DCSA: Striving towards Paperless Global Trade

AMSTERDAM: Imagine a world with a seamlessly digital sustainable supply chain. Where all parties from shippers to carriers, financers, freight forwarders and beyond collaborate for efficiency, the best customer experience and reduced environmental impact. The shipping industry is striving for a future that is no longer encumbered by analogue tools.

In this pursuit, every stakeholder shoulders a crucial responsibility. Carriers, shippers, ports, financial institutions, importers and governments must unite to usher in a shipping revolution and embrace a world of paperlesstrade.

Thepathtochangeisnotwithoutchallenges.Shipping processes are inherently complex, they involve a myriad of systems, regulations and links in the chain. Collaboration has never been more critical as we bid for digitalisationandagreenerfutureforcontainershipping.

The good news is that significant strides have been taken: the Future International Trade (FIT) Alliance of DCSA, BIMCO, FIATA, ICC and SWIFT was formed to advocateforthedigitalisationofinternationaltrade.Inthe U.S., the Freight Logistics Optimisation Works (FLOW) initiative is an industry forum and information exchange platform for the supply chain, while the Maritime Transportation Data Initiative (MTDI) was launched to identify gaps in data definitions and develop recommendations for common data standards and policies.

Paper-based processes hamper global trade

Digitalisation has already transformed numerous industries, unlocking unprecedented levels of efficiency, sustainability, and improved customer experiences. However, the continued reliance on the exchange of physical documents in container shipping, reminiscent of the practices of the 17th century, hampers information flow,needlesslyholdingsupplychainstakeholdersback.

Delays in the movement of vital cargo documents create ripple effects that impact port operations and supply chains, ultimately disrupting manufacturing processesandconsumers’accesstogoods.

Yet despite this, and the many other downsides of exchanging paper, documents needed to complete internationaltradetransactionsoftenaren’tstandardised ordigitallyavailable.Industryleadersmustworktogether to change this and lend a hand to building a more effective andenvironmentallyconsciousfutureforshipping.

Nowhere is this need more apparent than with the bill of lading (B/L) process, where paper continues to lead the way. At DCSA, we are driving the change toward the adoption of electronic B/Ls (eBLs) – successfully organising a major commitment from carriers to 100% eBL adoption by 2030. BIMCO launched the “25 by 25 pledge” for some of the biggest shippers in the bulk sector for 25% of annual seaborne trade volume for at least one commodity to use eBLs by 2025; 26 of FIATA’s Association membershaveadoptedtheeFBL(electronicFIATAbillof lading)andhavebeguntodistributeittotheirmembers.

Whatpaperlessglobaltradecanachieve

With global trade set to double in real terms and quadruple in dollar terms by 2050, a worldwide transition away from legacy processes must take place so that the supply chain can work smarter. A 2022 report from the Commonwealth Connectivity Agenda estimated that adopting digital trade documents could generate $1.2 trillion for member countries by 2026, with exporters cutting costs by about 75%. Digitalisation in container shipping will unlock trade, it will simplify information exchange, support real-time insights and reduce costs. It can also contribute to sustainability efforts by minimising print and reducing courier transportation of printeddocuments.

How can global trade go paperless?

Interoperable systems can pave the way for paperless global trade by enabling seamless data exchange and eliminating the current practice of manually aggregating data from various channels. This will transform operations, save labour and free up skilled operatives to focusinsteadonthecustomerexperience.

Interoperabilityplaysacrucialrolebecausewithoutit, supply chain stakeholders must subscribe to the same platforms to exchange information. This is an obstacle to rapidandeffective informationexchange because signing uptomultipleplatformstakestimeandresources.

Digital standards provide the means for system interoperability and platform-agnostic, seamless data exchange. They create a structure for the transfer of standards-based information between platforms, providingbridgestoconnect”digitalislands“. Making paperless global trade happen

DCSA’s standards can help smooth the path towards paperless trade so that stakeholders along the supply chain can rapidly exchange digital information. You can get a full overview of DCSA’s standards, including eBL, fromtheDCSAstandardspage.

To learn more about paperless trade, the changes it canbringwithintheshippingecosystem,andtheimpactit can have on global trade, access DCSA’s ebook, Streamlining international trade by digitalising end-toend documentation. You can also hear from Thomas Bagge, DCSA’s CEO, alongside industry panellists in this video discussing how digitalisation will happen.

TostayuptodatewithDCSA’snewsandtheindustry’s progress towards digital trade, we hope you will also subscribe to our community. Collaboration and standardisation are paramount to transform container shipping. The shipping sector is ready for innovation. We look forward to witnessing a reality where shippers, carriers, and all parties in the supply chain, are unencumbered by legacy processes and environmentally unsustainable practices. Let’s collaborate and step into thenewageofdigitalinformationexchange.

VESSELS DUE AT NSFT/NSICT/NSIGT/GTI/BMCT FOR EXPORT LOADING

North Continent, Scandinavian Ports & Ashdod, Piraeus, Thessaloniki, Athens, Unifeeder Group Unifeeder Ag. U.K., North Continent & Scandinavian Ports. Dron.2 & TLP TSS L'Global Ag. U.K., North Continent & Scandinavian Ports. Dronagiri-2 AMI Intl. AMI Global U.K., North Cont., Scandinavian, Red Sea & Med. Ports.

Kalko Faredeal U.K., North Continent & Scandinavian Ports.

Team Leader Team Leader Felixstowe, Rotterdam, Antwerp, Hamburg, Barcelona, JWR CFS

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FOR U.K., NORTH CONT., SCANDINAVIAN, RED SEA & MED. PORTS from GTI

FOR U.K., NORTH CONT., SCANDINAVIAN, RED SEA & MED. PORTS from BMCT

TO LOAD FOR BLACK SEA, EAST EUROPE & C.I.S PORTS from NSIGT

TO LOAD FOR USA, CANADA, ATLANTIC, PACIFIC, SOUTH AMERICAN & WEST INDIES PORTS

TO LOAD FOR USA, CANADA, ATLANTIC, PACIFIC, SOUTH AMERICAN & WEST INDIES PORTS from GTI

VESSELS DUE AT NSFT/NSICT/NSIGT/GTI/BMCT FOR EXPORT LOADING

TO LOAD FOR WEST ASIA GULF PORTS From NSICT

Emirates Shpg. Jebel Ali, Sohar.

X-Press Feeders Sea Consortium Jebel Ali, Bandar Abbas.

LMR Logistic Ser. Jebel Ali, Bandar Abbas.

QNL/Milaha PoseidonShpg. Jebel Ali, Bandar Abbas.

Cordelia Cont. Jebel Ali, Sharjah, Abu Dhabi, Ajman, Dammam,Jubail, Hamad, Baharin, Shuaiba, Shuwaikh, Sohar, Umm Qasr

Alligator Shpg. Aiyer Shpg. Jebel Ali.

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BSS Bhavani Shpg. Jebel Ali, Doha, Kuwait, Bahrain, Bandar Abbas. Ashte CFS Seahorse Ship Gulf Ports.

LMT Orchid Gulf Ports.

Bay Line Freight Conn. Port Sudan & Al Sokhna

ICC Line Neptune UAE & Upper Gulf Ports.

Ceekay Parekh Gulf

Team Leader Team Leader Dubai, Jebel Ali

Team Lines Team Global Log. Gulf Ports.

TO LOAD FOR INDIAN SUB CONTINENT from BMCT

TO LOAD FOR FAR EAST, CHINA & JAPAN PORTS from NSFT

TO LOAD FOR FAR EAST, CHINA & JAPAN PORTS from NSICT

VESSELS DUE AT NSFT/NSICT/NSIGT/GTI/BMCT FOR EXPORT LOADING

TO LOAD FOR FAR EAST, CHINA & JAPAN PORTS from BMCT

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TO LOAD FOR EAST, WEST &

IMO announces World Maritime Theme 2024: “Navigating the future: safety rst”

LONDON:Maritimesafetyinanera of new technologies and alternative fuels central to IMO World Maritime Themefor2024.

“Navigating the future: safety first!” has been selected for the International Maritime Organization’s 2024 World Maritime Theme, which will culminate in the celebration of World Maritime Dayon26thSeptember2024.

The theme reflects IMO’s work to enhance maritime safety and security, in tandem with the protection of the marine environment, whilst ensuring its regulatory development process safely anticipates the fast pace of technologicalchangeandinnovation.

IMO Secretary-General Kitack Lim said:

“This theme would allow us to focus on the full range of safety regulatory implications arising from new and adapted technologies and the introduction of alternative fuels including measures to reduce GHG emissions from ships as IMO strives to ensure the safety and efficiency of shipping are maintained, and potentially improved, so that the flow of seaborne international trade continues tobesmoothandefficient.”

Safety has been at the heart of all of IMO’s activities since the Organization was established in 1948. The regulatory framework is continuously evolving as gapsbecomeapparentandasaresultof IMO’s proactive work to anticipate changes needed to accommodate emergingtechnologiesandinnovation–a prominent example being the currently ongoing development of a goal-based Code for maritime autonomous surface ships (MASS Code).

2024 marks 50 years since the adoptionofthe1974SOLASConvention, the key IMO treaty regulating maritime safety.

Digitalization and automation are increasingly revolutionizing the shipping industry by introducing new technologies that enhance safety, security and efficiency, optimize performance, reduce environmental impactandensuresustainability.

Thisisimprovingtheoverallefficacy and competitiveness of the shipping industry, making it possible to design, construct and operate ships more efficiently, handle more cargo, reduce costs and enhance customer satisfaction.

Shipping transports about 90% of global trade and is the least environmentally damaging mode of transport. It is manifestly obvious that improving the safety of ships and reducing their greenhouse gas (GHG) emissions go hand in hand – both are critical to achieving a sustainable and efficient maritime industry. The theme “Navigating the future: safety first!” promotes IMO’s ambitious and accelerated GHG reduction policy whichincludestheassessmentofsafety risks,thatcomewiththeintroductionof new and adapted technologies and alternative fuels, and the development of regulatory measures to address and ultimatelymitigatethoserisks.

The theme is also closely linked to the UN 2030 Agenda for Sustainable Development and several of the UN’s Sustainable Development Goals (SDGs), particularly SDG 7 on ensuring access to affordable, reliable, sustainable and modern energy by facilitating access to clean energy research and technology; SDG 8 on promoting sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all; SDG 9 on building resilient infrastructure, promoting inclusive and sustainable industrialization and fostering innovation; SDG 13 on taking urgentactiontocombatclimatechange and its impacts; and SDG 14 on conserving and sustainably using the oceans, seas and marine resources for sustainabledevelopment.

The IMO Council, meeting for its 129th session, endorsed the theme following a proposal by IMO SecretaryGeneralKitackLim.