HCB Magazine April 2022

M O N T H LY

A P R I L

2 0 2 2

TANKS GOTTA MOVE DEPOT CAPACITY IS CRUCIAL TO TANK CONTAINER OPERATIONS LOGISTICS FIRMS PROFIT FROM DISRUPTIONS DIGITISATION STAKES ANOTHER STEP UN EXPERTS AGREE MORE CHANGES

T H E

I N F O R M AT I O N

D A N G E R O U S

S O U R C E

G O O D S

F O R

T H E

I N T E R N AT I O N A L

P R O F E S S I O N A L

S I N C E

1 9 8 0

HIS FUTURE. AND OURS. Young people represent the future for all of us, so if we want a prosperous, dynamic, forward-looking industry, it makes sense to provide proper training and opportunities for them.

With over 40 years of experience working with apprentices, we can offer the guidance, training and personal growth they are looking for. We give them the skills and training which would make them an asset to any company in the world.

Our apprentice program guides the next generation of workers, giving them the tools they need to become leaders themselves - this development of our people brings continuity of the ‘Fort Vale approach’, ensuring consistent support and service to our customers for years to come.

Sustainability comes in many forms, and is essential for the successful development of our business.

Not every company can do this. Not every company is Fort Vale.

FORT VALE. FOLLOW THE LEADER. Visit us at www.fortvale.com

®

UP FRONT 01

EDITOR’S LETTER

The past two years have – as we have said so many times

Tank container operators have in fact been very much

already – presented the chemical industry and its logistics

at the sharp end of supply chain disruptions and rising

partners with a whole slew of unprecedented and rapidly changing

costs, especially in the past year. Their assets are reliant on

challenges. It is, though, another truism that each challenge is

landside transport by road or rail, open to delays due to driver

also an opportunity.

shortages, port congestion, road congestion and rail repairs.

As the major logistics players report their annual results for

Once at sea, they have again been subject to slow steaming,

2021, we have seen the extent to which those challenges have

port delays and surging freight costs. And this has come at a

altered their operational pattern – in many cases very much for

time when tanks have been in great demand.

the better, in terms of financial performance. Quite a number have

As ITCO reveals in its annual survey of tank container fleets,

posted record earnings, though these have often been boosted

our report on which begins on page 8 of this issue, output

by high transport costs (in all modes, but especially in ocean

of new tanks rebounded in 2021 after the Covid-inspired

shipping) or, for chemical distributors in particular, rampant

reduction in manufacturing in 2020. Those new tanks have

chemical price inflation. Nonetheless, they have often translated

found a willing market, especially among tank operators keen

into high levels of profitability.

to reap the benefits of the surging demand from shippers of

In this issue, for instance, we report on Den Hartogh’s record performance in the intermodal sector last year. Stolt-Nielsen,

chemicals and other liquids.

How long can these conditions persist? Some analysts are

always ahead of the pack as its financial year runs to end-

predicting that ocean freight rates are nowhere near where

November, has reported first-quarter figures that also look very

they can be and there is also the threat that the lines will

good, with higher earnings from its tanker shipping activities and

prioritise their own containers at the expense of third-party

increased throughput at its terminals.

boxes and, most especially, those pesky tank containers with

Stolt Tank Containers has followed Den Hartogh’s example, with the global disruption in supply chains causing higher costs –

their heavy weights and potentially hazardous contents.

For those who want more insight, I would point you to page

which operators have been able to pass on – as well as increased

6 of this issue and our first column from long-time logistics

levels of demurrage revenue. The old ‘just in time’ approach to

expert Paul Gooch, who after a long career with Dow knows

supply chain management, with lean inventories and a reliance on

an awful lot more than I do. His analysis does not make

regular deliveries, is no longer viable; for tank container operators

comfortable reading although, as he points out, we have been

that means that shippers and consignees are often holding onto

through times like this before. This time, digitisation might just

tanks for longer, or they are being held at terminals and ports en

be the saviour – but beware of over-reaction.

route in the face of haulage capacity shortages.

Peter Mackay

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SAFE EFFICIENT INTELLIGENT GREEN

CIMC SAFEWAY TECHNOLOGIES CO., LTD.

BURG SERVICE B.V. Service Deport in Europe

Global Contract:

Middenweg 6, 4782 PM, Moerdijk, The Netherlands Tel: +31 88 00 30 800 Fax: +31 88 00 30 882 www.burgservice.nl E-mail: info@burgservice.nl

NO.159 Chenggang Road, Nantong, Jiangsu, China 226003 Tel: 86-513-85066022(Sales), www.cimctank.com E-mail: tanks@cimc.com

Europe contract: YOUR GLOBAL PARTNER IN TANK CONTAINERS

Middenweg 6 (Harbour nr.397-399) 4782 PM Moerdijk Tel: +31 880 030 860 www.cimctankcontainers.nl E-mail: info@cimctankcontainers.nl

UP FRONT 03

CONTENTS VOLUME 43

•

NUMBER 04

UP FRONT

INDUSTRIAL PACKAGING

Spot the signs

Letter from the Editor

01

Infinity and beyond

USCG warns of battery dangers

30 Years Ago

04

Mauser gets UN approval

Paul Gooch

06

27

TANKER SHIPPING

From bulk to boxes ISU members handle more containers

45

News bulletin – safety

46

TANKS & LOGISTICS

Shopping for ships

We all want tanks

GEFO spends big

28

REGULATIONS

News bulletin – tanker shipping

30

Let’s get busy

ITCO’s annual fleet survey

08

Better every time Sahreej perfects depot services

UN experts make progress 12

Asset transfusion Den Hartogh’s banner year

14

Quick off the blocks Stolt-Nielsen starts 2022 at pace

Time to get ready

Going to plan

Exis offers help with IMDG Code 32

Force the issue 16

Investing in youth Fort Vale values apprentices

18

News bulletin – tanks and logistics

20

48

CHEMICAL DISTRIBUTION Brenntag’s strategy pays off

34

News bulletin – chemical distribution

36

58

River cleanup ADN 2023 nears completion

Caldic, GTM combine

44

60

BACK PAGE Not otherwise specified

64

COURSES & CONFERENCES Let’s connect

DIGITISATION

Looking forward to ChemUK

Fit for the future

Select the best

Implico plugs TanQuid in

22

Vision of trade Nexxiot eyes Know Your Cargo

Managing Editor Peter Mackay, dgsa Email: peter.mackay@chemicalwatch.com Tel: +44 (0) 7769 685 085 Advertising sales Sarah Smith Email: sarah.smith@chemicalwatch.com Tel: +44 (0) 203 603 2113 Publishing Manager Sarah Thompson Email: sarah.thompson@chemicalwatch.com Tel: +44 (0) 20 3603 2103

IRU training programmes get the nod

39

NEXT MONTH

Conference diary

40

Chemical tanker fleet survey

23

Backed to the hilt Aeler raises cash for boxes

38

Rail logistics SAFETY

24

Incident Log

Publishing Assistant Francesca Cotton Designer Petya Grozeva Chief Operating Officer Stuart Foxon Chief Commercial Officer Richard Butterworth

European chemical distribution 42

Middle East focus

CW Research Ltd Talbot House Market Street Shrewsbury SY1 1LG

ISSN 2059-5735 www.hcblive.com

HCB Monthly is published by CW Research Ltd. While the information and articles in HCB are published in good faith and every effort is made to check accuracy, readers should verify facts and statements directly with official sources before acting upon them, as the publisher can accept no responsibility in this respect. ©2022 CW Research Ltd. All rights reserved

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04

30 YEARS AGO A LOOK BACK AT APRIL 1992

FOR THOSE INVOLVED in the transport of goods by sea in containers – and not just dangerous goods – there has been a lot of talk lately about the need to improve the standards of packing and stuffing.

The CTU Code, developed by IMO, ILO and UN ECE, is designed to provide guidance to those involved in stuffing containers, recognising that these individuals may well be a long way from the sea and may not be aware of the stresses that containers and their contents are subjected to during a sea voyage. Getting that Code out to industry has proved a struggle and problems arise with depressing regularity, leading to damaged goods, damaged containers and delays to ship movements.

But those efforts are nothing new. Back in April 1992 HCB reported on the publication by the UK Health & Safety Executive (HSE) and Department for Transport of new guidance – said to be the first of its kind in the world – on the packing of dangerous goods in freight containers and vehicles for transport by sea. As we said at the time: “During surveys of containers carrying dangerous goods, problems such as overweight containers, incompatible cargoes, improperly secured packages, undeclared cargoes and missing hazard warning placards have been discovered.” In the three decades since then,

Elsewhere in the April 1992 issue we reported on regulatory changes that have, thankfully, bedded in and settled down now, with a marked improvement on safety in the transport of oils in tanker vessels.

The first final rule under the ‘OPA 90’ legislation, the US authorities’ response to the release of crude oil in Alaska from Exxon Valdez, had landed, establishing a millions-strong army of potential responders to any future spill. Meanwhile in London, IMO had agreed two new regulations for Annex I of Marpol that would require all new tankers to be built with double hulls – or, at least, double bottoms together with additional protection on the sides of the hull.

There had been a lot of concern, not least among naval architects and surveyors, that mandating such an arrangement would not only present more risk of explosive atmospheres developing in the space between the hull plates but also that it would make effective surveying almost impossible. However, as with many such regulatory efforts from IMO, in the event the new designs quickly became the accepted norm, with the support of classification societies and shipyards, so that those concerns feature hardly at all any longer.

Concerns lingered in the tank container sector about the slow progress being made in developing the market in North America, despite our

international trade in all manner of containerised cargo has mushroomed but, despite growing professionalism in the sector, those same problems keep on coming back time after time.

As we report elsewhere in this issue, some container lines are now starting to take direct action against those shippers that are causing them.

comment that the “practical and ideological” objections to the concept were starting to tumble. The structure of the transport(ation) industry in the US did not easily accommodate the tank container model that had worked so well in Europe and operators had taken to looking at different entry modes. In particular, that meant doing deals with the railroads – but there was at least some progress being made.

HCB MONTHLY APRIL 2022

UP FRONT 05

The most modern fleet, shaping a sustainable future Passing the famous Castle “Pfalz”, since six centuries safe in the waters of the River Rhine, one of Europe´s busiest waterways – the new gastanker M/T “Slot Dover” from GEFO. Four new sister vessels in 2022 and 2023: Slot York, Schloss Imola, Schloss Quedlinburg, Schloss Tramontana. All five new gastankers with Stage V engines according to new EU-standards and SCR-Catalysts. Most modern technology sets new benchmarks in their class by reducing hydrocarbons by 81 %, nitrogen oxides by 97 % and particulate matters by 95 %.

One tanker of the fleet of 150 tankers belonging to GEFO. 26 new buildings to reduce pollutant emissions.

Which tanker will sail for you?

www.gefo.com WWW.HCBLIVE.COM

06

FIRST A PANDEMIC, NOW A WAR

BY PAUL GOOCH

WHO REMEMBERS THE 2008 FINANCIAL CRISIS AND ITS IMPACT ON SUPPLY CHAINS? ARE WE FACING LEHMAN BROTHERS 2.0?

Those who fail to learn from history are condemned to repeat it (George

ground, they are shuttered because all the manpower has been mobilized.

Santayana, 1905).

For example, some automotive plants in the West (such as the BMW Mini

Since early 2020, chemical companies have been challenged to adapt their

plant in the UK) have restricted production because of a shortage of parts

supply chains to meet the various disruptive forces associated directly or

from Ukrainian suppliers. Exports of commodities through Black Sea ports

indirectly with the pandemic. Operations have been severely impacted by

are blocked. Supply chains in Ukraine are broken, and likely to stay that way

capacity limitations, sky-rocketing freight rates, lockdowns, shuttered plants,

for the foreseeable future.

shortage of workers, inventory bull-whip effects etc. All of this has been well documented - we don’t need to spill more ink on the subject.

The pandemic has been called a Black Swan event, although the prospect

So where’s the connection with Lehman Brothers? As a result of global sanctions, we are witnessing the withdrawal of many Western corporations from Russia: Renault, VW, IKEA, BP, Shell, ExxonMobil, Boeing and Airbus,

of a pandemic had been predicted and some chemical companies had a

just to mention a few household names. As they will be leaving their assets

prepared response developed by their crisis management teams.

on the ground in Russia it means that they may have to take significant

The same can be said for the invasion of Ukraine. Speculation about such

write-offs, and potentially default on loans, which will impact the balance

an event has been circulating since 2014, but the general reaction has been

sheets of creditor banks. It is reported that BP alone may be faced with a

denial; Putin wouldn’t do it, would he? Well, he did. Again, hardly a Black

$25bn write-off from its Rosneft withdrawal.

Swan.

Apart from the humanitarian tragedy, what we are seeing now is an implosion of the Ukraine economy. If businesses haven’t been razed to the

HCB MONTHLY | APRIL 2022

The next stage may be for suppliers in the West, who have built capacity to supply Russian customers based on bank credit, to default on their loans. The banks will be forced to make provisions for these write-offs.

UP FRONT 07

Credit lines may dry up and the markets could face another Lehman

obtain reliable information, maintaining close contact with customers (and

Brothers scenario. However, in this case, unlike in 2008, central banks are

eventually customers’ customers), and building demand scenarios with

barely able to step in by reducing interest rates (already low) or printing

associated supply chain contingency plans.

money in a high inflation environment. On the other hand, as a result of the financial crash, banks today have a higher equity ratio than in 2008.

During the Financial Crisis in 2008 there was a contraction in demand

2. The pandemic has revealed the fragility of global supply chains, especially in the case of over-exposure to lower tier suppliers, and extended lead times. Companies need to undertake a detailed mapping of their

across numerous industries, which challenged global supply chains in an

eco-system to understand potential supply as well as compliance risks. The

unprecedented fashion. This was followed by the collapse of Lehman

risk of critical supplier bankruptcy will be high as the recession bites, so

Brothers in September 2008, which triggered a severe recession and

alternative sourcing options need to be kept open.

so-called demand destruction, leaving many companies struggling to survive.

3. It is inevitable that variability of supply and demand will require agile and

The chemical industry was severely impacted with demand dropping as much

responsive supply chain models and networks. Smart contracts and a move

as 40 per cent year-on-year. Orders simply dried up.

away from fixed to variable costs is always prudent, especially in tough times.

Today, with global supply chains still recovering from the disruption caused

4. Despite the pandemic causing supply managers to reconsider

by the pandemic, world trade is being hammered again by the impact of

Just-in-Time (JIT) business models, the need to prudently manage working

sanctions. Major container lines are no longer accepting bookings for

capital will still be a business priority. There may be a need to prune the

shipment to or from Russia, air freight is faced with major rerouting around

product mix in order to eliminate slow moving inventory, and adjust service

Russian and Ukrainian air-space, oil is at $140/bbl, inflation is at a 40-year

offerings.

high, and it’s probably just a matter of time before the Trans-Siberian railroad

5. The final lesson was to prepare for the upswing, which in 2009 caught

becomes closed to container traffic between China and Western Europe.

many supply chain managers by surprise. The recommended preparation

FourKites (a supply chain solutions provider) has predicted that container

included retaining talent, having a bench of long-term projects ready to go,

rates from Asia to Europe could double or even triple from their existing,

and providing upside capacity. In the current conditions, a rapid recovery in

already elevated levels.

global trade and return to historical trade lanes seems unlikely, especially if

On 18 January (before the impact of the war in Ukraine), Yossi Sheffi, director of MIT’s Center for Transportation & Logistics, wrote that “the storm clouds of a global economic recession are gathering on the horizon…and

high interest rates, sustained high oil and other commodity prices, and continuing sanctions cause a collapse of consumer demand.

The risk as always is that there will be a typical over-reaction, with ‘across

companies are well advised to start thinking about how to prepare for the

the board’ cost cutting, zero-based budgets, personnel cuts, and severe

downturn that could compare to the 2008 financial crisis”.

pressure on suppliers, just to name a few examples.

What can we learn from the 2008 Financial Crisis experience that can be

But what’s different this time around? One observation is that the

applied to 2022 as the industry faces a possible Lehman Brothers 2.0, and a

pandemic has accelerated the digitalisation of supply chains, for example in

global recession?

the area of real-time supply chain visibility and predictability solutions.

Companies that survived the Financial Crisis demonstrated rapid and

Companies such as Project 44, FourKites and Shippeo have been successful

decisive steps in protecting their internal and external supply chains.

in raising funding and building out their offering to a growing customer base.

“Necessity is the mother of invention” and this proved to be the case. For

This could prove critical for shippers in maintaining a degree of control over

example, BASF developed flexible solutions in its ‘Verbund’ business model

disrupted and constantly changing supply chains and service levels. However,

that would previously have been considered impossible. The need for

this does assume that these digital solutions are not stand-alone, but

innovative solutions is as important today as it was in 2008/9.

strategically integrated with other business processes.

In October 2014, Supply Chain 24/7 published a report on ‘Five lessons for Supply Chains from the Financial Crisis’. The lessons are still relevant today: 1. It is critical to understand true demand, challenging forecasts in order to

Paul Gooch The Logical Group GmbH 7 March 2022

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08

WE ALL WANT TANKS FLEETS • THERE ARE NOW MORE THAN FIVE TIMES AS MANY TANK CONTAINERS IN THE WORLD AS THERE WERE IN 2000; WE KNOW THAT BECAUSE ITCO COUNTS THEM EVERY YEAR, EVEN IN A PANDEMIC THE GLOBAL TANK container fleet grew by 7.3 per cent in 2021 to reach 736,935 units by 1 January 2022, according to the International Tank Container Organisation’s (ITCO) 2022 annual fleet survey. This growth shows a recovery from the Covid-inspired slowdown in 2020, when the fleet expanded by 5.3 per cent.

ITCO says the firm market for new tank

coming from Asia to the main markets in North America and Europe, together with tight slot capacity on oceangoing containerships, port congestion and inland transport delays.

While those same factors led to a significant increase in ocean freight rates, the fact that a tank container can carry 60 per cent more cargo than a 20-foot freight container packed with drums offered an economic way to

containers in 2021 was a response to increased volumes of a wide range of cargoes

maximise carrying capacity.

Those conditions may not last, ITCO warns.

There will be strong demand on all global trade lanes this year, it says, but it could become more and more difficult for tank container operators to be able to book space on containerships as the liner operators are

 TANK CONTAINERS HAVE BEEN IN GREAT DEMAND TO HELP SHIPPERS COPE WITH SUPPLY CHAIN DISRUPTION

HCB MONTHLY | APRIL 2022

already prioritising carrier-owned containers at the expense of shipper-owned containers, tank containers and dangerous goods in general.

Many of the major lines have responded to this tightness by placing orders for new ships but those will not enter into service until 2023 at the earliest, meaning tank container operators and chemical shippers are likely to have to wrestle with capacity constraints in the near term.

Another limit to further growth in the tank container sector this year is likely to come from other factors, not least the shortage of tank container cleaning and repair facilities: ITCO says that investment in depot capacity has not kept up with growth in the tank container fleet. Furthermore, those hauliers specialising in the carriage of tank containers are facing the same driver shortage issues as all other players in the road transport sector.

WHERE THE TANKS GO ITCO puts global output of new tank containers at 53,285 units in 2021, the third highest figure on record and almost back to the 2019 level of 54,650 tanks. As has

TANKS & LOGISTICS 09

been the pattern for some time, Chinese manufacturers are totally dominant in the market, with only Welfit Oddy of South Africa the other producer with a meaningful market share. Indeed, CIMC alone accounted for more than half of last year’s manufacturing output.

ITCO also notes that, in common with the picture from 2020, last year saw most of these tanks being picked up by operators rather than lessors, as had been the case in the previous two years. The total lessor-owned fleet grew by only 6,240 tanks, although the

Global tank container fleet (at start of year) 2018

2019

2020

2021

2022

Operator fleets

365,000

381,750

418,500

443,110

489,895

Lessor fleets

245,000

286,000

305,615

316,710

322,950

Other fleets*

155,000

180,165

188,010

199,140

211,285

Total fleet

552,000

604,700

652,350

686,650

737,935

8.7

10.8

7.9

5.3

7.3

Year-on-year growth (%) *shipper, military and other Source: ITCO

Tank container manufacturer output

CIMC Nantong Tank

2017

2018

2019

2020

2021

27,000

29,500

27,000

18,000

29,525

5,800

8,500

8,500

6,000

9,000

1,500

3,310

3,000

5,600

5,500

3,500

1,300

2,150

3,600

2,000

2,800

1,510

JJAP Singamas

4,500

Dalian CRRC CXIC

2,800

2,500

2,000

500

Welfit Oddy

5,400

4,850

5,150

2,200

4,000

750

750

680

500

500

2,250

3,000

3,000

1,500

1,000

48,500

59,700

54,650

35,800

53,285

Van Hool Other manufacturers* Total *estimate Source: ITCO

number of idle tanks also dropped by around 6,650, with the number of tanks leased out increasing to an all-time high of 284,195.

Meanwhile, the global operator fleet also continued on its inexorable rise, reaching almost 490,000 tanks, having more than doubled in the past ten years – although the same is true of the fleets owned by leasing companies and those operated by shippers.

ITCO always includes an estimate of the number of tanks scrapped over the course of the year, although this is based largely on anecdotal evidence. This year, however, having gained a specialist tank recycling company as a member and also posing the question to its members as part of the survey research, it believes it has a better handle on the situation. ITCO gives a figure of 3,000 for scrapping in 2021, higher than in 2020, when the rapid changes in market demand discouraged owners from retiring their old tanks, but well down on the estimates for previous years.

ITCO comments that, as a result of the ongoing pandemic, older (often smaller capacity) tanks are not being scrapped at the previous rate but being repaired and put back into service, either for transport or for storage, as a result of high levels of demand. ITCO also suggests that this year may see more activity in terms of the remanufacturing of old tanks in the face of high prices for new tanks.

OPERATOR ACTION Alongside the increase in aggregate fleet size, ITCO notes a continuing increase in the number of companies operating tank containers, up from 230 at the start of 2021 to 235 a year later. Based on its successful growth in recent years, the industry is continuing to attract smaller players into the market, often offering niche tank services in regional markets, particularly south-east and north-east Asia. However, unlike in recent years when companies such as Singaporebased E-Way entered the market with a highly aggressive growth plan – its fleet has more than doubled to 14,000 tanks in just two years

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10

Major tank container operator fleets (start of year) 2018

2019

2020

2021

2022

Stolt Tank Containers

35,395

39,156

40,500

40,330

43,000

NewPort

32,000

31,800

32,000

37,500

37,500

Hoyer

32,958

33,881

34,700

35,500

35,500

Bertschi

20,600

23,300

25,000

26,400

28,300

China Railway

20,879

20,879

20,879

23,200

27,500

Bulkhaul

22,000

22,500

23,000

24,000

24,000

Den Hartogh

19,500

20,000

20,000

20,000

23,000

Intermodal Tank

11,000

13,500

17,000

17,000

19,000

Interflow/TCS

11,000

11,683

11,820

12,200

14,700

7,500

8,500

9,000

9,500

14,115

6,000

9,000

14,000

Eagletainer

7,450

8,860

10,120

10,500

12,000

Nichicon

7,166

8,000

8,000

9,000

10,000

M&S Logistics

7,993

8,050

8,400

8,443

9,365

VTG Tanktainer

9,000

9,150

9,250

9,494

5,895

Suttons International E-Way

Source: ITCO

Major tank container lessor fleets (start of year) 2018

2019

2020

2021

2022

Exsif Worldwide

52,000

58,500

64,000

66,476

71,350

Eurotainer

35,000

48,000

48,500

49,500

51,500

Seaco Global

42,000

43,000

42,000

43,000

42,000

Trifleet Leasing

5,200

10,120

15,500

18,030

23,450

CS Leasing

11,500

13,240

15,100

16,000

20,500

Raffles Lease

14,192

16,100

17,784

19,031

20,190

3,900

3,900

6,250

7,500

17,500

Triton International GEM Containers

2,000

9,200

9,800

11,500

13,500

13,500

12,500

13,000

11,400

Peacock Container

-

9,500

9,500

7,500

9,500

TWS Tankcontainer

8,000

8,360

8,300

7,465

7,660

International Equipment

6,000

6,000

6,000

7,100

7,600

NRS Group

7,000

7,000

7,000

7,000

7,000

Albatross Tank Leasing

Source: ITCO

HCB MONTHLY | APRIL 2022

– the past year has seen no significant new entrants.

Moreover, existing operators report a greater emphasis on the part of shippers to value relationships as a means to forge loyalty, quality and dependable supplies of tanks, moving away from the erratic spot market and price-focused competitive bidding. Perhaps not surprisingly, then, the list of the major tank container operators is very much as it was, with no changes in the top nine names.

The one major change in the list has been the growth of Suttons International, whose fleet was boosted by its acquisition of the international operations of VTG Tanktainer (although the transaction closed only at the start of this year, the ITCO figures reflect the change of ownership). That deal added more than 4,000 tanks to Suttons’ fleet, which as CEO John Sutton said at the time was “a major step in our strategy to grow our international operations, and to improve the value we offer to our customers through improved scale, increased flexibility and additional geographic coverage”.

Another notable deal concluded last year was Den Hartogh’s merger with Muto, which helped the larger partner in the deal expand its fleet by 3,000 tanks over the course of 2021.

In its fleet listing, ITCO identifies all those operators with more than 1,000 tanks at their disposal. New names in the list this year include South Africa’s Central Logistics, China-based EHS Tank Logistics and South Korea’s Pan Bridge, each of which has around 1,000 tanks, as well as European-based companies such as Dinges Logistics, Kube & Kubenz and Lanfer, which have expanded their fleets over the past year and now have enough to appear on the list. At the same time, a few names have dropped off, including Haesaerts Intermodal and Marenzana, after reducing their fleets.

LESSORS AND OTHERS The list of the major tank container lessors shows s similar lack of significant action,

TANKS & LOGISTICS 11

 STOLT REMAINS THE LARGEST TANK OPERATOR, WITH SUTTONS COMING UP ON THE RAILS

with Exsif Worldwide, Eurotainer and Seaco Global still dominant, although CS Leasing has grown rapidly in recent years and now stands at number four in the list. Raffles Lease also expanded last year and now claims more than 20,000 tanks in its fleet; when combined with its sister company Eurotainer, they together have the largest number of tanks for lease.

The other major change in the list over the past year was the disappearance of GEM Containers, which was acquired by Peacock Container in April 2021 following its own acquisition by funds managed by Arcus Infrastructure Partners earlier in the year.

Another major player in the leasing sector, Trifleet, was acquired by GATX Corporation in December 2020 but still operates under its own name, complementing as it does GATX’s railcar leasing activities.

ITCO counts 37 active tank container leasing companies, a number unchanged over the past two years; indeed, there has been relatively little change in the figure since 2014. Likewise, its list of tank leasing companies with more than 1,000 tanks at their disposal shows no changes compared to the previous year.

The leasing sector is quite concentrated, with the top three companies accounting for 51 per cent of the total fleet and the top ten 85 per cent. By contrast, the top ten tank container operators account for around 55 per cent of their total fleet.

ITCO also includes a figure for tanks owned and leased in by shippers and ‘others’. This amounts to a sizeable proportion of the overall fleet, at an estimated 212,285 tanks at the end of 2021, or just under 30 per cent of the total number of tanks. This sector covers ‘beneficial cargo owners’ (BCOs) such as producers of chemicals, foodstuffs and beverages; these tanks may be operated by the shipper itself or by an operator on their behalf. Such tanks are often used for dedicated services and may be manufactured or modified so as to meet a specific need.

The ’others’ segment includes those tanks owned or leased in by the military, shipping

and barge lines, railway companies, and the oil and mining industries. It also includes some tanks used for storage or for special transport operations, for instance the carriage of bitumen. ITCO notes that some of the tanks disposed of by operators or lessors may find their way into this category.

RELIABLE, RECYCLABLE Commenting on the figures in its 2022 survey, ITCO says they confirm again that the tank container has proven itself as a very reliable mode of shipping bulk liquids during a time when other, more traditional modes have struggled to meet the often erratic demands of shippers, given the global trade disruptions that have been a feature of the past two years.

That does not mean that tank containers

addition, some shipping lines are refusing to carry tank containers, prioritising their slot capacity for carrier-owned containers.

While the pandemic has created a number of operational challenges, ITCO nevertheless recognises that the world at large is now looking for environmental sustainability and that shippers are increasingly active in addressing their obligations to implement environmental initiatives throughout their supply chains. ITCO sees the inherent sustainability of the tank container as a key asset to the continued growth of the industry and it is increasingly active in promoting awareness of that benefit to shippers.

On the one hand that has highlighted the fact that tank containers last for 20 or 25 years and are 95 per cent recyclable at the end of their life, whereas the flexitank is

are immune. While demand for them has increased, operating costs have also increased sharply, mainly as a result of rising ocean freight costs and extended transit times. Short-shipping tanks and cancelled scheduled port calls have both become a regular challenge for tank operators. In

basically a disposable plastic bag; on the other hand it is also promoting sustainable recycling and repurposing of older tanks. This will be an increasingly important factor as those tanks built in the 1990s begin to reach retirement age. international-tank-container.org

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BETTER EVERY TIME DEPOTS • KEEPING TANK CONTAINERS IN TOP QUALITY CONDITION EXTENDS TANK LIFE, REDUCES THE CARBON FOOTPRINT AND, MOST IMPORTANTLY, REDUCES RISKS IN TRANSPORT, SAYS SAHREEJ SAUDI ARABIA’S KANOO Tank Services (Sahreej), a joint venture between Stolt Tank Containers and Saudi Arabia’s YBA Kanoo, is on a continuous improvement programme to increase the life of tank containers and help to ensure the safe transport of hazardous (and non-hazardous) cargoes around the globe.

Sahreej has upgraded, enhanced and expanded each of its three depots in Jubail, Dammam and Jeddah, Saudi Arabia and now has a comprehensive service not only for cleaning, inspection, heating and storage, but also full capabilities for all repairs from

paintwork and logos to shell repairs and refurbishment of complete tanks. Added to this, a full service of modifications is also available. Each location is served by a comprehensive inventory covering all aspects of tank container use, fully qualified welders and repair teams, guided by Sahreej’s technical manager Sarfaraz Salani.

The process starts even before the gate, as every safety data sheet (SDS) is reviewed and risk assessed before the tank is given approval to enter the depots. Once the SDS is approved and a cleaning process is allocated,

the tank can be delivered to the depot. On entering, the tank container is fully inspected externally, photographed from each of the six sides and details from the CS Plate taken, recording the last (and next) Statuary Test date. All details are entered onto the Equipment Interchange Receipt (EIR), which is then signed off by the delivering driver. All details on the EIR and photographs are all available to the customer via hyperlink.

Tanks are then positioned in the precleaning area ready for the cleaning process, which takes place within 24 hours of arrival.

Once cleaned and dried, the inspection process can begin. After taking gas readings at three heights within the tank, internal inspection starts using the buddy system: each inspector has a fixed gas meter and a buddy outside the tank monitoring for any issues (the Sahreej ‘Man down Training’ video can be found on YouTube). The inspector will be looking for any transferable or nontransferable stains, shell dents, tool marks or pitting. Shell pitting has the type identified and depth recorded, all based on ITCO standards.

The inspectors can also inspect to specific customer needs, for instance in off-hire situations.

All observations are recorded on the tank mapping report and this document is the basis for the customer estimate. The estimate will now include all external and internal issues, and these are supplied to the customer with photographs for review and approval. The process from gate-in to issue of estimate to the customer is achieved within three days.

STOCKS AND REPAIRS Once the estimate is approved by the customer, the tank is placed in a ‘Rotator’ that can position the tank to ensure no working at height is required and allows the repair team to work at the most efficient and safe height.

For welding work in the designated hot work aera, Sahreej has qualified welding procedure specifications (WPSs) and procedure qualification records (PQRs) and each welder is certified. Minor repair work such as damaged cladding is quickly made available.

For frame repairs, including corner post and

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TANKS & LOGISTICS 13

section replacement and patching, the work is completed and painted.

For pitting repairs, following repair, nondestructive testing (NDT) takes place with dye penetrant testing, the area is then pickled and passivated and is inspected by a third party inspector, who will also witness hydro testing.

Shell insets follow the same procedure and also include x-ray testing in additional to the procedure followed for pitting. Sahreej keeps 316-grade stainless steel tank heads in stock and can also repair damaged tank heads.

To complement shell repair, Sahreej also carries out steam tube repair using the same procedures as above.

Sahreej carries a wide variety of inventory to cover all requirements, including steel sections, corner posts, cladding, insulation and walkways. This complements the regular supply of all seals and gaskets. In terms of manlid gaskets, which are replaced every trip, Sahreej has substantial stock of PTFE/braided fibre, Super Tanktyt (STT), Teftek Ultra Seal, Halo and Viton gaskets.

For hardware, Sahreej uses the ‘ABC’ approach to inventory: high moving items such as pressure gauges are kept as Category A items along with manlid gaskets and seals - these are replenished on a monthly basis using historic usage figures. Category B items, such as manlids, bottom outlet vales, ball valves, butterfly valves etc, which are required infrequently, are kept in stock but at low levels. Category C items are by customer order only. These include such items as flow meters, level gauges, remote operating systems and so on.

TRAINED TO PERFECTION All the above would not be effective without a solid base of - and ongoing - training. HSE manager Faris Al-Shali, who oversees all external certifications such as ISO 9001:2015,

 SAHREEJ SEES THE TRAINING OF ITS WORKFORCE AS CRUCIAL TO IT BEING ABLE TO OFFER A HIGH QUALITY, DEPENDABLE SERVICE TO ITS WIDE RANGE OF INTERNATIONAL TANK CONTAINER CUSTOMERS

ISO 45001:2018, ISO 14001:2015 and SQAS, also runs the training process across all three depots. Shali arranges weekly Tool Box meetings and runs the Intelex on-line training system that covers all aspects of tank container skills and operations and has a dedicated monthly training program specifically designed to cater for each operator with specific relation to their job function.

Near Miss reporting is also an integral part of Intelex and identifies topics for Tool Box training or more in-depth training. Al-Shali also arranges external bodies to perform

Practice training, subjects that are reviewed at every board meeting.

Sahreej’s goal is to be the ‘one-stop-shop’ for all tank container needs and to expand this to cover associated areas. Sahreej has an emergency response function that can attend off-site issues at the three Saudi ports of Jubail, Damam and Jeddah and at its customers’ plants. In addition, Sahreej performs cross-loading, intermediate bulk container (IBC) cleaning, reefer services, and the storage of gas tanks and non-standard tank containers.

training on topics such as container handling, firefighting and behaviour-based safety, as well as Train the Trainer sessions. In addition to the operational training, all staff with an email address have undergone fraud and corruption awareness and Codes of Business

Sahreej is eager to increase its services offered in Saudi Arabia and is always looking to its customers to suggest and request additional services that can be mutually beneficial to the liquid chemical industry. www.sahreej.com

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14 TANKS & LOGISTICS

ASSET TRANSFUSION RESULTS • DEN HARTOGH FINISHED 2021 IN FINE FORM, POSTING ITS BEST RESULTS EVER, WHILE CONTINUING TO INVEST IN ITS PEOPLE, ASSETS, DIGITAL SYSTEMS AND MARKET REACH ROYAL DEN HARTOGH has reported record turnover in 2021, rising by 18 per cent to €572m. EBITDA increased by 62 per ecnt to €67m and pre-tax profit increased from €11m to €35m. The company calls these “exceptional results” in a difficult year, with its employees having to face supply chain disruptions around the world.

At the same time, total investments reached €50m, Den Hartogh’s highest annual for some time, much of which went on new tank containers, box containers, chassis, LNGpowered trucks and ultra-light trailer equipment. “But we are also investing in activities that make this fleet safer, more efficient and run more economically,” Den Hartogh says. “We have enhanced and acquired digital transformation capabilities, both internally and externally via strategic partnerships. We have invested in talent development and recruitment and will continue to do so in the coming years”.

That investment also involved the integration of the previously acquired Tschudi Logistics operation in Finland as well as the merger with Muto Logix in Asia. That latter deal is intended to propel Den Hartogh into a leading position in intra-Asia Pacific logistics services, while also adding 2,500 tank containers to its global fleet. “Our strong regional presence across five offices, including Singapore and Shanghai, will help boost customer satisfaction by providing tanks at the right place, right time and in the right quantities,” the company states.

 DEN HARTOCH IS CONTINUING TO INVEST AS IT BUILDS ON A RECORD YEAR IN 2021

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Den Hartogh APAC will now offer a onestop-shop source for regional shortsea services as well as deepsea transport to the rest of the world, along with safe and more cost-effective door-to-door local services.

Den Hartogh has also continued along its digitisation path. Its TransFusion transport management system is being modernised, migrating to a more adaptive hub and bespoke cloud-based architecture. It has also implemented a Power BI front end, which receives data from all critical applications and outputs to multiple dashboards and reports. Den Hartogh is also implementing a new truck container and driver truck planning solution that will allow its teams to plan better and interact with drivers in the field.

VIEW FROM THE BOSS “I usually prefer to look forward rather than look in the rear-view mirror. In this case, however, I am proud to look back on the highlights of 2021 with you,” says Pieter den Hartogh, group managing director. “The figures show a record year in both turnover and EBITDA - a fantastic result achieved by a flexible and above all hardworking Den Hartogh family.

“Many operational challenges preceded this in what has continued to be an extremely volatile market caused by the pandemic,” Pieter den Hartogh adds. “I’m sure that everyone in our sector has experienced that no day has been the same, with one change presenting itself after another, all requiring a quick response. Take the blockade by the Ever Given in the Suez Canal, for example. This all placed a heavy burden on our operational people, who, besides well-deserved compliments for their efforts, also received a financial appreciation.”

“We can assume that we will continue to face disrupted supply chains for the time being,” says Pieter den Hartogh. “Fortunately, responding to the ever-changing demands of the market is in our DNA and, in combination with our great team, I am sure that these challenges will also offer Royal Den Hartogh Logistics great opportunities in 2022.” www.denhartogh.com

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16 TANKS & LOGISTICS

QUICK OFF THE BLOCKS RESULTS • STOLT-NIELSEN HAS MADE A BLISTERING START TO ITS 2022 FINANCIAL YEAR, WITH ALL ITS LOGISTICS OPERATIONS MAKING AN IMPROVED CONTRIBUTION DESPITE SUPPLY CHAIN PROBLEMS STOLT-NIELSEN LTD has reported revenues of $606.2m for its first fiscal quarter of 2022, the three months to end February; this represents a 2.6 per cent increase over the prior period and is 13.8 per cent up on the first quarter 2021. Operating profit also improved strongly, rising by 19.2 per cent over the fourth quarter of last year to $91.8m, well ahead of the $36.0m posted for the same period last year. Net profit increased from $2.5m in first quarter 2021 to $52.3m.

“Typically the first quarter of the year is the seasonally weakest quarter for our businesses,” notes CEO Niels G Stolt-Nielsen.

“However, this year the first quarter showed no signs of weakness as we posted our strongest quarterly results since 2008, with Stolt Tank Containers leading the way with record earnings. Although shipment volumes were down, margins held firm, supported by our ability to secure space on container ships and higher demurrage revenue. At Stolt Tankers firmer spot rates helped offset higher bunker cost, and subsequent to quarter end it appears that spot rates continue to match the increase in bunker cost. Increased utilisation and throughput volume at Stolthaven Terminals resulted in higher revenue and margins.”

AROUND THE TEAMS Stolt Tankers saw revenues rise by 2.2 per cent compared to the previous period, to $314.5m, despite a fall in operating days and volumes. Freight rates were up, largely as a result of a 14.3 per cent increase in spot rates.

Operating profit came in at $25.0m, up from $19.2m in the previous quarter, reflecting

HCB MONTHLY | APRIL 2022

better revenues from the deepsea fleet and lower expenses from subletting, barging and transhipment.

Stolthaven Terminals increased revenue from $62.1m in the previous period to $66.1m, with higher rates and increased utilisation, which rose from 92.8 per cent to 96.3 per cent at Stolt’s wholly owned facilities. First quarter operating profit of $22.0m represented a strong recovery after the previous period’s $8.4m, though that was impacted by a $10.0m impairment charge. Nevertheless, operating expenses were up, reflecting the higher levels of activity, although Stolthaven, like Stolt Tankers, managed to reduce administrative and general expenses.

Stolt Tank Containers (STC) reported first quarter revenues of $195.3m, up from $191.5m in the prior quarter, despite a 6.0 per cent drop in the number of shipments. This was partly offset by an increase in transport rates,

reflecting the continued rise in ocean freight and trucking costs. Demurrage revenue also continued to increase, driven by bottlenecks in the logistics chains.

Looking forward, the picture is difficult to read. As Niels G Stolt-Nielsen says: “Just as we thought life would go back to ‘normal’ after the pandemic, war breaks out in Ukraine. The central banks are raising interest rates, trying to curb inflation. Oil and gas prices are skyrocketing and a new outbreak of Covid is lurking in China. I can’t imagine a more difficult environment to give a quarterly guidance, but let me try.

“There have been no further newbuilding orders in the chemical tanker space,” he adds.

“There is a drive to secure refined products away from Russia causing longer tonne-mile demand in the MR market resulting in swing tonnage beginning to exit the chemical trade.

In times of uncertainty the product and chemical markets tend to secure additional storage capacity, so we predict a strengthening of utilisation and rates in Stolthaven Terminals. I expect shipments in STC to come down because of the demand destruction caused by the high container liner rates. The value of some of the products we carry cannot justify these increased rates and the products could possibly move back to chemical tankers. However, I still believe margin and shipment volumes will give a record year for STC.” www.stolt-nielsen.com

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EQUIPMENT AVAILABLE FOR LEASE OR SALE WORLDWIDE

NOTE: IF THERE IS A ONE PAGE FEATURE (LEFT HAND SIDE) NEXT TO AN ADVERT THEN YOU NEED TO MOVE THE “SECTION SLUG” OVER TO THE OTHER SIDE SO THE READER KNOWS WHAT SECTION THEY ARE IN.

IF TWO ONE PAGE FEATURES ARE SIDE BY SIDE, BUT THEY BELONG TO DIFFERENT SECTIONS THEN YOU

OUR MOST DIVERSE TANK FLEET NEED TO HAVE A “SECTION SLUG” ON BOTH SIDES

THE RIGHT TANK FOR THE RIGHT CARGO Seaco offers a modern and diverse tank fleet, suitable for the storage and safe transportation of hazardous and non-hazardous bulk liquids, gases (including Cryogenics) and bulk powder products. Why choose Seaco: • • • • • •

www.seacoglobal.com

Quality build Fully intermodal T11-T75 tank types Dedicated technical team support Flexible leasing plans Customised tank solutions available Global network of specialised depots

OVER 50 YEARS OF TANK CONTAINER LEASING EXPERTISE. VISIT SEACOGLOBAL.COM AND SPEAK TO YOUR REGIONAL TANK SPECIALIST WWW.HCBLIVE.COM

18 TANKS & LOGISTICS

INVESTING IN YOUTH PEOPLE • GRAHAM BLANCHARD, FORT VALE’S HEAD OF GLOBAL SALES AND MARKETING, EXPLAINS WHY TRAINING APPRENTICES IS A VITAL PART OF THE COMPANY’S ETHOS HERE IS A simple fact: of the six directors at Fort Vale Engineering, half of them began their working lives as apprentices with the company - myself included. This is by design rather than accident, and has always been an integral part of our company methodology - or as we prefer to call it, the ‘Fort Vale approach’.

The company was founded in 1967 by a young engineer called Ted Fort, who had an idea for a valve for the heating industry. Fast forward 50 years and Ted now has an OBE and a company that employs over 600 workers globally. It is Ted’s passion to encourage young people to forge careers for themselves within the industry that has paved the way for Fort Vale’s continued success over the years.

It’s an approach that has paid us dividends over the years, as it would for any company following a similar path. It is an incontrovertible truth that the young represent the future for all of us, so if we want a prosperous, dynamic, forward-looking industry, it makes sense to provide proper training and opportunities for them.

The development of young people is fundamental to our business strategy - with over 40 years of experience working with apprentices, we can offer the guidance, training and personal growth they are looking for. We give them the skills and training which would make them an asset to any company in the world. However, we also offer them the support and opportunities to stay and

 FORT VALE BELIEVES STRONGLY IN GIVING YOUTH A CHANCE ACROSS ITS ORGANISATION

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progress within the company should they choose to.

BRING IT ON Our apprentice program guides the next generation of workers, giving them the tools they need to become leaders themselves - this development of our people brings continuity of the Fort Vale approach, ensuring consistent support and service to our customers for years to come.

For example, if an apprentice joins our programme, they will be able to earn a good wage, learn on the job and gain the necessary qualifications to further their careers. They will be able to train in our specialist Training

Facility, with a dedicated Apprentice Training Manager, working on the very latest machine tools. I can speak from personal experience here, because this is exactly how I started out.

After leaving school at 16, I was taken on as an apprentice and subsequently qualified as a mechanical engineer. Encouraged by the company, I then decided to widen my horizons and progressed to design engineer, then project engineer, before becoming Works Manager. At the end of 2018 I was promoted again to European Sales Director, before being made Global Sales & Marketing Director in 2020.

Now that is not the typical career progression for a 16 year-old, but it does sum up what I believe makes Fort Vale different - opportunity. For a youngster to be given the chance to expand their horizons shows faith in their ability that will be repaid over and over again - initially to the benefit of the trainee, and subsequently to the benefit of the organisation and its workforce. It’s an ethos that pervades every level of the company that the best way to lead is from the front, that setting an example is to be encouraged - by being leaders, not followers.

It’s the Fort Vale approach. www.fortvale.com

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SECTION SLUG 19

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NEWS BULLETIN

TANKS & LOGISTICS

M&H JOINS THE NETWORK

M&H Logistics has joined the Hazchem Network, the UK-wide ADR pallet consortium, covering much of Scotland. M&H takes over the areas previously covered by Burns Express, which has decided to concentrate on other business. M&H has six depots in Scotland and another four in northern England and the Midlands.

“We are delighted to add a new strength to our core services we provide our customers with,” says Anna Kozlowska, deputy managing director of M&H Logistics. “Whilst we already offered ADR delivery and collection service in some of our Scottish depots, we have now expanded it across the whole of Scotland.

“Joining The Hazchem Network has been an exciting prospect for us and, having seen immediate synergies with the management teams and quality of service required, we have made a step forward to deliver the goods. We are now able to offer a UK-wide and Irish ADR service to all of our customers, including a parcel service,” Kozlowska adds. www.mandhlogistics.com hazchemnetwork.co.uk RHENUS GOES FOR GAS

Rhenus Freight Logistics has acquired four LNG-powered trucks to handle its contract with Evonik in Germany, moving about ten loads per week between Evonik’s chemical production site in Essen and the Rhenus warehouse in Düsseldorf. The Stralis Natural Power trucks from Iveco are also being used on the daily shuttle between Rhenus sites in Düsseldorf and Hilden.

“As a logistics specialist, we’re constantly following the developments related to sustainable drive technologies,” says Jörg Fuchs, freight forwarding manager at Rhenus Freight Logistics. “We’re therefore delighted that we’ll be able to continue pressing ahead with this process ourselves by using LNG trucks in

HCB MONTHLY | APRIL 2022

future.” Another two LNG-powered trucks have already been ordered and Rhenus plans to expand the fleet further, using the vehicles on other routes in Europe. www.rhenus.group

including tank containers for liquids, gases and powders; freight containers; refrigerated and temperature-controlled units; and specials for bulky and heavy items. www.seacoglobal.com

SEACO SHIFTS IN UAE

LEGEND OPENS IN DUBAI

Seaco DMCC has relocated to a new Middle East regional office in Dubai, the better to serve the rapidly expanding local market, especially for e-commerce goods. “Seaco is strongly positioned as the most diversified container leasing company in the world and our Dubai representation will enable us to ensure we have excellence and know-how in the region to serve our diversified market,” says Christophe Cariou, marketing manager at Seaco. “The significant regional importance of Seaco’s tank container business and container resale activities was one of the drivers behind relocation of the regional office to Dubai with its time zone and close proximity to customers, key vendors and industry partners.”

The Dubai office will provide local and global customers with the full portfolio of equipment,

Legend Group has opened a new office in Dubai under Legend Shipping LLC, in line with its goal of strengthening its global presence and providing a strategic base to serve customers in the Middle East and North Africa. The new operation will offer logistics solutions for a range of freight, including bulk liquid chemicals, dry bulk and consumer perishables.

“This is an important step for Legend Group in expanding our presence into the Middle East,” says CK Than, founder and CEO of Legend Group. “The Dubai office will enable us to provide better and more efficient logistics services to our customers and help us build strong relationships with key players in the region.” www.legendlogisticsltd.com

TANKS & LOGISTICS 21

BROEKMAN BLOWS COLD

Broekman Logistics has upgraded and expanded its cold storage facilities for hazardous goods at the Blauwhoef warehouse in Antwerp, Belgium. It has switched from the traditional R-134a refrigerant to a new installation that uses carbon dioxide. Work has also involved tripling the area available, partly to cope with additional demand from existing customers but also to allow for an expansion in its client base.

“The cooled storage in combination with our very extensive Seveso permit offers a unique opportunity to our customers to store their very specific ADR products with us in a cooled environment,” Broekman states. www.broekmanlogistics.com H ESSERS TURNS A SOD

H Essers has broken ground on its new chemical warehouse at the Kristalpark III industrial estate in Lommel, Belgium. The new site will provide 150,000 m2 of capacity for the storage of hazardous goods, expanding the company’s warehouse space in Europe by some 25 per cent. “The rising demand from both our regular and new chemical customers means that even our brand-new Dry Port site in Genk is now fully booked, while we are still continuing

to build there. That is why we had to look for extra capacity in the region,” says Salvatore Napolitano, CPO at H Essers.

“The location is a perfect match with H Essers’ plans to increasingly invest in the synchromodality of our transport networks,” Napolitano adds. “We were already operating in Lommel with warehousing, transport, planning and garages at our site on the Balendijk. The site at Kristalpark III fits in perfectly, because it opens up routes to the Netherlands and Germany. Other logistic developments in the immediate vicinity, such as an inland terminal and a rail terminal for goods transport, are also on the cards.”

Customers are already showing interest in new capacity and some have already reserved part of the warehouse capacity. “We are very excited about the next phase of our collaboration with H Essers in Lommel,” says Benjamin Ravaud, regional supply chain project manager at Givaudan. “H Essers’ proven ability to build and efficiently run state-of-the-art warehouses with the highest quality and safety standards was an important element for Givaudan. Our partnership will allow us to optimise our logistics network while reducing our carbon footprint and improving service to our customers. The joined project team is

already working hard to make this a success for both Givaudan and H Essers.” www.essers.com MORE TANKS FOR RAFFLES

Raffles Lease is responding to strong demand for tank containers from logistics firms by placing an order for 2,750 new tanks for delivery from the end of the second quarter onwards. The new tanks feature a range of types and capacities, including both swap bodies and 20-foot tanks in sizes from 25,000 to 35,000 litres. Many of the units will be fitted with specialised components, including baffles and ground-operated vapour return lines.

“Raffles Lease continues to follow its strategy to continuously build tank containers designed and constructed using the latest innovations in industry to serve its customers,” the company states. raffleslease.com MORE REACH FOR DINGES

Dinges Logistics has expanded handling capacity at its hazardous goods storage site in Grünstadt in the Rheinland-Pfalz region of Germany with the arrival of a new ‘Super Gloria’ reachstacker from Kalmar. The new equipment offers the possibility to place containers both lengthwise and crosswise with 1-metre negative lift, and five-high stacking of tank containers; the Super Gloria can handle 32 tonnes even on the fourth row.

“Previously, the challenge was that we didn’t have a reachstacker with negative lift, so we couldn’t fully utilise the space available in our hazardous goods storage when positioning tank containers,” explains Ingo Dinges, owner and managing director of Dinges Logistics.

“Weighing up the cost-benefit aspects showed us that Super Gloria had clear advantages for us, and that is why we ultimately opted for the machine.” dinges-logistics.de

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FIT FOR THE FUTURE TERMINALS • TANQUID HAS WORKED WITH IMPLICO TO ENHANCE OPERATIONS AT ITS DUISBURG FACILITY, PROMISING GREATER EFFICIENCY AND HELPING ACCELERATE THE ENERGY TRANSITION GERMAN TERMINAL OPERATOR TanQuid has completed what it calls a “visionary digitalisation project” at its Duisburg site in partnership with Implico, adding the processoriented terminal management system (TMS) OpenTAS 6.0 and using the specialised cloud-based services from Implico’s ‘Supply Chain United’ portfolio.

According to Implico, which has worked extensively with TanQuid on earlier projects, this latest installation offers a wide range of benefits, including: automated workflows; expanded service offerings; comprehensive data collection and evaluation; paperless processes; significantly increased flexibility, transparency and security; and the ability to drive the ongoing energy transition both proactively and sustainably, giving the potential to focus more strongly on the storage and handling of e-fuels.

“TanQuid and Implico – for over 20 years and counting, this team has stood for close cooperation and shared eagerness to innovate,” says Tim Hoffmeister, CEO of Implico. “Together, we have now equipped one of the most complex tank terminals in Europe with state-of-the-art TMS and cloud technology. This is a real game changer, especially in the context of the energy transition. After all, only those who fully embrace digitalisation will be able to adopt the next trends on the market early on and use them for their own gain.”

Thomas Knutzen, head of people and technology at TanQuid, agrees, saying: “The high degree of automation and the streamlined UI create perspective relief for the team in day-to-day business. Also, the new system enables a fluent exchange

HCB MONTHLY | APRIL 2022

with other departments such as accounting.

Across the entire site, we now collect even more comprehensive, reliable data. We evaluate this data in detail to continuously improve our business; and to provide our customers with optimum support and care.”

MORE TO COME The Duisburg site, where the storage and movement of chemicals accounts for some 80 per cent of its throughput, is a highly complex facility with around 3,500 shipments each month. It has 118 tanks used to store a wide variety of chemicals, petrochemicals, alcohols and mineral oil products, as well as biogenic substances and liquefied gases.

Liquid cargoes arrive and depart by truck, ship, rail, container and pipeline, helping meet the varying needs of a diverse clientele from different industries.

As the digital heart of the tank terminal, OpenTAS 6.0 controls all central steps and processes, from planning, loading and warehouse management to administration, quality control and customs documentation via EMCS. Even processes that previously took place in sub-systems are now fully integrated in the new software solution. A major advantage is that TanQuid can now record, analyse and optimise all tank storage movements and developments directly and holistically on a data basis.

The delivery and loading of product from and to trucks, the main mode of transport at the terminal, is now handled by a web service with a user-friendly check-in dialogue that enables drivers to check in and out at the gate on a touchscreen, both accelerating the process and reducing the risk of errors. TanQuid plans to introduce Implico’s online check-in system at a later point, through which drivers will be able to check in while still on the way to the terminal.

TanQuid and Implico have taken another important step by connecting all sites running OpenTAS via the cloud, giving the terminal operator a fully visualised, hardware-independent infrastructure. There are other plans to implement ‘Supply Chain United’ services at Duisburg, including the processing of rail cars, tanker vessels and direct turnovers via handheld devices. www.implico.com www.tanquid.com

DIGITISATION 23

VISION OF TRADE INVESTMENT • ARVATO HAS TAKEN A STAKE IN NEXXIOT, PROMISING NOT ONLY SYNERGIES IN SOFTWARE AND HARDWARE APPLICATIONS BUT ALSO A NEW PARADIGM FOR CARGO SECURITY

ARVATO FINANCIAL SOLUTIONS, the financial service provider subsidiary of Bertelsmann, has taken a shareholding in Switzerland-based digitisation pioneer Nexxiot.

Not only will this move give Nexxiot greater scope to expand and develop further datadriven solutions for global supply chains, it aspires to set new standards in worldwide cargo transparency. The aim is that, by the use of onboard digital technologies backed

by AI-powered cloud solutions, trust and accountability can be enhanced throughout intermodal freight networks all around the world.

Nexxiot is already one of the biggest enterprise IoT and big data analytics providers in the supply chain space; the backing and expertise of Arvato will allow it to add enhanced software and controls, while Arvato will be able to harness the dependability and performance of Nexxiot’s sensors, gateways and cloud solutions. “Together, these capabilities promise unique business intelligence unlike anything in the cargo transportation sector,” Nexxiot says.

Arvato Financial Solutions. “We see a tremendous opportunity to transform the global cargo shipping industry through the deployment of digital solutions and the application of Big Data-enabled AI. We are pleased to become an investor in Nexxiot and will rapidly deploy a business collaboration to accelerate the digital revolution in shipping.”

“As an important global player and being well known for its digital innovation, Bertelsmanns’ Arvato Financial is the ideal partner to develop an intelligent cargo shipping platform that meets the needs of commerce today and into the future,” adds Stefan Kalmund, Nexxiot’s CEO. “Nexxiot’s TradeTech is already the leading digital cargo transformation tool across Europe and beyond, and this new collaboration promises to further accelerate its adoption worldwide.”

KNOW YOUR CARGO There is another underlying reason for the investment. Arvato notes that the financial services sector has been transformed in terms of efficiency and traceability by the arrival of the global ‘Know Your Customer’ (KYC) standards. Arvato and Nexxiot believe a similar approach needs to be taken to international

trade through a ‘Know Your Cargo’ system.

“In 2021, seven ocean vessels were destroyed by fire due to weaknesses in today’s cargo declaration processes,” they say. “This is just one example demonstrating how today’s ‘good faith’ cargo transparency standards are no longer good enough. Each stakeholder from carriers to customs, insurers and owners, ports and terminals need better assurances when third parties take on critical processes, many times on the other side of the planet. Advanced digital services ensure cargo quality, safety and sustainability, and are required to control risks like damages, loss, theft, illegal trafficking and movements of hazardous goods.”

To fully realise the ‘Know Your Cargo’ concept, raw data from robust hardware must be combined with advanced and secure platform analytics to deliver trusted stakeholder value. The resulting visibility will drive streamlined processes and establish better standards and business models, Arvato and Nexxiot believe. Always a frontrunner on new global megatrends, Arvato Financial Solutions recognised this emerging market and responded by creating the ‘Customer Information Network Intelligence’ platform known as Cinfoni. When combined with Nexxiot’s powerful Connect Intelligent Cloud, a new paradigm in cargo accountability will be defined. www.finance.arvato.com nexxiot.com

“Financial services and global logistics are intertwined. Containers, railcars and the cargo they contain represent significant financial investments. Stakeholders are looking for ways to manage risk and reduce operating costs,” says Jan Altersten, CEO of

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24 DIGITISATION

BACKED TO THE HILT

THE FREIGHT CONTAINER has changed little since it was first developed more than 60 years ago: it remains basically a metal box with two doors at one end and a wooden floor. Such lack of innovation seems incongruous these days, when there are so many technologies available to improve efficiency.

That was what Naïk Londono and David Baur felt when they were working together as students at the École polytechnique fédérale de Lausanne (EPFL) in Switzerland; and in 2018 they founded Aeler to bring to the market a new kind of transport container, manufactured from composite materials and with state-of-the-art electronics embedded in its design to provide end-to-end visibility and intelligence over the container and its cargo. That was the start of what the two cofounders termed ‘LogTech’, which they saw as

including financial managers, IT specialists and logistics providers. Commenting on the success of the financing, Bertrand Piccard of the Solar Impulse Foundation, an early supporter of the company, said: “The Solar Impulse Label exists to show governments and business leaders that solutions that are good for the environment represent the biggest market opportunity of our century.

We labelled Aeler back in 2019 and this investment confirms that investors too see Aeler’s potential.”

Londono added: “The support we’re receiving from both investors and customers - many leaders in their field - validates Aeler’s transformational approach to what’s now becoming a fast-changing market.” That approach means leveraging new technologies, particularly composite materials and IoT

ROOM TO GROW The funding was sought to help meet rapidly growing demand for Aeler’s new generation container - especially in the food & beverage, chemicals, FMCG and luxury sectors - and expand its Container As A Service (CAAS) model, an innovative subscription-based model that gives customers timely and flexible access to Aeler’s containers, another innovation that gives shippers more control over their supply chain.

Aeler’s Unit One container is lightweight but robust and is designed to be insulated as well as carrying more payload than a traditional container – its flat walls provide 11 per cent more storage volume. Together with its aerodynamic design, that delivers a 20 per cent reduction in carbon dioxide emissions during transport.

To achieve this lighter yet stronger container, Aeler partnered with top universities, including the laboratories at EPFL that were involved in the development of the composite material used on Solar Impulse, the solar-powered aircraft that circumnavigated the globe without fuel in 2016. The Aeler container has been CSC-certified and design patents

a new industry sector that could improve and disrupt traditional logistics services through the use of technology.

The value of that concept was tested earlier this year when Aeler sought financing on the market; it raised CFr 7m ($7.5m) in an oversubscribed offering, with shareholders now

systems, marking a massive leap away from the dumb box that has been the workhorse of international logistics for six decades. “Today, this hot, often rusty, unconnected metal box is increasingly out of sync with the demands of both business and the environment,” Aeler’s founders say.

are pending.

“The logistics industry is ripe for a new technological breakthrough. With the Aeler container, we are reworking the very foundations of this trillion-dollar industry,” says Baur. www.aeler.com

CONTAINERS • AELER’S MISSION TO TRANSFORM THE CONTAINER AND ITS ROLE IN THE GLOBAL LOGISTICS CHAIN HAS BEEN WELL SUPPORTED BY THE MARKET, HIGHLIGHTING ITS POTENTIAL

HCB MONTHLY | APRIL 2022

Tank Storage Tank Storage Conference & Conference & Exhibition Exhibition 2022 2022

SECTION SLUG 25

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INDUSTRIAL PACKAGING 27

Mauser Packaging Solutions offers the largest global collection and return network.

MAUSER PACKAGING SOLUTIONS has received UN certification for its Infinity Series intermediate bulk container (IBC), a composite IBC with an inner receptacle made from high quality, natural coloured postconsumer resin (PCR), which is generated in-house under the Recolene® brand.

Through close collaboration with authorities, the International Confederation of Plastics Packaging Manufacturers (ICPP) and the International Confederation of Container Reconditioners (ICCR), Mauser Packaging Solutions helped successfully lobby the UN Sub-committee of Experts on the Transport of Dangerous Goods to update the UN Model

“This certification is a significant step forward toward the expanded use of recycled materials in the industrial packaging industry. Thank you to all of our industry partners who collaborated with us to make this happen.”

Mauser paved the way for the use of PCR in the industrial packaging industry with the introduction of one of the first UN-certified, monolayer, plastic drums made from 100 per cent recycled resin some seven years ago.

Today, the company continues to expand its line of monolayer and multilayer drums and IBCs that support the circular economy and conserve natural resources.

The availability of the Infinity Series product

CLOSE THE LOOP Designed with sustainability in mind, the Infinity Series IBC was the first non-UN composite IBC with an inner receptacle made from PCR materials when it was introduced to the market a few years ago. It demonstrates the advantages of Mauser’s closed-loop recycling system and the benefits of cascading reuse and recycling concepts to an industrial packaging product.

The UN-rated Infinity Series IBC features a two-layer bottle that contains a significant share of recycled resin, which is generated from selected empty industrial packaging that has been collected via the Mauser Packaging Solutions collection programme before being shredded, washed, sorted by colour and extruded on-site at one of the company’s six recycling centres.

This technology and closed loop process enables optimal recycling of PCR material resulting in a consistent, high quality PCR stream available in multiple colours including natural, blue and black. The Infinity Series IBC bottle boasts a 25 per cent lower carbon footprint compared to a new bottle and supports the company’s efforts to divert waste from landfills, decrease the consumption of raw materials and energy, and reduce emissions.

The Infinity IBC offers the same benefits of reusability and recyclability as a standard composite IBC and is ideal for use in the chemicals, paints and coatings, building products, petrochemical and lubricant industries.

Thus far, the UN-certified Infinity IBC is available only in Central Europe. Mauser says it is continuing to work toward approval and availability across its global network.

The Infinity Series IBC is part of a broader product line that includes mono-and multilayer

Regulations to allow the use of PCR materials to produce the bottle of composite IBCs. “We strive to be a positive example to our industry and are determined to increase awareness and adoption of sustainable products and services,” says Mark Burgess, president of Mauser Packaging Solutions.

line and other types of reconditioned packaging is dependent on the return of used, empty industrial packaging. Diverting packaging from the waste stream is the first step in responsibly extending the life cycle of packaging. With more than 80 reconditioning and recycling facilities around the world,

plastic drums (open head and L-ring), medical waste containers, plastic pails, tighthead containers, and lube oil cans made from recycled resin, presenting the most comprehensive portfolios of industrial packaging made from PCR materials. www.mauserpackaging.com

INFINITY AND BEYOND RECYCLED PLASTICS • AFTER LOBBYING THE UN EXPERTS IN CONCERT WITH ITS INDUSTRY PARTNERS, MAUSER HAS OPENED THE WAY TO USING RECYCLED MATERIAL IN ITS COMPOSITE IBCS

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SHOPPING FOR SHIPS FLEETS • HAMBURG-BASED GEFO IS CURRENTLY MAKING THE BIGGEST INVESTMENT IN ITS 60-YEAR HISTORY, PREPARING ITS SEAGOING AND INLAND FLEETS FOR THE DEMANDS FOR CLEANER TRANSPORT GEFO IS CURRENTLY involved in a €400m fleet renewal and expansion programme of its 150-strong fleet of shortsea and inland chemical and gas tankers. The company, founded in Hamburg in 1961 as Gesellschaft

and six of 3,800 dwt. All are equipped with stainless steel tanks to allow all types of chemical cargoes, including acids and alkalis, to be carried. Five existing ships have already been acquired, also for sailing with chemical

für Oeltransporte, is building 26 new vessels at specialised yards in China, Turkey, Romania and the Netherlands and is also aiming to acquire 13 modern vessels on the secondhand market.

GEFO’s shopping list includes nine new seagoing chemical tankers, three of 7,500 dwt

cargoes. These include the 2018-built Gioconda, which has 14 stainless steel tanks and is ice class 1A. The other 17 newbuildings are for inland waterway operation and include five gas tankers and 12 chemical tankers, 11 of which also have stainless steel cargo tanks, ranging

HCB MONTHLY | APRIL 2022

in size from 1,500 dwt to 4,000 dwt. Four of the chemical tankers have already been committed under 10-year charters to chemical shippers. In addition, eight inland vessels have been acquired.

Naturally, all units destined for seagoing work, as well as those for the Rhine network and operations in the Antwerp-RotterdamAmsterdam (ARA) chemical triangle are all built with double hulls for reasons of safety and environmental protection.

CARRY MORE STUFF GEFO shipped some 18.3m tonnes of product in 2021, all of which was classed as dangerous goods with explosive or toxic hazards. For this reason, the company maintains intensive and sophisticated accident prevention methods and precautions throughout its technical, operational and specialist HSSEQ departments.

“Safety for people the environment, cargo, ship

TANKER SHIPPING 29

and port facilities is the priority in every transport,” the company says. “Zero incidents, zero accidents.”

Indeed, GEFO says, steadily growing environmental awareness among shippers of chemicals and mineral oils as well as tanker owners is what encouraged GEFO to undertake its fleet renewal and expansion, which represents the largest investment in the company’s history.

Last year, GEFO achieved revenues of some €430m, of which 80 per cent was derived from the transport of chemical products. The current fleet additions are expected to increase its throughput to 20.0m tonnes per year with revenues of €500m.

GEFO’s current fleet stands at 150 specialised tankers, of which half are owned and the others chartered in, often from captain-owners working in the inland trades.

Following the completion of the current round of investment, GEFO’s total fleet capacity will be close to 430,000 dwt, with a carrying capacity of just over 500,000 m3. Of that, 35 stainless steel chemical tankers will represent some 133,000 dwt and 142,000 m3.

GEFO says that it will then have the youngest specialised tanker fleet in Europe, with an average age of 9.0 years for the seagoing fleet and 13.2 years for the river fleet.

EMPLOYMENT PROSPECTS GEFO notes that its maritime and inland waterway operations are dependent on economic development in Europe. Its 25 seagoing tankers work a range from the Baltic Sea to the western Mediterranean, operating anywhere between Finland and Spain; in terms of intra-European waterway logistics, it covers the Rhine system from the delta lands of Belgium and the Netherlands all the way upriver to Switzerland, as well as into France.

Many of those countries are at the forefront of increasingly stringent environmental expectations and GEFO’s newbuilding

reduce emissions of nitrogen oxides by 80 per cent and carbon dioxide by 25 per cent when compared to conventional marine gasoil propulsion.

Similarly, the 17 new inland gas and chemical tankers are equipped with Stage V engines in accordance with EU standards, along with selective catalytic reduction (SCR) converters, that significantly reduce emissions. GEFO has also developed a completely new flow-optimised hull form for both seagoing and river vessels, which delivers fuel savings of up to 30 per cent and a corresponding reduction in pollutant emissions.

SUSTAINABILITY GOALS GEFO is also endeavouring to make its ships carbon-neutral by 2045, in accordance with the Paris Agreement. It says this will require the successive replacement of its existing fleet with newbuildings powered by green hydrogen, green ammonia or green methanol, or equipped with battery power, within the next 20 to 25 years. GEFO says that, in its opinion, retrofitting existing vessels with non-polluting engines will not be worthwhile, since those vessels will by 2045 already be 25 years or older.

GEFO has already submitted concepts for hydrogen-powered propulsion systems to classification society DNV for approval. The German federal government is supporting this effort, which once realised would mean the first zero-emission seagoing cargo ships since the age of sail.

With its experience and expertise in gas shipping, GEFO is currently involved in the

development of methods for the shipping and disposal of carbon dioxide at underground storage sites at sea. This process is not yet operational in Germany, though the company notes that it is already practised elsewhere in Europe, for instance in Norway.

These initiatives in the area of sustainability have seen GEFO again being awarded a silver rating by EcoVadis last year; a large number of tankers in the GEFO fleet as well as the company itself have also been recognised by the Netherlands-based Green Award Foundation, reflecting its “exceptional commitment” to improve its performance in environmental protection, safety and quality.

Ships certified with a Green Award receive benefits including discounts on port fees at a number of ports in the region, demonstrating another positive effect that sustainability has on financial performance.

In addition, GEFO has recently been ranked 21st among the top 260 family-owned companies in Germany – and the only logistics and shipping company – in an exclusive study on sustainability and innovation by the business magazine Wirtschaftswoche. In addition to business development, the survey evaluated criteria such as trust, quality, innovation, sustainability and innovation.

Aside from its headquarters in Hamburg, GEFO operates offices in Antwerp, Duisburg and Luxembourg; its shipping activities are complemented by a worldwide bunker trading operation, for which it maintains a network that extends from Singapore to New York, South Africa and Australia. www.gefo.com

programme has responded accordingly. Many of the new seagoing ships have already been delivered from yards in China and Turkey and have been successfully put into operation. One of these, the 7,400-dwt Tosca, is equipped with LNG propulsion to eliminate emissions of sulphur oxides and particulate matter and to

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NEWS BULLETIN

TANKER SHIPPING

STEALTHGAS PAYS TO FOCUS

StealthGas has reported 2021 revenues of $150.2m, up 3.6 per cent on the previous year, largely as a result of lower bareboat activity and more exposure to the spot market. After taking an impairment loss of $44.6m, most of which relates to the spin-off of the company’s non-gas tanker activities, StealthGas reported a net loss for the year of $35.1m, compared to net income of $10.2m in 2020.

“Year 2021 has been throughout its course demanding, as it required shipping companies to adapt to the pressures arising from the ongoing Covid-19 pandemic, along with inflationary pressures as an outcome of rising energy prices,” remarks board chairman Michael Jolliffe. “Regrettably, the Russian war outbreak in Ukraine has made our global reality uncertain with considerable effects on humanitarian, geopolitical and economic aspects; LPG trade will not remain unaffected, and we may see direct effects such as changes in trade patterns as well as indirect ones such as further increases in energy prices, and various other costs that may increase such as insurance war risk premiums.

“Our year ended with a profit of $10.2m excluding impairment charges, a decent performance when taking into consideration the large increase in our voyage costs, crew costs related to the Covid-19 pandemic as well expenses for drydocking again due to Covid-19 yard restrictions,” Jolliffe adds. “Going forward we cannot predict our market’s reality especially in such erratic times; however, our sizeable fleet, our market’s strong fundamentals, LPG rates improvement in the fourth quarter of 2021 along with our healthy capital structure are the strong points upon which we will rely, despite any market disturbances we may face.” www.stealthgas.com VLGCS IN DEMAND

Some of the major operators of very large gas carriers (VLGCs) have taken advantage of

HCB MONTHLY | APRIL 2022

strong secondhand values to sell off their older ships. BW LPG, for one, has sold its 2006-built VLGC BW Trader, one of the oldest gas carriers in its fleet. The 78,600-m3 unit was delivered to its new owners in March; BW LPG says it will book a gain of some $2m on the deal.

“This sale is in line with our strategy of seeking to optimise our assets through the cycles and gives further strength to our balance sheet and liquidity position,” says Anders Onarheim, CEO. After the transaction, BW LPG now has a fleet of 39 VLGCs, of which 12 have been retrofitted with dual-fuel engines capable of running on LPG. Similarly, Avance Gas has agreed the sale of the 2008-built VLGC Providence, its second divestment of an older carrier this year. The sale is part of Avance’s overall strategy to renew and update its fleet and has come at a good time as secondhand values are currently strong: this deal is expected to generate some $24.3m in net cash proceeds and a book profit of $4.8m.

Dorian LPG has completed the previously announced sale of its 2008-built VLGC Captain Nicholas ML. As the ship was debt-free, the transaction has generated cash proceeds of $48.1m.

Dorian also reports that it has arranged sale and bareboat charter deals for two 2015-built VLGCs in its fleet, Cratis and Copernicus, with a Japanese financing counterparty. The transaction has generated $100m, half of which has been used to pay down debt. The nine-year deals include purchase options. www.avancegas.com www.bwlpg.com www.dorianlpg.com NAVIGATOR EDGES UP

Navigator Holdings has reported annual operating revenue for 2021 of $403.6m, up from $332.5m the year before, with adjusted EBITDA rising by 25 per cent to $155.8m. Both figures have been improved as a result of the acquisition of vessels sailing in the Unigas pool following Navigator’s acquisition of Ultragas, which added $24.1m in revenues for the year as a whole. In addition, average timecharter equivalent rates improved from $21,573 per vessel per day in 2020 to $22,145 in 2021.

Navigator Holdings also notes that its ethylene export terminal at Morgan’s Point, Texas achieved fourth quarter throughput of 241,500 tonnes, compared to 125,300 tonnes in the same period 2020.

TANKER SHIPPING 31

Since the end of the year, Navigator has sold its 2000-built 20,000-m3 ethylene carrier Navigator Neptune for $21.0m and its 1999-built 8,600-m3 LPG carrier Happy Bird for $6.1m. navigatorgas.com TEAM SELLS UP TO MLEP

Maritime Logistics Equity Partners (MLEP), formed this past November by Easterly Asset Management, has emerged as the buyer of Team Tankers’ last three owned chemical tankers. The 24,000-dwt, coated vessels, all built in 2008/9, have now joined Womar Pools, along with MLEP’s four existing stainless steel tankers. They have been renamed Easterly Hawk, Easterly Osprey and Easterly Falcon.

“The new acquisitions show the appeal of our focus on benefitting from the substantial dislocations and opportunities in international shipping markets by acquiring and making available for hire pre-owned chemical tankers,” says Darrell Crate, CEO of MLEP. “We’ve seen that the demand for such tankers has the potential to generate a high level of income for investors and we continue to seek new investment opportunities in the shipping sector.” MLEP has set itself a target of build a fleet of between 15 and 25 tankers. easterlyam.com/maritime-logistics/

EXMAR FIRM IN LPG

Exmar has reported 2021 revenues of $148.2m on an IFRS basis, down from $285.2m in 2020; EBITDA dropped from $177.5m to $51.3m and profit after tax fell from $92.0m to $11.6m.

Exmar’s core gas shipping activities performed better, with revenues up 2 per cent at $137.7m and operating EBIT swinging from a 2020 loss of $7.8m to a profit of $26.9m, largely as a result of impairment charges in the prior year.

Revenues improved following the delivery of two VLGC newbuildings employed under timecharter, partially offset by the sale of two older midsize vessels. Exmar notes volatility in the VLGC sector, though its ships in this size band are all covered by timecharters. Elsewhere in the LPG market, rates were stable compared to 2020. LNG shipping rates were high due to geopolitical tensions, Exmar reports. exmar.be SEATRANS BUILDS FOR THE FUTURE

Seatrans Chemical Tankers has ordered two 12,500-dwt stainless steel chemical tankers from Kitanihon Shipbuilding for 2023 delivery.

The new vessels will have 18 cargo segregations, thermal oil heating and be suitable for the carriage of propylene oxide. “With a flexible cargo tank figuration, these vessels will be perfect for our parcel trade between northern

Europe and the Mediterranean,” Seatrans say, adding that the new ships will be an important step in the renewal of its fleet.

The new ships will be built to the highest standards of environmental protection, fuel efficiency and safety, Seatrans adds. They will comply with IMO’s Tier 3 NOx and SOx emissions requirements and the Phase 3 EEDI compliance level. seatrans.no ANOTHER ADDITION FOR THUN

Thun Tankers has taken delivery of Thun Britain, the second of two 4,250-dwt ‘NaabsaMAX’ product tankers ordered from Ferus Smit against a long-term charter with Geos Group and designed to work in shallow-draught ports in the UK. “With two high quality NaabsaMAX size tankers we can offer increased flexibility in this niche segment,” says Joakim Lund, CEO of Thun Tankers. “These tankers have been built to the absolutely latest design, enabling Geos Group and their clients access to the most efficient and sustainable transport solution available in this segment.”

Thun Tankers has also ordered another vessel in its Vinga series of 18,000-dwt dual-fuel product tanker, which will be the tenth. It is due for delivery from China Merchants Jinling Shipyard in 2024 and will join the Gothia Tanker Alliance network under the technical and commercial management of Furetank. As well as being able to use LNG or liquefied biogas (LBG) as fuel, the ships are also fitted with a battery hybrid propulsion system.

“It is very good news that Erik Thun continues to engage in the development of Gothia Tanker Alliance. It helps us reach ever greater environmental benefits,” says Lars Höglund, CEO of Furetank. “With this vessel, we will operate 15 dual-fuel tankers of the highest environmental standard. It increases the efficiency of our logistics and reduces climate emissions, as we always have a vessel in the right position for every transport and thereby minimise the time in ballast.” thuntankers.com

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Brenntag Essentials, which markets a broad portfolio of process chemicals across a wide range of industries, achieved an operating gross profit of €2.07bn, up by 16 per cent, almost entirely driven by organic growth. “In a challenging environment, Brenntag managed to maintain deliveries to customers throughout the year,” the company says.

Brenntag Specialties, the largest specialty chemicals distributor in the world, grew operating gross profit by 25.4 per cent to €1.28bn, with a particularly strong growth contribution from the Americas and EMEA. There was a mixture of organic growth and contributions from recent acquisitions.

BRENNTAG HAS REPORTED 2021 sales of €14.4bn, with operating gross profit up almost 20 per cent at €3.38bn; operating EBITDA was almost 30 per cent higher at €1.35bn, while profit after tax was stable at €461m, reflecting

progress in achieving additional operating EBITDA of €220m annually by the end of 2023.

It has so far completed 72 of the 100 planned site closures and reduced its headcount by 925 jobs.

WORD FROM THE BOSS “Brenntag’s business model again proved its resilience in particularly difficult times of severe pressure on global supply chains,” says Dr Christian Kohlpaintner, CEO. “We expect the overall macro-economic, geopolitical, and the associated operational conditions to remain challenging. Supply chains have been and still are under severe pressure, further impacting production and supply. We only expect some normalisation of market conditions later in the year.”

In light of current economic conditions, Brenntag Group expects operating EBITDA for 2022 to be between €1.45bn and €1.55bn. This forecast is based on a normalising market environment later in the year, includes the potential efficiency improvement driven by the measures of Project Brenntag as well as the contributions to earnings from acquisitions already closed and assumes that exchange rates will remain stable. The global economy is expected to continue to be severely impacted by exceptional influencing factors that cannot be reliably forecast, such as the Covid-19 pandemic, current geopolitical developments, pressure on global supply chains, inflationary tendencies and price volatility.

extraordinary expenses relating mainly to excise tax payments and provisions.

The implementation of Project Brenntag, the company’s comprehensive transformation journey, started at the beginning of 2021.

Brenntag says the transformation is ahead of plan and continues to make very good

One element of Project Brenntag was the restructuring of the company into two distinct divisions: Brenntag Essentials and Brenntag Specialties. Both contributed strongly to the 2021 results, with operating EBITDA growth of 34.3 per cent for Brenntag Specialties and 28.6 per cent for Brenntag Essentials.

BUY TO BUILD Brenntag invested some €440m in merger and acquisition activity during 2021, acquiring six companies; this was its highest investment since 2015. Some 80 per cent of the M&A spend was related to what Brenntag describes

GOING TO PLAN RESULTS • STRATEGIC REORGANISATION AND A CONTINUING FOCUS ON ACQUISITIONS HAVE PROPELLED BRENNTAG TO ITS HIGHEST EVER SALES LAST YEAR, WITH MORE TO COME IN 2022

HCB MONTHLY | APRIL 2022

CHEMICAL DISTRIBUTION 33

as the “highly attractive” life sciences segment, especially in the nutrition industry. Among the major acquisitions were Zhongbai Xingye in China and JM Swank in North America. Those two deals propelled Brenntag’s global nutrition business to some €2.0bn in sales. Overall, acquisitions contributed €33m to operating EBITDA in 2021, of which the majority was attributable to deals that closed in the course of the year.

That acquisition activity has continued in the first quarter of 2022. Brenntag has entered the Israel market through the acquisition of specialty chemicals distributor YS Ashkenazi Agencies and its subsidiary Biochem Trading.

“The acquisition of YS Ashkenazi Agencies is an excellent opportunity for us to gain a foothold in the highly developed and innovative market in Israel,” says Henri Nejade, COO of Brenntag Specialties. “With this local presence, which is vital for our business, we can further expand our specialty products and services to suppliers and customers in the fast-growing Food & Nutrition and Personal

 DR CHRISTIAN KOHLPAINTNER, BRENNTAG CEO, SAYS THE FIRM’S BUSINESS MODEL HAS AGAIN PROVED ITS RESILIENCE IN WHAT HAVE BEEN PARTICULARLY DIFFICULT OPERATING CONDITIONS

Care markets in the region. We also see opportunities to expand our value proposition with global key accounts that operate in these markets.”

“The acquisition of YS Ashkenazi Agencies is perfectly in line with our M&A strategy in the region,” adds Anthony Gerace, senior vice-president, M&A at Brenntag Group. “YS Ashkenazi Agencies is the market leader in Israel in the important markets of Personal Care and Food & Nutrition. Its comprehensive product portfolio, large customer base and reputation for quality provide an excellent opportunity for us to leverage this new platform in the region.”

DONE DEALS Brenntag has also lined up a number of new and expanded distribution deals over the past two months. It signed an exclusive agreement with Corbion Animal Health for the distribution of its Alaopur line in Belgium, the Netherlands and France. Brenntag and Corbion were already working together in the food, pharma and cosmetics segments, but the new deal is seen as an important next step.

“This new partnership will enable Corbion to extend its presence to nearly full market coverage as well as seeing a number of new customers being serviced efficiently by the

dedicated Brenntag team. Joining forces this way promises to become a successful path for the benefit of both partners as well as their customers,” says Nico Kors, global sales director at Corbion Animal Health.

Brenntag has also extended its deal with BASF to distribute its Baxxodur® portfolio of amine-based curing agents to cover the whole of North America. “We are proud to expand our relationship with BASF. This collaboration provides our customers the convenience of developing and sourcing their entire formula from one source,” says Ted Davlantes, president of Material Science, Brenntag Americas. “In addition, customers are fully supported with a dedicated team of industry experts and a broadened product portfolio.”

Brenntag Specialties has expanded its distribution agreement with Arkema for its waterborne acrylic resins to cover Mexico as well as the US and Canada. These resins are used in applications such as adhesives, caulks and sealants, construction products, architectural paints, traffic coatings and industrial coatings. “Arkema is committed to implementing the best possible distribution options for our customers in all markets and regions,” says Eric Dumain, global marketing director, coating resins at Arkema. “Based on our history working with Brenntag in other regions, we are confident they will help us accomplish this and anticipate a smooth transition for our customers.”

In addition, Brenntag has expanded its distribution agreement with Elementis Specialties to distribute its specialty chemicals and additives for the coatings, adhesives and sealant industries in India, Nepal, Sri Lanka and the Philippines. “We are excited to strengthen our strategic partnership with Elementis in these four countries as its products fit well into our existing product portfolios and will enable us to develop more value-adding solutions in coatings systems for our customers in each local market,” says Sanjay Karkhanis, president, materials science at Brenntag Asia Pacific. “This continues to build our longstanding partnership with Elementis, with whom we have been working with for more than 15 years in Asia Pacific.” www.brenntag.com

WWW.HCBLIVE.COM

34 CHEMICAL DISTRIBUTION

FORCE THE ISSUE

GOLDMAN SACHS COMPLETED the sale of Caldic BV to Advent International on 1 March, after first announcing the deal in November 2021. Advent has now begun the integration of Caldic with GTM, which it already owned, that will create what Caldic calls “a significant new force that positions itself in the top three global players in specialty ingredients and chemicals”.

Under Advent’s ownership, the merged company will use the Caldic brand and will have the opportunity to accelerate its growth, both organically as well as through acquisitions. Ronald Ayles, managing partner and global head of chemicals at Advent, says: “The Advent team is looking forward to

integration will create opportunities to capitalise on best practices across the regions and cross-fertilise on principals and portfolio, fuelling new business growth potential. The merged company creates a compelling business of global scale and makes Caldic well positioned for further growth. The strong foothold in Latin America will enhance our ability to provide customers with innovative and sustainable solutions, reinforcing our motto ‘Because we care’.”

SAME BUT DIFFERENT Since it was formed some 35 years ago, GTM has grown to become one of only two chemical distribution companies with a fully

home and personal care, fragrances, rubber, coatings and adhesives, and lubricants sectors.

Caldic’s product portfolio includes innovative food ingredients, specialty chemicals and functional solutions for a variety of life sciences and industrial end markets. With a leading presence in Europe, North America and Asia Pacific, the merger with GTM represents the last piece of the jigsaw to a truly global coverage which, combined with local expertise, provides the flexibility to meet customer-specific requirements, through customised formulation support and dedicated manufacturing capabilities.

GTM’s Rodrigo Gutierrez, who will lead the Latin America region for the new Caldic, says: “Our customers are increasingly demanding customised solutions and extended supply chain services. With Caldic’s value add product portfolio and broader manufacturing and distribution capabilities we will be able to deliver a positive impact in life science and industrial markets. Latin America is a high growth region with tremendous opportunities

working with Caldic on its journey to becoming a truly global market leader in value add specialty chemicals and ingredients for life science and industrial markets.”

Alexander Wessels will continue to lead the new Caldic as CEO from its base in Rotterdam.

He says of the deal: “We are thrilled that the

Latin-American footprint. In April 2017, GTM acquired quantiQ in Brazil, consolidating its position as a leading specialty chemical distributor in the region. The company has experienced strong growth in recent years as a provider of value-added solutions and highly customised specialty products, supplying the

and the joint expertise will allow us to help our current and new customers to seize such opportunities.”

The merged companies together represent pro forma annual sales of some €1.8bn and a total workforce of around 2,300. www.caldic.com

CONSOLIDATION • THERE IS A NEW FORCE IN THE GLOBAL CHEMICAL DISTRIBUTION SECTOR AS CALDIC AND GTM BECOME ONE. OWNER ADVENT PROMISES MORE GROWTH AND ACQUISITIONS

HCB MONTHLY | APRIL 2022

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SECTION SLUG 35

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36

NEWS BULLETIN

CHEMICAL DISTRIBUTION

OMYA DIGS DEEP

Omya has acquired Prima Inter-Chem, a distributor of ingredients and specialty chemicals in Malaysia and Indonesia, boosting its presence in the food, pharma, animal feed and industrial markets and establishing a platform for growth in the region.

“The acquisition of Prima is another success of our strategy of acquiring complementary businesses,” Omya states. “Prima and Omya share the same values and a business approach of helping customers and principals expand their market reach, both locally and internationally. With this acquisition, we are expanding Omya’s presence, particularly in food and pharma ingredients in Asia Pacific, and our existing capabilities will be strengthened by the exceptional knowledge, experience and expertise that Prima brings to our organisation.”

Omya has also reached an agreement to acquire Hall Technologies, a specialty chemical distributor headquartered in St Louis, Missouri with operations throughout the Midwest and southern US. The acquisition, which is expected to close before the end of April, is designed to enhance Omya’s distribution network in North America.

“We are very excited to welcome Hall Technologies to the Omya Group,” says Rainer Siedler, CEO Americas at Omya. “Under Jeff Laurent’s leadership, Hall has built a leading position in the Midwest specialty chemical distribution market. We look forward to welcoming the Hall Technologies team into the Omya family.” Laurent adds: “We look forward to being part of the Omya Group. We strongly believe that, by leveraging our combined businesses, we will continue to grow and offer superior value to our supplier network and customer base.” www.omya.com

HCB MONTHLY | APRIL 2022

ACQUISITIONS BOOST AZELIS

Azelis has reported 2021 revenues of €2.83bn, up 27.2 per cent on the 2020 figure; more than half of that gain represented organic growth, the company says, although the 12 acquisitions it completed in the year represent more than €530m in annualised revenue. Adjusted EBITDA rose 41.3 per cent over 2020 to reach €267.9m and net profit was up 38.3 per cent at €98.2m.

“I am pleased to report record-setting achievements in 2021,” says Dr Hans Joachim Müller, CEO. “This performance is all the more noteworthy given the ongoing industry challenges. In 2021, we secured multiple

mandates with new and existing suppliers, underscoring our demonstrated ability to grow our principals’ business. We established a leading franchise in the flavours and fragrance market with the acquisition of Vigon in the US and Quimdis in France. We accelerated our growth strategy in Asia-Pacific by acquiring eight companies in the region.

“I am confident that we are on track to continue delivering on our annual objectives,” Müller adds. “However, the developments in Russia and Ukraine have raised uncertainty around the world. We are monitoring the situation and our priority is the safety of our colleagues in the region. Whilst our direct

CHEMICAL DISTRIBUTION 37

revenue exposure is very low, we currently have limited visibility on the wider trade repercussions that may ultimately impact the Group.”

More recently, Azelis has acquired Whitfield Chemical Group Ltd, parent of WhitChem, a UK distributor of industrial chemicals in the CASE and rubber and plastics additives sectors. WhitChem’s long-standing relationships with blue-chip principals and product portfolio will strengthen Azelis’ lateral value chain in the UK, while its wide customer base and strong local technical sales team further expands the product offering and customer reach, Azelis says.

“We’re thrilled to welcome WhitChem into Azelis,” says Anna Bertona, CEO/president of Azelis EMEA. “Their exemplary expertise, strong relationships and a diverse customer base complement the organic growth of Azelis, while at the same time providing a valuable addition for our lateral value chain for this growing market. Over the years, they have proven to be an important technical sales extension for their principals, having grown their market share significantly, and they continue to show strong growth prospects.” www.azelis.com KRAHN NAME EXPANDS

Krahn Chemie has renamed its Greek subsidiary Interative SA as Krahn Hellas, continuing the process of presenting a uniform brand across Europe. Interactive was founded in Athens in 1990 and was acquired by Krahn in 2020; it specialises in the distribution of lubricant additives and scientific instruments to the oil, pharma and chemical sectors in Greece, Cyprus and Israel.

“The Krahn brand is synonymous with first-class specialty chemical distribution in numerous countries across Europe. We are pleased that we will now also establish our distribution, services and support in Greece,

Israel and Cyprus under this proven name,” says Dr Rolf Kuropka, managing director of the Krahn Group and chairman of Krahn Hellas. Yannis Protopapas, founder of Interactive SA, remains managing director.

There are also no changes in other contacts and the company’s address. www.krahn.eu BARENTZ BUYS BIG

Barentz International has agreed to acquire Paris-based Unipex, a leading distributor of life science ingredients and specialty chemicals in France, the Benelux countries and Africa. The acquisition will strengthen Barentz’s presence in France and provide a gateway to southern Europe and North Africa, while also further extending its European network of logistics centres and application laboratories.

“Unipex has a very strong position in the heart of the European life science ingredients market, with the focus on France,” says Hidde van der Wal, CEO of Barentz. “Their value proposition as ‘The Smart Distributor of Specialties’, operating on the edge between welfare and performance, perfectly matches Barentz’ brand positioning: ‘always creating better solutions’. These solutions enable sustained success for our customers, principals and all other stakeholders.”

Barentz has also acquired Distribuciones Industriales Variadas (Divsa), Central America’s leading value-add distributor of life science ingredients and specialty chemicals. With locations across Guatemala, the Dominican Republic, Honduras, El Salvador, Costa Rica, and Panama, Divsa represents the ideal fit to bridge Barentz’s well-established presence in North and South America, the company states.

The team will continue to be led by Mario Mena, Divsa’s president and founder, and the headquarters will remain in Guatemala City.

“We are thrilled to welcome Mario and his team to the Barentz organisation and

immediately establish a market leading presence in the Central American region,” says van der Wal. “Divsa has an impressive track record of delivering results for its key stakeholders and we are excited to leverage our combined capabilities to create better solutions that enable sustained success for our customers, principals and employees across Latin America.” www.barentz.com BM, BASF INTO AFRICA

Bodo Möller Chemie Group and BASF are expanding their long-standing partners, extending it to include the sale and distribution of resins and performance additives in the Maghreb and largely francophone countries in north-west Africa. The deal will be serviced from Bodo Möller’s recently inaugurated office and warehouse in Casablanca, Morocco.

The main focus of the new collaboration will be in the area of paints, inks and coatings. It also confirms Bodo Möller’s partnership with BASF and its position as one of the leading chemical distributor investors in Africa. “The close and long-standing partnership with BASF is based on a joint value concept of offering sustainable solutions to our customers as well as an in-depth understanding of the needs of this market,” says Frank Haug, chairman of the Bodo Möller Chemie Group.

“The African continent offers an enormous potential, but also requires a high level of customisation. Our application know-how and BASF’s technical support and product quality constitute an ideal foundation to sustainably develop the business in Africa.”

“Providing logistic support and warehousing locally plus competent technical support in the region is the winning combination for our customers in Maghreb and beyond,” adds Volker Oehl, business development director for CASE at Bodo Möller Chemie. bm-chemie.com

WWW.HCBLIVE.COM

38

Chemical Business Association (CBA), the Royal Society of Chemistry and the Association for Contract Manufacturing, Packing, Fulfilment and Logistics (BCMPA).

AFTER TWO YEARS of Covid-related lockdowns and disruption, industry is eager to get back to meeting in person and one of the first opportunities in the UK will be the ChemUK 2022 Expo, which returns to the NEC in Birmingham on 11 and 12 May. The event combines two shows, the Chemical, Process & Plant Engineering Show and, for HCB readers in particular, the Chemical Industries Supply Chain Show.

“ChemUK is deliberately set out to be a total industry meeting point, creating a fusion of cross-sector energies, inputs and connectivity,” says show organiser Ian Stone.

“However, we also recognise the contrasting needs of attendees on themes such as supply

providing an easy ‘under one giant roof’ experience to take in the broader trends of the sector,” Stone adds.

The Chemical Industries Supply Chain Show will showcase specialist exhibitors to attendees in the product development, R&D, supply chain, operational and logistics functions within the chemicals sector and users of those chemicals. It will cover not just logistics, transport and regulatory compliance, but also toll manufacturing, laboratory analysis and testing, specialist labelling, training and recruitment, and business and operational support.

Those already booked to exhibit at this event include BTC Europe, Brenntag, Surfachem,

WHAT ELSE IS THERE TO SEE? The Chemical, Process & Plant Engineering Show will showcase the latest technology and specialist services to UK plant, process, control and engineering professionals across the chemical and wider process industries.

It will look at a wide range of equipment and engineering technologies, along with digitisation and automation, process design, predictive maintenance, plant safety and much more. Some familiar names will be exhibiting, including Elaflex, Atlas Copco, Endress+Hauser, Carbis Filtration and many others.

In addition to the two main events, the organisers have arranged some more focused strands to the two days. A feature of the ChemUK 4.0 stage will be ‘The Digital Opportunity’, reflecting the tectonic shift towards digitised operations, which will have a dedicated speaker programme on process automation and robotics, big data management, AI, the Internet of Things, virtual reality, digital-driven sustainability and strategies for the adoption of digital techniques.

New for this year’s event is the Sustainability Stage, hosting panel sessions and feature presentations embracing critical themes such as chemical recycling, sustainable chemical processing, ‘green chemistry’ innovation and transition to bio-based products. Also new for 2022 will be the ‘Bio-Based Chemicals & Processing Innovation Zone’, showcasing breaking innovation start-ups, university spinouts etc, with exciting concepts.

On top of all that, ChemUK 2022 will also showcase a specialist Chemlab programme with exhibitors providing laboratory solutions and services.

chain, chemicals and ingredients, logistics and outsourcing, HSE, regulatory compliance, R&D management and more.

“Separating into two complementary yet contrasting exhibition shows can only help us get attendees locked into discussions with their primary target quicker, as well as

Robinson Brothers, Kimia UK, Airedale Group, Briar Chemicals, Libra Specialty Chemicals, Air Sea Containers, TAS Risk & Hazard Management, Rutpen, the National Chemical Emergency Centre (NCEC) and many others.

The organisers have also partnered with relevant industry bodies, including the

HCB will be on hand to bring back news from the show halls and conference sessions but there will be so much to see that it is very much worthwhile attending in person. All those interested can register for a free entry badge – and learn more about the event – at www.chemicalukexpo.com.

LET’S CONNECT EVENT PREVIEW • THE CHEMUK EXPO RETURNS TO BIRMINGHAM NEXT MONTH WITH UPWARDS OF 300 EXHIBITORS AND MORE THAN 100 SPEAKERS, ALL OF INTEREST TO THE CHEMICALS SECTOR

HCB MONTHLY | APRIL 2022

COURSES & CONFERENCES

SELECT THE BEST DRIVER TRAINING • IRU’S TRAINING PROGRAMMES ARE SHOWING THEIR WORTH IN AREAS OF THE WORLD THAT LACK A WELL DEVELOPED TRAINING FRATERNITY, WITH TRISTAR THE LATEST CLIENT DUBAI-HEADQUARTERED TRISTAR GROUP, which has committed to meeting the highest international safety standards in the transport and storage of hydrocarbon products, has opted to use the International Road Transport Union’s (IRU) RoadMasters hydrocarbon programme for its operations across the Gulf Cooperation Council (GCC) region and further afield. Tristar, which operates more than 2,000 vehicles in 21 countries across three continents, started its accreditation process this past November in order to establish a team of IRU-certified trainers and assessors.

Eugene Mayne, CEO of Tristar Group, says: “I am proud of Tristar’s commitment on safety and that is why we chose IRU RoadMasters.

The team is now accredited and ready to roll out the programme. We are looking forward in particular to more detailed analytics in order to assess, reward and motivate our valuable drivers.”

“IRU is delighted to be working with Tristar to make the transport of liquid hydrocarbons even safer throughout their supply chain,” comments Patrick Philipp, director of certification and standards at IRU. “Their commitment to meet the highest international standards will set an enviable benchmark for the region.”

MORE THAN TRAINING RoadMasters is more than just a driver training tool. It is designed to help logistics operators to develop, strengthen and manage key workers, especially divers, through state-of-the-art training and assessment solutions. It certifies drivers and provides companies with digital dashboards to

39

monitor and manage driver skills profiles.

IRU’s RoadMasters for hydrocarbon transport is a specialised programme for the oil and gas sector; there are also general goods and passenger transport versions. In all cases, the programmes reflect the fact that the driver’s role is not just about driving; indeed, other skills can often have a greater impact on performance and efficiency. The RoadMasters online solution can help operators measure all aspects of driver compliance, analysis skills gaps at the individual, unit and company level and allow them to make informed decisions on training needs. The online modules can be combined with assessor-led practical assessments.

By addressing skills gaps, operators can avoid penalties, reduce wear and tear on equipment and cut fuel costs. Identifying areas where improvement is needed also helps to ensure that training budgets are spent where they are needed. RoadMasters can also help operators generate skills profiles during the recruitment process, helping them to select the right candidates and tailor induction programmes to individual needs. It also shows that an operator is serious about professional development.

Tristar is not the only operator in the GCC region to take advantage of IRU’s programme.

The Middle East Logistics Institute (MELI) has collaborated on the programme since 2018 for drivers subcontracted to Saudi Aramco to ensure that high professional standards are demonstrated during the transport of oils and gases. Two years later, Amer Badameh, MELI’s general manager, noted that operators had begun to see the benefits of training and certification – as well as the return on investment. “RoadMasters helps strengthen long-term competitive advantages by reducing liability exposure, minimising road incidents and cutting the related costs,” he said. “The programme is unique in that it leads to an international standard certification, which improves driver motivation and contributes to their career development.” www.iru.org www.tristar-group.co

WWW.HCBLIVE.COM

40 COURSES & CONFERENCES

CONFERENCE DIARY The ongoing global Covid-19 pandemic continues to cause the cancellation or postponement of many events planned for the next few months and many organisers are taking their events online. HCB is doing its best to keep on top of developments but readers should check the dates and locations shown below as things change rapidly.

APRIL NISTM APRIL 13-15, ORLANDO National Institute for Storage Tank Management’s 25th annual international above ground storage tank conference and trade show www.nistm.org NTTC Annual Conference APRIL 23-26, SAN DIEGO 73rd annual conference and exhibition of the National Tank Truck Carriers www.tanktruck.org/Public/Events/Annual%20 Conference%20and%20Exhibits/Public/Events/ Annual-Conference---Exhibits.aspx UKIFDA Expo 2022 APRIL 27-28, LIVERPOOL Annual exhibition for the fuel distribution sector in the UK and Ireland (formerly FPS Expo) https://ukifda.org/ukifda-expo/ European Biofuels Conference APRIL 28, GENEVA/ONLINE Conference on the role of biofuels and feedstocks in the energy transition https://plattsinfo.spglobal.com/european-biofuelsconference.html AFPM Security Conference APRIL 28-29, HOUSTON Conference on security at fuel refining and petrochemical plants www.afpm.org/events/SC22

MAY Flame MAY 3-5, AMSTERDAM/ONLINE 28th annual conference on natural gas and LNG in Europe https://informaconnect.com/flameconference/ LNG Conference MAY 10-11, HOUSTON 21st annual S&P Global Platts conference on the international LNG market https://plattsinfo.spglobal.com/LNG-Conference. html?/summary

HCB MONTHLY | APRIL 2022

ChemUK 2022 MAY 11-12, BIRMINGHAM Supply chain expo and conference for the UK chemical industry www.chemicalukexpo.com/ GPCA Supply Chain Conference MAY 17-19, DUBAI 13th annual meeting of logistics professionals in the Gulf Petrochemicals and Chemicals Association www.gpcasupplychain.com UNITI Expo MAY 17-19, STUTTGART Fourth European convention for the retail petroleum sector www.uniti-expo.de Hazmat 2022 MAY 18-19, STRATFORD-UPON-AVON NCEC’s annual conference for those involved in hazmat response, incident management and crisis management https://the-ncec.com/en/events-en/hazmat-2022 Oil & Gas Africa 2022 MAY 19-21, NAIROBI Ninth annual exhibition for the upstream and processing sectors in east Africa www.expogr.com/kenyaoil/ StocExpo 2022 MAY 23-25, ROTTERDAM The main annual exhibition and conference for the European tank terminal industry www.stocexpo.com/en/ World Gas Conference MAY 23-27, DAEGU, KOREA Triennial summit for the global gas sector www.wgc2021.org CV Show MAY 24-26, BIRMINGHAM Annual commercial vehicle exhibition https://cvshow.com/ Chemspec Europe MAY 31-JUNE 1, FRANKFURT International exhibition for fine and speciality chemicals www.chespeceurope.com/2021/

SIL Barcelona MAY 31-JUNE 2, BARCELONA Annual international logistics expo and congress www.silbcn.com/en/index.html

JUNE Posidonia 2022 JUNE 6-10, ATHENS Biennial exhibition and conference for the global shipping industry www.posidonia-events.com VCA Dangerous Goods Seminar JUNE 7-8, DAVENTRY 35th annual regulatory update conference www.vehicle-certification-agency.gov.uk/ dangerous-goods/dangerous-goodsconference/ IAFC Hazmat Conference JUNE 9-12, BALTIMORE Annual international event for response teams www.iafc.org/events/hazmat-conf ILTA JUNE 13-15, HOUSTON 41st annual operating conference and trade show of the International Liquid Terminals Association www.ilta.org/Events-Training/2022-ILTA-OperatingConference-Tradeshow Multimodal 2022 JUNE 14-16, BIRMINGHAM 14th annual exhibition for the supply chain management and logistics sectors www.multimodal.org.uk/exhibition FETSA Annual Conference JUNE 15-16, BRUSSELS Annual conference and AGM of the Federation of European Tank Storage Associations https://fetsa.eu/annual-conference/ Transport Logistic China JUNE 15-17, SHANGHAI Ninth international exhibition for logistics, telematics and transport www.transportlogistic-china.com

11th & 12th May 2022 The NEC, Birmingham, UK COURSES & CONFERENCES

41

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42

INCIDENT LOG ROAD/RAIL/AIR INCIDENTS Date

Location

2/2/22

Vehicle Type

Substance

Details

Source

Sagamu, road tanker gasoline Ogun, Nigeria

Road tanker with gasoline exploded on Lagos-Ibadan Expressway, reportedly due to speeding; incident involved three other vehicles; two people killed, six others were unhurt; diversion in place during response

Xinhua

4/2/22

Chakkaraparambu, road tanker gasoline Kerala, India

Road tanker suffered leak of gasoline cargo on Palarivattom-Vyttila bypass; cargo in affected compartment had to be transferred to another tanker while fire crews played water, foam to avoid ignition of vapours

The Hindu

4/2/22

Lexington, road tanker ethanol N Carolina, US

Tanker truck with ethanol was involved in single-vehicle crash; no fire but substantial spill of cargo; road was closed for most of the day for removal of the wreckage and cleaning of the road surface

The Dispatch

6/2/22

Durban, road tankers diesel KZN, South Africa

Fire broke out in three tankers parked at truck yard; thought that sparks from people burning copper wire nearby may have ignited vapours; some 11,000 litres diesel consumed in blaze; locals evacuated; no injuries

The Sowetan

7/2/22

Suryapet, road tanker diesel Telangana, India

Welder and tanker owner were killed by explosion during repair work on valve of empty road tanker, presumably through ignition of diesel fumes; thought that safety procedures had not been followed

Times of India

7/2/22

Bichi, truck propane Kano, Nigeria

Truck carrying cylinders of cooking gas from Kano to Katsina crashed, overturned; one cylinder exploded; driver was killed, perhaps in crash; police investigating incident

NAN

13/2/22 Maai Mahiu, truck propane Nakura, Kenya

Truck carrying gas cylinders was speeding on downhill stretch when driver lost control, collided head-on with oncoming truck; cylinders burst into flames, spreading fire to several cars, nearby bush

Maravi Post

14/2/22 Kapiri Mposhi, road tanker diesel Central, Zambia

Freight train carrying coal collided with tanker with diesel from Lusaka to Ndola that failed to stop at crossing; tanker caught fire; two people on loco were killed; tanker driver fled the scene

ZNBC

15/2/22 Quezon City, road tankers Manila, Philippines

EDA-Ortigas flyover experienced two separate incidents in which road tankers crashed into concrete barriers; first involved an oil tanker, second a tanker carrying paint chemicals, whose driver admitted falling asleep

Manila Bulletin

16/2/22 Long Island, road tanker gasoline New York, US

Driver lost control of tanker avoiding other vehicle, crashed and overturned in Rockville Centre; tanker ruptured, spilling 9,000 gal (34 m3) burning fuel; building collapsed; four injured, highway closed

ABC

17/2/22 Frazee, freight trains Minnesota, US

BNSF train derailed, struck parked train; several cars of both trains overturned; thought that lithium batteries and/or petroleum spilled; locals evacuated; cleanup expected to take some time

Valley News Live

18/2/22 Isara, road tanker fuel Ogun, Nigeria

Fuel tanker crashed head-on into bus in pre-dawn accident on Lagos-Ibadan highway; poor driving by one or both drivers blamed; fire broke out; at least 17 people in both vehicles died

The Eagle

21/2/22 nr Coolidge, freight train Arizona, US

Several cars of UP train derailed, seven overturning; one tank car with cyclohexanone leaked; other cars said to contain jet fuel; no evacuations required in remote desert area but cleanup would take days

Fox

Sprague Energy tank truck crashed on Sunrise Highway, reportedly after hitting illegally parked car; some of 11,000-gal (41.6-m3) load of unspecified fuel cargo leaked; some power lines were brought down in crash

LiHerald

oil, chemicals

petroleum, batteries

cyclohexanone

28/2/22 Merrick, road tanker fuel New York, US

MARINE/INLAND WATERWAY INCIDENTS Date

Location

Vessel

Substance

Details

Source

3/2/22 Réunion Tresta Star

Product tanker (2,900 dwt, 2019), outbound Port Louis in ballast, grounded on eastern coast of Réunion during cyclone Batsirai; all crew rescued next day in rough weather; tanker said to be hard aground

FleetMon

3/2/22

off Ft Lauderdale, Sea Eagle munitions Florida, US

Barge chartered by US Navy’s Military Sealift Command, cargo of ordnance, fuel, supplies, grounded off Hillsboro Beach, cause unknown; crew taken off; 1,000-yard (900-m) security zone imposed by USCG

Maritime Executive

5/2/22

San Lorenzo, Ardmore biofuels Santa Fe, Argentina Seavanguard

Product tanker (51,800 dwt, 2014), allided with pier after loading 9,000 tonnes biofiels for the Netherlands; some damage to pier in Paraná River; tanker allowed to proceed, anchored off La Plata for inspection

FleetMon

6/2/22

off Deyr, Golden Tree fuel Bushehr, Iran

Fire broke out on oil/chemical tanker (18,750 dwt, 2002), cargo unknown, en route Deyr from Sohar; photos showed fire, dense smoke amidships; Iranian SAR responded, rescued crew; fire extinguished

MENA FN

6/2/22

Amchit, Pyxis Epsilon diesel Byblos, Lebanon

Product tanker (50,000 dwt, 2015), during unloading of 42,000 t diesel from Turkey, was damaged by rough weather; cargo operations were immediately halted; no leak reported; extent of damage not known

FleetMon

8/2/22

Graciosa, São Jorge Azores

Product tanker (3,070 dwt, 2010) grounded between Graciosa and Praia after departing Praia da Graciosa with cargo of diesel, gasoline; tanker was damaged, suffered hull leak, listed; tanker remained afloat, no pollution

FleetMon

Car carrier reported fire on cargo deck some 90 nm off Azores; all crew taken off; fire raged for days as lithium batteries in EVs among the cargo from Emden fed the blaze; vessel sank 1 March

Maritime Executive

diesel, gasoline

16/2/22 off Azores Felicity Ace vehicles

HCB MONTHLY | APRIL 2022

SAFETY 43

18/2/22 off Corfu, Greece

Euroferry vehicles Olympia

21/2/22 nr Kavaratti, Thilaakkam fuels Laccadive Is

Fire broke out in cargo deck of ro/ro ferry from Igoumenitsa to Brindisi; Greek coast guard rescued some 280 passengers and crew; at least nine dead, others missing; fire thought to have started in a truck

Splash 247

Product tanker (810 dwt, 2020) with 700 t different fuels, grounded on entrance to Kavaratti port; no report of damage or pollution; cause of grounding unknown

The Hindu

Details

Source

MISCELLANEOUS INCIDENTS Date

Location

Plant type

Substance

11/2/22 Yeosu, South Koreaa

petrochemical naphtha plant

Four workers killed, four injured by explosion in naphtha cracker at Yeochun NCC plant; unit was being restarted after being cleaned; no subsequent fire; fire department investigating cause

JoongAng Daily

14/2/22 Kermanshah, Iran

military oils warehouse

Fire broke out in warehouse full of engine oil, other flammables at Revolutionary Guard base in western province of Kermanshah; building damaged but no injuries reported; investigation underway

AP

14/2/22 Bacolod City, house oxygen Philippines

Four people injured by explosion in oxygen tank in house in Barangay Vista Alegre; gas was being used to fill balloons; other nearby homes damaged in blast

SunStar

14/2/22 Krupski Mlyn, Silesia, Poland

Two workers at NitroErg plant were killed by explosion during mixing of 800 kg nitroglycerine; building completely destroyed in blast, which could be heard several km away; other units at plant restarted soon after

Polish News

15/2/22 nr Ashkelon, pipeline crude oil Israel

Oil leak reported from storage tank on Eilat Ashkelon Pipeline after residents reported smell of oil; 20-m3 tank thought to have lost all its contents; authorities concerned that operator tried to hide leak

Jerusalem Post

21/2/22 Garyville, oil refinery oil Louisiana, US

Six contract workers injured by explosion, fire at Marathon Petroleum refinery; cause of explosion not yet known; incident was contained on site

USA Today

22/2/22 Una, HP, India

Six migrant workers killed, 14 others injured by explosion at illegal firecracker factory, whose owners fled; action likely against officials who are thought to have allowed the unit to operate

PTI

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SPOT THE SIGNS BATTERIES • THE US COAST GUARD WARNS OF THE POTENTIALLY CATASTROPHIC IMPACT OF A LITHIUM BATTERY FIRE, FOLLOWING A RECENT INCIDENT IN A CONTAINER BOUND FOR LOADING THE US COAST Guard (USCG) has issued a Safety Alert (01-22) that seeks to raise awareness of the risks involved in the carriage of lithium batteries in containers. The alert follows an investigation by the Department of Transportation (DOT) and its Pipeline and Hazardous Materials Safety Administration (PHMSA) of a fire in a container heading to be loaded onto a ship for transport to China.

The container had been loaded in Raleigh, North Carolina and was being transported by road when it caught fire on 19 August 2021.

The bill of lading showed the cargo as containing ‘computer parts’ but these were in fact lithium batteries. The fire consumed the cargo and significantly damaged the container itself – the fire was fierce enough to burn through the steel. The lack of accurate information on the load made the firefighting response difficult; USCG also notes that, had the cargo made it onto the ship and caught fire while at sea, the results could have been catastrophic for the vessel and its crew.

DOT and PHMSA determined that the shipper failed to properly placard, label, mark and package the lithium batteries (UN 3480 and 3481, Class 9); it was identified that the cause of the fire was to do with residual charge that led to the heating in one or some of the batteries and eventually a thermal runaway.

KNOW THE RISKS USCG is aiming to raise awareness of the hazards of lithium batteries in ocean transport

 A CONTAINER FULL OF BATTERIES HAS THE POTENTIAL TO CAUSE A GREAT DEAL OF DAMAGE

HCB MONTHLY APRIL 2022

and, in particular, the risks involved in the mis-declaration of such cargoes. It has asked stakeholders to disseminate the safety alert to all maritime personnel. It also highlights special provisions 376 and 377 in the International Maritime Dangerous Goods (IMDG) Code, which require additional marking requirements for lithium batteries that are damaged or defective, or being transported for the purpose of disposal or recycling.

Stakeholders should ensure that damaged or defective batteries are packaged in accordance with packing instructions P911 or LP906 and that batteries for disposal or recycling meet P908 or LP904. All those

provisions require cells and batteries to be protected against short circuit and some provide additional direction on isolating each cell/battery or place limits on the volume of batteries permitted in each package.

USCG also points to PHMSA’s Lithium Battery Guide and guidance from the US Environmental Protection Agency (EPA) on used lithium ion batteries. For those wondering how much non-compliance could cost them, Appendix A to Subpart D of 49 CFR 107 contains guidance on civil penalties and other enforcement actions.

The Safety Alert was timely as USCG has since investigated a similar event at the port of Los Angeles-Long Beach, when a fire broke out on 4 March in a container at San Pedro Bay, while waiting to be loaded for export to China. In this case the cargo was declared as “synthetic resins” but again was actually used lithium ion batteries. USCG and PHMSA worked with other agencies to identify and inspect all containers at the port from the same shipper and USCG has placed a hold on all of the shipper’s outbound boxes.

The Safety Alert can be found online at www. dco.uscg.mil/Portals/9/DCO%20Documents/5p/ CG-5PC/INV/Alerts/USCGSA_0122.pdf.

SAFETY 45

these results is for containers,” notes Capt Nicholas Sloane, elected president of ISU this past November. “ISU members provided services to vessels carrying more than 100,000 TEU amounting to more than 1.5m tonnes of cargo. The mixed nature of such cargoes – including dangerous goods, harmful chemicals, plastic pellets – means that they are potentially highly polluting and difficult and dangerous to deal with.”

LAST YEAR SAW a dramatic shift in the maritime salvage world, with a sharp decline in the number of casualties carrying polluting liquid in bulk and a dramatic surge in the number of containerships in trouble.

Members of the International Salvage Union (ISU) handled 226 casualties, compared to 191 in 2020, with the aggregate cargo tonnage involved rising slightly from 2.5m tonnes to 2.6m tonnes.

Within that, though, the volume of crude oil involved in salvage events fell from just over 360,000 tonnes in 2020 to just 103,400 tonnes, although there was an increase in refined

chemicals involved also dropped sharply, from 133,150 tonnes in 2020 to 24,125 tonnes. The volume of polluting or hazardous bulk cargoes was also well down, falling by 43 per cent to 424,700 tonnes.

Where ISU members were particularly active was in dealing with containerised cargo; they handled 1.56m TEU in 2021, more than three times the 502,850 TEU that were dealt with in 2020.

Among the services offered, 11 casualty responses involved vessels with more than 2,000 tonnes of bunker fuel onboard; the total volume of bunkers amounted to almost 90,000

PLAYING A PART “The shipping industry knows only too well that it is under the spotlight for its environmental performance: both for the environmental impact of operating ships and for the threat they, and their cargo, present to the environment,” says Capt Sloane. “All casualties have the potential to develop into serious incidents and, in a world where even the smallest amount of pollution is unacceptable, the work of our members is essential.

“Shipowners and insurers are increasingly under pressure to demonstrate their Environmental, Social and Governance (ESG) credentials and, where engaged, ISU members play an important role in helping them to meet their environmental obligations and demonstrate their commitment,” Capt Sloane continues. “Continued global provision of the professional salvage services offered by members of the ISU is essential.”

The provision of those services rests on salvors receiving sufficient income to maintain the assets needed to deal promptly with a casualty, regardless of where in the world it takes place. ISU members regard the Lloyd’s Open Form (LOF) as the best means of ensuring remuneration, although only 26 services were carried out under LOF terms last year.

ISU stresses that not all of the pollutants involved in salvage operations are in immediate risk of going into the sea; some cases represent a relatively limited danger, though

products cases, while the volume of bulk

tonnes, although this again was slightly down on last year’s total of close to 112,000 tonnes.

The figures are taken from ISU’s annual pollution prevention survey, which has been running since 1994 to gauge the impact of the Union’s members on preventing marine pollution. “The most eye-catching number in

many others carry a real risk of causing substantial environmental damage. As Capt Sloane notes, the issue of plastic pellets has suddenly emerged as a hot topic and will be something that salvors will have to bear in mind in future response activity. www.marine-salvage.com

FROM BULK TO BOXES SALVAGE • SEVERAL HIGH PROFILE ACCIDENTS LAST YEAR INVOLVING CONTAINERSHIPS ARE REFLECTED IN ISU’S ANNUAL SURVEY OF ITS MEMBERS’ POLLUTION PREVENTION SERVICES

 THE GROUNDING OF EVER GIVEN IN THE SUEZ CANAL WAS JUST ONE OF SEVERAL INCIDENTS INVOLVING CONTAINERSHIPS DEALT WITH BY ISU MEMBERS LAST YEAR

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NEWS BULLETIN

SAFETY

REMOTE SURVEYS FROM NCB

National Cargo Bureau (NCB) has launched a remote container inspection service, based on the Hazcheck Inspections database and access portal developed by NCB subsidiary Exis Technologies, as part of its long-running mission for the safety of life and cargo at sea.

The new service uses mobile devices to connect customers with NCB’s experienced team of surveyors, so they can review and inspect container transport units remotely. The information and media files that the customer captures remotely via the device (below) are automatically uploaded to the mobile platform.

“We are delighted to be able to offer this new service to our customers,” says Ian Lennard, NCB president. “Container inspections need to be carried out in a timely manner and on a global scale, particularly in locations where dangerous goods expertise may not be available.

We are able to conduct remote inspections for customers throughout the supply chain, improving safety as well as helping with the overall efficiency of shipping containers.”

NCB has already carried out remote inspections for three of the top ten container lines: Evergreen, Maersk and Hapag-Lloyd.

Capt YS Hwang, deputy head of operations at Evergreen, reports: “NCB recently carried out some remote inspections on our Ever Pride vessel in Taiwan following a fire caused by undeclared seed cake. The remote capability of the inspection process allowed us to investigate the cause of the fire immediately upon the vessel’s arrival after the box discharged ashore, with direct help from an experienced team of surveyors with dangerous goods expertise, rather than waiting for them to be available to travel to the port to carry out a survey in person. We would definitely use this method of container inspection again in the future.” www.natcargo.org GET IT RIGHT OR PAY

Wan Hai Lines (WHL), the Taiwan-based containership operator, has introduced penalties for shippers found to have mis-declared container contents. “From now on, if the declarations and shipping forms and documents enclosed are not true and not accurate, WHL has the rights to immediately stop or suspend the delivery of the cargoes or terminate the contract of delivery for the cargoes at any time during the carriage,” the company says.

Those responsible for misdeclaration – shipper, freight forwarder, consignee or other notifying party - will be liable for all damaged and losses and will also be penalised by WHL to the tune of $30,000 per dangerous goods container or $20,000 per container for non-hazardous goods. Mis-declaration includes not only falsification of the contents of the container but also the weight of the box.

HCB MONTHLY | APRIL 2022

WHL’s move follows shortly after Pacific International Lines (PIL) introduced a similar level of charges for the shipper and/or consignee for mis-declaration of the cargo weight, as well as holding them responsible and liable “for all corrective measures, claims, fines, liabilities, losses, delays, damages or expenses arising in consequence of such misdeclaration”. www.wanhai.com www.pilship.com GET THE RIGHT SHED

TT Club has published a guidance document on warehouse risks under its TT Brief series.

The publication comes at a time when the warehousing and intermediate storage of dangerous goods have some under the spotlight following the Beirut explosion in 2020 and when players throughout global supply chains are having to adapt their logistics practices to deal with congestion, delays and higher freight costs.

“Arguably, warehouses have become an increasingly important node, as supply chain actors reconsider just-in-time supply chain models, adopting a more conservative approach, near-shoring and generally holding increased stock at the point of production or market,” TT Club says. “Some actors in the supply chain will have been forced to demonstrate agility over the last two years, perhaps embarking on new or increased warehouse capacity requirements to meet evolving business needs. Those exploring warehousing operations however, should not be complacent and develop an understanding of the associated risks.”

In light of those changes, the TT Club guidance focuses on the issues that need to be considered when choosing a storage warehouse.

Inevitably, it says, there are practical issues that will be paramount: location, proximity to transport networks, capacity, availability of labour and rental prices and/or land costs. The document examines in particular the risks and potential liabilities that a warehouse customer

SAFETY 47

can face and how those risks can be mitigated.

More information on the new guidance can be found on the TT Club website at www.ttclub.com/news-and-resources/publications/ tt-brief/choosing-a-storage-warehouse/.

CARGO INTEGRITY GROUP EXPANDS

The Bureau International des Containers (BIC) and the International Federation of Freight Forwarders Associations (FIATA) have joined the five original partners in the Cargo Integrity Group, established last year to bring together international freight transport and cargo handling organisations with different roles in the supply chain and a shared dedication to improving safety, security and environmental performance throughout the logistics supply chain and to promote the use of the Code of Practice for Packing of Cargo Transport Units (the CTU Code).

Both FIATA and BIC have already worked closely with the Group and will now contribute directly to faster and more effective progress in reducing incidents, accidents and biosecurity issues in the international supply chain by bringing their complementary perspectives,

resources and networks to the Group. The original members of the Cargo Integrity Group are the Container Owners Association (COA), the Global Shippers Forum (GSF), ICHCA International, TT Club and the World Shipping Council (WSC).

“FIATA has long supported the work of the Cargo Integrity Group and has already collaborated with its stakeholders to promote the CTU code. By joining the group, FIATA reaffirms its commitment to improving the safety and security of sea freight in the best interest of its customers,” says director general Dr Stéphane Graber.

Douglas Owen, BIC secretary general, adds: “With safety and sustainability at the very core of BIC’s mission, topics like cargo safety, proper declarations and the avoidance of pest contamination are clearly of high interest to us.

We’ve been supporting the promotion of the CTU code in communications both with our members and externally since it was first published, and most recently sponsored one of the CTU Quick Guide translations.” fiata.org www.bic-code.org

CLS ADDS DGIS

Creative Logistics Solutions (CLS), which provides multi-carrier shipping software to major retailers, distributors and e-commerce companies, has integrated Labelmaster’s Dangerous Goods Information System (DGIS) into its software solutions. This move will allow CLS’s customers to automatically create compliant shipping documents and labels.

“In today’s dynamic and competitive supply chain market, shippers need a seamless, end-to-end shipping solution that drives operational efficiencies and provides peace of mind that shipments are compliant with the latest regulations,” says Malcolm Johnson, vice-president, strategy and business development at CLS. “Integrating DGIS enables organisations to automate and streamline their shipping processes by providing all of the necessary DG shipping forms and rules within the InfoShip/Vx platform. This eliminates the need for companies to decouple DG shipping from their traditional shipping workflows and processes and the need for them to learn and manage multiple user interfaces.”

“Shipping dangerous goods can be complex and challenging. As a result, companies often tend to shy away from shipping DG or, in some cases, may not even be aware that they’re shipping hazmat,” adds Kristen Dapore, director of business strategy at Labelmaster. “Having a compliant shipping solution in place will enable organisations — whether large global enterprises or small e-commerce companies — to grow and add dangerous goods SKUs into their inventory mix without worrying about compliance.

Companies adding those products will be able to begin shipping them quickly and efficiently and scale their operations more easily while taking proactive steps to mitigate risk and avoid supply chain disruptions.” www.creativelogistics.com www.labelmaster.com

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THE UN SUB-COMMITTEE of Experts on the Transport of Dangerous Goods (TDG) held its 59th session this past 29 November to 8 December 2021, with Duane Pfund (US) in the chair and Claude Pfauvadel (France) as vice-chair. It was attended, either in person or online, by representatives of 23 countries, the EU, the Intergovernmental Organisation for International Carriage by Rail (OTIF), the UN Food and Agriculture Organisation (FAO), the International Civil Aviation Organisation (ICAO), the International Maritime

sessions; however, ongoing Covid-19 response measures, financial constraints triggered by the UN liquidity crisis, renovation work at the Palais des Nations that limited the number of meeting rooms available for hybrid meetings and the allocation of interpretation services all meant that the volume of work was less than might have been hoped.

The first part of this two-part report on the session (HCB March 2022, page 48) covered a surprisingly thin list of proposals relating to explosives and a rather longer agenda of

ENERGY STORAGE SYSTEMS Never a regulatory meeting goes by, it seems, without some further changes to the very many and varied provisions relating to the transport of lithium batteries in one form or another. A very important project, therefore, is the development of a hazard-based classification system for lithium batteries and cells, which – if successful – could put an end to that constant process of refining the rules.

The informal working group on hazardbased classification of lithium batteries had met by video conference in December 2020 and May 2021 and France and the European Association for Advanced Rechargeable Batteries (Recharge) provided the Subcommittee with an update on its discussions.

A major issue appears to be the repeatability of test results and variations in test methods.

After a series of tests undertaken by various laboratories, it was found, for instance, that the cell format, state of charge (SOC) and heating rate can all have a significant impact on cell hazards and the propagation of heat.

Organisation (IMO), the World Health Organisation (WHO) and 25 non-governmental organisations. In addition, observers from Latvia, Luxembourg and Turkey also took part.

This second meeting of the Sub-committee for the current biennium would in more normal times be the busiest of the four

proposals for amendment in terms of classification, listing and packaging, which covered such subjects as quinone dioxime, gallium in articles, tetramethylammonium hydroxide and ammonium nitrate (hot concentrated solution). This second part covers the remaining discussions at the session.

The working group had made a start on more tightly defining the test protocols so as to reduce that variability in results.

France, which under Claude Pfauvadel is chairing the working group, said it expects the group to extend its discussions on batteries and will report back during the Sub-

LET’S GET BUSY MULTIMODAL • DESPITE THE DIFFICULTIES OF MEETING IN PERSON, THE UN EXPERTS HAVE MADE A LOT OF PROGRESS TOWARDS THE 23RD REVISED EDITION OF THE MODEL REGULATIONS

HCB MONTHLY | APRIL 2022

REGULATIONS 49

committee’s session in June/July 2022; it is hoped that its work can be completed by the end of this year. Belgium stressed the importance of the project, especially as other bodies looking to improve safety in the transport of lithium batteries are awaiting its results.

Returning to more normal proceedings in the area of lithium batteries, Recharge and the Rechargeable Battery Association (PRBA) proposed a change to packing instruction LP903. They noted that the lithium battery industry is confidently expected to experience significant growth over the next decade, with massive new production plants due to open in many parts of the world, each capable of producing billions of lithium ion cells per year.

To accommodate this growth, the joint proposal said, it is imperative that the limitation in LP903 to one cell, battery or item of equipment per large packaging be removed.

The Sub-committee understood the position and supported the intent of the proposal; however, it was felt that the changes proposed could have unintended consequences and needed to be refined and clarified in a number of areas. Consideration of the topic will resume at the next session, with a revised proposal promised.

At the previous session, Recharge had highlighted the fact that technical progress in lithium battery manufacture means that it is now possible to produce batteries with a higher energy content without adding to weight. As a result, batteries for smartphones and power tools can now easily exceed the maximum limit in special provision 188, which is expressed in Watt-hours (Wh). At the last session, the Sub-committee was concerned that batteries with a higher energy density may present a higher hazard and it declined to make a change to SP188.

Following data collection work by the informal working group on hazard-based classification of lithium batteries, Recharge presented some data that indicate that the hazard (heat of reaction) presented by a lithium ion battery is related to its weight, not its Wh content. It invited the Sub-committee’s opinion on this. The experts acknowledged that there is no clear correlation between the heat of reaction and the energy density; Recharge offered to seek feedback from the informal working group and will return with a formal proposal at the next session.

Belgium arrived with a problem that has emerged when lithium batteries (UN 3090, 3091, 3480 or 3481) are offered for transport

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by air, namely that is unclear which provisions of 2.9.4 have to be met, particularly bearing in mind the applicable special provisions (and especially SP 188). It offered an additional paragraph for SP 310 to make the situation clearer.

The Sub-committee agreed that when lithium cells or batteries are offered for transport they must meet the provisions of 2.9.4, and that when they are transported under SP 310 only those provisions of 2.9.4 relating to the testing requirements in 38.3 of the Manual of Tests and Criteria do not need to be met. Most Experts also agreed that a clarification of SP 310 would help matters, though there was no agreement on whether the Belgian proposal was enough. A revised proposal will be forthcoming.

Belgium also sought to clarify what “transported for testing” refers to in SP 310, since it appears it is being interpreted differently by different competent authorities.

Its paper offered two alternative ways of clarifying the meaning, of which the Subcommittee preferred to add a new Note after the first paragraph of SP 310: “Transported for testing” includes, but is not limited to, testing described in the Manual of Tests and Criteria, part III sub-section 38.3, integration testing and product performance testing.

SODIUM ION BATTERIES While there is still much work to be done on lithium batteries, the Sub-committee was invited in 2020 to start thinking about how to regulate the transport of sodium ion batteries, which are emerging as an alternative, in both the Model Regulations and the Manual of Tests and Criteria. It had been decided to defer the matter to the 2021/22 biennium, as there had not been sufficient time to look at the initial proposals in any great detail.

 THE UN EXPERTS HAD DRAWN UP PROVISIONS APPLICABLE TO MOBILE ENERGY STORAGE UNITS COMPRISING A CTU CONTAINING SHELVES OF BATTERIES BUT THESE ARE OFTEN BEING MISUNDERSTOOD

HCB MONTHLY | APRIL 2022

In the meantime, the RID and ADR states had initiated multilateral agreements on the transport of sodium ion batteries with an organic electrolyte, based on some proposals made at the December 2020 session of the UN Sub-committee, with some amendments.

France now arrived with a detailed set of proposals for inclusion in various parts of the Model Regulations and Section 38.3 of the Manual of Tests and Criteria.

The Sub-committee welcomed France’s proposals, as well as further information provided by KiloFarad International (KFI) on the intrinsic hazards of sodium ion batteries.

It was minded to accept some of the proposals, though more work is clearly needed to complete the requirements. To start with, in 2.9.2, after the section for lithium batteries, a new section is added: Sodium ion batteries 3551 SODIUM ION BATTERIES with organic electrolyte 3552 SODIUM ION BATTERIES with organic electrolyte CONTAINED IN EQUIPMENT or SODIUM ION BATTERIES with organic electrolyte PACKED WITH EQUIPMENT The basic requirements are laid down in a new 2.9.5:

Sodium ion batteries Cells and batteries, cells and batteries contained in equipment, or cells and batteries packed with equipment containing sodium ion, which are a rechargeable electrochemical system where the positive and negative electrode are both intercalation or insertion compounds, constructed with no metallic sodium (or sodium alloy) in either electrode and with an organic non aqueous compound as electrolyte, shall be assigned to UN Nos. 3551 or 3552 as appropriate.

NOTE: Intercalated sodium exists in an ionic or quasi-atomic form in the lattice of the electrode material.

They may be transported under these entries if they meet the following provisions: (a) Each cell or battery is of the type proved to meet the requirements of applicable tests of the Manual of Tests and Criteria, part III, sub-section 38.3. (b) Each cell and battery incorporates a safety venting device or is designed to preclude a violent rupture under conditions normally encountered during transport; (c) Each cell and battery is equipped with an effective means of preventing external short circuits;

REGULATIONS 51

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(d) Each battery containing cells or a series of cells connected in parallel is equipped with effective means as necessary to prevent dangerous reverse current flow (e.g., diodes, fuses, etc.); (e) Cells and batteries shall be manufactured under a quality management program as prescribed under 2.9.4 (e) (i) to (ix); (f) Manufacturers and subsequent distributors of cells or batteries shall make available the test summary as specified in the Manual of Tests and Criteria, Part III, sub-section 38.3, paragraph 38.3.5.

For existing entries in the Dangerous Goods List, “401” is added in column (6) against UN 2795 and UN 3292; in column (2) against UN 3292, “SODIUM” is replaced by “METALLIC SODIUM OR SODIUM ALLOY” twice. There are also two new entries:

 THE PROVISIONS FOR PRESSURE RECEPTACLES ARE EXPECTED TO HAVE TO CHANGE TO REFLECT AN INCREASE IN THE TRANSPORT OF CERTAIN GASES

UN 3551 SODIUM ION BATTERIES with organic electrolyte UN 3552 SODIUM ION BATTERIES with organic electrolyte CONTAINED IN EQUIPMENT or SODIUM ION BATTERIES with organic electrolyte PACKED WITH Free DG Label ID poster with every order EQUIPMENT. Both are assigned to Class 9, with “0” in column (7a) and “E0” in column (7b). Special provisions 188, 230, 310, 348, 376, 377, 384, 400 and 401 are assigned to both entries, with SP 360 also assigned to UN 3552. Packing instructions P903, P908, P909, P910, P911, LP903, LP904, LP905 and LP906 are assigned to both entries.

That has entailed some amendments to the Alphabetical Index and also to existing special provisions, though those are minor in nature.

There are, though, two new special provisions: 400 Sodium-ion cells and batteries and sodium-ion cells and batteries contained in or Tel: +44 (0)870 850 50 51 packedEmail: with equipment, prepared and offered for sales@labeline.com transport, are not subject to other provisions of www.labeline.com these Regulations if they meet the following: (a) The cell or battery is short-circuited, in a way that the cell or battery does not contain

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52

electrical energy. The short-circuiting of the cell or battery shall be easily verifiable (e.g., busbar between terminals); (b) Each cell or battery meets the provisions of 2.9.5 (a), (b), (d), (e) and (f); (c) Each package shall be marked according to 5.2.1.9; (d) Except when cells or batteries are installed in equipment, each package shall be capable of withstanding a 1.2 m drop test in any orientation without damage to cells or batteries contained therein, without shifting of the contents so as to allow battery to battery (or cell to cell) contact and without release of contents; (e) Cells and batteries when installed in equipment shall be protected from damage.

When batteries are installed in equipment, the equipment shall be packed in strong outer packagings constructed of suitable material of adequate strength and design in relation to the packaging’s capacity and its intended use unless the battery is afforded equivalent protection by the equipment in which it is contained; (f) Each cell, including when component of a battery, shall only contain dangerous goods that are authorized to be transported in accordance with the provisions of Chapter 3.4, and the quantity of the dangerous goods in the cell shall not exceed the quantity specified in Chapter 3.2 Table A Column 7a.

401 Sodium ion cells and batteries with organic electrolyte shall be transported as UN 3551 or 3552 as appropriate, sodium-ion batteries with aqueous alkali electrolyte shall be transported as UN 2795 BATTERIES, WET, FILLED WITH ALKALI, electric storage.

Similarly, in most of the relevant packing instructions, amendments are made to refer to the new entries as well as to the existing lithium battery entries, while “or sodium ion” is added after “lithium ion” in various places.

Specific reference to sodium ion batteries is also added in 5.2.1.9 and 5.2.2.1.13.1.

There are also a lot of changes in the Manual of Tests and Criteria to make

 THERE WAS AN INTERESTING DISCUSSION ABOUT CARDBOARD BOXES, WITH CHINA IN PARTICULAR CONFUSED ABOUT HOW TO TRANSLATE THE REQUIREMENTS FOR TYPES OF FIBREBOARD

HCB MONTHLY | APRIL 2022

reference to sodium ion batteries alongside lithium ion cells or batteries. More substantial amendments are found in a new paragraph at the end of 38.3.2.1: All sodium ion cell types shall be subjected to tests T.1 to T.6. All rechargeable sodium ion battery types, including those composed of previously tested cells, shall be subjected to tests T.1 to T.5 and T.7. In addition, rechargeable single cell sodium ion batteries with overcharge protection shall be subjected to test T.7. A component sodium ion cell that is not transported separately from the battery it is part of needs only to be tested according to tests T.6.

A component sodium ion cell that is transported separately from the battery shall be subjected to tests T.1 to T.6. A sodium ion cell or battery that is an integral part of the equipment it is intended to power that is transported only when installed in the equipment, may be tested in accordance with the applicable tests when installed in the equipment.

There is a new definition in 38.3.2.3: Sodium ion cell or battery means a rechargeable electrochemical cell or battery where the positive and negative electrode are both intercalation or insertion compounds (intercalated sodium exists in an ionic or quasi-atomic form in the lattice of the electrode material) constructed with no metallic sodium

(or sodium alloy) in either electrode and with an organic non-aqueous compound as electrolyte.

There is a new 38.3.3 specifying the number and condition of cells and batteries to be tested, with amendments to what now becomes 38.3.3.1 to make that specific to lithium cells and batteries and a new 38.3.3.2 on the testing of sodium ion cells and batteries.

TRANSPORT OF GASES The Council on Safe Transportation of Hazardous Articles (COSTHA) continued with its appeal to increase the limited quantity volume for Division 2.2 gases that do not present a subsidiary hazard, along the lines of those found in special provision 653 in ADR. While, as before, there was general support for the proposal to increase the limited quantity limit from 120 ml to 1 litre and this seemed agreeable for inland transport modes, there remained concern over the absence of a detailed justification, particularly as regards air transport. COSTHA planned to discuss the matter further with those Experts who spoke, with a revised proposal likely.

The chair of the inter-sessional working group on the pV-product limit for pressure receptacles (Dr Georg W Mair, Germany) reported on the group’s third meeting, which

REGULATIONS 53

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took place on 25 October. Pressure receptacles already in service seem to have a test pressure volume product of less than 1.5 million bar litres and therefore fulfil the assumed ‘red line’ to limit a worst-case consequence. However, pressure receptacles with a test pressure volume product of more than 1.5 million bar litres may be marketed within the next years. This is particularly true in the case of hydrogen, which is expected to Free DG Label ID poster with every order be shipped in much greater quantities. The group is also looking at the issue of salvage pressure receptacles.

The working group has agreed to compare the consequences caused by hydrogen tubes with test pressure-volume products of 1.5m, 2.0m and 3.6m bar litres. While, as already noted, those with a pV-product of less than 1.5m bar litres are below the assumed safety threshold, for the 3.6m bar litre equipment many scenarios are beyond that red line.

The Sub-committee encouraged the group to continue its work and to report back at the next session.

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THE PROVISIONS RELATING TO THE USE OF DRY ICE AS A COOLANT HAVE BEEN CLARIFIED

The European Industrial Gases Association (EIGA) had spotted that, in packing instruction P200, two filling rations are given for UN 1008 Boron trifluoride, UN 1859 Silicon tetrafluoride and UN 2198 Dichlorosilane.

However, in all three cases, while special packing provision ‘a’, indicating that aluminium alloy pressure receptacles must not be used, is indicated for the first filling ratio, it is missing from the second. This, EIGA said, was an obvious error.

The Sub-committee agreed and made the 5 necessary changes as corrections to the 22nd revised edition of the UN Model Regulations.

EIGA was also asked to check whether similar corrections were warranted elsewhere, such as for UN 1001 and 3374.

EIGA also reported that the Joint Meeting of RID/ADR/ADN Experts had at its autumn 2021 session adopted transitional provisions for the amendments to 6.2.1.5.2, 6.2.2.7.3(k) and (l) and 6.2.2.11. Something similar should also be included in the Model Regulations, EIGA A Guide to Exemptions from the International Carriage of Dangerous Goods by Road th Edition

ROGER WRAPSON

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The Sub-committee gave its support in www.labeline.com principle for the idea, with some experts surprisingly preferring to add a specific date.

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However, as the proposal was contained in an informal document, it was decided to wait for an official proposal, ideally at the next session, so that it can be finalised before the next editions of RID, ADR and ADN enter into force in 2023.

Spain had found several instances where long out-of-date standards are still referenced in Chapter 6.2.2; while it acknowledged that, once a revised standard is introduced, reference to the previous version is generally maintained for a period of time, some of the examples its paper showed had expired as long ago as 2008. While the proposal was welcomed, some Experts preferred to keep the references to old standards in case they were needed for the inspection of equipment that is still in use. The International Standardisation Organisation (ISO) offered to take a close look at the references and return with a revised proposal, if it was deemed appropriate.

PACKAGING PROPOSALS China referred to the Sub-committee’s clarification at its 57th session that the wording “fibreboard boxes” in 6.1.4.12 includes “corrugated fibreboard boxes”, noting that no other international regulation or standard includes such a concept. China felt that this made it difficult to reflect in translations of the original text – such as Chinese – the actual meaning. It hoped for further discussion and perhaps a clarifying note to be agreed.

The Sub-committee took the point but, rather than adopting China’s proposal, decided to amend the heading of 6.1.4.12 to read “Fibreboard (including corrugated fibreboard) boxes”. Delegations were also encouraged to see if similar amendments were needed elsewhere in Chapters 6.1, 6.5 and 6.6.

 THE WORDING OF PROVISIONS CONCERNING ROLLING HOOPS ON DRUMS HAS CAUSED CONFUSION, ACCORDING TO INDUSTRY, AND HAS NOW BEEN CLARIFIED TO AVOID MISUNDERSTANDING

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Spain looked back to the introduction in the Model Regulations of Chapter 5.5 and, in particular, the provisions in 5.5.3 covering those substances used for cooling or conditioning purposes during transport that may present a risk of asphyxiation. At the time, the packing instructions that referred to cooling with dry ice, nitrogen or other substances were not reviewed systematically; Spain had already drawn the Joint Meeting of RID/ADR/ADN Experts to problems in complying with special provision 593 in RID/ ADR, which references packing instruction P203, the latter not reflecting the changes in 5.5.3.

While the Joint Meeting adopted an amendment at the behest of Spain, the proposal prompted a more general discussion on the different packing instructions that refer to cooling and it was felt that a more structured review would be valuable. Spain had since then undertaken a detailed review and arrived with a lengthy proposal to add wording along the lines of “When dry ice or

other refrigerants are used as a coolant, the requirements of 5.5.3 shall apply” in P620, P800, P901 and P203. The Sub-committee acceded to the request.

Spain had less success with its proposal to delete 4.1.1.12, as its text on leakproofness testing is duplicated in 6.1.1.3 and 6.5.4.4.2. As Part 4 of the Model Regulations covers the use of packagings and Part 6 their construction and testing, it seemed illogical that the leakproofness test should be covered in 4.1.1.12.

Most Experts who spoke acknowledged the intent of Spain’s proposal but felt that the text is useful for users of packagings, though some thought it could be reviewed and shortened. Spain offered to prepare a revised document for the next session.

Another paper from Spain reported on problems experienced with the practical implementation of packing instruction P650, at least partly in the transport of samples from Covid-19 testing. Its concerns centred on the testing requirements, notably whether

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completed packages shall be capable of passing the test or actually undergo and pass them.

Most Experts saw this as a compliance problem, though some stressed there was a need to clarify the application of the provisions. Following a lunchtime meeting, the Sub-committee agreed that amendments were necessary and Spain offered to organise an inter-sessional meeting on the topic for early 2022. In the meantime, the Subcommittee adopted a correction to the Spanish version of P650 for the 22nd revised edition of the Model Regulations.

China remarked on the key role the target plays in the drop test; deviations in terms of strength, size or flatness could lead to different results. Standard ISO 2248:1985 includes specific parameter values and China thought these should be included in 6.1.5.3.4 to help laboratories in the proper conduct of the drop test.

Most Experts who spoke did not support the proposal, saying it needed further improvement. Germany informed the

for packagings is ongoing and looks in particular at the parameters mentioned in the proposal from China; the results of that research are expected to be available in 2023.

The Sub-committee agreed to resume discussion once it has further information from that research.

Turkey followed up on earlier discussions about water-resistant paper bags, noting that 5M2, 5L3 and 5H3 bags are all required in the Model Regulations to “prevent the entry of moisture”. Some manufacturers include small perforations in one or more layers of those bags, for the release of air, which are listed in EN ISO 16106:2020. Turkey’s question was: how can water/moisture resistance be evaluated in the case of bags with these ‘micro-holes’? Some Experts provided feedback and offered to send more detailed information to the delegate from Turkey.

PORTABLE TANKS The International Dangerous Goods and Containers Association (IDGCA) had presented proposals at the previous session for

whole, which is the intent of the paragraph.

Again, however, there was little support for the proposal, with some experts being of the opinion that it is the standard that needs to be amended. Delegates were invited to send comments in writing to IDGCA. In a rather similar vein, Canada queried the relationship between the definition of ‘fine grain steel’ in 6.7.2.1 and ASTM E112-96 and EN 10028-3, Part 3, which are referenced in that section. The UN definition refers to a ‘ferritic grain size’, whereas ASTM E112 does not mention ‘ferritic grain size’, only the austenitic grain size in a ferritic steel. Canada sought feedback and clarification on whether an amendment to the UN Model Regulations is warranted. The Sub-committee largely agreed that the definition needs to be clarified but did not support the deletion of ‘ferritic’ from the definition. Canada plans to consult with the US and those Experts who spoke so as to be able to return with a new document.

Canada made more headway with its proposal to amend Section 41.3 of the Manual of Tests and Criteria relating to the impact testing of portable tanks and multipleelement gas containers (MEGCs). In some instances, Canada’s competent authority has found that test facilities only measure a container’s dimensions for conformity after the final impact, although 41.3.4.4 states that the test result for each impact shall be considered individually. Canada felt that this needs to be set out more explicitly and offered text to be added to 41.3.4.4 for that purpose.

The Sub-committee could not see a reason to deny the request but has kept the adopted text in square brackets pending confirmation. At present it reads: The relevant dimensions of the portable tank or MEGC shall be measured after every impact to ensure conformity with the dimensional requirements regarding handling, securing and transfer from one means of

Sub-committee that research on the drop test

amendments to Chapter 6.7 of the Model Regulations and, at the request of the Sub-committee, now came back with a revised proposal with further justification. Its concern is that 6.7.2.18.2(a) refers to ISO 1496-3:1995, but that this standard applies to tank containers, rather than portable tanks as a

transport to another.

The informal working group on FRP service equipment for portable tanks had met several times in the second half of 2021 and its chair offered some details on its discussions, which focused on the development of and justification for FRP service equipment for use

 THE EXPERTS WERE INVITED TO CONSIDER WHETHER THE CURRENT REQUIREMENTS FOR PLACARDING CONTAINERS WITH CERTAIN CLASS 7 ITEMS ARE APPROPRIATE

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on metallic and FRP portable tanks. It is making headway on design approval and design criteria and the Sub-committee encouraged it to continue its work, including approval provisions and inspection and testing requirements.

MISCELLANEOUS PROPOSALS Canada and the International Confederation of Drum Manufacturers (ICDM) returned with a formal proposal to clarify what they felt was an ambiguity in 6.1.4.1.4 relating to the use of rolling hoops on drums. That states that the body of a drum with a capacity greater than 60 litres “shall, in general” have rolling hoops.

The use of “shall” implies a mandatory requirement, which is then weakened by “in general”. As a result, some national regulations have made the requirement mandatory (“shall”) while others have made it optional (“may”). ICDM confirmed that rolling hoops are intended to ease handling and not to improve safety in transport.

Recalling discussions at the previous session, the Sub-committee accepted the proposal and replaced the first sentence in 6.1.4.1.4 (for steel drums), 6.1.4.2.3 (for aluminium drums) and 6.1.4.3.3 (for other metal drums) with: “Drums may have rolling hoops, either expanded or separate”.

South Korea felt that the provision in 4.1.2.1 that requires IBCs used for the transport of liquids with a flash point of 60°C or lower or powders liable to dust explosion to be protected against electrostatic discharge (ESD) should be strengthened with a requirement for such IBCs to bear a mark to show that ESD prevention measures have been taken. There was little support for the idea: some felt that the mark could be misleading, others that it was really a training issue. France suggested it might as a first step be worth clarifying whether the current provisions are applicable during transport or

 THE 22ND REVISED EDITION OF THE ORANGE BOOK WILL INFORM THE CHANGES COMING TO THE MODAL REGULATIONS IN 2023, BY WHICH TIME THE 23RD REVISED EDITION SHOULD BE NEARLY READY

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only during loading and discharge. South Korea may return with a revised proposal.

Spain and Sweden had looked through the existing transitional provisions and proposed the deletion of those that are outdated; the Sub-committee agreed but left the amendments in square brackets pending later confirmation. Spain also spotted an outdated transitional provision in the Note to special provision 384, which likewise has been deleted pending confirmation.

GLOBAL HARMONISATION ICAO and WHO appealed for a change to the provisions for genetically modified microorganisms (GMMOs) and genetically modified organisms (GMOs) (UN 3245), specifically to exclude from the Model Regulations those pharmaceutical products that contain GMMOs and GMOs. At the 57th session of the UN TDG Sub-committee, it had agreed that, by definition, vaccines containing such products are not subject to the Model Regulations when they are authorised for use by the relevant

competent authorities but, nevertheless, ICAO and WHO felt that a clearer text would help avoid problems. ICAO noted that its Technical Instructions have been amended in a similar way.

The Sub-commmittee agreed with the proposal and added a new paragraph at the end of 2.9.2: Pharmaceutical products (such as vaccines) that are ready for use, including those in clinical trials, and that contain GMMOs or GMOs are not subject to these Regulations.

The secretariat submitted a paper with a number of corrections to the English and French language versions of the UN Model Regulations and Manual of Tests and Criteria that had been identified by recent sessions of the Joint Meeting and the Working Party on the Transport of Dangerous Goods (WP15). These corrections are mainly editorial in nature and were all adopted by the Sub-committee.

IMO’s Editorial & Technical (E&T) Group informed the Sub-committee about its work to

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update the International Maritime Dangerous Goods (IMDG) Code, during which two items had cropped up that might warrant changes to the Model Regulations. Firstly, a reference to SCO-III material has been added to 5.3.1.1.5.1 of the IMDG Code, which will require a placard on large freight containers carrying unpackaged SCO-III material, in line with Section 571 of the International Atomic Energy Agency’s (IAEA) Regulations for the Safe Transport of Radioactive Materials (SSR-6); a comparable amendment might be appropriate in the Model Regulations.

Further, the E&T Group made a correction to the equation for electrical resistance in the table in 1.2.2.1 of the IMDG Code. This should probably also be reflected in the Model Regulations. Both amendments will be addressed later on the basis of an official proposal.

South Korea noted that IMO’s Subcommittee on Carriage of Cargoes and Containers (CCC) has been reviewing the special provisions in the IMDG Code, which have sometimes been identified as being the root cause of mis-declaration of goods. Its paper brought to the attention of the Sub-committee some particular problems with SP 141, which is assigned to UN 2969 Castor beans or Castor meal. SP 141 excepts from the regulations those products “which have undergone sufficient heat treatment so that they present no hazard during transport”, but there are no criteria mentioned. This makes it difficult to apply. The Sub-committee felt further discussion of this was needed and will continue at the next session.

Following the adoption of revised provisions for the transport of cobalt dihydroxide powder (UN 3550) at the 57th session, the Responsible

Packaging Management Association of Southern Africa (RPMASA) and the International Confederation of Plastic Packaging Manufacturers (ICPP) offered some additional text for the Guiding Principles. There was general support for this and an official proposal may be offered at the next session.

Germany reported on some proposals to amend the provisions for desensitised explosives in the Globally Harmonised System of Classification and Labelling of Chemicals (GHS), which, if confirmed, will require some changes in the Manual of Tests and Criteria.

Some comments were offered, which will be used to provide an updated document for consideration by the TDG Sub-committee and the Working Group on Explosives at the next session. That next session, the 60th, is scheduled to take place from 27 June to 6 July.

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TIME TO GET READY IMDG CODE • AMENDMENT 40-20 TO THE IMDG CODE BECOMES MANDATORY IN JUNE. EXIS TECHNOLOGIES EXPLAINS WHAT USERS SHOULD LOOK FOR AND THE TOOLS IT OFFERS TO HELP

documentation in place generated by the shipper, and deepsea lines who need to book the dangerous goods onto their ships, stowed and segregated correctly and in a timely manner.

THE COVID-19 PANDEMIC has caused a lot of disruption to the regulatory process, as it has to many dutyholders. In recognition of that disruption, the International Maritime Organisation (IMO) allowed an extra six months before the latest edition of the International Maritime Dangerous Goods (IMDG) Code became mandatory. As a result, Amendment 40-20 will come into force on 1 June 2022 and remain valid as normal until 31 December 2023.

Although the IMDG Code is updated every two years, a cause for concern is that not every company shipping dangerous goods on an international scale understands that this is a mandatory set of international rules – the

Exis Technologies also says that, in some cases, there is a lack of understanding about where the responsibility lies for complying with the Code and which goods are hazardous when presented for shipment. For the last 35 years Exis has been at the forefront of helping people to understand the IMDG Code, developing digital systems and training to allow them to ship dangerous in compliance with the regulations, safely and efficiently.

To help its customers remain in compliance, Exis Technologies has been updating all of its products in line with Amendment 40-20. For instance, Hazcheck Validation systems help customers with substance enquiries, segregation, stowage and packaging checks

TRAINING FOR COMPLIANCE The Hazcheck Detect real-time cargo screening solution is now helping to identify mis-declared and undeclared dangerous goods in seconds. This helps to avoids life-threatening incidents such as ship fires, but that does not mean that industry can become complacent about fixing the root cause of some of the problems picked up by Hazcheck Detect. When it is a genuine mistake, rather than wilful intent to mis-declare or not declare dangerous goods, training can help.

In 2010, IMDG Code Amendment 34-08 included mandatory training requirements for all shoreside staff involved in the handling and transport of dangerous goods by sea. The IMO Member Governments recognised that, to transport dangerous goods safely, people involved in those roles needed to be trained to an appropriate level for their role. Exis has

Code was originally adopted in 1965 but was given mandatory status under the umbrella of the International Convention for Safety of Life at Sea (Solas) in 2004. Dutyholders need also to be aware of the need to update their processes to comply with each new Amendment.

and the production of documentation required for shipping in the transport chain. The systems are suitable for all sea transport links from shore-based manufacturers of chemicals, to freight forwarders/logistics companies who need to get the dangerous goods to the shipping line with the correct

been producing IMDG Code e-learning training since it became mandatory and it is updated for every new Amendment. A range of job-specific and advanced courses is available and a refresher course is also provided.

IMDG Code e-learning is a certified Det Norske Veritas Learning Programme. A certificate is

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generated for successful candidates and can be printed out and kept as a record of training.

CHANGES IN BRIEF To accompany each biennial update to the IMDG Code, Exis Technologies offers a free summary of the changes, the latest of which addresses the changes that appear in Amendment 40-20. This document, which is available in English, French, Spanish and Chinese, can be downloaded from the Exist website at https://existec.com/hazcheck/ imdg-code-free-summary-of-changes-40-20/.

A more detailed summary of the changes can be requested here: https://existec.com/ hazcheck/imdg-code-40-20-detailed-freesummary-of-changes/.

IMO will also publish an Errata document before the new Amendment 40-20 comes into force. This will include: - A new 4.1.2.2, amalgamating 4.1.2.2.1 and 4.1.2.2.2 - Clarification to the wording for segregation

 EXIS TECHNOLOGIES HAS BEEN EXPANDING ITS PORTFOLIO OF TOOLS TO HELP DUTYHOLDERS NAVIGATE THE OFTEN COMPLEX REQUIREMENTS OF THE IMDG CODE AND ITS BIENNIAL REVISION

in relation to foodstuffs by adding references to the specific applicable segregation groups - Changes to the Dangerous Goods List, including the addition or amendment of special provisions and tweaks to the packing provisions - Edits to the packing instructions, and - Changes to the index, to reflect these errata.

Exis will publish a summary of the Errata on its website once it is officially available.

TOOLS FOR FREE Although the IMDG Code has been in existence since 1965, measures to improve safety at sea continue to evolve, especially as the vessels that are carrying the dangerous goods continue to increase in size at an impressive rate. In 2019, the Cargo Incident Notification System (CINS) published new safety guidance for the stowage of classified dangerous goods on board containerships in response to a number of serious ship fires. The guidance is intended to complement existing measures implemented by ship operators for the carriage of declared dangerous goods, and also the provisions of Solas and the IMDG Code, rather than replacing them.

Exis helped in the development of this guidance with its detailed knowledge of the IMDG Code Dangerous Goods List and stowage

requirements, and offers Hazcheck Risk Zone Data free of charge to support the CINS stowage guidelines. The data includes UN Number, Packing Group and Risk Zones (RZ).

For example, two Risk Zone categories, RZ1 and RZ2, allow stowage below deck, as these substances, should they catch fire, can be effectively extinguished using carbon dioxide.

The Hazcheck Risk Zone Data has been updated to Amendment 40-20 and it is important that the new version is being used by customers from 1 June at the latest.

Customers registered on the Exis website will automatically receive updates about changes to the IMDG Code. New customers can download the Hazcheck Risk Zone .TXT file from the Free Industry Tools section of the Exis website at https://existec.com/product/hazcheck-riskzone-data/.

Exis has also been providing the IMDG Coded Variant List (CVL) as a free resource to assist companies in exchanging IMDG Code information in EDI messages such as BAPLIE and IFTMBF. This is the result of a partnership with the SMDG Group, which supplies the manuals to define EDI messages in the maritime industry. The CVL helps to overcome the ambiguities when identifying a variant within a single UN number that may occur when two companies exchange dangerous goods information. This exchange may be automatic using EDI files and it may also involve some manual procedure. These ambiguities can arise for a number of reasons, such as: - Differences in the information held in the dangerous goods databases - Layers of software in the transmission process that limit the information that can be exchanged automatically, and - Different versions of the IMDG Code data, which can arise as differing implementation times for new data when either a new IMDG Code amendment (which can be implemented at any time within the one-year transition period) or errata are released or because of the use of data from different sources.

The IMDG Coded Variant List can also be downloaded in .TXT format at https://existec.com/product/imdg-codedvariant-list/.

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delegations with information on these issues to present it at the next session.

The Danube Commission reported on trends in navigation in 2021; there was a sharp drop in cruise passenger vessels as a result of Covid-19 restrictions, although the decline in cargo vessels seen in 2020 had levelled off.

THE JOINT MEETING of Experts on the Regulations annexed to the European Agreement concerning the International Carriage of Dangerous Goods by Inland Waterways – the ADN Safety Committee – held its 39th session this past 24 to 28 January. It was chaired by Henk Langenberg (Netherlands) with Bernd Birklhuber (Austria)

Once more, the session was hampered by ongoing Covid-19 response measures and the UN’s financial constraints. The UN Economic Commission for Europe (ECE) is optimistic of being able to return to normal business in the second half of the year.

Pending that normalisation, the Safety Committee held its January session in

IMPLEMENTATION AND INTERPRETATION The Netherlands followed up on discussions at the previous session with a formal proposal to include specific provisions for the carriage of UN 1288 Shale oil in tank vessels, following a request for special authorisation in its own country. The Safety Committee found this agreeable, after being assured by FuelsEurope that shale oil with a high water content is not normally transported as it is uneconomic to do so.

The main changes agreed are the insertion of ‘T’ in column (8) of Table A in Chapter 3.2 for both UN 1288 entries (packing groups II and III), and the addition of corresponding entries in Table C in Chapter 3.2.

The Recommended ADN Classification Societies had been asked to review the Safety Committee’s interpretations, given at the 35th session, on acceptable ventilation systems specified in 9.3.3.12.2. Having done so, the group took issue with the idea that hatch covers can be used as a ventilation system, since class rules require a ventilation pipe for void spaces and also that an opened hatch cover is regarded as an ‘undefined opening’ with respect to stability calculations.

The Safety Committee agreed to amend its interpretation in line with the Societies’ comments and to publish that interpretation on the UN ECE website. It felt there was no need to amend the current transitional provisions in 1.6.7.2.2.2.

The European Barge Union (EBU) and European Skippers Organisation (ESO) appealed for a rationalisation of the provisions for the transport of carbon dioxide, ethylene

as vice-chair. The meeting was attended by representatives of 13 countries, the Central Commission for the Navigation of the Rhine (CCNR), the Danube Commission, the European Commission and Transport Community, and nine non-governmental organisations.

hybrid format.

At its July 2021 session, the ECE Executive Committee had asked for input from its subsidiary bodies on the development of measures that will promote a circular economy and the sustainable use of natural resources; the Safety Committee invited

and methane (LNG) – all gases carried as refrigerated liquids. All require a barge type G,1,1 with refrigeration system but, whereas UN 1038 Ethylene and UN 1972 Methane are assigned transport provisions 2, 31 and 42, UN 2187 Carbon dioxide is assigned 31 and 39.

The Safety Committee welcomed the

RIVER CLEANUP INLAND WATERWAYS • WHILE THE ADN SAFETY COMMITTEE ADHERES WHERE POSSIBLE TO HARMONISATION WITH RID AND ADR, IT HAS PLENTY OF OTHER MATTERS TO CONSIDER

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proposal and asked the informal working group on substances to consider whether transport provision 42 should be added against UN 2187, which would mean that no refrigerating system is required so long as the holding time in relation to temperature elevation and boil-off is sufficient and guaranteed. The Safety Committee will aim to continue discussion at the next session based on the feedback from the informal working group.

The Netherlands revealed that it intends to perform a study on whether flame arresters that are not certified for withstanding a steady burning of 30 minutes or longer but which can withstand detonations and deflagrations are suitable to ensure safety during degassing operations. Members of the Safety Committee were invited to share their experience of relevance with the Dutch authorities. The Netherlands may revert with a proposal, depending on the outcome of the study.

Germany opened a discussion on the list of interpretations of ADN published on the UN ECE website, noting that the Recommended ADN Classification Societies also have their own list; the Safety Committee asked that this list could also be published by UN ECE. It also noted some comments on possible unified interpretations similar to those in the International Maritime Dangerous Goods (IMDG) Code, although there was concern that

these texts are voluminous and, were there to be a similar section in ADN it should be as concise and clear as possible. It was agreed that the Safety Committee should consider publishing its interpretations on a case by case basis.

PROPOSALS FOR AMENDMENT The Secretariat had prepared a list of those amendments agreed by the RID/ADR/ADN Joint Meeting in 2020 and 2021 that were of relevance to ADN, which the Safety Committee adopted with some changes. It also adopted amendments relevant to ADN that had been agreed by the UN ECE Working Party on the Transport of Dangerous Goods (WP15) at its 110th session, as amended. WP15 may agree more changes at its 111th session, which will be considered at the Safety Committee’s 40th session.

CCNR had been doing some work on the different language versions of ADN, proposing to align the texts in 9.1.0.40.2.5(c) and 9.3.x.40.2.5(c) on triggering devices, though the Safety Committee was concerned that this might conflict with the European Standard on Technical Requirements for Inland Navigation Vessels (ES-TRIN). CCNR may review the proposal. It also proposed aligning the various linguistic versions in the terminology used to describe ‘protective suit’, ‘protective

equipment’ and ‘personal protective equipment’, which was accepted by the Safety Committee.

CCNR also sought to harmonise the terminology used in the sections on the berthing of vessels and their location during loading, unloading and degassing. There were some concerns expressed at the vagueness of terms such as “nearby” and “in the immediate vicinity”, though it was felt that some latitude was necessary and it is up to the relevant competent authority to determine how to interpret those terms. The changes, which are textual of nature, were adopted and appear in 1.9.3(c), 8.1.2.2(f) and 8.1.2.3(s).

Another paper from CCNR sought to align the various language versions of 9.3.4.3.1.2.2.1.3, the Germany version being seen as the most comprehensive. This section deals with the vertical collision locations. The Safety Committee agreed with the proposal and adopted changes to the English and French versions.

Germany noted that the content of 1.8.3.17 on safety advisers had been deleted from ADR and RID since the 2011 editions; the Safety Committee recognised the issue and decided to also delete this sub-section.

Germany also followed up on earlier discussions on the training and examination of experts and the harmonisation of procedures among the ADN Contracting Parties. While there were some concerns noted, particularly regarding the length of time needed to organise recurrent examinations, it was agreed to make some changes.

In 8.2.2.3.3, the description of ‘Prior training’ for specialisation courses on gases and chemicals is changed to read: Examination passed after “tank vessels” or combined “dry cargo vessels/tank vessels” ADN basic training.

8.2.2.7.1.1 is amended to read: After basic training, an examination shall be taken within six months following the completion of such training. If a candidate fails the examination, he or she may retake it twice during this six-month period without attending another basic training course.

The last sentence of the second paragraph of 8.2.2.7.2.5 is amended to read: If a candidate fails the examination, he or she

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may retake it, fully or partially, twice during this six-month period without attending another specialization course. If the 44 marks are not achieved, the exam may be taken again in its entirety. If the candidate obtains 44 but does not achieve 20 in one part, only the part in question may be taken again.

France proposed to amend Chapter 1.16 to exempt seagoing vessels from the requirement to hold a certificate of approval for navigating on inland waterways, provided that such vessels are in possession of the relevant certificates applicable to maritime navigation. There was some support for the proposal but most experts felt that such vessels should conform to the specific construction requirements for inland waterway vessels. On the other hand, it was mentioned that ADN should be careful not to include contradictory requirements. The proposal was not adopted.

Germany arrived with a lengthy list of proposed updates to the referenced standards. .Although there was some opposition to the paper, on the basis that there had not been time to check the revised standards thoroughly and that some were unavailable to the meeting, the Safety Committee did adopt a number of the proposed changes. There was a question as to whether onboard equipment should be replaced after a transitional period, which will be discussed at a future meeting of interested delegates. FuelsEurope pointed out that 2.2.3.1.5 of ADN references the UN Manual of Tests and Criteria where it refers to ISO 2431:1984; this is to be updated to ISO 2431:2019 in ADN and the secretariat was asked to notify the UN Sub-committee of Experts on the Transport of Dangerous Goods to ask whether the Manual should be similarly updated.

The changes affect in particular a number of definitions in 1.2.1, with updated standards

also reflected in the Table of general transitional provisions in 1.6.7.2.2.2.

One new transitional provision is provided in 1.6.8.3: Certificates of specific knowledge of ADN referred to in 8.2.2.8 issued before 1 January 2023 and which conform to the format laid down in ISO/IEC 7810:2003 shall remain valid until the expiry date indicated therein.

There are also changes in the Application form for special authorisations in 3.2.4.2 and in the standards referenced in 8.1.6.2, 8.2.2.8.2 and 9.1.0.53.4(f).

Another paper from Germany identified a contradiction between ADN and ES-TRIN regarding fixed fire extinguishing systems, particularly relating to the protection of lithium batteries placed in the vicinity of dangerous goods. After some discussion, it was agreed to amend 9.3.x.40.2.16 (where x is 1, 2 and 3) with the following text: Permanently installed fire-extinguishing systems for protecting objects (a) Permanently installed fire-extinguishing systems for protecting objects are permitted for the protection of installations and equipment.

The action of the fire-extinguishing systems must be aimed directly at the objects to be protected. The range of action of fireextinguishing systems may be limited in space by means of structural measures.

Permanently installed fire-extinguishing systems for protecting objects may already be structurally integrated into the objects concerned.

Permanently installed fire-extinguishing systems for protecting objects must be independent of the systems referred to in 9.3.x.40.2.2 to 9.3.x.40.2.16 in respect of their supply of extinguishing agent. (b) The following requirements apply to permanently installed fire-extinguishing systems for protecting objects: (i) 9.3.x.40.2.2, if the extinguishing agent used

encapsulated object, a suitable sign for the fire-extinguishing system for physical protection must be prominently displayed; (v) 9.3.x.40.2.7 to 9.3.x.40.2.13; (vi) Reserved; (vii) 9.3.x.40.2.15, (b) to (e).

Only extinguishing agents suitable for extinguishing a fire on or in the object to be protected and which are mentioned in 9.3.x.40.2.1 may be used in permanently installed fire-extinguishing systems for protecting objects.

The competent authority may authorize exemptions concerning the extinguishing agent for permanently installed fire-extinguishing systems for protecting objects which are based on a fire protection concept. (c) Permanently installed fire-extinguishing systems for protecting objects must be capable of being triggered manually. Manual triggering must be possible in the immediate vicinity of the protected object. They may be triggered automatically if the triggering signal is emitted by two fire detectors with different means of detection. The triggering must occur without delay. If the fire-extinguishing system is intended to protect several spaces, it shall comprise a separate and clearly-marked triggering device for each space.

The activation of the fire-extinguishing system shall be displayed in the wheelhouse and at the entrance to the room in which the object to be protected is located. In the case of encapsulated objects, the display at the room entrance can be omitted if another display is attached to the object itself.

For manual activation, operating instructions in accordance with 9.3.x.40.2.5 (e) shall be displayed next to each triggering device, taking into account the location and nature of the object. (d) The type and place of installation of permanently installed fire-extinguishing systems for protecting objects shall be entered

referenced against ‘Equipment category’, ‘Equipment protection level’, ‘Electrical apparatus protected against water jets’, ‘Explosion group/subgroup’, ‘Gas detection system’, ‘Oxygen measuring system’, ‘Oxygen meter’, ‘Protective suit’ and ‘Types of protection – electrical equipment’. Those are

requires the range of action to be limited by structural measures; (ii) 9.3.x.40.2.3 and 9.3.x.40.2.4; (iii) 9.3.x.40.2.5 (b) and (c), in addition to the provisions of (c) of the present section; (iv) 9.3.x.40.2.6, (a) to (e), and at each entrance to a room or in the immediate vicinity of an

in the ship’s certificate. (e) The provisions of this section do not apply to water spray systems in accordance with 9.3.1.28, 9.3.2.28 and 9.3.3.28.

This report on the ADN Safety Committee’s January session will continue in next month’s HCB.

HCB MONTHLY | APRIL 2022

2022

Dangerous Goods Book Now! Seminar 7 and 8 June 2022

Mercure Daventry Court Hotel, Northamptonshire We’re back! The Dangerous Goods seminar is the go-to event for everyone involved in the manufacture, handling and transport of dangerous goods.

Dangerous Goods Safety Advisers should also view this as an excellent opportunity to update their knowledge and share ‘best practice’ with other delegates. It will also provide you with an opportunity to meet with the UK regulators, giving you a chance to ask questions and share your views. The event will take place over two days to allow a suitable amount of time to debate and discuss key issues.

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64 BACK PAGE

NOT OTHERWISE SPECIFIED NATURE STIKES BACK We wrote on this page last month about the problems police in Wellington, New Zealand were having in clearing protesters from outside the parliament building. This month comes a story from India where police had something altogether different to face.

Last month, police in Bengaluru were sent out in large numbers to Freedom Park to deal with an impending protest – after the Karnataka High Court had taken the government to task for allowing such protest marches in the city. The police were preparing themselves to deal with an angry mob when, out of nowhere, a swarm of honey bees appeared, attacking the officers. Several were badly stung, with nine requiring hospital treatment – two in intensive care.

The police commissioner told reporters it was yet to be ascertained whether the honey bees “attacked naturally” or whether it was a “deliberate act by some miscreants”.

A NEW CIRCULAR ECONOMY In any pub or bar, there is a linear supply chain of beer, from the tap, through the body of the drinker and out into the drains.

In today’s world, that has to change. A team of researchers at Sweden’s University of Agricultural Sciences in Uppsala is trying to do just that – and reduce the amount of agricultural and sewerage outfall that causes pollution in the Baltic Sea around the island of Gotland.

Starting last year, the researchers are partnering with a company that rents portable toilets and plan to collect more than 70,000 litres of urine over three years during the tourist season in Gotland. That urine will be dried, powdered and pressed into fertiliser pellets to fit standard farming equipment.

A local farmer will use the fertiliser on his barley fields to produce the raw material for making more beer.

PLAY NICELY It is too early to tell yet how many people were hurt in this year’s Festival of Colours – or Holi in Hindu – in India at the end of March, but there has already been a report of the toll from the Fire Festival (Chaharshanbe Suri) in Iran last month. The festival is celebrated just before the Iranian new year, which fell on 21 March, and involves people jumping over bonfires and letting off firecrackers in public places, bidding farewell to the old year.

AND FINALLY… Some householders in Hunedoara, Romania were alarmed last month to find large rocks raining down on their homes. One 50-kg lump fell through the roof of a house into a bedroom – fortunately the occupants were downstairs at the time and were unhurt, if rather shocked.

Investigating the incident, police identified the rocks as pieces of slag, which had come from a supposedly controlled detonation during the demolition of a former steelworks

According to Iranian state TV, at least 11 people were killed and nearly 500 others injured during the celebrations, which last for several days. Of those hurt, 49 people had to have limbs amputated because of severe injuries. The number of injuries was up 47 per cent on the previous year.

around 1 km away from where they landed.

The company involved was meant to be excavating the slag for scrap but appears to have got carried away with its job. Police are examining whether the demolition contractors complied with the relevant legislation and have opened a criminal case against them.

HCB MONTHLY | APRIL 2022

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