Hong Kong’s Global Shipping Business Network (GSBN) has completed a landmark transaction involving electronic bills of lading, in a live cross-platform trade that also included banks.
GSBN, whose network of lenders, shipping lines and other companies accounts for more than half of containers handled around the world, said the transaction marked the latest development in its collaboration with Ice Digital Trade and IQAX.
The trio have previously completed trades where electronic bills of lading (eBL) were transferred from one platform to another, addressing a long-standing barrier to trade digitalisation, but have now expanded to incorporate trade finance banks.
The trade was between two textiles companies, Lenzing Group’s Thailand arm and Chinese company Jiangsu Dasheng Group.
The eBL was issued by New Golden Sea Shipping using IQAX’s platform, then transferred to HSBC Thailand using Ice’s CargoDocs.
At that point, it was presented to China Zheshang Bank (CZBank) on the same platform, before being surrendered by Dasheng using IQAX.
GSBN said that completing the transaction digitally end-to-end “demonstrates cross-platform connectivity and, importantly, successful integration of both shipping and banking networks”.
It said that because the transaction was underpinned by robust legal and liability frameworks, as well as P&I Club approval, it presents a “scalable, trusted pathway to digitisation”.
Connecting different eBL solution providers “is driving faster, more transparent, and more inclusive trade finance”, said GSBC chief executive Bertrand Chen.
“Interoperability provides the foundation, and the next frontier is seamlessly linking documentation with money.”
HSBC’s managing director and product head for Asia Pacific and global core trade, Venkatraman P, said: “eBL interoperability is a pivotal advancement in digital trade, not only supporting our commitment to scalable, digital trade finance, but also positioning us to harness future digital opportunities.”
The development will bring greater efficiency and lower costs for clients, said Wan Yang, general manager at CZBank, adding: “We are honoured to be the first commercial bank in China engaged in this pilot cross-platform practice of eBL interoperability.”
