BIFAlink December 2025

BIFAlink is BIFA's monthly magazine covering issues of importance for the logistics and supply chain industry.

The magazine of the British International Freight Association BIFA link December 2025

Building a relationship

with Ethiopia

INSIDE: BIFA in awards fi nal • Russian sanctions • Regime 42 changes • IMO net zero plan delay • 2025 Net Zero Business Census • Food imports report

Follow us @BIFA

Issue: 424

Steve Parker’s Column

A look back at our highlights W ould you believe it is December already. Where has the year gone? As we come to end of another year, I reflect on some highlights for BIFA and some of the changes we have made.

BIFAlink is the official magazine of the British International Freight Association Redfern House, Browells Lane, Feltham TW13 7EP Tel: 020 8844 2266 (A company limited by guarantee. Registered in England: 00391973. VAT Registration: 216476363) Director General Steve Parker s.parker@bifa.org Member Policy, Compliance & External Affairs Director Pawel Jarza p.jarza@bifa.org Member Support Director Spencer Stevenson s.stevenson@bifa.org Member Services Director Carl Hobbis c.hobbis@bifa.org Member Engagement Director Denise Hill d.hill@bifa.org Senior Policy Advisor – Ocean & Legal matters Robert Windsor r.windsor@bifa.org Policy & Compliance Advisor – Customs Igor Popovics i.popovics@bifa.org Policy & Compliance Advisor – Sustainable Logistics Jamie McKean j.mckean@bifa.org Communications Manager Natalie Pitts n.pitts@bifa.org Editorial Co-ordinator Sharon Hammond s.hammond@bifa.org Membership Supervisor Sarah Milton s.milton@bifa.org Web site: www.bifa.org E-mail: bifa@bifa.org Published by Park Lane Publishing peter@parklanepublishingltd.com Contributors Steve Parker, Robert Windsor, Spencer Stevenson, Carl Hobbis, Sharon Hammond, Igor Popovics, Denise Hill, Pawel Jarza, Natalie Pitts Note to media: If you wish to use items in this magazine that are older than one month, please contact the editorial co- ordinator to ensure that the item in question still reflects the current circumstances. Please be advised that BIFA DOES NOT OFFER LEGAL ADVICE. BIFA is not a law firm and the authors of this publication are not legally qualified and do not have any legal training. The guidance and assistance set out herein are based on BIFA’s own experience with the issues concerned and should not be in any circumstances regarded or relied upon as legal advice. It is strongly recommended that anyone considering further action based on the information contained in this publication should seek the advice of a qualified professional.

Training At the beginning of the year, we launched BIFA Bitesize and moved a considerable number of training courses onto the new eLearning platform. Over the course of the year nearly 8,000 courses have been completed. In addition, the delivery of face-to-face training continued and was busier than last year.

BIFA TV We upgraded BIFAlinkTV – rebranding as BIFA TV – built a studio and improved the output. And the viewing figures and subscribers continue to increase, suggesting that we are providing content of interest in a highly accessible format. This is our primary form of communication with Members and I would urge you to ensure you are subscribed to our YouTube channel (https://www.youtube.com/@BIFA_TV) and getting your daily dose of industry information. OFSTED Our work with the South Hampshire College Group means we support some of their logistics courses with our training. This was mentioned in the college’s OFSTED report and led to us being nominated and declared as a finalist at the recent Solent Maritime Awards. Ethiopia Whilst this was a bit left field, thanks to the UK Foreign, Commonwealth & Development Office, we have been supporting the trade association in Ethiopia and some of its key members. This meant I was able to visit Addis Ababa earlier in the year and we hosted a delegation from Ethiopia just a few weeks ago. As reported on pages 12-13 of this issue, a highlight of their visit was attending the Transaid showcase where we met Her Royal Highness The Princess Royal (Princess Anne) and a visit to the Ethiopian embassy to meet the Ethiopian Ambassador to the UK, Biruk Mekonnen. All this was part of a programme to increase trade between the UK and Ethiopia. Political engagement We really ramped this up in 2025, engaging SEC Newgate to help us. This led to us hosting a fringe event at the Labour Party conference where I was able to talk about our industry and UK border in particular. What 2026 brings I will share our vision for 2026 in my January column. Suffice to say we have a number of developments we want to make to help promote our industry and support growth. Lastly, let me say that when it finally arrives, I wish all of you a Great Christmas and a prosperous new year.

Director General

December 2025 | 3

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Contents

IN THIS ISSUE Click on the page to see full story

Page 6 Containerlines continue to shun Suez Canal

Page 7 Descartes publishes forwarder study

Page 3 A look back at our highlights

Page 7 BIFA in fi nal for Maritime Solent Diversity Award

Page 11 Regime 42 – Changes in France from January

Page 15 The 2025 Net Zero Business Census

Page 10 Russian sanctions – a reminder

Page 14 IMO delays net zero plan adoption: What it means

Page 18 BIFA goes gold at Transaid Showcase 2025

Page 20 The evolution of digital trade documents

Page 16 Food imports: report highlights BIFA concerns

Page 19 Transaid launches Christmas appeal

Page 22 Regional round-up

Page 26 Join us at the annual BIFA Liverpool Dinner

Page 21 BIFA TV

Page 26 Vehicle and transport safety at work

4 | December 2025

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BIFA Website News

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December 2025 | 5

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Industry News

Ian Matheson , from Impress Communications, reviews some recent news that might impact on Members’ business. Don’t miss Ian’s weekly news round up on BIFA TV, which can be seen on our You Tube channel. Subscribe by scanning the QR code.

Containerlines continue to shun Suez Canal route

en_bl2.pdf?la=en According to a report on the Shipping Watch website, DSV has overtaken DHL as the

world’s largest freight forwarder by revenue. IN THE AIR

ON THE OCEAN Ongoing conflict in Gaza and the West Bank is deterring container shipping lines from returning to the Suez Canal route, with safety concerns and falling spot rates weighing heavily, amid fears the Houthi forces could rescind their ceasefire. Analysts warn that a large- scale return to the Red Sea would flood the market with capacity, and lead to further rate reductions. Major container shipping alliances have undergone a significant restructuring since February 2025, with Ocean Alliance now leading capacity,

MSC pursuing an independent strategy, ONE, HMM and Yang Ming regrouping as the Premier Alliance, and Gemini Cooperation emerging as a new force, reported Queensland’s CZapp. This is now setting the framework for global container shipping capacity and competition. Read more here: https://www.czapp.com/analy st-insights/shipping-alliances- shape-global-container-mark et-since-february-rejig/ IN BUSINESS A recent Proofpoint report has revealed a growing wave of cyberattacks targeting trucking and logistics companies

through malicious remote access software. Cybercriminals are using fake logistics job postings and supplier correspondence to trick employees into downloading Remote Access Trojans. New OntegosCloud research shows freight forwarders are leaving 3%-5% of gross profit unclaimed through unbilled fees, underpriced lanes and capacity routing inefficiencies. As forwarders set their 2026 priorities, this matters: too many containerships, uneven demand and geopolitics will dominate the backdrop, but the one lever they can fully control is how quickly they turn data into daily commercial decisions. Read more here: https://indiashippingnews.com/ forwarders-leave-3-5-of-gross- profit-on-the-table-warns-onte goscloud/?utm_campaign=&ut m_medium=email&utm_sourc e=newsletter A new report by a coalition of multilateral trade bodies has highlighted the barriers that micro, small and medium enterprises (MSME) face in gaining Authorised Economic Operator (AEO) status and accessing other trade facilitation programmes. The World Customs Organization, World Trade Organization and the International Chamber of Commerce note that these schemes are too complex for MSMEs to benefit from, hindering their participation in international trade and harming global GDP growth. The full findings of the report can be read here: https://www.wcoomd.org/- /media/wco/public/global/p df/topics/facilitation/instrume nts-and-tools/tools/safe- package/omd_25_002_smar t-customs-propos1-

Air cargo demand growth is expected to slow in 2026 after a record run, but industry consultant Rotate sees reasons for optimism. It states that whilst improved reliability in ocean shipping will shift volumes back from air, in the longer term, it expects air cargo to grow about 3% annually in line with GDP, with South Asia and Southeast Asia outperforming. Capacity is forecast to rise 6-7% in 2026 as more widebody passenger and freighter aircraft enter service. Read more here: https://www.aircargonews.net /supply-chains/rotate- reasons-to-be-optimistic-for -air-cargo-in- 2026/1080895.article BIFA director general Steve Parker welcomed the news that the government has made a decision in favour of one of the two schemes put forward earlier this year to expand Heathrow Airport and deliver a third runway. Steve commented: “It is now time for everyone, including politicians of all parties, to pull together in the national interest and support the bold plans to expand and improve airport infrastructure at Heathrow in order to maintain the UK’s position as Europe’s most important aviation hub.” OVER THE LAND Mid-November saw the BBC release a documentary called Lorry Crime Exposed , which provided an interesting insight into an issue on which BIFA is actively engaged – freight crime and supply chain security. The documentary, which is well worth a watch, can be found on BBC Iplayer at the following link: https://www.bbc.co.uk/progra mmes/m002mgcd

6 | December 2025

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Wishing you all a very merry Christmas and a prosperous new year

From everyone at ASM

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BIFA News

BIFA in fi nal for Maritime Solent Diversity Award

Import Control System (ICS2): Are you ready? Members are reminded that the EU Import Control System 2 (ICS2) requirements will go live for road and rail movements from 31 December 2025. These changes will introduce new advance data submission obligations for traders moving goods into the EU and Northern Ireland. We explored this topic in detail in the August edition of BIFAlink , providing an overview of the regulatory changes and what they mean for BIFA Members. The article can be read at: https://online.flippingbook .com/link/587710/18/ To further assist Members with preparations, additional useful information is available in one of our recent announcements, which can be accessed via the link below. https://bifa.org/2025/10/3 0/ics2-latest-hmrc-

BIFA was selected as a fi nalist for the 2025 Maritime Solent Award for Diversity. The Diversity Award category, which is sponsored by the Royal Navy, is for an organisation that has demonstrated itself to be a changemaker in the realm of diversity. BIFA was selected as a finalist based on its close collaboration with the South Hampshire College Group (SHCG). The outcome of the collaboration was that a truly diverse group of people were able to be trained in skills highly relevant to logistics businesses, enabling them to gain employment and progression in their careers. BIFA also arranged for young freight forwarders in Member businesses to visit the college and speak directly to students to give them insight into the career opportunities in logistics and freight forwarding. This interaction between young forwarders and students is ongoing and making a real difference to the career choices made by the student population.

Steve Parker, BIFA director general, and Paul Cunningham, BIFA regional representative Solent, at the Maritime Solent Awards ceremony

develop over the coming months and years, not just in the Solent region but in colleges across the UK. BIFA extends sincere thanks to the team at the SHCG who are highly proactive and committed to all aspects of the collaboration. The awards evening, brilliantly organised by Maritime Solent, reflected the vibrant maritime sector across the Solent region. To find out more about Maritime Solent, visit https://maritimesolent.com/

Although we did not win, being selected in the final three from many other nominated organisations reflected the impact BIFA has made through this collaboration with the SHCG. BIFA will continue to strongly promote diversity across the logistics sector and would like to thank Members for the support given to this initiative, which we intend to grow and

Descartes publishes forwarder benchmark study

Descartes has now published its 2025 edition of Descartes’ Forwarder & Broker Benchmark Study, which can be viewed at https://www.clecat.org/medi a/2025_10_bfes_benchmark _survey.pdf The study, which is now in its ninth year, draws insights from more than 430 freight forwarders and customs brokers worldwide, including many from Europe. Both BIFA and CLECAT have encouraged their respective Members to respond to ensure an accurate reflection of their views. The 2025 survey highlights a

digitalisation and automation, smaller firms remain constrained by limited resources and are focusing on process optimisation and cost control. Among the key findings are: • Global instability remains the top concern (60%), followed by tariff volatility and compliance costs. • 67% of respondents consider technology fundamental or highly important for growth, but only a minority fully integrate it into operations. • AI is emerging as the leading source of IT value and a central area for

planned investment in the next two years. • Tailored and high-value services continue to be the main competitive differentiators, as companies balance efficiency with customer- specific solutions. BIFA is pleased to have supported this initiative as it provides valuable information for the freight forwarding and customs clearance communities. BIFA would like to thank CLECAT and Descartes for providing the information that this article is based on.

sector facing continued instability and cost pressures, yet cautiously optimistic about the transformative potential of technology – particularly artificial intelligence (AI). While larger companies are accelerating investments in

8 | December 2025

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BIFA News

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to the direct debit being applied for in mid-January and mid-July each year. Please note: For those who pay their subscription annually, payment is required within 30 days of the invoice date. Why not look to pay for your BIFA membership via direct debit? If you don’t already use this payment method, it is worth considering, as it allows you to spread your subscription over two equal payments each year, which may help cashflow (50% in January and 50% in July). Should this be of interest to you, please contact Sarah Milton at s.milton@bifa.org who will be able to facilitate this payment method for you. Please note: the option to pay your 2026 subscription fee via direct debit will need to be arranged directly with Sarah Milton prior to the January renewal (no later than 15 December 2025). Should you have any questions, or require any database updates, please contact Sarah Milton – BIFA Membership, s.milton@bifa.org Don’t forget... it is important that you always let us know of any changes to key contacts, email addresses and location addresses, etc. Thank you for your subscription, and we look forward to supporting you into 2026.

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Reminder to all Members – membership renewal 2026

In mid-November you should have received a request for your BIFA Annual Member Company Declaration. This self-declaration is an important document which con fi rms to BIFA that you

continue to meet the criteria set for BIFA Membership. The Company Declaration document also confirms your existing subscription category. It is important that you review this to ensure that it reflects your

current situation and inform BIFA of any changes to the category for your subscription. Important: to ensure the correct subscription for 2026, Company Declarations must be returned no later than 15 December 2025. 2026 membership renewal subscription invoice Invoices will be issued to all Members electronically in early January for those who pay their subscription annually. For Members who pay by direct debit, invoices will be sent electronically 5-10 days prior

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The Limits of Liability for Carriers

In association with

By sea – Hague Visby rules (2 SDR): £2.06 per kg £687.71 per package

By air – Warsaw Convention (17 SDR): £17.54 per kg

BIFA STC: (2 SDR): £2.06 per kg

By road – CMR (8.33 SDR): £8.59 per kg

Insurance for the Marine & Logistics industries

(The SDR rate on 26 November 2025, according to the IMF website, was 1.03156)

By air – Montreal Convention (26 SDR): £26.82 per kg

+44 (0) 1628 532613

macbeths.co.uk

December 2025 | 9

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Policy & Compliance

Russian sanctions – a reminder

Dealing with sanctions and embargoes can be complicated, particularly where individuals adopt aliases, while information provided by government is often not in the easiest-to-read formats

M embers are reminded that the UK government has imposed a range of sanctions, including both trade and fi nancial measures, under The Russia (Sanctions) (EU Exit) Regulations 2019 (The Russia Sanctions Regulations). Further information can be found at: https://www.gov.uk/guidance/tra ding-under-sanctions-with- russia?utm_medium=email&utm _campaign=govuk-notifications- topic&utm_source=2bf2bdb6-39f1 -48d0-9928- 11d599136dee&utm_content=daily The purpose of the Russia Sanctions Regulations is to encourage Russia to cease actions: • Destabilising Ukraine, or • Undermining or threatening the territorial integrity, sovereignty or independence of Ukraine. Find detailed guidance on all sanctions at https://www.gov.uk/government/co llections/uk-sanctions-on-russia UK businesses are responsible for deciding on whether to trade with Russia. Business should expect a highly unpredictable trading environment as a result of: • Designations by the UK of individuals and entities under the Russia Sanctions Regulations, • Retaliatory measures by Russia. Affected trades The Russia Sanctions Regulations affect several aspects of trade with Russia, including: • The movement of goods to and from Russia, • The settling of financial transactions with suppliers and customers, • Trading with certain businesses and individuals.

BIFA has noted a significant increase in enquiries regarding sanctions and embargoes, particularly for shipments transiting the EU, where carriers are seeking clarification as to what checks are being carried out by shippers and freight forwarders to ensure that goods are not being delivered to a sanctioned individual. Sample case One such incident highlighted the issue – a shipment destined to a Russian national based in the Democratic Republic of the Congo transhipped via Brussels where it

was stopped. Investigation established that the Russian

“ BIFA has noted a signi fi cant increase in enquiries regarding sanctions and embargoes

individual was actually subject to sanctions and the consignment was seized by Belgium customs. Dealing with sanctions and embargoes is complex, particularly where individuals adopt aliases and information provided by government is often not in the easiest-to-read formats. There is commercially available software that can be used to check for sanctions and embargoes. In addition, we suggest that Members should consider seeking legal advice if they plan to continue trading with Russia.

10 | December 2025

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Policy & Compliance

Regime 42 – Changes in France from January 2026 As a result of the changes, some sellers may need either to apply for VAT registration in France or liaise with their trading partners to change the way they handle the import process

VAT registration in France as they could utilise the VAT number of their local fiscal representative. However, the upcoming rule changes in France regarding the requirement to be established in the EU to use limited fiscal representation mean that this arrangement will not be available to traders without EU- establishment from January 2026. The result of this change may be significant. Some sellers may either need to apply for VAT registration in France or liaise with their trading partners (if EU-established) to change the way they handle the import process altogether. Some may want to consider re- routing their consignments as this particular change is specific to France and the French VAT law. Whichever solution traders opt for, it is important that they and their agents act now as time is limited and some processes may be lengthy and require a lot of information to finalise. More information can be found under the link below: Procedure: Importing goods supplied to another EU Member State exempt from VAT | Portal of the Directorate General of Customs and Indirect Taxes.

O nward supply relief, or as many refer to it Regime 42, has always been a procedure attracting much attention. And there are a number of reasons for that. The absence of a fully centralised clearance system in the European Union allowed traders supplying goods onward to traders based in another member state to simplify the process and potentially improve their cashflow, as VAT would effectively be paid in the country of final destination. But for that reason, the regime was also subject to additional control measures by authorities as its abuse was common and frequently led to significant losses of revenue for governments in the EU, including the UK at the time.

After the UK left the EU, the use of the regime was limited to movements from Northern Ireland to the EU. At that point though, it became popular with UK traders selling goods under the Incoterm DDP (or similar arrangements) with the purpose of reducing the burden associated with the importation process to the importer. Limited fi scal representative In France, the key point of entry from the UK into the EU, limited tax representation made it possible for traders to appoint a limited fiscal representative to import goods under Regime 42 and supply them onward to another member state. This arrangement allowed UK- based businesses not to apply for

“ In France, ... limited tax represent- ation made it possible for traders to appoint a limited fiscal represent- ative to import goods under Regime 42

December 2025 | 11

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Policy & Compliance

Building an expanding relationship with Ethiopia BIFA’s international collaboration has seen it share best practice and knowledge with the Ethiopian Freight Forwarders and Shipping Agents Association

F ollowing the landmark signing of a was delighted to host a high-level delegation from the Ethiopian Freight Forwarders and Shipping Agents Association (EFFSAA) for a successful week-long visit to the UK in late October. The visit marked the next phase in a growing partnership aimed at helping to modernise Ethiopia’s freight forwarding and logistics industry and deepen institutional collaboration between the two Memorandum of Understanding (MoU) earlier this year, the BIFA secretariat

charity, with which BIFA has a longstanding partnership. Having also met with Transaid’s CEO, Caroline Barber, at the event, the EFFSAA is keen to explore how Transaid’s programmes to improve transport safety can be extended into the Ethiopian market. BIFA’s training team also introduced the Ethiopian delegates to the association’s professional development programmes — including the BTEC- accredited freight and customs courses — as potential models for training freight professionals in Ethiopia. Embassy reception The week concluded with a reception at the Ethiopian Embassy, hosted by the Ethiopian ambassador to the UK, Biruk McKonnen, who expressed his support for the work being done by BIFA in association with the EFFSAA to effect change and improvements to his country’s logistics sector. Steve Parker, BIFA Director General, highlighted the importance of practical collaboration. He said: “This visit represented a signi fi cant step forward in translating our agreement into action. By sharing expertise and building institutional connections, we are helping to create a stronger, more globally integrated logistics sector in Ethiopia — one that can compete on the world stage.” “At the heart of this initiative is the objective of improving cargo continuity along the corridor between Ethiopia and the UK – a corridor with both high growth potential and strong strategic relevance for Ethiopian export development. “The visit contributes directly to Ethiopia’s wider logistics reforms and industrial modernisation work, where trade facilitation is increasingly recognised as both an economic enabler and a credibility signal to investors.” Dawit Woubishet, EFFSAA President, expressed appreciation for BIFA’s continued support, noting that the visit had been invaluable in identifying actionable strategies for professionalising Ethiopia’s logistics industry. He said: “Our time in the UK has provided us with a clear understanding of how associations like BIFA support their members through training, advocacy and technical guidance. This will inform how we

trade associations, for the mutual bene fi t of their members, and trade between the two countries. The MoU, signed in Addis Ababa in June 2025, set out a framework for cooperation focused on capacity building, training and the exchange of best practice in logistics management and supply chain ef fi ciency. During the recent UK visit, EFFSAA representatives, along with staff from the Ethiopian Logistics Transformation Of fi ce, Ethiopian Maritime Authority, COSMOS, Ethio-Djibouti Railway, Ethiopian Railway Corporation, Panafric Global Logistics, Trademark, the UK FCDO and Triple Line Consulting, met with BIFA’s leadership team and secretariat staff. Stakeholder visits BIFA also arranged visits to several key stakeholder organisations allowing the delegation fi rst-hand insight into the UK freight forwarding and logistics sector. These included dnata at Heathrow, London Gateway port and the TT Club. Discussions focused on operational standards, regulatory frameworks, and approaches to professional training — areas identi fi ed as central to supporting Ethiopia’s rapidly developing logistics sector. Together, these engagements created a full- spectrum strategic learning experience – sometimes focused on operational issues, and sometimes on regulatory and procedural matters, as well as physical and institutional infrastructure. The programme included brie fi ngs on customs procedures, digitalisation in logistics and sustainable supply chain practices. During the week, two members of the Ethiopian delegation attended the Transaid Showcase and met with Her Royal Highness The Princess Royal (Princess Anne), patron of the sub-Saharan development

“ Discussions focused on operational standards, regulatory frameworks, and approaches to professional training — areas identified as central to supporting Ethiopia’s rapidly developing logistics sector

12 | December 2025

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Policy & Compliance

Members of the BIFA secretariat joined the Ethiopian ambassador to the UK, Biruk McKonnen, and representatives from EFFSAA at the Ethiopian embassy in London.

Left: dnata provided a tour of one of its Heathrow sheds

“ The EFFSAA visit serves as a strong demons - tration of how international cooperation can drive capacity building and foster sustainable growth within emerging

structure our own programmes and partnerships in Ethiopia as we work to raise standards and attract international investment.” The collaboration between BIFA and EFFSAA has already attracted attention within the wider logistics community and development circles, as Ethiopia positions itself as a key trade gateway for East Africa. The UK visit reinforced both organisations’ commitment to ongoing cooperation through: • Joint training initiatives tailored to Ethiopian freight professionals; • Advisory support on industry regulation and standards development; • Exchange visits and mentoring programmes to strengthen institutional capacity;

• Facilitation of international networking through FIATA and other global logistics bodies. Ethiopia’s logistics industry continues to expand in line with the country’s broader economic development agenda, but faces challenges related to infrastructure, digital adoption and workforce skills. The partnership with BIFA — one of the world’s most experienced and respected freight associations — is expected to help accelerate progress in each of these areas. As both associations reaf fi rm their commitment to collaboration, the EFFSAA visit to the UK serves as a strong demonstration of how international cooperation can drive capacity building and foster sustainable growth within emerging logistics markets.

logistics markets

December 2025 | 13

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Policy & Compliance

IMO delays net zero plan adoption: What it means for freight forwarders

After adoption of the International Maritime Organization’s Net Zero Framework was postponed, freight forwarders face increased uncertainty and additional complexity

I n October 2025, member states of the International Maritime Organization (IMO) voted to delay the adoption of the much- anticipated Net Zero Framework for one year. The decision follows months of political pressure and technical debate, highlighting the complex challenges that the maritime sector faces in its transition to low-carbon operations. The framework was initially agreed in draft form in April 2025 at the 83rd session of the Marine Environment Protection Committee (MEPC 83). The framework would have been the first modal global emissions standard, and it was designed to support the reduction of greenhouse gas (GHG) emissions from shipping – a sector responsible for around 3% of global GHG emissions. The framework proposed two key measures: a global fuel standard and a carbon pricing mechanism. Fuel standard The fuel standard would have required vessel operators to progressively reduce the carbon intensity of the fuels used in their operations, while the pricing mechanism aimed to penalise higher emitters and reward operators that exceeded performance targets. It is argued that passing the new regulation would have made the business case for moving from predominantly oil-based fuel to low carbon fuels. Although the draft framework received majority approval at MEPC 83, key countries – notably the US and several Gulf states – voiced

“ The decision follows months of political pressure and technical debate, highlighting the complex challenges that the maritime sector faces

strong opposition. Reports suggest that these nations engaged in lobbying to delay the framework’s adoption. The US contended that the framework could increase consumer costs and reportedly threatened to impose tariffs on countries that pushed for its adoption. Meanwhile, other member states raised a number of technical and market concerns, including: • Limited availability of alternative fuels such as methanol, ammonia and green hydrogen.

• Safety considerations surrounding the adoption of new fuels and the need for crew training. • Inadequate bunkering infrastructure to support alternative fuel supply chains. • A potential imbalance in the proposed emissions credit market, where demand for offsets could significantly exceed supply until the mid-2030s. • Uncertainty regarding the distribution of the proposed climate fund.

14 | December 2025

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Policy & Compliance

The 2025 Net Zero Business Census

As a result, the IMO voted to postpone the decision for 12 months, with discussions now expected to resume when the MEPC reconvenes in October 2026. The delay is a setback for those hoping to see the maritime industry take a decisive step towards decarbonisation. The framework, as previously noted, would have been the world’s first industry-wide global legally binding carbon pricing mechanism, which would have signalled serious intent from a significant sector. It was intended to replace the current patchwork of regional and national emissions trading systems. For freight forwarders, the continued fragmentation creates the potential for uncertainty and additional complexity. Shipping lines surcharges, while fragmentary regulation could result in higher administrative burdens and cost volatility throughout the supply chain. Dampened momentum The postponement may also dampen momentum for investment in alternative fuel development and green shipbuilding, limiting near-term opportunities for freight forwarders to offer low-carbon maritime options to their clients. While many have expressed disappointment at the delay, it may also provide a valuable window to refine the framework. The additional are likely to pass on carbon compliance costs through year will allow member states to address some of the unresolved issues surrounding fuel availability, safety standards, infrastructure readiness, and the equitable operation of the proposed climate fund. For the framework to succeed, it must balance ambition with practicality, ensuring that it is both effective in reducing emissions and feasible for implementation across the IMO member states. The pausing of the framework means continued near-term uncertainty over the types of fuel to be used and the associated carbon costs. However, if this period is used wisely, the eventual adoption of a stronger, more practical framework could deliver the global consistency that the sector needs for a more sustainable and resilient future.

A look at some of the key fi ndings of the latest iteration of the UK Net Zero Business Census, which gathered responses from 2,018 organisations from over 20 sectors.

The second annual UK Net Zero Business Census was formally published on 21 October 2025. The census is an annual survey designed to track UK business progress on net zero targets. BIFA was pleased to be a delivery partner for the census, with participation from BIFA Members. Net zero is defined as the point at which human-caused greenhouse gas (GHG) emissions into the atmosphere are balanced by human-caused removals from the atmosphere over a specified period. This is achieved through large- scale reductions in carbon emissions, followed by the offsetting of remaining unavoidable emissions through methods like reforestation or carbon capture. Despite the term being heavily politicised in recent months, the UK maintains its commitment to achieving net zero by 2050. This means the UK is legally committed to reducing GHG emissions by 100% compared with 1990 levels by 2050. This commitment is enshrined in law through a 2019 amendment to the Climate Change Act 2008. Benchmarking industry progress As business emissions are a major contributor to the UK’s total GHG emissions, the majority of UK organisations will need to reach net zero by 2050 to meet the target. The census aims to benchmark industry progress and provide actionable insights for organisations, policymakers and investors. The latest iteration of the census gathered responses from 2,018 organisations from over 20 sectors. Some of the key findings were: • High costs and access to finance are major barriers to industry progress on environmental targets. • Sustainability training remains a critical area for investment. • The need for greater regulatory certainty and standardised carbon reporting. • That net-zero actions which have a strong business case are more likely to be adopted, including energy efficiency measures and waste reduction practices.

• SMEs require specific support, particularly when it comes to

cascading data requirements from large organisations.

In response, BIFA will undertake a review of the census findings through its dedicated Sustainable Logistics Policy Group. This action will ensure that the interests and challenges of BIFA Members are effectively communicated to all relevant policymakers and key stakeholders. Furthermore, BIFA is already taking action to fill the training deficit in the industry through its development of the e-learning course ‘Introduction to Sustainable Logistics’. This resource will be released in early 2026 and made available to BIFA Members as part of their membership package. If members are interested in reading the report, it is available online at: https://businessclimatehub.uk/census/?ga d_source=1&gad_campaignid=209213097 54&gbraid=0AAAAAqZf9lHFtG3W4C0MPQpx sRlFbdLXu&gclid=CjwKCAiAw9vIBhBBEiwAra SATjVMp9wC9JBzMbKdXGoaHiwQXDRK2Fy6 3d8YoynkED6g3IANOl0jjhoClDgQAvD_BwE

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Policy & Compliance

Food imports: report highlights BIFA concerns A report by the Environment, Food and Rural Affairs (EFRA) committee on the commercial import of meat and plants has underlined many of the problems that have been troubling BIFA Members

O ne of the most from the European Union (EU) related to the movement of SPS goods (goods requiring sanitary/phyto-sanitary certi fi cation). On the day of the UK’s exit from the EU, there was fi lm of delayed lorries carrying rotting Scottish farmed salmon. Later, after the UK implemented controls, the attention shifted to problems with such goods being imported into the UK from the EU. Over a long period of time, BIFA Members expressed concerns regarding the processes implemented by the Border Target controversial aspects of United Kingdom’s (UK) exit

Operating Model (BTOM), especially the multi-agency Sevington Inland Border Facility. This location, including the Border Control Post (BCP) for the inspection of SPS goods, is located 22 miles inland from the port of Dover, the point of entry of laden vehicles. Members have always been concerned about the possibility of checks being evaded, a point made by BIFA on many occasions to the Department for Environment, Food and Rural Affairs (DEFRA) and Port Health. Unfortunately, these concerns were largely overruled – possibly because the traffic volumes and location meant there

were not many viable alternatives. The Association and wider membership have endeavoured to comply with the new processes. EFRA report The Environment, Food and Rural Affairs Committee (EFRA) has released two reports, one covering the commercial import of meat and plants, and the other looking at meat smuggling. Both are broadly similar in tone and conclusions; BIFA will focus on the former in this article. “DEFRA has no effective system for (biosecurity) border controls,”

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Policy & Compliance

states the report by parliament’s (EFRA) committee. The BTOM, which showed little comprehension of how trade and data flowed, was always going to be difficult to implement in practice. A fragmented and in certain ways under-prepared government at the frontier had the unenviable task of trying to devise procedures in an effort to implement flawed policies, which doubting traders had to follow. ‘Flawed’ BTOM The committee’s report highlights the fact that the unique location of Sevington “provides opportunities for exploitation by criminals”. In addition, poor IT systems and data gaps are among the main reasons for poor enforcement. The committee regards the operating arrangements as outlined in the BTOM as “flawed”, calling on the existing arrangements to be “reviewed and bolstered”. The report highlights that the current system is failing to provide a “robust, risk-based regime of inspections, is imposing excessive burdens both on responsible law- abiding businesses and local authorities, and may be creating

incentives and opportunities for criminals”. Perhaps the committee’s most damning statement is its comment regarding DEFRA’s unwillingness to publish inspection rates, noting: “We have concerns that they are not being published to avoid highlighting DEFRA’s historic non-compliance with its own targets.” It was highlighted that inspection rates and charging structures varied away from Dover, a situation that could be exploited to avoid costs and circumvent inspections. The committee called on DEFRA to clarify inspection rates, explain the differences between ports and demonstrate how risk-based inspection rates are being met. The agreement reached between the EU and UK on 19 May 2025 to work towards a establishing a common sanitary and phytosanitary (SPS) area was referred to. However, the reader should note that there has been little progress in the discussions; that the UK will have to rely on the present system; states can always withdraw from agreements; and, given the incidence of foot and mouth in the EU, satisfactory controls for all trade will be required.

The committee welcomed the high level of compliance amongst industry operators, indicating the latter’s awareness of their role in ensuring food safety and wider biosecurity. However, the concerns of businesses about value for money and inspection standards, etc, were noted in the report. From an enforcement viewpoint, funding, staffing and system access to enable them to carry out their legal obligations, all concerned the EFRA committee. What’s required The following statement from the committee sums up the situation: “Delivering a border system that is truly effective, efficient and equitable will require sustained investment, meaningful engagement and a commitment to learning from the lessons of the past.” One question that has been asked of BIFA is whether relying on local authorities to conduct checks is still the correct approach? It is this sort of fundamental question that needs considering and resolving. The full committee report can be found at UK-EU trade: towards a resilient border strategy.

“ Delivering a border system that is truly effective, efficient and equitable will require sustained investment, meaningful engagement and a commitment to learning from the lessons of the past –EFRA

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Charity

Stronger together — BIFA goes gold at Transaid Showcase 2025

BIFA’s leadership signals that corporate and trade-body support for charitable work is not a sideline activity — but a core part of how the sector presents itself

stakeholders and Transaid’s team to reflect on the progress made and the journey ahead. With the Patron in attendance, the event carried both gravitas and momentum. As Gold Sponsor, BIFA was at the forefront of the event’s profile, aligning the trade association with Transaid’s flagship gathering and helping to spotlight the charity’s impact. The Showcase format enables Transaid to highlight its latest programmes, share real stories of change and engage its supporter network. BIFA’s positioning helps ensure the logistics sector’s voice is heard and mobilised. The transport and forwarding sector has a unique role in enabling connectivity and supply chains globally. By backing Transaid, BIFA helps its membership align with purpose- driven initiatives beyond business-as-usual.

T he British International Freight Association (BIFA) has reaf fi rmed its commitment to global impact by stepping in as Gold Sponsor of the Transaid Showcase 2025 — an important event in the calendar of the international development charity Transaid. The event was graced by the presence of the charity’s Patron, Her Royal Highness The Princess Royal (Princess Anne), underscoring the depth of this partnership. A legacy of partnership For many years, BIFA has stood alongside Transaid, championing the charity’s mission to transform lives through safer, more available and sustainable transport across sub-Saharan Africa.

Transaid’s role in developing professional driver training standards, improving access to healthcare and delivering road- safety programmes is rooted in industry partnerships such as this. Elevating its role to gold sponsorship for the 2025 Showcase signals a further step in BIFA’s commitment: joining forces at the highest level of event support, serving not only as a sponsor, but as a strategic advocate and industry voice for Transaid’s work. The Showcase 2025 event: What it meant Attended by BIFA representatives, Steve Parker and Carl Hobbis, the Showcase brought together 125 corporate partners, industry

“ The transport and forwarding sector has a unique role in enabling connectivity and supply chains

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Charity

What it tells us about the industry

challenges, or embedding the charity’s agenda into business practice. It will also encourage the logistics sector to place more emphasis on strategic partnerships and purpose-aligned activity — the kind of long-term support that Transaid’s multi-year programmes require. BIFA’s leadership signals that corporate and trade-body support for charitable work is not a sideline activity — but a core part of how the sector presents itself to clients, employees and wider society. Final thought Commenting on the partnership and the sponsorship, Steve Parker, BIFA director general, said: “In sponsoring the Transaid Showcase 2025 at gold level and welcoming HRH The Princess Royal, BIFA has not only reinforced its support of a cherished industry charity but also helped spotlight the deeper links between logistics, global development and sustainable transport. “It’s a reminder that behind the movement of goods lies the movement of hope, training, access and safety — and that the freight industry has a distinct role to play.”

This partnership is a strong signal; the UK freight forwarding sector, through its representative body, is renewing its commitment to broader societal goals — not just commercial activity. It shows a recognition that industry issues like driver training, road safety and transport infrastructure have global human- impact dimensions. Trade associations can play more than advocacy and standards roles — they can mobilise corporate social responsibility, leveraging collective scale. High-profile sponsorships (with royal patronage) help bring additional attention and credibility to charitable programmes within the logistics industry. Looking ahead: The road forward Following its Gold Sponsorship of the 2025 Showcase, BIFA will be exploring ways of further developing its partnership and fund-raising activities on behalf of Transaid. BIFA Members will be encouraged to engage further — whether through fundraising, participating in Transaid

This Giving Tuesday, Transaid is making journeys safer and more accessible across sub-Saharan Africa, helping build a brighter future for all with Transaid. Transaid works alongside communities, partners and governments to improve road safety and access to life- saving healthcare. Over the last year, Transaid and partners have: • Trained 9,000+ professional drivers and riders in Tanzania, Uganda, Zambia and Ghana. • Provided 2,000+ eye tests to long-distance truck drivers in Kenya, with 700 pairs of glasses distributed. • Supported 1,000 minibus taxis in South Africa to adopt the Safe Taxi Charter. • Published new community-level guidelines for treating severe malaria in children. If you want to help make journeys safer across sub- Saharan Africa this Giving Tuesday, visit https://www.transaid.org/get-involved/2025- christmas-appeal/ to find out how you can get involved in Transaid’s 2025 Christmas Appeal. Transaid Christmas appeal

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