• Parliament passed the Bills of Lading Bill, 2025 that aims to update and simplify the legal framework for shipping documents.

• The Bills of Lading Bill was passed by the Lok Sabha in March this year.

• A bill of lading is a legal document that is issued by a carrier to the shipper. It contains details about which goods are being shipped, where the shipment is coming from and going to, as well as details of the shipper, carrier, and consignee.

• The bill of lading is evidence of a contract and is a legal document. It actually is not a contract.

• Union Minister of Ports, Shipping and Waterways Sarbananda Sonowal moved the Bill for consideration and passage by the Upper House on July 21.

• It was passed in the Rajya Sabha by a voice vote.

• The proposed legislation will replace the colonial-era Indian Bills of Lading Act, 1856, providing a more modern and user-friendly approach to maritime shipping.

Why the govt brings in new law?

• The current law, a brief three-section Act, primarily governs the transfer of rights and confirmation that goods were loaded onto a vessel. 

• With the shipping industry evolving and the global trade landscape changing, there is a pressing need for India to adopt a more comprehensive and understandable law that aligns with international standards.

• The new legislation aims to simplify the language and reorganise provisions without altering their underlying substance. It also empowers the central government to issue directions to facilitate the law’s implementation along with an inclusion of a standard repeal and saving clause, while eliminating the colonial legacy of the 1856 Act.

• The modernisation of the Bills of Lading Act will support India’s growing role in global trade, making it easier for businesses to navigate shipping processes while reducing disputes.

• It will eliminate archaic provisions and align India’s maritime laws with global standards, enabling smoother and more secure shipping practices.

• These changes will bring numerous benefits, including streamlined business processes, reduced litigation risks, and improved clarity for carriers, shippers, and lawful holders of goods. The updates are expected to foster a more efficient and reliable shipping environment.

• By simplifying the language, reorganising provisions, and empowering the government to better implement and manage this legislation, it will create a more business-friendly environment that will reduce legal complexities and foster greater trust in our maritime trade.

(The author is a trainer for Civil Services aspirants.)