Section 10.5 Final Draft Survey and Outturn Reports

As the last grab of cargo is lifted from the holds, or the continuous ship unloader completes its final sweep, the physical discharge operation concludes. However, several crucial steps remain to quantify the cargo discharged, finalize documentation, and commercially close out this phase of the voyage. The Final Draft Survey and the subsequent preparation of Outturn Reports are pivotal in this process. These determine the quantity of cargo actually delivered, which is fundamental for freight settlement, customs purposes, and resolving any claims for shortage or over-carriage. The Master and Chief Officer must ensure these procedures are conducted with the same diligence and accuracy as all preceding cargo operations.

1. The Final Draft Survey:

This survey is conducted once all cargo discharge operations are completed and before any significant ballasting or de-ballasting operations for the next voyage leg commence (beyond what was necessary during discharge itself).

A. Purpose:

To determine the vessel’s displacement in its light (or post-discharge) condition.

By comparing this final displacement (after accounting for all remaining deductibles like ballast, fuel, water, stores) with the vessel’s displacement before discharge commenced (from the initial draft survey at the discharge port), the actual weight of cargo discharged can be calculated.

This “ship’s figure” for discharged quantity is a critical piece of evidence.

B. Procedure: The procedure for the final draft survey mirrors that of the initial draft survey (as detailed in Chapter 7, Section 4), involving:

Reading all six draft marks (FP, FS, MP, MS, AP, AS) accurately.

Measuring the density of the dock water.

Meticulously sounding/ullaging all tanks containing ballast, fuel, fresh water, and any other liquids onboard.

Estimating other deductibles (stores, crew, etc., though these should ideally be similar to the initial survey unless significant changes occurred during the port stay).

Calculating the Net Corrected Displacement by applying all necessary corrections (trim, density, deflection if applicable).

Calculating the total weight of deductibles onboard at the completion of discharge.

C. Calculation of Discharged Quantity:

Weight of Cargo Discharged = (Net Corrected Displacement Before Discharge – Total Deductibles Before Discharge) – (Net Corrected Displacement After Discharge – Total Deductibles After Discharge)

Alternatively, if WBD is Weight Before Discharge (i.e., total weight of ship + cargo + all deductibles at arrival) and WAD is Weight After Discharge (i.e., total weight of ship + remaining deductibles after discharge, assuming no cargo remains): Cargo Discharged = WBD – WAD (Where WBD = Initial Displacement + Initial Deductibles, and WAD = Final Displacement + Final Deductibles, carefully accounting for any consumables used or ballast changes during discharge that are not part of the initial/final deductible snapshots). A more straightforward approach often used: Cargo Discharged = (Initial Displacement – Final Displacement) + (Ballast taken ON during discharge – Ballast discharged during discharge) – (Fuel/Water/Stores consumed or received during discharge). The key is consistency in accounting for all weight changes other than the cargo itself between the two surveys.

D. Role of Independent Surveyors and Ship’s Staff:

As with the initial survey, the final draft survey is often conducted by independent surveyors representing various parties (charterers, receivers, owners).

The Chief Officer must conduct the ship’s own parallel final draft survey.

All readings (drafts, density, key tank soundings) should be witnessed jointly if possible, or at least compared immediately.

Any discrepancies in readings or calculations must be discussed and reconciled on the spot if possible.

2. Outturn Reports:

An Outturn Report is a document that records the quantity of cargo discharged from the vessel, as determined by various methods, and often notes the condition of the cargo upon discharge.

A. Purpose:

To formally state the quantity of cargo delivered to the consignee.

Serves as a basis for final freight settlement.

Used by receivers for stock inventory and reconciliation with their own received weights (e.g., from weighbridges or silo measurements).

Essential evidence in case of claims for cargo shortage or damage.

Required for customs purposes in many ports.

B. Content of an Outturn Report: Typically includes:

Vessel’s name, voyage number, load port, discharge port.

Dates of arrival and completion of discharge.

Description of cargo (as per Bill of Lading).

Bill of Lading quantity.

Discharged Quantity as determined by Final Draft Survey (ship’s figure and/or surveyor’s figure).

Discharged Quantity as determined by shore figures (e.g., terminal weighbridge, silo readings), if available.

Any remarks on the condition of the cargo upon discharge (e.g., “discharged in apparent good order and condition,” or notes on any damage, contamination, wetness observed).

Details of any samples taken during discharge.

Notes on any shortages, overages, or discrepancies between figures, and any protests issued.

Signatures of relevant parties (e.g., Master/Chief Officer, independent surveyor, receiver’s representative, terminal representative).

C. Sources of Quantity Figures:

Ship’s Figure (from Draft Survey): Considered a primary measure.

Independent Surveyor’s Figure (from Draft Survey): Often taken as the most reliable independent figure.

Shore Scale / Weighbridge / Silo Figures: Provided by the terminal or receiver. These can sometimes differ significantly from draft survey figures due to inherent inaccuracies in shore scales, moisture loss/gain by the cargo, or handling losses.

Bill of Lading Figure: Represents the quantity shipped. The outturn quantity may differ due to natural shrinkage, moisture changes during voyage, or actual short/over shipment.

3. Dealing with Discrepancies in Cargo Quantity:

Discrepancies between the Bill of Lading quantity, the ship’s draft survey outturn, and the receiver’s shore figures are common and can lead to disputes.

A. Acceptable Tolerances:

For bulk cargoes, a small difference (e.g., +/- 0.5%) between shipped and outturn quantities is often considered normal due to inherent inaccuracies in all measurement methods and natural changes in cargo moisture content. Charter parties or sales contracts may specify an acceptable trade allowance.

B. Investigating Significant Discrepancies:

Re-check all Draft Survey Calculations: Both ship’s and surveyor’s figures should be meticulously re-checked for any mathematical errors or incorrect application of corrections.

Verify Tank Soundings and Deductibles: Ensure all liquids and other weights onboard were accurately accounted for in both initial and final surveys.

Compare with Shore Scale Calibration Records: If shore scale figures are significantly different, inquire about the calibration status and accuracy of the shore equipment.

Consider Cargo Characteristics:

Moisture Loss/Gain: Hygroscopic cargoes (grains, sugar, some fertilizers) can gain or lose moisture during the voyage depending on atmospheric conditions and ventilation, affecting their weight.

Dust Losses: Very dusty cargoes can experience some loss during handling at both load and discharge ports.

Settling/Compaction: Does not change weight but can affect volume and appearance.

Possibility of Unrecorded Cargo Remaining Onboard (ROB): Ensure holds were thoroughly discharged. Significant ROB would mean the draft survey outturn is not the true delivered quantity.

Possibility of Pilferage (Rare for Bulk, but theoretically possible for some high-value bagged portions).

C. Documentation and Protest:

If a significant discrepancy persists that cannot be reconciled, and it is likely to lead to a claim against the vessel (e.g., for shortage), the Master must:

Issue a Letter of Protest (LOP): Stating the ship’s calculated outturn quantity and protesting any significantly different shore figure if it’s being used as the basis for claims.

Ensure the Outturn Report is Claused: If the ship is asked to sign an outturn report based on shore figures that are disputed, it should be signed “for receipt only” or with a remark detailing the ship’s figure and the discrepancy.

Collect All Supporting Evidence: Copies of initial and final draft survey workings (ship’s and surveyor’s), density readings, tank sounding records, B/L, any correspondence regarding the discrepancy.

Inform Company and P&I Club Immediately: They will provide guidance on how to handle the dispute and protect the owner’s interests. An urgent P&I surveyor attendance might be necessary.

4. Importance of Accurate Documentation:

Legal Evidence: The final draft survey report and the outturn report are key legal documents in case of commercial disputes or cargo claims. Their accuracy, completeness, and proper signing are vital.

Commercial Settlement: They form the basis for final freight payments, despatch/demurrage calculations related to cargo quantity, and settlement between buyer and seller of the cargo.

Loss Prevention: Analyzing discrepancies over time can help identify systematic issues with measurement at certain ports or with certain cargo types, contributing to future loss prevention efforts.

5. Master’s and Chief Officer’s Responsibilities:

Master:

Overall responsibility for ensuring the final draft survey is conducted accurately and that the outturn quantity is correctly determined and documented.

Reviews and signs the final draft survey report (ship’s version) and the official Outturn Report, ensuring any necessary protests or remarks are included if there are unresolved discrepancies.

Liaises with the agent, surveyors, and company regarding any quantity disputes.

Protects the shipowner’s interests by ensuring cargo is not incorrectly declared short.

Chief Officer:

Directly supervises and/or conducts the ship’s final draft survey calculations.

Works closely with any independent surveyors, witnessing readings and comparing figures.

Prepares the ship’s figures for the Outturn Report.

Investigates any discrepancies.

Ensures all relevant data (tank soundings, drafts, density) is accurately recorded.

The final draft survey and the resulting outturn report are the definitive statements of the vessel’s performance in delivering the cargo. Meticulous attention to detail, accuracy in measurement and calculation, and robust documentation are essential for the Master and Chief Officer to protect the shipowner’s interests and ensure a fair commercial settlement for the voyage.