Shipping & logistics

Draft survey

A method of calculating the weight of bulk cargo loaded or discharged by reading a ship’s draughts at six points before and after cargo work and correcting for seawater density, ballast, fuel and fresh water. For coal, ores, grain and fertiliser the bill of lading quantity is usually set this way, with an accuracy of about ±0.5 %. Having it performed by an independent surveyor such as SGS, Intertek or Bureau Veritas increases confidence on both sides.

Related terms

Bulk cargo (dry and liquid bulk)

Cargo loaded directly into a ship’s hold or tanks without packaging: grain, coal, iron ore, scrap, fertiliser and cement are dry bulk; crude oil, fuels, vegetable oils and chemicals are liquid bulk. Ship sizes are classed as Handysize (15–35k dwt), Supramax/Ultramax (50–64k), Panamax/Kamsarmax (65–82k) and Capesize (over 100k dwt). Quantity is determined by draft survey or weighbridge and quality by sampling at loading and discharge.

Pre-shipment inspection (independent inspection) PSI

An independent inspection company – SGS, Bureau Veritas, Intertek, Cotecna, CCIC, ALS and others – checks quality, quantity, packing and marking, draws samples and issues a report before the goods are loaded. The contract should state whether results are “final at load port” or “final at discharge”. Some countries require inspection under certificate of conformity (CoC) programmes for imports. It is one of the most effective safeguards when working with a new supplier.

Quantity tolerance (± %, “more or less”)

A clause in bulk and large-volume contracts accepting that the delivered quantity may deviate from the contract quantity by a set percentage, usually ±5 % or ±10 %. It states whose option the deviation is: the seller’s (MOLSO) or the shipowner’s (MOLOO). Over- or under-delivery within the tolerance is normally invoiced at the contract price, and the letter of credit must carry the same tolerance – otherwise UCP 600 allows only ±5 % for bulk goods.

Explained in the trade handbook

Trade handbook