Alexandria, 4 November 2012

4th IRU-LAS-AULT SEMINARSESSION III – BALANCING SECURITY AND FACILITATION IN THE

LAS REGION: CONTRIBUTION OF THE KEY UN TRADE AND ROAD TRANSPORT FACILITATION CONVENTIONS

Alexandria, 4 November 2012

(c) International Road Transport Union (IRU) 2012

Facilitation and security in key Conventions (Container Convention, Temporary Importation Convention, CMR, TIR)

Alexandria, 4 November 2012

Jean AcriIRU Special TIR Advisor

Page 2 (c) International Road Transport Union (IRU) 2012

Transport & Growth

Transport is a key factor contributing to economic development and poverty reduction. By reducing time and costs, and improving accessibility, transport enables economic activities, health care, education, and social development to be undertaken more effectively and efficiently.


Road Transport – A vital production tool

Road Transport is the vital link between producers, businesses and consumers. Every impediment on the development of road transport affects not solely the road transport industry but mostly the economies and societies as a whole.


Each day of delay = reduces trade by at least 1% Each day of delay = 85 km of distancing from trade

partners Poor trade facilitation affects economic development

• prevents countries to export time-sensitive goods• a day’s delay reduces a country’s relative exports of time-sensitive

goods on average by 7 %

Barriers to Road Transport Impede Development

Source: Economic and Policy Research Institute, TEPAV, 2007


Vehicles and containers

Drivers

Goods

Border is an obstacle to free trade

• Technical and traffic regulations

• Veterinary regulation• Immigration• Customs and security• Contractual relations


Country A Country CCountry B

Border is an obstacle to free trade






Main obstacles to international road transport

Main causes of waiting times at borders are well known:

« Inappropriate procedures and lack of

mutual recognition »


Solutions

Facilitated Border Crossings ?

Harmonisation

Mutual recognition

International Conventions to facilitate trade and road transport


International Conventions facilitating road transport

In 1992,

The UNESCAP Resolution 48/11 recommends its Member States to join and implement the main UN Trade and Road Transport Facilitation Conventions.


Main UN Facilitation Conventions

1. Convention on the Contract for the International Carriage of Goods by Road (CMR), 1956

2. Customs Convention on Containers, 1972

3. Customs Convention on the Temporary Importation of Commercial Road Vehicles, 1956

4. TIR Convention, 1975

IRU contributed to the drafting and implementation of ALL theseUN Conventions


Main UN Facilitation Conventions

5. Convention on Road Traffic, 1968

6. Convention on Road Signs and Signals, 1968

7. Agreement on the International Carriage of Perishable Foodstuffs and on the Special Equipment to be used for such Carriage (ATP), 1970

8. Agreement concerning the International Carriage of Dangerous Goods by Road (ADR), 1957

9. International Convention on the Harmonisation of Frontier Controls of Goods, 1982

IRU contributed to the drafting and implementation of ALL these

UN Conventions


Harmonisation and mutual recognition

To facilitate trade and road transport:- Harmonised contractual conditions and documents:

CMR- Harmonised Customs procedures:

Container ConventionTemporary importTIR

(c) International Road Transport Union (IRU) 2012Page 13

Convention on the Contract for the International Carriage of Goods by Road (CMR), 1956



Objectives Facilitate international carriage of goods by road Through a « Contract of Carriage » internationally

agreed, including the liability, indemnity and recovery rules



Key Provisions Defines contract conditions

• The content of the transport document and the role of the CMR Consignment Note

• The liability of the carrier, its limits in case of loss, damage or delay CMR applies when the country of departure or the country of destination is a

Contracting Party to the Convention Defines the indemnity limits in SDR Defines the conversion rules from SDR to local currency Allows the use of Electronic Consignment Note (e-CMR)



Benefits for facilitation

Harmonisation of contractual and liability conditions Facilitation and harmonisation of claims and recovery

procedures Harmonisation of competition conditions Rationalisation of transport costs, and harmonisation of

insurance conditions Standardisation of transport documents: CMR Note



Benefits for security

CMR Consignment Note facilitates commercial transparency

Identification of Parties to the transport contract and main transport conditions

Facilitation of controls by the contractual partners and by Authorities


(c) International Road Transport Union (IRU) 2012Page 19


CMR Convention:55 Contracting Parties5 LAS Contracting Parties:

- Morocco- Tunisia- Syria- Lebanon- Jordan

Customs Convention on Containers, 1972

Objectives To facilitate the temporary admission in a

country of containers registered in another country by suspending payment of taxes and duties

To define construction technical standards in order to ensure secure transport under Customs seals

To define and organise the approval procedures for containers authorised for transport of goods under Customs seals



Key Provisions Customs rules for temporary admission of

containers Unique identification of containers and their

owners Prescription of construction technical standards to

approve containers for transport of goods under Customs seals

Containers approval procedure and issuance of related certificates




Mutual recognition of approval certificates

Facilitated temporary import Payment Exemption of Customs

import taxes and duties for containers Easy identification



Benefits for security Unique identification of containers Identification of owners Secure load compartment Tracability in case of infringement Facilitated trade and international

transport of goods (no intrusion into the sealed container)




Container Convention:38 Contracting Parties4 LAS Contracting Parties:

- Morocco- Algeria- Tunisia- Saudi Arabia

Customs Convention on the Temporary Importation of Commercial Road

Vehicles, 1956

Key Provisions

Carnet de Passage en Douane • International Customs document • Guarantees vehicle taxes if vehicle not re-exported

Procedures for temporary importation, including for claims if no re-exportation of the vehicle



Vehicles, 1956

Objectives To facilitate temporary admission of

commercial road vehicles registered in another country

Through agreed procedures and in cooperation with road users associations, AIT/FIA



Vehicles, 1956


Internationally agreed procedure and mutual recognition

Suspension of payment of vehicle import taxes

Lower border delays, Lower border costs Lower transport and export/import costs



Vehicles, 1956

Benefits for security

Identification of Holders Financial guarantee in case of

infringement Mechanism to monitor foreign vehicle

movements




Vehicles, 1956

Temporary importationConvention:41 Contracting Parties2 LAS Contracting Parties:

- Algeria- Saudi Arabia

International Convention on the International Transport of Goods under Cover of TIR

Carnets (TIR Convention, 1975)


Objectives

Encourages the development of international trade in a secure and controlled environment by easing traditional impediments to the international movement of goods

Enables significant economies to be made in transport costs by reducing delays in transit

Facilitates international trade




For the transport operators, the TIR system: Enables goods to travel across national frontiers with a minimum of interference

and delays by Customs administrations Reduces waiting times at borders in line with the principles of the International

Convention on the Harmonization of Frontier Controls of Goods 1982 (Annex 8), in particular for bilateral transports

Allows exporters and importers to select more easily the type of transport most suitable for their needs by reducing the impediments to international traffic by road caused by Customs controls

Allows the use of simplified documentation Gives access to 57 countries Avoids the need to deposit a guarantee covering the duties and taxes at transit

borders Allows small and medium sized transport operators to competitively access

global markets whilst retaining their commercial independence




For Customs, the TIR system: Reduces the normal requirements of national transit procedures (as

regards Customs control measures at frontiers) Avoids the need - expensive in manpower and facilities - for physical

inspection in countries of transit, other than checking seals and the external conditions of the load compartment or container and checking the accompanying documents

Protects the duties and taxes at risk which are ‘guaranteed’ – up to USD 50’000 or EUR 60’000 per TIR transport

Reduces the risk of presenting inaccurate information to Customs administrations (the international transit operation is covered by a single and harmonised transit document, the TIR Carnet)




The six core elements of the TIR System: Facilitation and security


Ensure the secure and sustainable development of international trade and road transport (controlled access, traceability)

Gives access to 57 TIR operational countries

Through mutual recognition of Customs Controls and the guarantee, transport costs, formalities and delays are reduced

Secures and facilitates trade through the implementation of harmonised controls & documents


Carnets (TIR Convention, 1975)Benefits for facilitation and security


International Convention on the Transport of Goods under Cover of TIR


TIR Convention:68 Contracting Parties8 LAS Contracting Parties,but only operational in:

- Morocco- Tunisia- Syria- Lebanon- Jordan


www.iru.org


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Alexandria, 4 November 2012

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