UNESCAP Special Session on Transport Facilitation Bangkok, 13 March 2012 Haydar Özkan IRU General Delegate to the Middle East and Region (c) International Road Transport Union (IRU) 2012

Evolution of IRU Membership 1948: eight founder countries (c) International Road Transport Union (IRU) 2012

These are also the priorities of the IRU Academy IRU Priority Issues Sustainable Development Innovation Incentives Infrastructure Facilitation Trade Tourism Road Transport These are also the priorities of the IRU Academy (c) International Road Transport Union (IRU) 2012

Barriers to Road Transport Impede Development Each day of delay = reduces trade by at least 1% Each day of delay = 85 km of distancing from trade partners Poor trade facilitation affects the composition of trade prevents countries to export time-sensitive goods a day’s delay reduces a country’s relative exports of time-sensitive goods on average by 7 % Source: Economic and Policy Research Institute, TEPAV, 2007 (c) International Road Transport Union (IRU) 2012

Road transport drives progress Successful economic cooperation depends on efficient road transport services Trade facilitation is impossible without free and integrated road transport market Road transport drives progress, prosperity, a better life and thus peace to the citizens (c) International Road Transport Union (IRU) 2012

Evolution of sea containers in ports 2010 (c) International Road Transport Union (IRU) 2012

Interconnecting all the businesses along the reopened Silk Road To East Coast Saturated To US East Coast Labour costs = $200/month Diesel fuel = 30 cents/litre To Black Sea to US West Coast to US West Coast This is why I am ready to share with you this dream that has already become a reality. Currently China-US trade is mainly transported through the Pacific, which as I have just shown you … causes saturation and unnecessary costs. But to reach 60% of your market you still need to reach the East coast. Instead of looking East, be a pioneer. “Go West young man”, like any modern-day cowboy, by truck, to the Black Sea or the Baltic Sea, and from there with the container vessels directly to your East ports. By doing so, without mentioning the reduction in mileage, you will benefit from modern trucks, but a fuel price of $1.18 per gallon, instead of $2.65 … and labour costs of $200 dollars per month. Sea transport Land transport Key: (c) International Road Transport Union (IRU) 2012 7

Interconnecting all the businesses along the reopened Silk Road To CIS To East Coast To EU Saturated To US East Coast to US West Coast to US West Coast To Mid East By doing so, we are not only transporting goods from China to the States, but we are interconnecting all the businesses along the 8,000 mile Silk Road, thus realising new business opportunities. In fact, by “looking West, young man”, you will also find your Middle Eastern markets, and we can interconnect all those businesses along that Middle East route, you can find your EU markets, and we can interconnect all the businesses along the EU route, you can find the CIS markets and we can interconnect all those businesses along the CIS route. ***** A truck is not a boat, it is not a train, it is not a plane. Truck service is not concentrated in a handful of ports. A truck is always, everywhere, at the disposal of everyone. Thus, “looking West”, you could find fabulous new business opportunities. Remember, a truck provides door-to-door service. A truck is therefore the best tool to unite people and to improve the distribution of wealth. You might be looking at me and saying, “Martin, you’re crazy!” But I say to you again, “wake up and smell the coffee, my dream has become reality.” 25% of world trade with neighbours sharing common border 50% of world trade between partners less than 3,000 km apart Trade between Canadian provinces 22 times greater than trade between a Canadian province and US state of similar size and distance Sea transport Land transport Key: (c) International Road Transport Union (IRU) 2012 8

Beijing-Brussels Caravan 2005 Launch of Historic Beijing-Brussels Caravan Brussels Beijing (c) International Road Transport Union (IRU) 2012

Black Sea Ring Highway Caravan 2007 (c) International Road Transport Union (IRU) 2012

Black Sea Truck Caravan: Findings Direct Cost of Waiting Times € 104 million Indirect Cost of Waiting Times € 104 million Direct Cost of Permits € 11 million Direct Cost of Visas € 10 million Total Cost of Border Waiting Times € 229 million in the BSEC Region for the BSEC hauliers per year (c) International Road Transport Union (IRU) 2012

IRU New Eurasian Land Transport Initiative – NELTI 1-2 NELTI Results 41 % unjustified levy paid 39 % of waiting time at borders To better connect by road the countries of Central Asia to China and the European Union, the IRU developed over the past few years the IRU New Eurasian Land Transport Initiative or “NELTI” project under which numerous trucks carrying commercial goods systematically record all the impediments on the road. The NELTI results are clear. The real problem faced by international road transport is not the lack of road infrastructure. The real problem is the totally inappropriate procedures at border crossings, where 41% of unjustified payments are requested and 39% of driving time is lost. (c) International Road Transport Union (IRU) 2012 12

IRU-ECO Silk Road Truck Caravan 2010 and ECO-RMT / NELTI 3 Supported by 10 ECO member countries Monitoring the ECO Transit Transport Framework Agreement ECO Secretary General, Mohammad Yahya P. Maroofi (c) International Road Transport Union (IRU) 2012

TIME STRUCTURE Total time: 21 948 hrs Average speed =14,3 km/hrs 7% Loading/discharge 7% Waiting/time in queue 19% Procedures (inc. escort & repairs) 15 % Total time: 21 948 hrs Average speed =14,3 km/hrs (c) International Road Transport Union (IRU) 2012

COST STRUCTURE (without fuel) 34,8% Official $118,990 (c) International Road Transport Union (IRU) 2012

NELTI NELTI: Solutions Implement UN trade and road transport facilitation tools Increase cooperation between transit States Introduce multilateral transport permit system Improve customs procedures Further to the basic principle of implementing the UN conventions, the NELTI also identified the following priorities as solutions for consideration and implementation by the concerned countries:- Implement the UN trade and road transport facilitation tools, Increase cooperation between the transit States, Introduce a multilateral transport permit system, Improve customs procedures, Provide multi-entry and transit visas for drivers. Provide multi-entry and transit visas for drivers (c) International Road Transport Union (IRU) 2012

BSEC Permit (c) International Road Transport Union (IRU) 2012

Visa for Professional Drivers Annex 8, 1982 Harmonisation Convention ECO TTFA (ECO Visa Sticker for Drivers) BSEC Agreement of Driver Visas (c) International Road Transport Union (IRU) 2012

Key UN Conventions UNESCAP Resolution 48/11, 1992 Convention on the Contract for the International Carriage of Good by Road (CMR), of 1956 Convention on the Harmonization of Frontier Controls of Goods, 1982 Convention on Road Traffic, 1968 TIR Convention, of 1975 Convention on Road Signs and Signals, of 1968 Customs Convention on Temporary Import of Commercial Road Vehicles, 1956 Customs Convention on Containers, of 1972 Road Traffic, 1949 (c) International Road Transport Union (IRU) 2012

Key UN Conventions European Agreement concerning the International Carriage of Dangerous Goods by Road (ADR) (1957) Agreement on the International Carriage of Perishable Foodstuffs and on the Special Equipment to be Used for such Carriage (ATP) (1970) Note: These two Agreements are not included in the UNESCAP Commission Resolution 48/11 of 1992. However, their implementation would benefit to the road transport industry, significantly. (c) International Road Transport Union (IRU) 2012

Annex 8: Border Control Harmonization Convention 1982 Main Focuses Driver Procedure Vehicle Infrastructure The contents of Annex 8 concern all aspects of border crossing improvements: Visa – Art. 2 Streamlining procedures (urgent consignments) – Art.3 Vehicle technical inspection – Art. 4 Standardised weighing operations – Art. 5 Minimum infrastructure requirements – Art. 6 Monitoring – Art. 7 Government action and PPP needed – nat-bilat-multi UNECE Secretariat Monitoring needed – international Most of these provisions disposes about improvements in national procedural rules, while the most complex issue also covers the introduction of a full network of certified weigh bridges equipped with appropriate technical facilities and staffed by well-trained personnel. The implementation of this provision and that of Article 6 on minimum infrastructure requirements for border crossings would indeed necessitate special and well thought-over preparations by Governments. It is an unfortunate source of risk that most of the Annex’s provisions are vaguely drafted and contain more of a “wish list” than anything else. Therefore, if Associations are not attentive and persuasive enough, Governments may escape from the proper implementation of the new Annex. Monitoring (c) International Road Transport Union (IRU) 2012

Facilitate procedure Article 2 - Visa Article 2 - Visa The IRU is of course in agreement with the general objective of facilitating the issuance of visa to professional drivers. But we should admit that this article is extremely vague. Knowing the circumstances of the difficult birth given to this Annex, in particular to this Article, it is a miracle that it is part of the Annex at all. But we need more: + International drivers = special category + Special visa treatment required: Long-term Multi-entry + Reduce formalities: Reduce documentary requirements Reduce time needed for visa issuance + Acknowledge intermediary role of associations + Reasonable fees + Consider Driver ID schemes – like ILO Convention 185 (c) International Road Transport Union (IRU) 2012

Article 3 – Transport Operation Move away controls from borders Special transport > special treatment: speed, lane, advance notification Perishable cargo, live animals Article 3 – Transport Operation The industry can only be in agreement with Move away controls from borders Special transport >> special treatment: speed, lane, advance notification Perishable cargo, live animals = special treatment But we need more: + special treatment also for Transit under TIR + the application of Single Window, risk management, modern control equipment, + the application of pre-notification, linking up customs transit systems (c) International Road Transport Union (IRU) 2012

Articles 4 and 5 - Vehicle Use International Technical Inspection Certificate Use International Vehicle Weight Certificate Articles 4 and 5 – Vehicle We agree with the Use International Technical Inspection Certificate but we need also + replace all other vehicle certificates Use International Vehicle Weight Certificate but we need also + implement in practice! + complex institutional and physical infrastructure needed … and we need more: + harmonise HGV traffic restrictions + fair HGV road user charge systems (c) International Road Transport Union (IRU) 2012

Article 6 and 7 - Border Crossing Joint controls, one-stop, 24/24 Traffic separation; off-lane control Driver facilities Competitive forwarding agents Reporting mechanism Article 6 and 7 - Border Crossing Yes to Joint controls, one-stop, 24/24, but we need also + Single Window + modern control equipment and trained & honest staff + information access + full coordination of control services + security Traffic separation; off-lane control Driver facilities Competitive forwarding agents but we need also + other commercial services Reporting mechanism but we need also + real monitoring function + PPP These are all elements to reduce the disastrous loss caused to the economy by idling at borders.

Transports Internationaux Routiers Securing and facilitating trade and international road transport Transports Internationaux Routiers Managed by the IRU since 1949 (c) International Road Transport Union (IRU) 2012 26

What is the TIR System? The best multilateral facilitation instrument for international transport and trade Based on TIR Convention of 1975 Currently signed by 68 contracting parties, with the possibility to be implemented globally and multi-modally (road-rail, road-maritime, road-air) (c) International Road Transport Union (IRU) 2012 27

Geographical scope of the TIR Convention 68 Contracting Parties 57 TIR Operational Countries 2 Contracting Party in Admission Process 3 In Negotiation Process 8 Interested Parties (c) International Road Transport Union (IRU) 2012 28

The six pillars of the TIR System (c) International Road Transport Union (IRU) 2012 29

IRU Tools for Ensuring Security 1100110100110101 1011011001010101 11010 10101 11011 00101 11101 01011 11001 1101111001010101 0010111001010101 1110111001010101 1101011001010101 11001101001101 101101100101010 11010 11010 10100 110100100111010 00100010111010 11100 11012 1100110100110 11010 01010 00100 10101 11010 00101 11100 11010 11010 11101 11100 10101 00111 TIR Electronic Pre- Declaration Connecting Business and Customs for facilitating and securing international trade www.tir-epd.org (c) International Road Transport Union (IRU) 2012

IRU Tools for Ensuring Security Real Time SafeTIR (RTS) Up-to-date RTS information on guarantees status and validity Automatic transmission of TIR Customs data to the IRU/Customs All TIR Customs data available to authorised Customs/Associations worldwide Connecting Business and Customs to facilitate and secure international trade (c) International Road Transport Union (IRU) 2012

IRU Tools for Ensuring Security In 2008, IRU and ECMT surveyed attacks against truck drivers, as part of a wider study of crime against international HGV traffic Survey showed that 1 out of 6 international truck drivers suffer from attacks, mainly in parking areas (c) International Road Transport Union (IRU) 2012

IRU Tools for Ensuring Security TRANSPark Identify secure and convenient truck parking areas; Search by country, within a 100-km radius or along planned routes; Browse all facilities available at the selected parking area; Upload parking information; And much more ! www.iru.org/index/transpark-app (c) International Road Transport Union (IRU) 2012

Border Waiting Times Observatory www.iru.org/index/bwt-app (c) International Road Transport Union (IRU) 2012

IRU Academy: Worldwide Excellence in Road Transport Training International Network of IRU Academy Accredited Training Institutes (ATIs) IRU Academy Advisory Committee World Bank United Nations Economic Commission for Europe (c) International Road Transport Union (IRU) 2012

IRU Academy Programmes Competence Compliance The objective of the IRU Academy is to work against the values of harmonisation, standardisation, coordination and cooperation and to provide high level harmonised quality training programmes and the recognition to road transport professionals through the obtainment of IRU Academy Diplomas and Certificates which helps them to promote their skills and achievements and differentiate themselves in an industry which is more and more competitive. Originally the IRU Academy launched one programme in 1999 – The CPC Manager programme based on the EC directive EC98/76. Today the IRU Academy manages a portfolio of training programmes both in terms of regional and subject matter scope. Safety Recognition (c) International Road Transport Union (IRU) 2012 36

IRU Academy Programmes Safe Loading & Cargo Securing Latest IRU Academy programmes developed to address key Industry concerns: road safety and emissions In focus ECO-Driving (c) International Road Transport Union (IRU) 2012 37

Save the date! (c) International Road Transport Union (IRU) 2012

www.iru.org (c) International Road Transport Union (IRU) 2012