Shipping --- Switch BL 點解

This case happens with Trading company. (means you are the middle man for the shipment, if manufacturer direct to customer, switch BL is not required)
if you buy goods from manufacturer(here we say: Seller) and payment to them under L/C or TT payment against Bill of Lading. The bill of Lading will show seller as shipper. Consignee: to order. Notify Party: your company; When you get the BL from seller, you need to switch BL with Shipping Company to Show: Shipper: yourselves. consignee : TO ORDER (or direct customer if your company agreed to). Notify party: Your customer.
for eg:
1. BL from seller:
shipper: seller
consignee; to order
notify: your company
2. switched BL with shipping company
Shipper: your company
consignee: to order
Notify: your customer.
it will be not necessary to switch BL if you will let seller to know your customer' name and let your customer to know seller(manufacturer)'s name. means:
3. Shipper: Manufacturer (can be your company if seller agree to show. but mostly seller do not agree )
consignee: to order
notify: your customer
Further steps:
received 1st BL, then write a letter to shipping company in Hong kong saying you request to switch BL with shipper: / Consignee / Notify. and you will take full responsibility for such changes and will pay the incurred charges. (cable fees and BL fees, usually few hundred dollars)
then shipping company will ask approval from the shipper on the BL if they will agree your company to switch BL. you are allowed to switch BL only after shipper agree to and signed a guarantee letter to shipping company. the shipper will agree only after they received full payment from you.

hope all are clear.
i

SWITCH BL: 通常用於多邊貿易，SHIPPER唔願意給CONSIGNEE知道廠家資料或SHIPPER唔願意給廠家知道收貨人資料。 有時係入LC時有問題才會出SWITCH BL。

但現在FORWARDER甚少接受發出SWTICH BL了，因為外國試過，因SWITCH BL發生糾紛，要FORWARDER賠貨價及運費。

1. It is of one kind of B/Ls that is produced and issued by the shipping agent / forwarder instead of the original B/L(Master B/L ) according to the trader' s request .
2. The Switching B/L is usually used in [Cross Trade] or [Triangle] shipment . More than two parties may be involved in [Cross trade] . With an aim of deceiving his supply-sourcing , the trader will do the business in this way .Below is of a general example :
Party A in Country A ,holding Master B/L ,sells goods --------> Party B in Country B ,who asks for issueing Switching B/L ( Second B/L ) resells goods and submits Switching B/L through his banker ------> Party C in Country C .
3. With an aim of deceiving his supply-sourcing , the trader will do the business in this way . In addition , in doing so , the trader will avoid from cargo/goods being handed over at the same time .

Hope this helps you .