FTA Advocacy and Year End Update

Friday, December 21, 2018

Dear members,

As the year comes to an end, the team at Freight & Trade Alliance (FTA) would like to sincerely thank you for your ongoing support.
 
FTA and the Australian Peak Shippers Association (APSA) experienced a surge in membership over the last 12 months, now representing in excess of 380 businesses, and clearly establishing our partnership as the peak industry advocacy alliance for the Australian export and import sectors – please also refer to our member directory at www.FTAlliance.com.au
 
Adding significant weight to our collective voice is:
 

  • that WESCEF, Bunnings Group, Workwear Group, Officeworks, Australian Vinyls and Wesfarmers Industrial and Safety have joined existing Wesfarmers Group businesses, Kmart and Target, as FTA members; and

  • our support arrangements to peak bodies including the Australian Cotton Shippers Association (ACSA), the Australian Horticulture Export and Import Association (AHEIA) the Australian International Movers Association (AIMA), the Australian Meat Industry Council (AMIC) and the Australian Council of Wool Exporters & Processors that we represent locally through various forums and internationally via the Global Shippers Forum (GSF).

 
While our focus is on next year's advocacy activities, training and events, we are still extremely mindful that we have ongoing immediate operational issues still requiring attention. To that end we bring to your notice the following BMSB statement released to the mainstream media earlier today.

MEDIA RELEASE:  Industry calls for an Independent Review 
 
Background: The Department of Agriculture and Water Resources has implemented widespread emergency measures on imported containers from U.S., Italy, Germany, France and other countries, via chemical fumigation or other approved treatment methods, to combat the Brown Marmorated Stink Bug (BMSB).
 
Australia's major importers are reporting significant disruptions to their international supply chain operations, as well as increased costs of importing essential consumer goods.
 
Several international cargo vessels have been turned away from Australia while in Australian waters.
 
Industry bodies are now appealing to the Federal Minister, the Hon. David Littleproud MP, to launch an Independent Inquiry into these events:
 
Comments from Paul Zalai, Director of Freight & Trade Alliance: 
 
The Brown Marmorated Stink Bug (BMSB) biosecurity threat needs to be addressed to protect the Australian agricultural sector and community from this pest. Equally, urgent government attention is required to address the crippling effect of current processes on the Australian trade and logistics sectors.
 
In extreme instances, total vessels and their loads are being turned away from our shores due to detection of the pest. For those that have been fortunate to have their cargo arrive, thousands have been stung by the onshore delays caused by inadequate offshore treatment, failure in government systems and processes and a local industry inadequately prepared to deal with the growing onshore treatment task.

The direct costs to stevedores for storage and in detention fees to shipping lines for the late return of unpacked empty containers are rapidly escalating, adding salt to the wounds for importers failing to meet year end supply demands. Some freight forwarders have resorted to desperate and expensive measures by using a combination of sea cargo movements from origin and transhipping cargo at intermediary ports, using airfreight to land goods into Australia. While a perfectly legitimate practice, it is anticipated that it will only be a matter of time before cargo arriving by air faces similar biosecurity scrutiny as that by sea with the potential threat of choking our major airports. 

 
The problem is not going to go away. 
 
Forget about high risk countries being targeted for treatment, indications from governments is that by next season (September to April) we will be talking about treatment of goods from high risk continents, such is the spread of the pest throughout Europe, Asia and other parts of the world.  
 
Freight & Trade Alliance (FTA) has called on the Minister for Agriculture and Water Resources to urgently commission a comprehensive independent review.

FTA / APSA will remain operational over the coming festive period, available on all except public holidays - contact info@FTAlliance.com.au or 02 99751878.
 
We look forward to again partnering with you for a successful 2019 and until then, wish you and your families a safe and Merry Christmas.
 
Travis Brooks-Garrett and Caroline & Paul Zalai - FTA Director