Fifteen countries have officially expressed their support for the new UN convention known as “Rotterdam Rules”.
The countries signed the convention that describes the rights and obligations involved in the maritime carriage of goods.
Important trading and seafaring nations such as the United States, Norway, Greece and the Netherlands are among the signatories.
The Rotterdam Rules bring more clarity regarding who is responsible and liable for what, when, where and to what extent when it comes to transport by sea. The convention will give world trade a boost, considering that 80 percent of world trade is conducted by sea.
If the same law applies all over the world, this will promote international trade and make it more efficient and clearer.
The signing took place in Rotterdam, the city after which the UN convention is named. The following countries have signed the convention: Congo, Denmark, Gabon, Ghana, Greece, Guinea, the Netherland, Nigeria, Norway, Poland, Senegal, Spain, Switzerland, Togo and the US.
The UN convention will not take immediate effect. Only one year after 20 countries have ratified it will the Rotterdam Rules officially come into force.
The Rotterdam Rules are the first rules governing the carriage of goods by sea and transport by land, which used to require separate contracts.
Also, responsibility and liability during the whole transport process will be clearly demarcated.
Furthermore, the convention puts in place the infrastructure for the development of e-commerce in maritime transport. This will mean less paperwork. The shorter turnaround times will reduce the chance of errors and lower costs.
Cargonews Asia
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