Actions Logistics proudly welcomes
you to another exciting video! We are a freight forwarder
located in Port Klang, Malaysia. Welcome back to "Adrian The Logistician"! In today's video, we're diving into the world
of Bill of Lading, commonly known as B/L. If you're an exporter or importer, understanding the different types of B/L
is crucial for smooth shipping operations. So, let's demystify the functions of Original
B/L, Surrendered B/L, and Seaway Bill! To help us understand these concepts better, I asked for some help from Siti, an
ambitious exporter from Malaysia. Siti is shipping a batch of electronic
devices from her factory to the United States. Hi, everyone! I'm excited to learn
more about B/L and its different types. As an exporter, I want to ensure a
seamless shipping process for my goods. Great, Siti! Let's begin by explaining
the function of each type of B/L. Adrian: The Original Bill of Lading, or Original
B/L, is like the passport for your goods. It's a crucial document representing
the title of the shipped goods. Just like how a passport allows
you to enter different countries, the Original B/L grants access to
your goods at the destination port. Original B/L must be presented to the carrier
at the destination port to claim the goods. Siti, imagine you're exporting a
container of electronic devices to a customer in the United States. The Original B/L would be issued to you, and
upon arrival, your buyer must present it to the shipping line or agent at the destination
port to take possession of your cargo. Hence you shall courier out
the original B/L to your buyer. Ah, so the Original B/L is like the key that
unlocks the shipment at the destination. I need to keep it safe! Absolutely, Siti! The Original
B/L is a valuable document, and losing it could cause delays or
complications in receiving your goods. Some shipping lines even required you to lodge
a police report if you lose your Original B/L! What! Now, let's discuss the Surrendered
Bill of Lading or Surrendered B/L. Surrendered B/L is another way to release the B/L. This type of B/L came into play when
your buyer decided only to pay you the total amount of the commercial
invoice after the vessel sailed. You wanted to remain in control of
the ownership of the goods and reduce the risk of not receiving payment from
your buyer after he received the goods. So you will hold the original
B/L until the payment is made. Once you have confirmed the payment has
been made, you must send the original B/L back to the shipping line & instruct
the shipping line to surrender this B/L. Once you surrender your B/L to the shipping
line and the ownership of the goods is transferred to your buyer, he can only process
the necessary customs clearance process then. Don't forget to bring along your company stamp, as the shipping line requires your company
stamp to be stamped behind the original B/L. Oh, that's good! It helps me to reduce my risk
tremendously, so now I can sleep well even though this is the 1st time I have dealt with this buyer
& he requested to only pay me after I got the B/L. Exactly! The main difference between
the original B/L and the surrendered B/L is how you release your cargo to your buyer. One is your buyer needs to
present the original physical B/L. Suppose you only decide to courier the original
B/L to your buyer after receiving payments. In that case, it may cause a delay
in the process & may incur additional storage charges if the transit
time of the cargo vessel is short. Lastly, let's talk about the Waybill, also
known as Express Release Bills of Lading. The Sea Waybill is a document used
when a shipper wants to immediately release the ownership of their cargo
once the cargo vessel is sailed. Unlike traditional bills of lading, it
simplifies the process by allowing the person identified in the document to receive
the goods simply by verifying their identity. Now, you might wonder when it is better to
use a Sea Waybill? Here are a few scenarios: High Degree of Trust: A Sea Waybill can be an excellent
choice if there's a strong level of trust between the shipper and the consignee. It eliminates the need for
additional documentation, allowing for a more streamlined
and efficient shipping process. Since it travels through the
ethereal realm of the digital, bringing speed and efficiency
to your shipping adventures. With a mere swipe and tap, you unlock
a new era of streamlined logistics." Approved Line of Credit: A Sea Waybill can be used when the goods are
paid for with an approved line of credit. It simplifies the process by removing the
requirement for presenting additional documents, making it convenient for both
the shipper and the consignee. Using a Sea Waybill offers several benefits. First, it saves time and effort by
eliminating the need for complex paperwork. Second, it provides a faster cargo release since the goods can be delivered as soon
as they're available at the port. Lastly, it enhances trust and collaboration
between the shipper and the consignee, creating a smoother shipping experience overall. So, to recap, the Sea Waybill is a document
that simplifies the shipping process by allowing the immediate release of cargo
without the need for additional paperwork. It's ideal when there's trust between the
shipper and consignee, no trading or selling of goods during transit, or when payment
is made using an approved line of credit. Now that we've covered the functions
and differences between Original B/L, Surrendered B/L, and Seaway Bill,
let's summarize some valuable tips and scenarios to help you understand them better. 1st Tip: Always communicate
with your freight forwarder to determine the most suitable type
of B/L for your specific shipment. They can provide guidance based
on your needs and destination. 2nd Tip: Properly endorse and transfer
the Original B/L when necessary, ensuring it reaches the consignee safely. Keep track of its progress to
prevent any delays or complications. And there you have it, folks! We've demystified Original B/L,
Surrendered B/L, and Seaway Bill functions. Understanding these different types of B/L will help you navigate the complexities of
international shipping more effectively. Thank you, Adrian! I've learned so
much about B/L and its various types. It's going to be extremely helpful
for my exporting endeavours. You're welcome, Siti! I'm
glad you found it valuable. To all our viewers, if you enjoyed
this video and want to learn more about logistics and shipping, make
sure to subscribe to our channel, like this video, and leave your
comments and questions below. Don't forget to hit that notification bell, so you never miss an update from "Adrian The
Logistician." Until next time, happy shipping!
