IBIA CONVENTION: Bunker Holding Argues Buyers Need 'Know Your Supplier' Attitude

by Ship & Bunker News Team
Friday November 8, 2024

Marine fuel buyers need to start developing a 'know your supplier' attitude to match the KYC processes carried out on them before getting into deals, according to bunkering group Bunker Holding.

Bunker Holding CEO Keld Demant discussed the increased need for due diligence into bunker supply chain stakeholders at the IBIA Annual Convention 2024 in Athens on Wednesday.

"I think all of us in this room have been used to KYC for a while now," Demant said.

"You need to know what they're doing, where they're from and so on; this is common sense.

"What I'd like to see is the whole bunker value chain putting more tough questions to one another; I'd like to see KYS.

"I'd like that any buyer ask their supplier -- no matter if it's a physical supplier or a trader -- how well are you financed?

"Do you have any insurance?

"Are you actually compliant? Are you investing in the green transition?

"These are the kind of things we really need to understand."

Demant went on to address the issue of how buyers can avoid suppliers who may be taking a less scrupulous attitude to potential sanctions issues in their supply chain.

"If it's too cheap to be true, it's probably wrong," Demant said.

"We as supplier, as the trader, definitely have a responsibility, but the buyer also has a responsibility to ask questions.

"If the price is so fantastic, you might ask yourself why."

Ship & Bunker News Team
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