WCO MAKES STRIDES IN DEVELOPING SUPPLY-CHAIN SECURITY GUIDELINES
The World Customs Organization took a big step closer this week to creating guidelines that will enhance the security of the international supply chain over the long term.
During the WCO task force meeting in Brussels, Feb. 11-13, there was general consensus among customs administration and industry officials that security of the global supply chain should start with cargo risk assessments at the place of export.
However, shipper and carrier representatives voiced considerable concern about the practical implementation of the WCO supply-chain security guidelines in the short term.
Of particular concern for the commercial sector is the WCO’s list of 27 data elements, such as exporter, consignor, importer, customs broker and carrier, needed for customs administrations to adequately conduct their cargo risk assessments at time of export.
Carrier representatives are concerned about the possible burdens placed on them in the supply chain, especially when it involves transmitting exporter-sourced information to customs administrations.
Some customs administrations said they would be reluctant to accept customs-approved export information from other countries as a determination for admissibility of imports. There were also concerns over the cost to build export regimes and the required computer infrastructure to support them in both industrialized and developing countries.
In addition, many governments may have to change their national laws to give their customs administrations more authority to oversee export activities.
WCO task force officials said they would take into account the concerns of both customs administrations and the shipping industry in the shaping of their final supply-chain security guidelines.
In particular, the WCO task force will hold further consultations regarding the timing and handling of the 27 data elements. A report is due to the task force by its fourth meeting on May 7-9.
The task force will also prepare to update the 1977 International Convention on Mutual Administrative Assistance (or Niarobi Convention) to include the 27 data elements for cargo risk assessments. The WCO Enforcement Committee will consider the draft convention and guidelines next week.
In addition, the task force will consider draft guidelines on customs and business cooperation. These guidelines will take into account the needs of all transport sectors, especially those of the ocean and air carriers, and consider “capacity building” pilot projects in developing country ports in Africa.
The task force was formed in June 2002 when the Group of Eight nations asked the WCO, along with the International Maritime Organization and the International Civil Aviation Organization, to develop international cargo security guidelines.
Security experts warn that terrorists may try to use legitimate cargo transportation to deliver weapons of mass destruction to the ports of industrialized countries, possibly crippling world trade.
The task force must finalize its supply-chain security guidelines by the WCO’s next council meeting in Brussels on June 26-28.
Shipper and carrier representatives at the task force meeting this week vowed to closely monitor the development of the guidelines in the coming months.