BIFAlink March 2024

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 March 2024 BIFA link Safeguarding the Union

INSIDE: Peter Quantrill Obituary • Supply chain ‘black hole’ • Article 11 CMR Convention • An ISO 14083 guide • BIFA Award winner pro fi les • BTOM implementation timeline

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Issue: 403

Steve Parker’s Column

Saturday mornings

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 Frontier Policy Manager Pawel Jarza p.jarza@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 Note to media: If you wish to use items in this magazine that are older than one month, please contact the editor 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 am not sure how you spend your Saturday mornings but, during the football season, many of mine are taken up watching my seven-year- old grandson playing the beautiful game. The whole process is very different from my day. When I was seven, we played on a full-size pitch with full-size goals. The biggest boy (yes only boys!) kicked the ball as hard and as far as he could, then charge, off we all ran. It all led to some whacky scorelines like 24- 0; however, it did not produce good quality footballers and, unless you were that big lad, it was not always fun. Today it is different. They play on five-a-side pitches and use small goals. The game is played in four, 10-minute quarters.

The coaches are Football Association (FA) trained; the seven-year-olds are taught to pass out from the back; they regularly swap places so they all get a turn at every position on the pitch; there is no deliberate heading of the ball; and girls are very much included. There is a lot of fun too, although they also seem to spend more time practising their goal celebrations than they do scoring them! And worst of all, they all seem to support Manchester City (glory hunters the lot of them). I hear you say, very nice Steve but what is this to do with BIFA and our industry? Some time ago the FA took a decision to engage with experts, consult with football clubs, talk to grassroots teams and help the game that most of us love to develop into something modern and fit for the 21st century. I have been at BIFA for just over a year and have tried to emulate that approach. I have listened (and continue to do so) to many Members, government departments, key stakeholders and BIFA staff. All care passionately about our industry and have a view on the direction it should take. Common themes have emerged – amongst them are: • Enhanced member engagement, • Thought leadership on key issues (especially environment/sustainability), • Improved engagement with government and key departments, • Promotion of our industry, • Professionalism (including training, which needs to have broader topics and must be accessible without huge administration work and cost). Have I listened? I hope so. We have not yet put everything in place, but we have started: Business Leaders Forum - the next one is on 16 May in Central London. If you are a business leader and have not registered for this event, I urge you to do so via the QR code on page 6. Industry Promotion - we have been working with the Department for Business and Trade (DBT) and joined its webinar for traders new to import and export, where we encouraged them to find and utilise a freight forwarder’s services. Professionalism - to support this we have held webinars on key topics, trained 1,001 people in 2023, and are working on a new, modern suite of training courses and methods of delivery. As for 2024 I am aware 2023 was tough for many of our Members and clearly there are global events we cannot control but, I want to ensure that BIFA is ready to support you in your business needs for this year and beyond. Just as the FA is trying to ensure that it supports all those involved in football, whether that is my grandson at a grassroots level, or my favourite team from Stamford Bridge.

Director General

March 2024 | 3

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Industry News

Dover moots legal action over inland border facility Ian Matheson, from Impress Communications, reviews some recent news that might impact on Members’ business

in shipping capacity will lead to price pressure and impact its results. Containership owners are playing hardball with liner operators desperate to plug holes in their networks as a result of the Red Sea crisis, demanding increased daily hire rates and insisting on longer charter periods. These leave the shipping lines at risk of committing to charter parties well beyond the duration of the current network disruptions and possibly exacerbating the oversupply challenges they already face. The Financial Times reported that emissions from ships diverting from the Red Sea to the Cape of Good Hope route are set to increase up to 70% as operators increase speeds to compensate for the longer route. IN BUSINESS A survey conducted by Descartes Systems Group indicates that 76% of supply chain and logistics leaders surveyed are experiencing notable workforce shortages in their operations. A total of 37% indicated the shortage is at high to extreme levels, contrary to expectations that cooling economies would result in the workforce shortages of the past few years subsiding. across nine European countries, as well as in Canada and the USA, campaign has changed the way people consider working in the logistics sector, according to Transport Minister Guy Opperman MP, speaking at a parliamentary reception in February to highlight the role of young people in logistics as part of National Apprenticeship Week. He praised the collaborative work of businesses from across the sector to achieve a real change in attitudes. The first year of the Generation Logistics

ON THE QUAYSIDE The BBC reported in mid- February that Dover District Council (DDC) and the area’s port health authority were considering taking legal action against the government over the switch of checks on food imports to a new inland border facility based in Sevington, 22 miles from Dover. They argued that the move away from health checks at the port of entry puts at risk the port’s ability to

OVERLAND GBRf has started an intermodal service connecting London Gateway with iPort Doncaster, running five trains a week, utilising its brand-new FEA-G intermodal wagons, each of which can carry 6 teu on each service, significantly increasing the volume of cargo that can be transported per journey. DP World is increasing its financial incentive to £100 for customers taking advantage of its Modal Shift Programme, a scheme introduced in September last year that is designed to increase the attractiveness of intermodal rail. When launching the scheme, DP World offered £70 to customers who moved import-laden containers via rail to a railhead within 140 miles of the Southampton logistics hub. IN THE AIR The agenda for the IATA World Cargo Symposium (WCS), which will take place in Hong Kong from 12-14 March, will feature specialised sessions on digitalisation, sustainability, and safety and security within the air cargo business. ON THE OCEAN Maersk said it expects the shipping industry to be hit by a slowdown later this year when the current increase in freight rates from the Red Sea conflict evaporates, as an oversupply

and supply chain inefficiency. It said that 90% of deep-sea containerised cargo comes into the UK via southern ports, despite 60% of these goods being destined for the north. A survey it conducted found that 76% of UK retail leaders want to see goods imported closer to their end destination.

perform its legal duty of ensuring a safe UK food supply.

Peel Ports is urging retailers to import goods via UK ports closer to their end destination, to reduce carbon emissions

4 | March 2024

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Industry News

Protection of secure cargo If you are an aviation security regulated agent, you will have been contacted by the Department for Transport concerning Variation Direction & Guidance – Protection of Secure Cargo & Mail. The new provisions come into force on 1 June 2024, allowing a proportionate lead-time as agreed in consultation with the industry. Your aviation security manager should have received the communication. The new provisions will form part of your Aviation Security Programme and must be reflected therein. If you have any questions on the measures prescribed in the Variation Direction, including in relation to interpretation that may not be answered through referral to the guidance document, please direct these in the first instance to the CAA – neil.williams@avsec.caa.co. uk. Dates for your diary In addition to the regular Regional Member meetings (see page 22), BIFA is planning a number of events this year. Events coming up in the next three months are listed right.

Promoting logistics apprenticeships

Last month, in honour of National Apprenticeship Week, Steve Parker, Carl Hobbis, and BIFA apprentices Shelby Merchant and Brooke Neilson attended the Generation Logistics

Parliamentary Reception. The reception was an opportunity to hear from representatives about the dedicated work that Generation Logistics is doing to promote the industry and the various career pathways

that logistics provides. BIFA is a proud supporter

and trade partner of Generation Logistics.

To find out more about the campaign, visit the website at: https://generationlogistics.org

CMA rules against consortia exemption

A regular concern of the BIFA Membership and wider trade over many years has been the conduct of shipping lines who, it had been argued, have exploited a dominant market position. On 9 February the Competition and Markets Authority (CMA) wrote to BIFA

confirming that, after a two- stage review, it had published its final decision that it will not recommend to the Secretary of State for Business and Trade that the Consortia Block Exemption Regulation (CBER) be replaced with a UK block exemption, when the CBER expires on 25 April 2024.

A copy of the decision is available on our website: Liner Shipping Consortia Block Exemption Regulation – GOV.UK (www.gov.uk). BIFA will review what is a complex text and update Members in the next edition of BIFAlink with further relevant information.

DATE

EVENT

REGISTER

Member Webinar: BIFA STCs: an overview

10 April

See https://bifa.org/events/list/

and practical application

to register

Member Webinar: Rules and proof of origin for preferential trade schemes and agreements

15 May

See https://bifa.org/events/list/

to register

including DCTS

BIFA Business Leaders Forum

16 May

Scan the QR

Central London

code to register

11-13 June Multimodal 24

Scan the QR

NEC Birmingham

code to register

Reporting Freight Related Crime to Border Force – Operations Pegasus and Pandora

Air Contact Numbers Tel: 0203 196 2456 (0700-2000) Tel: 0203 014 5604 (24-hours) Crimestoppers: 0800 555111 or 101 quoting reference Pegasus

Ocean Contact Numbers Tel: 01394 303 116 (Office hours) Tel: 07920 587808 (24-hours) Quoting the reference Pandora.

Please note that there are different numbers for air and ocean. Border Force has confirmed that all reports will be treated in the strictest confidence.

6 | March 2024

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BIFA News

Peter and the BIFA Secretariat team enjoy a Christmas meal (December 2013)

OBITUARY: Peter Quantrill

Peter offers the Loyal Toast at

the BIFA Awards 2012

1947-2024 All at BIFA and many BIFA Members were sad to hear that Peter Quantrill had passed away in January. Peter was Director General of BIFA from 2007 to 2014, a fi tting fi nale to an outstanding career in freight forwarding. Peter was a lifelong jazz fan and it was his passion for music that influenced his career direction when leaving education. His prime goal when looking for a job was how it would enable him to get to Chicago and see his jazz heroes in one of the city’s legendary night spots. He joined Aer Lingus as a cargo sales representative, achieving his ambition with discounted air travel. However Peter soon moved into freight forwarding, rising to

Peter and BIFAlink publisher Peter Edwards at Multimodal 2011

become managing director of Mercury Airfreight by the mid- 1980s. Senior roles followed with Emery/Menlo and UPS, before moving to BIFA in 2007. At BIFA, Peter was a steady hand after the association had experienced some turbulence, immediately getting to grips with securing an opt-out for the forwarding sector from the Insurance Mediation Directive.

Negotiating with HM Treasury, against a backdrop of the global financial crisis, took endeavour and skill, but Peter achieved a great victory for the industry. Peter was a warm and generous man who left his mark on BIFA with many enhancements and successes. Our condolences go to his family.

The Limits of Liability for Carriers

In association with

By air – Warsaw Convention (17 SDR): £17.79 per kg

By sea – Hague Visby rules (2 SDR): £2.09 per kg £697.76 per package

BIFA STC: (2 SDR): £2.09 per kg

By road – CMR (8.33 SDR): £8.72 per kg

Insurance for the Marine & Logistics industries

(The SDR rate on 13 February 2024,

By air – Montreal Convention (22 SDR): £23.03 per kg

according to the IMF website, was 1.04664)

+44 (0) 1628 532613

macbeths.co.uk

March 2024 | 7

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Policy & Compliance

Beware the supply chain ‘black hole’

The shadow supply chain uses all of the same components as the legitimate one, from route planning to warehousing, with stolen goods marketed and sold using legitimate internet platforms to unsuspecting buyers. Freight insurance provider TT Club is promoting awareness of this supply chain ‘black hole’

M uch freight crime is commercial businesses, as the ultimate aim. The processes of storage, transport, distribution and marketing of stolen goods often shadow those of legitimate supply chains, with criminals acquiring sophisticated logistics skills. Their knowledge assists them in targeting shipments at a multitude of points, from truck hijackings to pilfering items from poorly secured warehouses. perpetrated by organised crime; with pro fi t, similar to Needless to say, such theft not only results in significant financial losses but also disrupts the flow of goods, leading to delayed deliveries and dissatisfied customers. Landlord responsibilities The TT Club is striving to highlight the responsibility that landlords, in particular, have to properly vet tenants of storage facilities and how they can prevent properties being used to warehouse stolen goods. “In a recent operation, police in the UK discovered a warehouse, at a location in Bradford, that held hundreds of pallets of stolen goods. With the assistance of the National Vehicle Crime Intelligence Service (NaVCIS), the goods found were linked to known cargo theft incidents which spanned the previous six years and amounted to several million pounds in value,” stated TT Club spokesman Josh Finch.

He continued “The warehouse itself was an unassuming commercial unit which blended seamlessly with other legitimate businesses and exemplifies the duty landlords have to ensure that the sites they own and lease are not being used by their tenants for illegal purposes.” TT Club is endeavouring to pinpoint the warning signs, and the nature of due diligence that is essential in preventing such properties from being exploited by criminals. Such measures include: • Background checks to scrutinise the business operations, financial stability and track record of potential tenants; • Inspection of premises regularly to ensure they are being used for legitimate purposes; • Monitoring tenant activity, employing modern monitoring technologies, such as security cameras and access control systems; • Collaborating with law enforcement at a local level to share information and report any suspicious activity promptly; • Review of lease agreements to include clauses specifying the permissible uses of the property and outline the consequences for illegal activities; • Engagement of professional services such as security experts with experience in identifying and preventing criminal activities.

Increasing evidence from law enforcement agencies is confirming that a shadow supply chain operates alongside the legitimate transport of goods, using all of the same components from route planning to warehousing, with stolen goods marketed and sold using legitimate platforms to unsuspecting buyers. Collective effort “As TT helps operators to navigate the complex world of cargo theft and freight crime, it becomes increasingly clear that shedding light on this black hole requires a collective effort from all stakeholders in the supply chain, from law enforcement agencies to warehouse landlords. Only through such collaboration can we hope to mitigate this ongoing threat and safeguard the integrity of the supply chain,” concluded Finch. In many ways this guidance chimes with much that BIFA has been advising Members for many years - ‘Know your customer’ and ensure that thorough due diligence is conducted, both on clients and suppliers. The other issue raised by this disturbing development is that Members may be conducting business with such entities without realising it – especially where criminals may have purchased a previously legitimate business.

“ Increasing evidence from law enforcement agencies is con fi rming that a shadow supply chain operates alongside the legitimate transport of goods

8 | March 2024

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Policy & Compliance

Article 11 CMR Convention – Protection for transit movers

T he CMR Convention – an instrument of international 1956 governing the contractual relations for the international carriage of goods by road between the sender, the carrier and the consignee – is often overlooked in the context of international freight forwarding, or its signi fi cance is reduced to matters related to damage or loss of goods. The Convention, however, may prove more important than at first sight in relation to Customs compliance and potential liabilities related to duties and taxes and it is important that Members are aware of their rights and obligations when moving goods by road. private law adopted on 19 May In August 2023, BIFA published an article detailing a case study about how Article 23.4 of the CMR Convention was successfully used in a dispute involving payment of excise duty where the transported goods were stolen. A link can be found at: https://bifa.org/information- guidance/bifalink/ In this issue we would like to look at Article 11 of the CMR Convention, the text of which is quoted below: 1. For the purposes of the Customs or other formalities that have to be completed before delivery of the goods, the sender shall attach the necessary documents to the consignment note or place them at the disposal of the carrier and shall furnish him with all the information which he requires. 2. The carrier shall not be under any duty to enquire into either the Article 11 makes it clear that it is the sender who is responsible for provision of all the necessary documentation required for the completion of Customs formalities

accuracy or the adequacy of such documents and information. The sender shall be liable to the carrier for any damage caused by the absence, inadequacy or irregularity of such documents and information, except in the case of some wrongful act or neglect on the part of the carrier. 3. The liability of the carrier for the consequences arising from the loss or incorrect use of the documents specified in and accompanying the consignment note or deposited with the carrier shall be that of an agent, provided that the compensation payable by the carrier shall not exceed that payable in the event of loss of the goods. Responsible party Article 11 makes it clear that it is the sender who is responsible for provision of all the necessary documentation required for completion of Customs formalities

(Article 11, paragraph 1). It also states that the carrier shall not be required to carry out checks on whether the documents provided for Customs purposes are correct or adequate (Article 11, paragraph 2). However, in accordance with Paragraph 3, the carrier is liable for the consequences that may arise from the loss or incorrect use of the documents specified in Paragraphs 1 and 2 of Article 11. The convention does not go so far as to specify what these consequences might mean, but a Danish court ruling from 2022, examining Article 11 of the CMR Convention, may provide a good precedent for freight forwarders grappling with a very common and equally serious problem of undischarged transit movements caused by negligent carriers failing to present goods at either Customs or an authorised Customs location. In the aforementioned case, a Danish freight forwarder agreed to transport a shipment of pipe

“ Article 11, states that the carrier shall not be required to carry out checks on whether the documents provided for Customs purposes are correct or adequate

10 | March 2024

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Policy & Compliance

elements from Switzerland to Sweden. The forwarder subcontracted the carrying out of the transport to a Bulgarian carrier. The driver failed to present the goods at a Customs office in Sweden and as a result the carrier was subsequently ordered by the Swedish authorities to pay SKE360,463 worth of duty and import tax. The carrier filed a case against the freight forwarder demanding that the forwarder pay the monies as the carrier insisted the forwarder had not instructed them that the consignment should be presented to Customs upon entry into the European Union. Disputed claim The forwarder disputed this claim on the grounds of Article 11 of the Convention, insisting that it was the carrier’s responsibility to follow the correct Customs procedures at origin and destination. This argument found the court’s approval, which in turn stated as follows: “[The] court [is] not in agreement

with [the carrier’s] claim that information on the exact building or buildings the driver should go to when he arrived at the border crossing at Thayngen is information that must be submitted to the carrier pursuant to Art 11 of the CMR... The court finds that the e-mail communication... immediately after the truck crossed the border into the EU on 30 March 2021 cannot lead to [the carrier]... not being responsible for the failure to present the Customs documents. “If [the carrier] were to escape documents, it would firstly require a clear and unequivocal statement from [the carrier’s] side that the Customs documents had not been presented to the Customs authorities and then an acceptance of this relationship from [the forwarder’s] side. “[The carrier’s] statement in the email of 30 March 2021 at 17:04:49 by that ‘the Customs officer they saw the papers and do not do anything tell him to go only close ticket’ is not a clear and unequivocal indication that the Customs responsibility for the lack of presentation of the Customs

documents were not presented to the Customs authorities. On the contrary, the email shows that the driver was under the delusion that the documents had been presented to the Customs authorities.” Court ruling The Danish court’s ruling clearly states that it is the carrier’s responsibility to ensure that the Customs documents provided by the sender are used correctly and all procedures followed even if the sender has not provided the carrier with detailed instructions on how to use them. While, to BIFA’s knowledge, Article 11 of the CMR has not been tested in the UK in cases involving undischarged transit movements or goods not presented at Customs for clearance, we can certainly see UK judges adopting a similar approach consequently provide a high degree of protection for forwarders relying on third-party carriers moving goods covered by their transit or similar guarantees. in comparable scenarios. Article 11 of the CMR may

“ Article 11 of the CMR may consequently provide a high degree of protection for forwarders relying on third-party

carriers moving goods

covered by their transit or similar guarantees

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March 2024 | 11

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Policy & Compliance

Safeguarding the Union How will the new deal affect trade between Great Britain and Northern Ireland? “ The government has identi fi ed a new package of proposals

T he Windsor Framework, which was announced in February 2023 and came into effect in October 2023, delivered a number of signi fi cant changes to the original NI Protocol in an attempt to address many of the practical and political concerns raised by traders and politicians in Great Britain and Northern Ireland. The Windsor Framework introduced the concepts of ‘green’ and ‘red’ lanes for goods for the UK internal market system, which were developed in order to ease some of the burden related to moving goods between Great Britain and Northern Ireland. Building further on the Windsor Framework, and in an attempt to restore a devolved government in Stormont, the UK government has consulted with Northern Irish political parties and the business community. They have identified a new package of proposals that look to fully protect Northern Ireland and its place in the Union.

On 31 January, the details of the proposed deal were published by the UK government in a Command Paper entitled ‘Safeguarding the Union’, paving the way for the re-instatement of the Northern Ireland Assembly last month. Signi fi cant changes Some of the significant changes that will be implemented by the new devolution deal (QR code: Item 1 – new devolution deal) and impacting the movement of goods and the UK’s internal market are listed below: • A new legal duty for ministers, when introducing primary legislation, to consider whether it would affect trade between Northern Ireland and other parts of the UK because it would diverge from EU rules as applicable in Northern Ireland; • New legislation (QR code: Item 2 – Windsor

that look to fully protect Northern Ireland and its place in the Union

12 | March 2024

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Policy & Compliance

‘not for EU’ labelling systems for certain goods sold in Northern Ireland to the rest of the UK; • Establishing a new body, Intertrade-UK, to promote trade within the UK. Constitutional position Changes relating to Northern Ireland’s constitutional position and how the devolved institutions assent to relevant new EU legislation: • Amending the part of the 2018 EU (Withdrawal) Act 2018 (QR code: Item 6 – EU Withdrawal Act) that provides the legal mechanism through which certain EU laws are given legal effect in the UK, to make reference to the Democratic Consent (QR code: Item 7 – NI Protocol Democratic Consent) and Stormont Brake (QR code: Item 8 – Stormont Brake) procedures set out in the Northern Ireland Protocol/Windsor Framework; • Enshrining in law the UK government’s commitment to conduct an independent review after a Democratic Consent vote, if democratic consent for continuation of Northern Ireland alignment with EU rules on goods is obtained by a majority of Assembly members voting but not with cross- community support; • Establishing a new East-West Council, a forum for representatives from government, business and the education sector from Northern Ireland and Great Britain, to “identify opportunities for deepening connections between Northern Ireland and the rest of the UK in areas such as trade, transport, education and culture”; Other proposals: • Complete the devolution of Corporation Tax to Northern Ireland, which has “stalled” despite commitments made in the 2014 Stormont House and 2015 Fresh Start agreements; • Although it does not form part of the Command Paper, a financial package was outlined by the Secretary of State for Northern Ireland in a statement on 20 December 2023, that he said was “worth in excess of £3 billion”. BIFA will follow further developments and update Members accordingly.

Containers being unloaded at the port of Belfast

Framework) preventing UK government from entering new agreements with the EU that supersede all or parts of the current Protocol and that would create new regulatory barriers between Great Britain and Northern Ireland (this does not affect new EU laws being applied to Northern Ireland under the existing Protocol); • Changes to the UK Internal Market Act (QR code: Item 3 – UK Internal Market Act) (IMA), which reinforce the policy of unfettered access of qualifying Northern Ireland goods to the Great Britain market; • Tightening the definition of Qualifying Northern Ireland Goods (QR code:- Item 4 – Qualifying NI Goods) under the IMA, to try to ensure only Northern Ireland traders benefit from unfettered access to Great Britain, and not those just re-routing goods through Northern Ireland to avoid border checks; • Proposed changes (yet to be detailed) turning the ‘green lane’ for goods in Northern Ireland into an ‘internal market system’ that the government says will reduce “burdens and formalities”. In particular, the government is seeking EU agreement to expand the list of agri-food products from outside the UK and the EU that can enter Northern Ireland from Great Britain via this ‘lane’; • A consultation on proposed legislation (QR code: Item 5 – Marking retail goods draft) to extend the

Item 3 - UK Internal Market Act

Item 4 - Qualifying NI Goods

Item 1 - new devolution deal

Item 2 - Windsor Framework

Item 5 - marking of retail goods draft

Item 6 -2018 (Withdrawal) Act

Item 8 - Stormont Brake

Item 7 - Democratic Consent

March 2024 | 13

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Sustainable Logistics

this enables them to provide their customers with more accurate information, leading to more informed decision-making and the ability to identify areas of emissions reductions. Other advantages ISO 14083 places significant emphasis on end-to-end coverage, addressing emissions throughout the complete freight transport chain, and ensures that emissions reporting can be focused on both the individual legs and the overall shipment. The standard also considers the operation of running empty trips required for subsequent transportation of freight and includes vehicle repositioning trips and empty backhauls, ensuring that emissions from these often-overlooked segments are considered in the overall emissions measurement and reporting process. How does ISO 14083 bene fi t freight and logistics overall? ISO 14083 has been positioned as a catalyst for comprehensive decarbonisation in freight and logistics. By offering a clear pathway for emissions tracking and reduction, the standard acts as an enabler and helps businesses prepare for impending emissions disclosure regulations. For freight forwarders, the adoption of emissions measurement tools certified to be in accordance with the ISO 14083 standard is emerging as a key differentiator between forwarders looking for a distinct advantage in the market. It provides clarity throughout the industry, helping increase trust and transparency in the emissions measurement process. ISO 14083, therefore, not only shapes operational efficiency but can also serve as a cornerstone for forwarders looking to thrive in an eco- conscious business landscape. BIFA acknowledges the assistance of Pledge in the preparation of this article. A longer article on the subject can be found at www.pledge.io scan the QR code to read.

ISO 14083: A guide for freight forwarders

ISO 14083 not only shapes operational ef fi ciency but can also serve as a cornerstone for forwarders looking to thrive in an eco-conscious business landscape

T he logistics industry is responsible for 11% of the world’s total carbon emissions. As global calls for decarbonisation intensify, the emissions produced from freight and logistics are under the spotlight. However, the complexity of decarbonising the industry has so far restricted progress. In this context, ISO 14083 has emerged as a tool to assist turning freight towards a more sustainable path. What is ISO 14083? The International Organisation for Standardisation (IS0) has introduced ISO 14083: Quantification and reporting of greenhouse gas emissions arising from transport chain operations. ISO 14083 has been published because industry experts have identified that there needs to be an international consensus on the reporting of emissions from supply chains. So, specifically it will look to give structure to the management of greenhouse gas emissions from your supply chain, otherwise known as Scope 3 emissions. See Scope 3 emissions: a crucial guide for freight forwarders in the February 2024 issue of BIFAlink (https://bifa.org/information- guidance/bifalink/).” It replaced the European Standard EN 16258 at the end of 2023, transitioning towards a more globally recognised standard

for emissions reporting in the logistics sector that extends across all modes of transportation. ISO 14083 is not the first framework for measuring transport chain emissions – the Smart Freight Centre’s GLEC (Global Logistics Emissions Council) Framework set the scene and has been the recognised standard for measuring frameworks will not only streamline operations within the industry, but also enhance accessibility for governments, international bodies and investors looking to adopt standardised processes. emissions within freight and logistics for a decade. The harmonisation of these two Emissions from hub operations A critical strength of ISO 14083 lies in its holistic approach to emissions calculation, extending beyond just transport emissions. The standard considers the broader spectrum including logistics hub operations; with logistics sites typically contributing anywhere from 11% to 30% of the total emissions of a shipment, this calculation method offers a more comprehensive view of a shipment’s entire carbon footprint. Importantly for forwarders,

“ A critical strength of ISO 14083 lies in its holistic approach to emissions calculation, extending beyond just transport emissions

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BIFA Awards

clients, supply chain emissions analysis showed that road freight emissions could be cut by 25%. Naturally, Woodland Group is also working on its own carbon footprint. The installation of solar panels at its Heathrow site is complete and a similar project started in February at the company’s Doncaster facility. Andy Papps, head of corporate services, said: “Doncaster will be our flagship sustainable site. It is newly built and has features like surface water collection and a rail port.” He believes rail has “the best chance it has ever had” for a resurgence, partly because it has a lower carbon footprint than trucking but also because many haulage companies are struggling with the cost of vehicles and fuel, a lack of new drivers and the downturn in the economy. “So we are offering rail as an alternative,” Papps said. “We are also doing HVO and electric vehicle trials at Doncaster, and we are looking at offering an HGV driver apprenticeship.” Unusual initiatives While the focus of Woodland Group’s BIFA Award entry was on the well-established topic of carbon emissions, it has also set For example, the company is working to improve biodiversity around its facilities. “Most of our UK sites have bee hotels that our staff have built – usually from waste pallets,” said Warren. This is part of Woodland Group’s global team- building project aimed at supporting local biodiversity. Since then, the company has hosted ‘Environ(Mental) Days’ at a number of its sites. These involve staff planting trees, installing flowerbeds and building wildlife habitats, thus combining the mental health benefits of time spent outdoors and in community with environmentally beneficial activity. Woodland Group also organises volunteering sessions where staff assist with forestry work, or even with sports days aimed at children with disabilities – demonstrating that the scope of sustainability these days is broad indeed. Ultimately, it sees sustainability as a defining issue of our time. up some rather unusual sustainability initiatives.

Woodlanders volunteer for one of the company’s sustainability initiatives.

Woodland Group tackles de fi ning issue of our time

Winning the fi rst BIFA Award for Sustainable Logistics and the Environment , Woodland Group demonstrated its steadfast commitment to environmental responsibility through a broad range of initiatives, including carbon reporting

I n terms of Woodland Group’s contribution to its customers’ green targets, its carbon calculator is a vital tool. “We collect raw data from our operating system and feed it through a carbon reporting kit with emissions factors taken direct from carriers or vehicle manufacturers, for instance,” outlined Sam Warren, sustainability manager. “We can be very specific according to mode or even down to carrier level and all public reporting is independently verified,” he added. Accredited by Smart Freight Centre, Woodland Group’s carbon calculator aligns with the GLEC Framework and meets standards such as EN 16258, the GHG protocol and ISO 14083. Included in calculations are transport distances, energy consumption, greenhouse gases and air pollutants, as well as detailed emissions for well-to-wheel (WTW) and tank-to-wheel (TTW). Built directly into the company’s operational system, the calculator automatically determines transfer points for ports, airports and railway stations, includes network- specific attributes such as street category or electrification, and automatically detects stopovers

based on flight numbers. Customers’ interest in carbon reporting goes beyond simply measuring emissions post hoc, though. Warren said: “Many are now asking for hypothetical scenarios so they can choose the transport option that will reduce their emissions the most.” Examples of this in action include comparisons between keeping production in the Far East and shipping goods to the UK by sea, or moving manufacturing to Europe. Despite the shorter distance, the increased road freight component of the latter option would have resulted in higher emissions. For another of Woodland Group’s

“ Doncaster will be our fl agship sustainable site. – Andy Papps, Woodland

Sustainable Logistics and the Environment

American Airlines Cargo provides one of the largest cargo networks in the world with cargo terminals and interline connections across the globe. Every day, American transports cargo between major cities in the US, Europe, Canada, Mexico, the Caribbean, Latin America and Asia. Together with wholly owned and third-party regional carriers operating as American Eagle, the airlines operate an average of approximately 6,700 flights per day to nearly 350 destinations in over 50 countries

16 | March 2024

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BIFA Awards

Enjoying a fully committed approach to logistics

to be a music teacher,” he said, revealing that he plays the pipes. “I am still passionate about music, and I play in the pipe band that Peterson sponsors.” In fact, Chris is finding ways to incorporate teaching into his career in logistics. “It is important that we impart the knowledge we have to new members of staff,” he said. “Skills are not meant to be kept to yourself – they are meant to be shared. All the tasks my team have to do are things I have done myself during my career, including driving forklifts or unloading trucks. Sharing my experience and being relatable makes their job easier and more enjoyable.” One of Peterson’s seven apprentices reports directly to Chris. He explained: “The apprentice on my team is working with me full time while completing his apprenticeship. I am mentoring him – so I am getting to teach after all!” Balance Chris puts in extensive out-of- hours and weekend work, as Peterson’s quay operates 24/7. Between that and the other demands of his role, he finds it essential to make time for himself. “The key to a healthy work-life balance is setting aside that time to switch off and throw myself into music or being with my partner and children; family time is a big thing for me,” he said. What other advice would Chris offer to young people about to embark on their career? “I would say you should throw yourself in, feet first, and go for it. Even if something terrifies you or you have never considered it before, it could end up being the best thing in the world. “When I joined the business, I would never have thought I could learn as much and progress as I have in such a relatively short space of time, and at the same time enjoy my job to the extent that I do. “My plan is to continue to work up the management structure, expand my skillset, and possibly also expand my remit beyond warehouse management,” Chris concluded.

Young Freight Forwarder of the Year Chris Carter talks to BIFAlink about being proactive, fi nding a work-life balance, and what he loves best about working in logistics

C hris Carter joined the industry at the age of 17 through a commercial trainee programme. At that time, in 2015, apprenticeships and traineeships in Aberdeen were primarily aimed at graduates – so Chris took a proactive tack to get his career off the ground. “I emailed local oil companies when I left school and I was invited to meet the head of HR at Peterson. Things developed from there and I was offered the position of trainee freight coordinator,” he said. In 2021 he was promoted to Customs and warehouse supervisor. Then, in 2022, he also became responsible for Peterson’s domestic transport division. Travel opportunities Furthermore, Chris acts as project manager for vessel charter operations. This aspect of his role has included travel to Israel to oversee the discharge of a sizable charter in 2019. “What I enjoy most about this industry is the variety,” he said. “No two days are the same, and I work with people from different cultures, backgrounds and religions. “Also, I have a brilliant team under me. Without them I could not do my job, and it is great to have colleagues who are also friends.” Chris has the sort of enthusiasm for his work that is impossible to fake. But joining the freight forwarding industry was by no means his childhood dream. “When I was at school I wanted

Virgin Atlantic Cargo is proud to 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. Young Freight Forwarder Award

18 | March 2024

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Policy & Compliance

In response to BIFA Member enquiries, BIFAlink is publishing this Border Target Operating Model (BTOM) Implementation Timeline, listing the forthcoming changes. Please note that the changes from 31 January are already in force and must be followed in order to import affected SPS goods to the UK BTOM implementation timeline

31 January 2024: • The introduction of health certification on imports of

medium-risk animal products and high-risk food and feed of non-animal origin (HRFNAO) from the EU and European Free Trade Association (EFTA); • The introduction of phytosanitary certification on medium-risk plants and plant products from the EU, Switzerland and Lichtenstein; • The removal of pre-notification requirements for low-risk plant and plant products from the EU, Switzerland and Lichtenstein; • Low-risk animal product imports from EU and EFTA countries must continue to pre-notify as prior to 31 January 2024; • The introduction of pre- notification for HRFNAO, medium and low-risk animal products, from the EU, EFTA and non- qualifying Northern Ireland goods that are shipped from the island of Ireland; • The introduction of pre- notification for medium-risk plants and plant products from the EU, Switzerland and Lichtenstein, as well as for non- qualifying Northern Ireland goods, that are shipped from the island of Ireland. 30 April 2024: • The introduction of documentary and risk-based identity and physical checks on medium risk animal products, plants, plant products and high- risk food and feed of

“ The full text of the Border Target Operating Model (BTOM) is available to download from Gov.uk via the QR code

non-animal origin from the EU; • Existing inspections of high-risk plants/plant products from the EU, Switzerland and Lichtenstein will move from destination to border control posts; • Process to begin to simplify imports from non-EU countries. This will include the removal of health certification and routine checks on low-risk animal products, plants, plant products from non-EU countries as well as reduction in physical and identity check levels on medium-risk animal products from non-EU countries. 31 October 2024: • The requirement for Safety and Security declarations for imports

into Great Britain from the EU or from other territories where the waiver applies will come into force from 31 October 2024 as set out in the original Target Operating Model; • Alongside this, the introduction of a reduced Safety and Security dataset for all imports, and use of the UK Single Trade Window to remove duplication where possible across different pre- arrival datasets – such as pre-lodged Customs declarations.

The full text of the Border Target Operating Model (BTOM) is available to download from Gov.uk via the QR code, left.

March 2024 | 19

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11-13 June 2024 NEC Birmingham UK

MULTIMODAL: SUSTAINABLE TRANSPORT, LOGISTICS & SUPPLY CHAIN MANAGEMENT EVENT FOR CARGO OWNERS Multimodal 2023 was the biggest and most successful event in its 16-year history. With over 320 exhibitors and 12,267 visitors, an increase of 25% on last year, it was a must-attend event for anyone involved in the supply chain industry.

Here are just a few of the reasons why you should exhibit at Multimodal 2024: • Reach a large and influential audience of over 12,000 visitors • Connect with new customers, partners, and prospects • Showcase your products and services to a captive audience • Stay ahead of the curve by learning about the latest trends in logistics • Network with other industry leaders

Multimodal continues to be an important event for Kuehne+Nagel UK, providing us with a unique opportunity to connect with our valued customers, strategic partners and industry organisations over a span of three days. Multimodal enables us to showcase and delve into key strategic topics, fostering engagement with the market through multiple interactions.

Another great #multimodal2023 event this week.

First of all, let me congratulate you on the delivery of a fantastic event. We were very happy and impressed with the levels of attendance and engagement, well done!

Contact us now for exhibiting and sponsorship opportunities www.multimodal.org.uk +44 (0)20 7384 7760 | multimodalteam@clarionevents.com

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