SOLAS VGM – probably a term which may have slipped many people’s minds as it seems to have successfully integrated itself into the mainstream container shipping process since its mandatory implementation in July 2016.. Now it seems to be back, but in a good way though..
Weigh the packed container using calibrated and certified weighing equipment like a weighbridge to get the VGM
Weigh the cargo, dunnage, lashing material and add the tare weight of the container to get the VGM
Although there has not been any real comments or incidents relating to the misdeclaration of weights after the implementation of the SOLAS VGM regulation in 2016, it has been reported that shipping industry has been struggling with Method 1, as physically weighing every shipping container requires significant efforts and costly, space-consuming scales..
When Malcom Mclean an American trucking company owner/trucker turned inventor and Mechanical Engineer Keith Tantlinger got together to create the first shipping container in 1956, they definitely had no idea how viral their creation would go..
Whether as a part of the 23,498,710 TEUs in circulation right now carrying various cargoes across the world or being used as a student accommodation in South Africa or being used as a farm in Maryland, USA the ubiquitous shipping container has come a long way indeed..
But it looks like the simple yet efficient structural design and flexibility of the ubiquitous container continues to inspire people around the world to bring out the best..
I for one, am quite pleased with the many initiatives that the shipping and freight industry has been taking to combat climate change and reduce CO2 emissions..
Implementing IMO 2020 sulphur cap, testing the usage of bio-fuels to run ships, using scrubbers, avoiding north sea route, changing ships technology to use less fuel, etc etc etc.. While what is being done is commendable, there is still a LOT left to do in order to reach the goals set..
For its part, Maersk has announced that it will pilot a battery system to improve power production on board ships..
We may have found a solution for shippers looking for an option between an expensive but quick air freight option and a less expensive but slower sea freight option.. This seems to be the message from Steve Huang, CEO of DHL Global Forwarding China..
A joint initiative between DHL Global Forwarding and Xi’an International Inland Port Investment & Development Group Co. Ltd will see container freight being shipped from Xi’an in China to Hamburg and Neuss in Germany, a distance of around 7,861 kms in a record setting transit time of 10-12 days..
When the President of the 2nd largest economy in the world and the world’s factory China urges for the development of blockchain technology to be expedited, you know things are about to get real in the world of technology..
Plans are afoot to make Blockchain technology a key part of China’s innovation program and also to increase investment in the sector..
Hot on the heels of this call by the Chinese President, The Standing Committee of the 13th National People’s Congress in China passed a cryptography law on the 26th October that will be effective on January 1, 2020..
Previously I wrote that apart from dealing with digital shipping lines, digital freight forwarders will also need to contend with traditional freight forwarders, not just from a service perspective but from a digital perspective as well.
DB Schenker recently joined the ranks of traditional freight forwarders now offering digital solutions with the launch of their connect 4.0 platform.
In a recent interview with Jeff Barrie, CEO of DB Schenker US, we had an opportunity to discuss the launch of the company’s connect 4.0 platform and why the company believes it will define success in freight forwarding and global shipping.
Innovation, creativity and digitalisation is in full flow within the shipping and freight industry.. The ubiquitous freight container has remained the same in terms of its design and structure and has not undergone much significant change in the last 50 odd years.. But in the recent past, it is being transformed quite dramatically.. Whether as a smart container or as … Read more here..
While traditional freight forwarder networks creates transparency, better connections and safe collaborations, the business model has not been a breakthrough by any means.. The way members conduct their businesses has remained the same, and the industry has been labelled antiquated and outdated..
If one looks at it objectively, it is easy to understand that it is the Freight Forwarder’s lack of digital resources and technological capability that has been restraining competitive growth in this volatile and digital market conditions..
Naturally, this has been noticed and the industry is seen by innovators in the technology space as a prime candidate for disruption.. They say that a paradigm shift is required if a freight forwarder aims to remain relevant, competitive and achieve greater efficiency..
The digital era for supply chain is well under way.. Technology and supply chain having seemingly become inseparable..
Technologies such as Blockchain, IoT, Big Data, Machine Learning, Artificial Intelligence are all finding their niche in the whole process of supply chain..
Whether it is in terms of issuing a smart bill of lading to a customer miles away or ensuring quick delivery of mandarins to China, technology has found its place in supply chain and its influence is growing..
Digital freight forwarders are leveraging these technologies and offering instant solutions as required by BCOs and others involved in the industry.. These technologies also seem to have spawned Digital Shipping Lines who are seen as serious competition to the digital freight forwarders..
There have been and are many discussions, arguments, disagreements surrounding these technologies..But one thing is clear and that is the fact that there needs to be lots of effective and productive discussions about the use of technology, the innovations that has already happened and their future..
If you are interested in such discussions, Microsoft New York Headquarters, 11 Times Square, New York is the place you want to be, on the 19th and 20th of June 2019..