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Home/Current Affairs/Carriage of Goods by Sea Bill, 2024

Carriage of Goods by Sea Bill, 2024

29 Mar 2025

Carriage of Goods by Sea Bill, 2024

The Carriage of Goods by Sea Bill, 2024, was recently  passed by the Lok Sabha through a voice vote.

About the Carriage of Goods by Sea Bill, 2024

  • Replaces Old Act: The Bill replaces the Indian Carriage of Goods by Sea Act, 1925.
  • Scope: It  governs the responsibilities, liabilities, rights, and immunities related to goods transported from an Indian port to another Indian or international port.
  • Objective: To modernize maritime laws and simplify regulations for the ease of doing business.
  • Government’s Initiative: It is part of the broader effort to eliminate colonial-era laws and rationalize maritime policies.
  • International Alignment: It conforms with the Hague Rules of 1924 and subsequent amendments.
  • Retention of Provisions: The Bill retains all provisions of the 1925 Act while introducing simplifications. Provisions of the Bill Simplifying Maritime Regulations

International Convention for the Unification of Certain Rules of Law relating to Bills of Lading of August 1924 (Hague Rules)

  • Establishment: Adopted in 1924, the Hague Rules were formulated to standardize liability and responsibilities in international shipping, particularly for carriers transporting goods by sea.
  • Purpose: Aimed to protect shippers from unfair practices, limit carrier exemptions, and establish clear guidelines for bill of lading contracts.
  • Adaptations: Revised through the Visby Protocol (1968) and later supplemented by the Hague-Visby Rules to update liability limits and address technological advancements in shipping.
  • India’s Status: India did not ratify this Convention mainly because the Convention requires that Bill of Lading should be issued even in respect of carriage of goods in the coastal trade by the sailing vessels, which was not acceptable to India.
    • However, the rest of the provisions of the Convention were incorporated in the Indian Carriage of Goods by Sea Act, 1925.

  • Government Powers:
    • The Union government is empowered to issue directions for implementing the Bill’s provisions.
    • It can amend the schedule specifying rules applicable to Bills of Lading.
  • Bill of Lading:
    • A document issued by a freight carrier to a shipper.
    • Includes details such as type, quantity, condition, and destination of goods.

Key Outcomes of the Changes

  • Ensures clear responsibilities and rights for carriers.
  • Simplifies and rationalizes maritime laws.
  • Facilitates ease of understanding and business operations in the shipping industry.

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