Cargo that is damaged, short-delivered or degraded in transit, storage or handover can lead to financial loss and disputes between the parties involved. When a loss occurs, prompt and independent verification of the condition, cause and extent of the damage is essential to protect your interests and support any claim or compensation process.

With cargo inspection experience dating back to 1957, Vinacontrol provides independent damage survey service that give you objective technical evidence, a clear picture of the loss and practical recommendations to limit further damage.

Service Background

A cargo damage survey is the process of examining, assessing and confirming the extent of damage, loss or deterioration of cargo during transport, storage or use. It is an important step in determining liability, compensating for damage and safeguarding the interests of the parties concerned.

Damage surveys are normally carried out by independent inspection bodies in order to provide an objective and accurate report, enabling businesses to resolve disputes or submit insurance claims effectively.

Vinacontrol’s damage survey service helps businesses to:

• Establish the actual condition of the affected cargo: determine the condition of the remaining cargo (i.e. cargo that has not suffered quality deterioration), and determine the quantity and weight of the cargo lost or damaged in order to establish the extent of the loss;
• Determine the cause of the loss or damage (including both proximate and underlying causes);
• Recommend measures for handling the cargo and preventing the spread of loss (loss mitigation), or for the apportionment of loss (in the event of general average);
• Issue a Survey Certificate of loss and damage as the basis for commercial claims, compensation requests and dispute resolution.

When is a damage survey required?

Organisations and businesses should request a survey immediately upon discovering, or suspecting, that cargo has been lost or damaged, particularly in the following cases:

• Damaged cargo: breakage, denting, deformation, water ingress, contamination or quality deterioration.
• Shortage in quantity or weight: discrepancy between the cargo actually received and the bill of lading, packing list or delivery documents.
• Incidents during transport or storage: cargo affected by accident, fire, explosion, flooding, or by unsuitable temperature, humidity or storage conditions.
• Delivery and insurance disputes: the parties do not agree on the condition, cause, time or extent of the loss.

Surveys can be performed at seaports, warehouses and storage yards, logistics centres, factories and other locations where cargo is held or handed over.

Scope of Services

Depending on the nature of the cargo and the client’s requirements, Vinacontrol carries out the following survey activities:

1. Survey of Condition and Extent of Loss

Examination of the condition of packaging, containers, seals, quantity, weight and quality of the cargo; determination of the actual extent of loss by counting, measurement, sampling or testing where necessary.

2. Survey of Cause of Loss

Examination of transport, handling, lashing, dunnage and storage conditions; cross-checking of records, documents and on-site evidence to assess the cause of loss within the scope of the data collected.

3. Assessment and Recommendation of Loss Mitigation Measures

Classification of cargo according to its actual condition, and determination of its suitability for use, recovery or disposal; provision of recommendations to limit further damage and preserve the value of the remaining cargo.

4. Issuance of Damage Survey Certificate

Consolidation of inspection and assessment results into a survey certificate, providing the technical basis for delivery, claims and settlement of compensation in accordance with applicable regulations.

What should businesses do when cargo loss or damage is discovered?

To preserve evidence and reduce the risk of claim rejection, businesses should:

• Record the condition of the cargo by photographs, video and a written report at the time the loss or damage is discovered.
• Promptly notify the carrier, the insurer and other relevant parties in accordance with the contract and applicable regulations.
• Avoid altering the condition of the cargo or disposing of it before sufficient evidence has been collected, except where necessary to ensure safety and mitigate loss.
• Contact an independent inspection body to examine and establish the loss and complete the technical documentation.

For cargo transported by sea, businesses should pay particular attention to the time limits for notification of loss or damage under Article 174 of the Vietnam Maritime Code, especially in cases of damage that cannot be detected from external inspection.

As Vietnam’s first inspection organisation, Vinacontrol has almost 70 years of experience in the inspection of import and export cargo, supported by highly qualified inspectors and an operating network nationwide. Vinacontrol accompanies businesses in verifying losses, protecting their legitimate interests and minimising risk in their commercial activities.

Please contact Vinacontrol for the best advice and support!