Dive Brief:
- CMA CGM, Evergreen Line, Hyundai Merchant Marine and Yang Ming joined the Digital Shipping Container Association (DCSA) — an organization formed in April to create digital standards for the ocean shipping industry. These new members bring the number of carriers in the organization to nine, according to a press release emailed to Supply Chain Dive.
- All but CMA CGM are still awaiting regulatory approval. If approved, the nine carrier members will represent 70% of the market. CMA CGM was a previously unannounced founding member of the organization, according to the release.
- Henning Schleyerbach, currently senior director of customer relations at Hapag-Lloyd (a previously announced member) will move into the role of DCSA chief operating officer in July.
Dive Insight:
Discrete solutions for use between shippers and carriers have become more common, but digital tools that connect the links and stakeholders through the supply chain are still few and far between.
"It is critical to our success that the standards developed will be implemented, and the commitment and engagement of many container shipping lines is therefore crucial," DCSA CEO Thomas Bagge said in a statement.
As Bagge said, this effort to create digital standards for the shipping industry so that freight can be tracked by various stakeholders requires buy-in from as many carriers as possible.
The top-line intention is to speed up efforts to digitize ocean shipping, a DCSA spokesperson told Supply Chain Dive in April. Several shipping lines have recently upped their digital game, as tools like instant booking and digital customs clearance gain prevalence.
The confirmation of CMA CGM's involvement means both major blockchain initiatives in ocean shipping — TradeLens and the Global Business Shipping Network— are represented in DCSA. The efforts have a similar goal of digitally connecting the links in the ocean supply chain.
Though the standardized language DCSA aims to establish is not directly aimed at the various blockchain traceability initiatives in the industry, standards are an important precursor to their success. The same spokesperson emphasized that though DCSA's work will be material to such blockchain traceability efforts, it will have much broader impact, allowing stakeholders to develop and adopt a variety of digital tools faster.
