TradeLane

Is the Trusted Trader Program (TTP) the beginning of a “new trade era” for the Down Under?

You might be asking “What is it and how is it relevant to me?” The idea is that it is a modernized system developed by both Australian Customs and Border Protection (ACBPS) to enhance the competitiveness of Australian traders by relieving unnecessary administrative and regulatory burdens, whilst still protecting the borders from associated risk.  The process being designed is in accordance with the trade facilitation measures outlined in the World Trade Organization’s Trade Facilitation Agreement, also known as the SAFE Framework.

The TTP will provide some clearance privileges to recognized trusted traders. In simple terms, think of the TTP as a relationship with the ACBPS built on trust and shared responsibility. Sounds like a marriage, right?

China is under immense pressure to provide both a smooth and secure trade environment considering their role as one of the leading merchandise traders in the world. Cumbersome Custom formalities imposed on imports and exports have caused issues for the entire industry.

Suppose a company is located and registered in a landlocked province like Jiangxi or Sichuan where their inbound ocean freight will first land in coastal areas such as Shanghai, Shenzhen, or Xiamen. Traditionally, the company would be required to clear its imports with customs at the point of entry which means important decisions, physical inspections of goods, and taxes/duties all occur with your business presence and support hundreds of miles away.

I’m always trolling the internet looking for ideas on a new blog (and new shoes, it’s just fact). As I read my standard compliance publications, I realized that there was not a whole lot of new hot material in the world of Customs Compliance.  Then I ran upon this oldie but goodie that CBP published a few years back: “US Customs and Border Protection Best Practices of Compliant Companies.” 

Just a quick note to give all of you blanket flaggers and possibly even some of you Entry by Entry flaggers a heads up. Five times in the past three weeks I have been advised by importers that information pulled from ACE does NOT show 100% of their summaries with reconciliation flag (indicator) codes. Some might say that common sense should tell you that as a blanket flagger you should KNOW that all of your imports are being flagged for reconciliation. But, reality is – well, reality! People tasked with preparing reconciliation filings aren’t always “in the know” with respect to their company’s flagging set ups and the first thing they do after pulling a report from ACE is to dump all the summaries that don’t have reconciliation indicator codes.

I’m at the point in teaching my 16-year-old daughter to drive that we’re now out on highways, making the long drives to practice staying in lanes, merging onto expressways, and staying within the speed limit, so we have time to talk a little about things other than watching out for bicyclists and what to do if a squirrel jumps out in front of you (bye, bye squirrel). Lately, we’ve been chatting about TV shows she used to watch when she was little – Teletubbies, Zoboomafoo, and, a perennial favorite, Thomas the Tank Engine. Sir Topham Hatt, the director of the railway, reserves his highest praise for the trains in very unique situations, such as pulling a load of school children up a steep hill, or helping a larger engine push an extremely heavy load of coal. At the conclusion of the episode, he would intone, “You are a Really Useful Engine.”