DHL GLOBAL FORWARDING AUSTRALIA - LATEST INDUSTRY NEWS
In our recent education events, we've had good participation and it's great to see such passion and interest in the logistics industry from our exporter's education. We have covered everything from the basics to ocean industry updates all the way through to innovation topics such as Block Chain solutions coming in the near future.
If you were unable to join the webinar’s live, we have now setup an education channel where you can catch up at a time that suits you using the DHL Webinar Channel.
Please read on for a summary of regulatory and industry changes announced over the last month.
Head of Sales and Marketing Australia
Indonesia - New Customs Requirements for all Air Freight Imports and Exports
Effective from the 25th of July the Indonesia government (Customs) has advised that Air Freight shippers either importing or exporting from Indonesia will need to provide a Tax ID and Harmonised System Tariff code.
Import to Indonesia
Inbound manifest submissions must be at least 24 hours before arrival with Consignee Tax ID and Harmonized System Tariff (HS code).
Export from Indonesia
Outbound manifest submissions must be before flight departure with Shipper Tax ID and Harmonized System Tariff (HS code).
- The new customs requirements will be applicable for cargo in transit via Indonesia to Indonesia destinations.
- The new customs requirements will not be applicable for transhipment cargo transiting via Indonesia to International destinations (for example: Shanghai via Denpasar to Sydney).
What is DHL Global Forwarding doing to manage this new Customs requirement?
We are in communication with our carriers to ensure we comply with the customs requirements and are updating the Tax ID information in our system progressively.
What do you need to do?
With immediate effect, we ask our customers to provide the Tax ID and HS Code to the DHL Global Forwarding origin station when placing a booking for a shipment exporting from and into Indonesia, in preparation for the go-live.
Please be advised that for any shipment where DHL Global Forwarding has not received the required information will be placed on Hold at Origin, and any storage charge and/or cargo return costs incurred will be billed to the Shipper accordingly. This is to avoid Customs holds and fines in Indonesia. Customs and non-compliance penalties are ranging from Rr 10 million ($720) to Maximum of Rr 100 million ($7,200) per shipment.
Customers also need to ensure the cargo description provided in the booking is complete and accurate.
Get a Seat at the Food Industry Table
The Department of Agriculture and Water Resources invites food import businesses to attend an industry roundtable session. This session will provide you with an opportunity to talk directly with senior people in the department about issues with importing food in compliance with Australian food standards.
The Department of Agriculture and Water Resources is holding the next industry roundtable session in Brisbane for food importers on 1st August 2018 from 10:00am – 3:00 pm (9:30am arrival) at EPICURE, Brisbane City Hall.
This session is being held to provide businesses importing food an opportunity to discuss issues directly with senior departmental representatives, particularly small to medium sized businesses. We will also take the opportunity to update attendees on our proposed changes to imported food legislation.
Preparation for the 2018-2019 Brown Marmorated Stink Bug Risk Season
To manage the risk posed by Brown Marmorated Stink Bug (BMSB) to Australia, the Department of Agriculture will mandate additional measures during the 2018-2019 BMSB risk season (goods shipped to Australia between 1st September 2018 and 30th April 2019 inclusive). These measures will mean certain goods arriving from certain countries are at risk of being treated or subject to increased intervention before arriving into Australian territory.
2018-2019 BMSB Season Measures
Importantly, goods exempt from BMSB seasonal measures must continue to meet standard import conditions (as prescribed on ), and will not be subject to the BMSB-specific treatment assurance measures detailed below.
At this stage, the import requirements to manage BMSB risk will continue to apply to goods of Italian origin and break bulk goods from the USA during the 2018-2019 BMSB risk season. Extension of import requirements to additional countries is currently under active consideration.
The department will soon commence information sessions in preparation for the 2018-2019 BMSB season. These sessions will outline work underway on import requirements for next season, including possible extension to other countries. Please register your interest or gain further details of these sessions by contacting Air and Sea Cargo.
In readiness for the 2018-2019 BMSB season, the department is finalising new treatment assurance measures.
To ensure that BMSB treatments conducted offshore are effective and consistent, the department is developing new treatment assurance measures for the 2018-2019 season, including:
- Minimum standards for BMSB treatments and treatment providers.
- A list of approved treatment providers.
- Processes to prevent the use of fraudulent certificates.
These requirements will apply to Italy and the United States in the first instance. Other countries are also being considered for increased requirements for BMSB treatment providers, and clients will be notified of any such changes.
Minimum standards for offshore BMSB treatments and treatment providers
Currently, the approved treatments for BMSB are:
- Sulfuryl fluoride.
- Methyl bromide.
- Heat treatment.
The department has developed minimum requirements for performing each of these treatments, which are detailed in the department’s Sulfuryl Fluoride Fumigation Methodology, Methyl Bromide Fumigation Methodology, and Heat Treatment Methodology. These methodologies will be published on the in July 2018.
The department has also developed registration and compliance requirements for treatment providers conducting BMSB treatments. These requirements are detailed in the department’s Offshore BMSB Treatment Providers Scheme, which will be published on the in July 2018.
Approved offshore BMSB treatment providers
The department will require all treatment providers conducting BMSB treatments in Italy and the United States to be registered with the department on an approved list of offshore treatment providers. Only treatment providers who meet the department’s requirements will be eligible for registration.
The department will only accept BMSB treatment certificates from treatment providers included on the approved list of offshore treatment providers during the 2018-2019 BMSB season.
Offshore treatment providers who intend to become an approved treatment provider for conducting BMSB treatments in the upcoming season will need to:
- Notify the department of their intent to register as soon as possible by submitting a Notification of Intent. This form can be found on the .
- Complete an application form for the Offshore BMSB Treatment Providers Scheme. As part of this application, they will be required to provide a range of documentary evidence demonstrating their eligibility. The application form will available on the department’s website in July 2018.
Clients are requested to advise offshore treatment providers that conducted BMSB treatments during the 2017-2018 BMSB season to notify of their intent to register as an approved treatment provider. This will ensure all offshore treatment providers are aware of the impending changes and are given adequate opportunity to register with the department prior to the commencement of the 2018-2019 BMSB season.
The department has developed a system to prevent the use of fraudulent certificates. Consignments that arrive in Australia with a fraudulent certificate, or with a certificate from a treatment provider that is not approved, will be identified and directed for onshore treatment, export or disposal in an approved manner.
USA - Wood Packaging Materials Requirements - Penalty Enforcement
USA Wood Packaging Materials (WPM) compliance came into effect on the 1st November 2017, where responsible parties with a documented WPM violation may be issued a penalty. United States Customs and Border Protection (USCBP) is responsible for enforcing regulations at all USA ports of entry.
DHL USA are starting to see the USCBP issue penalties as high as $50,000 to USA importers of freight arriving to the USA with non-compliant Wood Packing Material (WPM). USCBP is required to issue the penalty even if the non-compliant WPM is removed and exported. This is a change from the previous published threshold of 5 violations and a penalty can be delayed up to 5 years after the violation occurs.
It is the responsibility of all shippers to be aware of the WPM regulations and that non-conforming WPM are not received or shipped to/through the USA. Any delays, storage, penalties and fees associated with the handling and/or re-export of non-conforming shipments plus air freight charges and standard USA. destination handling fees will be the responsibility of the shipper. Also, if the initial shipment is collect, those collect charges will be the responsibility of the shipper.
For further details please click on the following USCBP links:
- USCBP Wood Packing Material
- 7 CFR 319 - Marking & Fumigation Requirements
- Guidelines for liquidated damages and Penalties for non-Compliant WPM
- CSMS# 17-000609 - Issuance of Wood Packaging Material Penalty
- CSMS# 17-000612 - Updated Wood Packaging Material Penalty Guidance
Chain of Responsibility- Heavy Vehicle National Law
An interpretation of Heavy Vehicle National Law (HVNL) requires businesses to have business practices that will enable business activities to be conducted in a manner that ensures compliance. This requirement has been strengthened when the new HVNL begins on the 1st October 2018.
As a business ask yourself the following question - If I had to, would I be able to demonstrate in a court of law that my business had taken all reasonable steps to avoid a breach of Heavy Vehicle National Law from occurring?
When answering the question identified above the following should be considered:
- Is your business able to demonstrate compliant procedures?
- Are they in a format that can be reproduced and is it accessible to relevant workers?
- Have workers been trained in the requirements of the procedures?
- Is your business able to demonstrate that the drivers and their vehicles departed your site in a manner compliant with the requirements of HVNL?
- Can your business demonstrate a process of reasonable enquiry which confirms supply chain partners follow compliant policies and procedures and have appropriately trained staff and drivers?
- Are all CoR non-compliances recorded and investigated. Are corrective and/or preventative measures identified and implemented?
If you can answer yes to the above questions you are travelling the road to compliance.
As a final comment remember you are only able to demonstrate a reasonable steps defence if you have taken all reasonable steps available (not just some of the steps) or there were no reasonable steps available to prevent the breach.
At DHL Global Forwarding we see CoR compliance as a pillar of our Safety First endeavours and plan to include regular helpful CoR information in our Customer Newsletters. If you require additional information visit the
The NHVR is the administrator of Heavy Vehicle legislation in all states with the exception of Western Australia and Northern Territory (who maintain their own legislative regime). Please for further advice if deemed appropraite.
Ocean Market Trends and Updates
- Container space utilization from Asia is between 90-100%.
- General Rate Increases from carriers announced.
- US land Transport delays for importers and exporters.
- Temporary Emergency Bunker Surcharge is applicable for August.
- Increasing Australian Port Charges.
- Upcoming 2020 Sulphur Limit Regulation.
Container volumes from Asia stabilize
The space situation from Asia has stabilized, however there are some minor delays in Shanghai and Singapore for transhipments. Space utilization is around 80-90%.
OOCL(Orient Overseas Container Line) / ANL (Australian National Line) / Cosco (A3 service) and HMM (Hyundai Merchant Marine) (NEAX service) have announced upgrades to their services from Asia to Australia, but it doesn’t mean increased capacity at this stage.
General Rate Increases:
- New Zealand (Lyttelton/Wellington) to Australia - ANL will implement a GRI (General Rate Increase) of $100 per TEU(Twenty-Foot Equivalent Unit), effective 1st July 2018.
- New Zealand (Auckland/Tauranga) to Australia - ANL will implement a GRI of $50 per TEU, effective 1st July 2018.
Asia to ANZ
- North Asia to New Zealand - MSC (Mediterranean Shipping Company) will implement a GRI of $100 per TEU, effective 1st June 2018.
- North Asia to New Zealand - OOCL will implement a GRI of $250 per TEU, effective 1st July 2018.
- North Asia to Australia - All carriers intend to introduce a GRI of $300 per TEU, effective 1st July 2018.
Swire Shipping - will implement a GRI of $250 per TEU and $15 per R/T, effective 15th July 2018.
- For all containers from Japan, South Korea, Taiwan, Hong Kong, China, Singapore, Malaysia, Vietnam, Indonesia, Philippines, Thailand, India, The Middle East and Europe to Papua New Guinea, Solomon Islands, New Caledonia, Fiji, Kiribati, Marshall Islands, Western Samoa, American Samoa, Tonga, Vanuatu, Tahiti and New Zealand.
- For all containers from Australia / New Zealand to Papua New Guinea, Solomon Islands, New Caledonia, Fiji, Kiribati, Marshall Islands, Western Samoa, American Samoa, Tonga, Vanuatu and Tahiti.
Important to note that these GRI and PSS (Peak Season Surcharge) announcements are the official statements by the shipping lines. Amounts and start dates might vary from shipping line to shipping line.
Introduction of Temporary Emergency Bunker Surcharge
Shipping lines have introduced a Temporary Emergency Bunker Surcharge (EBS) due to unexpected and significant increases in key operational factors.
This charge is applicable globally for imports and exports and has now been confirmed by all shipping lines. This surcharge will be levied on top of the existing rate agreements, and is also in addition to current Bunker Adjustment Factor (BAF).
Implementation day (Sailing Day) is the 1st June 2018 for all countries with the exception of USA and Canada which will be effective from the 1st July 2018.
The EBS will be reviewed on a monthly basis.
Naming conventions by the various shipping lines vary, but they all stand for ‘Temporary Emergency Bunker Surcharge’:
- EBAF = Emergency Bunker Adjustment Factor
- EBS = Emergency Bunker Surcharge
- EFL = Emergency Fuel Charge
- FAF = Fuel Adjustment Factor
- OCR = Operations Cost Recovery
- PSS = Peak Season Surcharge
Following charges will apply
- For General Purpose containers (GP) $60 per 20’ and $120 per 40’ container.
- For Reefer containers (RF) $90 per 20’ and $180 per 40’ container.
- For Less than Container Loads (LCL) a fee of $3 w/m will apply.
Australian Port Charges
Shipping lines are increasing their port charges frequently. In the last few weeks we have received notifications from ONE, OOCL, ANL and Hapag Lloyd. We expect others will follow. The increases and effective dates will vary from carrier to carrier.
Ocean Freight - Online Sailing Schedules
For the latest Import Sailing Schedule or Export LCL Sailing schedule see the following links
DHL Global Forwarding is committed to continuous improvement and we always welcome your feedback.
For further assistance, please contact your DHL Global Forwarding team.