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Digital Container Shipping Association said its 9 members committed to 100% adoption to electronic bill of lading by 2030
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Converting to eBL could save $6.5 billion in direct costs for stakeholders, and enable $30 billion to $40 billion in annual global trade growth, the association said
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Ocean carriers issue 45 million bills of lading yearly, only 1.2% of which were electronic in 2021
Nine ocean carriers that are members of the Digital Container Shipping Association (DCSA) have committed to 100% adoption of an electronic bill of lading (eBL) based on DCSA standards by 2030.
Switching from the transfer of physical paper bills of lading could save $6.5 billion in direct costs for stakeholders, enable $30-40 billion in annual global trade growth, transform the customer experience and improve sustainability, said DSCA in a statement.
The nine signatories are Mediterranean Shipping Company, Maersk, CMA CGM Group, Hapag-Lloyd, Ocean Network Express Holdings, Ltd., Evergreen Marine Corp., Yang Ming Marine Transport Corp., HMM Co. Ltd., Zim Integrated Shipping Services Ltd.
The bill of lading functions as a document of title, receipt for shipped goods and a record of agreed terms and conditions. Ocean carriers issue around 45 million bills of lading a year. In 2021, only 1.2% of these were electronic.
DSCA said manual, paper-based processes are time-consuming, expensive and environmentally unsustainable for stakeholders along complex supply chains. Paper-based processes breakdown when cargo in ports cannot be gated out because original bills of lading, or title documents fail to arrive or cannot be manually processed in time. In contrast, digital processes enable data to flow instantly and securely, reducing delays and waste, the association said.
Transforming document exchange through the eBL will also accelerate digitalization to benefit customers, banks, customs/government authorities, providers of ocean shipping services and all maritime supply chain stakeholders.
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Thomas Bagge, CEO of DCSA said: “The digitalization of international trade holds vast potential for the world economy by reducing friction and, as trade brings prosperity and the eBL will further enable trade, helping bring millions out of poverty… Document digitalization has the power to transform international trade and requires collaboration from all stakeholders.”
Soren Toft, CEO, MSC Mediterranean Shipping Company: “Our industry needs to accelerate digitalisation to help make shipping more efficient, more secure and a better experience for our customers. On top of these benefits, moving to 100% eBL will contribute towards our climate goals, as we move towards net zero 2050.”
Vincent Clerc, CEO A.P. Moller -Maersk: “A fully digitised bill of lading enables a more seamless customer experience across the supply chain and in turn it will help democratise trade and reduce time and costs for all involved parties. The need for digitisation in logistics is urgent, and the industry needs to speed up the process.”
Olivier Nivoix, Group Executive Vice-President, Shipping, CMA CGM Group: “The 100% eBL goal is an important milestone for the shipping industry, paving the way for the digitization of the entire value chain. It will help reduce lead times and costs, improve customer satisfaction and achieve CSR goals.”
Rolf Habben Jansen, CEO, Hapag-Lloyd: “We have been offering our customers electronic bills of lading since last year to simplify and streamline document handling for all stakeholders and to reduce our carbon footprint… The target of having 100% eBL by 2030 is an important part of digitalising global supply chains and will require a collective effort from the industry to make it a reality.”
Jeremy Nixon, CEO, Ocean Network Express Holdings, Ltd.: “A significant acceleration in eBL usage will pave the way for ever greater interoperability across global supply chains. As ONE, we are pleased to be a key part of this and to provide overall a better customer service experience.”
Eric Hsieh, President, Evergreen Marine Corp.: “Evergreen is committed to the advantages offered by a universal eBL system —efficiency, innovation, reliability, sustainability… We’re very pleased to see DCSA members support this initiative that will bring tremendous benefits not just to container shipping, but to the entire supply chain and everyone who relies on international trade.”
Cheng-Mount Cheng, Chairman and CEO, Yang Ming Marine Transport Corporation: “Digitalising the bills of lading is an inevitable trend that will undoubtedly bring benefits to the supply chain. However, the transformation requires the support from all stakeholders and carriers. Yang Ming recognises DCSA’s efforts to accelerate maritime digitisation, and is proud to be a part of the 100% eBL goal.”
Kim, Kyung Bae, President and CEO, HMM Co. Ltd.: “Adopting electronic bills of lading will be a significant milestone in improving efficiency, reducing costs and enhancing security in the transportation service.”
Eli Glickman, President and CEO, Zim Integrated Shipping Services Ltd.: “As an innovation-driven company we were very proud to pioneer electronic Bills of Lading as early as 2017, on our WAVE platform. Since then, we have come a long way, digitalising documentation for customers in many countries. Being part of this industry-wide effort to set the standards and reach 100% eBL is a natural outcome of our digitisation efforts, our ESG commitments and our core values.”
