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August 10, 2016

Allen Lund Company Newsletter

Emergent Issues in Distribution and Transportation

In This Issue
Weighing in on VGM

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Jenn Cole, Editor  
Allen Lund Company
Grand Rapids Office
(800) 641-5863 
Weighing in on VGM

If you are involved in exporting or importing from or through any port worldwide, please be aware of the new Verified Gross Mass (VGM) rule that was effective July 1, 2016. The new rule was a mandate from the International Maritime Organization. Using the Safety of Life at Sea (SOLAS) convention and citing maritime casualties where mis-declared weights played a part in shipping accidents, the new rule says that all containers must have paperwork verifying the total weight. Many were worried about major disruptions in movement of containers through the ports, but Mark Szakonyi, Executive Editor of JOC.com says that those fears seem to be akin to the flurry of worry prior to Y2K. It would appear that he was right.

The following is a very basic review of the new regulation. Any container shipping from a port cannot be loaded onto the ship without paperwork signed by an authorized representative of the shipper verifying the total weight of the product and the container it is shipping in. This is to provide the port master or his representative and the terminal representative advance notice of the weight of each container so that a safe stowage plan can be created. So far the only glitch in the works seems to be fees charged at the ports to weigh the containers if they come in without the proper paperwork. In India, the government had to step in after shippers complained of exorbitant fees. Here in the U.S., the fees vary from port to port but seem to range from $15.00 to $40.00.

We can be hopeful that this simple measure will indeed contribute to the safety of those at sea whose lives are dedicated to the essential movement of products around the world. Any disaster averted or life saved will make the annoyance of a bit more paperwork seem trivial.

  


Steve Kendall
Transportation Broker, Orlando

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Steve Kendall began his career with the Allen Lund Company Orlando office in February of 2014. He came on board with 11 years of experience in the transportation industry. He graduated from Olivet Nazarene University with a BA in English with minors in Education and Psychology. He also completed Post Baccalaureate work in Journalism at University of South Florida, and University of Florida.
About Allen Lund Company: Specializing as a national third-party transportation broker with nationwide offices and over 400 employees, the Allen Lund Company works with shippers and carriers across the nation to arrange dry, refrigerated (specializing in produce), and flatbed freight; additionally, the Allen Lund Company has an international division, which is licensed by the FMC as an OTI-NVOCC #019872NF, and a logistics and software division, ALC Logistics.  

 

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