Main Title Heading
January 2009 
BackToTopTable of Contents
Training
 FIATA Diploma
 
IIFA Golf Notice
 
 
International Commerce
 
Regulations
 
 
Limits of Liability (Cargo Claims) 
 
IIFA Logo
By Sea - Hague Visby Rules
SDR 2 per kilo or
SDR 666.64 per package

By Road - CMR
SDR 8.33 per kilo

By Air - Warsaw/Montreal
SDR 17 per kilo

IIFA Standard Trading Conditions
SDR 2 per kilo
 
The SDR rate on 28/01/2009
according to the
International Monetary Fund
was
ISDR = 0.8774300000 Euro

TRAINING

FIATAFIATA Diploma

As of December 2008 the number of holders of the FIATA Diploma in Freight Forwarding reached 5, 378.

The IIFA blended learning course which commenced in November last is progressing very well. There are 25 participants representing thirteen firms taking part in the course which is scheduled to finish in June 2009.

For full details please see www.iifa.ie
 

SKEMASKEMA Workshop 22/1/2009

The Dublin Workshop Agenda under the Chairmanship of Prof. Stratos Papadimitriou, University of Piraeus  on Thursday 22nd January included the following:

"Sharing Knowledge in the Maritime, Logistics & Ports Industries"
"The Benefits  & Commitments to Maritime & Port Training"
and
"Research & the Development of EU Maritime and Port Policies".

SKEMA stands for "Sustainable Knowledge Platform for the European Maritime and Logistics Industry" which is a European Union FP 7 project. One of its objectives is to establish a knowledge base for the Maritime and Logistics industries.

There were speakers from Greece, Germany, Spain, Finland, Sweden, Norway, Denmark and the United Kingdom.

Local contributors included;
Enda Connellan, CEO Dublin Port Company,
Kevin O'Driscoll, HR and Public Affairs Adviser, Dublin Port Company,
Grainne Lynch Nautical Enterprise, Ireland
Dr. Paul Donovan, Irish Management Institute, Dublin,
John Moore, Training and Research Manager, Dublin Port Company,
Captain Kevin Cribben Safety and Shipping Facilitator,
Rusal Aughinish, Limerick,
John Whelan CEO, Irish Exporters Association.
 
Presentations will be available over the next few weeks and the link will be advised to members of IIFA as soon as these may be accessed.

IIFA Golf Notice
GolfIIFA Golf in 2009 back in Skerries

Please note that the annual IIFA Golf Day will be held in its traditional venue - Skerries Golf Club on Thursday 14th of May next. Apart from last year, it has been the venue for fifteen years.

Full details will be available later. In the meantime please note the date and venue.
 
In spite of the gloom and doom why not plan a good day out.
 

SUPPLY CHAIN

HeaveyRFHeavey RF

Heavey RF

Dublin based IT company Heavey RF has marked up considerable successes over recent months with six figure sales to two prominent firms in the Irish market place, namely DSV and PalletXpress.
 
DSV - a member company of IIFA - has implemented a voice enabled warehouse management solution VocalPoint which replaced its manual system with advanced voice picking technology and wireless handheld computers. The system opens a two way dialogue between DSV's Warehouse Management System (WMS) and the warehouse teams whereby electronic orders are automatically converted to speech directed to warehouse staff using wireless technology provided by Heavey RF. Heavey RF, which is a direct partner of voice directed work company Vovollect, develops the software applications in Ireland. The capability has made the DSV operation more accurate (300%), more productive (15%) and safer.
 
PalletXpress, the Irish owned logistics company has eliminated paper from its delivery schedules following the installation of a mobile solution from Heavey RF in a deal valued at approximately E100,000. The implementation involved the supply of handheld computers to drivers.
 
The solution also included the capture of electronic signatures and PODs using barcode scanners built into the Psion Teklogix Workabout Pro G2 handheld computers which are linked to a GPRS network.  Proof of Delivery is automatically routed back to base and the customer in real time thus eliminating the need to return paper records to head office.
 
Heavey RF has been working with Psion Teklogix since 1995 during which time it has implemented over 350 wireless installations in Ireland.
 

SEA

NewIntConventionNew International Convention for Sea Transport
 
On December 11th 2008 the United Nations General Assembly adopted a new international convention to cover liability for damage to cargo moving on the ocean, or in multimodal operations that include sea transportation.
 
The document formally known as the Convention on Contracts for the International Carriage of Goods Wholly or Partly by Sea, is the product of six years of work by an international maritime law working group under the United Nations Commission on International Trade Law (UNCITRAL).
 
The final act will be in September next when nations will gather in Rotterdam to sign it.
 
Consequently these new regulations are being referred to as the 'Rotterdam Rules' and they will replace older liability regimes of the sixties and seventies including the Hague Visby Rules and the 1992 Hamburg Rules*. They will also replace the 1936 United States Carriage of Goods by Sea Act (COGSA) which ratified the 1924 Hague Convention.
 
The new rules will have a liability limitation of 875 SDRs (Special Drawing Rights*) per package (current Hague Visby limit is SDR 666.67 per package) or 3 SDRs (current 2 SDRs) per Kilo of goods damaged or lost.**
 
Under the new Rotterdam Rules shippers and carriers may negotiate liability limits or accept the limits of the treaty. They will have a choice.
 
Nations can also 'opt in' for parts of the treaty which define the legal forums in which claims may be filed, or accept arbitration.
 
* (1992 Hamburg ) 835 SDRs per package and 2.5 SDRs per Kilo
**See first page of this newsletter for value
***COGSA Limitation is $500 per package
 

ContainershipsContainerships has Added Riga as a Direct Regular Port of Call Since Monday 5th January 2009.

Containerships

 Doris Schepers at Riga Universal Terminal

The line will provide weekly calls linking Rīga with Teesport (UK) and Rotterdam. A 1.000 TEU vessel will operate this new service.

"Rīga is a significant hub for transit cargoes into Central Asia, but equally important Rīga is the very centre of the Baltic States and a consumer centre in its own right. By calling at the new Rīga Universal Terminal, where vehicle turn round time is less than 30 minutes, Containerships will gain competitiveness for local collections and deliveries for the Latvian and Estonian markets" says Martin Dale, Commercial Director for the Baltics and Poland.

For more details contact Containerships Ireland Ltd in Dublin at  01 803 8022.

Facts about Containerships
 
Helsinki headquartered Containerships a leading short sea carrier in the Baltic Sea Region offering door-to-door container transport between Continental Western Europe and the UK, and Finland, Russia, the Baltic States, Poland and Eastern Europe. Employing 300 people in 15 offices across 13 countries, Containerships operate 10 vessels ranging between 500 and 1.000 TEU capacity. The fleet of 12,000 own containers range in size from 20' to 45' and includes dry, reefer, pallet-wide, high-cube, flat-rack, curtain-side and open top units. Other recent developments are the opening of an office in Minsk (Belarus) and calls at the new Ghent Container Terminal in Belgium.
 

LiquidGasFirst Liquefied Gas in Zeebrugge

Arctic Princess

On 18th of November 2008, for the first time, liquefied natural gas was transported from Norway to Zeebrugge by the "Arctic Princess."
 
It unloaded at the LNG Terminal in the eastern outer port.
There is already existing a gas pipeline from Norway's North Sea production area to Zeebrugge. But recently Norway began to exploit gas in the Barents Sea. The gas production system feeds gas through 160 kms of pipeline to a new processing plant on Melkoya Island near Hammerfest.
 
In Melkoya the gas is liquefied to LNG and is shipped via the port of Hammerfest. This makes Hammerfest the first port of loading for European liquefied gas.
 
The "Arctic Princess" has a gross tonnage of 121,597 and is 288 meters long, 49 meters wide and has a capacity of 147,000 cubic meters of LNG.
(equivalent of  4,900 TEUs).
 

TerminalOperatorsTerminal Operators Back Down

The OffPeak shifts in the ports of Los Angeles and Long Beach were introduced in 2005 to reduce congestion and air pollution in and around Los Angeles and Long Beach ports. Under the programme all international container terminals in the two ports established five new shifts per week (Monday through Thursday from 5PM to 3AM and Saturday from 8AM to 5PM).

As an incentive to use the OffPeak shifts and to cover the added costs of the shifts, a TMF (Traffic Mitigation Fee) of $50 per 20 'box equivalent was levied on most container movements during peak hours - 3AM to 6PM Monday through Friday.

In recent weeks it was proposed to drop the Saturday shift on the grounds of reduced volumes of cargo. This caused an uproar, so much so that the marine terminal operators announced on January 8th that they have 'put on hold' their plan to end  Saturday Offpeak  shifts after January 10th 2009.

AIR

HeathrowIndustry Group Supports Third Runway at Heathrow

The British International Freight Association (BIFA), is supporting the UK government's decision to allow a third runway at Heathrow airport. However, the director general of the BIFA - Mr. Peter Quantrill points out that the stringent environmental conditions attached to the project, the possibility that a future administration could reverse the decision, and the likelihood of a lengthy planning process means that the decision is not yet a 'done deal.'

Heathrow currently ranks fourth in Europe for airfreight throughput, and the new runway would help the airport to maintain its status as a key global airfreight hub, added the BIFA director general.

CollusionAlleged Collusion -Another 13 Airlines.

New Zealand's competition authority has begun legal action against thirteen airlines for what it says was "extensive and long-term cartel activity in the air cargo market".

The Commerce Commission alleges the airlines Air New Zealand, British Airways, Cargolux International Airlines, Cathay Pacific, PT Garuda Indonesia, Japan Airlines, Korean Airlines, Malaysian Airline System, Qantas Airways, Singapore Airlines Cargo Pte Limited, Singapore Airlines, Thai Airways and United Airlines colluded to raise the price of freighting cargo by imposing fuel surcharges for seven years. The carriers generate revenues of around NZD 400 million (EUR 163 million) per year for transporting airfreight to/from New Zealand. Air New Zealand has already denied the allegation. It was said it was unable to find any evidence of price-fixing in its documents.
 

INTERNATIONAL COMMERCE

SlovakiaSlovakia is Newest Member of Euro Zone

On January 1, Slovakia became the sixteenth member to join the euro zone and the first country in central Europe to adopt the euro.

However, it also ranks as the poorest country in the euro zone, with roughly 67 percent of the euro zone's average GDP.

Poland and Hungary are also likely candidates to join the euro zone, say economists, as the governments of both countries have indicated they would like to enter the so-called European Exchange Rate Mechanism (ERM II), a fixed exchange rate 'waiting room' for the euro.

IrishWorldTradeIreland Donates Eur. 1.4 million to World Trade Organization Programs

Our Government has donated E1.4 million to the Doha Development Agenda Global Trust Fund, the Internship Programme for the Mission of Selected WTO Members in Geneva and Standards and Trade Development Facility.

This assistance is intended to build the capacity of developing and least developed countries to negotiate effectively within the World Trade Organization and help implement WTO agreements and international standards. These are areas that are key to protecting the trade interests and development needs of the world's poorest countries.

REGULATIONS

US10and2Importer Security Filing (formerly known as 10+2).

For information from the "Horse's Mouth" on this subject use the following link to bring you to the U.S. Department of Homeland Security.

There was a question at the end of last week, whether in fact this might be kicked into touch because of the change of administration in the USA.

 
As we advised our members on Monday 26th, nothing has changed.
 
 

UsDeptAgrFinal Regulation for Country of Origin Labeling
Press Release from the US Department of Agriculture

WASHINGTON, Jan. 12, 2009 -- The United States Department of Agriculture today announced details of the final regulation for the mandatory country of origin labeling (COOL) program required by the 2002 and 2008 farm bills. The full text of the final rule will be published in the Jan. 15, 2009 Federal Register. The rule becomes effective on March 16, 2009, 60 days after the date of publication. Copies of the final rule and additional information are on display on line at http://www.ams.usda.gov/COOL

The rule covers muscle cuts and ground beef, lamb, chicken, goat and pork; wild and farm-raised fish and shellfish; perishable agricultural commodities (specifically fresh and frozen fruits and vegetables); macadamia nuts; pecans; ginseng and peanuts.

Commodities covered under COOL must be labeled at retail to indicate its country of origin. For fish and shellfish, the method of production -- wild or farm-raised, -- must be specified. Commodities are excluded from mandatory COOL if the commodity is an ingredient in a processed food item.

The definition of a processed food item remains unchanged from the Aug. 1, 2008, interim final rule. Excluded from COOL labeling are items derived from a covered commodity that has undergone a physical or chemical change -- such as cooking, curing, or smoking -- or that has been combined with other covered commodities or other substantive food components such as chocolate, breading and tomato sauce.

Also exempt are food service establishments, such as restaurants, lunchrooms, cafeterias, food stands, bars, lounges and similar enterprises.

The final rule outlines the requirements for labeling covered commodities and the recordkeeping requirements for retailers and suppliers. The law provides for penalties of up to $1,000 per violation for both retailers and suppliers not complying with the law.

The rule prescribes specific criteria that must be met for a covered commodity to bear a "United States country of origin" declaration. In addition, the rule also contains provisions for labeling covered commodities of foreign origin, meat products from multiple origins, ground meat products, as well as commingled covered commodities.

USDA plans to make funding available to accelerate and expand training of state cooperator employees, initiate development of an automated review tracking system, conduct a retailer survey, conduct audits of the retail supply chain and continue conducting education and outreach activities.

Currently, USDA has cooperative agreements with 42 states to conduct retail surveillance reviews. USDA will conduct the retail reviews in the states not covered by a cooperative agreement and perform the supply chain audits.

For further details contact:-
Reference : Release No. 0006.09
Billy Cox (202) 720-8998
Hakim Fobia (202) 720-8998

ROAD

GermanGovGerman Government Against 60 t Trucks

The German government stands by its ban on oversized 60 t trucks, known as Gigaliners. A transport ministry spokesperson expressed her "wonderment" over individual German states that still want to authorise future pilot projects using megatrucks, despite what was decided by the meeting of transport ministers. That body voted against further trials (ten votes against six) at its meeting at the end of October 2008, but the states are only required to adhere to unanimous decisions.
 
Thuringia and Mecklenburg-Western Pomerania were the most recent to approve such trials. The federal transport ministry wants to look at how the authorisation to decide such matters can be transferred to the federal level. There are a number of objections to exceptionally large lorries, including traffic safety, bridge strength on the motorways, and the undesirability of shifting freight from rail to road.
 
In addition, some see problems with using the vehicles on intersections and roundabouts.
 
TIRTIR Carnet
 
As from this year it is obligatory for the holder of the TIR Carnet to lodge TIR Carnet data at the customs office of departure or entry using data processing i.e. electronically.
 
For details of TIR check out the following website:
 
 

LorryParkLorry Parking Reservation System in Germany

Haulage and Freight Forwarding firms and drivers have been able to make use of a new parking space reservation system in southern Germany since mid-November. The "Highway Park" system allows them to book a lorry parking slot between 17.00 and 22.00. 20 motorway rest stops in southern Germany are taking part in a six-month trial project. The motorway rest stop association "Parken-Rasten-Tanken" was also expected to join the "Highway Park" system with its website www.lkw-parkplatz.de.

Eat your heart out!

We don't even have the 'Parks' in this country - not to mind a reservation system.

GreenCorridorVolvo and DBSchenker Investigate Green Corridor Possibilities

The Volvo Group is initiating cooperation within the Swedish governments logistics forum and with the authorities to realize the EU Commissions concept regarding environmentally sound goods transport in green corridors. The goal is to reduce the impact on the environment while simultaneously increasing efficiency and safety on highways through specially adapted transport stretches for heavy traffic.

The EU Commission estimates that goods transports in Europe will have increased by 50% between 2000 and 2020. These rising volumes will require investments in all transport modes, including railways and seaborne traffic.

Increased investments are required in railways and seaborne traffic, but it will not be sufficient, neither from an efficiency nor an environmental perspective, says Volvo CEO Leif Johansson. At the same time, we must provide for more efficient and more environmentally sound road transports and, among other aspects, this is one of the goals of the green corridors.

In support of the development of green transport corridors, the Volvo Group and the DB Schenker transport company, which are both members of the governments logistics forum, are now initiating cooperation with VINNOVA (Swedish Governmental Agency for Innovation Systems) and the Swedish Road Administration. The aim is to jointly start a project already in January 2009 regarding a more efficient handling of goods on Swedish highways.

The project is in line with the EUs action plan for logistics, that specifically highlights the need for green transport corridors in which goods traffic is concentrated to efficient highways, sea routes and railways that complement one another so that transportation becomes as environmentally sound as possible. The Swedish government has already begun work with proposals for such corridors that will be presented in conjunction with Swedens presidency of the EU Council next autumn.

The project comprises the development of new technologies and new approaches to applying existing technology that can quickly reduce environmental impact. It will be carried out using realistic tests of goods transports that are rolling on stretches of highways approved in advance by the authorities.

One of the tests involves a so-called Duo-trailer, which involves an extension of the entire vehicle rig, including the trailer, and is based on the European module concept. A longer vehicle, with greater load capacity, results in fewer trucks in the green transport corridors, which in turn means fewer accidents and reduced environmental impact. In addition, the project will test new IT systems in the vehicles that help the driver to drive more fuel economically and communicate with the vehicle and with the road system, which increases efficiency and road safety.

Other conceivable projects within the framework for the cooperation could comprise evaluation of how to simplify reloading and transfer of goods between different transport modes such as trains, trucks and ships. Another project proposal involves how to distribute and use alternative and renewable fuels via the goods terminals in the green transport corridors.

Read more about green corridors at:
 

RAIL

MoscowTrainRegular Klaipeda-Moscow Container Trains

In December Russkaya Troyka, a joint venture between the Russian railway and the Fesco group, signed a contract with Lithuanian Railways for the organisation of regular container train connections between Klaipeda (Lithuania) and Moscow (Russia) operated by Lithuanian Railways.
 
The rail link, which will initially run once a week and haul around 90 teu, is due to start in January or February. The trip will take three days. The Swiss intermodal service provider Hupac is also a partner.
 
The new rail offer is aimed primarily at conveying electronic goods, industrial chemicals and other finished goods to the Moscow region. Trains will be coupled to Fesco's scheduled feeder service FESF Balt, which runs between Hamburg (Germany), Riga (Latvia), Gdynia (Poland), Klaipeda and Hamburg, to guarantee a seamless transport chain. (ku)
 
 

ChinaGermanyCECLaunch of China-Germany Rail Freight Service victim of the "CEC"

The launch of container rail service between China and Germany, which we have mentioned in recent editions, and was designed to compete with ocean carriers has been postponed due to dwindling cargo volumes resulting from the Current Economic Climate.

However, Germany's state railway Deutsche Bahn said the service would eventually start up once economic conditions improved.
The rail link between China and Hamburg with connections to Nuremburg and Duisburg is aimed at automakers, chemical companies, appliance manufacturers, and textile producers.

Ocean cargo transit times between China and Germany average about 32 days, compared to the 19 or 20 days the rail link will offer once it's launched.

LastWordAgus an Focail Scoir - the Last Word....
 
Imagine the Lone Ranger's suprise when many years later he discovered that "kemo sabay" means "horse's ass".
 
-Garry Larsen 
 
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