Bulk Liquid Logistics: Who’s Responsible for What?

Shippers ship, receivers receive, and carriers carry. Simple, right?

Well, not always. Bulk liquid logistics is a complicated business that can create opportunities for misunderstanding and finger-pointing if and when a problem arises.

In this article, we’ll help you avoid these misunderstandings by delineating responsibilities between liquid bulk shippers, receivers, and carriers to see exactly who is (or at least should be) responsible for what.

The shipper’s responsibilities

Shippers rely on carriers and receivers to transport and unload their goods safely while maintaining product quality, but they’re also responsible for vital elements of the transportation process. These include:

• Understanding the properties of the product being shipped and communicating all key information (e.g., equipment and certification requirements, product safety information, and loading procedures) to the necessary parties.
• Understanding and communicating the regulations that apply to the product being shipped, including hazmat certifications or specific temperature requirements.
• Providing any necessary SDS (Safety Data Sheets) for the product, which are essential for hazardous materials or products with special handling requirements.
• Ensuring the correct loading method is followed, including specifying the required flow rate or pressure to avoid damage to the product.
• Providing placards, seals, and anything else the driver will need related to the product, along with the bill of lading (BOL) and other necessary paperwork.
• Pre-clearing any specific site access requirements or restrictions with the carrier to avoid delays.
• Inspecting and verifying that the carrier’s trailer is suitable for the product before loading, ensuring it’s clean, dry, and odor-free, and free of residual material from previous loads, which could contaminate the product.
• Documenting any special cleaning or sanitation requirements for the trailer to minimize cross-contamination risks.

The Receiver’s Responsibilities

The shipper is typically responsible for loading a liquid bulk shipment, while the receiver is responsible for unloading it and performing the following:

• Verifying the correct product has been received prior to unloading, confirming the quality and ensuring that it’s unloaded into the correct tank or receptacle to avoid contamination.
• Inspecting tanks before unloading to ensure they have been properly cleaned and are free of residual material from previous batches.
• Providing a clean and safe unloading environment, ensuring that all unloading equipment (e.g., hoses, tanks) is properly sanitized and ready for use (check out our checklist for creating "driver-friendly" facilities).
• Ensuring all personnel involved in unloading have been trained on product-specific handling procedures to prevent accidents or contamination.
• Providing a dedicated associate or team to perform and/or monitor the unloading process. This helps to ensure a smooth and safe handoff and minimizes risks of incidents during the unloading process.
• Establishing clear wait-time protocols to avoid additional charges (e.g., demurrage) if delays occur during unloading.

The Carrier’s Responsibilities

In addition to the actual transportation of the product, carriers have the following bulk liquid logistics responsibilities:

• Providing a clean trailer that is covered by appropriate insurance and complies with any specific sanitation and cleaning requirements outlined by the shipper.
• Communicating any previous load history if a multi-use tanker is used to help shippers and receivers avoid cross-contamination.
• Ensuring a well-trained, professional driver with expertise in handling liquid bulk materials, particularly for hazardous or temperature-sensitive products. Drivers hauling chemicals or hazmat must have all appropriate driver endorsements.
• Proactively reporting any delays or issues encountered in transit to keep all parties informed.
• Providing the necessary hoses, fittings, pumps, compressors, and other equipment as specified by the customer, as well as standard equipment (e.g., two 20-foot lengths of hose and a pump).
• Ensuring that spare parts and backup equipment are available in case of mechanical failure during loading or unloading.
• Ensuring that drivers are equipped with all necessary safety equipment, including personal protective equipment (PPE) for hazmat deliveries, and that they are trained in emergency procedures in case of a spill or incident.

What Goes Wrong?

It is important to note that the roles described above are outlined in accordance with common industry practice. There can be – and often is – variation in where the responsibilities of each party begin and end as long as these variations are understood by all.

Too often, however, poor communication among the parties results in misunderstandings and subpar service. Examples include:

• A lack of clarity in establishing loading and unloading responsibilities up front, leading to confusion and finger-pointing when the truck arrives.
• Unexpected wait times that result in demurrage charges because delivery windows were not coordinated accurately.
• Over-reliance on digital communication – sometimes a quick phone call or video conference is the best way to clear up uncertainties and ensure that key details are understood by both parties.
• Failure to account for traffic conditions or unexpected delays along the route, which can disrupt timely delivery.
• Failure to inform other parties of key changes affecting service (e.g., the driver needs a new piece of equipment to unload at the consignee and no one informed the carrier).
• Failure to properly alert other parties about situations that may lead to delays (e.g., long wait times at unload or equipment malfunctions).

The Role of the Bulk Freight 3PL

By working closely with both shippers and liquid bulk carriers, bulk freight 3PLs can coordinate the entire transportation operation to the satisfaction of all parties. Better still, there are bulk freight 3PLs who specialize in bulk transport and have the experience and insights to ensure that no stone is left unturned in the planning and execution of a shipment.

• Bulk freight 3PLs can source qualified, vetted carriers with the right equipment and experience for specific loads, helping shippers find the best fit for their bulk transport needs.
• 3PLs can also leverage data-driven technology to optimize routes, reduce costs, and minimize delivery delays.
• Brokers also help to mitigate risks by acting as intermediaries, ensuring that any issues are resolved quickly, whether they relate to communication, equipment, or scheduling.
• With access to a large network of carriers, 3PLs can offer shippers the flexibility to scale operations during peak seasons or tight markets.

With over 35 years in the bulk liquid logistics industry, Bulk Connection is the first call for many shippers and carriers across North America. To learn more about how we can improve your supply chain and reduce costly errors, contact us today.