(CIFFA)
Background
Transport Canada has asked the CIFFA-IATA Cargo Joint
Council to assist in the formulation of air cargo security standards and policy. As a first step, the Council is responding to an urgent matter concerning trucked cross border air cargo shipments.
Intermediaries will be affected by new procedures to validate their "known shipper" customers. The Problem
As you may have heard, the US Transportation Security Administration (TSA) has contacted Transport Canada with concerns over the surface transport of goods from Canada
to the United States for carriage on passenger aircraft. While this process of moving International goods via USA gateways has in fact been common practice for many years the TSA has determined that this
practice may not be in compliance with proposed U.S. "known/unknown shipper" air cargo security regulations for passenger aircraft. Bi-lateral discussions are currently taking place between
Transport Canada and the TSA but no firm information or dates are available as yet. It is anticipated that the TSA will set a late 2005 deadline for cross border shipments to comply with U.S. "known /
unknown shipper" air cargo security regulations for passenger aircraft. Goods travelling on cargo-only aircraft will not be affected by proposed new regulations. The Risk
If Canada is not compliant with TSA U.S. "known/unknown shipper" air cargo
security regulations for passenger aircraft, it is possible that all trucked air cargo shipments moving via the USA would be classified as being from "unknown" shippers and would be directed to
"cargo only" freighter networks. In this context, the "known shipper" validation is the responsibility of the intermediary and must be reported to the air carrier at the time the goods
are tendered. Response...
Step 1: An economic impact survey
Transport Canada has indicated that this is relevant in the context of the Canadian-US
Security and Prosperity Partnership that has the objective of keeping commerce moving in a security conscious environment. The reporting of this financial risk is key getting the government to respond
quickly on this important matter. IATA carriers have started an economic impact survey and CIFFA members should anticipate a similar request. Step 2: Intermediary known shipper
The Cargo Joint Council will develop an Industry Recommended Practice for
intermediaries to validate their customers as known shippers. Procedures may include credit history, shipment frequency and site visits. Step 3: Secure supply chain framework
The Cargo Joint Council will develop an Industry Recommended Practices for intermediaries and carriers that support Transport Canada's proposed policy. |
