UNECE Executive Forum 2004
« Competing in a Changing Europe »
European Union
New Frontiers : New Issues!!
John Broadhurst
Vice President
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New Frontiers : New Issues!!
> Expansion of Europe
> EU-Mediterranean Basin Free Trade Area
> Addressing security and trade facilitation issues
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The expansion of the EU has implications for trade
security and trade facilitation…
> The borders moved « out »
> New trade security & trade facilitation issues
> Increase in trade transactions
> Need for advance information
> Dissemination of advance trade data
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…- the EU is taking action.
> Advance Cargo Information
> EU-US Container Security Agreement
> Working toward common data standards
> WCO Integrated Supply Chain Management Guidelines
> Single Window Concept - UNECE
> Secure actors (“approved economic operators”)
> Container security technology
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Is this “good” enough?
> EC D-G for Energy and Transport identified three
key security risk categories:
> Threats to key infrastructure
> No common security standards
> No co-ordination or control of national activities
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Barcelona treaty (1995) for EU-MED Free Trade Area.
> Moving out the borders (again)
> Securing new borders (again)
> Dismantling Customs duties
> Advance Cargo Information
> Information sharing
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Private industry addresses threats to trade security…
> Container security
> Secure trade lanes
> Threat Identification / Detection
> Security Technology
The EU-US Agreement opens the opportunity for technology,
knowledge and information sharing!
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Container Security
…with the ultimate goal being trade facilitation within
a high security trade environment.
HIGH
GO
SLOW
X
LOW
LOW
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Trade Facilitation
!
HIGH
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And industry has responded with…
> The innovative Trade Network (ITN) is just one of the
new industry initiatives
> ITN = High Facilitation + High Security
> ITN is an open systems solution
> Industry partners with complementary skills and
capabilities
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…the Innovative Trade Network (ITN).
> BV Solutions Group
> Calspan UB Research Center
> Cargill
> Cotecna
> FreightDesk Technologies
> General Dynamics
> Honeywell
> Transcore
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The building blocks of the ITN trade Security process…
Physical Controls
& Data Validation
Physical verification
Sealing, tracking, custody
Visible security presence
Risk Management
Fusion, sort, organize, harvest data
Anomaly identification
Contraband discovery
Data Clearinghouse
Near real-time data
Global business model
Global crisis response platform
…= end-to-end security controls…
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…represents an end-to-end supply chain security solution.
> Validation of container contents prior to sealing
> 24 hour accurate advance manifest information
> Validation and monitoring of containers in transit
> Detection and reporting of tampering
> Data clearinghouse accessible to all end users
> Accurate and timely cargo information
> Save time and money ultimately
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Developing trade security standards is part of the process.
> The experience gathered from pilot projects
is a basis for developing trade security
standards:
> Two ITN pilot trade lanes – Japan & Germany
> Cotecna participating with others – Brazil,
Singapore, Turkey, China, & Africa
> ITN has been nominated Category A Liaison
with ISO/TC8
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The ITN solution:
> A global solution with significant benefits for
emerging and developed economies,
> Represents an open platform for all stakeholders,
> Provides proven test bed for trade security
technology implementation,
> Solution that enables transatlantic trade security and
trade facilitation cooperation, and
> Will address trade security and trade facilitation for
the EU-MED and beyond (2010+)…
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