This document discusses risk management in logistics operations in Africa. It addresses key risks associated with contracts of sale, logistics contracts, banking/financing, and insurance. Effective risk management requires analyzing risks from the perspectives of various stakeholders, including sellers, buyers, financiers, logistics providers, and insurers. Key factors that influence risk assessments include the nature of cargo, types of transportation and storage, geography, applicable laws and regulations, costs, and dispute resolution mechanisms. A thorough risk analysis is needed to develop a risk matrix for each logistics project.

1. Risk management of logistics in Africa
Peter Lamb
Director
Norton Rose Fulbright South Africa Inc
6 September 2017

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3. Risks in a legal context
Main issues
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Contract of sale
Logistics contract
Banking/Finance
Insurance
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4. Contract of sale
• Passing of risk
• Ownership
• Obligations
• Liabilities
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5. Logistics contract
• Form (Charter party, bill of lading) or common law?
• Obligations
• What are the risks and who bears these?
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6. Banking/Financing
• How is payment going to be made?
• Is payment linked to the logistics arrangement?
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7. Insurance
• To what extent can risks be passed on to their underwriter?
• Credit guarantee insurance;
• GIT insurance;
• To Liability insurance
• Who is the carrier
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8. Risk assessment
• In each case you have to look at the various risks and consider
the risk from:
– The point of view from the seller
– The point of view from the buyer
– The point of view from the banker/financer
– The point of view from one or more of the logistics service providers
– The point of view from the underwriter
• Each angle we help you to develop the risk matrix
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9. What informs those points:
• Who is instructing you?
• Nature of cargo
• Types of carriage/storage/distribution
• Geography
• International conventions and local laws
• Costs
• Dispute resolution
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11. International
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Latin America
Bogotá
Caracas
Mexico City
Rio de Janeiro
São Paulo
* associate office
** alliance
Africa
Bujumbura**
Cape Town
Casablanca
Dar es Salaam
Durban
Harare**
Johannesburg
Kampala**
Nairobi**
Middle East
Abu Dhabi
Bahrain
Dubai
Riyadh*
Asia Pacific
Bangkok
Beijing
Brisbane
Hong Kong
Jakarta*
Melbourne
Port Moresby
(Papua New Guinea)
Perth
Shanghai
Singapore
Sydney
Tokyo
Central Asia
Almaty
Europe
Amsterdam
Athens
Brussels
Frankfurt
Hamburg
Istanbul
London
Luxembourg
Milan
Monaco
Moscow
Munich
Paris
Piraeus
Warsaw
Canada
Calgary
Montréal
Ottawa
Québec
Toronto
Vancouver
USA
Austin
Dallas
Denver
Houston
Los Angeles
Minneapolis
New York
San Antonio
San Francisco
St Louis
Washington DC
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13. Disclaimer
Norton Rose Fulbright US LLP, Norton Rose Fulbright LLP, Norton Rose Fulbright Australia, Norton Rose Fulbright Canada LLP and Norton Rose Fulbright South Africa Inc are separate legal entities
and all of them are members of Norton Rose Fulbright Verein, a Swiss verein. Norton Rose Fulbright Verein helps coordinate the activities of the members but does not itself provide legal services to
clients.
References to ‘Norton Rose Fulbright’, ‘the law firm’ and ‘legal practice’ are to one or more of the Norton Rose Fulbright members or to one of their respective affiliates (together ‘Norton Rose
Fulbright entity/entities’). No individual who is a member, partner, shareholder, director, employee or consultant of, in or to any Norton Rose Fulbright entity (whether or not such individual is
described as a ‘partner’) accepts or assumes responsibility, or has any liability, to any person in respect of this communication. Any reference to a partner or director is to a member, employee or
consultant with equivalent standing and qualifications of the relevant Norton Rose Fulbright entity.
The purpose of this communication is to provide general information of a legal nature. It does not contain a full analysis of the law nor does it constitute an opinion of any Norton Rose Fulbright
entity on the points of law discussed. You must take specific legal advice on any particular matter which concerns you. If you require any advice or further information, please speak to your usual
contact at Norton Rose Fulbright.
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