New data requirement may cause delays

ICS, which becomes mandatory for EU destined shipments from 1 January, is an additional customs procedure primarily designed to improve security by providing advance visibility of shipments, explains Wolfgang Schwab of logistics solutions provider Kewill. However, it requires detailed information on goods to be submitted information electronically, in the form of an Entry Summary Declaration (ENS), prior to their arrival within the EU.

This will be used to perform a near real-time risk analysis to inform customs authorities on how to deal with individual shipments, reducing the risk of dangerous or suspicious shipments being admitted.

Although the carriers of cargo will, in most cases, be responsible for the correct electronic submission of the required data to the first port of entry to the EU, ports may well be affected as failure to comply or mistakes in the process potentially causing costly delays.

As Mr Schwab explains, “Usually ports get the data from forwarders and carriers, sending it onto the customs authorities in a proactive effort clear the ships out of the berths. However, this is an extra layer of data exchange – and the information is going to have to be cleared earlier than it has done previously.” Further, he adds, “quality of data” is going to be key to keeping things moving through the terminals.

However, he says, that not all the responsibility is down to the carriers. Mr Schwab said that many delays are caused by the late availability of national customs authorities, “leaving few possibilities for traders to connect until shortly before deadline”, said Mr Schwab, adding some regions still have not completed the needed systems just six weeks before start date.

Despite this, it seems many appear to be relying on the 1 January date being deferred, or leniency from customs authorities during the early days of ICS. So, Kewill says the industry is not making the necessary preparations to ensure systems are in place to comply from day one.

The company warns that, particularly in light of the failed air freight bomb plot which came to light earlier this month, ICS requirements are likely to be rigidly observed, and immediate action must be taken to achieve compliance by the deadline.

Mr Schwab of Kewill pointed out, “Those involved in the shipment of goods who believe it will be possible to carry on providing a manual freight manifest at point of arrival are in for an unpleasant surprise as, unfortunately, are their customers, who will count the cost in terms of disruption.”