A practical guide to recovery when vessel disruptions destroy cargo value
By StilFresh Team
When a vessel carrying perishable cargo breaks down mid-voyage, the commercial damage often begins long before the cargo reaches port.
The recent Maersk Saltoro incident is a textbook example of how operational disruptions can quickly turn into a large cargo claims crisis.
The case involved a vessel carrying around 1,318 containers of Chilean cherries, representing nearly five million boxes valued between $60 million and $130 million.
The vessel departed Chile on 27 December 2024, carrying a large volume of cherries destined for the Chinese market. The cargo was expected to arrive 20 January 2025, in time for the critical Chinese New Year sales period.
However, on 13 January 2025, the vessel suffered a technical failure near Micronesia, leaving it adrift in the Pacific Ocean. The result was a delay of almost a month.
The vessel eventually arrived at Nansha Port in China on 17 February, roughly 28 days later than scheduled. By that time the commercial window for the cherries had already closed.
The delay had several cascading effects:
The Chinese New Year period represents the peak demand for Chilean cherries. Missing this sales window dramatically reduces market value.
Initial inspections reported thawing and mold in several containers, leading to cargo rejection and destruction by Chinese authorities.
The incident occurred during a season when Chilean cherry exports to China had already increased by over 50 percent, amplifying the economic impact across the industry.
The first action cargo owners must take is placing the carrier on formal notice of claim. Under many maritime conventions such as the Hague-Visby Rules, notice of visible damage must typically be issued within three days of delivery.
The notice should clearly state:
In many jurisdictions, a formal notice by email is sufficient.
Strong cargo claims are built on documentation. The recovery guide highlights several critical documents that cargo owners should gather immediately:
Without these documents, both insurance claims and recovery actions become significantly more difficult.
Cargo owners generally have two recovery paths.
If the shipment was insured, the cargo owner submits the claim to their insurer. Once the insurer compensates the loss, the insurer gains the legal right to pursue recovery against the carrier through subrogation. This process may take months or years, but the cargo owner receives compensation sooner.
If the cargo is uninsured, the cargo owner must pursue the carrier directly. This typically involves alleging breach of the carrier's duty to transport the cargo safely and within a reasonable time under the Bill of Lading contract.
Shipping lines rarely accept liability immediately. The Maersk Saltoro recovery guide identifies several defenses carriers may rely on:
Each of these defenses requires technical and legal counter-arguments supported by evidence.
The Maersk Saltoro case highlights a broader reality in global perishables trade. Perishable cargo does not simply depend on refrigeration. It depends on timing.
A shipment may arrive cold, but if it arrives too late for the market, the commercial loss can still be catastrophic.
For exporters and insurers, this means that risk management must consider:
The recovery guide summarises several key lessons: