1. Gordon Wright Head Customs Security & Transit Matters
IRU Road Transport Security Seminar
Geneva, 17 September 2007
Gordon Wright Head Customs Security & Transit Matters
© International Road Transport Union (IRU) 2007

2. IRU Road Transport Security Seminar
Approved Economic Operator (AEO):
the Standards, the Accreditation Process, Challenges and Chances for Transport Operators and their Associations
© International Road Transport Union (IRU) 2007

3. Background to AEO programs
Customs Simplification Procedures for 30 years
Customs Security & Safety since 2001
WCO SAFE Framework
© International Road Transport Union (IRU) 2007

4. WCO AEO Guidelines Conditions and requirements for Customs and AEOs
© International Road Transport Union (IRU) 2007

5. WCO AEO Guidelines Demonstrated Compliance with Customs Requirements
Satisfactory System for Management of Commercial Records
Financial Viability
Consultation, Co-operation and Communication
Education, Training and Awareness
Information Exchange, Access and Confidentiality
Cargo Security
© International Road Transport Union (IRU) 2007

6. WCO AEO Guidelines Conveyance Security Premises Security
Personnel Security
Trading Partner Security
Crisis Management and Incident Recovery
Measurement, Analyses and Improvement
© International Road Transport Union (IRU) 2007

7. WCO AEO Guidelines Benefits to the Authorized Economic Operator
Measures to expedite cargo release, reduce transit time and lower storage costs
Providing access to information of value to AEO participants
Special measures relating to periods of trade disruption or elevated threat level
First consideration for participation in any new cargo processing programmes
© International Road Transport Union (IRU) 2007

8. WCO AEO Guidelines
The WCO SAFE Framework and the AEO Guidelines do not contain an implementation mechanism
Three options for implementation:
Unilateral (e.g. US C-TPAT)
Bilateral (e.g. EU Security Amendments)
Multilateral (e.g. Via an International Instrument – TIR Convention)
© International Road Transport Union (IRU) 2007

9. AEO implementation program in the EU
EU – Example of a Customs Union implementing an AEO Program
Note : EU Commission & Parliament have primary responsibility for the EUs Customs Code and its Implementing Provisions
Supported by Member States Customs Code
Implementation commences as of 1 January 2008
Part of EU “Security Amendments” to the EU Customs Code and Implementing Provisions
© International Road Transport Union (IRU) 2007

10. AEO program in the EU
An EU AEO Applicant must apply for AEO certification in an EU Member State where:
The applicants accounts relating to Customs arrangements are held
At least part of operations to be covered by the AEO certificate are conducted Or
The applicants accounts relating to Customs arrangements are accessible in the applicants computer system
The applicants general logistical management activities are conducted
At least part of operations to be covered by the AEO certificate are carried out
© International Road Transport Union (IRU) 2007

11. AEO program in the EU Mutual Recognition of other AEO Programs
In cases where an International agreement exists with the EU
US C-TPAT
EFTA
China
© International Road Transport Union (IRU) 2007

12. AEO program in the EU
3 AEO Certification Programs : Simplification, Safety and Security or Both
an AEO certificate — Customs simplifications;
an AEO certificate — Security and safety in respect of economic operators requesting to benefit from facilitations of customs controls;
an AEO certificate — Customs Simplifications/security and safety, in respect of economic operators requesting to benefit from the simplifications and facilitations;
The customs authorities shall take due account of the specific characteristics of SMEs.
© International Road Transport Union (IRU) 2007

13. EU AEO Guidelines Guidelines published June 2007
To be introduced by all EU Member States
Sets out criteria to be met for all 3 Certifications Programs
© International Road Transport Union (IRU) 2007

14. EU AEO Guidelines
Road Transport operators will need to meet 90 criteria
Company's information
Compliance record
Applicants accounting and logistical system
Financial solvency
Safety and Security requirements
© International Road Transport Union (IRU) 2007

15. EU AEO Guidelines Benefits for AEOs in the EU Lower risk rating
Less administrative and physical examinations at the borders
Priority examinations at borders
Reduced data set requirements for pre-arrival/departure summary declarations
Commercial advantage of having AEO status
© International Road Transport Union (IRU) 2007

16. EU AEO Guidelines Accreditation of the 3 AEO Certification Programs
Done by National Customs Administrations
Or Experts
Financial Institution
Inspection Agencies
Security Companies
Any other entity demonstrating the required competencies
Associations
© International Road Transport Union (IRU) 2007

17. EU AEO Guidelines Associations in the AEO accreditation process
Have proven knowledge TIR Holder accreditation – similar to AEO
Are trusted partners of Customs Administrations
Have the clearest understanding of the international road transport sector
Have similar mechanisms in place to manage AEO accreditation processes
© International Road Transport Union (IRU) 2007

18. Electronic TIR Pre-Arrival/Departure Summary Declarations
IRU’s NCTS/TIR Web Application
© International Road Transport Union (IRU) 2007

19. Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
OBJECTIVES
Meet Summary Declaration requirements foreseen in the Implementing Provisions of the revised EU Customs Code
Meet the data requirements in the EU “security Amendments”;
Comply with the WCO Framework of standards
Resolve the non circulation of green Volets (2) in the European Union;
Allow the TIR Carnet Holder to proceed without the intervention of third parties and associated additional costs;
Provide requisite security of data in a public / private partnership;
© International Road Transport Union (IRU) 2007

20. FORESEEN REQUIREMENTS
Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
FORESEEN REQUIREMENTS
1st January 2009
Mandatory legal requirement to send TIR information electronically to the EU Customs office of departure/entry before leaving/entering the EU;
1st July 2009
Mandatory requirement for Safety and Security Information « EU Security Amendments » to be sent electronically in advance of TIR trucks departing/entering the EU
© International Road Transport Union (IRU) 2007

21. Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
FORESEEN OPTIONS
National EU Holders
Maybe connected to NCTS in their home country national software available
Holders voluntary decide to use third parties - Business Decision
e.g. Customs’ Agents, Freight Forwarders
IRU NCTS/TIR Web Application
Holder not having access to NCTS (e.g. non EU Holders), nor wishing to use third parties and pay additional costs.
NCTS – TIR Pre-declaration OPTIONS
Presently there are different options that the transport operator can choose:
The first available option is to present himself at the customs office of entry into the EU or the customs office of departure in the EU, where all the information related to the TIR Carnet will be captured by the customs officer:
Data capture at Customs Offices – Current
The second option is to use the possible available software provided either by the national customs authorities or its national association, though this option favors EU holders :
National EU Holders – Current
Maybe connected to NCTS in their home country national software available
The third available option is to voluntary use the services of a third party:
Holders voluntary decide to use third parties - Business Decision – Current
Finally the last option is to provide the transport operator with a tool that would enable him to provide the information electronically without bearing additional costs and this tool is the IRU NCTS/TIR Web application. It is destined for non EU holders, holders that are not connected and that wish to use a service free of charge.
IRU NCTS/TIR Web Application – Imminent
Non connected holders, specially from the non EU countries, not wishing to use third parties and not willing to suffer additional costs.
© International Road Transport Union (IRU) 2007

22. NCTS/TIR Pre-declaration
Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
TIR
Customs Declaration
Guarantee
TIR 2 1
NCTS/TIR Pre-declaration
Madrid
© International Road Transport Union (IRU) 2007

23. Secured access provided by the IRU
Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
Secured access provided by the IRU
© International Road Transport Union (IRU) 2007

24. Data crosschecked and validation against the TIR Carnet Database
Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
Data crosschecked and validation against the TIR Carnet Database
© International Road Transport Union (IRU) 2007

25. Data from the Cover Page of the TIR Carnet
Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
Data from the Cover Page of the TIR Carnet
© International Road Transport Union (IRU) 2007

26. Data from the accompanying document ( CMR)
Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
Data from the accompanying document ( CMR)
To capture the information related to the Goods
© International Road Transport Union (IRU) 2007

27. To mention the accompanying document to the TIR Carnet
Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
Data from the Yellow Goods Manifest (inc. precise Goods description) of the TIR Carnet
To mention the accompanying document to the TIR Carnet
© International Road Transport Union (IRU) 2007

28. Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
Selection of the EU countries and EU approved Customs offices of entry/departure and exit/destination
© International Road Transport Union (IRU) 2007

29. Electronic TIR Pre-Arrival/Departure Summary declaration IRU’s NCTS/TIR Web Application
Encourage TIR Carnet holders to use the Electronic TIR Pre-Arrival/Departure Summary declaration (NCTS/TIR) web application
Education
Training
Awareness
© International Road Transport Union (IRU) 2007

30.
© International Road Transport Union (IRU) 2007