© GreenLine Systems Inc. An A-TS Owned Company 2014 Panel 2: Benefits of Customs Statistics and other Trade Data Exchange WCO IT Conference, Bahamas May 7, 2015 Chris Thibedeau, VP 1

© GreenLine Systems Inc. An A-TS Owned Company 2014 Most customs administrations are “data rich but knowledge poor” Customs Administrations manage a lot of data “Big Data” challenges include – Virtualizing the border – Making Tactical and Operational Decisions – Linking Key Data – Exploiting the Data – Data Quality = Importer Declarations Cargo Reports House Bills CSMs Vessel StowPlans Permits

© GreenLine Systems Inc. An A-TS Owned Company x Cargo Report Data Relationship Example Freight Forwarders Carrier “Freight of All Kinds” +Goods Consigned to FF “Ultimate Consignee” + Better Commodity Description VFD, HS Code, Country of Origin, etc. 1 x Bill of Lading e.g. 50 x House Bills e.g. 50 x Importer Declarations Importers e.g. 20 CSMs 1 x Vessel Stow Plan 10+2 e.g. 50 x ISFs 10+2

© GreenLine Systems Inc. An A-TS Owned Company 2014 Data Volume One Container (Example) could have associated documents Cargo ReportFF House Bill Declarations or SADS ISFsStowplanCSMs X= Exploit

© GreenLine Systems Inc. An A-TS Owned Company 2014 Data Exploitation Proprietary and Confidential

© GreenLine Systems Inc. An A-TS Owned Company 2014 What Product or Outcome Do You Seek? Trade Statistics Enforcement Statistics Trade Volumes Management Reports Business Intelligence Determine Norms Determine Anomalies Intelligence Products Lookouts Intelligence Bulletins Profiles Selectivity Targets for Inspection (High Risk) Targets for Release (Low Risk) Random Selectivity Historical Data Analysis Operational Data Analysis

© GreenLine Systems Inc. An A-TS Owned Company 2014 A Personal Example… Anomalies Found: 1.Shipper Declared as a P.O. Box Address 2.First Time Shipper / Not on file 3.Consignee importing textiles for the first time 4.Consignee importing from Middle East for the first time 5.Individual vs Business Phone Number 6.Common Cover Load 7.Place of Receipt inconsistent with commodity origin 8.“Rush” delivery 9.Ship to truck inland movement (anomalous at this Port of Entry) Results: Eight Tonnes Hashish Seized (Largest narcotics seizure in Canada to that time.)

© GreenLine Systems Inc. An A-TS Owned Company 2014 Trade Data Exchange

© GreenLine Systems Inc. An A-TS Owned Company 2014 Regional Trade Data Exchange Example Using Current Filing Systems U.S. Destined Shipments Arrive in Canada at FPOA Canada Destined Shipments Arrive in the U.S at FPOA File with CBSA + share cargo data with USCBP AMS System File with US CBP + share cargo data with CBSA ACROSS System ACROSS AMS

© GreenLine Systems Inc. An A-TS Owned Company 2014 A TDE in Principle Country 1 Export Country 2 In-transit Country 3 Import Carrier/Exporter/Agent Export SAD Import SAD In-transit SAD Export SAD Origin Dest. TDE Concept Trade Files one time Export SAD Re-used as the in-transit SAD Re-used again as the Import SAD The Trade and participating countries share/exchange data using a Private “Cloud” SaaS Solution Countries access only “their” data based on country UN location code Benefits Improves timeliness of data Improves end to end supply chain visibility. – Improves transshipment visibility – Pushes the virtual border “out” Improves customs controls – Export Country can be ensured goods arrived in destination country All customs admins along the supply chain journey can access the data for a single supply chain transaction “as/when” it is created by the trade. Reduces burden on trade. The “Right Data” is obtained at the “Right Time” Threats can be addressed before lading at export vs. at arrival or inland at country of destination How Do We Start? Endorse/promote policy where Customs processing begins with supply chain at Export vs. Import. The WCO could promote discussion on the revision of RKC Specific Annex “C” on Export Processing. Pilot the concept regionally with 2-3 Trading partners. Show the concept makes sense and adds value

© GreenLine Systems Inc. An A-TS Owned Company 2014 Contact  Chris Thibedeau – VP WW Customs and Law Enforcement Solutions, A-T Solutions – – Phone/Txt: