UNECE - WCO Facilitating Trade in a Secure Environment 13-14 November 2003

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UNECE - WCOFacilitating Trade in a Secure
Environment13-14 November 2003

• Global Security Standards

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Innovative Trade Framework

• Agenda
• Who is Innovative Trade Network (ITN)
• ITN proposed solution
• Point of origin
• Trusted third party agent
• End-to-end supply chain security
• Operation Safe Commerce (OSC)
• Moving towards standards

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Innovative Trade Network (ITN)

• BV Solutions Group
• Calspan UB Research Center / General Dynamics
• Cargill
• Cotecna
• FreightDesk Technologies
• Honeywell
• Lockheed Martin
• TransCore

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ITN RD by The CBRTA, World-Class Expertise
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The ITN Proposed Solution
Sensing, Sealing, Tracking, Custody

• Physical verification of location, contents, and
  people
• Visibility network

Security achieved through data and information
Risk Mgt.
Data Clearinghouse

• Near real time accurate data
• Global business model for acceptance, savings,
  and security
• Global crisis response platform
• National Non-Profit

• Fusion, sort, organize, prioritize, harvest
• Anomaly identification for logistics and security
• Contraband discovery
• Commercial and Government

Security achieved through understanding
Security achieved through knowledge
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Global Information Requirements

• WCO
• 27 data elements
• Customs to Customs
• US Customs
• 14 data elements
• Freight forwarders carriers to Customs
• ITN
• 250 data elements and growing
• All stakeholders

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The Point of Origin

• A trade lane starts with the buyer.
• The main security issues are with
• manufacturer
• container
• stuffing of cargo
• sealing of the container
• tracking to the port of loading
• port of embarkation
• This leads to collecting accurate data on who,
  what and where at the point of origin.

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Trusted Third Party Agents

• Independent inspectors that are
• the eyes and ears at the point of origin
• thoroughly vetted
• experts in inspection techniques of empty
  containers
• and of goods
• experienced with Customs procedures

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Container Inspection
At origin - Container Security Inspection during
the loading of goods. This Inspection is
documented with an Electronic Report and series
of 5 digital photos.
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Container Stuffing
Fourth picture is taken once the vehicle is
closed and sealed.
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4
Firstly, a picture is taken of the empty
container.
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The second picture is taken half way though the
loading process.
Notethe container number is visible on all
pictures
The final picture is a close-up of the seals.
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3
The seal ID also appears on the Inspection Report
the Bill of Lading
The third photo is taken once loading is
complete.
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An end-to-end supply chain security solution

• Validation of content of the container prior to
  sealing
• 24 hour accurate advance manifest information
• Validation and monitor of containers in transit
• Detect and report tampering
• Integrate non-intrusive inspection
• Data clearinghouse accessible to all end users
• Accuracy and timeliness of cargo information
• Ultimately will save time and money

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Operation Safe Commerce (OSC)

• Public/private sector initiative funded by the US
  Federal Government
• Pilot trade lanes for testing technologies and
  processes
• Proof concept and best practices
• Pilots to develop workable security measures
• Influence new supply chain security standards
• To facilitate trading for participating importers

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Operation Safe Commerce

• ITN has been awarded two pilot trade lanes
• HAZMATS from Japan
• Food stuff from Germany
• COTECNA is participating with other leads in
• Coffee from Brazil
• Electronics from Singapore
• Bathroom fixtures from Turkey

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Moving towards standards

• The experience gathered from the OSC pilots a
  good basis for developing standards
• ITN has been nominated Category A Liaison with
  ISO/TC8

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Standards for what

• Security-management systems that include
• Personal credentialing and identification
• Inspection of the empty container
• Witnessing the stuffing of the container
• Sealing of the container
• Container seals
• Reporting, content and data elements
• Secured transmission of information
• Confidentiality
• Accreditation and audit of the trusted agent at
  origin