About TAFA. TAFA Profile

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1 TAFA Country Report FAPAA 36 th Executive Council Meeting Bangkok, Thailand 5-6 June 2009 T h a i A i r f r e i g h t F o r w a r d e r A s s o c i a t i o n Page 1

2 About TAFA TAFA established: since 1986 Address: Thai Airfreight Forwarders Association (TAFA) 874 Ploenchit Road, Lumpini, Pathumwan, Bangkok, Thailand, Tel: Fax: URL: TAFA Profile Thai Airfreight Forwarders Association (TAFA) was founded in 1986 as a representative of freight forwarders in the industry and has played an important role in the economic development of Thailand for many years, especially with the export industry which has the active support of Government. Apart from airlines, one of the main companies in the forwarding business is the Airfreight Forwarder. The business operations can be divided into many different ways, for example, by plane, by truck and many other supporting services. Lack of discipline in operating those processes causes a lower-than-standard business competition. Cooperation and unity among those fellow forwarders is essential to maintain the honored status of the Association. The Association forms a neutral center which enforces rules and regulations and lifts the standard of services. Additionally, the Association also acts as a representative for all the forwarders. It negotiates with other Government and Non-Government Organizations, endeavouring to create the best outcome for all concerned. TAFA Objectives 1. To promote the Airfreight Forwarding business, support and assist in the problems of its members. This required negotiating with other organizations, in an effort to create mutual benefits for everyone involved. Significant movements in the world of Airfreight Forwarding business both locally and internationally were followed for the benefit of members. 2. To maintain cooperation and information exchange among members and also to acquire statistical information or documents about the Airfreight Forwarding industry, with approval from the involved members. 3. To raise the standard of Thailand's Airfreight Forwarding Industry and gain international acceptance. 4. To cooperate with the Government in maintaining the high standard of Airfreight Forwarding industry and enforce rules and regulations, ensuring that the operation functions properly. 5. To compromise business conflicts between members or between members and other organizations. 6. To take any legal action necessary, to achieve the Association's objectives. 7. To establish a non-political movement. T h a i A i r f r e i g h t F o r w a r d e r A s s o c i a t i o n Page 2

3 TAFA Members 2009 Current TAFA Membership Registration Ordinary Member Associate Member Total 139 Companies 99 Companies IATA Member : 63 Non IATA Member : Companies IATA Member : 6 Non IATA Member : 34 TAFA Committee Title Name-Surname Company Chairman Mr. Kasem Jaliyawatwong Harpers Freight Intl Air Cargo Co.,Ltd. Vice Chairman Mr. Phongsagorn Wattanarungsrikajorn Scanwell Logistics (Thailand) Co.,Ltd. Vice Chairman Ms. Urai Choothakarn Union Freight Forwarder Co.,Ltd. Vice Chairman Mr. Chaiya Thepsonthorn Pioneer Air Cargo Co.,Ltd. Vice Chairman Ms. Wilai Chalanuchpong TKK Logistics Co.,Ltd. Vice Chairman Mr. Nuthaweat Santisarun Atlas Transport Co.,Ltd. Hon.Secretary Mr. Voratat Tantimongkolsuk CTI Logistics Co.,Ltd. Hon.Secretary Asst. Mr. Keswin Na Ranong Hankyu Int'l Transprt (Thailand) Co.,Ltd. Hon. Treasurer Ms. Petcharat Kraikeratekong Hitachi Transport System (Thailand) Ltd. Registrar Mr. Somsak Thong-Ngok Pro Freight Forwarders Co.,Ltd. Registrar Asst. Mr. Charvanin Bunditkitsada JVK International Movers Ltd. Registrar Asst. Mr. Pipat Aphicholthikhul Geodis Wilson Thai Ltd. Directors Mr. Prabprung Paiboon -- Directors Mr. Passakorn Putkhao Handle Inter Freight Logistics Co.,Ltd. Directors Mr. Teeradej Santudkarn Hanshin Freight Int'l (Thailand) Co.,Ltd. Asso. Manager Ms. Ucharawadee Changping TAFA Honorary Advisor Mr. Keree Chaichanavong Trans Air Cargo Co.,Ltd. Honorary Advisor Mr. Monchai Jirakiertivadhana Mass Transport Express Co.,Ltd. Honorary Advisor Mr. Tienchai Mahasiri Airgo Travel and Cargo Co.,Ltd. Committee Representatives TAFA also liaises closely with the Thailand Government and Non-Government Agencies in the aspect of Air Cargo Business and participate in industry-related committees such as; - Working group of Asian Transportation and Logistics, Ministry of Transport - Subcommittee of the Logistic Trade Facilitation, Ministry of Commerce T h a i A i r f r e i g h t F o r w a r d e r A s s o c i a t i o n Page 3

4 - Committee of Thai Customs and Private Sectors, Thai Customs Department, Ministry of Finance - Committee of Global Logistics & Trade Facilitation Working Group, Thai Chamber of Commerce and Board of Trade of Thailand - Committee of Logistic Service Providers of Federation of Thailand Industry Member of National & International organizations TAFA is a member of the International Organizations. - Federation of Asia Pacific Aircargo Associations (FAPAA) - International Federation of Freight Forwarders Associations (FIATA) TAFA is a member of the National Organizations - Thai Chamber of Commerce and Board of Trade of Thailand - Thai Logistics Service Provider (TLSPs) Aircargo Business Development in Thailand Bangkok Airport Aircargo Statistics T h a i A i r f r e i g h t F o r w a r d e r A s s o c i a t i o n Page 4

5 Thailand e-customs Thai Customs has developed e-customs services for both e-import and e-export Entries which expectedly would be on full function system on April This is for the sake of being able to enhance Thai Customs efficiency by using electronic and paperless systems, such as; e- Declaration, e-manifest, e-payment, e-container, e-licensing, e-certificate. Moreover, the services as so-called Single window and One Stop Services also being developed in order to standardize level of Customs Brokers to meet the international standard in facilitation and security as being defined under World Customs Organization standard. T h a i A i r f r e i g h t F o r w a r d e r A s s o c i a t i o n Page 5

6 Default Insurance Program (DIP VIII) DIP VIII has been mutually established by Members of Thai Airfreight Forwarders Association & Members of Air Cargo Business Association on 1 st, October 2008, and will expire on the 1 st, October There will be two Insurance policies covering both debts and indemnity. Amount of Agents and Airline under DIP V DIP VIII Amount of Agents under DIP in each year Amount of Airlines Beneficiaries in each year DIP V DIP VI DIP VII DIP VIII The original policy would cover 45 days of aggregated sales amounting to not more than THB100 million (US$2.9 million) per agent, and total THB240 millions in aggregate. However the coverage was reduced to THB50 million and THB240 million in aggregate after the September 11 incidents. Since 2005 the limit has been re-adjusted to THB100 million. The DIP program has been very successful and there are 78 qualified agents and 40 airlines participating in the DIP Program 2009, ensuring over THB20 billion in sale volumes. Since the TAFA ordinary members were selected and monitored closely, we are proud to say that there has not been one single claim from participating airlines under this program. The Default Insurance Program (DIP) has also proved to be an effective solution for both airlines and agents alike to ensure financial security for Air Cargo Industry in Thailand. The DIP is also unique in Southeast Asian region Customs Free Zone at Suvarnabhumi Airport Suvarnabhumi Airport going to be emerges as one of the best aviation hub in the region, not only in terms of passengers but also in the logistics and air cargo aspect. Now the Thai Customs Department setup the area of cargo in the term of Customs Free Zone by attorney of Customs Free Zone Act 1999 in order to support national economic and globalization business opportunity. Measures for Aiding Airlines and Business Operators caused by Suvarnabhumi Airport Closure and World Economic Crisis To alleviate the hardship, the short termed and long-termed measures therefore have been established for all airlines and stakeholders operating at all airports under the AOT's supervision such as - Waive rental fees, facility usage in terminals fees, landing and parking fees for 10 days during Airport Closure; 26 November - 5 December Reduce rental fee and/or Terminal and Building Service Charge by 10 percent or all tenants for the period of 6 months, from January to June Extend the payment due date for rental fee and concession fee. T h a i A i r f r e i g h t F o r w a r d e r A s s o c i a t i o n Page 6

7 Road Transport Trend for Greater Mekong Sub region: R3-R9 The Greater Mekong Sub region (GMS) comprises of six Mekong riparian countries namely Cambodia, Lao PDR, PR China, Myanmar, Vietnam, and Thailand. The Program has started in 1992, when the political situation eased in the sub region, with the objective of facilitating economic cooperation and integration among the six countries of the Mekong Sub region. Since then, GMS has evolved gradually and now covers eight (8) priority sectors. It is now considered as a broad-based comprehensive scheme and regarded as a successful model of regional cooperation. T h a i A i r f r e i g h t F o r w a r d e r A s s o c i a t i o n Page 7

8 Publication and Exhibition TAFA Newsletter TAFA publishes TAFA Newsletter 4 issues per year which update not only in the air cargo development in Thailand, Logistics development but announce air cargo news to TAFA members as well. This publication provides to all TAFA members, related-organization and universities library, etc. Payload Asia November 2008 TAFA published the topic of Insurance alternative to bank guarantees: The Thai experience FAPAA - Payload Asia November 2008 Issue in order to present the success story of Default Insurance Program (DIP) in Thailand. Exhibition January March Joined Thailand International Logistics Fair 2008 by Department of Export Promotion on September TAFA was one of the key speaker in the 4 th IATA Air Cargo Claims and Loss Prevention in the session of Air Cargo Claims in Freight Forwarders Association on September Join in Bangkok International Gift Fair and Bangkok International House ware Fair 2008 by Department of Export Promotion on October The World Air Cargo Event 2009 by Air Cargo Media on February 2009 and join the conference as a key speaker in the session of Regional Development - Join in Thailand International Furniture Fair 2009 by Department of Export Promotion on March 2009 Training and Seminar IATA/FIATA Dangerous Goods TAFA is one of the IATA/FIATA Authorized Training Centers. We mainly organize IATA/FIATA DGR Initial and Dangerous Goods Regulation (DGR) Recurrent Course from 2007 onward. Course Year Amount of participants IATA/FIATA Dangerous Goods Regulation persons Initial Course IATA/FIATA Dangerous Goods Regulation Initial Course persons T h a i A i r f r e i g h t F o r w a r d e r A s s o c i a t i o n Page 8

9 Training Courses 2008 March 2009 : TAFA & Department of skill Development, Ministry of Labour TAFA and Department of skill development, Department of skill Development, Ministry of Labour have signed MOU on the Human Resources Development in Air freight Business since to serve the Industry. This covers both new and old employment which is more than 100 persons in the year Training Course 2008 March 2009 Under TAFA and Ministry of Labour 1. Supervisory Skill Technique 2. Service Mind 3. English for Ari Cargo Business Duration August 2008 : 3 Days August 2008 : 2 Days March : 5 Days Amount of participants 39 persons 23 persons 30 persons Training Courses 2008 March 2009 : TAFA & ACBA TAFA arranged the main courses in order to serve members in both Basic Cargo Tariff and Dangerous Goods Regulation. Training Course 2008 March 2009 Under TAFA & ACBA 1. Dangerous Goods Regulation (DGR) / TAFA-NCA-ACBA 2. Dangerous Goods Regulation (DGR) / AMSS 3. BASIC CARGO TARIFF / TAFA & CATHAY PACIFIC & ACBA Duration 2 courses / year June 2008 : 5 Days September 2008 : 5 Days 5 courses / year March 2008 : 5 Days April 2008 : 5 Days May 2008 : 5 Days June 2008 : 5 Days July 2008 : 5 Day 3 courses / year June 2008 : 5 Days August 2008 : 5 Days November 2008 : 5 Days Amount of participants 60 persons 85 persons 128 persons Seminar 2008 March 2009 TAFA was arranged the seminar for our members to enhance their skill in freight forwarders business such as; - Seminar Air Cargo Claims and Loss Prevention Seminar for Freight Forwarder on 14 January 2009 by TAFA, Thai Airways and Thai Star Surety - Seminar of Cooperative Education in Logistics industry on 27 January 2009 by TAFA and Suranaree University of Technology T h a i A i r f r e i g h t F o r w a r d e r A s s o c i a t i o n Page 9