BIFAlink is BIFA's monthly magazine covering issues of importance for the logistics and supply chain industry.
December 2021 The magazine of the British International Freight Association BIFA link Issue: 376 www.bifa.org
INSIDE
6: News National Apprenticeship Week 2022: Support our jobs fair 8: Policy & Compliance A hidden EU-Exit issue: Rules of Origin regulations 10: Policy & Compliance Customs controls: tips for hauliers 12: Events What a response! The BIFA Awards have attracted a big field of outstanding entries
Follow us @BIFA Multimodal is back! – Pages 18-19
Robert Keen’s Column
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Christmas deliveries in perspective
BIFAlink is the official magazine of the British International Freight Association Redfern House, Browells Lane, Feltham TW13 7EP Tel: 020 8844 2266
As I wrote this column there had been a flurry of headlines in the mainstream media suggesting that, as a result of the significant issues affecting global supply chains, Christmas would be cancelled this year. That prompted us to issue a statement urging the need to maintain a sense of perspective, or the headlines may become a self-fulfilling prophecy. In that statement we noted that more teu were shipped successfully in August 2021 than in August 2019 before the pandemic and plenty of cargo is being moved successfully.
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Director General Robert Keen r.keen@bifa.org Executive Director Robert Windsor
The issues affecting supply chains were certainly a topic on everyone’s lips at the Multimodal 2021 conference and exhibition in October, where it was really good to meet so many BIFA Members. The hall was a bit smaller than previous years but as it was full, the show seemed as vibrant as past events. I was particularly pleased to see the high profile of the BIFA Freight Forwarder village at the show. Read the full report on pages 18-19. You may have noticed our increased emphasis on the younger generation in recent issues as we have encouraged BIFA Members to take on an apprentice. We are also reaching out to schools to raise the profile of logistics as a career. To repeat our recent calls, we need BIFA Members to assist us in this challenge, contact Carl (c.hobbis@bifa.org) or Nezda (n.leigh@bifa.org) for information. We have some new faces at the Secretariat in Feltham and we welcome Sharon Sampeys as Training Administrator and Natalie Pitts as Communications Manager. Read more about Sharon and Natalie on page 22. Also, in this edition of BIFAlink you will find updated information on using the lien clause in the BIFA Standard Trading Conditions. Liens are a particularly tricky subject and we have had a couple of instances recently reported to us where there were problems for BIFA Members when attempting to apply a lien. More often than not, a lien is a way of focusing the customers attention and the matter is resolved without going to Court, however the need to have a suitable solicitor to advise you should not be forgotten, especially when there are Administrators or Liquidators involved. This seems an appropriate point to remind readers of the information we provide in our “Good Practice Toolbox” which you can find at www.bifa.org under the information tab. Here you will find a number of guides on a wide range of topics about which BIFA Members often call. Well, that’s the end of another year’s worth of BIFAlink and I hope you have benefited from the information we have been providing. You don’t need a crystal ball to realise that 2022 will be just as challenging with further changes to Customs procedures concerning EU Exit on 1 January and 1 July. Of course, BIFA Members will assist their customers in navigating the changing legislative landscape as EU movements continue the transition from being a simple delivery process back to being a full freight forwarding activity, cargo owners will benefit from the wide range of technical assistance that BIFA Members provide. To end, I would like to send you my very best wishes for a peaceful festive season and prosperous new year.
r.windsor@bifa.org Executive Director Spencer Stevenson s.stevenson@bifa.org Executive Director Carl Hobbis c.hobbis@bifa.org Policy & Compliance Advisor Pawel Jarza p.jarza@bifa.org Policy & Compliance Advisor David Stroud d.stroud@bifa.org Editorial Co-ordinator Sharon Hammond s.hammond@bifa.org Communications Manager Natalie Pitts n.pitts@bifa.org Membership Supervisor Sarah Milton s.milton@bifa.org Published by Park Lane Publishing peter@parklanepublishingltd.com Contributors
Robert Keen, Robert Windsor, Pawel Jarza, David Stroud, Spencer Stevenson, Carl Hobbis, Sharon Hammond, Natalie Pitts, Nezda Leigh Note to media: If you wish to use items in this magazine that are older than 1 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.
Robert Keen Director General
** Stop Press!! **
As this edition of BIFAlink went to print, HMRC released the official digital assets to support businesses with the changes coming into effect on 1 January 2022. Thorough communication of these changes is key to driving awareness and understanding so that our industry can make the necessary alterations to keep importing goods. Whilst BIFA has been sharing information about process changes and events originating from individual departments, the Cabinet Office has now shared with BIFA the official documents for our Members to use when communicating the new requirements. Examples of the assets provided include printable A4 posters, social media images and digital screen content. These documents have been presented to us using ‘Dropbox’ folders which are accessible by anyone with the relevant links. Please visit bifa.org > Information > EU Exit 2020 > Trade In Goods Post Transition to access these assets.
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Ian Matheson, from Impress Communications, reviews some recent news that might impact on Members’ business
September 2019, despite the current restrictions on capacity which remains at 8.9% below September 2019, it said. Cargo that ends up in limbo in on- airport warehouses is exacerbating the congestion crisis, said panellists during a recent Air Cargo World webinar entitled ‘ Thinking outside the terminal: Cargo airports of the future’ . Quickly moving cargo off-airport and building a workforce sufficient to meet the handling needs are keys to efficient operations at major airports. The cost-competitiveness of air cargo relative to that of container shipping remains favourable, IATA said in November. Pre-crisis, the average price to move air cargo was 12.5 times more expensive than container shipping, whereas in September 2021 it was three times more expensive.
Rotterdam port highlights mega boxship pressures
ON THE OCEAN The pressures on port and landside operations across the different modes created by the introduction of containerships in the 23,000- 24,000 teu range was clearly explained by the Port of Rotterdam in a presentation. It said such vessels could be discharging or loading up to 10,000 teu in a call at one of its terminals, equating to around 6,000 moves. The rising number and increasing size of large insurance claims relating to containership operation is of mounting concern both to hull underwriters and P&I clubs. There have been more than 30 incidents requiring payouts from the 13- member International Group of P&I Clubs’ (IG) pooling arrangements since 2016, covering claims of between US$10 million and US$100 million. The rapid increase in ship size has been identified as a key factor across most risk sectors, as well as containership fires, whilst containers lost overboard and container stack collapses are also rising in frequency. Current container supply chain congestion is set to continue through 2022, with the delayed return to liner schedule reliability a key factor, according to the Port of
Rotterdam. It added that the situation is compounded by 25% of global containership capacity being essentially out of the market as it waits outside ports for berths – a chicken and egg situation with lines blaming their poor schedule reliability on delays and congestion at ports. OVERLAND A survey of 200 German transport companies found that entry barriers continue to prevent many forwarders from shifting truck transports to rail. Respondents said that major obstacles to switching include the effort required for planning, a lack of expertise, road haulage companies’ lack of loading units that can be lifted by a crane and loaded onto a train, the lack of awareness of the services and prices offered by combined transport (CT) operators, and lack of access to suitable CT train connections near their locations. Following an announcement during COP26, all new road vehicles in the UK will be zero emission within the next two decades, as 32 countries including the UK, six major vehicle manufacturers, 39 cities, states and regions, 28 fleets and 13 investors jointly set out their determination
for all new car and van sales to be zero emission by 2040 globally and by 2035 in leading markets. A UK government review will seek to improve compulsory ongoing training for HGV drivers. It will also evaluate whether the current requirement for drivers to undergo five days of training every five years, to ensure they remain fully qualified to drive HGV professionally and remain up to date with road safety standards, is fit for purpose or discouraging many drivers who have left the profession from returning. IN THE WAREHOUSE The current warehouse crunch is part of a complex web of overloaded infrastructure exposed by the COVID-19 pandemic and developers cannot build fast enough. Property group CBRE estimates that for every US$1 billion increase in online sales, there is a need for an additional 1 million sq ft of warehouse space. IN THE AIR Global air cargo markets saw a steady growth in demand during September, compared with pre- pandemic levels, IATA reported in November. Global demand increased by 9.1% compared with
ON THE QUAYSIDE According to the Marine Exchange
of Southern California, on 9 November there were 81
containerships either at anchor or loitering in drift areas in San Pedro Bay waiting to dock at the ports of Los Angeles and Long Beach. This surpassed the previous record of 79 boxships queued on 21 October. The Port of Felixstowe has announced a major investment in new equipment to help decarbonise its operations, placing orders for 48 battery-powered terminal tractors and 17 zero- emission remote-controlled electric rubber-tyred gantry cranes. IN BUSINESS As labour shortages across the supply chain hit the front pages, the cry goes up from the more excitable elements of the media to ‘save Christmas’. Unfortunately, as businesses and politicians are beginning to realise, the skills and labour crisis is of long standing and will not be properly resolved in three months by any number of quick fixes.
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And the Grinch, with his Grinch-feet ice cold in the snow, stood puzzling and puzzling, how could it be so? It came without ribbons. It came without tags. It came without packages, boxes or bags. And he puzzled and puzzled 'til his puzzler was sore. Then the Grinch thought of something he hadn't before. What if Christmas, he thought, doesn't come from a store. What if Christmas, perhaps, means a little bit more.
- Dr. Seuss, How the Grinch Stole Christmas!
Wishing all our customers a very happy Christmas and a prosperous new year from all of us at ASM.
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Revised BIFA advice on taking a lien published The BIFA Standard Trading Conditions (STC) contain a useful tool in clause 8, known as the lien clause. Liens are common in many aspects of business when goods are not released until payment has been made, and the term “possession is nine tenths of the law” is often used when the topic is discussed. However, there can be complications regarding ownership and following the correct procedures is essential if you find the matter before a court. If you are thinking of using the lien clause in the BIFA STC, basic advice might be to consult a solicitor. BIFA Members quite often have the ability to use a lien to focus their customers’ attention on paying their invoice(s) and quite often the threat is enough to secure payment. There are, however, often situations where the advice of a solicitor is essential such as, if the goods are branded, or if the customer has failed and an administrator has been appointed. We have reviewed our published information and consolidated it into a single document, ‘Exercising a lien using the BIFA Standard Trading Conditions’. This guide can be found on the
National Apprenticeship Week 2022: Support our jobs fair
BIFA launched the School Engagement Programme in September, promoting the freight forwarding and logistics industry within schools and colleges in England. With the skills shortage mentioned regularly by our Members, our aim is to educate young people and inspire them to start their career as an apprentice within the sector. We are partnering with one school in each of our main regions – Heathrow, Essex & London East, Anglia, Midlands, Manchester, Liverpool and Solent. We will then add other regions. BIFA and some of our Members have already attended a handful of career-based events at our partner schools and students are showing a keen interest. National Apprenticeship Week is taking place from 7-11 February 2022 and we are excited to join forces with the Logic Studio School, near Heathrow, where we will hold a Logistics Careers Fair for Years 10-13 on Wednesday 9 February. It is our intention to do something similar in other regions.
How Can You Help? We need you to attend this event, and other career- based events, held in our partner schools. We have been invited to attend careers fairs, speed networking, lunch and learn, and mock interviews. These are a great way to make students aware of our industry and recruit strong candidates as an apprentice for your company. If you can support our Student Engagement Programme, please contact Nezda Leigh on n.leigh@bifa.org to hear about events in your region.
What are your out-of-hours availability?
HMRC is urging forwarders to plan out-of-hours coverage. As traders prepare for the introduction of full Customs controls on 1 January 2022, it is important that you take time to think about the out-of-hours services that you provide to customers. Trade in goods is a 24/7 operation and traders may require your support when they move goods through the UK Border outside your standard business operating hours. This could be for a number of reasons, for example if their goods require additional checks or some required information is missing. If this is the case, HMRC or UK border officials may need to contact you to supply additional information on behalf of your customers; if we are unable to do so, this can cause significant delays to the goods’ onward journey and generate extra costs. Now is the time to consider the
BIFA website under the tab Information > Good Practice Toolbox – BIFA.
Of necessity, the document has been written in formal legal terms and should be read carefully. There are many issues to consider so we have presented the information in a Do and Don’t format. We have incorporated into the document guidance on how to draft a lien letter. A key recommendation is to use a solicitor who is well versed in the intricacies of freight forwarding.
procedures that you have in place, to support your customers when they need to move goods through the UK border outside your usual business hours. To help traders find the appropriate intermediary for their needs, you should make it clear what your operating hours are to both your current and potential customers. When you provide guidance about the out-of-hours service that
you can provide to customers, you will ensure that unnecessary delays are avoided when your customers move their goods. There is also lots of useful information on www.gov.uk that will
help your customers as they prepare for the changes from 1 January 2022. Find out more at www.gov.uk/guidance/brexit- guidance-for-business
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Scamdemic – a price of lockdown
During the COVID-19 crisis we have received many more reports of, and questions about, cybercrime in its many guises. The advice is largely the same in all cases – for instance, e-mails from an unknown source should be carefully checked and company procedures followed prior to opening. However, Members are asking us who suspicious messages should be reported to? The UK has established the National Cyber Security Centre (NCSC) and it is to this agency that such suspicious messages should be reported. As of 31 August, a total of 7,250,000 suspicious messages have been reported, with the removal of 59,000 scams and 112,000 Unique Reference Locators (URLs). The correct address to report all scam e-mails to is report@phishing.gov.uk It is emphasised that you should not report a suspected crime to the NCSC. If you think you may have been a victim of fraud or cybercrime, you should report it to: • Action Fraud if you live in England, Wales or Northern Ireland, www.actionfraud.police.uk, or call 0300 123 2040.
• Police Scotland if you live in Scotland – call 101. After reporting a suspicious communication, the NCSC acknowledges its receipt providing generic information on how the matter will be dealt with. We have been informed by parties who had been receiving scam e-mails that after the matter has been reported to the NCSC, there
is a noticeable reduction in such messages. The perpetrators sending such emails rely on the fact that many recipients simply do not know what course of remedial action to take. By reporting spam emails, etc, to the NCSC, it gives it the opportunity to investigate and at least disrupt the flow of such malicious e-mails.
INDEPENDENT CUSTOMS CLEARANCE SPECIALIST
Contact Universal Customs Clearance today to see how we can assist you with quick and reliable customs clearances
Call Nigel to discuss your requirements on sales@universalcustomsclearance.co.uk +44 (0)1304 801087
A very Merry Christmas to everyone and wishing you all good fortune in 2022!
By air – Warsaw Convention (17 SDR): £17.68 per kg
By sea – Hague Visby rules (2 SDR): £2.08 per kg £693.37 per package
BIFA STC: (2 SDR): £2.08 per kg
By road – CMR (8.33 SDR): £8.66 per kg
(The SDR rate on 17 November 2021, according to the IMF website, was 1.04005)
By air – Montreal Convention (22 SDR): £22.88 per kg
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A hidden EU-Exit issue
criteria or not. Also there have been reports of preference being claimed where there has been insufficient processing of the product. For instance, simply placing a ‘Made in UK’ sticker on goods manufactured in China would not qualify the goods as being of UK origin. Up to a point, EU officials have been relatively relaxed about enforcing such regulations. However, BIFA is aware that stricter enforcement is imminent. Since 2016, Dutch Customs have employed 900 additional officers and have now advised that they will be conducting random checks and enforcing origin rules more strictly. Duty charges The impact of this approach will be that duty will be charged at the time of import on goods that do not comply with the origin rules, thus increasing the cost of such goods being imported into the EU; in a way, it is a method of imposing controls to ensure that correct tariffs are collected. Forwarders, particularly those clearing goods under Delivery Duty Paid (DDP) terms, should consider how to handle the scenario where they have acted on an ‘indirect’ basis for a non- established importer and the goods fail the origin criteria. Almost inevitably previous shipments will be investigated with the potential for a significant post-entry clearance demand being issued. On a more day-to-day basis, it is important to ensure that all parties are aware of who will be responsible for any additional costs if a vehicle is delayed whilst checks are carried out, or where the entry has to be amended to reflect the true origin. It is important that traders are made aware of these facts and Members should consider reminding their customers of this important and often overlooked issue.
It is understood that some EU countries will soon be more strictly enforcing Rules of Origin regulations and applying duty on the spot. Forwarders should consider how to handle such potential scenarios
When forwarders and Customs agents act as intermediaries, they are reliant on the information provided to them by their customer. It is taken on trust that the customer has performed their role correctly and this premise is enshrined in Clause 17 of the BIFA STC. Full and accurate information is required for a variety of purposes – for instance ensuring the correct transportation/stowage of cargoes and all aspects of regulatory compliance such as preparing and submitting Customs declarations. A major element of this is ensuring that the correct duty is paid. Since 1 January 2021, for trade with the EU, this has meant that preference can be claimed where shipments meet the applicable rules of origin... but do they? The Trade Agreement Annexes 2 and 3 cover many of the Rules of Origin, while Annex 7 provides the specific wording for the invoice declaration confirming the product’s origin. These rules are product- specific and complex. The certification requirements, which allow for goods to be imported duty free into the destination country, apply equally to UK exporters shipping to the EU and to EU producers shipping to the UK. However, to
qualify the goods have to meet the relevant origin criteria, which can be complex with rules varying from one product to another. One criterion is that sufficient processing takes place that changes the first four digits of the tariff heading, so for instance raw rubber becomes a tyre. From the UK’s perspective, another method of meeting the origin rules is to ensure that during the process sufficient UK-manufactured components are used, or enough value is added, to qualify the resulting product as being “made in the UK”. The rules apply in reverse for goods produced in the EU destined for the UK. One-year grace period Due to the complexity of the rules, exporters on both sides were given a one-year grace period that reduced the required documentation. During the one-year grace period, UK and EU companies were allowed to certify that their goods did qualify for zero-tariff access under the origin rules, even where they were unable to obtain the supporting evidence from their suppliers. There is evidence emerging, and being reported in the press, that UK companies are claiming the preferences when in fact they have no idea whether the product meets the origin
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OPERATIONS
ACCOUNTS
CRM
BOXTRAX
WAREHOUSING
WEB API’S
PO MANAGEMENT
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to check how busy each site is before they travel so that they can avoid delays. To download the app, search ‘Attend an Inland Border Facility’ on the App Store or Google Play Store. For more information, go to www.gov.uk/going-to-an-inland-border- facility HM Revenue & Customs gives some advice for hauliers regarding the new Customs controls coming into operation from 1 January and also about attending UK-wide Inland Border Facilities Customs controls: tips for hauliers
• Ensure the driver has all the information and documents that he or she will need to present when arriving at the IBF. For outbound transit movements, you must have the Local Reference Number (LRN). LRNs can be entered into the ‘Attend an Inland Border Facility’ app where they can be associated with a vehicle registration number when booking a vehicle into an IBF. Where to find information You can find more information about when drivers need to go to an IBF, as well as a full list of IBF locations across the UK and what paperwork the driver will need to bring when they arrive at the IBF, at: www.gov.uk/government/publications/attending- an-inland-border-facility/attending-an-inland-bor der-facility If you would like more information on moving goods between Britain and the EU, including how to prepare for attending an IBF, you can
There are Inland Border Facilities (IBFs) located across the UK where drivers moving goods between the UK and EU can take their goods for Customs checks away from ports. From 1 January 2022, drivers who bring any goods into the UK through Dover, Eurotunnel or Holyhead will need to use the ‘check if you need to report for an inspection’ service before they get off the ferry or shuttle, to see whether they need to take their goods to an IBF for Customs checks. The ‘check if you need to report for an inspection’ service can be accessed at www.tax.service.gov.uk/driver-inspection- notification/start If drivers do not have a smartphone with internet access, the haulier manager will need to pass this message on to the driver by phone. When an ‘inspection needed’ message is displayed, the driver must go to an IBF as soon as he or she leaves the terminal. To use this service, and before drivers board
the ferry or shuttle, hauliers must: • Be registered for the Goods Vehicle Movement Service (GVMS), and • Ensure the driver has a Goods Movement Reference (GMR). Registering for GVMS You can find more information on how to register for GVMS and get a GMR at gov.uk/using- goods-vehicle-movement-service Drivers currently only need to attend an IBF if they are travelling through the port of Dover, Eurotunnel or Holyhead and they are moving goods that fall within certain categories; from 1 January this will change to cover all goods. To speed up drivers’ journeys and processing time when attending an IBF, you should: • Use the ‘Attend an Inland Border Facility’ online service to tell HMRC which IBF you are coming to. Drivers can do this themselves or the haulier manager can do it on their behalf. Drivers can also use the app
read the Haulier Handbook at www.gov.uk/haulier-handbook.
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BREXIT. IT’S HERE, IT’S NOW. IMPLEMENT A PROVEN SOLUTION TO MEET YOUR CUSTOMS CHALLENGES. E-CUSTOMS SOLUTIONS The legislation around import and export declarations on goods going to and coming from Europe and Northern Ireland has changed. So have your obligations. As a result of this change many businesses like yours are facing new customs challenges; as one of more than 150,000 businesses in the UK that trade with the EU, you need to keep your business moving. Our tried, tested and trusted e-Customs software solution will help you take control of your import and export declarations, prioritise ! ! ! ! ! ! with your existing systems and grants you access to your data whenever you need to, wherever you are.
DESCARTES.COM/BREXIT
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What a response!
After what has been a traumatic year – hit by both COVID-19 and Brexit – the BIFA Freight Service Awards attracted outstanding entries from a total of 42 Members, many of them taking part for the first time
FINALISTS Modal categories:
The judges of the BIFA Awards have been delighted with the response from BIFA Members to the ‘Call for entries’ in the summer that has led to a strong and diverse field of submissions to the nine business categories of the BIFA Freight Service Awards 2021. Categories for individuals, the Apprentice of the Year and Young Freight Forwarder of the Year, have also attracted the cream of the crop, presenting the judges with a difficult task in selecting the finalists. Entries have been received from 42 different BIFA Members representing the industry up and down the UK, many submitting entries for the first time. As ever, it is the quality of the entry that impresses the judges, with finalists being drawn from across the spectrum ranging from single-office operators to multinational companies. All have an impressive story to tell and deserve their spot on the shortlists. The years 2020-2021 will go down in history for two things – the global COVID-19 pandemic and Brexit, both of which threw up huge challenges for our industry and propelled international forwarding into the public eye for perhaps the first time. For decades, freight forwarders have steadily gone about their business, ensuring that shops and supermarkets have stock to fill the shelves, infrastructure projects have the supplies required to keep the country moving and public services can keep hospitals and other essential services operating, all whilst barely being noticed, such was the efficiency of logistics professionals. In a year when the world came to a virtual standstill, the freight forwarder was tasked with the (almost) impossible – maintain the supply chain in the face of cancellations, national lockdowns and Brexit! In view of this it is no surprise that many entries to the BIFA Awards 2021 focus on the obstacles encountered and the innovation shown in problem-solving. BIFA now has great pleasure in announcing the finalists in each category who will go forward to the final round of judging, with winners due to be announced at the BIFA Annual Luncheon and Awards Ceremony on Thursday 20 January 2022.
Air Cargo Services, sponsored by IAG Cargo – Kerry Logistics (UK) Ltd, Maltacourt, Pentagon Freight Services PLC, and Uniserve Group. European Logistics, sponsored by TT Club – Espace Europe Ltd, Killick Martin & Company Ltd, Simarco International Ltd, and Unsworth UK. Ocean Services, sponsored by Port Express – Allseas Global Logistics, NNR Global Logistics, and Vikstar Ltd.
General categories:
Cool & Special Cargoes, sponsored by American Airlines Cargo – Evolution Forwarding Ltd, James Cargo Services, and United Worldwide Logistics. Extra Mile, sponsored by Descartes – Evolution Forwarding Ltd, Hemisphere Freight Services Ltd, Pentagon Freight Services PLC, and Unsworth UK. Project Forwarding, sponsored by Peter Lole Insurance Brokers – ACE Forwarding Ltd, AsstrA UK Ltd, LV Shipping Ltd, and Ucargo LLP. Specialist Services, sponsored by Newage Global – B&H Worldwide Ltd, Cargo Overseas Ltd, Kerry Logistics (UK) Ltd, and Your Special Delivery Service Ltd. Staff Development, sponsored by Albacore Systems – Aramex (UK) Ltd, Espace Europe Ltd, Reliable Shipping Ltd, and Unsworth UK. Supply Chain Management, sponsored by BoxTop Technologies – Brunel Shipping, Hemisphere Freight Services Ltd, Noatum Logistics UK Ltd, and Uniserve Group.
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Events
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Individual categories:
Apprentice of the Year, sponsored by Seetec Outsource – Josh Boswell (Geodis FF UK Ltd), Herbie Cobby (Geodis FF UK Ltd), Thomas Low (OIA Global Ltd), Bobby Lowe (NVO Consolidation UK),
and Matt Vick (John Good Logistics Ltd).
Young Freight Forwarder of the Year, sponsored by Virgin Atlantic Cargo – Corey Chambers (Ital Logistics Ltd), Jamie Halliday (Tudor International Freight Ltd), Kane Parson (DSV Road Ltd), Laura Hobby (F.S. Mackenzie Ltd), Milos Bogovac (Davies Turner & Co Ltd), and Ronan Kitchin (Aramex (UK) Ltd).
Congratulations to all the finalists!
CELEBRATE WITH US Tickets are now on sale for the BIFA Annual Lunch and Freight Service Awards which is scheduled to take place at its traditional venue of The Brewery in central London on Thursday 20 January 2022, subject to relevant COVID-19 restrictions. At the luncheon, finalists will be presented with their certificates before guests enjoy a three-course meal followed by an address by the host, rugby legend Matt Dawson MBE. To round-off the celebration, the winner of each category will be announced and invited to the stage of receive their trophy from Matt and the category sponsor. Tickets can be purchased at https://awards.bifa.org/book- now/awards-ceremony-202122/book-tickets It should be noted that all guests attending the BIFA Awards ceremony will be required to present a valid COVID-19 pass to gain entry to The Brewery.
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BIFA and Think Logistics to deliver young talent for the sector
BIFA has launched a new partnership with Think Logistics to inspire the next generation of talent to join the sector. Governed by Career Ready, a UK-wide social mobility charity, Think Logistics works with schools and colleges to inspire and inform young people about the logistics sector with a range of activities and workplace experiences, all delivered by volunteers from the profession. The partnership with BIFA will enable BIFA Members to access local schools and colleges to promote the profession, building on the inspirational work in the early talent space of the BIFA Young Forwarder Network. Important partnership Bethany Windsor, Operations Manager for Career Ready and Think Logistics, said: “The partnership with BIFA has never been more important. The shortage of Customs professionals, for example, represents a wonderful opportunity for young people to step into the industry and kickstart their careers. It is absolutely vital that we share the great opportunities open to young people, for whom logistics is often a hidden sector. This partnership will help achieve this and we are delighted to be working with BIFA to inspire the next generation of young talent to ‘think logistics’.” Carl Hobbis, Executive Director and Training Development Manager at BIFA, said: “Our partnership with Think Logistics is part of a campaign to encourage BIFA Members to work with schools to promote careers in logistics, forwarding and the supply chain, and encourage students to consider them. This has seen us equip our Members with an array of ideas to encourage them to promote careers within the freight and logistics sector to students in their local community. We look forward to collaborating with other trade associations to showcase the sector to young people collectively and get active Members of the Young Forwarder Network involved around the country.” The partnership will enable BIFA Members to promote the logistics profession in local schools and colleges
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We’ve been connecting people and businesses across Europe for the last 21 years. We’ve made friends, built relationships, and we’ve been a backbone to trade and distribution for all sizes of businesses.
We transport freight of all kinds, including the carriage of dangerous goods, and are the forwarder of choice for many of our competitors who offer similar services.
We’ve battled through a pandemic, and emerged from Brexit stronger than ever before. We’ve maintained services throughout, continually learning and adapting to the new regimes, helping our customers and partners navigate the new environments. The aim of Ital Logistics is to provide a quality, reliable and personalised service with openness, honesty and integrity, and to always perform to the very best of our abilities. And we’ll continue to do that, whatever obstacles that may present themselves in the future.
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Time... waits for no one
Forwarders will be all too familiar with time bars for bringing claims. Clause 27 of BIFA’s Standard Terms and Conditions (STC) stipulates that a customer has nine months to commence a claim against a forwarder, leaving the forwarder a further three months to start an action under, for example, a bill of lading against the carrier involved. A year is endemic in international carriage, but you need to ensure that you have incorporated BIFA’s STCs into your contract to rely on that. A recent case, Euronav NV v Repsol Trading SA , involved a vessel owner’s claim for demurrage, which had a shorter 30-day time period. Demurrage generally does involve a pretty short time to make a claim but, regardless of the time limit, this case is of wider general interest to international carriage and commercial contracts where a number of time zones around the world could be involved. Which time zone applies? In this case the charterers said the vessel discharged in California and local time applied, so the claim was time barred. On the other hand, the vessel owner said that a number of alternative time zones, all essentially European, should apply in which case the claim was not time barred. The vessel owner contended that the same time zone should be applied to both the beginning and the end of the period – in other words the 30-day period – and the claim should be submitted to the charterers in a European time zone, and it was the time zone which had A recent London Commercial Court decision to uphold a time bar following a debate over what time zone applied confirms, if confirmation were needed, the possible, writes shipping and transport specialist John Habergham of Myton Law necessity of bringing claims as swiftly as
Discharge was completed at 21:54 on 24 December 2019 in California. At that point in time, it was 06:54 Central European time, or 05:54 Greenwich mean time on 25 December 2019. The claim for demurrage was made on 24 January 2020. The charterers said discharge was completed on 24 December 2019 and, therefore, the last day for notification was 23 January 2020, being day 30, counting 25 December 2019 as day one. The vessel owner said discharge was completed on 25 December 2019, that the last day for notification was 24 January 2020, being day 30, counting from 26 December 2019 as day one. Therefore, it was in time. The court accepted the charterers’ contention, that local time applied, and on that basis, in September 2021, the court ruled that the claim for nearly US$500,000 was time barred. An expensive lesson. Never leave it to the last moment before initiating an action, and do not get into a position of having to use a technical argument such as time. We are grateful to BIFA Associate member Myton Law and John Habergham for providing this article. www.mytonlaw.co.uk
the closest and most real connection with the term in the charter that should apply. On that basis, the only connection with California was discharge. In all other respects, administrative staff of both parties were located within a European time zone. Conversely, the charterers said that the local time zone should be used because that reflects information which is stated in the relevant statement of facts and the owner’s laytime statement. It also reflects the proposition that the date of discharge would be material for any cargo claim brought under the Hague Visby regime. The margins of time were particularly tight.
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December 2021
Policy & Compliance
BIFAlink
www.bifa.org
situation, and it is worth advising Members of the applicable highlights: • A 23% decrease in total UK trade in goods with EU countries, comparing Q1 2021 with Q4 2020 (UK-EU trade flows have been affected by both EU Exit and the COVID-19 pandemic). • 140,000 Export Health Certificates (a new requirement) signed by certifying officers for the movement of goods between the UK and EU between January 2021 and June 2021. • 48 million full or simplified Customs declarations made by traders to HMRC between January and August 2021 (compared with 44 million during the whole of 2020). Current statistics Whilst the amount of money spent by business for EU exit will never be fully known, the current statistics make interesting reading: • £470 million – the government’s current allocated funding for infrastructure required to undertake checks at the border, comprising £200 million in grants to ports through the Port Infrastructure Fund and £270 million for inland border facilities (in addition to an
unknown amount funded by ports). • £113 million – the amount that the
The National Audit Office (NAO) has published a report – ‘The UK border: Post UK-EU transition period’ – which gives a balanced overview of how the transition has been going The impact of Brexit
government has spent on financial support for industries and sectors affected by the end of the transition period in Britain. • > £500 million of government funding to support businesses trading in Northern Ireland. • 1.2 million movements of consignments from Britain to Northern Ireland supported by the Traders Support Service between January and September 2021. Whilst acknowledging that there have been difficulties in some sectors, the NAO believes that the government was largely successful in putting in place its initial operating capability for the border for 1 January 2021. However, the report does acknowledge the additional administrative burden faced by business and, in certain cases, disruption to trade. In a way the document is historical, looking backwards, but there is a reminder of the next stages of implementing border controls. If nothing else, the reader should realise that from 1 January 2022, imports from the EU will be subject to full Customs controls and from 1 July full controls on foodstuffs will be introduced. The full report from the NAO can be read at: www.nao.org.uk/wp- content/uploads/2021/11/The-UK-border-Post-U K-EU-transition-period.pdf
By the time the reader receives this edition of BIFAlink , the UK will be 11 months into its EU exit journey. Also, most tellingly we will be five months late in introducing full border controls, a point that many overlook in their commentary on the subject. There have been many conflicting reports about the impact of EU Exit. Clearly some sectors have been more adversely impacted than others by the UK leaving the EU – for instance, the fishing sector and other producers of sanitary and phyto-sanitary (SPS) goods. Although we have seen a recent at least partial recovery, when examining these figures we have to consider the disruptive impact of COVID-19 restrictions, which have reduced capacity. The National Audit Office (NAO) report ‘The UK border: Post UK-EU transition period’ of 5 November 2021, to which BIFA provided evidence, gives a balanced overview of the
December 2021
17
BIFAlink
Industry Promotion
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The BIFA Freight Forwarder Village, a new introduction, proved a great success with support from many Members and Associates Multimodal is back!
After delays caused by the various lockdowns and general restrictions on mixing, October 2021 finally saw the MultiModal Exhibition open its doors to the logistics industry at the National Exhibition Centre in Birmingham. A new innovation this year was the BIFA Freight Forwarder Village, with many BIFA Members and Associates located around the central BIFA stand. For the first time, BIFA and the event organiser, Clarion Events, provided a low-cost exhibition option via Logistics Pods or ‘LogPods’ as they have become known. Footfall was brisk as soon as the doors opened on the Tuesday, with many BIFA Members stopping by to say hello. On the BIFA stand, Carl Hobbis and Liz Sumner were able to demonstrate the new online BIFA CDS training course that has been developed to assist people to make the forthcoming transition away from CHIEF, while
Robert Windsor was kept busy with technical questions about the new procedures for dealing with the EU. In addition, BIFA events organiser Sharon Hammond and BIFA Director General, Robert Keen were present. Seminar programme BIFA also took part in the seminar programme. The key topic was the aftermath of EU Exit and what further changes are in the pipeline. Robert Windsor’s presentation ‘EU Exit, the past and the future’ took attendees through the process changes already in place and what will happen in January and July next year. Robert often used to say, when asked what would happen with Brexit, that, “less goods will move, more slowly and will cost more” and his prediction has come to pass. On day three of the exhibition, BIFA was represented in the career development seminars
with Carl Hobbis, Training and Development Manager, moderating the session ‘How to implement a successful apprenticeship scheme’. Finally, we were involved with the session ‘What does the next generation want from a career in logistics’, chaired by Think Logistics. Given the limitations on movement and mixing over the last 18 months, there was a general good feeling at being able to meet industry colleagues again, with over 800 people attending the Multimodal awards dinner. An abiding
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December 2021
Industry Promotion
BIFAlink
www.bifa.org
BIFA President gets back behind the wheel Sir Peter Bottomley supported National Lorry Week by revisiting his earlier career as a lorry driver
Our President is Sir Peter Bottomley MP, who is a valuable guide to the BIFA Council when it meets twice a year. He also makes the occasional intervention on our behalf in related parliamentary debates. Recently, he returned to his roots as a lorry driver to support National Lorry Week, which highlights the vital and often-overlooked role that the logistics industry plays in the lives of everyone, every day. Sir Peter, who is MP for West Worthing, said: “Before embarking on my political career, I worked as a lorry driver including an interesting summer unloading trucks in Melbourne’s docks. At 18, I worked on a freight ship from Brisbane to Liverpool, mainly as the cook’s assistant. At university I was in charge of a Walls ice cream van for two summers and graduated to a seven-tonne truck delivering ice cream to shops and hospitality venues across the south of London.” Sleeping in the cab “In my late 20s, as marketing director of a small light-engineering company, I would routinely relieve the specialist driver by taking export consignments to Millwall Docks on a Sunday night, sleeping in the cab, dropping the load and driving back to Watford so that the regular driver could take over the long runs. “In 1975, I successfully stood for parliament and in 1986 I went on to become the Minister of Roads and Traffic under Margaret Thatcher. As a transport minister, I was responsible for the testing and supervision of drivers, and the supervision of freight operators through the traffic commissioners. “After 15 years in parliament, with appreciation for its years of use, I gave up my heavy goods vehicle licence. “I am pleased to continue to this day as president of BIFA, an excellent organisation that continues to champion the work of our freight industry on the international stage. During a recent BIFA Council Meeting I said to the chair, Rachel Morley, that like her predecessors, she ran meetings in the same way that goods are
transported around the world and around the country every day: effectively, expertly and efficiently. We reflected on a difficult but productive year and on the prospects for the industry. “The freight and logistics industry is worth £127 billion to the UK economy, but its true value is the role it plays in making sure we get everything we need. Without logistics, our society and economy would come to a standstill. “Virtually everything we buy or use has been handled by a countless array of skilled individuals and teams. I recall the hard work of so many colleagues in the freight industry; it is not an easy job, but it is fundamentally important. “The importance of the entire interconnected network of logistics and freight has been thrust into the limelight over the last two years. Let us hope many more will recognise and celebrate just how much we rely upon this important industry.”
memory will be the fire alarm activating just as celebrity host Kevin Keegan reached the high point of his talk. One minute everyone was enjoying the evening and the next we were all standing in the rain awaiting the all-clear to return to the awards. MultiModal will return to the NEC next June and the BIFA Freight Forwarder Village Log Pods are already being booked up – for more information or to reserve your LogPod go to: www.multimodal.org.uk/exhibition/exhibit
December 2021
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Apprenticeships Available in Transport and Logistics
Apprenticeship
Duration
Express Delivery Operative
12 months min
Level 2
Supply Chain Operator
12 months min
Large Goods Vehicle (LGV) Driver - C and E
12 months min
Supply Chain Warehouse Operative
12 months min
Apprenticeship
Duration
International Freight Forwarding Specialist
18 months min
Level 3
Supply Chain Practitioner (Fast Moving Consumer Goods)
30 months min
Transport Planning Technician
30 months min
Transport and Warehouse Operations Supervisor
12 months min
International Freight Forwarding Specialist Mandatory Modules
Pathways (chosen by employer)
International Freight Movement
Customs Procedures
Business Finance and Freight Costings
Air Freight
Ocean Freight
Road Freight
Apprenticeship
Qualification
Duration
Express Delivery Manager
Degree
36 months min
Level 6
Transport Planner
Integrated Degree
60 months min
Supply Chain Leadership Professional
Integrated Degree
48 months min
Find out more about different apprenticeship standards: www.instituteforapprenticeships.org/apprenticeship-standards Find an apprenticeship: www.gov.uk/apply-apprenticeship
apprentices.bifa.org
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