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The number one error made on import declarations - the valuation date

The number one error made on import declarations - the valuation date

The number one error detected on import declarations by the Australian Border Force (ABF) in 2017-1028 was incorrect valuation date. To put this in context, there were more valuation date errors detected than the combined number of tariff classification, use of tariff concession orders and invoice term errors combined. However, this is not a case of customs brokers suddenly deciding to ignore the need to report the correct valuation date, rather, the ABF has changed how it measures compliance. This is causing headaches for customs brokers, clients and exporters. Frustratingly, there is no strong economic or security reason driving the increased compliance approach.

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General Average explained and Reminder to ensure cargo is Insured

General Average vexplained and Reminder to ensure cargo is Insured

General Average - Oh So Misunderstood

While the concept of General Average (GA) is widely recognised and as old as maritime transport itself, it is also a commonly misunderstood process. This principle of maritime law governs the process by which all stakeholders in a particular voyage share losses resulting from actions taken in an emergency. Incidents that might be fresh in the reader's mind are the YM Efficiency container stack collapse in Botany Bay last June and the APL Los Angeles grounded in Fuzhou (China) in September with Australian interest cargo on-board.

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DP World Infrastructure Access Surcharge & VBS Fee Increases | 1st January 2019

DP World Infrastructure Access Surcharge & VBS Fee Increases | 1st January 2019

Important Customer Pricing Notice:
DP World are increasing Container Infrastructure Access Surcharges and Vehicle Booking System (VBS) surcharges for all full containers received or delivered via DP World Terminals in Melbourne, Sydney, Brisbane and Fremantle.

Please be advised that effective from 1st January 2019, Owens will be invoicing our customers the following amounts for all full containers received or delivered via DP World;

Melbourne

  • Container Infrastructure Surcharge $94.30 + GST
  • VBS Booking fee $37.60 + GST

Sydney

  • Container Infrastructure Surcharge $79.00 + GST
  • VBS Booking fee $29.00 + GST (no change)

Brisbane

  • Container Infrastructure Surcharge $79.00 + GST
  • VBS Booking fee $29.00 + GST

Fremantle

  • Container Infrastructure Surcharge $10.00 + GST (no change)
  • VBS Booking fee $29.00 + GST

 

 
 
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172-2018 Brown Marmorated Stink Bug (BMSB) - Processing Delays

172-2018 Brown Marmorated Stink Bug (BMSB) - Processing Delays

Further to the IAN (169-2018) of 27th November 2018 the Department of Agriculture and Water Resources (the department) is continuing to experience issues with the S-Cargo system. This means that cargo reports lodged may experience processing delays.

The department is currently working to resolve the issue as a high priority.

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BMSB UPDATE 28 - Vessel directed to leave Australian territory

 

MV Triumph V1820

 

Following the preliminary advice received and disseminated on the evening of Friday 23 November 2018, FTA has today received confirmation from the Department of Agriculture and Water Resources that the referenced vessel is the Triumph V1820 - please refer to the department's notice available below

 

 

 

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BMSB - Another Vessel Infestation

 

BMSB UPDATE 29 - another vessel infestation

 

MV Morning Composer, Voyage CO840

 

Freight & Trade Alliance (FTA) has received the advice from Wallenius Wilhelmsen Ocean that the MV Morning Composer, Voyage CO840, was due to arrive at its first Australian port today, 26 November 2018. During routine inspections on board dead and live bugs (including BMSB) were found. These findings were reported to the Department of Agriculture and Water Resources - please refer to the official customer notice available HERE

 

 

 
 
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NNF 2018/344 - BMSB Offshore Treatment Provider Suspension

NNF 2018/344 -  BMSB Offshore Treatment Provider Suspension

The Department of Agriculture and Water Resources has published Import Industry Advice Notice 165- 2018 - Offshore Brown Marmorated Stink Bug (BMSB) Treatment Providers Scheme: treatment provider suspension: La Spezia Container Terminal (AEI: IT4013SB) and is forwarded for your information.

CBFCA Commentary:

This is not a good outcome for industry as such non compliance may result in increased random onshore surveillance inspection, at a time the DAWR is challenged to meet client service standards related to Assessment and Inspection Service, since the commencement of the BSMS season.

To manage the biosecurity risk DAWR rely on effective and efficient Offshore BMSB Treatment Providers Scheme. We can only hope other approved offshore treatment providers can comply with the BMSB treatment requirements as we cannot afford to lose confidence in the scheme.

Challenging times ahead for all involved in the import supply chain.

 

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BMSB UPDATE 28 - Vessel directed to leave Australian territory

BMSB UPDATE 28 - Vessel directed to leave Australian territory

Who does this notice affect?

Importers, self-reporting importers, depots, freight forwarders and customs brokers affected by the increased intervention during the Brown Marmorated Stink Bug (BMSB) risk season - shipped between 1 September 2018 and 30 April 2019 inclusive.

Vessel update

Following significant engagement with the shipping line and its operator, the department has reached a decision in relation to the vessel at anchor and its cargo.

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HAPAG-LLOYD ANNOUNCES SURCHARGE FOR LOW SULPHUR FUEL

HAPAG-LLOYD ANNOUNCES SURCHARGE FOR LOW SULPHUR FUEL

Hapag-Lloyd announced a "marine fuel recovery" MFR) mechanism to help defray the cost of compliance with the IMO's 2020 sulphur cap.

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BROADCAST: NNF 2018/335 - BMSB Information update on goods manufactured on or after 1 December 2018

BMSB Information update on goods manufactured on or after 1 December 2018

 

Due to industry request for further clarification on the definition of manufactured date for BMSB purposes, the Department of Agriculture and Water Resources has reviewed the policy and updated the Preparing to import during the BMSB season webpage. The changes made are highlighted for you to note.

Check if certain manufactured goods are exempt from the BMSB measures

  • Are your goods manufactured on or after 1 December 2018? (A good is only considered to be manufactured on or after 1 December 2018 if all its large, complex components have also been manufactured after 1 Decemb​er 2018.)
  • Are your goods classed as new machinery, vehicles, vessels and/or new complex parts and equipment? This includes goods classified under the following tariff chapters only: 82, 84, 85, 86, 87, 88 and 89.
  • Are you able to provide evidence that the goods are manufactured on or after 1 December 2018? (Evidence can be in various forms such as a manufacturer’s declaration, commercial invoice)
  • Are you able to provide a declaration stating the goods are new, unused and not field tested?
  • Can the goods be verified they have been manufactured on or after 1 December 2018? (Evidence can be supported by labelling on the goods)

If you have answered yes to all the above questions, BMSB measures do not apply to your goods.

If sufficient evidence is not provided, or if on inspection the goods cannot be verified as being new and manufactured on or after 1 December 2018, the goods may be directed for export or onshore treatment (if permitted).

Any declaration stating that goods are new, unused and not field tested (NUFT) must meet minimum documentary and import declaration requirements.

 

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Minimising Pest Contamination Risk When Packing and Unpacking Containers

Governments around the world have significant concerns about pest contamination via sea container pathways, particulary at the time of packing and unpacking

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Clarification on COR requirements for members

Read about COR Australia's information on "Conatiner Mass Requirements" & the "Use of shrinkwrap as a primary load restraint" that have been raised as concerns by member in recent months, in terms of responsibilities of parties in the supply chain.

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BMSB Update 25- another detection

BMSB Update 25- another detection

Who does this notice affect?

Master loaders (wholesle forwarders), importers, self-reporting importers, depots, freight forwarders and customs brokers affected by the increased intervention during the Brown Marmorated Stink Bug (BMSB) risk season - shipped between 1 September 2018 and 30 April 2019 inclusive.

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NNF 2018/326 - End of Interim process for the management of LCL/FAK containers for the 2018-19 BMSB risk season

End of Interim process for the management of LCL/FAK containers for the 2018-19 BMSB risk season

Further to earlier national newsflash NNF 2018/305, the following information has been published in the Department of Agriculture and Water Resources Import Industry Advice Notice 160-2018 - End of Interim process for the management of LCL/FAK containers for the 2018-19 Brown Marmorated Stink Bug (BMSB) risk season and is forwarded for your information.

Note: Enhancements to the department’s systems have been completed, and the management of LCL/FAK container process including cargo report holds for LCL/FAK containers will commence on 8 November 2018.

The interim measures which allowed all LCL/FAK containers shipped from target risk countries to move under bond, deconsolidate, and be managed at the consignment (Full Import Declaration - FID) level will no longer be permitted after this 8 November 2018.

 

 

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Trans Pacific Partnership to begin in 2018

Trans Pacific Partnership to begin in 2018

The Trans-Pacific Partnership (TPP) is famous for being a major issue in the 2016 US election. One of the first acts of the new President Trump was to withdraw the US from the agreement.
Fast forward two years and the TPP (without the US) is set to commence on 30 December 2018. This free trade agreement (FTA) is a major reply to the protectionist trade policies of the US and also offers major benefits for Australian traders.

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Infrastructure charges – The ACCC is concerned but says there is nothing they can do

Infrastructure charges – The ACCC is concerned but says there is nothing they can do

can do

 

Trucking companies have seen a massive rise in the charges imposed by stevedores on the collection or delivery of containers. The ACCC has reviewed these charges in its latest Container Stevedoring Monitoring Report and has offered no relief to trucking companies.  In short, while the charges are likely to hurt transport companies and cargo owners, the ACCC believes the charges are legal.
With infrastructure charges likely to remain, if not increase, transport companies need to ensure their customers understand this cost, that it is legally invoiced to customers, and the transport company has the full right to recover the cost.

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URGENT ADVICE: BMSB Update 24

URGENT ADVICE: BMSB Update 24

Who does this notice affect?

Master loaders (wholesle forwarders), importers, self-reporting importers, depots, freight forwarders and customs brokers affected by the increased intervention during the Brown Marmorated Stink Bug (BMSB) risk season - shipped between 1 September 2018 and 30 April 2019 inclusive.

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NNF 2018/313 - BMSB update on our ongoing advocacy

NNF 2018/313 - BMSB update on our ongoing advocacy

On Friday afternoon 19 October 2018, the Customs Brokers and Forwarders Council of Australia Inc. (CBFCA) representatives participated in a teleconference with the Department of Agriculture and Water Resources Cargo Consultative Committee (DCCC) to again discuss issues that impact on our members, since the commencement of the BMSB risk season. 

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Proposed biosecurity levey will destroy trust in the system

Proposed biosecurity levey will destroy trust in the system

The new biosecurity levy on import cargo, announced in the last budget, is nothing but a tax grab writes Llew Russell

 

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NNF 2018/310 - New AEP entry charge

NNF 2018/310 - New AEP entry charge

We received a number of queries from members, as they notices a new charge of $18 per Automatic Entry Processing (AEP) entry.

As referenced in the Department of Agriculture and Water Resources, Import Industry Advice Notice 117-2018 - Change to Biosecurity Approved Arrangement Charges, the department informed industry of the changes to the Approved Arrangements charges.

 

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NNF 2018/305 - Interim process for the management of LCL/FAK containers for BMSB risk season

NNF 2018/305 - Interim process for the management of LCL/FAK containers for BMSB risk season

As referenced in NNF 2018/301, advising you that the cargo report profiles were deactivated by the Department of Agriculture and Water Resources (the department) for FAK/LCL containers, the department has now published its formal industry notice 145/2018 and is forwarded for your information.

145-2018 - Interim process for the management of LCL/FAK containers for the 2018-19 Brown Marmorated Stink Bug (BMSB) risk season

 

 

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NNF 2018/252 - Expected delays under 2018-19 BMSB seasonal measures

Expected delays under 2018-19 BMSB seasonal measures

The following information has been published in the Department of Agriculture and Water Resources, Import Industry Advice Notice 116-2018 - Expected delays under 2018-19 Brown Marmorated Stink Bug (BMSB) seasonal measures and is forwarded for your information.

CBFCA Commentary

We are not surprised the department issued this notice as we expected this season’s measures to include goods manufactured in, or shipped from an expanded list of target risk countries to result in extensive clearance delays at the border based on last seasons experiences.

The additional workload associated with BMSB related clearances is likely to impact the department’s capacity to meet published service standards in the Client Service Charter more broadly and in particular entry processing and inspections.

This is due to a combination of factors, including the identification of treated and untreated containerised cargo, limited onshore capacity of storage facilities at approved arrangement sites and onshore treatment provider premises, and implementation of manual processes to accommodate industry’s request to allow onshore treatment option for LCL consignments.

While onshore treatment is allowed for FCL/FCX, FAK/LCL, the departments preference is offshore treatment.

Importers are strongly encouraged to have their target high risk goods treated by an approved offshore provider prior to arrival into Australia to facilitate clearance on arrival.

 

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What's Your Payout?

What's Your Payout?

Who foots the bill when your container ends up in the drink?

For those in the shiping game, when things go well, they go very well, and when they go bad they are horrid. The normally invisible industry of containerised shipping was brought into the public eye last May when YM Efficiency lost 83 containers off the coast of New South Wales. It also brought to the front of the mind the question of what the liability scheme is for damage to cargo when there is no obvious liability on either the shipper or the ocean carrier.

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NNF 2018/234 - Use of infringement notices across all import pathways

The Biosecurity Act 2015 - Use of infringement notices across all import pathways

The following information has been published in the Department of Agriculture and Water Resources Import Industry Advice Notice 106-2018 - The Biosecurity Act 2015 – Use of infringement notices across all import pathways and is forwarded for your information.

 

 

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Brown Marmorated Stink Bug – 2018-2019 Seasonal Measures

The BMSB Season is fast approaching and DAWR in Australia have now amended their Seasonal Measures to address the impending infestation threat.

DAWR have announced amended protocol allowing that FAK containers departing from a Target Risk Country can receive treatment from an Approved Offshore Treatment Provider prior to export OR may be fumigated onshore upon arrival.

Given the changed circumstances and logistical difficulties in GERMANY, ECU Worldwide Australia have undertaken to arrange fumigation at container level on arrival into Australian Ports for all Germany consignments.

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Annua Packing Declarations

  Reminder :

We have sent out a reminder that the annual packing declaration with the addition of the ‘NO bamboo’ statement has been in use since last month.

Please refer to our broadcast message for a copy or request one be sent to you via our info@paulanstey.com.au email address

 

 

 

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NNF 2018/202 - BMSB webpage update: Final measures for the 2018-19 BMSB season

BMSB webpage update: Final measures for the 2018-19 BMSB season

Further to update provided in NNF 2018/199 we received the following advice from the Department of Agriculture and Water Resources advising us the Final measures for the 2018-19 BMSB season have now been published on the BMSB webpage.

 

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NNF 2018/199 - BMSB webpage update: Treatment methodologies and Offshore BMSB Treatment Providers Scheme

BMSB webpage update: Treatment methodologies and Offshore BMSB Treatment Providers Scheme

Further  NNF 2018/197 we received the following update from the Department of Agriculture and Water Resources advising us of the BMSB webpage update: Treatment methodologies and Offshore BMSB Treatment Providers Scheme.

 

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Illegal Logging Webinars

The Department of Agriculture and Water Resources will be hosting a series of webinars on Australia’s illegal logging laws throughout the second half of 2018.

 

 

 

 
 

 

 
 
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NNF 2018/193 - Department of Home Affairs, Duty and By-Law notices

NNF 2018/193 - Department of Home Affairs, Duty and By-Law notices

NNF 2018/193 - Department of Home Affairs, Duty and By-Law notices

The following information has been provided by the Department of  Home Affairs in relation to (1) new excise equivalent customs duty rates and (2) item 1 by-lay revocation and replacement

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NNF 2018/182 - Import Industry Advice Notice 77-2018

 

The following information has been provided by the Department of Agriculture and Water Resources in Import Industry Advice Notice 77-2018 – Draft measures for 2018-19 Brown marmorated stink bug (BMSB) risk season

DAWR forecasts that final measures will be available soon.

The CBFCA continue to liase with DAWR on these matters, with final details to end up being available via the CBFCA through a webinar based, updated power point presentation.

 

 

 

 

 

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Weekly updates from the Anti-Dumping Commission website 18 July 2018

 The following commodities have had documents published on the EPR in the last week.

Please note, in addition to the commodity you have requested in your subscription, this notification contains all other commodities that have been updated.

 

We hope these updates are helpful and appreciate any feedback you have in regards to the website or these updates.

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The debate on HSS goes on as Home Affairs seeks to draw the line on Line Pipe

The debate on HSS goes on as Home Affairs seeks to draw the line on Line Pipe

Many readers would be aware of the ongoing debate on what constitutes Hollow Structural Sections (HSS) steel or iron which is subject to dumping or countervailing duties. that has included debate on whether the alleged HSS is, in fact, another type of product (scaffolding for example) or whether the HSS is actually only part of a larger structure and should be classified on that basis.

 

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Brown Marmorated Stink Bugs proposed new seasonal import measures

Brown Marmorated Stink Bug - proposed new seasonal import measures

The Department of Agriculture and Water Resources have updated in draft, proposed new seasonal import measures for the upcoming Brown Marmorated Stink Bug season which will be between 1 September 2018 to 30 April 2019.  For more information READ MORE below.

These measures will include mandatory treatment and increased intervention before arrival into Australian territory.

Full Notice Below. 

 

 

 

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NNF 2018/166 - Import Industry Advice Notice 71-2018

NNF 2018/166 - Import Industry Advice Notice 71-2018

The following information has been provided by the Department of Agriculture and Water Resources in Import Industry Advice Notice 71-2018 – Highly compliant importer project and is forwarded for your attention.

All importers and customs brokers who lodge imported cargo to the department for biosecurity assessment.

What has changed?

The Department of Agriculture and Water Resources, Compliance Division, is implementing a highly compliant importer project (HCIP).  The HCIP introduces an entity compliance overlay to the management of at border biosecurity risk. Under the HCIP importers that have established a 100% compliance history through repeated physical inspection over an extended period of time for particular commodities, will be identified during entry processing and receive reduced intervention.

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General average explained( and should importers insure their goods) Our opinion is YES

General average explained( and should importers insure their goods) Our opinion is YES

Following the tragic casualty of Maersk Honam it is timely, particularly for shippers and freight forwarders, to cover the dynamics and risks associated with General Average. While the concept of General Average (GA) is widely recognised and as old as maritime transport itself, it is also a commonly misunderstood process. This principle of maritime law governs the process by which all stakeholders in a particular voyage share losses resulting from actions taken in an emerency.

 

 

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NNF 2018/147 - Asbestos in imported second hand vehicles

Asbestos in imported second hand vehicles

Members are continuing to be confronted with compliance  issues when they are involved in the clearance of second hand vehicles from overseas.

A recent addition to the Department of Home Affairs ( Home Affairs) web site may be of some assistance to members in conveying to importers the requirements  as laid out by Home Affairs.

 

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NNF 2018/130 - Preparation for the 2018-2019 BMSB risk season

Preparation for the 2018-2019 BMSB risk season

The following information has been provided by the Department of Agriculture and Water Resources in Import Industry Advice Notice 57-2018 - Preparation for the 2018-2019 Brown Marmorated Stink Bug (BMSB) risk season and is forwarded for your attention.

The department will soon commence information sessions in preparation for the 2018-19 BMSB season. These sessions will outline work underway on import requirement for next season, including possible extension to other countries.

 

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ANL ANNOUNCES EMERGENCY BUNKER RECOVERY MEASURES

ANL announces the implementation of Emergency Bunker Recovery Measures

 

Due to the significan increase in bunker prices since the beginning of the year and to keep ensuring the highest quality of service to our customers, ANL will implement a cost recovery mechanism which will be applied to all cargo on all traders to/ from China with the following implementation dates and the amounts:

As from June 1st, 2018 (date of loading) as follows:

 

Dry Container  USD 55.00 / TEU

Reefer               USD 85.00/ TEU

 

These amounts will be included in the ocean freight and will be re-enaluated on a monthly basis.

 

Should you need any clarification please do not hesitate to contact us.

Thank you for your support and understanding.

 

 

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Emergency Bunker Surcharges

   The increase in bunker price in 2018 has been significantly higher than expected and due to the unsustainable nature of the situation, Maersk Line has decided to introduce an Emergency Bunker Surcharge (EBS) as a necessary action to ensure a continued sustainable service to our customers.

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INDUSTRY OPINION : New Budget Biosecurity Levy

INDUSTRY OPINION : New Budget Biosecurity Levy

By the Australian Federation of International Forwarders (AFIF)

 

The announcement in the Federal Budget of a Biosecurity Levy of $10.02 per TEU to be introduced on 1 July 2019, is an ill-considered measure which has implications for the freight forwarding industry and importing community.

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Advance Containerised Cargo Loading Notices Pre-Arrival Manifest - SOUTH AFRICA

  
We wish to inform our customers of the Mandatory Data Elements which must be included in your submitted Shipping Instructions. Any incomplete or missing information may result in the Shipping Instructions being rejected, thereby potentially impacting the timeline for achieving loading pre-requisites.

Please see Mandatory Data Elements listed below

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Australia's Supply Chain Joins Forces To Challenge New Levy

   The Australian Logistics Council, Australasian Railway Association, Ports Australia and Shipping Australia have today joined together to call for clarification of how the Biosecurity Levy, announced by the Australian Government in the Federal Budget last week, will operate. Particularly how the generated revenue will be spent.

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Imported Food Notice 03-18 published

ImImported Food Notice 03-18 publishedported Food Notice 0Imported Food Notice 03-18 published

Imported Food Notice 03-18 has been published to advise food importers that the new requirements for declaring the country of origin on food labelling will be verified during border inspections from 1 July 2018.

ublished

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e-Bulletin Issue 8 - 16 May 2018

e-Bulletin Issue 8 - 16 May 2018

From 1 July 2018 food businesses must comply with labelling requirements set out by the Australian Government which aim to provide consumers with greater transparency on the origin of their food.

Originally introduced on 1 July 2016 as the Country of Origin Food Labelling Information Standard 2016 (Standard) the implementation of the Standard has been looming for some time, with many businesses using this transition period to ensure that their labelling is compliant.

There are two types of country of origin labels which companies selling food in Australia must comply with, the standard mark and the country of origin statement.

 

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Import Industry Advice Notices 33/2018

3 April 2018

Import Industry Advice Notice 33/2018

Conditionally non-prohibited goods that arrive without an import permit

has been published on the Department of Agriculture and Water Resources website and can be accessed via the following link:

http://www.agriculture.gov.au/import/industry-advice/2018/33-2018

Import Industry Advice Notices are available from the Department of Agriculture and Water Resources website at: www.agriculture.gov.au/iian.

 
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Imported Food Notice 02-18 published 06 APRIL 2018

Imported Food section update

Imported Food Notice 02-18 published

06 APRIL 2018

Imported Food Notice 02-18 has been published to advise food importers that inspection times and costs for those foods classified as surveillance under the Imported Food Control Act 1992 will increase for entries created within the Department of Home Affairs Intergrated Cargo System (ICS) from 16 April 2018.

The notice can be accessed via the link below:

http://agriculture.gov.au/import/goods/food/notices

 
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UPDATE 8 - Brown Marmorated Stink Bugs (BMSB) 

UPDATE 8 - Brown Marmorated Stink Bugs (BMSB) 

LCL - AWAITING OFFICIAL UPDATE

Freight & Trade Alliance (FTA) and industry colleagues have been in regular contact with the Department of Agriculture and Water Resources on revised processes in treating risk for LCL consignments - please refer to the latest notice "25-2018 - Brown Marmorated Stink Bug (BMSB) Risk Season 2017-18 - Amended process for LCL containerised goods from Italy"

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Biosecurity inspection service level and managing demand

  

Biosecurity (Quarantine) inspection service level and managing demand

 

Based on members feedback related to delays experienced obtaining Quarantine inspection bookings the CBFCA accompanied by the Seafood Importers Association met with the Department of Agriculture and Water Resources Director, Inspection Services Group to address the current issues, advocate for process review and implement plans to manage the increased demand for inspections.

Since the increased intervention on imported prawns and recent brown marmorated stink bugs emergency measures the demand for inspections has significantly increased placing pressure on the department resources to meet the service standards.

.

 

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More terminal infrastructure charges announced

Victoria International Container Terminal (VICT) announces their own infrastructure charge

 

This morning, Freight & Trade Alliance (FTA) and the Australian Peak Shippers Association (APSA) received formal advice from VICT that they will be introducing an infrastructure charge of $48.00 to be applied from 26 March 2018.

The full notice from VICT is included below for your reference.

 

Unfortunately, this comes as no surprise. FTA/APSA predicted this outcome in our meeting with the Chairman of the Australian Competition and Consumer Commission (ACCC) on the 16 February, and we have provided similar warnings to State and Federal Ministers.

 

FTA/APSA maintains the position that cost recovery for infrastructure investment should NOT occur via the Vehicle Booking System (VBS), it should be recovered from the commercial clients of the terminal operators, the shipping lines.

 

Infrastructure charges are a major cost distortion in Australia’s international supply chain, where cargo owners are now paying both the shipping line (via Terminal Handling Charges) and the Terminal Operators (via the VBS charges) for the same in-terminal activities.

 

We understand from our colleagues at the Global Shippers Forum, that these charges are now appearing overseas, using the Australian model.

 

As these charges increase, our international competitiveness correspondingly weakens.

 

Urgent reform needs to be considered.

 

The Chairman of the ACCC recently highlighted to FTA/APSA their advocacy role in achieving future reforms in this area. With the NSW Freight & Ports Plan in draft, the Victorian Freight Plan under development, and the National Freight & Supply Chain Strategy due to commence once the Inquiry has concluded, it would be remiss of our Governments to not address these charges in some way.

 

Freight & supply chain policy needs to be led by port users and Australian importer/exporters. The result of not doing so is what we see today.

 

FTA/APSA will continue to take a lead on this issue on behalf of industry.

 

 

 

Victoria International Container Terminal (VICT) - Notice to Customers
 

Following a review of our terminal charges and market conditions, VICT has decided to implement an Infrastructure Surcharge of $48.00.  Customers are advised that the charge will commence as of 27th March 2018.
 
Following a review of market conditions, we consider that it is appropriate to introduce an Infrastructure Surcharge. The Infrastructure Surcharge allows VICT to remain competitive in the market as a viable alternative container terminal.
 
Since commencing operations in 2017, VICT has committed to having landside efficiency at the forefront of our innovation, which we have done and continue to do. This has optimised our Truck Turnaround Times, increased utilisation of trucks and improved safety conditions. VICT remains dedicated to continuous improvement in providing leading landside services.
 
The Infrastructure Surcharge will be applied to all standard import and export full containers (R&D via road). Road transport operators will be invoiced electronically through existing weekly invoices. The $10 Chain Of Responsibility charge per container will no longer be an additional charge, and will instead be absorbed into the Infrastructure Surcharge from 27th March 2018.
 
We are aware of customer feedback regarding the introduction of infrastructure surcharges more generally in the market. Having listened to customer feedback on cash flow concerns around additional charges, we will extend our payment terms from 7 to 30 days from invoice issue date and we are also looking to implement EFTPOS payment facilities soon. We will make further announcements on this shortly.
 
VICT carrier access agreement will be updated accordingly and facility access will be conditional on payment of these charges as per our terms and conditions from 27th March onwards. Please contact VICT’s Landside Team on 03 8547 9700 if you require any further clarification with regard to this surcharge.
 

 

 

 

History of the Infrastructure Charges

Infrastructure charges were first introduced by Patrick on 25 October 2010 ($21.25). Apparently this was to recover investment associated with their terminal automation. In 2015 that charge was increased to $27.37 and a $3.50 charge was introduced by Patrick in Melbourne.

Since 2015 we have seen DPWA and Patrick introduce these charges to all major container terminals as well as increasing the charges exponentially, with no equivalent improvement in productivity or service delivery.

While our State Governments heavily regulate prescribed port charges (such as wharfage), to protect Australian exporters, there is no sufficient legislation in place to regulate container terminal pricing.


 

 

 

 
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