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 July 2024 BIFA link
Did you visit us?
INSIDE: • New BIFA directors
• BIFAlink TV channel launch • Implementing a trade border • EU Entry Exit System • Freight Service Awards winner • BIFA’s 2024 awards launched
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Issue: 407
Steve Parker’s Column
Exciting times!
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 Director Robert Windsor r.windsor@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 International Relations Advisor Robert Keen r.keen@bifa.org Policy & Compliance Advisor – Customs Igor Popovics i.popovics@bifa.org Policy & Compliance Adviser – Sustainable Logistics Mike Jones m.jones@bifa.org Policy & Compliance Advisor – Air David Stroud d.stroud@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, David Stroud, Spencer Stevenson, Carl Hobbis, Sharon Hammond, Igor Popovics, Robert Keen, Denise Hill, Mike Jones, 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.
I wrote this column around the time that England played Denmark in the Euro 2024 championship, and while a leaders’ debate took place on the BBC. I am not sure what was worse, but certainly neither could be described as exciting. So, let BIFA improve the mood. If you are reading this, you should also have received a notification by email and seen our first edition of BIFAlink TV. If you haven’t received an email, then your name and email address are not set up correctly on our database. Let’s get that sorted asap. Please contact us at bifacomms@bifa.org with the subject line ‘Register for BIFAlink TV’ and we will help. BIFAlinkTV developed as a result of me speaking to Members during the 18 months I have been in the Director General’s role about how BIFA
communicates. There was a range of concerns from ‘too many’ to ‘not enough messages’. Hence, we came up with this idea of a short video each day, flagged by a daily email message. We are calling this our “daily dose of industry information”. The email will be clearly marked with the topic introducing a short video, with the result that in a few minutes you will be fully informed on whatever the subject for the day is. We hope that you not only like this way of communication, but you find it useful and interesting. But please remember, this is new to us and your feedback is important, so let me know (s.parker@bifa.org) if you do or do not like this new way of communicating BIFA’s thoughts on key issues and news affecting our industry. Multimodal As I wrote this, I had just returned from Multimodal 2024, and I understand that there were even more attendees than the record achieved in 2023. Personally, I really enjoyed the three days. I met numerous friends and colleagues and had a chance to discuss several of the issues facing our industry and listened to many comments and opinions around the upcoming General Election. Being able to network with so many people in one place is great for me and, although I drank far too much coffee, I do very much value the opportunity to meet. I know you are busy people but if you could put the date of next year’s event (17-19 June 2025) in your diary, BIFA plans to be there with our Forwarder Village once again. Business Leaders Forum I know this is still a little way off, but I would like to highlight the event now. Following the last one (for which over 130 registered) I have had several Members request that in addition to updating those attending on the items we discussed in May, we also cover some important topics in October, such as AI and its impacts. I am already working on this and have some key experts in this field lined up to attend. So, if you are a business leader, please put 10 October in your diary for the event which will again take place in Central London. By the time that you read this edition, you will know whether England or Scotland made the quarter finals of the Euros. Depending on when you remove the issue from its packaging, you may even know who has won the General Election. Whilst there were uncertainties about both at the time of writing, you can rest assured that BIFA will be working very closely with the government that is elected come 5 July, to make sure that the needs of BIFA Members are addressed in any policy initiatives that are forthcoming.
Director General
July 2024 | 3
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BIFA News
Ian Matheson, from Impress Communications, reviews some recent news that might impact on Members’ business
soft summer season. This was powered by the unrelenting strength of e-commerce fulfilment from China and shippers pulling forward orders for the winter holidays to protect against rising costs, capacity shortages and worsening ocean shipping delays. Sustainable aviation fuel production is on track to triple from 2023 levels to 1.9 billion litres this year, which IATA said would account for a little more Despite total air cargo volumes that are expected to reach 62 million tonnes in 2024, a report from IATA says air cargo revenues are expected to fall to USD120billion in 2024, down from USD138 billion in 2023. OVERLAND DP World is encouraging freight owners to move their products by rail from Southampton and aiming for a 40% rail freight share in 2026. Its Modal Shift Programme at the port, which encourages freight owners to transport their import containers by rail to a railhead within 140 miles of the logistics hub rather than by road, will now be extended until the end of next year. CUSTOMS AND BORDER MATTERS June saw US Customs and Border Protection cracking down on shippers that import goods into the country under a regulation protecting imports valued less than USD800 from duty and tax obligations — and suspended several Customs brokers until they comply with the new regulations. ON THE QUAYSIDE than 0.5 of 1 percent of aviation’s total 2024 fuel needs. According to the latest global Container Port Performance Index, Yangshan Port was the world’s most efficient port in 2023, with 12 others in East and Southeast Asia in the top 20.
Reporting of containers lost at sea to become mandatory
ON THE OCEAN The World Shipping Council has welcomed the recent adoption of amendments to the International Convention for the Safety of Life at Sea (SOLAS) by the IMO’s Maritime Safety Committee (MSC 108),
which will require mandatory reporting of all containers lost at sea from 1 January 2026. As port congestion and a surge in demand pile on top of Red Sea diversions, analysts believe container shipping
rates could repeat record levels seen in the pandemic. However, they cautioned that we may be seeing a very early peak season and the demand boom may abate by July, which is adding uncertainty to the situation. The World Shipping Council has released its annual report on containers lost at sea, with a total of 221 containers lost out of around 250 million transported, the lowest number since the survey (which covers shipping companies that account for more than 90% of the global containership capacity) began in 2008. IN BUSINESS In a business manifesto published at the start of June and shaped by input from over 400 business leaders and 70 trade associations, the CBI urged the next UK government to ease trade frictions to help spur growth by increasing UK exports, securing imports and growing investment, to maximise the UK’s competitive advantage, growth and productivity, and boost employment. IN THE AIR Writing in mid-June, demand and rates for airfreight transportation were continuing to soar through the normally
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BIFA News
State of Sustainability Report BIFA and Pledge jointly published the State of Sustainability Report last month, following the survey of BIFA Members. After collecting demographic data such as company size, annual revenue, operating region and mode of transport supported, freight forwarders were asked about their sustainability practices, the importance of carbon reporting, and how likely they are to implement carbon reporting software. A significant finding was that despite a growing acceptance of the importance of sustainability initiatives among British freight forwarders, more than half insist that other business-critical issues are taking precedence right now, particularly for smaller forwarders. The survey also found that more than half of respondents have some kind of sustainability policy, and nearly two-thirds say they have customers currently asking for carbon emissions reporting on their shipments. A key theme was that company size plays a significant role in how much sustainability is prioritised at freight forwarding companies, with the majority of enterprise (1,000+ employees) and large (250- 1,000 employees) forwarders generally considering sustainability important and a minority considering it a mid-level priority. Scan the QR code to see the full report. BIFA and Pledge will be presenting the report findings during a member webinar on 4 July at 1430 – go to https://bifa.org/events/ to register to attend.
Chris Packwood
Denise Hill
Ian Mallon
Three industry professionals elected as BIFA directors
BIFA is pleased to announce the election of Denise Hill, Ian Mallon and Chris Packwood as new directors to its Board. Their appointments re fl ect BIFA’s commitment to enhancing its leadership team with industry professionals who bring a wealth of experience and insight to the association. In April last year, Denise Hill joined BIFA’s secretariat as Member engagement director to oversee and develop BIFA’s interaction with its membership regarding the services it provides and how they are delivered. With her additional election to the BIFA Board, her strong background in commercial and relationship management will assist with its governance of the trade association’s work. Ian Mallon, managing director of Neon Freight, joins the BIFA Board with over two decades of experience in the logistics and freight forwarding industry. Under his leadership, Neon Freight has grown into a leading provider of international shipping solutions, known for its innovative approach and customer-centric services.
Ian’s expertise in global logistics, coupled with his strategic vision, will be invaluable in assisting BIFA’s Board to help the trade association navigate the complexities of the modern freight industry and advocate for its Members’ interests. Chris Packwood, managing director of Geodis UK, brings a distinguished career in freight management and supply chain solutions to the BIFA Board. With a deep understanding of both the operational and strategic aspects of the freight industry, Chris has been instrumental in driving Geodis UK’s growth and enhancing its service offerings. His comprehensive knowledge of international “ The appointments underscore BIFA’s ongoing dedication to strengthening its leadership with seasoned professionals who can drive forward the association’s goals and objectives
trade and logistics will strengthen BIFA’s efforts to support its Members through advocacy, training and industry leadership. Steve Parker, BIFA Director General, stated: “We are thrilled to welcome Chris, Denise and Ian to our Board of Directors. Their extensive experience and leadership in the freight forwarding industry will be instrumental in guiding BIFA’s strategic direction and supporting our mission to represent and promote the interests of UK freight forwarders. Their appointments come at a pivotal time as we continue to navigate the challenges and opportunities presented by the global trade environment.” Hill, Mallon and Packwood began their terms in May, joining a dedicated group committed to providing governance for the team that delivers the services and support BIFA provides to its Members. Their appointments underscore BIFA’s ongoing dedication to strengthening its leadership with seasoned professionals who can drive forward the association’s goals and objectives.
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BIFA News
BIFAlink TV channel launched this month
OBITUARY Carri Marais
BIFA is excited to introduce a new and improved communications channel – BIFAlink TV. The communications team is continuously looking at ways to evolve and the introduction of BIFAlink TV aims to keep the channels relevant to you, the audience. The way that we obtain information nowadays has changed, with more people turning to social media and consuming new formats such as video clips and podcasts, to stay in the loop of what is going on in the world in real time. Commencing this month, BIFA Members will be sent a daily episode of BIFAlink TV direct to their inboxes, covering a variety of topics that are of most interest to the industry. The current weekly BIFA newsletters will be discontinued in line with this change. We understand that you are busy people, so we hope that providing bite-sized updates will keep you informed of our industry’s news whilst ensuring that you continue to benefit as much as possible from your company’s membership with BIFA. How can I receive episodes? To ensure that you will have access to BIFAlink TV, plus stay up to date on all things BIFA,
DENISE HILL MEMBER ENGAGEMENT DIRECTOR
It is with deep sadness and heavy hearts that we inform you of the passing, in May, of our colleague and friend Carri Marais after a short illness. Carri joined BIFA in January 2023 and was a key member of the training team, delivering our full range of freight and Customs procedures courses. She had worked in the logistics industry for over 25 years – before joining BIFA she was employed at well- known companies such as DB Schenker Road, IFE Global Logistics and UPS-SCS. In her short time at BIFA she not only became an integral part of the delivery team, but delegate feedback clearly indicates that her students really enjoyed her teaching style. Carri was a model employee, a real team player, meticulous, hard- working with great attention to detail and her colleagues at BIFA will miss her more than words can express.
NATALIE PITTS BIFALINK TV HOST
NATALIE PITTS BIFALINK TV HOST
SHARON HAMMOND EVENTS EXECUTIVE
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The Limits of Liability for Carriers
In association with
By air – Warsaw Convention (17 SDR): £17.65 per kg
By sea – Hague Visby rules (2 SDR): £2.08 per kg £691.97 per package
BIFA STC: (2 SDR): £2.08 per kg
By road – CMR (8.33 SDR): £8.65 per kg
Insurance for the Marine & Logistics industries
(The SDR rate on 20 June 2024,
By air – Montreal Convention (22 SDR): £22.83 per kg
according to the IMF website, was 1.03795)
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Policy & Compliance
• HMRC estimated in 2019 that the total annual cost to UK businesses of completing Customs entries for trade between the UK and EU amounted to £7.5 billion per annum. (This figure has not been updated.) • Excluding shipments to Northern Ireland, the Animal and Plant Health Agency (APHA) issued 316,000 Export Health Certificates. • DEFRA estimated that the annual cost to traders of sanitary and phyto-sanitary (SPS) controls it introduced for EU imports between January 2021 and December 2023 totalled £54 million. Following the implementation of the Border Target Operating Model (BTOM), the government estimates the annual cost of SPS and Safety and Security Declarations to business at £469 million. The NAO notes that by 31 October 2024, most import controls, including Customs checks, SPS controls and Safety and Security Declarations will have been introduced. Further checks After October 2024 it is planned to phase-in the introduction of SPS checks of goods arriving from the island of Ireland. For live animals and medium risk fruit and vegetables arriving from the EU, it is planned to phase-in SPS checks, although there is no clear date for having the full regime in place. The report examines how the last elements of border controls will be implemented, including via the Single Trade Window (STW). Whilst introducing the STW has obvious advantages, such as re-using data and improving messaging flows, the NAO has concerns regarding certain aspects of the project that will need Since that day in 2016, much has changed and the sector has had to cope with other significant developments such as the implementation of CDS, the pandemic and significant global political and military events. It needs to be remembered that what is good for the freight forwarding sector is usually good for the wider economy – and in all probability it to be resolved to ensure its successful implementation. needs a period during which change is kept to a minimum.
The port of Larne in Northern Ireland
Implementing an effective trade border
S hortly before the general issued a cross-government report on progress in implementing border controls and, in particular, the impact of Customs and phyto- sanitary controls. The report is quite detailed, looking at the cost, the implementation process, future risks, challenges and opportunities. When the result of the EU Exit election was announced, the National Audit Of fi ce (NAO) A National Audit Of fi ce report notes that the implementation of full border controls is not complete and that regulating trade between the UK mainland and Northern Ireland has added complexity and delay “ HMRC estimated in
freight forwarders. The report notes that the implementation of full border controls is not complete and that regulating trade between the UK mainland and Northern Ireland has added complexity and delay. Programme costs Relevant statistics impacting trade are detailed, although these are probably considerably less than anticipated. It is forecast that the government will spend £4.7 billion on the 13 most significant programmes to manage the passage of goods across the border. In 2022, 39 million additional Customs entries were completed to allow goods to move in both directions between the UK and the EU. Traders have faced additional administrative costs incurred for moving goods in either direction across the UK-EU frontier since the UK departed from the EU. These include:
2019 that the total annual cost to UK businesses of completing Customs entries for trade between the UK and EU amounted to £7.5 billion per annum
referendum was announced in June 2016, the writer remembered thinking that whatever the politicians stated, it was clear that it would take at least 10 years to implement all the necessary systems to maintain an effective border. The NAO report makes interesting reading and many freight forwarders, truck operators and Customs agents will identify with much of its contents. In fact, one BIFA staff member commented that it could have been written by a freight forwarder for
8 | July 2024
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agency sector management
@asmukltd
With the move to the Customs Declaration Service (CDS) now essentially complete, we have successfully supported nearly 500 organisations through this sometimes difficult migration. Sequoia has already processed almost 7 million CDS declarations and counting. And by the time you read this, we will have supported 100+ organisations in the transition to NCTS Phase 5.
. After almost 9 years of talking about and implementing CDS, and then NCTS Phase 5, we can now move on to consider where we go next. With the requirement for safety & security declarations for imports from the EU just around the corner, our main focus will be on that development, as well as integrating with GVMS. We are also looking to develop other functionality close to the hearts of our users. If you have any views or ideas on how we can help you then we would love to hear from you. Email us at roadmap@asm.org.uk.
Air Ocean Road Imports Exports ustoms declarations Worksheet automation Customs eTariff CFSP management Customs Warehousing Duty management Transit (NCTS) management Transit (CT) Guarantee management Import ETSF management CCS-UK electronic fallback Export DEP management Job costing and invoicing Air waybills and eAWB Bills of lading Barcoded cargo labels Consignment security declarations Collection and Delivery notes Consolidation management and Manifests eDocument management Archiving Limitless integration Limitless automation
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Policy & Compliance
Scope 3 reporting: How to create carbon reports for shippers
In the February edition of BIFAlink we provided a guide to scope 3 emissions and some of the bene fi ts of measuring emissions for both forwarders and shippers. In this article we focus on scope 3 reporting requirements and how freight forwarders should create carbon reports for shippers
collect and process the large volumes of data involved in reporting carbon emissions efficiently and accurately? This is where freight forwarders can provide a valuable service. With visibility and access to shippers’ end-to-end shipment data, freight forwarders can accurately calculate the carbon emissions for a given shipment and deliver this to their customers, enabling greater visibility into their emissions for decision- making purposes than they would be able to do themselves. Scope 3 reporting frameworks As scope 3 reporting becomes a more frequent request from customers, freight forwarders will need to increase their understanding of what a carbon report should include and the different reporting frameworks and standards that customers might require. Whether using carbon reporting software or manually calculating customers’ scope 3 carbon emissions, there are globally accepted frameworks or standards
W hen customers ask for carbon emissions reports on their shipments, it is important to understand why and how these reports should be delivered. Supplying high-quality and correctly formatted carbon reports begins with strong customer relationships and positioning your business as a sustainability knowledge leader, able to save your customers valuable time and money by providing a bene fi cial service. There are three main reasons why your customers may require these reports: • Commitment to net zero pledges – also known as voluntary reporting to meet Environmental, Social and Governance (ESG) targets – usually to be net zero by 2050 or
earlier under the Paris Agreement. • Climate disclosure regulations – also known as mandatory reporting, this is being driven by government-implemented legislation, such as the EU’s Corporate Sustainability Reporting Directive (CSRD). • Consumer demand – companies from every industry are facing increasing calls from customers to accelerate the transition to more sustainable practices. Transparency about claims and the carbon footprint of products are some of the main concerns for consumers. Helping shippers Shippers face a huge challenge when it comes to reporting their scope 3 emissions. How do they
Scope 3 reporting requirements
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Policy & Compliance
that need to be considered when creating reports, such as the Greenhouse Gas (GHG) Protocol, Corporate Value Chain (scope 3) Standard and the Smart Freight Centre’s Global Logistics Emissions Council (GLEC) Framework. • The GHG Protocol is the standard for reporting recommended by the International Sustainability
need to adhere to, or just want an overview of their total emissions during a defined period, an itemised emissions report should suffice. It provides customers with a detailed breakdown of the carbon footprint associated with specific shipments, allowing them to understand their supply chain’s environmental impact. For more information about what needs to be included in the different types of reports, scan the QR code on page 10 to read the latest blog from Pledge on the subject. The BIFA website also has a link to an emissions measurement platform that enables the accurate conversion of client data with several formats for reporting scope 3 emissions, including the reporting methods featured above: https://bifa.org/information- guidance/technical-information/c arbon-calculator/ BIFA acknowledges the assistance of Pledge in the preparation of this article.
As part of its 2024 series of webinars, BIFA is very pleased to welcome Mike Yarwood, managing director for TT Club’s loss prevention department, to discuss the safety in the maritime containerised supply chain. There are three main strands to this event: • To facilitate the proper packing, transport and unpacking of cargo transport units (CTUs), including freight containers. • The dangers of non-declared and mis-declared hazardous cargoes and steps to take to minimise the risk including: - initial checking of documents - identification of non-compliant freight - actions required to regularise cargoes. • The importance of correctly weighing cargo to establish the verified gross mass (VGM). The webinar will also consider the importance of correctly incorporating the BIFA Standard Trading Conditions (STC) into contracts between forwarder and customer, to maximise their protective benefits. MEMBER WEBINAR: 18 July 2024 Safety in the maritime containerised world
Standards Board’s (ISSB) recently published IFRS S2 standards, with which many national governments have aligned their disclosure regulations.
• The GLEC framework forms the basis of the ISO 14083 standard and focuses on data quality that requires a more granular breakdown of the methodology used at each leg of the end-to- end shipment than the GHG reporting standard. This helps provide added transparency and accountability throughout the supply chain but increases the workload and knowledge needed to develop such reports. • Itemised emissions reports: If your customers do not have a specific reporting standard they
To register, go to https://bifa.org/events/
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Member Engagement
Did you visit us?
An estimated 13,000 visitors attended Multimodal 2024, providing numerous opportunities for networking, learning and sharing
L ast month, a number of BIFA personnel left the con fi nes of the of fi ce in Feltham and ventured to the NEC Birmingham for the annual Multimodal Exhibition. Running since 2008, Multimodal is the place to be seen for companies in all sections of the supply chain and international logistics. The official showguide lists almost 300 companies present, of which approximately one-third are BIFA Trading or Associate Members. The organisers report that around 13,000 individuals attended the show across the three days it was open, providing numerous opportunities for
networking, learning and sharing. Visitors to the BIFA stand came with questions ranging from training and apprenticeships, through getting the best from BIFA membership, to the protections afforded by the BIFA Standard Trading Conditions (STC). A popular topic of conversation centred around making the supply chain more sustainable and many solutions were discussed, including a modal shift to rail freight, greater use of
BIFA photo gallery and showreel
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Member Engagement
Leanne Read and Lydia Henderson who helped put individuals at ease and ran the daily raffles. Awards On the Tuesday evening, Multimodal hosted its annual awards ceremony which saw BIFA sponsoring the Customs Technology Partner of the Year Award. Of the 15 categories awarded on the night, five went to BIFA Members – congratulations to you all. For the full list of winners go to: www.multimodal.org.uk/awards/winners-2024 With the Multimodal Awards ceremony out of the way, on Wednesday BIFA launched the 2024 competition of the BIFA Freight Service Awards (see page 21 for details). Sustainability Also on Wednesday, the BIFA + Pledge State of Sustainability Report 2024 was released detailing the results of the survey of BIFA Members carried out in the spring. You can view the full report by scanning the QR code, left. 2025 The BIFA stand and the BIFA Forwarders Village will return to Multimodal 2025. Put the dates of 17-19 June in your diary now and if you would like to exhibit you should contact Multimodal event director Robert Jervis (robert.jervis@clarionevents.com) as soon as possible to reserve your space. Scan the QR code on page 12 to view the BIFA photo gallery and showreel.
renewable energy and the measuring and reporting of emissions. Each day of the show we hosted a Young Forwarder Network (YFN) get-together allowing individuals from all corners of the UK to meet in person and chat about their experiences of the industry to date. Over the three days, 40 YFN members joined us for refreshments and BIFA is grateful to YFN Ambassadors Georgia Gibson, Maddison Edwards, Charlotte Duff, Brooke Flower,
BIFA + Pledge State of Sustainability Report 2024
July 2024 | 13
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Policy & Compliance
exit from, an EU country using the EES, • Facial image and fingerprints (referred to as ‘biometric data’), • Refusal of entry where relevant. Refusal to provide this data will result in the traveller being denied entry into European countries using the EES. At this point for those travelling with a visa there are different procedures, but these are detailed in the VISA requirements. Business travellers These regulations cover all non-EU people travelling to the EU, which will include those going for business purposes. From a BIFA Member’s viewpoint, the most important group affected will be HGV drivers. The first point is to ensure that drivers are aware of the need to register for the EES, providing all relevant data before their first journey, and for the need to scan their documents before crossing the border when either entering or exiting the EU. Also, there are practical considerations such as how HGV drivers will scan their documents. What is suitable for a car driver is not so for a driver several feet higher in a cab. The Association’s main concern is that, although it is intended to segregate passengers from the freight where possible, there is the potential for backlogs to develop, limiting entry into and egress from ports. BIFA has been aware for some time that there has been no capability within the EU to monitor the 90 within a 180-day requirement. Enforcement has been variable and intermittent. For instance we heard that the Netherlands was more strictly enforcing these rules than France. This situation will change with the introduction of the EES. Additional information can be found by scanning the QR codes.
Implementation of the EU Entry Exit System With new EU entry procedures expected to come into force this year, BIFAlink takes a look at what that will mean for freight forwarders
T he European Union (EU) is its borders. These procedures were initially planned for implementation in 2022, but now it would appear that they will come into force in October 2024. The EES procedures will apply to all non-EU nationals travelling to the EU for a short stay, including those travelling for work. As the UK has left the EU, the new regime will apply to UK passport holders, and any other non-EU nearing the implementation of the Entry Exit System (EES) at passport holders, travelling to an EU country for up to 90 days in a 180- day period. However, these procedures will not be applicable to UK citizens travelling to the Republic of Ireland; such travel will be governed by the rules detailed in the Common Travel Agreement. The aim, in the long term, is to dispense with manual passport checks at the frontier and speed up the travel process. Travellers will have to scan their passports at an automated self-service kiosk prior
to crossing the border. The process will record all non-EU nationals entering member states, keep track of compliance with the 90 in a 180- day period rule, and record all rejections for requests to enter the Union. From the Union’s viewpoint it will provide information regarding those non-EU nationals who have exceeded their legal entitlement to enter and remain for a short trip, whether for a single stay or cumulatively. Tens of millions of pounds are being spent on equipment and processing areas at Dover’s ferry port, London’s St Pancras terminus and Eurotunnel’s site. Data retention Travellers will need to provide the following data prior to travelling, which will normally be retained for three years: • Information listed on the travel document (passport), • Date and place of entry into, and
“ Although it is intended to segregate passengers from the there is the potential for backlogs to develop, limiting entry into and egress from ports freight where possible,
House of Commons Library – EES
Europa.eu
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BIFA Awards
where possible, by changing the cargo con fi guration, dismantling or disassembling elements or removing protruding parts.” Therefore, some of the components fl ew on Boeing 747- 400s instead. Besides this, to accommodate the unusual pieces involved in the Thailand–US move, deugro designed customised packaging solutions and loading concepts, such as rotating the spools and fi xing them at a speci fi c angle inside the An-124-100 when they were too tall to be loaded normally even into that aircraft. “Our transport skids held the pipes at the only angle that would fi t. Our engineers created 3D drawings and a model of the hold to work out how to rotate the spool, and then designed the skids,” Kuznetsov explained. It was also necessary to source additional equipment for pre- carriage and for loading the spools at U-Tapao Airport – chosen because there was limited space for loading long pieces at the busy Bangkok Suvarnabhumi gateway. Extra gear included 80-tonne mobile cranes, main-deck loaders and various truck–trailer con fi gurations. Trusted partners Kuznetsov was keen to point out that deugro worked with trusted partners on this project, including Antonov Airlines and Cargolux, as well as local packing, trucking and crane subcontractors in Thailand and the US. Considering the role of air freight – a fast but expensive option – in project logistics, he noted: “For air charters, demand is 90% unplanned. Major transport events are planned with other modes, but disruptive events such as the Red Sea crisis or equipment malfunction do happen.” Kuznetsov expects deugro’s air freight division to remain “extremely busy” on all fronts. “We will grow our presence in every region where we operate and across all the industries we serve – including power generation, oil and gas, mining and renewables,” he said, highlighting the Middle East with its focus on hydrogen, green energy and the development of the new Neom project in Saudi Arabia.
Cargo loading through the rear cargo door at U-Tapao Airport, Thailand
deugro innovates to fl y complex urgent US cargo
When some outsize components were urgently needed to minimise costly downtime at an industrial facility in the US, deugro stepped up. Its work on the project has been recognised with the BIFA Air Cargo Services Award
d eugro USA, in close cooperation with teams from deugro Air Chartering and deugro Thailand, successfully delivered 37 pipe spools with a total volume of 213 tonnes and 1,628 cu m from Thailand to the US on nine charter fl ights. The choice of aircraft was largely determined by the size of the spools, some of which were as long as 36.6 m, some as tall as 4.4 m or as wide as 5.5 m, and some of which had complex shapes to boot. Scarce capacity Capacity on the heavy lift air charter market was scarce (and remains so) as a result of the war in Ukraine. Pavel Kuznetsov, head of chartering, said: “Many An-124 aircraft have disappeared from the market; over half of them were operated by Russian carriers, and we can only work with operators registered in Ukraine – therefore
the number of available tails is limited.” That challenge is still there, Kuznetsov observed, but: “We have got used to it and built stronger lines of communication with the carriers. They let us know when there are gaps or cancellations in their schedules that could help us and our customers. We also try to get away without using the An-124
Pavel Kuznetsov: “Many An-124 aircraft have disappeared
from the market...”
Air Cargo Services
IAG Cargo, the single business combining the strengths of British Airways, Iberia, Vueling, Aer Lingus and LEVEL, has sponsored the BIFA Awards for over 30 years. The success of the UK freight forwarding sector remains as important as ever to Britain’s place in international trade. Our sponsorship of these awards underlines our commitment to not only promote the sector, but to continue working closely with the freight forwarding community to deliver more connections and opportunities for global growth.
16 | July 2024
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Policy & Compliance
Accepting an appointment as an Indirect Customs Agent brings risks. Members should take every possible measure to protect themselves Becoming an Indirect Customs Agent
the importer) liabilities for the payment of a Customs debt (including import duty and import VAT) can arise out of entries made as an Indirect Customs Agent. Members should also consider, when acting for non-resident importers, whether they are opening themselves to other areas of regulatory responsibility, for example in connection with licensing, product safety and intellectual property infringements. This is not an exhaustive list of areas of non-compliance, but based on industry experience it does cover the most significant ones. BIFA has prepared a draft authority template for use where a Member intends to act as an Indirect Agent. This has been incorporated into the BIFA Good Practice Guide on the Appointment
“ It is important to highlight that the BIFA Member should conduct thorough due diligence checks to satisfy itself that any entries comply with the legal requirements
A s set-out in detail in BIFA’s Guide on the Appointment and Responsibilities of a Customs Agent , BIFA cautions against Members accepting appointment as an Indirect Customs Agent. However, in certain circumstances it is understood that BIFA Members will consider that it is either commercially necessary or expedient to accept this position. BIFA’s role is to ensure that the risks are understood, and that Members are assisted in taking the steps that, as far as reasonably possible, will mitigate those risks. It is important to highlight that the BIFA Member should conduct thorough due diligence checks to satisfy itself (and HMRC, should it ask) that any entries comply with the legal requirements and that the importer was entitled to put its
name to the entry. It is well known that there are high levels of non-compliance on certain routes and trades, and it is essential that consideration is given to the risks involved in being jointly and severally liable. Significant joint and several (with
and Responsibilities of a Customs Agent which can be accessed via the QR code.
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CustomsTransit (T1/T2)
Customs Declaration Software
Customs Clearance Agent
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3210/.0-,+-02-*1)-2,0-(2'&-/%2,0- 2,'-.,+02(+-+&'$#.&+-/1)-'&.&#$&- a 1-hour FREE training session . "&'(+-!-321)#0#21+-/
July 2024 | 17
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BIFA Awards
Climbing the ladder
Young Freight Forwarder Award
Virgin Atlantic Cargo is proud to
“Did I choose freight forwarding, or did it choose me?” asks BIFA Young Freight Forwarder of the Year fi nalist Emily Howard...
said. “I was worried about people’s perception of me – I am only 22 – but it is not a problem. Everyone in my department is under 30. One of the directors often says, ‘If you’re good enough, you’re old enough!’ “Of course, there are older people here too and they pass on a lot of knowledge and guide us in the right direction,” Emily added. Having progressed from office junior to office supervisor in just three years, she certainly seems to be on the right track. sponsor BIFA’s Young Freight Forwarder Award to recognise and encourage the next generation of industry leaders. As well as rewarding the progress of the best young people, this award helps to highlight the vital role freight forwarders play in the growth and development of the industry. VAC recognises the importance of developing and retaining talented young people and is confident this award will help to attract more recruits that want to build a future career in a sector that is so important to the economy and international trade.
E mily Howard came to completing her sixth form studies. The company had just set up its European road freight department, which she soon joined – and only a few months later she had to get to grips with Brexit. Deep end “There is nothing better than being thrown in at the deep end,” she said. “Like everyone else in the industry, pressures were high and I endeavoured to ensure our customers were reassured that they were in good hands.” Currently learning the role of European road freight supervisor, Emily is open to working in other modes, although she is hoping to Westbound Logistics Services as an office junior after
“ There is always room to improve and work your way up at Westbound and I am thankful for the opportunities it offers
climb the ladder within the growing European road freight department. “There is always room to improve and work your way up at Westbound and I am thankful for the opportunities they offer,” she
A mindset for success
APPRENTICE OF THE YEAR AWARD
oriented and based on maintaining good customer relations, he said: “Coming straight from college I had no experience. But as I have learnt more about the freight forwarding industry, I have dealt with many different problems and found solutions. “For now I am focused on becoming well rounded at what I am doing – but freight is a great industry to work for; there are lots of opportunities.” Menzies LLP provides financial and accounting expertise, combined with strategic commercial thinking. We understand your business via our in-depth sector knowledge and use a consultancy-led approach to challenge your objectives and guide your business growth. Each of our clients experiences our Brighter Thinking approach, the difference we make to our clients. With our in depth transport and logistics sector experience we promise to add real value across key areas of our clients’ businesses – to go further than just balancing the books.
Motivated by a desire to succeed, BIFA Apprentice of the Year fi nalist Richard Smith counts ambition, a strong work ethic and courage among the qualities that are helping him do just that
“I had a different mindset in school and once I realised how important these qualities are, and had a career in mind that I really wanted to go for, it all fell into place,” said Richard Smith. “I have been quite focused on success and climbing the ladder in finance. I think if you put the work in, you get the rewards. It has worked so far.” When BIFAlink spoke to him, Richard was on the Association of Accounting Technicians’ Level 3 course, the plan being to complete that in March and move on to the higher AAT levels, then eventually study under the Association of Chartered Certified Accountants. The backdrop to these academic
pursuits is of course his role in the freight industry, where
personal skills are invaluable. Richard worked in Ziegler Group’s credit control department during his apprenticeship, and taught a new apprentice too; he has since moved to purchase ledger. Noting that his day job is service-
18 | July 2024
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Events
• European Logistics – sponsored by TT Club • Ocean Services – sponsored by Port Express General categories • Project Forwarding – sponsored by Macbeth Insurance Brokers • Specialist Services – sponsored by Thyme IT+Descartes • Staff Development – sponsored by Albacore Systems • Supply Chain Management – sponsored by Boxtop Technologies Specialist categories: • Extra Mile – sponsored by Descartes Systems • Sustainable Logistics & the Environment – sponsor TBC mentioned business categories, the ever-popular individual categories return for 2024: • Apprentice of the Year – sponsored by Menzies LLP • Young Freight Forwarder of the Year – sponsored by Virgin Atlantic Cargo Individuals must be employed by a BIFA Member and more than one individual can enter from the same company. How to enter Hopefully you are now feeling inspired to enter – visit https://awards.bifa.org/how-to- enter/, check the category details Individual categories: In addition to the above- and download the entry form. Entry is free of charge and a company may enter up to three categories, but each entry must be unique and tailored to the category criteria. Just to be clear, that is three business categories plus individuals in the Apprentice and Young Freight Forwarder of the Year categories. Dates for your diary Wednesday 2 October 2024 – The deadline for receipt of submissions in all categories is 11 am. Thursday 16 January 2025 – The BIFA Awards ceremony with presentation of certificates to the finalists and announcement of the winners.
The BIFA Freight Service Awards 2024 are now open for entries. BIFAlink outlines this year’s categories and explains the potential bene fi ts of entering Enter the spotlight
M id-June, as I wrote these words, was characterised by thick cloud, heavy rain showers, a chilly northerly wind and a distinct lack of sunshine. But mid-June also marks the launch of the BIFA Freight Service Awards competition each year giving BIFA Members the opportunity to shine with their case studies spotlighting their work and activities of the past year. A number of BIFA Members were celebrating at the Multimodal Awards on 11 June. Whether you were one of them or not, all BIFA trading members are now invited to enter the BIFA Awards 2024. Why enter? Crafting the perfect entry takes effort and you may be struggling to justify the time required, so what can I say to convince you to enter? • Get the team involved – everyone has valuable input and this could be a great time to do some team building with the added motivation of the chance to win • Writing down your processes and discussing your achievements can be a great way to analyse what you are doing and may lead to even further improvements
• Free publicity – throughout the competition process, BIFA publicises the finalists and winners across its own channels and in the trade press • Digital logos, framed certificates and glass trophies all look great on display and show your current and potential customers that you are up there amongst the best in the business • Reward your team and entertain customers at the BIFA Awards ceremony luncheon at The Brewery in central London on Thursday 16 January 2025. Look out for the announcement of the celebrity host soon. The categories There are nine business categories covering the full range of BIFA Member activity from the modal awards for air, road and sea, through the general awards for supply chain management and specialist services, to the special categories encompassing customer service and the environment. BIFA is delighted to welcome back the loyal sponsors as detailed below: Modal categories • Air Cargo Services – sponsored by IAG Cargo
“ Get the team involved – everyone has valuable input and this could be a great time to do some team building with the added motivation of the chance to win
July 2024 | 19
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