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Functions and duties of company

  • Functions

The Vietnam – Cambodia barge transport service route is operated by Tan Cang Cypress Joint Stock Company, a joint venture between Saigon Newport Corporation (SNP) and Sun Cypress Shipping Company Limited (Hong Kong). The company has been in operation since April 2010 and is currently providing container transportation services by sea and river between Cambodia to Cai Mep Port and ports in Ho Chi Minh City area, and the company also exploiting container transport routes between ports in the Mekong Delta and facilities of SNP.

  • Duties

In the first phase, the company deployed container transport services by river between Cambodia and the Mekong Delta to Cai Mep Port and ports in Ho Chi Minh City area, building facilities and waterway connection systems. This is to meet the increasing demand for goods transportation between Vietnam and Cambodia.

In the next phase, the company will consider expanding the field of transportation activities from Northern and Central ports to Tan Cang – Cai Mep deep-water port and ports in the southern key economic zone. In addition, Tan Cang – Cypress Joint Stock Company also expanded the operation of the transport route connecting the facilities of Saigon Newport Corporation with the ports of Da Nang and Hai Phong.

The implementation of transport routes between Cambodia, the Mekong Delta region and Cat Lai port, ICDs, Cai Mep deep-water port after the establishment of Tan Cang – Cypress Joint Stock Company helps cut costs, transport, and facilitate importers and exporters in the Mekong Delta region in freight forwarding activities.

  • Overview of the Company’s business operations.

In the maritime sector, the company operates using the ‘Liner’ method: Liner vessels are ships that regularly run on a specific route, calling at predetermined ports according to a predefined schedule.

Liner vessels operate on a specific route and are often referred to as scheduled ships. The ship’s schedule is usually published by the company in the Vietnam Shipping Gazette monthly to keep customers informed.

The basic characteristics of a liner vessel are as follows:

  • Typically carries small-sized general cargo.
  • The structure of liner vessels is more complex than other types of ships.
  • Special transport conditions are determined by the shipping company and are printed on the bill of lading for the shipper’s release.

The company only accepts cargo for transport in one way:

  • Sending cargo as full containers (FCL – Full Container Load).

Chartering in liner vessel can be summarized into specific steps as follows:

Step 1: The shipper can directly or through a broker, request the broker to find and inquire about a liner vessel for transporting their cargo.

Step 2: The broker inquiries about the liner vessel by sending a liner booking note. The liner booking note is usually pre-printed with necessary information to be filled in when used. The shipper can book cargo space for a quarter or a year under a pre-agreed contract with the shipping company.

Step 3: The broker negotiates with the shipowner on some key terms related to loading and transportation.

Step 4: The broker informs the shipper of the results of the cargo space reservation with the shipowner.

Step 5: The shipper schedules the cargo delivery to the port for loading onto the vessel. the vessel schedule is published monthly by the company in the Vietnam Shipping Gazette maritime magazine.

Step 6: After the cargo is loaded onto the vessel, the shipowner or their representative provides the shipper with a bill of lading as per the shipper’s request. Once the bill of lading is issued, it signifies that the shipowner is responsible for the transportation of the cargo.

In this process of chartering a liner vessel, there is no formal contract signing. When the shipper wishes to send cargo via a liner vessel, they simply need to indicate their intent on the liner booking note provided to the shipping company. Once the shipping company agrees to accept the cargo for transportation, they issue a bill of lading to the shipper. The issuance of the bill of lading means that the shipowner is now responsible for carrying the cargo.

Currently, Tan Cang Cypress JSC have an average of 8 ~12 sailings per week.