NEWS that validation of RA3 agents was kicking in as an essential prelude to the European Union’s ACC3 regulatory regime seems to have evoked some surprise in the global air cargo industry.
RA3 status refers – according to EU regulation 185/2010 which forms the foundation for detailed measures implementing the EU’s common basic standards on aviation security – to “a third country EU aviation-validated regulated agent”.
Just in case that’s not clear, the validation checklist introduction defines an RA3 as “a cargo handling entity located in a third country that is validated and approved as such on the basis of an EU aviation security validation”.
ACC3, in turn, is an abbreviation for “air cargo or mail carrier operating into the (European) Union from a third country airport”.
Both RA3 and ACC3 are vital to Asia Pacific air cargo and indeed to all international air cargo operations into the EU, in this case also deemed to include Iceland, Norway and Switzerland. The new regulations come into effect on July 1 and are all-embracing.
While they appear to have come as something as a surprise to many, they have actually been in the making for around four years, triggered by growing unease that Europe was still vulnerable to air cargo security breaches.
The prime reason they have not become familiar to the freight and logistics sectors is that ACC3 puts the compliance onus firmly on carriers, rather than forwarders and shippers as in most other inter-country/region systems.
They have come to the fore in recent weeks because – as we reported in our daily online e-news service – Bangkok Flight Services (BFS) has been validated as an RA3, despite being a ground handling agent rather than a carrier.
Stewart Sinclair, managing director of BFS/Worldwide Flight Services explained that the company had long been working closely with its client companies “to establish exactly what the requirements were for both airlines and ground handlers”.
It came to the conclusion that even though “the onus is on airlines to ensure a secure supply chain,” it would be useful all round “to achieve validation as a regulated agent at the earliest possible time”.
The ACC3 validation checklist introduction stipulates that “an RA3 shall ensure that security controls including screening where applicable have been applied to consignments bound for the EU and the consignments have been protected from unauthorised interference from the time that those security controls were applied until the consignments are loaded onto an aircraft or are otherwise handed over to an ACC3 or other RA3”.
If the EU aviation security validator concludes that the entity has succeeded in complying with the objectives referred to in this checklist, a validation report will be given to the validated entity.
Some carriers have been slow to do all this and now there is a rush globally, not only to achieve validation but in more than a few cases to actually secure an RA3 whose schedule is not already too tight.
There aren’t a large number of RA3s available for handling validation. As would be expected, there is a high barrier for qualification and the training process isn’t a walkover. The EU’s expectations that industry training organisations would apply enthusiastically for RA3 program accreditation did not eventuate and the workload fell on the International Air Transport Association (IATA), which set up a specialist educational unit.
IATA has also made much of the running in highlighting the need for action on ACC3. It is embarking on a global series of three-day workshops covering ACC3 readiness. The Asia Pacific workshops will be held in Singapore March 17-19 and October 20-22, (after the EU July 1 deadline).
Topics to be tackled include: Organisation and responsibilities of an ACC3 carrier at the airport, carrier security program requirements, recruitment and training of staff handling cargo, database development, cargo acceptance procedures, screening requirements, high risk cargo/mail, cargo protection and security, documentation requirements for cargo security, compliance with security programs, interpretation of ACC3 security audit checklist items, participation in EU aviation security audits, ACC3 carrier roles and responsibilities and the IATA pre-assessment tool kit.
Some carriers have muttered a bit that they already have a high-standard of security in place, not only to meet regulatory requirements elsewhere and fulfil IATA membership obligations but also as a matter of best practice, widely supported by forwarders, customs brokers, logistics and transport suppliers, shippers and local border authorities.
But in general there’s a reasonably strong commitment to see ACC3 through to fruition as yet another level of vulnerability prevention.
The bottom line, anyway, is that there is no option: The EU is not in a mood to compromise.
THERE’s not a lot of doubt that Melbourne Airport will get a third runway - needed to cope with long-term growth in cargo and passenger traffic and to ensure the facility holds its own as a major Australasian hub.
But a decision on that is still some way away, despite it featuring in the airport company’s latest master plan (which has been given the green light by the minister for Infrastructure and Regional Development Warren Truss).
However, Truss has emphasised that an OK for the master plan does not mean automatic approval for the third runway.
“A decision on the third runway will only be made after Melbourne Airport undertakes a detailed planning, design and regulatory approval process, which includes community consultation and examination of environmental impacts including any from aircraft noise,” said the minister.
That was acknowledged by Chris Woodruff, the airport’s chief executive, who said the company was delighted Truss had “approved our vision for Victoria’s aviation gateway” but recognised there was a lot more work to be done on the third runway proposition.
Still, the master plan consultations had helped prepare for the runway bid.
“Over the past two years we have worked with many stakeholders including industry, airlines and all levels of government as we developed this significant document,” said Woodruff.
“We also have had robust discussions with the community, particularly in regard to the third runway, and we will continue to have discussions.
“Airports are critical pieces of our national infrastructure, and our master plan sets out the vision for Melbourne Airport as a 24-hour gateway for the movement of people and goods to global destinations and markets.”
Melbourne Airport has held 32 public meetings and information sessions on the master plan and organised more than 100 briefings in addition to producing advertisements, fact sheets, a web site and social media communications. During the public consultation period 86 public submissions were received.
Truss described Melbourne Airport as “a vital gateway for Victoria and Australia, playing a major role in Victoria’s economy”.
He pointed out that “today the airport supports 14,300 direct jobs and some 43,000 jobs indirectly, while contributing A$1.47 billion a year to Victoria’s Gross State Product (GSP).
“Continued development of the airport is expected to see employment surge to 23,000 direct jobs and more than 72,000 indirect jobs, while the airport’s contribution to Victoria’s GSP is anticipated to more than double to approximately A$3.21 billion a year by 2033.”
DHL Global Forwarding has rolled out its 2014 China development plans with the launch of what it describes as a unique temperature-controlled China-Europe rail service.
Powered by a diesel-electric engine, DHL containers allow internal temperatures to be controlled, tracked and remotely modified.
This provides an all-year round multi modal shipping solution for temperature-sensitive products unable to use the fastest trans-continental West rail corridor between Chengdu and Lodz during winter and hot summer months.
“Over the past three years, our innovative multi-modal team has launched several pioneering and comprehensive transport solutions for our customers that cut time, reduce costs and CO2 emissions,” said Kelvin Leung, chief executive officer, DHL Global Forwarding Asia-Pacific.
“The launch of DHL Global Forwarding’s temperature-controlled China-Europe rail service is our first such for 2014, offering customers with temperature-sensitive products year-round route access whatever the weather.
Customers can set optimum internal temperatures for their consignment from -25C to 25C all year round – which DHL says is a considerable benefit for high-tech and other temperature-sensitive goods.
Containers are light weight, made from aluminium and high-strength steel and provide their own energy using a diesel-electric engine. All are fitted with an advanced track and trace system that allows customers to not only know their shipment’s precise location but also check and modify internal temperatures during the route if necessary. The China-Europe rail service was launched last year in partnership with YHF Logistics, operator of the Chengdu Express, which runs from Chengdu along China’s West corridor to DHL’s intermodal hub in Malaszewicze and Lodz, Poland.
DHL Global Forwarding also runs a daily service from Shanghai, Tianjin or Qingdao on the trans-Siberian North corridor to Europe. It has a slightly longer transit time compared to the West corridor.
A NEW diploma course for Customs brokers is expected to do well, with the Customs Brokers and Forwarders Council of Australia (CBFCA) saying it is approved by the National Skills Standards Council.
The Diploma of Customs Broking is the first qualification at diploma level that takes into account changes in the Australian Customs and Border Protection Services (ACBPS) Customs brokers licensing qualifications/requirements.
The new course comprises 18 units of study, which is a significant expansion on the 11-unit course previously approved by the ACBPS as a pre-requisite for the licensing of Customs brokers.
According to CBFCA, the higher academic rigour in the diploma reflects the increased role of Customs brokers in the enhanced licensing conditions. Key topics will be examined in far greater depth than in the previous course.
CBFCA says the diploma will suit new entrants to the industry and existing licensed Customs brokers who want to add the diploma to their qualifications portfolio via Recognition of Prior Learning (RPL). The RPL process allows experienced Customs brokers to have their experience recognised in lieu of completing the course and to receive the Diploma of Customs Broking without attending classes. Details about these arrangements can be obtained through the CBFCA.
Enquiries about the Diploma of Customs Broking should be referred to the CBFCA’s manager professional development and training, Bill Murphy, via This email address is being protected from spambots. You need JavaScript enabled to view it. or via telephone on 07-32560146.
SINGAPORE Airlines* has taken an impairment loss of S$293.4 million on four surplus freighter aircraft that have been removed from the operating fleet and marked for sale.
The loss is revealed in the SIA Group’s financial performance for the 2013-14 third quarter, in which it says its air cargo outlook is relatively flat, with yields under pressure in the face of overcapacity.
The group recorded an operating profit of S$151 million for the quarter – S$20 million higher (+5.3 per cent) than the same quarter a year ago.
Group net profit for the third quarter was S$50 million – a decline of S$93 million or 65 per cent from the corresponding period a year ago.
This, it says, was largely due to exceptional items of S$80 million (SIA Cargo reached a settlement with the plaintiffs in the previously disclosed United States Air Cargo Class Action for an amount of S$78.3 million) and its share of losses and one-off items from associated companies, mainly Tiger Airways.
On the air cargo class action, the settlement was without admission of any wrongdoing or liability and is subject to the approval of the United States District Court. In a previously-disclosed Swiss air cargo competition law case, the Swiss Competition Commission imposed a fine of S$2.3 million.
The group adds that SIA Cargo will study the grounds of the Commission’s decision and may appeal to the Swiss Federal Administrative Tribunal. Both the United States Air Cargo Class Action and Swiss air cargo competition law case relate to alleged conduct up to 2008.
* SIA Cargo reported an operating profit of S$1 million during the seasonal peak in the third quarter – supported by ongoing efforts to better-match capacity with demand. This compared with a S$29 million loss for the airline’s cargo arm the previous year. SIA Cargo’s load factor declined 1.3 percentage points to 63.5 per cent, as the 3.5 per cent reduction in freight carriage (in load tonne kilometres) outpaced the 1.6 per cent reduction in cargo capacity (in capacity tonne-kilometres).
THE EXPANSION of Brunei International Air Cargo Centre has prompted a staff recruitment drive.
As we reported earlier, BIACC – a subsidiary of Royal Brunei Airlines – teamed up with the Air Logistics group in May last year to form a joint venture named Air Logistics. This came into operation in August, managing Royal Brunei’s cargo operations world wide and providing ground handling services for Royal Brunei and other operators at Brunei International Airport, Bandar Seri Begawan.
At the opening of Air Logistics’ Madang offices in September a senior executive, Francois Pariseau, said the new venture had got off to a good start. Royal Brunei’s introduction of Boeing 787 equipment would contribute to cargo growth, he noted, and the outlook was very positive.
“In the long term we see BWN becoming an important cargo hub in South East Asia, with expected growth in cargo of 20 per cent in the first year. This landmark partnership will boost the air cargo industry in Brunei Darussalam, helping the sultanate to become a centre of excellence for air freight.”
BIAAC’s recruitment drive has also extended to two other companies in which it is involved, one that offers cargo ground handling at several Malaysian airports and another that covers local cargo and cross-border land transport within Borneo.
NEWS that validation of RA3 agents was kicking in as an essential prelude to the European Union’s ACC3 regulatory regime seems to have evoked some surprise in the global air cargo industry.
RA3 status refers – according to EU regulation 185/2010 which forms the foundation for detailed measures implementing the EU’s common basic standards on aviation security – to “a third country EU aviation-validated regulated agent”.
Just in case that’s not clear, the validation checklist introduction defines an RA3 as “a cargo handling entity located in a third country that is validated and approved as such on the basis of an EU aviation security validation”.
ACC3, in turn, is an abbreviation for “air cargo or mail carrier operating into the (European) Union from a third country airport”.
Both RA3 and ACC3 are vital to Asia Pacific air cargo and indeed to all international air cargo operations into the EU, in this case also deemed to include Iceland, Norway and Switzerland. The new regulations come into effect on July 1 and are all-embracing.
While they appear to have come as something as a surprise to many, they have actually been in the making for around four years, triggered by growing unease that Europe was still vulnerable to air cargo security breaches.
The prime reason they have not become familiar to the freight and logistics sectors is that ACC3 puts the compliance onus firmly on carriers, rather than forwarders and shippers as in most other inter-country/region systems.
They have come to the fore in recent weeks because – as we reported in our daily online e-news service – Bangkok Flight Services (BFS) has been validated as an RA3, despite being a ground handling agent rather than a carrier.
Stewart Sinclair, managing director of BFS/Worldwide Flight Services explained that the company had long been working closely with its client companies “to establish exactly what the requirements were for both airlines and ground handlers”.
It came to the conclusion that even though “the onus is on airlines to ensure a secure supply chain,” it would be useful all round “to achieve validation as a regulated agent at the earliest possible time”.
The ACC3 validation checklist introduction stipulates that “an RA3 shall ensure that security controls including screening where applicable have been applied to consignments bound for the EU and the consignments have been protected from unauthorised interference from the time that those security controls were applied until the consignments are loaded onto an aircraft or are otherwise handed over to an ACC3 or other RA3”.
If the EU aviation security validator concludes that the entity has succeeded in complying with the objectives referred to in this checklist, a validation report will be given to the validated entity.
Some carriers have been slow to do all this and now there is a rush globally, not only to achieve validation but in more than a few cases to actually secure an RA3 whose schedule is not already too tight.
There aren’t a large number of RA3s available for handling validation. As would be expected, there is a high barrier for qualification and the training process isn’t a walkover. The EU’s expectations that industry training organisations would apply enthusiastically for RA3 program accreditation did not eventuate and the workload fell on the International Air Transport Association (IATA), which set up a specialist educational unit.
IATA has also made much of the running in highlighting the need for action on ACC3. It is embarking on a global series of three-day workshops covering ACC3 readiness. The Asia Pacific workshops will be held in Singapore March 17-19 and October 20-22, (after the EU July 1 deadline).
Topics to be tackled include: Organisation and responsibilities of an ACC3 carrier at the airport, carrier security program requirements, recruitment and training of staff handling cargo, database development, cargo acceptance procedures, screening requirements, high risk cargo/mail, cargo protection and security, documentation requirements for cargo security, compliance with security programs, interpretation of ACC3 security audit checklist items, participation in EU aviation security audits, ACC3 carrier roles and responsibilities and the IATA pre-assessment tool kit.
Some carriers have muttered a bit that they already have a high-standard of security in place, not only to meet regulatory requirements elsewhere and fulfil IATA membership obligations but also as a matter of best practice, widely supported by forwarders, customs brokers, logistics and transport suppliers, shippers and local border authorities.
But in general there’s a reasonably strong commitment to see ACC3 through to fruition as yet another level of vulnerability prevention.
The bottom line, anyway, is that there is no option: The EU is not in a mood to compromise.
THERE’s not a lot of doubt that Melbourne Airport will get a third runway - needed to cope with long-term growth in cargo and passenger traffic and to ensure the facility holds its own as a major Australasian hub.
But a decision on that is still some way away, despite it featuring in the airport company’s latest master plan (which has been given the green light by the minister for Infrastructure and Regional Development Warren Truss).
However, Truss has emphasised that an OK for the master plan does not mean automatic approval for the third runway.
“A decision on the third runway will only be made after Melbourne Airport undertakes a detailed planning, design and regulatory approval process, which includes community consultation and examination of environmental impacts including any from aircraft noise,” said the minister.
That was acknowledged by Chris Woodruff, the airport’s chief executive, who said the company was delighted Truss had “approved our vision for Victoria’s aviation gateway” but recognised there was a lot more work to be done on the third runway proposition.
Still, the master plan consultations had helped prepare for the runway bid.
“Over the past two years we have worked with many stakeholders including industry, airlines and all levels of government as we developed this significant document,” said Woodruff.
“We also have had robust discussions with the community, particularly in regard to the third runway, and we will continue to have discussions.
“Airports are critical pieces of our national infrastructure, and our master plan sets out the vision for Melbourne Airport as a 24-hour gateway for the movement of people and goods to global destinations and markets.”
Melbourne Airport has held 32 public meetings and information sessions on the master plan and organised more than 100 briefings in addition to producing advertisements, fact sheets, a web site and social media communications. During the public consultation period 86 public submissions were received.
Truss described Melbourne Airport as “a vital gateway for Victoria and Australia, playing a major role in Victoria’s economy”.
He pointed out that “today the airport supports 14,300 direct jobs and some 43,000 jobs indirectly, while contributing A$1.47 billion a year to Victoria’s Gross State Product (GSP).
“Continued development of the airport is expected to see employment surge to 23,000 direct jobs and more than 72,000 indirect jobs, while the airport’s contribution to Victoria’s GSP is anticipated to more than double to approximately A$3.21 billion a year by 2033.”
DHL Global Forwarding has rolled out its 2014 China development plans with the launch of what it describes as a unique temperature-controlled China-Europe rail service.
Powered by a diesel-electric engine, DHL containers allow internal temperatures to be controlled, tracked and remotely modified.
This provides an all-year round multi modal shipping solution for temperature-sensitive products unable to use the fastest trans-continental West rail corridor between Chengdu and Lodz during winter and hot summer months.
“Over the past three years, our innovative multi-modal team has launched several pioneering and comprehensive transport solutions for our customers that cut time, reduce costs and CO2 emissions,” said Kelvin Leung, chief executive officer, DHL Global Forwarding Asia-Pacific.
“The launch of DHL Global Forwarding’s temperature-controlled China-Europe rail service is our first such for 2014, offering customers with temperature-sensitive products year-round route access whatever the weather.
Customers can set optimum internal temperatures for their consignment from -25C to 25C all year round – which DHL says is a considerable benefit for high-tech and other temperature-sensitive goods.
Containers are light weight, made from aluminium and high-strength steel and provide their own energy using a diesel-electric engine. All are fitted with an advanced track and trace system that allows customers to not only know their shipment’s precise location but also check and modify internal temperatures during the route if necessary. The China-Europe rail service was launched last year in partnership with YHF Logistics, operator of the Chengdu Express, which runs from Chengdu along China’s West corridor to DHL’s intermodal hub in Malaszewicze and Lodz, Poland.
DHL Global Forwarding also runs a daily service from Shanghai, Tianjin or Qingdao on the trans-Siberian North corridor to Europe. It has a slightly longer transit time compared to the West corridor.
A NEW diploma course for Customs brokers is expected to do well, with the Customs Brokers and Forwarders Council of Australia (CBFCA) saying it is approved by the National Skills Standards Council.
The Diploma of Customs Broking is the first qualification at diploma level that takes into account changes in the Australian Customs and Border Protection Services (ACBPS) Customs brokers licensing qualifications/requirements.
The new course comprises 18 units of study, which is a significant expansion on the 11-unit course previously approved by the ACBPS as a pre-requisite for the licensing of Customs brokers.
According to CBFCA, the higher academic rigour in the diploma reflects the increased role of Customs brokers in the enhanced licensing conditions. Key topics will be examined in far greater depth than in the previous course.
CBFCA says the diploma will suit new entrants to the industry and existing licensed Customs brokers who want to add the diploma to their qualifications portfolio via Recognition of Prior Learning (RPL). The RPL process allows experienced Customs brokers to have their experience recognised in lieu of completing the course and to receive the Diploma of Customs Broking without attending classes. Details about these arrangements can be obtained through the CBFCA.
Enquiries about the Diploma of Customs Broking should be referred to the CBFCA’s manager professional development and training, Bill Murphy, via This email address is being protected from spambots. You need JavaScript enabled to view it. or via telephone on 07-32560146.
SINGAPORE Airlines* has taken an impairment loss of S$293.4 million on four surplus freighter aircraft that have been removed from the operating fleet and marked for sale.
The loss is revealed in the SIA Group’s financial performance for the 2013-14 third quarter, in which it says its air cargo outlook is relatively flat, with yields under pressure in the face of overcapacity.
The group recorded an operating profit of S$151 million for the quarter – S$20 million higher (+5.3 per cent) than the same quarter a year ago.
Group net profit for the third quarter was S$50 million – a decline of S$93 million or 65 per cent from the corresponding period a year ago.
This, it says, was largely due to exceptional items of S$80 million (SIA Cargo reached a settlement with the plaintiffs in the previously disclosed United States Air Cargo Class Action for an amount of S$78.3 million) and its share of losses and one-off items from associated companies, mainly Tiger Airways.
On the air cargo class action, the settlement was without admission of any wrongdoing or liability and is subject to the approval of the United States District Court. In a previously-disclosed Swiss air cargo competition law case, the Swiss Competition Commission imposed a fine of S$2.3 million.
The group adds that SIA Cargo will study the grounds of the Commission’s decision and may appeal to the Swiss Federal Administrative Tribunal. Both the United States Air Cargo Class Action and Swiss air cargo competition law case relate to alleged conduct up to 2008.
* SIA Cargo reported an operating profit of S$1 million during the seasonal peak in the third quarter – supported by ongoing efforts to better-match capacity with demand. This compared with a S$29 million loss for the airline’s cargo arm the previous year. SIA Cargo’s load factor declined 1.3 percentage points to 63.5 per cent, as the 3.5 per cent reduction in freight carriage (in load tonne kilometres) outpaced the 1.6 per cent reduction in cargo capacity (in capacity tonne-kilometres).
THE EXPANSION of Brunei International Air Cargo Centre has prompted a staff recruitment drive.
As we reported earlier, BIACC – a subsidiary of Royal Brunei Airlines – teamed up with the Air Logistics group in May last year to form a joint venture named Air Logistics. This came into operation in August, managing Royal Brunei’s cargo operations world wide and providing ground handling services for Royal Brunei and other operators at Brunei International Airport, Bandar Seri Begawan.
At the opening of Air Logistics’ Madang offices in September a senior executive, Francois Pariseau, said the new venture had got off to a good start. Royal Brunei’s introduction of Boeing 787 equipment would contribute to cargo growth, he noted, and the outlook was very positive.
“In the long term we see BWN becoming an important cargo hub in South East Asia, with expected growth in cargo of 20 per cent in the first year. This landmark partnership will boost the air cargo industry in Brunei Darussalam, helping the sultanate to become a centre of excellence for air freight.”
BIAAC’s recruitment drive has also extended to two other companies in which it is involved, one that offers cargo ground handling at several Malaysian airports and another that covers local cargo and cross-border land transport within Borneo.
