Amendment to Bill of Lading Act: A Boost to India's Digital Trade Ambitions

The Indian Bill of Lading Act 1856 has undergone a significant amendment, which was proposed on August 9, 2024, and passed on March 10, 2025. This amendment brings clarity to two key aspects:

Transferring Rights:
The amendment ensures that all rights in respect of the contract contained in the bill of lading, along with the property, are transferred to the consignee or endorsee of the bill of lading

Conclusive Evidence:
It also ensures that a transferred bill of lading in the hands of a bona fide holder is treated as conclusive evidence of the goods being laden on board.

This development is a significant step towards the digitization of trade, particularly in the context of electronic transferable records (ETRs). The UNCITRAL Model Law on Electronic Records (MLETR) aims to enable the use of ETRs both domestically and across borders. India has initiated efforts to adopt ETRs, with the MLETR tracker indicating that the country is at the "MLETR Socialisation" stage.

India has also made progress in the adoption of electronic bills of lading (e-B/L). The Indian Ministry of Shipping has initiated the development and adoption of e-B/Ls for use in India's maritime industry. The e-B/Ls are part of India's Electronic Port Community System (e-PCS), which aims to improve the ease of doing business in the country's maritime sector.

Furthermore, India and South Korea have already begun the electronic transfer of bills of lading (e-B/L) between their customs authorities. Startups in India are also developing solutions for real-time tracking of goods and shipping containers using RFID tags and the Internet of Things (IoT).