Delayed Certification To Handle Dangerous Goods Has Cargo Companies Worried

SS Cargo and Logistics Services, which provides international ocean freight services for imports and exports, is in a fix. Its dangerous goods (DG) certification expired in May 2024 but it is unable to get a new one because of a change in guidelines.

Before the new guidelines were implemented, companies like SS Cargo would get DG certifications valid for two years and get renewals much before the expiration date.

“The agency that was training our staff and assisting with certification cannot proceed with the training programme as they are not compliant with the Directorate General of Civil Aviation’s (DGCA) new regulations for dangerous goods training,” said Shashipal Sharma, director of SS Cargo and Logistics, told The Core.

Dangerous goods are products or substances that might endanger health, safety, property, or the environment. Some of the dangerous goods can be classified as aerosols, lithium batteries, infectious substances, fireworks, dry ice, gasoline-powered engines and machinery, lighters, and paint.

This has affected SS Cargo’s business as several airlines don’t want to work with them until they get the certification.

While this seems like an easy problem to solve, it isn’t. Agencies in India that have been training for DG handling can’t be accredited by the International Air Transport Association (IATA), unless certified by DGCA. The new rules, along with the trainers themselves waiting for accreditation, are spelling trouble for import-export companies that handle dangerous goods.

A Series Of Delays

The International Civil Aviation Organisation (ICAO) changed the training mandate on January 1, 2023. India was not ready for the implementation and requested an extension until August 31, 2023. This deadline was later extended to April 1, 2024, with the expectation that training academies would manage the transition. Despite those exporters, agencies and airlines with expired certificates submitting the required documents, the regulator found that it did not meet their expectations, hence causing delay.

Sharma explained that under the new guidelines, only a few agencies are approved for the updated training programme. After an extensive search, they found one approved agency, but due to the limited number of trainers, there is a long waiting list.

“As per IATA rules, we need to train at least two of our staff members under DGR. These trainings are expensive, costing about Rs 27,000 per person. The new agency, dealing with high demand, is asking for higher payments and advance booking to secure slots,” Sharma added.

How Does One Get The Certificate?

DG certifications are meant for exporters, shippers, agencies, goods forwarders, and airline staff to learn how to handle dangerous goods properly and label them. This is crucial for public safety as goods are transported from one place to another.

The IATA has extensive guidelines on how to safely do this. Agencies first need to get accredited and then get two of their staff members trained in a five-day course by the IATA which is valid for two years before they pass on the training to cargo handlers in companies like SS Cargo.

“Once the certificate expires, they need to undergo another refresher course for three days that is again renewed for two years. The DGCA of late has pressed the pause button to conduct any DGR training,” Yogesh Bhandari, a veteran in the aviation industry and managing partner at AVIA Training and Consulting told The Core.

Shippers are mandated to complete a Shipper’s Declaration, providing exhaustive details about their cargo. Failure to accurately document and label dangerous goods can lead to severe consequences, including liability for any mishaps during transit.

“IATA's regulations are stringent, ensuring that all shippers comply to maintain safety standards in air transport. Non-compliance not only violates IATA regulations but also poses significant risks to aviation safety,” said Bhandari.

The lack of training institutions for this is also an issue.

“To ensure a sufficient number of certified individuals capable of conducting dangerous goods programmes according to DGCA and international standards, adequate numbers of well-qualified and approved dangerous goods trainers are crucial,” Balasubramaniam P, founder and CEO of Air Cargo Consultancy International Services (ACCIS) told The Core.

Confusion, Confusion

With the DGCA hitting the pause button on training, officials are confused about how to go forward.

An official from a leading airport infrastructure group told The Core, “Previously, our recertification process involved a single submission of documents that were approved immediately. With the new rules, there is considerable confusion, and we are continually making changes with each new document request.”

The official submitted their documents for renewal in November 2023 and has been navigating the process without success since then. At the moment, only provisional approvals are being granted to training organisations while they await official certification.

Also Read: Logistical Nightmare: Why Indian Exporters Are Putting Ocean Freight Contracts On Hold

Meanwhile, the DGCA issued new guidelines in February 2023 for the training programme required to handle dangerous goods.

“My approval was valid until May 31 2024, a month after the new regime was effective from April 1, 2024. However, I couldn't offer the old course anymore as it was no longer valid under the new regime. There were differences in the way we approached the requirements and the expectations of the regulator,” said Radharamanan Panicker, founder and managing director at Dangerous Goods Management India. This caused a back-and-forth between the regulator and Panicker’s company

Panicker, however, believes that the issue is a temporary one. “It will in the short term but as everyone starts offering the course it will settle down. And the good thing is that the regulator has agreed to extend the validity of the previous certificate by three months.”