... and helps enormously
in the event
of insurance claims
INDEPENDENT INSPECTION and analysis of freighted commodities has become a critical focus area for companies involved in import or export, according to divisional manager for Inspectorate M&L, John Newman.
Essentially our role is to act as an honest broker between buyer and seller in the event of any form of verification being required, and to facilitate amicable financial arrangements between buyers and sellers in the event of a dispute.
Newman uses the hypothetical example of an export order of 10 000 tons of sugar worth R10 per kilogram to illustrate the extent of financial risk which can be minimised. Weight and loss is verified by Inspectorate M&L, but when the sugar is analysed by its laboratories there is a moisture content of 1%.
This represents an immediate loss to the buyer or dispute of R1 000 000 plus the cost of freighting the moisture which is a further loss or dispute, says Newman.
In the case of insurance claims, Newman points out that independent inspection plays a vital role.
Insurance companies are not pushing for independent inspection of products in transit, but if you have to make a claim and if you are not sure at which point the goods were tampered with, you could be in for a long and tedious claim of 'pass the blame', he said.
Inspectorate M&L also offers advice on cargo packing, and through its parent company, British Standards Institution, assistance with export to countries where strict standards for products and the environment are in place.
