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A road carrier's CMR liability is capped in advance at 8.33 SDR per kilogram of gross weight lost. The Convention gives two legal routes to lift the ceiling: art. 24 (declaring a cargo value above the cap) and art. 26 (declaring a special interest in delivery). Both need an entry on the consignment note, the carrier's agreement and an agreed surcharge.
Why the 8.33 SDR/kg cap so often falls short
CMR liability is measured by weight, not by value. The SDR (the IMF Special Drawing Right) is a currency basket whose daily rate is published by the IMF and national banks. Multiply 8.33 by that rate and the cap comes out at only about ten euros per kilogram. For steel or water-filled pallets that is generous. For electronics, pharmaceuticals, cosmetics or machine parts, where a single kilogram is worth hundreds or thousands, the cap covers a fraction of the loss. We break the mechanism down in our note on the 8.33 SDR/kg limit.
The maths is simple. You ship a pallet of electronics worth 120,000 EUR weighing 300 kg. At the cap, CMR compensation is in the low thousands, not 120,000. You absorb the gap yourself unless you raised the ceiling or insured the cargo in advance.
CMR article 24: declaring the value of the goods
Art. 24 lets the sender declare on the consignment note a value higher than the art. 23 limit. Against an agreed surcharge on the carriage charge, that declared value replaces 8.33 SDR/kg as the compensation ceiling. Enter 120,000 EUR, and on a total loss you claim up to that figure rather than a weight-based calculation.
- The declaration covers the value of the goods themselves (loss, shortage, damage).
- It must appear on the CMR consignment note, not in a side e-mail.
- The carrier will usually charge a surcharge proportional to the added risk.
- It does not remove your duty to prove the actual amount of the loss.
CMR article 26: declaring a special interest in delivery
Art. 26 covers loss that the value of the goods alone does not close: penalties for a stopped production line, a lost contract, the cost of an express replacement run. The sender enters an amount of special interest on the note and, against a surcharge, may claim additional compensation (for example for delay) up to that amount, beyond the Convention's ordinary limits.
This is the tool for time-critical freight: a trade-fair delivery with a fixed build-up date, a component that halts a factory, seasonal goods with a narrow selling window. Without this declaration, CMR compensation for delay is limited to the carriage charge.
Art. 24 vs art. 26 vs cargo insurance
The three mechanisms protect against different things. They are not substitutes and often work together.
| Instrument | What it raises/covers | Condition | Who pays |
|---|---|---|---|
| Default CMR cap (art. 23) | 8.33 SDR/kg of gross weight | none, applies automatically | carrier liability insurer |
| Declaration of value (art. 24) | full value of goods up to the declared sum | entry on CMR + surcharge | carrier/insurer, if covered |
| Special interest (art. 26) | additional loss, e.g. from delay | entry on CMR + surcharge | carrier/insurer, if covered |
| Cargo insurance | value of goods regardless of carrier fault | sender's/owner's policy | cargo insurer |
A practical caveat: the raised ceiling under art. 24 and 26 loads the carrier's liability, and its liability policy does not automatically extend to declarations above the cap. Before you enter a figure on the CMR, confirm the carrier's liability cover reaches the declared value, otherwise you raise the carrier's personal debt, not real coverage.
How to record it correctly on the consignment note
A declaration works only if it is on the CMR note and accepted by the carrier. E-mail arrangements or a note on the invoice are not enough.
- Enter the value amount (art. 24) in the field for declared value, with the currency.
- Enter the special-interest amount (art. 26) separately, with its basis (e.g. delay penalties).
- Agree and note the surcharge so the carrier's consent is unambiguous.
- Keep the signed CMR copy; it is your evidence in a dispute.
You will find the full wording in the CMR Convention (UNECE). For non-standard cargo, agree the entry with the carrier or forwarder before loading, not after a loss.
Declaration or cargo insurance: which to choose
Declarations under art. 24 and 26 raise the ceiling of the carrier's liability, but that liability is still conditional. The carrier can be relieved of it by proving exempting circumstances (inherent defect of the goods, force majeure). Cargo insurance works differently: it protects the value of the cargo against fortuitous events, including where the carrier is not liable. For high-value or sensitive shipments the safest answer is often both: a CMR declaration plus a cargo policy. We set out the differences in our note on cargo insurance versus carrier liability.
The most common sender mistakes
- Putting the value on the invoice or in an e-mail instead of on the consignment note. Outside the CMR the declaration has no effect.
- No agreed surcharge, so the carrier disputes its consent to the raised limit.
- Assuming the carrier's liability policy will automatically cover a declaration above the cap.
- Confusing art. 24 (value of goods) with art. 26 (additional loss, e.g. from delay).
- Declaring after the fact, once the loss has occurred and the note can no longer be changed.
Shipping cargo whose value far exceeds the 8.33 SDR/kg cap? Before the booking goes out, let us set the right CMR entries and the right cover. Get in touch and your dedicated contact will walk you through declaration of value, special interest and cargo insurance for the specific transport.
Is an entry on the consignment note sufficient on its own?
No, entering an amount on the consignment note does not apply unless the carrier agrees to the declaration and an additional surcharge on the carriage charge is accepted.
Step by step
- Assess cargo value. Determine if the total value of your consignment exceeds the standard weight-based limit.
- Consult the carrier. Request the inclusion of art. 24 or 26 declarations prior to dispatch.
- Agree on the surcharge. Confirm the required surcharge added to the freight rate.
- Complete the CMR note. Enter the exact agreed amount in the correct field of the consignment note.
- Check carrier consent. Ensure the driver or carrier confirms the document with a signature.
Definitions
- CMR (Convention on the Contract for the International Carriage of Goods by Road): An international treaty governing the rules and documentation for cross-border road freight.
- SDR (Special Drawing Rights): A supplementary foreign exchange reserve asset defined by the IMF used to establish liability caps.
- Declaration of value (CMR art. 24): A consignment note entry that increases the carrier's compensation ceiling to the specified cargo value against a surcharge.
- Declaration of special interest in delivery (CMR art. 26): An entry on the consignment note allowing recovery of supplementary proven losses beyond normal compensation.
- Consignment note: The central transport document proving the carriage contract and the taking over of the goods.
The OTSL role
At OTSL, we help shippers navigate international carriage rules and understand when the 8.33 SDR/kg carrier liability limit requires additional declarations. While coordinating your road transport (FTL), we ensure every detail on the consignment note is agreed and recorded accurately.
