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Herald Sun / The Courier Mail
- Shipping chaos causes delays for Christmas deliveries

GSS Update

 
Solicitors for the vessel owners are now engaged with various parties, including FTA, to negotiate the delivery and release of the goods for both vessels.
 
In the case of the Wehr Trave, the vessel owner is currently demanding charter fees, as well as the recovery of all port and discharge-related fees, from the affected cargo owners.
 
In the case of the Imara, the vessel owners is more sympathetic to the cargo interests. They are presently looking at covering the discharge and handling fees on behalf of the cargo owners (and pursuing them through GSS and their P&I Club), but still may need to recover wharfage and some other costs from the cargo owners. Negotiations are continuing. For the release of the cargo, the vessel owner is requesting the original bills or (in their absence) the DOs. FTA, supported by the brilliant work of some of our members, is assisting with the collection of the DOs.
 
FTA has also spoken to a number of Government agencies about the recent events. These include ASIC (who are currently investigating), the Department of Infrastructure and Transport and the office of the Hon. Darren Chester. FTA want to ensure that events like this are not repeated.
 
The Department of Infrastructure and Transport has confirmed to FTA that sea freight and maritime trade security will be a major component of the upcoming National Freight Strategy, recently launched in Canberra.
 
More details to come.

Travis Brooks-Garrett - FTA

DCCC Update

Last week's Department of Agriculture and Water Resources Cargo Consultative Committee (DCCC) meeting covered a wide range of issues and emerging reforms. It was pleasing to note that DAWR agreed to the proposal from Freight & Trade Alliance (FTA) to publish a COLS "issues register" so that industry can be aware of identified enhancements, scheduled timeframes and official guidelines of interim "workarounds".
 
The other FTA advocacy focus was in relation to the $2900 Approved Arrangement fee.
 
DAWR advised that 1,945 AA invoices have been issued, of which 318 or 16% remain partially or fully outstanding – 29 part payments received; 21 requests for repayment arrangements; and 38 requests for cancellation. DAWR acknowledged that concerns have been raised by some clients, primarily licenced customs brokers and industry representatives in relation to the impact of the annual levy on small to medium enterprises.
 
In response to FTA's questioning on how the fee was derived, DAWR explained that consultation of the AA fee was completed through "public consultation" and engagement with industry representatives on the Imports Industry Finance Consultative Committee (IIFC).

FTA has since formally requested an opportunity to participate as a member of IIFC. We look forward to having the opportunity to constructively collaborate with DAWR and assist other industry representatives in achieving a fairer cost recovery arrangement for the 2017/ 2018 period and beyond.
 
Stay tuned for more detail 

Paul Zalai - FTA

Have you completed your Continued Biosecurity Competency training ?

Included in our growing library of content are recordings of the "CBC Mandatory Sessions" delivered by Department of Agriculture and Water Resources at our face-to-face events.

Now available online are the following: 

• Continued Biosecurity Competency - Mandatory Session 1 for 2016 (CPD Stream A - DOA009) - recorded session delivered by Andrew Lieschke and Julie Simms from the Department of Agriculture & Water Resources - Sydney 6 April 2016

• Continued Biosecurity Competency - Mandatory Session 2 for 2016 (CPD Stream A - DOA012) - recorded session presented by Julie Weymouth and Angus Martin from the Department of Agriculture & Water Resources - Sydney 21 October - FTA Border & Biosecurity Compliance Session. NEW

After viewing the recordings and completing the online assessments you receive certification to demonstrate CBC compliance to maintain your 19.1 NCCC and 19.2 AEPCOMM accreditation.

Each recording and assessment package is available via www.ComplianceNetFTA.com - $38.50 (incl GST).

NOTE - For more than 3 bookings, please contact me at czalai@FTAlliance.com.au

Caroline Zalai - FTA

More time please Mr Tax Man

Consumers and affected sectors of Australian commerce are at risk of facing complications by the introduction of a new, untested and complex tax regime. 

The Treasury Laws Amendment (2017 Measures No. 1) Bill 2017: Low value imported goodsproposes that overseas vendors, electronic distribution platforms and goods forwarders account for Goods and Services Tax (GST) on sales of low value goods to consumers in Australia if they have GST turnover of $75,000 or more. The intent of the Bill is to ensure that low value goods face an equivalent GST treatment to goods sourced in Australia. Importantly, the legislation will also generate a significant quantum of GST revenue.

Feedback from last week's blog titled GST on low value imports – 1 July 2017 generated responses from Freight & Trade Alliance (FTA) members questioning whether overseas vendors will comply with this new Australian tax law.

There were also significant and valid concerns about the short timeline to implement associated systems changes.

These issues were reflected in the FTA submission to Treasury noting that whilst jurisdictions such as the European Union are looking at similar reforms, Australia is the first country to apply a GST to the importation of low value goods using a 'vendor collection model'.

We understand that the Bill will go before Parliament in the first quarter of 2017 with a much publicised target implementation date of 1 July 2017. The largest risk to implementation is clearly the short window available from the passing of the legislation to "go live".

The Australian import sector still vividly recalls the flawed Integrated Cargo System (ICS) implementation in October 2005 that brought Australian ports and airports to a grinding halt.

We hope that Treasury takes note of our reference to the Australian National Audit Office post implementation review of the ICS implementation (The Auditor General Audit Report No.24 2006–07, Performance Audit) that highlighted that Customs underestimated the complexity and the risks associated with the project "The implementation was not supported by a coordinated implementation strategy or adequate business continuity planning. Insufficient time was allowed for system testing, particularly end-to-end testing. Customs did not have quality assurance mechanisms to assess the readiness of third party software providers, the quality of their software or the preparedness of industry participants."

It is imperative that history is not repeated and that adequate time is provided to allow industry to design, scope, budget, implement and test systems.

Businesses affected will include overseas vendors with changes to web sites and back-end reporting through to international freight forwarders, express carriers and licensed customs brokers completing ICS cargo reports Self Assessment Clearances (SACs) and Full Import Declarations (FIDs). As there is a requirement to provide remittance to the Australian Government, this will mean that there will be accounting changes within the internal business processes of the vendors that will also require implementation.

In contrast to the low vale goods, legislation applying the GST to international sales of digital products and services provided to Australian consumers received Royal Assent on 5 May 2016 with the measures to apply from 1 July 2017. We commend the government for supporting this sector of commerce by providing an appropriate implementation timeframe.

We are at a loss to understand why a similar implementation timeframe has not been considered for the significantly more complex changes associated with the proposed changes for low value imported goods.

Let's hope that that the Tax Man listens to our concerns.

• Please share your views via our blog as published in Lloyds List Australia or contact me direct at pzalai@FTAlliance.com.au 

• The FTA submission to Treasury is available HERE (FTA LOGIN REQUIRED).

Paul Zalai - FTA

The Australian Government is running seminars around the country to help businesses explore the opportunities created by the North Asia Free Trade Agreements (FTAs).

Come along to the next seminar in Shepparton to hear from:

• The Hon Keith Pitt MP, Assistant Minister for Trade, Tourism and Investment 

• Michael Growder, Assistant Secretary, Free Trade Agreement Division, Department of Foreign Affairs and Trade

• Chuyang Liu, China Adviser, Austrade

• Tim Carroll, State Director Victoria and Tasmania, Austrade

• Paul Henderson, Regional Manager, AusIndustry

Local business case study:

The seminar equips you with the information to help realise the benefits created by the China, Japan and Korea FTAs, including FAQs about tariffs, grants and other assistance.

Don't miss out, register now – read more

Recruitment

General

3.12.2016 - FTA SUBMISSION - TREASURY LAWS AMENDMENT (2017 MEASURES NO. 1) BILL 2017: LOW VALUE IMPORTED GOODS

More time please Mr Tax Man. Consumers and affected sectors of Australian commerce are at risk of facing complications by the introduction of a new, untested and complex tax regime. 

The Treasury Laws Amendment (2017 Measures No. 1) Bill 2017: Low value imported goodsproposes that overseas vendors, electronic distribution platforms and goods forwarders account for Goods and Services Tax (GST) on sales of low value goods to consumers in Australia if they have GST turnover of $75,000 or more. The intent of the Bill is to ensure that low value goods face an equivalent GST treatment to goods sourced in Australia. Importantly, the legislation will also generate a significant quantum of GST revenue. ... login required

1.12.2016 - DFAT - TRADETALK

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30.11.2016 - DISCOVER HOW AUSTRALIAS FTAS WITH CHINA, JAPAN AND KOREA CAN BENEFIT YOUR BUSINESS

The Australian Government is running seminars around the country to help businesses explore the
opportunities created by the North Asia Free Trade Agreements (FTAs).

Come along to the seminar in Shepparton to hear from:

• The Hon Keith Pitt MP, Assistant Minister for Trade, Tourism and Investment 

• Michael Growder, Assistant Secretary, Free Trade Agreement Division, Department of Foreign Affairs and Trade

• Chuyang Liu, China Adviser, Austrade

• Tim Carroll, State Director Victoria and Tasmania, Austrade

• Paul Henderson, Regional Manager, AusIndustry

 ... read more

29.11.2016 - CHANGES TO CITES

CITES aims to ensure that international trade in wild plants and animals does not threaten species' survival. Species regulated under CITES are listed in one of three Appendices, depending on how threatened they are due to trade. The Conference of the Parties is where key decisions in relation to species listings and implementation of CITES are made. ... login required

Agriculture

5.12.2016 - DAWR - Industry Advice Notice 114-2016 - Cargo Online Lodgement System and Post Entry Quarantine Reservation System unavailable between 20:00 (AEDT) Friday 9th December 2016 to 01:00 (AEDT) Saturday 10th December 

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5.12.2016 - DAWR - INDUSTRY ADVICE NOTICE 113-2016 - BICON SERVICES WILL BE IMPACTED BETWEEN 20:00 (AEDT) FRIDAY 9TH DECEMBER 2016 TO 01:00 (AEDT) SATURDAY 10TH DECEMBER

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2.12.2016 - DAWR - INDUSTRY ADVICE NOTICE 111-2016 - THE POST ENTRY QUARANTINE RESERVATION SYSTEM WILL BE UNAVAILABLE 20:00 TO 20:30 (AEDT) FRIDAY 2ND DECEMBER 2016

Due to planned maintenance, the Department's Post Entry Quarantine Reservation system will be unavailable between 20:00 to 20:30 (AEDT) Friday 2nd December 2016. ... read more

1.12.2016 - DAWR - AGRICULTURAL COMPETITIVE WHITE PAPER
The Agricultural Competitiveness White Paper is the government's plan to grow agriculture. It is a $4 billion investment in our farmers. ... read more

30.11.2016 - DAWR - INDUSTRY ADVICE NOTICE 110-2016 - COMMENCEMENT OF BURNT PINE LONGICORN (BPL) FLIGHT SEASON MEASURES FOR 2016-17
The Department of Agriculture and Water Resources (the department) will commence its annual heightened surveillance regime for managing the risks posed by Burnt Pine Longicorn (BPL) beetles on vessels arriving from New Zealand from 30 November 2016. ... read more

Border

3.12.2016 - CBAFF NZ - NEWSLETTER

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1.12.2016 - DIBP - PLANNED SYSTEM OUTAGE – MONDAY 5 DECEMBER FROM MIDNIGHT TO 4AM CANBERRA TIME

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1.12.2016 - DIBP - TWO ARRESTED AFTER 20.6KG CRYSTAL METH IMPORTED IN HOUSEHOLD APPLIANCES

Two Taiwanese nationals will face court today after allegedly importing approximately 20.6 kilograms of crystalline methamphetamine, worth an estimated $20.6 million. On Friday 25 November, Australian Border Force (ABF) officers in Brisbane intercepted an air freight consignment that had arrived via Hong Kong. ABF officers examined the consignment and discovered the presence of crystal methamphetamine, concealed within household electrical appliances. ... login required

Industry

ANTI-DUMPING NOTICES

The Anti-Dumping Commission investigates alleged dumping and subsidisation of goods imported into Australia and imposes duties to address material injury to the Australian Industry that manufactures similar or the same goods. The work of the Commission complies with rules of the World Trade Organization and Australian legislation. ... login required

Sea

5.12.2016 - POM MONTHLY OVERSEAS CONTAINER TRADE REPORT FOR OCTOBER 2016

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3.12.2016 - GSS UPDATE # 7 - FOR PARTIES AFFECTED BY THE NON-ARRIVAL OF THE WEHR TRAVE

For parties affected by the non-arrival of the Wehr Trave - Through our legal counsel, Hunt & Hunt Lawyers, we have received notice from the solicitors for the Wehr Trave regarding the planned discharge of cargo booked with GSS. On Friday we were informed of the owner's plan to sail the vessel to Sydney and discharge all cargo there – please click HERE for the original letter.  The estimated rates were USD1,575 per 20ft and USD3,150 per 40ft. To accept the offer cargo owners needed to sign the attached letter and send it to the solicitors for the owners. ... read more

2.12.2016 - GSS UPDATE # 6 - FOR PARTIES AFFECTED BY THE NON-ARRIVAL OF THE WEHR TRAVE

For parties affected by the non-arrival of the Wehr Trave - Hunt & Hunt has reviewed an offer from the solicitors for the owners of the Wehr Trave.  Under the offer the Wehr Trave will proceed to Sydney and discharge all cargo in Sydney. ... read more

1.12.2016 - FREMANTLE PORTS - PHONE LINES NOW WORKING

... read more

1.12.2016 - GSS UPDATE # 5 - FTA AND HUNT & HUNT LEAD COLLECTIVE LEGAL ACTION FOR MEMBERS

For members affected by the non-arrival of the Wehr Trave and the Imara - FTA has been advised by sources that the vessel owner has terminated their charter agreements with Great Southern Shipping Australia PL (GSS) for non-payment of charter fees. FTA is concerned that the vessel owner is intending to exercise lien rights over the cargo for unpaid charter fees, and any costs associated with discharge of the cargo from the vessel. ... read more

30.11.2016 - HUTCHISON PORT BOTANY - DELAYS
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30.11.2016 - FREMANTLE PORTS - PHONE LINES CURRENTLY NOT WORKING
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ONLINE TRAINING - ComplianceNetFTA

• Each recording and assessment package is available via www.ComplianceNetFTA.com - $38.50 (incl GST).

• Members are also entitled to a package for $165 (incl GST) per person to access all online CPD and CBC content.

24 Nov 2016 : WISTA Queensland Christmas Function [...]

25 Nov 2016 : WISTA - VIC Christmas Party [...]

25 Nov 2016 : Cargo Club 2016 Christmas Party [...]

29 Nov 2016 : CILTA - Improving port performance and supply chains [...]

30 Nov 2016 : WISTA NSW - End of Year Celebrations [...]

Continued Biosecurity Competency (CBC) [...]

TLIX5054A - Comply with Biosecurity Border Clearance [...]

SEC 77G DEPOTS - Obligations in dealing with goods subject to ABF control [...]

LEGAL FORUM - Recent Cases and ChAFTA Compliance (3 points CPD Stream A) [...]
DIBP guidance on the definition of OWNER (3 points CPD Stream A)
Australian Trusted Trader - benefits and participation (3 points CPD Stream B) [...]   
Food Import Compliance Agreements (FICA) Reforms - (3 points CPD Stream A) [...]
ABF - Trade and Customs compliance focus for 2016 (3 points CPD Stream A) [...]
Customs Broker Ethics (6 points CPD Stream B) [...]
Responsibility for Customs Duty & GST (3 points CPD Stream A) [...]
Introduction to the Biosecurity Act (3 points CPD Stream A) [...]
Customs Brokerage – Managing Risks (3 points CPD Stream B) [...]

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