An international consortium recently executed the first fully digitised shipment of goods under the UK’s Electronic Trade Documents Act (ETDA). Specifically, a consignment of valves travelled from Burnley, UK, to Singapore using the blockchain platform of supply chain provider LogChain. This historic transaction occurred shortly after the ETDA entered force on September 20, 2023. Consequently, the shipment marks a major milestone for ETDA trade digitisation and the legal recognition of paperless documents.
End-to-End Visibility via ETDA Trade Digitization
While many global reforms focus on documents of title, this shipment achieved a broader intent. LogChain utilised a full suite of digital logistics documents. These included electronic air waybills, purchase orders, and vehicle checklists. Furthermore, the process integrated gate receipts, security declarations, and packing lists into a single digital flow. Andrew McKeown, LogChain’s CEO, noted that true ETDA trade digitisation requires moving away from manual clipboards. Digitalisation must reach every level of the supply chain.
Strategic Importance of the UK-Singapore Corridor
Fort Vale, a manufacturer of valves and fittings, sent the shipment to its own facility in Singapore. Although no external buyer was involved, the move demonstrates the potential for frictionless trade. Graham Blanchard, Fort Vale’s Global Sales and Marketing Director, highlighted the benefits of enhanced security and cost savings. Therefore, this project serves as a practical proof of concept. Businesses looking to adopt ETDA trade digitisation can now significantly reduce the risk of delays.
Operational Significance of Non-Title Documents
The consortium highlighted that digitalisation must transcend mere transactional boundaries. For instance, warehouse receipts and ship’s delivery orders carry significant weight. This remains true even if they are not traditional documents of title. Because holding these documents is often a prerequisite for performance, their digitisation is vital. Consequently, aligning these records with the “spirit of the agreement” of the ETDA ensures efficiency. The entire spectrum of the supply chain remains legally compliant and transparent.
Courtesy – gtreview.com
