Get unlimited access to the best of MySeaTime for less than ₹100/week. Become a member

Members only

Shipper, consignee and Notify party, explained.

115

shipper-consignee-notify-party

There is sometimes great confusion as to the actual identity of shipper, consignee and notify party. Here I explain these terms which are widely used in shipping specially in the bill of ladings.

Shipper: Who is this guy ??

Many believe “Shipper” is the supplier or owner of the goods being supplied. It is true but not always.  The business directory defines shipper as  the party responsible for the shipment. When a buyer of goods enters into a contract with seller of the goods through sale contract, apart from other things they also decide who would arrange for the transport. In the multi-modal transport, they may decide which leg of transport is under whom. Who bears what risk is also the basis of various INCOTERMS defined by the International Chamber of Commerce.

If the buyer of the goods is responsible for sea transport, he would arrange for a ship to carry the goods and enter into a “Contract of carriage” with the carrier. The buyer here would be “Shipper” under “Contract of carriage”.

Shipper is a term related to “Contract of carriage” but is also closely related to sale contract. So the Shipper bears two hats. He is shipper under “contract of carriage” but he is buyer (or seller) under sale contract.

Consignee: Consignee is the person to whom the carrier (Ship) is supposed to deliver the goods. In most cases the consignee is the Buyer of the goods but not always. Consignee could be the agent nominated by the buyer. Consignee could also be the buyer’s bank.

Another principle different between the terms “Consignee” and “buyer” is that while “Consignee” is the term used in “contract of carriage”, the term “buyer” is used in “sale contract”.

Join now to access this article and much more.

Admin has placed this article behind a paywall, making it accessible only with a paid membership, which offers numerous perks:

  • Contribute to creating a platform for reading and writing without ads.
  • Enjoy all content here, including exclusive articles for members.
  • Gain access to all exclusive articles for members.

More like this

In blog, Ship Safety & Security

What is Risk Assessment and Why it is so Useful On Board ?

Many believe risk assessment is quite boring subject and has nothing to do with reality on board ships. Some also…

In blog, Ship Navigation

Marine radar: How best to set up to have it plot perfect targets on screen

Radars on board are probably the most used equipment during navigation. It is a good tool for the look out. We…

In blog, Cargo Operation, Maritime Law

Different types of bill of ladings

There are different criteria on which bill of ladings can be defined and differentiated. Few of these criteria being the…

In blog, Cargo Operation

A beginner’s guide of planning stowage on chemical tankers

There is no other way to have expertise in chemical tanker operations other than by working on board a chemical tanker. Chemical…

In blog, Marine Conventions

How to ensure Compliance with SOx and NOx requirements

Air pollution is a real thing. And the world can already see what damages it is causing. Air pollution has caused a…

In blog, Marine Engineering, Ship Navigation

Are your emergency & GMDSS batteries in good shape ?

Emergency batteries as well as GMDSS batteries onboard serve an important function. During a black out, emergency generator need some power…