Britannia P&I Club has collaborated with CWA Singapore, Food & Agricultural Commodities department, to provide loss prevention guidance on transporting bulk soya bean cargo within the maritime sector.
In recent decades, the demand for both soya bean oil and soya bean meal has grown rapidly, driven by an increase in livestock cultivation in Asia.
The largest producers and exporters of soya beans are Brazil, the United States, and Argentina.
The route between Brazil and China is associated with a high volume of cargo claims, this reflects both the scale of the trade and the challenges presented by the voyage. The journey from Brazil to China is notably longer, often exceeding 30-40 days. The cargo is also exposed to a wide variation in temperature as vessels transit through equatorial and tropical climates. While vessels from the United States also pass through such regions, the longer voyage duration from Brazil increases the time the cargo spends in transit. It is during this time which any instability may result in cargo deterioration. While the high number of claims is in part due to the large quantity of beans carried on this route and the extended voyage time, the inherent biological characteristics of soya beans have also contributed to a rise in claims.
The differences between the national quality standards further contribute to this rise. Brazilian soya beans are assessed and certified at loading according to Brazilian soya bean standards, these differ in several key parameters from the Chinese standards. There are variations in the permitted moisture limit (14 % in Brazil and 13 % in China) and the classification of heat damaged beans.
Preventative measures
Effective loss prevention for soya bean cargoes relies on a combination of preparation, monitoring, and consistent documentation throughout the stages of the voyage. The following measures reflect industry best practices and draw on the lessons from recent claims, particularly on the Brazil to China trade route.
Pre-loading preparation
Prior to loading, cargo holds should be presented in a clean, dry, and odour-free condition, with all residues, flakes, and debris removed. Photographic evidence of hold cleanliness and dryness, together with inspection certificates should be retained as evidence.
Cargo hatch covers must be maintained weathertight. It is recommended to regularly confirm that the hatch cover sealing system remains effective (best demonstrated by ultrasonic testing), including the functionality of the hatch cover coaming drain lines.
Before cargo enters the holds, vessels should request or receive a cargo declaration and details of preloading analysis results.
During loading
Loading operations should be suspended during rain as the introduction of additional moisture onto the cargo will increase the risk of deterioration. During loading stoppages, the specific reason for each interruption should be clearly documented.
If possible, any evidence, photographs or records of the shipper’s representative sampling carried out, the loading sequence and any variations between parcels should be collected. Photographs of the cargo during loading should be retained. If possible, an independent surveyor should be appointed to monitor loading and cargo conditions.
Where possible, the crew should take their own cargo temperature measurements using a calibrated temperature probe. The probe should be inserted into the cargo and allowed to equilibrate for several minutes, or until the reading stabilises to ensure that the temperature recorded is accurate. Periodic measurements taken during and at completion of loading are ideal with multiple points of measurement taken across the cargo surface in each hold. These measurements provide a baseline for assessing whether any heating has occurred and can support the vessel’s ventilation log. Where cargo temperatures are high or significantly exceed ambient conditions during loading (+10°C above ambient or cargo temperature above 35/40°C), a letter of protest may be issued.
A continuous visual inspection during loading is essential. The crew should note any signs of abnormalities in the incoming stream of cargo. If such issues are detected, loading should be paused, and the matter should be raised with Charterers and the P&I club.
Laden passage
Record keeping during the voyage is a key requirement and will assist in the event of a claim. Crew should document ventilation operations, ambient temperatures, weather conditions, and vessel operations. The vessel should consider potential heat transfer from fuel oil tanks adjacent to cargo holds. If fuel heating is operationally required, the crew should clearly document the duration and temperature of any heating and heating temperatures should be kept to a minimum. Ideally, fuel oil should not be heated in tanks adjacent to laden holds.
Fumigation must be conducted by an accredited professional, and the vessel should retain all fumigation documents. The crew should follow the fumigators’ guidance precisely throughout the voyage. It is recommended that the appointed fumigator is a member of professional register such as the GAFTA approved register. More details regarding the fumigation of grains and oilseed cargoes can be found here.
On occasion, charterers may request that fumigant sleeves are removed at a point before arrival at the port of discharge, for example if stopping for bunkers. Communications relating to this activity must be retained and the physical handling of fumigant and associated equipment must only be carried out by external experts. If excessive ventilation is required prior to sleeve removal, and the ambient conditions do not match the ventilation rule being followed, it may also be necessary to issue a letter of protest to the charterers.
Ventilation during the voyage should be carried out in accordance with the established dew point or three-degree rule. The dew point rule calls for ventilation when the dew point of the outside air is lower than that inside the holds. The three-degree rule calls for ventilation when the ambient air temperature is at least three degrees Celsius lower than the cargo temperature. Either rule is acceptable as long as it is applied consistently throughout the voyage although it is recommended that the three-degree rule is followed since it is easier to apply. The crew should record their calculations and decision whether or not to ventilate in the ventilation log and give justifications for times when ventilation is not carried out. This can be supported by weather reports and supplemented by photographs of weather/sea conditions. Ambient temperatures should be measured at every watch change and ventilation should be adjusted according to the external conditions to ensure ventilation is correct.
Often ships are instructed to remain at anchor for prolonged periods prior to berthing at the port of discharge. The longer the cargo remains on board the ship, the more the cargo quality will deteriorate. Whilst the ship cannot control the berthing schedule, the master may consider sending a letter of protest to the receivers.
Discharge port
Upon arrival at the discharge port, the crew should document the initial hatch cover opening. Photographs and observations should capture the conditions of the cargo surface. If any evidence of damage is observed, discharge should be paused. We recommend that the Club is notified promptly, and that an experienced surveyor is appointed to represent the Member’s interests.
All decisions taken by the Receivers, stevedores and other parties should be carefully documented. Clear photographs should be taken of the pattern of damage present in the hold, the conditions of the beans up close and of any localised damaged areas. The photographs should be dated, and the hold and location of the damages should be noted.
Read the full report: Britannia Loss Prevention – Carriage of bulk soya bean cargo