London P&I Club warns industry over incorrect loading of jumbo bags

The London P&I Club has renewed calls on ship owners, operators and charterers to address potential risks when loading Flexible Intermediate Bulk Containers (FIBCs) containing dry chemicals. The warning follows a number of incidents reported across the industry including hold fires and cargo damage in bulk carriers and general cargo ships. The issue is particularly common with vessels loading in Chinese ports. 

Claims resulting from the incorrect storage and handling of FIBCs, also known as ‘jumbo bags’, can lead to significant claims, the Club notes. The Club also warns that failure to strictly comply with all relevant International Maritime Organization (IMO) regulations and guidance governing the storage and handling of jumbo bags could even prejudice P&I cover.  

To help industry to understand the risks associated with incorrect handling and stowage of jumbo bags, the Club has developed a detailed video case study of a fictional bulk carrier MV Calm Sea, which can be used by vessel owners, operators and charterers, crew and port agents as a training resource for identifying risks, liabilities and best practices.

Ian Barr, Chief Claims Officer at The London P&I Club said: “Given prevailing market conditions, assureds operating bulk carriers and general cargo vessels are receiving frequent requests to load jumbo bags in the same holds as breakbulk and steel cargoes or to store different bagged chemicals in the same hold. In cases of different bagged chemicals being stowed together, chemical contamination and reactions can lead to on-board vessel fires, which can result in the total loss of the entire contents of the hold and large claims. Serious problems also occur when FIBCs are stored incorrectly with breakbulk or steel cargoes, which can damage the integrity of the jumbo bags and cause significant spillage leading to delays, fines or claims.

“These cargoes may look harmless, but can be potentially very dangerous if not stowed and handled appropriately. We want to support the wider industry by raising awareness and helping operators globally to mitigate the risk of incidents and claims. We strongly urge owners, operators, charterers and Masters to use this resource and to be extra vigilant when developing stowage plans and loading FIBCs and other big bags onboard. They should alert their P&I Club so that assistance can be sought from qualified industry experts before proceeding.”

P&I cover may be prejudiced in the case of non-compliance with applicable regulations as adopted by the Flag State in relation to the storage of jumbo bags. This includes the International Maritime Organization’s (IMO) International Convention for the Safety of Life at Sea (SOLAS), the Cargo Securing Manual (CSM), the Code of Safe Practice for Cargo Stowage and Securing (CSS) Code and the International Maritime Dangerous Goods Code (IMDG) Code.

The video can be viewed or downloaded from here. A version in Chinese can be viewed or downloaded here.