LP 014/2017 Vietnam: Illegal Sand Sales

March 23, 2017Bulletins

The association's correspondent in Vietnam advise that members should be alerted whether the charterers have obtained the certification issued by local government.

Huge profits are being made by local Vietnamese companies who export sand abroad.

Companies are taking advantage of sand dredging privileges authorised by the Vietnamese Government. At the end of 2009 the Vietnamese Government banned sand exports. In 2013 those regulations were loosened. The Government listed several enterprises allowed to export saline sand from river mouths and the sea, under certain conditions.

The majority of sand dredging exports are bound for Singapore. Panamax ships are the preferred means of transportation each ship carrying around 53,000 tonnes.

Illegal dredging of sand reportedly contributes to river bank erosion and inhibits local residents ability to produce quality aqua-cultural products, such as but not limited to Lobster.

The purpose of this loss prevention article is to advise Shipowners that, when contracted to load sand from within Vietnamese territorial waters, they must ensure that they have been provided by charterers or shippers, the appropriate export license issued by the Vietnamese Authorities.

This could avoid unnecessary delays to the vessel, should an investigation be made and shippers found non-compliant. To date we have had no such issues but have had to question some local shippers authorisation and sight their license.

The above is to solely serve as a guide to possible issues faced in loading sand at Vietnamese Ports.

Should further advice be required, please contact our office at…

Spica Services

2 Phung Khac Khoan St

District 1

HCMC

SR Vietnam

claims@spica.com.vn

Tel +84 383232527

Fax +84 383232526