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2008/SOM3/CTTF/WKSP/004

Case Study - Overcoming Challenges, Capitalising on Differences: New Zealand’s Secure Exports

Scheme

Submitted by: New Zealand

Workshop on Public-Private Partnership to Counter Terror and Secure Trade

Lima, Peru19 August 2008

(Nicky)

Case Study-Overcoming challenges, Capitalising on Differences

New Zealand’s Secure Exports Scheme

Public-Private Partnership on Counter Terrorism Workshop: August 2008

Presented by:

Tim HornerGroup Manager, Policy

New Zealand Customs Service

Presentation Overview

This presentation will cover:

• Context – New Zealand’s Trade Security Strategy

• Overview on the Secure Exports Scheme (SES) –New Zealand’s AEO programme

• Benefits of Participation in SES

Setting the Scene

New Zealand Environment

Economy reliant on export trade

Geographically isolated (island nation)

Long vulnerable supply chain

Goals and Objectives

GoalMaintain New Zealand’s reputation as a safe & secure trading partner

ObjectivesFormal relationship between government and individual exporters

Minimise costs

Fit for purpose

Internationally recognised secure supply chain

Government Agencies Involved in the Trade Security Strategy Development

New Zealand’s Supply Chain Security Strategy

The Trade Security Components

The trade security components are:Customs Infrastructure:

• Risk management systems

• Advance cargo information to screen goods

• No customs export clearance - No load

• Examination of high-risk cargo prior to loading for export

• Robust legislative mandate(Customs to Customs)

• Inter-agency communication and information sharing

• Agreement to conduct pre-load examination at the request of partner administrations

• Exchanging information on new developments, technical proficiency and training requirements

Reducing Risk –Secure Exports Scheme

Secure Exports Scheme

• Voluntary scheme

• Consistent with the WCO/APEC SAFE Framework (Pillar 2)

• Cooperative partnership between government and industry

• Recognises existing security practices

• Provides confidence through mutually agreed supply chain security practices

• Underpinned by legislative support

Secure Exports Scheme

Essential elements

• Intelligence Assessment

• Data Integrity Audit

• Application, Security Plan,

Process map and Site plan/s

• Physical Site Assessment

Supply Chain Security

SES Security Plan

The Security Plan must demonstrate :

• Export goods are stored/packed in a secure

area and manner

• Security processes around container loading

and seals application

• Internal quality control measures to ensure

accurate record of contents

• Container Seals intact on uplift and delivery to

Port of Loading

Secure Container Seals

Customs Approved Seals

• Mechanical cable bolt seal Megalock MLC250

• Electronic cable bolt seal ISIS MCL-ES

Benefits of Participation

Benefits for industry from SES participation include:

• Less risk of delay from Customs intervention and inspection

• Partners better positioned at international borders

• Greater predictability and confidence in supply chain

• Reduced customs entry transaction charge• Front of line treatment by NZCS• Greater supply chain predictability

The Future

Current export focus- widening of programme contingent on clear benefits identified for all parties

Focus on trade recovery planning

Contribute to ongoing development of global best practise- WCO SAFE Framework and APEC Trade Recovery Programme

We do not have all the answers –ongoing engagement with traders and other administrations

NZ will continue to work towards mutual recognition with other administrations- and apply the learning that comes from this process

Summary

NZ applies a layered system of risk management to achieve Supply Chain Security

A cooperative approach with both business and across government allows for a supply chain to be both efficient and secure

Robust legislation and Customs-to-Customs trade security components provide the necessary foundation for a trade security programme

Thank You