Cargo theft and seal discrepancy. How to avoid losses?

No one ships cargo intending to lose it. But unfortunately, container arrival with seal discrepancy is the reality for many exporters and importers. The hardest part is facing this reality and asking yourself how to win a cargo theft claim.

Failure to pursue proactively cargo pilferage claims is more common than we think.

Now, it’s easy to blame the exporter, shipping line, global congestion for lack of success to settle your claim. But insufficient evidence to point out to the liable party could be a sign that something else is wrong. So if you want to know what to do when your cargo is discharged with seal discrepancy read on.

A bolt seal, usually referred to as a “seal”, is a lock that is almost unbreakable and placed at the bottom of a closed container door for security reasons. Once a bolt seal has been broken or cut it is not reusable.

Sometimes, at POD a consignee may encounter his container has a different seal number to the number stated on the BL. Importer should be extremely alert if you are shipping cosmetics, electronics, consumer goods and foodstuff. These are commodities highly targeted by thieves, sometimes by malicious truck drivers, stevedores or crew members.

There may be various reasons for this discrepancy:

1. Typing error or improper number captured at time of manifesting the BL.
2. Seal is broken by customs officers at POL or in transit, resealed but the BL has not been amended.
3. Seal broken for theft/pilferage purposes and replaced with a new seal. This one is the most common reason of theft cargo claims.

Steps for a consignee to take in the case of a seal number discrepancy:

1. Check the original seal number declared by the shipper or stuffing company against the actual seal and manifested seal number.
2. Advise the shipping line who issued the BL of the discrepancy and put them on notice for all losses of cargo. Invite shipping line to attend joint survey.
3. With carrier’s representative open container doors to assess loss extent. In case shipping line declines joint survey invitation or is not responsive take video and pictures at the time container doors are opened.
4. Gather VGM from the shipper / exporter to prove that full cargo quantity was loaded at origin. Pre shipment survey report would be extremely helpful here to prove that loss happened when cargo was in shipping line’s custody.
5. 5Pursue your claim immediately from the shipping line.

Never Say “It is impossible to know where cargo was stolen” Again

Failure to recover losses can be daunting at first, but if you know what steps to take and which evidence to gather to win cargo theft claim, container discharge with deal discrepancy doesn’t have to be the end of the world.

Let’s get it done.