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1 Rotterdam, 10 th of May 2016 Subject: Guideline and information regarding the SOLAS (Safety of Life at Sea) Chapter VI, Part A, Regulation 2, the VGM (Verified Gross Mass) of containers carrying cargo. Introduction: the SOLAS VGM requirements are to safeguard the safety of the ship and her crew by establishing a common approach regarding the verified gross mass of a container carrying cargo. GENERAL This document is dynamic. Other opinions, different views or requirements are likely to be raised in the near future. When does the new SOLAS VGM requirement set to go into effect? On July 1 st, Containers in transit, shipped from (original) loading port before July 1 st 2016, and to be loaded on our vessels after the July 1 st, 2016 are subject to new SOLAS VGM rules. What does Gross Mass mean? The container s tare mass and the masses of all packages and cargo items, including pallets, dunnage and other packing material and securing materials packed into the container. What does Tare Mass mean? The mass of an empty container that does not contain any packages and cargo items, including pallets, dunnage and other packing material and securing materials. What is the scope of applicability? The SOLAS requirement to verify the VGM of a packed container apply to all containers to which CSC (the Convention for Safe Container) applies, and which are to be stowed onto the ships operated by BG Freight Line or on those from their partners. The term container includes tank containers, flat-racks and Bulk containers.

2 Who is responsible for obtaining and documenting the VGM of a packed container? The responsibility lies with the shipper. Who is the shipper according the SOLAS? The shipper means a legal entity or person named on the bill of lading or sea waybill or equivalent multimodal transport document as shipper and/or who (or in whose name or on whose behalf) a contract of carriage has been concluded with a shipping company. What are the responsibilities of a shipper according the SOLAS? o The shipper needs to verify the weight. o The shipper needs to report the VGM in a shipping document, no matter who loaded the container on their behalf. o The shipper needs to make sure the shipping document is signed by an authorised person. o The shipper needs to liaise the shipping document to the shipping line. Which methods for obtaining the SOLAS VGM are prescribed? o Method 1: weigh a container by means of a certified and calibrated weighing facility. is always applicable for cargo in bulk. only after the container is fully loaded and sealed. o Method 2: calculate the mass of all packages and cargo items including pallets, dunnage and other packing material and securing materials packed into the container, and add the tare weight of the container. However this method is subject to certification and approval as determined by the competent authority of the state in which the packing and sealing of the container was completed. estimating the weight of the goods and container is not allowed. What jurisdiction applies? The jurisdiction of the country where the container was loaded. For example, if a container is loaded in Germany but loaded on board the vessel in Rotterdam, the German jurisdiction applies. EDIFACT Communications? All relevant EDIFACT messages have been modified to include the necessary segments for VGM. Information on EDI messages can be found on

3 CUSTOMER Who should report the VGM to BG Freight Line or their agent? The shipper, see also chapter general. When should you report the VGM to BG Freight Line or their agents? o A VGM cut-off deadline will be set (to be announced) allowing BG Freight Line or their agents to liaise the correct VGM to the terminals, the central vessel planners, the vessel management and/or their vessel sharing partners. o A VGM submission depends on the deadline of transmission and sharing information to the loading terminals. o BGF will soonest communicate the deadlines for each port and terminal of call, as we require some time to input manual or EDI bookings in the system to generate an EDI message to the terminals and vessels which includes a VGM. What other information should the shipper supply apart from the VGM? The shipper or their representative should also advise the verified consignment weights per container, which is required for e-manifesting to customs. What are the consequences if you do not provide a VGM to BG Freight Line or their agents? Or in case the VGM is incorrect. o The container will be on hold till the VGM is liaised by means of a transport document. o Any cost including weighing cost, repacking cost, terminal handling charges, additional haulage cost, demurrage and detention cost, administration cost and penalties or fines, imposed under the national legislation. o BG Freight Line will send a reminder to the customer (feeder operator, the shipper or the deep sea line agent) to supply the correct VGM. What and how should the shipper report the correct VGM? o BG Freight Line or their agents will accept the manual booking or shipping instruction which includes the VGM in a separate field, or the existing weight field replaced by VGM. o BG Freight Line or their agents will amend their IT systems to accept EDI bookings which includes a VGM such as Excel bookings or IFTMBF messages. Who should provide a correct VGM to BG Freight Line or their agents for transhipment cargo? o The shipper, the feeder operator or the deep sea line agent having custody of the container. o All packed containers discharged in the transhipment port should have already a VGM and further weighing in the transhipment port is not required.

4 Enforcement tolerance? o Regardless whether a local government decides on a particular enforcement tolerance, this has no bearing on what is required from the shipper. o The shipper must provide an accurate weight when making the VGM declaration.

5 BG FREIGHT LINE Will there be any additional cost? Yes, amount is still to be determined. Due to imposed cost from terminals, increased administration cost and EDI investments, we will implement an additional fee to our customers. Can BG Freight Line or their agents supply the correct tare weight of their containers? Yes, BG Freight Line or their agents will be able to supply the correct tare weight of their containers. The tare mass of the containers can be found as well on the doors of the containers. Is BG Freight Line or their agents obliged to check the correct VGM? BG Freight Line or their agents have no obligation to check the correctness of the liaised VGM. BG Freight Line or their agents have no obligation to weigh or calculate a VGM. How will BG Freight Line or their agents accept bookings or shipping instructions containing the correct VGM? o BG Freight Line or their agents will accept the manual booking or shipping instruction which includes the VGM in a separate field, or the existing weight field replaced by VGM o BG Freight Line or their agents will amend their IT systems to accept EDI bookings which includes a VGM in dedicated and harmonized fields such as Excel bookings or IFTMBF messages. How will BG Freight Line or their agents submit the bookings or shipping instructions containing the correct VGM to the terminals, authorities or their ships? o BG Freight Line or their agents will submit those by adjusted Coparn, Coprar, Cuscar, IFTMCS or Baplie files. o BG Freight Line or their agents will only submit the VGM and not the details of the person authorized by the shipper or the VGM method used to the terminals, authorities or their ships. What if any port or terminal carry out check weighing against a cost or levy? BG Freight Line or their agents will invoice these costs to the freight paying party of the subsequent shipment.

6 What happens if the shipper supplies only a VGM and no verified consignment weights per container? BG Freight Line or their agents are unfortunate not able to accept the booking basis the obligation to report the verified consignment weights per container via e-manifesting to the customs. Will there be a separate VGM cut-off? Yes, port and/or terminal VGM cut-off deadlines will be advised soonest, however they will differ depending the cut-off times per port and/or terminal.

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