loss prevention for the Standard Club. Ian is a master mariner with a total of 40 years’ experience in the shipping industry. He commenced his seagoing career in 1971 as a navigating cadet with a major British shipping company, being promoted through the ranks to Master prior to continuing his career ashore in 1987. Whilst employed ashore, he has worked predominately in the field of marine operations and ship management, in various worldwide locations, and has held positions as port captain, marine/operations superintendent, operations manager and, for the last 11 years, managing director for one of the world’s foremost ship management companies. Through both his seagoing and shore based experience Ian has extensive knowledge across the range of tanker, dry bulk and liner trades. With no sign of improvement in market conditions and in an effort to secure the best freight rates, a number of owners are trading their ships to ports and carrying cargo for which the ship may not be ideally suited or their crew sufficiently experienced. In particular, the club has seen an increase in the number of ships carrying bagged cargo to ports where the incidence of stevedore rough handling and pilferage are high. The carriage of bagged cargo is a risky trade which most owners have historically chosen to avoid. The increase in voyages to these ports has led to a rise in the number of claims for the club, which may impact upon rates at the next renewal. The club’s investigations of these incidents at the discharge port have found: – loading figures that do not match discharge figures, resulting in cargo shortfall – wet and mouldy cargo showing the effect of condensation damage – contaminated cargo, such as cargo having leaked from bags and/or being mixed with hold dirt – damaged and/or empty cargo bags – rips to cargo bags caused by stevedores’ hooks Members whose ships are trading with bagged cargo have a greater exposure to cargo damage claims. To reduce the risk of cargo damage, the following loss prevention checks are recommended for the master: – test hatch cover water tightness before loading and monitor the effectiveness of securing arrangements during the voyage – test hold bilge suctions and check effectiveness of non-return valves – thoroughly clean the hold bilge wells, which should then be covered with burlap and sealed – conduct an accurate cargo tally at the load port – ensure the cargo quantity, as agreed between shore-based and ship tally, is accurately represented on mate’s receipts and bills of lading – ensure stevedores utilise correctly designed bag hooks and do not roughly handle the cargo – collection of spilt cargo promptly for re-bagging – ensure hatch covers are fully closed prior to the onset of rain – monitor the dew point of the cargo hold during the voyage – ensure correct ventilation management throughout the voyage – conduct frequent visual inspections of cargo whilst the ship is in transit or at anchor – always follow the enclosed space entry procedures before entering a cargo hold – ensure there is effective security and theft avoidance These procedures, if followed, should go far to prevent cargo damage. However, should members suspect a problem during loading or en route to the discharge port, they should immediately contact the club for assistance. October 2012 Setting the Standard for Service and Security Bagged Cargo Claims
Transcript of Bagged Cargo Claims - standard-club.com › media › 23979 › StandardCargo-Bag… · cargo to...
Standard Cargo
Ian Price, Director of Loss Prevention+44 20 3320 [email protected]
Ian joined Charles Taylor in September 2012 as the director of loss prevention for the Standard Club.
Ian is a master mariner with a total of 40 years’ experience in the shipping industry. He commenced his seagoing career in 1971 as a navigating cadet with a major British shipping company, being promoted through the ranks to Master prior to continuing his career ashore in 1987. Whilst employed ashore, he has worked predominately in the field of marine operations and ship management, in various worldwide locations, and has held positions as port captain, marine/operations superintendent, operations manager and, for the last 11 years, managing director for one of the world’s foremost ship management companies. Through both his seagoing and shore based experience Ian has extensive knowledge across the range of tanker, dry bulk and liner trades.
With no sign of improvement in market conditions and in an effort to secure the best freight rates, a number of owners are trading their ships to ports and carrying cargo for which the ship may not be ideally suited or their crew sufficiently experienced. In particular, the club has seen an increase in the number of ships carrying bagged cargo to ports where the incidence of stevedore rough handling and pilferage are high. The carriage of bagged cargo is a risky trade which most owners have historically chosen to avoid. The increase in voyages to these ports has led to a rise in the number of claims for the club, which may impact upon rates at the next renewal.
The club’s investigations of these incidents at the discharge port have found: – loading figures that do not match discharge figures, resulting in cargo shortfall – wet and mouldy cargo showing the effect of condensation damage – contaminated cargo, such as cargo having leaked from bags and/or being mixed with hold dirt
– damaged and/or empty cargo bags – rips to cargo bags caused by stevedores’ hooks
Members whose ships are trading with bagged cargo have a greater exposure to cargo damage claims.
To reduce the risk of cargo damage, the following loss prevention checks are recommended for the master:
– test hatch cover water tightness before loading and monitor the effectiveness of securing arrangements during the voyage
– test hold bilge suctions and check effectiveness of non-return valves – thoroughly clean the hold bilge wells, which should then be covered with burlap and sealed
– conduct an accurate cargo tally at the load port – ensure the cargo quantity, as agreed between shore-based and ship tally, is accurately represented on mate’s receipts and bills of lading
– ensure stevedores utilise correctly designed bag hooks and do not roughly handle the cargo
– collection of spilt cargo promptly for re-bagging – ensure hatch covers are fully closed prior to the onset of rain – monitor the dew point of the cargo hold during the voyage – ensure correct ventilation management throughout the voyage – conduct frequent visual inspections of cargo whilst the ship is in transit or at anchor – always follow the enclosed space entry procedures before entering a cargo hold – ensure there is effective security and theft avoidance
These procedures, if followed, should go far to prevent cargo damage. However, should members suspect a problem during loading or en route to the discharge port, they should immediately contact the club for assistance.
October 2012
Setting the Standard for Service and Security
Bagged Cargo Claims
The Standard Cargo is published by the managers’ London agents:
Charles Taylor & Co. Limited Standard House, 12–13 Essex Street, London, WC2R 3AA, UK Registered in England No. 2561548
Telephone: +44 20 3320 8888 Emergency mobile: +44 7932 113573 Email: [email protected] Website: www.standard-club.com
Please send any comments to the editor: Ian Price Email: [email protected] Telephone: +44 20 3320 8893
The information and commentary herein are not intended to amount to legal or technical advice to any person in general or about a specific case. Every effort is made to make them accurate and up to date. However, no responsibility is assumed for their accuracy nor for the views or opinions expressed, nor for any consequence of or reliance on them. You are advised to seek specific legal or technical advice from your usual advisers about any specific matter.
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RecentPublications
Director of Claims
Brian Glover
Director of Loss Prevention
Ian Price
Team Administrator
Christine Mills
Surveyors, London
Chief SurveyorEric Murdoch
Senior SurveyorJulian Hines
Marine SurveyorAndrew Morris
Surveyors, Singapore
Yves VandenbornChristophe Vaes
Standard Cargo, Carriage of SeedcakeOctober 2011
– What is Seedcake – Documentation – Carriage in containers – Hold cleanliness – P&I cover
Job: 15843 Standard Safety - Seedcake_AW Proof: 06 Proof Read by:Operator: Phil Date: October 19, 2011 12:52 PM Server: studio 2 Set-up: neil: from previous First Read/Revisions
SETTING THE STANDARD FOR SERVICE AND SECURITY
IN THIS EDITION
2 What is seedcake?
2 Types of seedcake
4 Self-heating and spontaneous combustion
4 Sources of heat in the hold
6 Documentation
7 Hold cleanliness
7 Loading, stowage and segregation
8 Hatch covers
8 Ventilation
8 Hazards of oxygen depletion
9 Discharge
9 Emergency procedures
9 Duties of the cargo officer
10 Carriage in containers
10 Distiller’s Dried Grain and DDG with Solubles
11 P&I cover
12 Appendix 1 – Details of the properties, loading and carriage requirements for each type of seedcake
14 Appendix 2 – Requirements of the IMSBC Code for the loading of dry bulk cargoes
14 Acknowledgements
15 Form for cargo information for solid bulk cargo
CARRIAGE OF SEEDCAKE
^ Seedcake cargo with water damage
INTRODUCTIONThe Standard Club loss prevention programme focuses on
best practice to help avert those claims that are considered avoidable. This edition of Standard Cargo addresses the safe and correct carriage of seedcake cargo. Due to their oil and moisture content, this cargo can present a significant fire risk due to self-heating and spontaneous combustion therefore; the procedures described here should be followed in order to prevent such casualties.
Members should refer to the latest edition of the IMO International Maritime Solid Bulk Cargoes (IMSBC) Code, which provides the statutory requirements for carriage and which supersedes any advice given in this document. The IMSBC Code, which was mandatory from 1 January 2011, is a revision of the IMO BC Code and should be the first point of reference for guidance on the carriage of solid bulk cargo.
Chris Spencer: Director of Loss PreventionTelephone: +44 20 3320 8807E-mail: [email protected]
STANDARD CARGOOctober 2011
15843 Standard Safety - Seedcake_AW.indd 1 19/10/2011 13:28
Standard Cargo, Bulk Cargoes – hold preparation and cleaningMarch 2011
– SMS – Maintenance – Hold cleaning, washing down and drying equipment
– Requirements for cargoes – Case studies
SETTING THE STANDARD FOR SERVICE AND SECURITY
March 2011
BULK Cargoes – HoLD PreParaTIoN aND CLeaNINg
INTRODUCTIONAs part of the Loss Prevention programme, the Standard
Club publishes Standard Cargo series as a means of focusing on best practices in the carriage of cargo.
This publication is aimed at helping masters, ships’ cargo officers, shore superintendents and chartering managers understand the requirements of hold preparation before loading bulk cargoes. Such awareness will assist in preventing claims for cargo loss, cargo contamination, additional survey costs, delay to ships, and in preventing disputes over offhire and charterparty issues.
Preparation of a cargo hold is not just a question of sweeping, cleaning or washing down the hold. There are a number of matters to consider, and failing to adhere to good practice can result in substantial claims. A lack of knowledge, often originating in chartering or commercial departments, can also be the underlying cause of major claims.
The first reference source for the carriage of bulk cargo should be the International Maritime Solid Bulk Cargoes Code (IMSBC), issued by IMO. It was revised and reissued in 2009. It is a requirement that a copy of the Code should be onboard a bulk carrier, and the revised Code is mandatory under SOLAS from 1 January 2011. Nothing in this Standard Cargo guide is intended to differ from the advice given in the Code, and the advice given in the Code should always be the first point of reference. It has not been possible to include preparation advice here for all bulk cargo, and the IMSBC should therefore be consulted whenever any question arises.
STANDARD CARGO
Chris Spencer: Director of Loss PreventionTelephone: +44 20 3320 8807E-mail: [email protected]
^ Coal loading
^ Coal discharge
^ Washing down a cargo hold
Standard Safety, Navigation special edition June 2012
– Navigational incidents and collisions are increasing
– Other navigational concerns – Navigational audits
SETTING THE STANDARD FOR SERVICE AND SECURITY
IN THIS ISSUE
2 Training standards
3 Bridge work
4 The Collision Regulations – (COLREGS)
5 Keeping a lookout – COLREGS Rule 5
6 Fatigue
6 Electronic Chart Display and Information System– (ECDIS)
7 Pilotage issues
8 Other navigational concerns
9 Navigational audits
9 Conclusion
This issue of Standard Safety is focused solely on navigation. Claims relating to poor navigation are the largest single cause of claims in terms of cost, and the club’s experience in recent years provides ample evidence of this. A number of factors are investigated using case studies to illustrate the problems and consider what can be done to curb the increasing frequency of navigational incidents. There are many such case studies available, some of which are published by Flag States and are in the public domain. These, we believe, should form part of a company’s loss prevention programme since it is far better to learn from the mistakes of others than experience them yourself. The biggest risk that a shipowner faces is a major navigational incident: not only can it result in fatalities and pollution but can have a substantial impact on the reputations of those concerned.
navigational incidents and collisions are increasingThe club has investigated the number and cost of navigational incidents over the past ten years and the facts are alarming at many levels. In the past five years, there have been 85 claims of over $1m of which over 50% were directly related to navigational issues. Of these claims, 42% were due to collisions, 32% were due to damaging fixed and floating objects such as buoys, berths, breakwaters, mooring dolphins and cranes, and 15% were due to ships grounding. Of these major incidents, 16% occurred when the ship was under pilotage. This is a significant figure and the inference could be that either the pilots are not well trained or the master and the bridge teams are not properly monitoring what is happening when under pilotage, or a combination of both. Only occasionally is the cause of a navigational incident a mechanical failure.
STANDARD SAFETY
NAVIGATION SPECIAL EDITION
June 2012
