Unit 8 Poor Nations, Rich Nations

1. Unit 8 Poor Nations, Rich Nations

2. Definition: Bill of Lading or blading for short, it is a document signed by or on behalf of the master of a carrying vessel, certifying that the goods have been received on board in good order for transportation and delivery as specified in the document.

3. Consignee • the buyer’s name • “to order” in the consignee space, and the name and address of the agent underneath “to order”, then the agent can endorse the bill of lading to the buyer.

4. Functions: First, it serves as a receipt for goods signed by the shipping company (carrier) and given to the shipper (consignor); Second, it’s evidence of a contract of carriage between the carrier and the consignor; Third, it conveys a document of title because the legal owner of the bill of lading is the owner of the goods it covers.

5. Process The shipper fills in the form and sends it to the ship, then the officer of the shipping company checks the goods and signs the Bill. The shipping company sends the Bill of Lading to the exporter or his bank. These negotiable Bills of Lading are used for payment. They are passed on to the buyer or the exporter’s agents in the importing country. Then the Bills of Lading together with other shipping documents are presented to the shipping company when the ships arrives. The shipping company compares the negotiable Bills of lading with their copy on the ship. Then the buyer can obtain the goods from the ship.

6. Process _______fills in the form and sends it to the ship, then the officer of ___________________ checks the goods and signs the Bill. The shipping company sends the Bill of Lading to the __________or his__________. These negotiable Bills of Lading are used for payment. They are passed on to the _________or the ________________in the importing country. Then the Bills of Lading together with other shipping documents are presented to the ________________when the ships arrives. The shipping company compares the negotiable Bills of lading with their copy on the ship. Then the __________can obtain the goods from the ship. The shipper the shipping company exporter bank buyer exporter’s agents shipping company buyer

7. Different types • clean Bill of Lading(清洁提单) • foul or claused Bill of Lading(不清洁或备注提单) • __ if defects are unavoidable, what to do “shipped in apparent good order and condition” . It is issued when the good do not show any defects on their exteriors at the time of loading at the port of shipment. This type is favored by the buyer and the banks If detects are found on the exteriors of the goods, or the shipping company does not agree to any of the statements in the B/L, the bill will be marked as “unclean”, “foul”, or “… packages in damaged condition”.

8. Straight bill of lading has a designated consignee. Under the bill only the named consignee at the destination is entitled to take delivery of the cargo. As it is not transferable, it is not commonly used in international trade and normally applies to high-value shipments or goods for special purposes. It means that there is no definite consignee of the goods. There usually appear in the box of consignee words like “To bearer”. Anyone who holds the bill is entitled to the goods the bill represents. No endorsement is needed for the transfer of the blank bill. Due to the exceedingly high risk involved, this bill is rarely used. • Different types • straight Bill of Lading (记名提单) • blank (open, bearer) Bill of Lading (不记名提单) • order Bill of Lading (指示提单) It is widely used in international trade. It means that the goods are consigned or destined to the order of a named person. In the box of consignee, “to order”, “to order of shipper”, or “to order of the consignee” is marked. It can be transferred only after endorsement is made.

9. It is issued by the shipping company after the goods are actually shipped on board the designated vessel. Most bill of lading forms are preprinted as “shipped bill”. • Different types • on-board Bill of Lading (已装船提单) • received-for-shipment Bill of Lading (备运提单) • direct Bill of Lading (直达提单) • transshipment Bill of Lading （转船提单） It means the goods are shipped from the port of loading direct to the port of destination without involving transshipment.

10. It is sometimes necessary to employ two or more carriers to get the goods to their final destination. Usually the first carrier will sign the bill of lading. Combined transport B/L is ideal for container movements. It differs from “through B/L” in that combined transport is operated by only one carrier. • Different types : • through Bill of Lading （联运提单） • combined transport B/L (多式联运提单） • long form Bill of Lading （全式提单） • short form Bill of Lading （略式提单） Long term B/L is more detailed with shipping contract clause printed on the back of the page.

11. The air waybill is the consignment note used for the carriage of goods by air. It is basically a receipt of the goods for the dispatch and evidence of the contract of carriage between the carrier and the consignor. • Different types • air waybill (空运单) • __ a receipt for goods and a record of the existence of a • contract of carriage • railway consignment note (铁路托运单) • liner waybill (班轮运单) • charter-party bill of lading (租船契约提单、包租船提单) Consignment note for rail transport serves as the contract of carriage between the railway and consignor, evidencing the receipt of the goods and the date of acceptance for carriage for carrier. Unlike B/L, it is not a document of title and is not transferable or negotiable.

12. Modes of International Cargo Transport Sea/Ocean Transport Rail Transport Air TransportRoad Transport Inland Waterway Transport Container Transport International Multimodal Transport Parcel Post Transport

13. Carriage of goods can take place by sea, rail, air, road, inland waterway, parcel post, containers and multimodal transport

14. Sea transport (ocean transport) Kinds of Vessels: general cargo vessels Oil tankers Container vessels Oil/Bulk/Ore (OBO) vessels Ro/Ro vessels LASH (lighter Aboard Ship) Refrigerated ship Timber ship

15. Commercial Vessel • Liner • tramp

16. Freight “W” = weight ton “M” = measurement ton “Ad Val” =price and value “W/M” = weight ton or measurement ton subject to the higher rate “W/M or Ad Val”