Newsletter: Cargo Forum Day 2018
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Cargo Forum Day 2018—Vision 2020
16th Jan 2018 is an important day for Hong Kong supply chain industry, especially for aviation logistics; 150 participants from the aviation logistics industry, subject expert from Legal, security, trade and compliance subject matters, distinguish guests from academics, industry professional association, and Hong Kong Government (Security Bureau, Customs & Exercise Department) gathered to visualize the ‘2020’ under the global trend and various top concerned supply chain safety and security concerns recently raised, including: 1. ICAO cargo security practice for non-authorised consignor shipment. (Commonly known as ‘security screening issue’) 2. Lithium Battery shipment 2018, and 3. E-commerce Shipment. |
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Supply Chain Security Association (SCSA) hosted the Cargo Forum Day 2018 with the aim to assist industry practitioners to gain insights of the latest trend and foreseeable threats from international experts and be enlightened by the view of opportunities of profitable business and the respective art of approach. The selection of Lithium Battery and E-commerce shipment topics were based on the survey result we done in Q1 of 2017, as well as recent feedback from stakeholders. Understanding the respective art of approach mentioned previously is particularly important as Hong Kong plays the role of the world no.1 air cargo hub. The air cargo industry grew rapidly to handle 4.7mil tonne of cargo annually, within which 65% shipments shipped by China shipper, and 70% of shipment packaging were done outside Hong Kong. As such, the mis-declaration is not merely a customs and aviation security matter, as how our guests put it: |
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“…become a safety matter to Hong Kong and all destinations; It wasn’t difficult to understand the rise of e-commerce shipment brings new threats and opportunity to Hong Kong.” -said by Johnathan Koh, Managing Director, Trade Facilitation Pte Ltd Singapore. |
| As Mr. Stanley Lee, Chairman of E-commerce Association of Hong Kong emphasised, China as one of the major export in the e-commerce world, it’s sure to be a business opportunity for Hong Kong. However, China and us are still facing challenges such as imperfections in supply chain system, shipper’s ignorance of regulations and safety, also customs and declarations issues. |  |
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“New business model is two side blade, possible to enhance the profit by Kung Fu master, present e-commerce and aviation safety and security is chance or threat? Depend on how much you know and how skilful you are.” – Dr. Jeff Yeung, Vice President, Supply Chain Security Association. |
| “Hidden Lithium Battery and its products are a threat to everyone in the supply chain. As the trend of e-commerce and globalized supply chain supplier model continues to grow, latest hidden Lithium battery shipment this season in fashion shipment are commonly found as ‘Thermo-vest Thermo- scarf’ or similar product, seem like everyone can produce anything especially in FMCG supplier.” – Warned by Mr. Maric Cheng, Vice-President, Supply Chain Security Association. |  |
| As a leading fashion port, Hong Kong have around 65% of Electrical and Electronics export, and 20% of fashion products export. The question remains, who pays for the cost of protecting global safety from unqualified hidden lithium battery shipments, whether they are in e-commerce or regular shipment?
The consultation draft of ‘Certified off-airport aviation cargo screening’ done by Security Bureau as a result of ‘ICAO cargo security practice’ is currently circulating within the expert community. This forum serves as an opportunity and an important platform to enable opinion to be exchanged between the policy maker and the industry practitioners. |
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“Biggest problem is ‘No Vision of the Big Picture,” Mr. Jimmy Pang, President, Supply chain Security Association |
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| Most of the people under estimated the impact to them because they have no complete information on aspects of ‘Infrastructure, Technical, Costing, Timing, Political…etc.’, therefore, without policy maker leading, people rather focus on present threats and opportunities. As such, presenting an upcoming roadmap will change the response from the industry, which is critical to explore each possible scenarios for stakeholder. The participation of the industry is the key factor to shape the final policy, no matter technical investment, or possible solutions like central screening, or business framework like known shipper program.
“Cargo Security is not an easy task; different methods have their pro and cons. Applying the right methods not only able to have effective screening, but also enhancing efficiency,” EU experience shared by Mr. Kevin Greene, EU Independent Validator and board member of EVAAS, EU validators Association for Aviation Security. “Huawei cares for the global safety and security supply chain, whether the policy initiated from industry or Government, Huawei have a special team to face the matter. For example, Hong Kong as one of the major hub for their business, we believe our AEO certified companies in Hong Kong will facilitate the trade practice in all aspects (including aviation safety and security and Customs requirement)” Said Aviva Zhang, Senior PR Manager, Huawei Technologies Co. Ltd. |
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| Above is only a slide of event highlight, for further details of each topic, upcoming international event, questions raised by participants and our annual planning, you may find more information on www.scsasecurity.org | |
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| Networking session during Coffee Break, Executive Lunch Exchange and Cocktail Session | |
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| Video cast of the day is available here: cargo-forum-day-2018-video-cast Or view directly for below videos: |
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| Connect with us:
Supply Chain Security Association |
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