CBAFF acts to shrink airport queues, clarify China-HK transshipment rules
AirCargo archive stories #239
Wednesday, 04 November 2015
An industry working group has been set up by New Zealand’s Customs Brokers and Freight Forwarders Federation (CBAFF) in a bid to solve the major problem of growing queues to collect air freight, especially at Auckland Airport.
“A number of our members have raised concerns with us about the significant delays and massive queues to uplift air freight,” said Glenn Coldham (left), the Federation’s president. “The biggest problem exists at Auckland’s international air freight terminal.”
CBAFF has “encouraged consideration of all options” available to overcome the congestion, he said.
“That includes extended working hours, booking systems or even forwarder uplift priority based on freight volumes.
“Currently there is a real issue of driver safety with trucks queuing for up to several hours before the facilities open – just to make sure they are at the head of a line that will be waiting for them again when they return for their next collection.”
Coldham points out this situation has no upside.
What’s more, it appears to be getting worse, he says, creating “major challenges and stress for the freight forwarders and drivers involved.
“CBAFF has formed an industry working group which is focused on this issue and we will work with members and the cargo handlers concerned to obtain solutions.
“We do not know what the outcome will be at this stage. We are certainly open to any suggestion that may be presented – but we are aiming for a much improved outcome to that currently being experienced.”
Hong Kong conundrum
Another key issue being dealt with currently by CBAFF and NZ Customs is finding a resolution to import challenges around Chinese-made goods transported via Hong Kong.
The core problem is the confusion over whether these goods fall within the China/NZ free trade agreement or not. If they do, they would be exempt from tariffs.
“This was brought to CBAFF’s attention at a recent meeting of our air and sea freight working group,” said Coldham. A discussion was subsequently arranged with NZ Customs.
“Customs is very keen to resolve this issue too and has advised us it will investigate and shortly issue Customs Release documents that will give clarity to the situation.”
The Chinese FTA applies only to goods that are deemed to have been directly shipped from China to NZ.
The confusion centres on LCL air and sea freight which is often trucked from China to Hong Kong and held in warehouses for varying periods.
“The issue is around how a Customs broker can be confident in declaring goods as China origin-qualifying based on the documents on hand.
“Often the bill of lading/waybill will show the port of loading as Hong Kong, when in fact the shipment commenced its international journey by truck from China prior to being loaded on that vessel or flight from Hong Kong.
“The question of remains as to how to prove those goods have not entered the commerce of Hong Kong and therefore do not breach the direct shipment rule remains”
Coldham stresses that this is an important issue for CBAFF members on behalf of their clients “because legitimate claims under the FTA mean duty savings of up to 10 per cent on a shipment”.
CBAFF acts to shrink airport queues, clarify China-HK transshipment rules
AirCargo archive stories #239
Wednesday, 04 November 2015
An industry working group has been set up by New Zealand’s Customs Brokers and Freight Forwarders Federation (CBAFF) in a bid to solve the major problem of growing queues to collect air freight, especially at Auckland Airport.
“A number of our members have raised concerns with us about the significant delays and massive queues to uplift air freight,” said Glenn Coldham (left), the Federation’s president. “The biggest problem exists at Auckland’s international air freight terminal.”
CBAFF has “encouraged consideration of all options” available to overcome the congestion, he said.
“That includes extended working hours, booking systems or even forwarder uplift priority based on freight volumes.
“Currently there is a real issue of driver safety with trucks queuing for up to several hours before the facilities open – just to make sure they are at the head of a line that will be waiting for them again when they return for their next collection.”
Coldham points out this situation has no upside.
What’s more, it appears to be getting worse, he says, creating “major challenges and stress for the freight forwarders and drivers involved.
“CBAFF has formed an industry working group which is focused on this issue and we will work with members and the cargo handlers concerned to obtain solutions.
“We do not know what the outcome will be at this stage. We are certainly open to any suggestion that may be presented – but we are aiming for a much improved outcome to that currently being experienced.”
Hong Kong conundrum
Another key issue being dealt with currently by CBAFF and NZ Customs is finding a resolution to import challenges around Chinese-made goods transported via Hong Kong.
The core problem is the confusion over whether these goods fall within the China/NZ free trade agreement or not. If they do, they would be exempt from tariffs.
“This was brought to CBAFF’s attention at a recent meeting of our air and sea freight working group,” said Coldham. A discussion was subsequently arranged with NZ Customs.
“Customs is very keen to resolve this issue too and has advised us it will investigate and shortly issue Customs Release documents that will give clarity to the situation.”
The Chinese FTA applies only to goods that are deemed to have been directly shipped from China to NZ.
The confusion centres on LCL air and sea freight which is often trucked from China to Hong Kong and held in warehouses for varying periods.
“The issue is around how a Customs broker can be confident in declaring goods as China origin-qualifying based on the documents on hand.
“Often the bill of lading/waybill will show the port of loading as Hong Kong, when in fact the shipment commenced its international journey by truck from China prior to being loaded on that vessel or flight from Hong Kong.
“The question of remains as to how to prove those goods have not entered the commerce of Hong Kong and therefore do not breach the direct shipment rule remains”
Coldham stresses that this is an important issue for CBAFF members on behalf of their clients “because legitimate claims under the FTA mean duty savings of up to 10 per cent on a shipment”.
“A number of our members have raised concerns with us about the significant delays and massive queues to uplift air freight,” said Glenn Coldham (left), the Federation’s president. “The biggest problem exists at Auckland’s international air freight terminal.”
