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NEWS


New information system set to boost freight security


Information available on freight destined for the UK and Europe is due for a major upgrade in the New Year, thanks to the EU-wide Import Control System, scheduled to go live on 1 January. ICS will, for the first time, give authorities information on consignments before they are loaded onto aircraft or ships in the country of departure, rather than such information having to be gathered on arrival, when it may be too late to prevent a security incident. “It will be an extra tool in the


box,” says Peter Day, managing director of specialist software


company Impatex. “ICS might for instance have flagged up the shipment from the Yemen before arrival.” Although its introduction


comes only a few weeks after the incident in which terrorists attempted to smuggle bombs from Yemen into the US on scheduled passenger and express freight aircraft, the ICS scheme has been a long time in the making, and is one of the responses to the 9/11 attack. Peter Day added that while implementation of ICS had been “a little chaotic” and that the testing period would


be rather short, Impatex was adapting its own Netfreight and ICE products. One issue that has arisen with ICS is that many airlines are set to charge a $11 per house airwaybill fee to input the data into ICS; however, Impatex customers can enter the information into their own system and have it transmitted direct to UK Customs and would not have to pay the fee. Impatex has also been testing


its links with UK Customs and is investigating using one or more of the CSP systems to transmit data on to European customs authorities; this latter


will probably come about a few weeks after the UK links have been set up, he said. However, Andrew Traill of the Shipper’s Voice cautioned against over-reliance on ICS before the system was fully functioning. “There could be a real danger in people thinking that ICS is giving them all the data on consignments when in fact the information is incomplete. And if the introduction of ICS is chaotic, that is something that criminals and terrorists could take advantage of.” He added that experience with the US ‘10+2’ system also showed that while


data was being collected, the authorities were not necessarily yet doing anything with it. In Ireland, Luke Egan, a partner


in the online Tradefacilitate network, said that many people in the forwarding and trading community were not aware of the significance of ICS. “For the first time, trade data will need to come before the goods themselves – and it’s mandatory that it does so.” He added that in some respects, forcing the trade to obtain this information in advance could actually be a benefit, as it would make the international supply chain run more smoothly. “Also, many people seem to be unaware that can you can be fined if you supply incorrect information.” He said that in contrast to the truncated timescale in the UK, Ireland’s Revenue department appears to be well on top of implementation; traders have


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been able send test messages to the system since June. Luke Egan added: “Carriers


will file the ICS message with EU Customs at least 24 hours in advance, but crucially the carriers are not responsible for the content – they receive this from the freight forwarders. Importers and freight forwarders need to ensure that their partners at destination can provide, in advance, complete and accurate shipment information, otherwise their cargo will not be allowed to load to the EU and they will incur additional costs such as storage and demurrage.” Moreover, he said, each EU


country is introducing penalties to importers for mis-declared information. Bearing in mind that fines in the broadly similar US ‘10+2’ scheme can be $5,000 per error, EU importers would do well to ensure they have correct processes in place, he said.


Cargo screening: carriers mull the options


The terrorist attempt to blow up a couple of cargo planes in late October brought the security risks inherent in air transport a little closer to home, writes Marcia MacLeod. The makers of scanning equipment, such as Britain’s Smiths Group, are gearing up for more orders; airlines, integrators and forwarders are reviewing their security measures and training for staff to ensure they remain vigilant; and there is a new emphasis on transferring the measures used on passenger aircraft to all-cargo flights. And, no doubt, the US Government will attempt to push forward 100% screening for all inbound cargo, currently targeted for 2013. The US’s Transportation


Security Administration (TSA) can ask any airline when a particular consignment was screened, and how; where any consignment is being shipped from and to, and who by; and what items were on which aircraft. In order to provide that information, airlines and handlers have to keep detailed records of all shipments received, handled and flown. Any forwarder or shipper that screens cargo also needs to store relevant data. Software aimed at handlers


should be able to do this already. Hermes Logistics Technology, for example, records and monitors a consignment from the time it arrives at the airport to the time it is loaded onto the aircraft. “A forwarder delivers cargo accompanied by a variety of


declarations, saying how he has handled the cargo while it is has been in their possession,” explained Mike Smith, product manager, speaking before the latest terrorist attempt. “If it has been screened by an approved forwarder, it may not need screening again. If it has come from an unknown shipper or forwarder, it will need an extra level of security. And our software will allow airlines to screen transit cargo coming from certain destinations or airlines” Airlines would prefer it if cargo


arrived at the airport already screened. “The TSA wants one- third of cargo to be screened by airlines, one-third by forwarders and one-third by shippers,” said James LoBello, head of security, Americas for Lufthansa.


“We would prefer forwarders to do it, but the TSA’s Certified Cargo Screening Program is facility-based, and a forwarder may not be certified at all its locations.” Lufthansa, like its competitors


in the US, uses a variety of screening methods. Not all cargo can go through an X-ray machine as it may be too big, too light, or too dense to produce a good image. Trace detection is often used as an alternative. “We have had to invest a lot of additional resources and money to get this right. It requires thought to lay out the facility and develop processes for sorting cargo and ensuring it flows efficiently.” But while one would think


that new security measures would require new IT systems to


record the sort of information demanded by the TSA, few carriers are yet prepared to make the investment. “The law has not stabilised enough to justify investment in IT,” LoBello said. “The rules keep changing. Once we believe the law has stabilised, we will review our IT system.” And ironically, considering the high tech nature of cargo screening equipment, the TSA still demands paper documents. “It will allow some information to be sent electronically,” LoBello explained, “but a lot of the documents the TSA requires are submitted in hard copy.” “The rule of thumb is to keep


it simple,” added Dave Shepherd, senior VP Europe and Americas for BA World Cargo. “We use Excel spread sheets to record


screening information because TSA wants data in different formats, and we have to be able to respond to that demand.”


Europe bans


Yemen cargo European countries, along with Dubai, moved quickly to ban airfreight from Yemen. Germany also halted twice- weekly flights operated by state carrier Yemenia altogether, although it relented on 13 November allowing passengers, but not unaccompanied freight to fly to Frankfurt. Other Yemenia flights to Paris have continued on a-passenger-only basis.


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