Transnet IMO, SOLAS

VGM Workshop3rd June 2016

Fruit South Africa

Implementation Case Study

Mitchell Brooke

So why the need to verify the gross mass of packed containers?

Here’s why!

Example of fruit masses –

Unverified masses of fruit cartons were obtained from ancient generic samples taken.

Times have changed, market demands have changed, fruit conditions and packing

conditions have changed thus masses of cartons have changed…

• Current generic gross container mass packed with typical 15kg carton of Valencias –

Ave generic gross mass 15.8kg’s per carton x 80 ctn/pallet = 1,264kg’s per pallet x

20 pallets per container = 25,280 kg’s gross mass booked + 4,500 kg’s for container

tare mass = 29, 780 kg’s.

• Actual average VGM container mass packed with typical 15kg carton of Valencias –

average actual mass 18.5kg’s per carton x 80 ctn/pallet = 1,480kg’s per pallet x 20

pallets = 29,600kg’s + 400 kg’s for 20 pallet bases = 30,000kg’s + 4,650kg’s tare

mass of reefer container = 34, 650kg’s VGM. A differential of 4, 870kg’s

If a container ship loads 6,000 TEU containers from the

SA ports (e.g. SAECS) and all containers are under

declared by just 2,000 kg’s, the sum total of all the

containers under declared will be 12, 000 tons.

At an average of 20 tons per TEU, This equates to 600 TEU

equivalent containers just not there and no way to know

where the masses are displaced on the ship.

IT’S A NO BRAINER!

JUST GET GOING WITH VGM…

In considering the various aspects concerning the requirement by theInternational Maritime Organization (IMO), Safety of Life at Sea (SOLAS)convention to verify the gross masses of packed containers for export, a threepart set of guidelines has been published to assist the fruit industry indetermining best practice to comply with the requirements; where complianceis applicable. There are three main areas which have been identified inconsidering this requirement –

1. Implementation Guidelines to obtain the Verified Gross Mass (VGM) of Containers in terms of the IMO Requirements,

2. Implementation Guidelines to Notify Shipping Lines the Declaration of Verified Gross Mass (VGM) of Containers, and

3. Implementation Guidelines to Verify the Container Gross Mass through the SAMSA Appointed Third Party Certification and Approval Process under Method 2.

1. Implementation Guidelines to obtain the Verified Gross Mass (VGM) of Containers in terms of the IMO Requirements

2 Methods to Obtain the VGM of Containers

Method 1:1. Weigh the packed container independent of the transport

mode.2. Weigh empty container on truck prior to packing, weigh

packed and sealed container after packing and add the tare mass of the container to obtain the VGM.

Method 2:1. Weigh all cargo and dunnage to determine gross cargo mass

and add the tare mass of the container to obtain the VGM.

1. Implementation Guidelines to obtain the Verified Gross Mass (VGM) of Containers in terms of the IMO Requirements

Method 2 – fruit industry implementation:• Compliant floor scales to weigh individual pallets of fruit after

packing.• Record all pallet masses electronically on to IT systems. • Pallet masses are transferred electronically to pack station IT

systems and shippers IT systems.• Pack stations and shippers can determine gross cargo mass of

the packed container using the pallet masses.• 2% VGM tolerance is there for fruit mass loss.

2. Implementation Guidelines to Notify Shipping Lines theDeclaration of Verified Gross Mass (VGM) of Containers

• Most container lines will accept the NAVIS pre-advise as the VGMdeclaration. Lines may call for verified declaration to be submitted with SI.

• VGM Pre-advise will need verified gross mass of the container and nothingelse. Method 1 = VGM, Method 2 = gross cargo mass + tare mass ofcontainer as indicated on container door.

• Shippers must ensure nominated party submitting the pre-advise canobtain the verified mass and knows which method has been used todetermine the VGM and obtains method 2 shippers certification numberand signatory.

• Have the mates receipt / packing list include the VGM for traceability.• Shippers should include VGM method and required detail on the Q67

booking form.• Shippers are advised to include a form of disclaimer on the SI iro the

declared VGM.

3. Implementation Guidelines to Verify the Container GrossMass through the SAMSA Appointed Third Party Certificationand Approval Process under Method 2.

• VGM Method 2 will be required to be certified by a SAMSA appointed agency.• Shippers will be audited and this will include an audit at the weigh point to verify

weighing accuracy and compliance criteria.• SAMSA appointed agencies will guide shippers on the requirements.• FSA Guideline will include detail iro the compliance criteria and will annex

templates as examples of procedural criteria.• Shippers and/or shipping agents must ensure weigh points are aware of the

requirement and compliance criteria. Shippers have to notify the SAMSA agency toaudit weigh points.

• Shippers will receive certification number on completion of successful audit. Don’ttake chances make sure all weigh points are SAMSA accredited!

• Shippers are advised to keep records of all weigh points compliance criteria foraudit traceability. SAMSA will audit shippers and if found non compliant will bedelisted!

IF SHIPPERS ARE GOING TO OBTAIN VGM USING METHOD 2 AND ARE NOT CERTIFIED BY 27TH JUNE THEN WILL BE REQUIRED TO

OBTAIN VGM USING METHOD 1 IN THE INTERIM UNTIL CERTIFICATION IS OBTAINED.

PLEASE DON’T TAKE CHANCES!

Thank You