COSCO bulk divisions embrace electronic bills of lading

Modernizing shipment ownership proof for bulk and energy transport

{reg}COSCO's bulk divisions have adopted electronic bills of lading (eBL) for energy transportation and bulk shipments by joining the Global Shipping Business Network, based in Hong Kong.

Traditionally, both bulk and energy shipments have relied heavily on letters of indemnity (LOIs) as proof of shipment ownership when an original bill of lading is absent.

COSCO is now leading the way in updating this age-old method for the 21st century. Recently, COSCO Bulk issued its first eBL for Australian coal producer Yancoal, involving banks, traders, miners, and end-users in the entire business chain. Additionally, COSCO Energy issued the first eBL for a 30,000-ton domestic trade marine oil shipment for China National Offshore Oil Corporation this month. The bill of lading received confirmation from upstream and downstream parties before being returned to the carrier for the release process.

Bertrand Chen, CEO of GSBN, stated, “Our goal has always been to develop GSBN into a platform that can support the full spectrum of shipping. This announcement represents a significant milestone for the consortium and the digitization journey for the industry. The successful issuance of eBLs for bulk cargo and energy shipments will also unlock greater trade finance opportunities for the industry, as banks seek a unified point for interfacing with all types of eBLs and trusted shipping data, especially for high-value cargo like bulk and energy transportation."[/reg]