Dangerous goods still causing supply chain hazards, says TT Club

29 June 2005

TT Club, the leading mutual insurance provider for the transport industry, has expressed renewed concern over continuing breaches of the International Maritime Organization's IMDG Code covering the carriage of dangerous goods. In an effort to improve the compliance ratio the Club has released the latest in its series of Stop Loss bulletins, focusing on the transport of packaged dangerous goods.

TT Club warned last November that adherence to the IMDG Code was mandatory under international law, but believes the situation still warrants renewed reminders and calls for vigilance. It points to major damages to ships and their crews resulting in fatalities and multi-million dollar losses.

Outlining the liability and insurance implications of any breach of the Code, the TT Club warns starkly: "The risk is that the person responsible for causing or allowing a breach of the IMDG Code will be held liable for all that follows. This may be the shipper, a freight forwarder or any other intermediary involved in the supply chain, including terminal operators and carriers."

"All insurances require the insured to comply with any national or international laws and conventions. Failure to comply with the law can invalidate your insurance," the Club continues.

TT Club is drawing attention to surveys carried out by enforcement agencies for the IMO which, it says, demonstrate that there is a substantial element of non-compliance with the provisions of the Code - the main elements being placarding and marking, documentation, stowage and securing inside the container, and labelling.

The Club says that analysis of non-compliance has indicated that about 70% is verifiable within the supply chain. Accordingly it states: "Those concerned with DG shipments should implement verification systems and, where possible, check that the correct labelling has been used on packages and the correct type and number of placards, marks and signs are applied on the outside of containers."

Amongst other measures the TT Club is highlighting the need for employees who are involved in any way with dangerous goods shipments to be fully trained.

It also reminds operators that documentation needs to be checked to ensure that all the required information has been given, and that, at the very least, the proper shipping name and the UN number correctly relate to each other and the declaration and the container packing certificate are both signed.

"If two substances are said to be stowed in the same container confirm that they are compatible," the Club warns. "If there is anything that is not correct, the shipment should not be allowed to go forward until it has been rectified."

For the full Stop Loss bulletin recommendations, TT Club is advising members to contact its offices in their local region.

ENDSNote to Editors:

The TT Club is the international transport and logistics industry's leading provider of insurance and related risk management services. Established in 1968, the Club's membership comprises ship operators, ports and terminals, road, rail and airfreight operators, logistics companies and container lessors. As a mutual insurer, the Club exists to provide its policyholders with benefits that include specialist underwriting expertise, a world-wide office network providing claims management services, and first class risk management and loss prevention advice.

For further information please contact:

Ian Lush, Marketing Director, TT Club

Tel: +44 (0)20 7204 2642


ian.lush@thomasmiller.comwww.ttclub.comMedia contact:

Peter Owen, ISIS Communications

Tel: +44 (0)1737 248300


info@isiscomms.comwww.isiscomms.comA full archive of all TT Club news releases and photographs is available from the ISIS Communications Press Room at www.isiscomms.com

Staff Author

TT Club