Russian rail logistics makes deal to trim red tape on China-Europe run

THE YuXinOu (Chongqing) Logistics joint venture's first 84-TEU train from Chongqing to Duisburg has with it a CIM (Contract of International Carriage of Goods by Rail)/SMGS (Surface Movement Guidance System) Common Consignment Note to ease the way across the many borders it must cross.

"Introduction of CIM/SMGS common consignment note is a result of two years of work by the railways of all the transit countries involved," said Pavel Sokolov, CEO of the Russian rail logistics giant, RZDL. "Shippers save time due to the reduction of container demurrage at border stations."

The common consignment note is a customs document which is issued in both paper and electronic form according to European Union requirements for prior authorisation.

Using documentation to meet the legal requirements of both the Intergovernmental Organisation for International Carriage by Rail's (OTIF) CIM and the Organisation for Cooperation of Railways' (OSJD), SMGS rules reduce costs to shippers, as there is no need to issue new notes at national borders.

The first container train with a CIM/SMGS common consignment note was despatched by Russian Railways Logistics (RZDL) in cooperation with its Chinese subsidiary YuXinOu Logistics on October 31, reports New York-based International Railway Journal.

The train, which left Chongqing, China, destined for Poland and Germany, was carrying 84 TEU for various customers. Kaztransservice, Kazakhstan, and Belintertrans, Belarus were also involved in the inaugural service as RZDL's transit partners.

The system will also save money. The client is usually charged for re-issuing the CIM consignment note in place of SMGS note for each shipment at border stations. The introduction of the CIM/SMGS common consignment note will eliminate these extra payments.