The government Friday introduced two significant bills in the Lok Sabha – the Carriage of Goods by Sea Bill, 2024, and the Bills of Lading Bill, 2024 – aimed at aligning Indian regulations with international standards and easing operations.
The Carriage of Goods by Sea Bill, 2024, aims to modernize India’s maritime cargo laws, Ports Shipping and Waterways Minister Sarbananda Sonowal said.
The Bill updates the Indian Carriage of Goods by Sea Act, 1925, which was based on outdated Hague and Visby Rules.
The new bill aligns Indian regulations with current international standards by revising the responsibilities, liabilities, rights, and immunities of carriers in the shipping industry.
One major change in the bill is replacing the term “Rules” with “applicable rules,” reflecting modern standards. The bill also grants the Central Government the authority to amend these rules through notifications in the Official Gazette, allowing for swift updates while maintaining parliamentary oversight.
Furthermore, it removes exemptions for contracts made before January 1, 1926, creating a more uniform legal environment for maritime trade. The bill includes provisions for a smooth transition from the old legislation and gives the Central Government the power to issue necessary directions for implementing the Act.
The Bills of Lading Bill, 2024, focuses on updating the handling of bills of lading. It ensures that “every consignee of goods named in a bill of lading and every endorsee of a bill of lading… shall have transferred to and vested in him all rights of suit, and be subject to the same liabilities” as if the contract had been made directly with them. This means that the rights and obligations associated with the goods automatically transfer with the bill of lading.
Additionally, the bill provides that “every bill of lading in the hands of a consignee or endorsee for valuable consideration… shall be conclusive evidence of such shipment as, against the master or other person signing the same,” even if the goods were not actually loaded, unless fraud is proven. This protects the transferee’s rights by treating the bill as definitive proof of shipment.
The Bills of Lading Bill also repeals the Indian Bills of Lading Act, 1856, and allows the Central Government to issue directions for implementing its provisions. This ensures a more streamlined and modern legal framework for managing bills of lading.
