DELIVERY ORDER

Introduction

Delivery order (abbreviated D/O) is a legal liner document from a consignee, or an owner or his
agent of freight carrier which orders the release of the transportation of cargo to party. it acts
as a proof/confirmation that the cargo belongs to the consignee itself. Usually the written order
permits the direct delivery of goods to a warehouseman, carrier or other person who in the
course of their ordinary business issues warehouse receipts or bills of lading.

There are mainly two types of D/O these are:

1. factory destuff : Container stuffing is the name for the process of loading goods into a
container or other mode of transport ready for shipping. De-stuffing is the reverse,
simply the unloading of goods from containers. The importer takes the container to his
factory and unloads cargo there. Hence this process requires a security DD to be paid in
case of any damange.Once the cargo is unloaded, the container need to be delivered
back to the shipping line as soon as possible.
2. dock destuff: Dock is an enclosed area of water in a port for the loading, unloading.
When the importer takes dock D/O., his cargo will be unloaded from the container at an
ICD or CFS that is customs bonded area and the importer will have to take away his
cargo in his personal transport .
A delivery order is issued in exchange for

 One or all duly endorsed Original Bill(s) of Lading or duly authorised and issued Bank
Guarantee (if original bill of lading is lost): If the issued bill of lading is a negotiable bill of
lading, the carrier will issue Delivery Order only once they have verified that the original bill
of lading has been properly endorsed in order to ensure that the cargo is released to the
correct party.

Bill of Lading consigned to Endorsements Required on a Negotiable bill of lading

 Shipper’s endorsement stating DELIVER TO THE ORDER

OF “ZYX Client” (who could be the actual receiver) and
 A To
Telex Release confirmation from the loading port or principal confirming surrender of
Order, To Order of
Shipper or To Order of ZYX  ZYX’s company stamp and sign in case he is taking the final
delivery or
 ZYX’s endorsement stating, DELIVER TO THE ORDER OF
“ABC Client” (if the cargo has been further sold)..
 Shipper’s endorsement stating DELIVER TO THE ORDER
OF “XYZ BANK” and
 XYZ bank’s endorsement stating, DELIVER TO THE ORDER OF
“ZYX Client” (who could be the actual receiver) and
To Order of XYZ Bank
 ZYX’s company stamp and sign in case he is taking the final delivery
or
 ZYX’s further endorsement stating, DELIVER TO THE ORDER OF
“ABC Client” (if the cargo has been further sold)..
one or all Original bills of lading issued for the shipment.

In some instances a shipper or exporter may surrender one or all of the original bills of
lading that have been issued to them at the load port..

Based on this surrender, they will instruct the load port agent(POL) to advise the
discharge port agent (POD)that the cargo covered under the surrendered bills of lading
may be released to the consignee shown on the bill of lading without presentation of any
original bills of lading..

A telex release is simply a message conveying this instruction from the load port agent to
the discharge port agent. Although nowadays such OBL surrender information and
release instructions are sent by email or updated in the shipping line’s online system, the
name telex release stuck due to the long period that the telex machine

 A copy of a Sea waybill issued: A seawaybill is a bill of lading issued by the shipping line to
their customer after the payment of all charges and submission of all customs/port
documents relevant to that country. This bill is NOT a Negotiable document as there is NO
ORIGINAL ISSUED. It is also NOT a Document of Title.
 A Sea Waybill of Lading serves as an Evidence of Contract of Carriage and Receipt
of Goods.It CANNOT BE CONSIGNED TO ORDER of someone else. It has to be
consigned to a direct customer only.Delivery of cargo covered under a Sea
Waybill of Lading can be made ONLY to the consignee on the bill of lading or his
authorised representative..

Only with this delivery order the consignee can clear the cargo with customs and
take delivery of the cargo from the port, terminal, depot or wherever it is stored.

 A House Bill of Lading (HBL) is issued by an NVOCC operator, or a Freight

Forwarder to their customers..
 A Master Bill of Lading (MBL) is issued by the Shipping Line (Carrier) to
the NVOCC Operator, or Freight Forwarder..

In cases where a House Bill of Lading (HBL) has been issued by a Freight

Forwarder, the Freight Forwarder’s counterpart agent at destination will collect
his Original HBL and issue a Release Letter to the main carrier requesting that
their Delivery Order be issued to the nominated consignee.

In most cases where HBL is issued, the Master Bill of Lading (MBL) will be either
a Sea Waybill or will be Telex Released to facilitate easy release

Based on this release letter, the main carrier will release the Delivery Order to
the nominated consignee.

Documents required for D/O:

Every shipping line has its own procedure and requirements which vary from each other. For
those shipping lines which are tied up with ODeX platform, D/O process is handled on odex
website , other shipping line D/O is gathered via e-mail

A separate form of bill of entry is used for clearance of goods for warehousing. All documents
as required to be attached with a Bill of Entry for home consumption are also required to be
filed with bill of entry for warehousing. The bill of entry is assessed in the same manner and
duty payable is determined. However, since duty is not required to be paid at the time of
warehousing of the goods, the purpose of assessing the goods at this stage is to secure the duty
in case the goods do not reach the warehouse. The duty is paid at the time of ex-bond
clearance of goods for which an ex-bond bill of entry is filed. The rate of duty applicable to
imported goods cleared from a warehouse is the rate in-force on the date on which the goods
are actually removed from the warehouse.

DOCK DESTUFF :-

1) Original B/L duly endorsed at back side.

2) If telex release, seaway bill or express B/L then the covering letter required on
consignee’s letter head to hand over the D/O to the specified CHA.
3) In case of Endorsement / House B/L Delivery Order below said procedure should be
followed :-
a) Duly endorsed house B/L copy & Master B/L copy.
b) NOC letter from forwarder to release the Delivery Order.

FACTORY DESTUFF:-

1. Original B/L duly endorsed at back side.

2. If telex release, seaway bill or express B/L then the covering letter required on
consignee’s letter head to hand over the D/O to the specified CHA.
3. In case of House B/L below said procedure should be followed :-
A. Duly endorsed house B/L copy.
B. NOC letter of the forwarder to release the Delivery Order.
4. In all the above three cases, following documents are required:-
A. Factory destuffing bond in 200 Rs. Stamp paper.
B. Insurance cover for value of the container in favour of “ The Shipping Corporation of
India” (value of insurance Rs. 95,000/20’ GP & Rs. 127,000/40’ GP & HC,
Rs .178,000/20’ OT/FR & Rs. 225,000/40’ OT/FR )
C. In case of open policy the covering letter from the insurance company required for the
specific container.
D. One cheque of concerned CHA in favour of “The Shipping Corporation of India Ltd”
should be submitted along with the bond for security purpose.
 E. Demand Draft of 5000/- per container in case of SCRAP CARGO, FLAT TRACK
CONTAINER & OPEN TOP containers as security deposit in favour of “The
Shipping Corporation of India Ltd”

NOTE :

1. IDENTIFICATION COPY OF THE REPRENSENTATIVE OF CHA SHOULD BE

ATTACHED WHILE COLLECTING THE DELIVERY ORDER.

2. ONE TIME KYC OF THE CONSIGNEE IS MANDATORY

Sample of documents as follows:

For Surrender B/L
CHA authorization letter:
D/O on behalf of M/S consignee name
KYC format
Indemnity bond

RTGS Details
 General Steps involve:
 Present the original bill of lading and surrender it to the forwarder/carrier
 If the bill of lading is already marked as surrendered, telex released, or is a sea waybill,
this can be presented instead.
 The assigned broker can present an authorization letter from the consignee to transact
on their behalf.
 Provide these details to accounts dept. for payment confirmation.
 Pay all destination charges billed by the forwarder/carrier, as stated in the freight
invoice
 When the party provides required documents, your person must be present at the D/o
counter along with KYC whenever his token no. reflects on the screen

1. For requesting invoice for D/O on Odex

 From the homepage of Odex website, select dropdown menu of ‘request’
 Select Liner requests for invoice request of particular shipping line
 On the right side of the page click the green tab ‘ New Request’
 Fill the required details and attach the documents
 Submit the request
 You will receive invoice with payment amount on registered email-id
2. for requesting invoice for D/O on email
 Gathering information on requirements for release of D/O from the shipping line on
mail.
 Sending the document requirement formats with the party.
 When the party provides filled required documents,
 These documents are sent to shipping line via mail
 Provide these details to accounts dept. for payment confirmation.
 Pay all destination charges billed by the forwarder/carrier, as stated in the freight
invoice
 After payment of necessary charges to shipping line, D/O is released
 Field persons personally handover these documents to the CFS
3. How to make a DO request and attach documents for e-DO
through ODeX

 select the e-DO Module with the location and click on the Arrow
button

 Go to DO Request from Document dropdown

 Then customer click on New DO Request option

 Updates the mandatory filled marked in RED,selects and attach relevant
documents as per shipping lines.
 Save the attachment and submit request