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DCN December Edition 2019

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AIR CARGO<br />

LITTLE DISRUPTION FROM ENHANCED EXAMINATION<br />

The extension of stringent air cargo examination<br />

procedures to all exports has occurred this year without<br />

major disruption, according to the Australian Federation of<br />

International Forwarders.<br />

The Enhanced Air Cargo Examination system was extended<br />

from exports to the United States only to all international<br />

exports in March.<br />

AFIF business affairs manager Stuart McFarlane says despite<br />

the potential for disruption to air freight exports, the roll-out<br />

across the board has occurred remarkably smoothly.<br />

EACE requires all international air freight from Australia<br />

be examined at piece level by a regulated air cargo agent<br />

or originate from a known consignor and be issued with a<br />

security declaration.<br />

The scheme was initially implemented on air freight from<br />

Australia to the United States in July 2017. Following the<br />

terrorist plot to blow up an Etihad plane leaving Sydney,<br />

the Department of Home Affairs then extended the same<br />

requirements to all cargo exported by air from Australia from 1<br />

March this year.<br />

Mr McFarlane says the extension of the scheme required<br />

investment by several companies in new scanning equipment<br />

and staff training.<br />

There are now 52 regulated air cargo agents at freight<br />

forwarders and cargo terminal operators at 129 EACE<br />

examination sites and another 305 known consignors at 406<br />

sites, he says.<br />

Mr McFarlane says it helped that the examination load<br />

had been spread widely when the new requirements came<br />

into effect.<br />

“The fact that there are several off-airport RACAs has meant<br />

that the bottle-necking that was anticipated to occur at the<br />

CTOs has been avoided, as the examination load is spread<br />

across multiple parties in the chain,” he says.<br />

“That meant a sort of soft landing, compared to what it<br />

might have otherwise been.”<br />

Mr McFarlane says the clearing of cargo is fairly evenly<br />

spread across the off-airport RACA freight forwarders, CTOs,<br />

and the known consignors.<br />

He says the advantage for customers of using off-airport<br />

freight forwarders is that cargo is the subject to only a twohour<br />

cut-off time at the airports, while a six hour cut-off was<br />

necessary if goods had to be examined by CTOs.<br />

Mr McFarlane says the extra examination involved had<br />

added another layer to the freight forwarders’ role but the<br />

impact was not unworkable.<br />

“There’s a bit of extra time involved in having to do the<br />

checking at the piece-level. It’s a burden but not a large<br />

burden,” he says, adding that authorities have been reasonable<br />

in working with the private sector to ensure the smooth<br />

transition to the new system.<br />

“The freight forwarders have adapted to a new regime, but<br />

it would be fair to say that once everybody got into a routine<br />

pattern or structure of looking after their exports, it’s just been<br />

business as usual,” he says.<br />

But Mr McFarlane acknowledged that there was the<br />

potential for delays during the peak season as extra goods<br />

were sent all over the world prior to Christmas.<br />

Mr McFarlane says the EACE requirements will be extended<br />

into the domestic sphere next but he says the industry has so<br />

far handled the extra impost well.<br />

“It’s been quite an achievement by the industry to get the<br />

equipment and train their staff to operate the equipment but I<br />

commend the industry for responding professionally,” he says.<br />

Stuart McFarlane, business affairs<br />

manager, Australian Federation of<br />

International Forwarders<br />

Goods produced in<br />

New South Wales<br />

will no longer<br />

have to be trucked<br />

to Brisbane or<br />

Melbourne in<br />

order to reach<br />

lucrative Asian<br />

markets overnight<br />

Graham<br />

Millett, WSA<br />

is an evolution of Australian architecture past,<br />

present and future”.<br />

Cox project director David Holm said the design<br />

took inspiration from “the unique local flora of western<br />

Sydney and the great Australian light to create an<br />

unmistakable regional identity”.<br />

Mr Millett said the architects would consult with<br />

groups across the community as they refine the initial<br />

concept design.<br />

“We’re pleased the architectural team has already<br />

engaged Western Sydney University students and local<br />

Dharug community members during the initial concept<br />

design development,” he says.<br />

“We’ll now be working closely with key<br />

government, industry and community stakeholders as<br />

we further refine and enhance the concepts to arrive<br />

at a final design.”<br />

The airport is expected to be a catalyst for business<br />

development and employment and has been designed<br />

to grow with demand to handle well beyond the initial<br />

volumes of freight.<br />

“The first stage of the airport has the potential to<br />

process around 220,000 tonnes of freight each year<br />

through its proposed on-airport freight facility, with<br />

multiple dedicated freighter aircraft stands,” Mr<br />

Millett says.<br />

“This is set to scale up with demand, potentially<br />

handling 1.8 million tonnes of air freight each year in<br />

the future.”<br />

DESIGNING FROM THE GROUND UP<br />

The new airport is a rare opportunity to design a<br />

facility especially for freight and to ensure the best<br />

possible result, according to Mr Millett. To that end,<br />

WSA is working with freight companies on design and<br />

operation of the precinct.<br />

The company has entered into memorandums of<br />

understanding with a number of major Australian<br />

and global freight companies including Australia Post,<br />

DB Schenker, DHL Express, DSV Air and Sea, FedEx,<br />

Menzies Aviation, Swissport, Qantas Freight, Skyroad<br />

Logistics and Wymap.<br />

David Sexton<br />

44 <strong>December</strong> <strong>2019</strong><br />

thedcn.com.au

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