Hong Kong's food and beverage industries are large and the demand for meat and vegetables has grown rapidly over recent years. However, as the supply of local meat and vegetables is limited, most of these products are imported from mainland China or overseas.

In this issue, we will discuss the difference between the transportation of frozen meat and frozen food in relation to marine cargo insurance.

According to Lloyd's Survey Handbook, meat refers to "whole carcasses covered with cotton stockinette, as for lamb, or in part carcasses as for beef." This type of meat is usually transported in a frozen or chilled state. For transporting frozen meat, whether as carcasses or boned-out in cartons, the meat should have been thoroughly frozen and properly spaced out in equipment designed for the purpose before consigning to cold storage or transportation. Exporting and importing frozen meat is controlled by stringent regulations, such as obtaining certificates of quarantine etc.

However, if the cow is already cut into pieces, such as veal tenderloin, and packed properly for sale, this type of meat is treated as frozen food. Regulations for exporting and importing frozen food are far less stringent because this type of food has already passed strict regulations when it was in the form of carcasses.

As such, insurance companies will impose the more complicated Institute Frozen Meat Clauses (A) in marine cargo insurance when transporting frozen meat, and when transporting frozen food, they will impose Institute Frozen Food Clauses (A) on the policy which is relatively less complicated and strict.

Taking out marine cargo insurance with appropriate clauses will ensure comprehensive protection in the most economical way.

Learn more about our insurance plans:
Cargo
Pleasure Craft