Supply chain to be phased into the TTP program with sea exports first and air cargo in phase two

AIR cargo will not be covered until the second phase of the pilot scheme for the Trusted Trader Program (TTP).  The first stage will focus on containerised sea exports, while the second phase will cover not only air cargo but also participants in the import supply chain.

A third phase may include opening up the pilot to additional participants from all areas of the supply chain.

It is expected that within 12 months there will be around 40 pilot participants, all of which would become full members when the scheme is in place.

The pilot is under the aegis of the Australian Customs & Border Protection Service (ACBPS), with involvement by the specialist global consultancy KGH Border Services.

Pilot participants are being selected in consultation with the Department of Agriculture, the Australian Taxation Office and the Department of Infrastructure & Regional Development’s Office of Transport Security.

An ACBPS briefing paper explains the TTP is being developed in accordance with the Authorised Economic Operator (AEO) Implementation Guidance from the World Customs Organization.

This explains that “the advantage of having a pilot is that there can be continued testing and refinement of protocols within a live environment. This can be done prior to the inclusion of greater numbers or additional segments of supply chain operators.”

Validation of pilot participants will focus on a company’s entire operations and not merely one specific part – that is, not just imports or exports but validation for the complete supply chain functions that a company undertakes.

The pilot will be introduced in a phased approach, with no time frames dictated for any phase.

Participants will be actively encouraged to provide feedback, which will be considered for incorporation or adaptation.
ACBPS explains that “wherever possible, the TTP will leverage off other security or facilitation programs to maximise the benefits to participants and avoid regulatory duplication”.

Specialist consultant KGH Border Services has been selected by ACBPS as partner in the design and implementation of TTP.

Nominally based in Sweden, KGH has a global network of partners and staff, almost all of them with hands-on experience in Customs, logistics, security and transport.

It is headed by Lars Karlsson, regarded as something of a charismatic figure.

Pim Berkhuizen will be KGH’s project manager for TTP.

Teresa Conolan, assistant secretary for ACBPS’s trusted trader branch described the partnership as an important step forward.

“KGH Border Services brings a wealth of knowledge and experience in working with Customs administrations internationally to set up authorised economic operator programs.

Conolan said pilot participants would have to meet international supply chain security and trade compliance standards, but they would receive a number of benefits like enhanced client service through the provision of a dedicated client service manager, fewer examinations and priority consideration of applications for advance rulings, duty drawbacks and tariff advice reviews.

TTP would increase supply chain certainty and reduce red tape, she said.  The risk management approach would enable ACBPS to focus its resources on areas of high and unknown risk.

Supply chain to be phased into the TTP program with sea exports first and air cargo in phase two

AIR cargo will not be covered until the second phase of the pilot scheme for the Trusted Trader Program (TTP).  The first stage will focus on containerised sea exports, while the second phase will cover not only air cargo but also participants in the import supply chain.

A third phase may include opening up the pilot to additional participants from all areas of the supply chain.

It is expected that within 12 months there will be around 40 pilot participants, all of which would become full members when the scheme is in place.

The pilot is under the aegis of the Australian Customs & Border Protection Service (ACBPS), with involvement by the specialist global consultancy KGH Border Services.

Pilot participants are being selected in consultation with the Department of Agriculture, the Australian Taxation Office and the Department of Infrastructure & Regional Development’s Office of Transport Security.

An ACBPS briefing paper explains the TTP is being developed in accordance with the Authorised Economic Operator (AEO) Implementation Guidance from the World Customs Organization.

This explains that “the advantage of having a pilot is that there can be continued testing and refinement of protocols within a live environment. This can be done prior to the inclusion of greater numbers or additional segments of supply chain operators.”

Validation of pilot participants will focus on a company’s entire operations and not merely one specific part – that is, not just imports or exports but validation for the complete supply chain functions that a company undertakes.

The pilot will be introduced in a phased approach, with no time frames dictated for any phase.

Participants will be actively encouraged to provide feedback, which will be considered for incorporation or adaptation.
ACBPS explains that “wherever possible, the TTP will leverage off other security or facilitation programs to maximise the benefits to participants and avoid regulatory duplication”.

Specialist consultant KGH Border Services has been selected by ACBPS as partner in the design and implementation of TTP.

Nominally based in Sweden, KGH has a global network of partners and staff, almost all of them with hands-on experience in Customs, logistics, security and transport.

It is headed by Lars Karlsson, regarded as something of a charismatic figure.

Pim Berkhuizen will be KGH’s project manager for TTP.

Teresa Conolan, assistant secretary for ACBPS’s trusted trader branch described the partnership as an important step forward.

“KGH Border Services brings a wealth of knowledge and experience in working with Customs administrations internationally to set up authorised economic operator programs.

Conolan said pilot participants would have to meet international supply chain security and trade compliance standards, but they would receive a number of benefits like enhanced client service through the provision of a dedicated client service manager, fewer examinations and priority consideration of applications for advance rulings, duty drawbacks and tariff advice reviews.

TTP would increase supply chain certainty and reduce red tape, she said.  The risk management approach would enable ACBPS to focus its resources on areas of high and unknown risk.