On 11 Oct 2016, The Myanmar Port Authority made an announcement of a new rule stating that consignees can get release orders from the Shipping Agency Department (SAD) as long as they can present a copy of the shipping lines’ B/L (MBL). With release order from SAD, consignees can take delivery of cargo from the port.
The implication of this rule is that consignee can go straight to SAD to get their release order without having to collect the release order from neither forwarder nor shipping lines. This practice poses the following threats:
- Forwarder and shipping lines may be unable to collect local charges and/or freight charges at destinations.
- More importantly, forwarder and shipping lines may be unable to retrieve original bill of lading being issued at origin ports.
Before the effective date of this new rule, Bee Logistics has contacted SAD and they confirmed that consignees would have to present the MBL in exchange for the release order. So it is assumed that, as long as one does not reveal the MBL to consignee beforehand, they would have to come to Bee Logistics first in order to get the MBL. However, Bee Logistics has noted two actual cases where consignee was able to obtain a release order from SAD without getting the MBL from the forwarder. SAD’s requirement for only a copy of the MBL has created a legal loophole for possible conspiracy between consignee and SAD staffs. Shipping lines have to submit manifest with copies of MBL to SAD before vessel berthing. Therefore, we cannot prove that SAD does not have a copy of the MBL before they give the release order to a consignee.
Shipping lines and forwarders are pressing relevant authorities for counter-measures for the above mentioned risks of uncollectible freight and charges, as well as original B/Ls as per international sea transportation practices. While waiting for their answer, Bee Logistics would like to inform you about the situation to alert shippers that holding the original B/L no longer guarantees payments for their goods. Bee Logistics is also not in the position to ensure the retrieval of the original HBL nor payments from consignee for freight collect or other destination local charges.
Stay tuned for updates of any new advancements.
Provide by:
Bee Logistics is member of CLC Projects representing Cambodia, Myanmar and Vietnam
View profiles:
Branch of Bee Logistics Corp. (Cambodia)
Bee Logistics (Myanmar) Co., Ltd
Bee Logistics Corporation (Vietnam)
View website: http://www.beelogistics.com
