Have You Suffered Losses From Holiday Cargo Theft And Delays?
Edition no. 62
Life is too short, and your export business is too important to waste your profits on cargo damages. We give you the straight talk and confidence to recover cargo claims from liable carriers.
In this newsletter, we'll talk about the latest industry news, lessons, tactics, good practices that?our clients - exporters, traders as yourself?use to prevent and recover cargo losses, helping you achieve similar results.
Approximately 30% of annual sales for many retailers are generated during the holiday season. This period is notorious for posing increased cargo risks.?
During the peak season, likelihood of delays and cargo theft increases up to 30% compared to other times of the year.?
Cargo thieves are already scheming to grab their presents early! They particularly relish the holidays because the shipping volume of desirable goods surges, alongside increased demand.?
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What's on their radar? Virtually everything, from electronics, clothing, and foodstuff to beverages, due to their ease of resale. Perfumery and cosmetics are also frequent targets, often because of the IMO class #3 labels displayed on the side container panel.?
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So, how can you reduce risks and losses?
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? Action Plan 1
Ensure that at the Place of Loading (POL) or the origin, you capture photographs of fully loaded cargo in containers, sealed with the seal numbers manifestly indicated on the Bill of Lading (BL).?
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In case of cargo theft during transit, this evidence will substantiate that the cargo was packed exactly as per the packing list and BL.
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? Action Plan 2
When manifesting cargo on the BL, be precise with the quantity, such as specifying "3000 boxes" rather than "2 pallets". This way, package limitations won't apply when you file claims with the shipping line.
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? Action Plan 3
For port-to-port FCL shipments (remember, the shipping line is legally liable for any pilferage occurring between ports), schedule your container pick-up as soon as it's discharged at the port of destination.?
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Organized theft groups are active, targeting shipments left unattended for extended periods, and port storage fees increase during the holiday season.?
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When picking up your container at the terminal, ensure that the trucker inspects the container from the outside to confirm the seal's integrity and that the container doors remain unaltered before delivery.?
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? Action Plan 4
For door-to-door FCL shipments under BL, inspect the container upon delivery to ensure it has the manifested seal. If not, insist that the shipping line participates in a joint cargo survey.?
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Do not open or unload the container before these checks. If your shipment is door-to-door under the carrier's BL, it's not your responsibility to identify where in transit your cargo was pilfered.
The second most significant concern shippers have is cargo delivery delays.
Here's what you can do:
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? Action Step 5
Recognize that shipments can experience delays during the peak season due to overcapacity. Prioritize the shipping of essential products that you anticipate will generate holiday season revenue.?
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If the shipping line promised a specific delivery day and the cargo delivery was delayed, you're eligible to claim compensation. Even if your cargo is outbound or inbound from certain countries, the shipping line must compensate for delivery delays regardless of the BL terms.
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? Action Step 6
Mitigate the risk of delay by splitting your shipments. If you're shipping multiple containers on a single bill of lading, consider dividing them into multiple bills of lading.?
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If one bill gets rolled, it won't affect all 10 containers, providing some level of assurance.
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? Action Step 7
When planning ahead, consider opting for a longer transit time to secure your shipment. Choosing a less congested route can reduce the likelihood of your cargo being rolled.?
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Your freight forwarder can offer advice on more dependable cargo routing, particularly as some ports become extremely congested during this time of the year.
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Final Thoughts
The holiday season may present challenges, but it also offers significant revenue opportunities across various industries. Overcoming these cargo shipping challenges becomes easier when you plan ahead and are aware of your rights when cargo is lost or delayed in transit.
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Choosing the right partnerships significantly enhances your chances of success and peace of mind during the holidays.
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Very Special BLACK FRIDAY Offer – Recoupex VIP Day in Alicante!
We’ve got a very special Black Friday offer for you and your team—50% off for Recoupex VIP Day in sunny Alicante! All details will be released on?28th November.?
Did your cargo arrive damaged?
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Recoupex is one of the fastest growing cargo claims recovery hubs helping customers globally to obtain the compensation they are entitled to when cargo is lost or damaged in transit (ocean, multimodal, air shipments: dry and refrigerated cargo). If you think Maersk, Sealand, Hapag-Lloyd, Mediterranean Shipping Company – MSC, CMA CGM, and other carriers might owe you compensation because of cargo loss or damages, you’ve come to the right place.