Nepal July. Directors: Nicolas FRATE. activity which. Govt. Affairs. Director,

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Noah Kennedy
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AUSTRALIAN FEDERATION OF INTERNATIONAL FORWARDERS Ltd.

2017 A. Current AFIF Board of Directors elected November 2016, including relevant portfolio responsibilities.

Committee Peter ANDREWS Director, Customs and Govt.

Committee Robert Kasch Director, Airfreight Committee Jackie McCOMBIE Director Seafreight Committee Jim MERRIGAN Director Airfreight

Melbourne JAS Forwarding Worldwide, Sydney Kuehne & Nagel, Sydney Globelink Intl, Melbourne Maltacourt Australia, Sydney In general

1 AUSTRALIAN FEDERATION OF INTERNATIONAL FORWARDERS Ltd. AFIF COUNTRY REPORT July 2016 June 2017 For presentation to Delegates attending the 44 th FAPAA ECM, Kathmandu, Nepal July 27-28, 2017 A. Current AFIF Board of Directors elected November 2016, including relevant portfolio responsibilities. Chairman: Paul GOLLAND Director Airfreight Committee Brownways Logistics, Sydney Directors: Daniel ANDERSEN Director, Airfreight Committee Peter ANDREWS Director, Customs and Govt. Affairs Lance Evans Director, Seafreight Committee David FINNIE Director, Seafreight Committee Nicolas Director, FRATE Customs Committee Robert Kasch Director, Airfreight Committee Jackie McCOMBIE Director Seafreight Committee Jim MERRIGAN Director Airfreight & Education Panalpina World Transport, Sydney ITM, Melbourne Evans Intl Freight Consolidators, Brisbane FINNAirSea Australia, Melbourne JAS Forwarding Worldwide, Sydney Kuehne & Nagel, Sydney Globelink Intl, Melbourne Maltacourt Australia, Sydney In general terms, the year has thrown up the usual array of issues confronting our industry, some of which are not unexpected, together with new and emerging challenges. My report to follow will summarise a selection of the major areas of air cargo related may be of interest to FAPAA delegates attending the 44 th ECM in Kathmandu, Nepal. activity which

2 1. Airfreight a) Aviation Security AFIF, as a member of the Australian Federal Government Department of Infrastructure Office of Transport Security (OTS) Cargo Working Group, is actively engaged with OTS to ascertain the direction of the Government future strategy and planning in matters related to aircargo security that would have an impact on our members. Amending Legislation: Known Consignor (KC); EACE; RACA changes: On Nov 1 st 2016, the Federal Govt. implemented the first stages of changes brought about by introduction of the Aviation Transport Security Amendment (Cargo) Regulation 2016, which introduces the Known Consignor and Enhanced Air Cargo Examination (EACE) programs; the latter enabling piece-level screening requirements for US bound cargo, to take effect as at July 1, To help our members & industry prepare for this, AFIF partnered with the OTS, Cargo Terminal Operators (CTOs) and a technical screening supplier, to deliver a series of workshops to our members, both in October 2016 ahead of the new legislation and more recently just prior to implementation, to help explain the changes. RACA & AACA requirements: Forwarders who, prior to July were Regulated Air Cargo Agents (RACA) would only remain so if they were willing to implement EACE and apply the relevant technical screening requirements, on or off airport. If not, they would be categorised within the lower level Accredited Air Cargo Agent (AACA) system. In the past, AACA s were only transport and warehousing businesses. It has transpired since July 1, 2017 that the only businesses who have continued as a RACA with EACE, to date, are the CTO s; Express Operators and an independent screening facility. Only RACA businesses are able to security clear cargo and issue a security Declaration (CSD or e-csd). All of these developments have had an impact in some way on the current Australian export air cargo supply chain and members and their customers have needed constant information and need to remain active with the implementation of these changes. AFIF has continued to be at the forefront of engagement with the OTS and communication with members to inform and help mitigate any negative commercial impacts of new regulations. b) IATA CAP and Annual Financial Review AFIF has recently taken senior legal advice in regard to the requirement for Australian IATA Cargo Agents to furnish annual financial reports for examination and evaluation by IATA in regard to the need, or otherwise, to post a Bank Guarantee (BG) or take out a DIP insurance. It has taken this action upon learning that under the proposed new global IFACP, any conditions relating to AFR will extend (be grandfathered ) into the new program when it is implemented in a country. The results of this advice will be discussed with the relevant IATA CEC committee in Australia, in the first instance. 2

3 c) IATA e-awb: update on current progress During the year IATA has engaged with key airlines and forwarders to refine e-awb Standard Operating Procedures (SOP s) to help industry with implementing and adopting e-awb. The problem still remains that despite 98% FWB utilisation by Forwarders in Australia, some airlines have no plans to introduce e-awb. In our region, Air New Zealand being one of them! 2. Customs Related Matters a. Australian Trusted Trader (ATT) Program During the year, the Australian Border Force began processing applications following the July 1, 2016 official start of the this new programme to facilitate Trusted Trader entities, originally based around the European Authorised Economic Operator (AEO) scheme derived from the World Customs Organisation (WCO) SAFE Framework of Standards. AFIF was heavily involved in the consultation process involving organisations representing Forwarders, Customs Brokers, Importers and Exporters and provide the opportunity to ensure that eligible Forwarders and Customs Brokers would also be admitted into the system in addition to importers and exporters, allowing our members to be in a position to take advantage of further programme benefits as they are developed. To date, around 25 Trusted Entities, including some freight forwarders and customs brokers have been admitted into the program with some 300+ applications in the system to be processed. The Australian Government will continue to work to facilitate Mutual Recognition Arrangements with the EU and other Countries and/or Regions to facilitate a more secure supply chain internationally. b. National Committee on Trade Facilitation (NCTF) and a trade Single Window to Government Australia, sometime ago adopted a National Committee on Trade Facilitation (NCTF) in line with our agreement with the World Trade Organisation (WTO) and has more recently had concerns about the way in which the NCTF is run; its objectives and how it meets its stated objectives. Industry has called for NCTF to look at ways to include a trades Single Window to Government. To further examine these issues, industry has sought funding to research these matters of concern and opportunity and this project is underway through the Centre for Customs Excellence Studies at Charles Sturt University. 3. Legal and Compliance During the year we have continued to provide members with both generic and specific guidance on relevant legal compliance matters that may have an effect on their businesses. We regularly consult with senior practitioners from prominent trade and transport law firms, affiliated to AFIF, in order to help resolve generic and specific legal issues on behalf of members. 4. General There are many other issues being handled at any one time and AFIF Directors and representatives are necessarily active on many committees and Boards. The following is a summary of the major national and international external committees: 3

4 The Department of Immigration and Border Protection (DIBP) National Cargo Facilitation Committee (NCTF):- The peak consultation body for liaison between Customs and Industry on trade facilitation issues. The Department of Immigration and Border Protection (DIBP) Trusted Trader Industry Advisory Group (IAG). AFIF were represented on this important sub-committee working to assist Customs develop this landmark progressive program for Australia. Department of Agriculture Biosecurity Division Industry Cargo Consultative Committee (DCCC) :- The peak body for consultation between the Government Biosecurity division and our industry. IATA Cargo Executive Council (CEC): AFIF has three representatives on the 5 person industry committee who meet with IATA and their Airline members to discuss IATA Resolutions and Agency Accreditation matters. Office of Transport Security (OTS) Aviation Security Cargo Working Group:- AFIF is represented on this committee who meet quarterly to review requirements in regard to the RACA and AACA Aviation Security programs. Brian Lovell, CEO of AFIF, also represents the Cargo Working Group on the peak Aviation Security body for Australia the Aviation Security Advisory Forum (ASAF). Australian Dangerous Goods Air Transport Council (ADGATC) The peak body representing movers of Dangerous Goods by Air. AFIF attends this group which meets with the Civil Aviation Safety Authority (CASA) on a regular basis. FIATA: FIATA is the World body of Freight Forwarder Associations. The various Institutes; Advisory Bodies and working committees discuss and develop projects to standardise and enhance worldwide forwarding practices and analyse and discuss a variety of international conventions that will affect our industry globally. AFIF represents members at the two Annual FIATA forums. The current AFIF Chairman and the CEO attend the meetings on behalf of members. In September 2015, AFIF Chairman Paul Golland was re-elected onto the Extended Board of FIATA as Vice-President for the Asia Pacific Region and is also an active member of the central committee of the Air Freight Institute. AFIF CEO Brian Lovell is a council member of the Advisory Body Security Matters. FAPAA (Federation of Asia - Pacific Aircargo Associations): AFIF Australia is part of the 19 Country / Region members of FAPAA and also holds the current position of permanent part-time Secretariat. FAPAA is very active in developing solutions to issues of concern to air forwarders of this region. The most recent meeting was held in Manila, Philippines in July Issues relating to IATA CASS, eawb and efreight, plus aviation security were once again high on the Agenda. 5. AFIF Events Reports a) 2017 AFIF National Conference Report. 4

5 The AFIF 2017 Conference was held at the RACV Royal Pines Resort Hotel, Gold Coast, QLD between May 10-12, The event was attended by 130 people, who provided positive detailed written feedback at the conclusion of the event. The Program covered all aspects of the forwarding business and a number of general business engagement topics as well, presented by high-profile Government agency and airline/shipping line presenters. b) Annual Charity Golf Day 2016 Report On August 18 th, 2016, 96 players in 24 teams lined up for the 12 th AFIF Annual Charity Golf Day, held at the Macquarie Links Golf Course in South Western Sydney. The fund raising activities included a live charity auction with some fine items of memorabilia. Other funds were raised from team participation, sponsorships, raffle prizes and golf competitions. After all costs had been taken into account, the resulting net margin for this year s beneficiary charity: Kookaburra Kids was in excess of $10, The total amount raised for various charities by AFIF members in the 10 annual charity golf days to date, has now exceeded $230,000! AFIF members and supporters are to be congratulated for their generosity! Brian Lovell Chief Executive Officer July 6th,

AFIF COUNTRY REPORT June 2012 May 2013

AUSTRALIAN FEDERATION OF INTERNATIONAL FORWARDERS Ltd. AFIF COUNTRY REPORT June 2012 May 2013 For presentation to Delegates attending the 40th FAPAA E.C.M., Negombo, Sri Lanka June 7-9, 2013 A. Current