E-Flash No 16 - 3 December 2010

Recent Emergency Amendments

FIATA has presented the below statement at the recent ICAO Meeting in Canada last month:

As our membership acts as transportation intermediary for the vast majority of the commercial air cargo carried internationally by the world’s airlines. Our responsibilities include selection of carriers (surface and air), booking of cargo, transport to and from airport, verification of cargo as ready for carriage, in addition to accomplishing customs, security, transport, banking and insurance formalities.

FIATA believes that Governments and particular the US Governments should consult industry on establishing best methods to prevent terrorism and interference of cargo in transit.

FIATA believes the requirement that shipments from a shipper that does not have an established business relationship of more than 30 calendar days and an established shipping and billing address is not permitted, will prevent business development and does not support either a risk based approach to security and appears to defeat the objective of 100% screening of cargo being an accepted security measure.

FIATA believes that making the airlines the sole implementation of the MAWB Declaration. FIATA, being cargo industry specialists, believes airlines as well as governments and freight forwarders should be involved from the start in order to achieve a greater coordination hopefully resulting in a common platform of solutions.

FIATA believes and supports a risk based approach to security and acceptance that the persons handling cargo day to day are best positioned to provide workable feedback to governments in the introduction of security measures. The forwarder is also best placed to undertake shipment evaluation (who is the shipper, the recipient, viewing the cargo and other indicators) that would serve to highlight “red flag” shipment which might be of a dubious nature

FIATA supports a risk based multi-layered solution and not simply relying upon “knee jerk“ reactions of designed to remove the risk by banning certain cargoes.

FIATA further believes that reactive implementation of preventative measures does not support a risk based approach and would support implementation of proactive measures based on risk assessments considering the differences in carriage of personal effects on passenger aircraft, express mail, and cargo shipments.

FIATA believes that risks attached to passenger baggage and express cargo is not mirrored in general cargo handled from forwarders. The methodology of cargo movement coupled with the various pre advice requirements along with the unpredictable routing, potential off-loading of cargo is not an attractive one for terrorist. The pre-advise requirements significantly help to ensure cargo is not uplifted without prior knowledge of the consignee and their forwarder and the acceptance of the shipment being known and genuine.

Significant Changes and Amendments to the 52nd Edition of the IATA DGR (2011)

The 52nd edition of the IATA Dangerous Goods Regulations (DGR) incorporates all amendments made by the IATA Dangerous Goods Board and includes changes advised, at time of printing, by International Civil Aviation Organization (ICAO) to the 2011–2012 Edition of the ICAO Technical Instructions.

FIATA is participating with the active support of our Association Members to ICAO meetings with regards to Dangerous Goods and Security, where to we are invited by ICAO. There our FIATA delegates represent, promote and protect the interests of the International forwarding industry having in mind FIATA’s main objectives.

To see FIATA’s main objectives please click on http://www.fiata.com/objectives

You will find the IATA document on significant changes and amendments to the 52nd Edition of the IATA Dangerous Goods Regulations on our FIATA web-site under Downloads or click on this link:

http://www.fiata.com/uploads/media/IATA_DGR_52nd_Edition__English__Significant_Changes_Ahead__2011_.pdf

The 2011 Edition of the IATA DGR contains all the reformatted packing instructions developed over the last 4 years by the ICAO Dangerous Goods Panel. Provisions have been made for a transition period and therefore a guidance document was developed by IATA.

Another recommendable point of access for information to the changes for 2011 is the IATA web site:

http://www.iata.org/whatwedo/cargo/dangerous_goods/Pages/download.aspx

IATA/FIATA International Cargo Agents Training Programme

Air Cargo training is an important area in which FIATA’s Airfreight Institute, supported by FIATA’s Advisory Body Vocational Training continues to offer its membership the tools to improve professionalism and efficiencies within the global supply chain.

IATA Training & Development Institute (ITDI) and FIATA’s Airfreight Institute (AFI) have cooperated on air cargo training since 1978 providing courses and certification in air cargo, dangerous goods etc. The cooperation resulted is an internationally recognised, professional international training program with 6500-8000 students participating annually during the recent years.

For Information on the current courses offered and the programmes scope of expansion you may click on this link to our FIATA web-site: http://www.fiata.com/about-fiata

FAA proposes civil penalties for violating hazard materials regulations

The Federal Aviation Administration is proposing a $140,000 civil penalty against K-Mart Inc., of Royal Oak, Mich., for allegedly violating Department of Transportation hazardous materials regulation and a $168,000 civil penalty against Radiology Corporation of America Inc., of Delray Beach, Fla., for allegedly violating Department of Transportation hazardous materials regulations.

The FAA alleges K-Mart offered two packages to UPS for transportation by air from Caguas, Puerto Rico to its returned goods center in McDonough, Ga. The first shipment, Sept. 21, 2009, contained 15 three-ounce containers of nail colour, which is classified as paint, a flammable liquid. The second shipment, Oct. 26, 2009, contained 18 five-ounce containers of aerosol sun block, a flammable gas. Neither shipment was declared to contain hazardous materials.

K-Mart allegedly offered the shipments for transportation by air when they were not packaged, marked, classed, described, labelled or in condition for shipment as required by regulations. UPS employees at the Louisville sort center discovered both packages leaking.

The FAA alleges Radiology Corp. offered a fibreboard box to Delta Airlines in Atlanta as checked baggage, Feb. 6, 2010. The box housed a soldering iron containing liquid butane fuel, a flammable gas, which is a hazardous material. The shipment was not declared to contain hazardous materials.

Radiology Corp. allegedly offered the checked baggage for transportation by air when it was not packaged, marked, classed, described, labelled or in condition for shipment as required by regulations. Delta employees at the Atlanta airport discovered the shipment before it was loaded on an aircraft.

Both companies have 30 days from receipt of the FAA’s civil penalty letter to respond to the agency.

For more information please visit www.faa.gov.

European Advance Cargo Declaration Regime

The European Advance Cargo Declaration Regime will finally enter into force on 1 January 2011. A number of shipping companies are already complying with it. However, compliance will be mandatory from that date. The Regime aims to tighten security in respect of goods entering or leaving the EU by means of more efficient customs controls and a common risk management framework. The idea behind it is to identify high risk cargo in advance of a vessel’s arrival so that authorities can take proper action. FIATA members are kindly requested to fulfil their tasks. FIATA has constantly informed its members on this important issue. (Source BIFA)

INCOTERMS 2010

FIATA kindly reminds you that the new version of the INCOTERMS 2010 will come into force on 1 January 2011. You should make yourself familiar with the text and changes. In order to avoid misinterpretation of the INCOTERMS during the transition period we recommend that you add the INCOTERMS followed by the year of the implementation; according to the version your contract has been negotiated (e.g. CPT (2000) or FCA (2010) etc.).

3 December 2010

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