International Logistics and Supply Chain Management

What are the consequences if a ship does not carries the statutory documents on board?
Ship documents and certificate are kept on boards to demonstrate the condition of the ship and its suitability for carrying a cargo. Certification is the result of an in-depth assessment of a ship with respect to its quality and that of its owner , operator and manager, right from commissioning to current status. it enables the charterer to optimise vessel selection by matching available vessels to operational requirements of the voyage and therefore maximising efficiency. the overall aim is to increase safety at sea and to decrease pollution to avoid major oil pollution cases because it damages the reputation of oil companies and it involves enormous financial responsibilities. the charter's decision of whether or not to charter the vessel is made on a variety of different criteria, of which the inspection is just one element. Charterers review information from numerous sources, including the vessel's detention and casualty record, its past experience with the vessel and its management. they have their own complex systems of actually assessing the ship from the data available and determining whether or not it is suitable CERTIFICATES AND DOCUMENTS REQUIRED TO BE CARRIED ON BOARD SHIPS Ship Type Document Name Document Type1 1. International Tonnage Certificate 1A 2. International Load Line Certificate 2Av 3. International Load Line Exemption Certificate 3A 4. Intact Stability Booklet 1B 5. Damage Control Plans and Booklets 2B 6. Minimum Safe Manning Document 4A 7. Fire Safety Training Manual 3B 8. Fire Control Plan/Booklet 4B 9. On board Training and Drills Record 1C 10. Fire Safety Operational Booklet 5B 11. Certificates for Masters, Officers or Ratings 6B 12. International Oil Pollution Prevention Certificate 5A 13. Oil Record Book 2C 14. Shipboard Oil Pollution Emergency Plan 7B 15. International Sewage Pollution Prevention Certificate 6A 16. Garbage Management Plan 8B 17. Garbage Record Book 3C 18. Voyage Data Recorder System Certificate of Compliance 7A 19. Cargo Securing Manual 9B 20. Document of Compliance 8A 21. Safety Management Certificate 9A 22. International Ship Security Certificate (or Interim) 10A

23. Ship Security Plan and Associated Records 10B All Ships 24. Continuous Synopsis Record 4C A. Certificates and documents issued by a certifying authority who could confirm that they have been issued to a ship. B. Documents and manuals that are necessary for the operation of the ship. Some of these are issued by authorities and the authority could confirm their issue. However, they must be kept on board. C. Documents recording various aspects of ship operation. These must be kept on board. 25. *Noise Survey Report 5C 26. Passenger Ship Safety Certificate/Exemption Certificate 11A 27. Special Trade Passenger Ship Safety Certificate 12A 28. Special Trade Passenger Ship Space Certificate 13A 29. Search and Rescue Co-operation Plan 11B 30. List of Operational Limitations 12B Passenger Ships 31. Decision Support System for Masters 13B 32. Cargo Ship Safety Construction Certificate 14A 33. Cargo Ship Safety Equipment Certificate 15A 34. Cargo Ship Safety Radio Certificate 16A 35. Cargo Ship Safety Certificate 17A 36. Exemption Certificate 18A 37. Document of Authorisation for the Carriage of Grain 19A 38. Certificate of Insurance or Other Financial Security in respect of Civil Liabilities for Oil Pollution Damage 20A 39. Enhanced Survey Report File 6C 40. Record of Oil Discharge Monitoring and Control System for the last Ballast Voyage 7C 41. Cargo Information 8C 42. Bulk Carrier Booklet 14B 43. Dedicated Clean Ballast Tank Operation Manual 15B 44. Crude Oil Washing Operation and Equipment Manual 16B 45. Condition Assessment Scheme Statement of Compliance, CAS Final Report and Review Record 17B 46. Hydrostatically Balanced Loading Operational Manual 18B 47. Oil Discharge Monitoring and Control Operational Manual 19B Cargo Ships 48. Subdivision and Stability Information 20B 49. International Pollution Prevention Certificate for the Carriage of Noxious Liquid Substances in Bulk 21A 50. Cargo Record Book 9C 51. Procedures and Arrangements Manual 21B Ships Carrying Noxious Liquid Chemicals in Bulk 52. Shipboard Marine Pollution Emergency Plan for Noxious Liquid Substances 22B Any Chemical Tanker (where applicable) 53. (International) Certificate of Fitness for the Carriage of Dangerous Chemicals in Bulk 22A

Any Gas Carrier 54. (International) Certificate of Fitness for the Carriage 23A Non-Mandatory applicable) of Liquefied gases in Bulk High Speed Craft 55. High Speed Craft Safety Certificate 24A 56. Permit to Operate High Speed Craft 25A Ships Carrying Dangerous Goods 57. Document of Compliance with the Special Requirements for Ships Carrying Dangerous Goods 26A Ships Carrying Dangerous Goods in Packaged Form 58. Dangerous Goods Stowage Plan 23B Ships Carrying INF Cargo 59. International Certificate of Fitness for the Carriage of INF Cargo 27A Nuclear Ships 60. Nuclear Cargo Ship Safety Certificate or Nuclear Passenger Ship Safety Certificate 28A Special Purpose Ships 61. Special Purpose Ship Safety Certificate 29A Offshore Support Vessels 62. Certificate of Fitness for Offshore Support Vessels 30A Diving Systems 63. Diving System Safety Certificate 31A Dynamically Supported Craft 64. Dynamically Supported Craft Construction and Equipment Certificate 32A Mobile Offshore Drilling Units 65. Mobile Offshore Drilling Unit Safety Certificate 33 Wing-in-Ground Craft 66. Wing-in-Ground Craft Safety Certificate 34A 67. Permit to Operate Wing-in-Ground Craft 24B

1. IMO document FAL.2/Circ.87 MEPC/Circ.426 MSC/Circ.1151 dated 17 December 2004 ("Revised List of Certificates and Documents Required to be Carried On Board Ships") lists those documents and certificates required under IMO legal instruments. 2. The IMO document lists some 67 different certificates and documents required to be carried on board ships. Some, such as certificates for masters, officers and ratings, must be issued for each person on board. 3. However, not all 67 have to be on all ships (See Annex 1). 4. The certificates and documents are issued mainly by national maritime administrations and/or those institutions, such as classification societies, authorised to act on behalf of administrations. The issuing organisations will normally, in most countries, have electronic records of the certificates that they have issued. 5. Recommended Practice 1.1.1 of the Annex to the FAL Convention reads as follows: "Public authorities should take into account the facilitation implications which may result from the introduction of automatic data-processing and -transmission techniques, and should consider these in collaboration with shipowners and all other interested parties. Existing information requirements and control procedures should be simplified, and attention should be given to the desirability of obtaining compatibility with other relevant information systems." 6. The question therefore arises as to why original paper documents must be kept on board the ship, when the information they contain, and their validity, could, to a large extent, be obtained through online access to the databases of the issuing organisations. 7. We recognise that the above procedure cannot apply to all the documents listed. Some of them contain operational information that must be at hand on board the ship. Others are operational records that must be maintained and updated at all times. 8. We have tried to classify the listed documents into three categories (see Annex 1): A. Certificates and documents issued by a certifying authority which could confirm that they have been issued to a ship. In principle these documents might not have to be kept on board, since inspectors could verify their existence by checking the database of the issuing authority prior to the arrival of the ship. B. Documents and manuals that are necessary for the operation of the ship. Some of these are issued by authorities and the authority could confirm their issue. However, they must be kept on board. C. Documents recording various aspects of ship operation. These must be kept on board. 9. Our own classification is preliminary, and must be thoroughly revised by operational experts. However, we would tentatively place about 34 of the 67 documents in Category A. 10. A system whereby port control inspectors could check ships' certificates and documents by entering a ship's name and/or IMO number in a designated database would simplify substantially the control procedure and, by accessing only official databases, would certainly enhance its accuracy. Such a system would also enhance security, since it is easier to forge a paper document than it is to tamper with a distant database. 11. Furthermore, IMO Circular MSC/Circ.1130 (Guidance to Masters, Companies, Duly

Authorised Officers on the Requirements relating to the Submission of Security-Related Information prior to the Entry of a Ship into Port) indicates that certain information should be provided for security assessment purposes at least 24 hours before the arrival of the ship. 12. The availability, on line, of certification information would enable those concerned with evaluating this advanced information to access the details and validity of many of the relevant certificates before arrival. Administrations would, therefore, be able to assure themselves of a ship's status vis-a-vis mandatory certification requirements. This would improve the ability of administrations to assess the security risk posed by an individual ship. 13. Although the idea presented above is simple in principle, and the advantages clear, its development and implementation, with a need for a common access to the databases of those administrations and organisations that issue certificates and documents, requires careful consideration. However, some countries are already aiming to implement systems encompassing some elements of the idea. Amongst others, the MarNIS (Maritime Navigation and Information Services) research project in the European Union is one example. The various Conventions covering the documentation, and the requirement for its presence on board, may also need to be examined and, perhaps, amended. 14. For international shipping it is of great importance that ships are not met by differing requirements when calling at ports in different countries. Action 15. The Committee is invited to consider how access to the information on certificates of ships engaged on international voyages might be facilitated and simplified through the use of modern communication technology. CERTIFICATES AND DOCUMENTS REQUIRED TO BE CARRIED ON BOARD SHIPS Ship Type Document Name Document Type1 1. International Tonnage Certificate 1A 2. International Load Line Certificate 2A 3. International Load Line Exemption Certificate 3A 4. Intact Stability Booklet 1B 5. Damage Control Plans and Booklets 2B 6. Minimum Safe Manning Document 4A 7. Fire Safety Training Manual 3B 8. Fire Control Plan/Booklet 4B 9. On board Training and Drills Record 1C 10. Fire Safety Operational Booklet 5B 11. Certificates for Masters, Officers or Ratings 6B 12. International Oil Pollution Prevention Certificate 5A 13. Oil Record Book 2C 14. Shipboard Oil Pollution Emergency Plan 7B 15. International Sewage Pollution Prevention Certificate 6A 16. Garbage Management Plan 8B 17. Garbage Record Book 3C 18. Voyage Data Recorder System Certificate of Compliance

7A 19. Cargo Securing Manual 9B 20. Document of Compliance 8A 21. Safety Management Certificate 9A 22. International Ship Security Certificate (or Interim) 10A 23. Ship Security Plan and Associated Records 10B All Ships 24. Continuous Synopsis Record 4C 1 A. Certificates and documents issued by a certifying authority who could confirm that they have been issued to a ship. B. Documents and manuals that are necessary for the operation of the ship. Some of these are issued by authorities and the authority could confirm their issue. However, they must be kept on board. C. Documents recording various aspects of ship operation. These must be kept on board. 25. *Noise Survey Report 5C 26. Passenger Ship Safety Certificate/Exemption Certificate 11A 27. Special Trade Passenger Ship Safety Certificate 12A 28. Special Trade Passenger Ship Space Certificate 13A 29. Search and Rescue Co-operation Plan 11B 30. List of Operational Limitations 12B Passenger Ships 31. Decision Support System for Masters 13B 32. Cargo Ship Safety Construction Certificate 14A 33. Cargo Ship Safety Equipment Certificate 15A 34. Cargo Ship Safety Radio Certificate 16A 35. Cargo Ship Safety Certificate 17A 36. Exemption Certificate 18A 37. Document of Authorisation for the Carriage of Grain 19A 38. Certificate of Insurance or Other Financial Security in respect of Civil Liabilities for Oil Pollution Damage 20A 39. Enhanced Survey Report File 6C 40. Record of Oil Discharge Monitoring and Control System for the last Ballast Voyage 7C 41. Cargo Information 8C 42. Bulk Carrier Booklet 14B 43. Dedicated Clean Ballast Tank Operation Manual 15B 44. Crude Oil Washing Operation and Equipment Manual 16B 45. Condition Assessment Scheme Statement of Compliance, CAS Final Report and Review Record 17B

46. Hydrostatically Balanced Loading Operational Manual 18B 47. Oil Discharge Monitoring and Control Operational Manual 19B Cargo Ships 48. Subdivision and Stability Information 20B 49. International Pollution Prevention Certificate for the Carriage of Noxious Liquid Substances in Bulk 21A 50. Cargo Record Book 9C 51. Procedures and Arrangements Manual 21B Ships Carrying Noxious Liquid Chemicals in Bulk 52. Shipboard Marine Pollution Emergency Plan for Noxious Liquid Substances 22B Any Chemical Tanker (where applicable) 53. (International) Certificate of Fitness for the Carriage of Dangerous Chemicals in Bulk 22A Any Gas Carrier (where 54. (International) Certificate of Fitness for the Carriage 23A * Non-Mandatory applicable) of Liquefied gases in Bulk High Speed Craft 55. High Speed Craft Safety Certificate 24A 56. Permit to Operate High Speed Craft 25A Ships Carrying Dangerous Goods 57. Document of Compliance with the Special Requirements for Ships Carrying Dangerous Goods 26A Ships Carrying Dangerous Goods in Packaged Form 58. Dangerous Goods Stowage Plan 23B Ships Carrying INF Cargo 59.International Certificate of Fitness for the Carriage of INF Cargo 27A Nuclear Ships 60. Nuclear Cargo Ship Safety Certificate or Nuclear Passenger Ship Safety Certificate 28A Special Purpose Ships 61. *Special Purpose Ship Safety Certificate 29A Offshore Support Vessels 62.Certificate of Fitness for Offshore Support Vessels 30A Diving Systems 63.Diving System Safety Certificate 31A Dynamically Supported Craft 64.Dynamically Supported Craft Construction and Equipment Certificate 32A Mobile Offshore Drilling Units 65. Mobile Offshore Drilling Unit Safety Certificate 33A Wing-inGround Craft 66. Wing-in-Ground Craft Safety Certificate 34A 67. Permit to Operate Wing-in-Ground Craft 24B

Provisional Summary Document Type A 34 Document Type B 24 Document Type C 9

POWER TO DETAIN In any case where a ship does not comply with the requirements of these Regulations the ship shall be liable to be detained and section 74 of the Merchant Shipping Registration Act,1991(which relates to the detention of a ship) shall have effect in relation to the ship, subject to the modification that for the words "this Act" wherever they appear, there shall be substituted the words "the Merchant Shipping(ISM code) Regulations 1998". It should be n offence for a company to fail to comply with a duty imposed on it by these Regulations .

SHIPPING AGENTS
Agency is a legal relationship that is created when two parties enter into an agreement. The agent represents the principal subject to the principal right to control the agents conduct concerning the matters entrusted to him. In order to streamline his nature of work the agent must make clear that in all his dealings he is acting on behalf of a disclosed principal. In all correspondence, contracts , documents, even telexes and faxes, the agent should without ambiguity mention that he is acting for a disclosed principal. FUNCTIONS OF SHIPPING AGENTS The owner of the ship, in operating of his vessel will need an agent to assist him and to act on his behalf to : 1. Advise him on various port details like : Charges in port Depth Of water Possibility of any strikes Any other relevant matter regarding the port of call. 2. Make preparation on his behalf, such as : Reserving a berth Liase with stevedores for cargo work Ordering of tugs, pilots etc., to berth the ship Ordering stores All other necessary matters regarding the particular voyage/shipment. 3. Meet the ship on arrival and report at the customs house with or for' the Master and attend to other requirements like arranging for the crew to visit the doctor or dentist if necessary.

4. Keep in constant touch with the ship and keep informed the company about the progress and any delays etc. 5. Notify shippers and consignees of the ships expected arrival 6. After the vessel leaves the shore, the agents Must issue delivery order Sign the bill of lading Advice principle ( ship owner ) and port authority Prepare disbursement accounts Collect freight and charge and remit surplus freight.

INSURANCE COVERAGE ON THE LIABILITIES OF SHIPPING AGENTS

Since the functions of shipping agents are increasing day by day, they are prone to make mistakes. The International Transport Intermediaries Club (ITIC) defends agents and covers their professional liabilities apart from providing members free legal advice, protection, and indemnity against claims that arise during the course of business ITIC cover includes claims for Professional negligence, Loss of documents, and Breach of warranty of authority It also helps tramp agents in collecting agents in collecting outstanding disbursements from defaulting ship owners and pay for the defence of a member against whom an unjustified claim has been made. The insurance does not cover deliberate wrong doing like delivery of cargo without original B/L but against an indemnity which may result in facing a claim from the holder of the original B/L and also cases of issue of clean B/L knowing that the cargo has been damaged. Sub-agency A general agent cannot represent his principal in every port or place. A subagency is therefore, created either with express authority of the principal or with necessary implications. If the sub-agency is without principal authority, an agent remains liable the breach of contract and responsible for sub-agents act will bind the principal, as the sub-agent act will be deemed to be the act of the agent performed through the sub-agent. Usually the principal-agent contract includes a provision for the appointment of sub-agent. Credit to Shippers In competitive environment shippers expect and usually get credit facility in ypayment of freight. Such a facility is often given with principals tacit agreement and it is a rare principal who does not agree to bear the risk of

giving credit to shippers. The risk is then usually borne by the agent and this is not covered by insurance. Recovery of Disbursements In the case of recovery of disbursements, a prudent agent will always make sure that adequate funds are received in advance. If an agent finds it difficult to recover outstanding disbursements, he can bring an action against the principal either as per the agency agreement or at the place of residence of the principal. If the agent has made contracts or disbursed money for an undisclosed principal, he becomes personally liable.