Importance Of The CTPAT

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ITESM Campus Morelia

C-TPAT Homework

Names:

Francys Farias Tapia

Victor De La Torre Velasco

IDs:

A01063394

A01061422

Course:

International Logistics II

Professor:

M.N.I. Ilse Pulido Santiago

Due Date:

September 13th 2012

C-TPAT Homework

1) Characterization

C-TPAT

C-TPAT is a voluntary government-business initiative that helps in the creation of cooperative commerce relationships that strengthens both the supply chains of companies worldwide and the border security of the United States. It’s an effective tool that provides the highest level of cargo security, it supervises all the elements of the supply chain (from the factories to the transportation, even the personnel) and offers the most reliable security guidelines that can help business in consolidating their supply chain and goals.

Any company must be willing to commit both time and resources in order to successfully participate in C-TPAT.

The following companies are eligible to become C-TPAT Certified:

• U.S. Importers


• U.S. Customs Brokers

• Canadian Manufacturers


• Mexican Manufacturers


• U.S., Canadian & Mexican Cross Border Highway Carriers


• Third Party Logistics (3PL) Providers


• Marine Port Authorities & Terminal Operators


• Mexican Long Haul Highway Carriers


• Air Carriers


• Rail Carriers


• Sea Carriers


• Air Freight Consolidators


• Ocean Transportation Intermediaries


• Non-Vessel Operating Common Carriers (NVOCCs)

Italy (Origin)

The EU Customs Security Programme covers activities supporting the development and implementation of measures to improve security through better customs controls.

The Programme introduces efficient security controls to ensure the protection of the internal market and, in close co-operation with major trading partners in the world, with the purpose of enhancing the international supply chain. The Pogramme balances controls with trade facilitation. Merchants that demonstrate efforts to secure their part of the supply chain will be rewarded with benefits such as fewer controls. Mainly called "security amendments", these amendments provide the legal framework for the measures.

Merchants are required to provide customs authorities with information on goods prior to import to or export from the European Union (Pre Arrival / Pre Departure Declarations).

Reliable merchants will benefit from trade facilitation measures through the Authorized Economic Operator (AEO) Programme; a good example is the introduction of a mechanism for setting uniform Community risk-selection criteria for controls, supported by computerized systems.

They are already advancing with the use of electronic information and electronic systems for risk analysis to identify high-risk cargo bound for Europe to improve security in logistics process earlier stage. Also with the new security initiative, customs will be enabled to carry out more targeted controls on high-risk shipments (automated systems as well as new technologies).

Australia (Destination)

*The Office of Transport Security (OTS). The preventive security regulator for aviation and maritime sectors and it’s the main adviser on transport security in Australia. This organization assists on the development of transport systems that are more secure against terrorism and illegal activities.

OTS works with other government agencies, international governments and the aviation and maritime industry to prevent illegal incidents with the following mechanisms:

-Transport security intelligence.

-Transport operations.

-Transport security policy, planning and regulation

-Audit, compliance and security measures.

-Ensuring a nationally consistent approach.

-Complying with international standards.

*Frontline. Australia’s initiative for voluntary cooperation between the Australian customs authority and firms. Its main focus is the exchange of information in order to improve security in the supply chain. Companies need to sign a Memorandum of Understanding (MOU) with the Australian Customs. The MOU reflects the intention of cooperation within these parties against illegal activities and terrorism. This agreement is not legally binding, but it formalizes a cooperation that continually supervises and improves

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