1. TIR System in the ECO Tehran, 13 – 15 December 2008 Jean Acri
Head - TIR System
© International Road Transport Union (IRU) 2008

2. What is the IRU? Evolution of IRU Membership
Members 73 Countries
Created 1948
8 Founder States:
Belgium
Denmark
France
Netherlands
Norway
Sweden UK
Switzerland
© International Road Transport Union (IRU) 2008

3. The combined efforts of 29 companies in 18 countries
What is globalisation?
What does it take to have a cup of coffee in a café?
The combined efforts of
29 companies in 18 countries
If to have one cup of coffee at an affordable price, it takes 29 companies in 18 countries, you imagine how much more it would cost if all items came from the country where the end product is consumed?
If we know that it takes 10’000 suppliers, which in turn have their own suppliers, to create an affordable motor car, you can imagine the vital role of road transport in a liberalised economy.
Therefore, to stay in business, we need to see globalisation as an opportunity and not as a threat. To do so, we need, amongst others, to develop facilitation. What is facilitation created by? Harmonised legislation, harmonised institutions and effective enforcement would be the fundamental pre-conditions…To put them in place, the only possibility is a multilateral, global approach.
Source: IRU
© International Road Transport Union (IRU) 2008

4. 49 Conventions to facilitate road transport
© International Road Transport Union (IRU) 2008

5. Conventions to facilitate road transport
UNESCAP Resolution 48/11, 1992
Convention on the Contract for the International Carriage of Goods by Road (CMR), of 1956
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 (AFG - Contracting Party)
Customs Convention on Containers, of 1972
Road Traffic Convention, 1949
Convention on the Harmonization of Frontier Controls of Goods, 1982
Out of 7 Conventions, we will stress the 3 highlighted ones.
© International Road Transport Union (IRU) 2008

6. ECO member states participation in UN Conventions on road transport
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7. * 46 Contracting Parties; a UNECE Convention
*Harmonization of Frontier Controls of Goods, 1982 Annex 8 – 20 May 2008
I hope you do not mind the detour on the macro-economic consequences of border waiting times.
In this context it becomes clear how important it is to accede to and implement the Harmonisation Convention of 1982, its Annex 8 in particular.
The transport industry’s first concern is the relatively low level of accession to this legal instrument: 25 CPs.
Let us review Annex 8 article by article.
* 46 Contracting Parties; a UNECE Convention
© International Road Transport Union (IRU) 2008

8. Harmonization of Frontier Controls of Goods, 1982 Annex 8
Focuses mainly on:
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
© International Road Transport Union (IRU) 2008

9. Harmonization of Frontier Controls of Goods, 1982 Annex 8
Article 2 - Visa
Facilitate procedure
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
© International Road Transport Union (IRU) 2008

10. Harmonization of Frontier Controls of Goods, 1982 Annex 8
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
© International Road Transport Union (IRU) 2008

11. Harmonization of Frontier Controls of Goods, 1982 Annex 8
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
© International Road Transport Union (IRU) 2008

12. Harmonization of Frontier Controls of Goods, 1982 Annex 8
Articles 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.
© International Road Transport Union (IRU) 2008

13. Harmonization of Frontier Controls of Goods, 1982 Annex 8
Entry into Force
20 May 2008
Governments to implement without delay!
© International Road Transport Union (IRU) 2008

14. TIR System an overview
© International Road Transport Union (IRU) 2008

15. TIR Convention TIR System SafeTIR Controlled Access
Secure vehicles and containers
International Chain of Guarantee
TIR Carnet
Mutual Recognition of Customs Controls
Controlled Access
SafeTIR
The SIX pillars of the TIR system are the following:
Secure vehicles and containers:
Only approved load compartments that matches certain standards can be used for TIR transports
After being checked by customs – the load compartment will be sealed. This seal should only be broken by the custom office of destination.
International Chain of Guarantee:
Governments have a guarantee that in case of non payment of duties and taxes, they can claim payment to the chain of guarantee. The chain of guarantee is composed of both national and international guarantors.
TIR Carnet
The TIR carnet has a dual role:
It acts as a custom declaration – it is one harmonised document available with a different number of volets according to the length (# of TIR countries crossed) of the transport
It is the guarantee for payment of taxes and duties for a particular transport
Mutual recognition
Key to the functioning of the TIR system the mutual recognition of the customs authorities is essential to the system. The role played by the custom of origin is key; it is up to the this custom to check the goods along with the declaration in the TIR carnet and to seal the truck’s load compartment. The customs of transit will trust the work performed by the country of origin and unless their is a suspicion of fraud (in which case they may break the seal and perform a detailed check of the load vs. the declaration – TIR Carnet), they will check that the seal is intact and check + fill their relevant part of the TIR carnet.
Controlled Access
Transporting goods under the TIR system is not a right but a privilege. In order to be able to access the system, transport operators will have to comply with some criteria which are listed in the Annex 9 of the convention – for instance they will have to have a solid financial situation, knowledge of international transport, etc.
Safe TIR (Annex 10)
In order to monitor traceability of TIR Carnets, Safe TIR has been added to the convention as Annex 10 in Aug The monitoring of TIR Transport Termination helps the actors involved in the system to have access to information -> risk management aspect.
TIR Convention
SafeTIR - traceability and Risk Management – Annex 10
Controlled access - only bona-fide associations and transporters allowed to access TIR system
Mutual recognition of Customs controls - reduced need for physical examination of goods in transit
International Chain of Guarantee - no deposit of Customs guarantees at borders, no need for calculation of duties & taxes in transit
TIR Carnet - single, standard internationally accepted Customs declaration document
Protection of Customs revenue - Customs duties & taxes are guaranteed (if transit operation is not terminated properly)
IRU Direct Involvement
Security - secure vehicles and containers
© International Road Transport Union (IRU) 2008

16. What is the TIR System? 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)
© International Road Transport Union (IRU) 2008

17. Geographical scope of the TIR Convention
Contracting
Parties 68
TIR Operational
Countries 56
Contracting Parties
in admission process 2
In negotiation
process 3
Interested 6
regular growth
© International Road Transport Union (IRU) 2008

18. TIR Convention, 1975 Benefits: Access to 56 operational countries
No inspection of goods at intermediate borders
No payment of taxes and duties en route
Reduced border delays, transport costs and import/export costs
Increased competitiveness and growth
Inter-modality
Security
Managed through efficient Public-Private Partnership
© International Road Transport Union (IRU) 2008

19. Recent IT Developments in TIR
TIR and Use of New Technology
Recent IT Developments in TIR
© International Road Transport Union (IRU) 2008

20. TIR Risk Management & Traceability
IRU Archive
Storage
Issuing Association
IRU Control
TIR Carnet Life Cycle
Electronic TIR data
IRU dBase
Issuing Association
Holder
CUTE-Wise
SafeTIR
Holder
Driver
Driver
Customs
© International Road Transport Union (IRU) 2008

21. TIR Electronic Pre-Declaration
(NCTS/TIR) Pre-declaration 2
Pre-Declaration 1
Fulfils two requirements:
Electronic pre-declaration
Computerised exchange of information
TIR 2 1
TIR Transport
TIR
- One guarantee
- One regime
- Independence
Madrid
© International Road Transport Union (IRU) 2008

22. IRU - FCS Real-Time SafeTIR Project
The status of the TIR Carnet:
Valid (with the following details: Holder ID, validity date, Issuing Association name)
Invalid
Not issued/False/other situations
GNIVTs Moscow
SafeTIR data
IRU Geneva
What is the status of the TIR Carnet?
Real-Time SafeTIR project:
The association can issue in security
The Customs can accept the TIR Carnet in security knowing that the association has issued it in security
© International Road Transport Union (IRU) 2008

23. TIR CARNETS USED BY ECO TRANSPORT OPERATORS IN 2007
© International Road Transport Union (IRU) 2008

24. Number of TIR carnets issued to Association from 2003 to 2008 (October)
Country
Association
2003
2004
2005
2006
2007
2008
(up to
end oct.)
Total issued to
AFGHANISTAN
AZERBAIDJAN
ABADA
1900
3950
5000
5500
9000
9500
34850
IRAN
ICCIM
33000
48000
52000
247000
KAZAKHSTAN
KAZATO
17400
17000
19600
32650
39050
29150
154850
KYRGYZSTAN
KYRGYZ AIA
2700
4900
6250
11450
18100
17020
60420
PAKISTAN
TADJIKISTAN
ABBAT 50
300
500
400
1250
TURKEY
TOBB
419000
544000
589000
689000
788500
765000
TURKMENISTAN
THADA
150
200
1000
600
3350
UZBEKISTAN
AIRCUZ
900
2400
1800
4500
7000
21600
Total issued to group
during the year
475050
605450
655100
792400
915150
874670
TIR Carnets have been issued by the IRU to the Associations of the Eco countries in 2007.
out of have actually been used by ECO countries transport operators in 2007.
© International Road Transport Union (IRU) 2008

25. TIR CARNETS USED BY ECO TRANSPORT OPERATORS IN 2007
TIR CARNETS HAVE BEEN USED BY ECO TRANSPORT OPERATORS IN 2007
WHICH REPRESENTS 26% OF ALL TIR CARNETS USED IN THE WORLD
© International Road Transport Union (IRU) 2008

26. TIR CARNETS USED BY ECO TRANSPORT OPERATORS IN 2007
50% ( ) WERE USED
FOR TRANSPORT BETWEEN ECO
COUNTRIES
© International Road Transport Union (IRU) 2008

27. TIR CARNETS USED BY ECO TRANSPORT OPERATORS IN 2007
38% ( ) WERE USED FOR TRANSPORT TO EUROPE AND EFTA COUNTRIES
© International Road Transport Union (IRU) 2008

28. TIR CARNETS USED BY ECO TRANSPORT OPERATORS IN 2007
9% (70 000) WERE USED FOR TRANSPORT TO RUSSIA, BELARUS AND UKRAINE
© International Road Transport Union (IRU) 2008

29. TIR CARNETS USED BY ECO TRANSPORT OPERATORS IN 2007
3% (30 000) WERE USED FOR TRANSPORT TO THE
MIDDLE EAST AND CAUCASIAN REGIONS
© International Road Transport Union (IRU) 2008

30. TIR CARNETS USED FOR TRANSPORT TO ECO COUNTRIES IN 2007
© International Road Transport Union (IRU) 2008

31. TIR CARNETS USED FOR TRANSPORT TO ECO COUNTRIES IN 2007
506’000 TIR CARNETS HAVE BEEN USED FOR TRANSPORT TO ECO COUNTRIES, INCLUDING THOSE USED BY ECO TRANSPORT OPERATORS.
WHICH REPRESENTS 16 % OF ALL CARNETS ISSUED IN 2007
© International Road Transport Union (IRU) 2008

32. TIR CARNETS USED FOR TRANSPORT TO ECO COUNTRIES IN 2007
16% ( ) OF TIR CARNETS USED IN 2007 INCLUDING THOSE USED BY ECO TRANSPORT OPERATORS, WERE USED FOR TRANSPORT TO ECO COUNTRIES
© International Road Transport Union (IRU) 2008

33. TIR CARNETS USED FOR TRANSPORT TO ECO COUNTRIES IN 2007
TIR CARNETS WERE USED FOR TRANSPORT TO ECO COUNTRIES BY FOREIGN TRANSPORT OPERATORS WHICH REPRESENTS 3% OF THE TOTAL NUMBER OF TIR CARNETS USED IN 2007
© International Road Transport Union (IRU) 2008

34. TIR CARNETS USED FOR TRANSPORT TO ECO COUNTRIES IN 2007
75 % (75 000) WERE USED BY TRANSPORT OPERATORS FROM EU AND EFTA COUNTRIES IN 2007
© International Road Transport Union (IRU) 2008

35. TIR CARNETS USED FOR TRANSPORT TO ECO COUNTRIES IN 2007
4% (4 000) WERE USED BY TRANSPORT OPERATORS FROM THE MIDDLE EAST AND CAUCASIAN REGIONS IN 2007.
© International Road Transport Union (IRU) 2008

36. CARNETS TERMINATED IN ECO COUNTRIES
21% (21 000) WERE USED BY TRANSPORT OPERATORS FROM
RUSSIA, BELARUS AND UKRAINE IN 2007.
© International Road Transport Union (IRU) 2008

37. CARNETS TERMINATED IN ECO
FIGURES
TERMINATED IN
ECO COUNTRIES
EUROPE
MIDDLE EAST CAUCASUS
RUSSIA-BEL-UKR
CARNETS ISSUED BY ECO
30 000
70 000
50%
38% 3% 9%
CARNETS ISSUED BY
WORLD EXCEPT ECO COUNTRIES
MIDDLE EAST CAUCASUS
CARNETS TERMINATED IN ECO
75 000
4 000
21 000 %
75% 4%
21%
© International Road Transport Union (IRU) 2008

38. TIR in ECO countries Main obstacle to the TIR System in ECO countries:
Bilateral transport based on CMR and national guarantees
Solution to facilitate bilateral transport in ECO region:
Use of 4 volet Carnets
No formalities at border
No guarantee to deposit for each movement
Benefit from internationally recognized guarantee
© International Road Transport Union (IRU) 2008

39. New trends and challenges in the TIR System
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40. IRU NELTI Project… changing mindsets!
© International Road Transport Union (IRU) 2008

41. NELTI routes
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42. Multilateral agreements WCO SAFE Framework
Requirement
fulfilled by 
Slide 10
Now into the heart of the matter: security challenges.
SAFE: adopted by WCO in 2005; commitment by ca. 150 countries.
TIR satisfies WCO requirements, and helps to implement the Framework.
TIR share the same objectives, as it encourages the secure and sustainable development of international trade (controlled access, traceability)
TIR provides for mutual recognition, which is essential for an effective implementation of the SAFE.
© International Road Transport Union (IRU) 2008

43. US Chamber of Commerce Findings
Result of a study commissioned by the US Chamber of Commerce that compared various International Conventions such as SOLAS and Revised Kyoto Convention.
Page 43
© International Road Transport Union (IRU) 2008
© International Road Transport Union (IRU) 2008

44. Possible contribution by ECO countries
ECO and member states contribution to the development and sustainability of the TIR System:
Re-activate accession to the TIR and other Conventions by Pakistan
Contribution to the UNECE TIR Convention and bodies:
WP30
AC2
TIRExB
ECO secretariat should receive a clear mandate from its member states to represent them in the UNECE and Convention bodies
© International Road Transport Union (IRU) 2008

45. Possible contribution by ECO countries
Positions to be defended by ECO in UNECE/TIR Convention bodies:
For TIR:
Urge for strict implementation of risk management measures: Real-Time SafeTIR and EPD
Reject amendments that would weaken the TIR Convention
Urge contracting parties to give a mandate to the UNECE secretariat to draft the necessary amendments to ensure that the TIR Convention fully implements the WCO SAFE framework
Promote and contribute to dedicated trainings aimed at harmonising the implementation of the TIR Convention
For Harmonization Convention:
ECO countries and national associations should fully implement Annex 8 of the Harmonization Convention
Push for national action plans (national border crossing monitoring activities and joint border crossing controls)
Provide necessary data to the IRU Border Waiting Times Observatory to monitor the implementation of Annex 8
© International Road Transport Union (IRU) 2008

46. TIR System is a facilitation tool answering the needs of both Public and Private sectors
© International Road Transport Union (IRU) 2008

47.
© International Road Transport Union (IRU) 2008