Australian Industrial Chemicals Introduction Scheme to commence 1 July 2020

Dear Customers,

We have received confirmation that on 1 July 2020 The Australian Industrial Chemicals Introduction Scheme (AICIS) will replace NICNAS on 1 July 2020 as the new national regulator of the importation and manufacture of industrial chemicals in Australia.

Anyone who imports or manufactures industrial chemicals into Australia for commercial purposes must register their business with AICIS and pay a fee as well as categorise each chemical importation or manufacture.

The ban on the use of new animal test data for ingredients solely used in cosmetics will also begin on 1 July 2020.

For further information please refer here.

Kind Regards,

SILA Customer Service


Australian freight forwarder

SILA Global - Coronavirus Weekly Update 08/05/2020

08/05/2020

Dear Reader,

Please find below weekly update of major international hubs experiencing COVID-19 restrictions:

Canada: Working as normal - limited air space

China: Working as normal - limited space & higher air rates and congestion starting to clear. Permits needed between Hong Kong & Shenzhen & strict policies on export of medical supplies.

France: partial lockdown extended to May 11 - air freight very difficult with all contract rates cancelled and cancellation fees to apply. Sea freight mostly OK with reduced working hours. Essential production OK, non-essential is decreased or short term shut down.

India: Complete lockdown extended until 17 May– essential cargo but permits required. Air space drastically affected, sea freight affected by less capacity, some port closure, quarantine requirements and port congestion. Domestic transport for essential services only. Some agriculture, manufacturing & construction allowed to resume work.

Indonesia: Partial lockdown extended until end of May – working with decreased hours/less capacity. Air rates are high with some services suspended. Domestic transport operating as normal.

Italy: Limited air space, Sea freight stable. From 27/04 companies with >50% export business can reopen and from 04/05 all companies can reopen with social distancing and hygiene requirements.

Germany: Partial lockdown - air space is extremely limited and sea freight is mostly OK. Most factories are shut except essential services. Biggest concern is driver shortage and storage shortage.

Korea: Social distancing in place – unstable schedule & limited space however domestic transport not affected.

Malaysia: Partial shutdown in place extended to 12/05 – essential services are OK however non-essential requires exemption. Less air/sea capacity & transport requires permits. Face masks controlled item - restricted for export.

New Zealand: Some lifting of restrictions moving to Level 3 - to be reviewed in 2 weeks.  Essential services OK, some businesses now allowed to open and will allow for cargo deliveries to take place.

Peru: Partial lockdown in effect. Air & sea freight OK however with delays.

Philippines: Partial shutdown extended to 15/05. There is less space, unstable schedules and transport requires permits. Port congestion in Manila.

South Africa: Government lockdown extended until 30/04. Supply chain for essential services is OK

Taiwan: Working as normal, with some restrictions still in place until mid May – limited space & higher air rates

USA: Working as normal – some partial shutdown in some areas. Air freight is tight, sea freight is operating as normal. Factories mostly working but with limited hours.

UK: Lockdown extended to May 7 - air space heavily reduced - no contract rates. Sea freight working as normal. Essential services working ok, non essential working limited hours/staff.

Vietnam: Some lifting of restrictions in South Vietnam. Medical supplies allowed to be exported in limited volumes. Less capacity, subject to blank sailings as a result of diminishing export volume and limited flights. Transport subject to health check points.

Please also find below latest update from the FTA:

China - Update

Our sources from China have provided us with the following updates

  • As at May 5 there are 634 confirmed cases and 947 cases with no symptoms in China. Only 15 cities have cases which were confirmed cases. Nanshan Zhong, a member of the Chinese Academy of Engineering, described that the Basic reproduction number(R0) of Coronavirus is around 3, which is higher than SARS and MERS.
  • According to Sea Intelligence, due to COVID19 combined with Labor day holiday in China, last week the vessel cancellation had increased dramatically (from 45 to 212), and expecting 3,000,000 TEU capacity will be cancelled in coming couple of weeks
  • Name List of Non-Medical Use Face Masks Companies with Certification/Authorization from other Countries
  • Name List of Medical Devices and Supplies Companies with Certification/Authorization from other CountriesGeneral  Updates
  • Europe - Ports operational in most countries but processing is slow. Italy & Spain, restrictions starting to ease but caution still to be undertaken with social distancing and hygiene procedures to be followed. France, some restrictions expected to be eased on May 11 however the health emergency has been extended till late July.
  • United Kingdom - Lockdown restrictions are expected to be reviewed later this week by British PM, Boris Johnson, at which time he is expected to provide a "road map" for the road to recovery.
  • India
    Private office work and industrial and construction activity are allowed in limited capacity, even in "red zones" or infection hot spots - where restrictions were the strictest - like Delhi. - Lockdown restrictions extended till May 17.
  • The Central Board of Indirect Taxes and Customs (CBIC) have extended the facility given to businesses to import and export goods without furnishing bonds to the Customs authorities till May 15.
  • South East Asian Ports - please refer the chart HERE for an update on a number of other South East Asian countries

European Union
Responses to the Covid Crisis have been implemented at a national level rather than EU level which has seen different strategies followed across the EU. Even national borders between countries party to the Schengen Agreement on passport-free travel were closed to movement of people and have resulted in some delays to road freight movements as credentials are checked. The GSF Secretariat has found a website monitoring the length of borders delays in real time across the EU, including the UK to be useful. To facilitate trade flows and continuity of logistics operations, the European Commission published Guidelines on the operation of ‘Green Lanes’ at border crossing intended to fast-track essential goods through Customs and other formalities. It has also produced a searchable database of the support measures being adopted by each member state during the Crisis, as well as an exit strategy for managing a return to work and the reopening of public institutions and facilities, once the pandemic has eased

Seafreight commentary - is there a reduction in volumes coming our way?
In recent updates we have reported feedback from shipping lines that inbound volumes to Australia were predicted to ease off in early / mid May and continue low through to end of June in some cases. However in a ring around of lines earlier this week the figures for vessel capacity particularly from China  is running, in most cases, above 90%. Most lines said they were managing capacity, sailings and rotations, to meet demand. The feeling was that businesses were pre-empting an opening back up of the economy and that there may be an end of financial year (EOFY) surge for people  / companies to make purchases in a "sales" market. At this stage trade from China was expected to be strong through to end of May / early June.

Other South East Asian ports were softening for exports to Australia but not significantly.

European trade was steady but expected to taper off 10-15% late May / early June. Whilst USA trade expected to be down 10% - 20% late May depending on which coast cargo was coming out of.

Export market from Australia was still strong across most commodities.


Freight forwarder Australia

SILA Global - Coronavirus Weekly Update 01/05/2020

01/05/2020

Dear Reader,

Please find below weekly update of major international hubs experiencing COVID-19 restrictions:

Canada: Working as normal - limited air space

China: Working as normal - limited space & higher air rates and congestion starting to clear. Permits needed between Hong Kong & Shenzhen & strict policies on export of medical supplies.

France: Lockdown in place - air freight very difficult with all contract rates cancelled and cancellation fees to apply. Sea freight mostly OK with reduced working hours. Essential production OK, non-essential is decreased or short term shut down.

India: Complete lockdown extended until 3 May– only medical, food & approved items allowed to move subject to medical screening. Air space drastically affected, sea freight affected by limited staff, less capacity, some port closure, quarantine requirements and port congestion. Domestic transport for essential services only. Some agriculture, manufacturing & construction allowed to resume work.

Indonesia: Partial lockdown extended until end of May – working with decreased hours/less capacity. Air rates are high with some services suspended.

Italy: Limited air space, Sea freight stable. From 27/04 companies with >50% export business can reopen and from 04/05 all companies can reopen with social distancing and hygiene requirements.

Germany: Partial lockdown - air space is extremely limited and sea freight is mostly OK. Most factories are shut except essential services. Biggest concern is driver shortage and storage shortage.

Korea: Social distancing in place – unstable schedule & limited space however domestic transport not affected.

Malaysia: Partial shutdown in place extended to 12/05 – essential services are OK however non-essential requires exemption. Less air/sea capacity & transport requires permits. Face masks controlled item - restricted for export.

New Zealand: Some lifting of restrictions moving to Level 3 - to be reviewed in 2 weeks.  Essential services OK, some businesses now allowed to open and will allow for cargo deliveries to take place.

Peru: Partial lockdown in effect. Air & sea freight OK however with delays.

Philippines: Partial shutdown extended to 15/05 – some zones have suspended business. There is less space, unstable schedules and transport requires permits. Port congestion in Manila.

South Africa: Government lockdown extended until 30/04. Supply chain for essential services is OK

Taiwan: Working as normal – limited space & higher air rates

USA: Working as normal – some partial shutdown in some areas. Air freight is tight, sea freight is operating as normal. Factories mostly working but with limited hours.

UK: Lockdown extended to May 7 - air space heavily reduced - no contract rates. Sea freight working as normal. Essential services working ok, non essential working limited hours/staff.

Vietnam: Some lifting of restrictions in South Vietnam, extended in North Vietnam. Medical supplies allowed to be exported in limited volumes. Less capacity, subject to blank sailings as a result of diminishing export volume and limited flights. Transport subject to health check points.

Please also find below latest update from the FTA:

Have we found the straw to break the camels back?

Reports over the weekend indicate that we will see a relaxation of restrictions in some states due to decreased reporting of new infections. This provides hope to many businesses that they too will soon be allowed to open back up which in turn will create jobs and again stimulate the economy.  Training institutions dependent on international students, tourism and hospitality, will no doubt have to wait some time before they see an influx of overseas visitors. So it will be up to Australians to stimulate that sector when intra-interstate travel is once again allowed.

In terms of trade, indications are that low import volumes for May will extend possibly into June / July from China as well as reduced exports from the USA and Europe may further impact the freight and logistics industry. Unfortunately recent days have seen more staff / management put off in some of these businesses and with no decision still on our request for deferral of duties, taxes and gst many SMEs will feel the pressure of carrying financial liabilities. We are also hopeful that our Cash Flow Boost and JobKeeper advocacy will ensure that members can maximise the financial relief offered via these schemes to also support SME’s in our sector of commerce.

China - Update

Our sources from China have provided us with the following updates

  • China continues to test non-symptom patients to control community transmission. April 27, the government announced that there is no longer any COVID-19 patients in ICU in Wuhan. Heilongjiang’s breakout is also under control now. However, experts from Beijing University are expecting the virus will exist in the long term.
  • Chinese Customs are continuing to monitor medical exports. Since April 26, Chinese Customs have tightened the export of non-medical masks refer  quality control notice No 12, Ministry of Commerce of the PRC. The government also released White list related to the medical and non-medical suppliers. Customs clearance will be different if suppliers are not on the white list and inspection will be mandatory with importer’s declaration required.
  • April 24 - At the Port Authorities Roundtable (PAR) hosted by Maritime and Port Authority of Singapore, 19 ports committed to keep operating during COVID19 outbreak, including three ports from China - Shanghai port, Ningbo Port and Guangzhou Port.
  • According to Ministry of Transport of PRC (April 22), for the first season the volume of Chinese’s foreign trade is 95.4% comparing to first season of 2019. In March, China ’s port cargo throughput was 1.098 billion tons, an increase of 36% from February ’s 806 million tons, of which foreign trade cargo throughput was 354 million tons, an increase of 16% from February ’s 305 million tons, and container throughput was 2047. 10,000 TEU, an increase of 49% from February ’s 13.72 million TEU.
    The foreign trade of nine of the top ten provinces has decreased in the first season.
  • The General Office of the State Council of PRC has suggested 2.5 day weekends, some local governments are following the direction , such us Anhui province and Zhejiang province, some cities in Jiangsu, etc. The actions are not mandatory but clearly designed to stimulate the local economies of the provinces. The revised hours will no doubt have some impact on Chinese businesses operation hours.General  Updates
  • North America- All Port Terminals will prioritise essential products (medical goods) movements over non-essential goods. However, cargo is still flowing into/in US and Canada. Terminal operators are preparing now to prevent anticipated cargo surge in May and June by offering on-terminal storage space for containers carrying non-essential merchandise.
  • Europe- not dissimilar to the USA, Ports operational in most countries but processing is slow. Italy, restrictions starting to be lifted - export factories and public construction now open and the majority of Italy's industry will start to open from May 4.  Spain, businesses and factories now back at work as are many government agencies. However restrictions are still in place for retail stores, entertainment and leisure activities.
  • United Kingdom- Lockdown restrictions have been continued through to May 7 and will be reviewed at that time. All non essential shops close - supply chain still operating but a number of businesses are working from home which is impacting cargo delivery.
  • New Zealand - New Zealand transition to stage 3 lockdown with businesses to open back up and allow deliveries from cargo terminals to be less impacted.
  • India- Lockdown extended till May 3 - some workers in the areas of agriculture, manufacturing and construction allowed to go back to work. internal "border" restrictions in place as "cases" are identified as coming from specific areas.The Central Board of Indirect Taxes and Customs (CBIC) on Tuesday extended the facility given to businesses to import and export goods without furnishing bonds to the Customs authorities till May 15 in view of the extension of the lockdown period till May 3.

Economic Update                              
"Markets continued to recover lost ground, as economies around the world begin to re-open. Optimism is relatively high, as business gets the cautious green-light in parts of Europe and the USA. Once economies re-open, the extent of the devastation that the economy has suffered, will start to be revealed.
A look at Australian CPI data today, will be a gauge of inflationary pressures and growth, while NZ trade will reveal how adversely imports and exports have been impacted"

- See the full daily update HERE // see weekly update HERE

Airfreight Update
The $110 million International Freight Assistance Mechanism (IFAM) is underway with some 550 requests for support from Agriculture and Aquaculture business now lodged and ready for assessment. Already some 6600 tonnes of cargo has been assisted by Austrade in moving out of Tasmania, New South Wales, Victoria, Queensland and Western Australia. As well as the $110 million IFAM program specific businesses (exporters or freight forwarders not part of the approved panel) can apply for grants or block requests for space provided the products meet the criteria. As for import space is is strictly limited to medical supplies and is and driven through the 6 nominated forwarders or directly by the Australian government.

If your goods, import / export, do not meet the IFAM guidelines please continue to review the FTA COVID- 19 Air Cargo bulletin board to advertise your space availability or needs.

* IATA - Air Cargo action
* IATA - Government measure related to COVID-19 - search country specifics
Business Operations
Statements from Senator the Hon. Michaelia Cash
* Weekly Wrap - 240420
* COVIDSafe APP
Assistance available to Small Businesses ( with state links )
Supporting  businesses to retain jobs - Jobkeeker payment

Transport & Port Updates
Transport for NSW
Victoria - Department of Transport
Port of MelbournePort Supply chain contingency planning update
Queensland - COVID-19 freight & export market update bulletins
Freight & Logistics Council of WA - COVID -19 web site

WCO updates
* Joint WCO-IMO statement on the integrity of the global supply chain
during the COVID-19 pandemic
* WCO and WTO join forces to minimize disruptions to cross-border trade in goods
WCO - Temporary Import Supports and Export Restrictions lists by country

Essential Services
South Australia - government response to request for inclusion of the "freight & logistics"  chain to be included as an "essential service"

Ensuring Employee Health & Communications during Crisis Management
Every one of our clients is wrestling with managing a largely remote employee workforce in the middle of the COVID-19 outbreak.  Providing basic safety and security information about your teams to management, and allowing management to easily communicate with their employees working from home has become more important than ever before. And the need is immediate and now. read full article HERE     

Workplace Relations                               

Ed Mallett, Founder & Managing Director - Employsure, conducts a live stream each day on COVID-19 issues - see the facebook link HERE - to catch previous session click HERE

There are also links to a range of support material on their website including the new JobKeeper HELP product refer fact sheets below - for more on how to access this offer please contact Lee Senft or call 1300 651 415
JobKeeper HELP
Fact Sheet 

Please note the below links for up dated information

FURTHER INFORMATION

FTA suggest members / industry maintain close relations with their forwarders, agents, shipping lines, clients and suppliers / agents globally to ensure they have the latest information available. This is a time for review and planning not for panic.

FTA will continue to monitor issues surrounding the coronavirus and keep members updated as necessary.

WORKING TOWARDS A POSITIVE OUTCOME!

John Park - Head of Business Operations, FTA / APSA


Shipping Containers Logistics Australia 2

SILA Global – COVID-19 Weekly Update 16/04/2020

16/04/2020

Dear Reader,

Please find below weekly update of major international hubs experiencing COVID-19 restrictions:

Canada: Working as normal - limited air space

China: Working as normal - limited space & higher air rates

India: Complete lockdown extended until May– only medical, food & approved items allowed to move subject to medical screening. Air space drastically affected, sea freight affected by limited staff, less capacity, some port closure, quarantine requirements and port congestion. Domestic transport for essential services only.

Indonesia: Partial lockdown extended until 31/04 – working with decreased hours/less capacity. Air rates are high

Italy: Limited air space, Sea freight stable. Essential services not affected and non essential services may operate by special request

Germany: Partial lockdown - non-essential services shut until April 20. Limited air space.

Korea: Partial shutdown – limited space & vessel delays

Malaysia: Partial shutdown in place extended to 28/04 – essential services are OK however non-essential requires exemption. Less air/sea capacity.

New Zealand: 4 weeks lockdown until 23/04 - essential services OK

Peru: Isolation required until 13/4. Air & sea freight OK however with delays.

Philippines: Partial shutdown extended to 30/04 – some zones have suspended business. There is less space, unstable schedules and transport requires permits. Port congestion in Manila.

South Africa: Government lockdown extended until 30/04. Supply chain for essential services is OK
Taiwan: Working as normal – limited space & higher air rates

USA: Working as normal – some partial shutdown in some areas. Air freight is tight, sea freight is operating as normal.

UK: 3 week lockdown in place with all non essential shops closed. End delivery points impacted by lockdowns but supply chain still open Air space heavily reduced with no contract rates.

Vietnam: Partial shutdowns in place. Less capacity, subject to blank sailings and limited flights. Transport is subject to health check points. Medical supplies & rice restricted for export.

Freight & Trade Alliance Weekly update.

The latest update from the FTA can be found here: https://www.ftalliance.com.au/news/17995

We recommend you read the latest FTA update for full industry coverage.


Queensland freight

SILA GLOBAL EMERGENCY STORAGE OPTIONS

15/04/2020

To our valued customers,

With the continued uncertainty of supply chain integrity due to the COVID-19 pandemic, SILA Global has negotiated storage options in the following major logistics hubs:

Adelaide
Darwin
Brisbane
Fremantle
Melbourne
Newcastle
Sydney
Townsville

Storage solutions we are able to offer include:
FCL Bond
FCL cleared cargo
LCL Bond
LCL cleared cargo
3PL
Pallets
Steel coils
Steel sheet
Steel long products (indoor & outdoor)

Project:
Hardstand
Odd sized & oversized

Please note that storage of FCL containers does not include shipping line container rental charges. These agreements should be negotiated and agreed to prior to the time of shipment. If you need assistance with these negotiations the SILA team are here to help.

If you require any of the above services please contact:

Michael Brook: 0415 717 114
Jackson Hewitt: 0410 927 746
Jason Stockwell: 0434 562 201


Freight forwarding companies

SILA Global - COVID-19 Weekly Update 07/04/2020

Dear Reader,

Please find below weekly update of major international hubs experiencing COVID-19 restrictions:

Canada: Working as normal

China: Working as normal, limited space & higher air rates

India: Complete lockdown until 14/04 – only medical, food & approved items allowed to move

Indonesia: Partial lockdown until 14/04 – working with decreased hours/less capacity. Air rates are high

Italy: All but essential services shutdown

Germany: Space is extremely limited, non-essential services shut until April 20

Korea: Working as normal – limited space & vessel delays

Malaysia: Partial shutdown in place – essential OK, non-essential requires exemption. Less air/sea capacity

New Zealand: 4 weeks lockdown - essential services OK

Peru: Isolation required until 13/4. Air & sea freight OK however with delays.

Philippines: Partial shutdown – some zones have suspended business.

South Africa: Government lockdown until 16/04 – partial shutdown in place. Supply chain for essential services is OK

Taiwan: Working as normal – limited space & higher air rates

USA: Working as normal – some partial shutdown in some areas

UK: 3 week lockdown in place with all non essential shops closed. End delivery points impacted by lockdowns but supply chain still open

Vietnam: Partial shutdowns in place – delays and less capacity

Please also find below latest update from the FTA

China - Update
Our sources from China have provided us with the following updates:

China has started to release the restrictions in Hubei province step by step as mentioned last week, the city should be back to normal from April 8. Currently, China have over 771 imported cases, and local new cases in the last week is less than 20.

According to Beijing Daily, March 31, Chinese government are starting to monitor all back to work companies and factories to reduce the possibility of a second wave. Most of the big cities are keeping entertainment facilities either closed or in some cases partially back to normal business.
According to a study at the RENMIN UNIVERSITY of CHINA, the GDP increase rate for China will be 3%-4% in 2020, due to the impact of the coronavirus. It will trigger the possibility of a Global Economy downturn.

CCTV news March 29, the productiveness of the majority of eastern and southern provinces is back to around 90%. Some big cities are close to 100%, such as Shanghai, Guangzhou, Beijing etc.

Normal trains services have started back in Hubei province, so the human resources from Hubei province are going back to other provinces to fill the demands (Xinhua news March 30). However, the Health checks and control policy are still being implemented.

According to chinaports.org March 27, from March 9 thru 15 the average throughput increased over 10% for all the ports in China compared to the previous week. From March 16 thru 22 most of the ports kept the same numbers. From March 16 Wuhan port is also back to operating.
However, according to many sources the rebounding of Chinese exports at the end of March and April is not as strong as expected, due to Global pandemic situation.

Maritime Strategies International (MSI), on March 30, also warned the whole forwarding industry that at the beginning of May there will be a big downturn again, as Europe and USA are locking down and stopping or slowing down their overseas purchases.

General Updates
Dubai - Dubai government has established a "work from home" module from March 25 thru April 9. Also note no PAX flights into / out of Dubai, with exception of freighters. Dubai Customs will have limited staff so expect delays.

India - Lockdown March 25 for 21 days - borders closed and only essential services and goods moving - delays can be expected to cargo movement in / out of the country

New Zealand - New Zealand has announced a move to "level 4" lockdown for a period of 4 weeks commencing Wednesday March 25. - essential goods have no restrictions - non essential goods are being moved dependent on consignee availability / compliance - some shipping lines / stevedores accepting requests for relief of demurrage / detention

South Africa - Lockdown March 27 till April 16 - strict controls only allowed to leave home for medical care / food shopping / medicine etc - supply chains involved in providing essential goods to essential services ok to work

Spain - Lockdown March 31 thru April 9 - essential services only (supply chain particpants in these areas can work)
United Kingdom - Lockdown March 23 and will be assessed in 3 weeks - all non essential shops close - supply chain still operating but a number of businesses are working from home which is impacting cargo delivery

Impact on Shipping *Update* -
In response to the COVID-19 coronavirus outbreak, a number of countries, ports and organisations are publishing details of the measures being put in place. Please review the link as required. https://www.nepia.com/industry-news/coronavirus-outbreak-impact-on-shipping/


Shipping Containers Logistics Australia

COVID-19 Weekly Update 25/03/20

Dear Reader,

SILA Global is a member of Australia’s peak body group FTA. The below information is supported by our own contact with partners, please click on any highlighted comments for further information. Additionally we can advise:

Canada: No restrictions for shipping and logistics industry, however shipping space is tight, and air services very restricted by capacity. Pressure could mount on storage facilities, and container yards

Korea: No restrictions for shipping and logistics industry, however shipping space is tight, and air services very restricted by capacity

Taiwan: No restrictions for shipping and logistics industry, however shipping space is tight, and air services very restricted by capacity, all business unaffected at this stage.

Please contact your SILA Global representative for any special needs - communication is vital during this period.

"LOCKDOWN" what does it mean??

We would have all now seen the announcements from the Federal government and a range of states and territories that they have declared a "lockdown" and specified, particularly in relation to places of gathering, that they must be closed as well as noting requirements for people crossing borders. Of course the world cannot STOP and essential services will be required to operate so that the community can access food, petrol, pharmacies, medical facilities, etc.

Ports and Airports (more on that later) will continue to operate and the associated logistics chain will be required to support the clearance and movement of freight so supplies are maintained. Whilst Forwarders, Customs Brokers, Depots etc have not been specifically mentioned, Freight & Trade Alliance (FTA) have sought assurance from the respective states, territories and national government that they all form part of the logistics chain and will be seen as essential services.

China - Update
Our sources from China have provided us with the following updates

• The situation in China is much better now with new confirmed cases being mostly overseas travelers. There have been some non symptom infection cases identified as well as some who had been cleared only to be re tested as positive. However, the number of these types of patients are low and are being well managed.
• According to Chinese Government check points on roads have been reduced so most motorways/Highways are back to normal operation now. However, Hubei province still subject to regional restrictions

• All provinces are trying their best to get back to normal production level, including Hubei province. Hubei province has started to release people to other provinces, however most of the travelers are required to quarantine 14 days, before going back to the office or factory. The Government is planning to totally unlock Hubei province around April 8.

• Most of Provinces in China have announced they expect business and lifestyle back to normal in 2-3 weeks. Currently, the average of the productivity in China is back to above 70%, however that calculation includes Hubei province so in fact the average in other provinces is much higher (according to CCTV news).

• Maersk line and MSC have confirmed they are using MSC Mia to carry the empty containers from China to USA .

• According to Chinese Government, all the Chinese ports will not implement 14 days quarantine period for shipping vessels unless special concerns begin to be raised.

Europe Update
• Many European ports are still experiencing blank sailings and the very fluid dynamic of the situation at various land borders is having an impact on sea logistics businesses is becoming more noticeable. The lack of sailings from Asia has, as we have noted before, created an equipment imbalance, with high demand for exports from Europe not being able to access empty containers. Ports are operational albeit a slightly slower process than normal and cargo operators are able to work. As the situation develops in each country we will likely see, as we have in Australia, a range of new regulations and restrictions.

• South East Asia
As the situation expands various governments are instigating various levels of restrictions. In the Philippines, Luzon (Manila), Visayas (Cebu) and Mindanao (Davao) had been placed under a state of "enhanced community quarantine". Obviously this will impact operations due to the restricted movement.

In Malaysia and India lockdowns have been announced and all non-essential manufacturing, government and private business premises in these countries are not operating. Essential services, as is the case in most countries, such as ports and logistics companies, continue to operate.

• New Zealand
New Zealand has announced a move to "level 4" lockdown for a period of 4 weeks commencing Wednesday March 25.

• Italy
We are advised that the Italian government has now enforced a lockdown from March 25 thru April 3 in an effort to contain the COVID 19 pandemic.
Ports and those involved in the food industry and transport (logistics) for essential services will not be impacted. All factories, we are advised, with the above exceptions have been told to complete all orders / shipments prior March 25 and then lockdown.

Impact on Shipping *Update* -
In response to the COVID-19 coronavirus outbreak, a number of countries, ports and organisations are publishing details of the measures being put in place. Please review the above link as required.

Economic Update

The coronavirus continues to spiral out of control, as the global epidemic spreads with New York cases accelerating, as it looks like Europe may be peaking. The plan was to ‘flatten the curve’, so the emergency health services can cope, thus feeding those infected into spare capacity over a longer period

Markets await US legislators and closely monitor the explosion of new cases in the US. The tsunami is rolling towards us and time will tell how effective the Governments actions are.

See the full update HERE

Shipping / Depot Updates
• Containerchain Extends Payment Terms During COVID-19 Crisis - CTAA negotiated a payment terms extension to 21 days by Containerchain to assist with landside transport cash-flow concerns due to the COVID-19 crisis. - see full article HERE
• Container staging – whilst we may have concern about office closures there is also the real possibility that importer warehouses / 3PL facilities may also face a shutdown. In this situation transport operators may be faced with collecting containers and staging prior to delivery when a facility re-opens. Do transport companies have sufficient hard stand space to handle this and still run their operation efficiently?
If you have hardstand space available to assist in such circumstances please let us know so we can keep members updated.

Airfreight update
As referenced in our last weekly update the global airfreight capacity has been decimated by the grounding of a large percentage of passenger aircraft. Whilst we still have charter aircraft and dedicated freighters these alone will not accommodate all the required movement of cargo.

Whilst many larger businesses have managed to secure arrangements for charters or use of passenger aircraft as cargo flights there are many SMEs out their that do not have the volume to justify such an outlay.

To that end FTA now has a service to support other forwarders who are also contemplating chartering aircraft but may not have the necessary volume requirements to be commercially viable.

The solution is simple in the form of bulletin board titled “COVID-19 Air Cargo Bulletin Board” whereby industry can communicate with each other to advise freight space availability or requirements refer HERE.

As a contribution to Australian trade and community, FTA will host this service as long as required on a free of charge basis available to all of industry.

Risk Management

From James Cotis - Principal, at Logical Insurance Brokers -
"Participants within the logistics industry may hold Business Interruption (BI) cover as part of their overall insurance program. BI cover (if selected) is usually included within standard Business Insurance & Industrial Special Risks (ISR) policies.
Many BI policies will typically include clauses relating to cover provided for “Human Infectious or Contagious Diseases”, with certain sub-limits applying. Although the actual wording of these clauses will differ from insurer to insurer, many will be similar to:" – click HERE to see the full article from Logical Insurance Brokers

Business Operations

1. Economic Response to the Coronavirus
The Federal Government. on Sunday March 22, announced a second stage of measures providing assistance to businesses with a turnover less than $50 million* in the form

(a)Wage Subsidy
The Government is giving eligible businesses a cash payment of up to $100,000 for the period March 2020 to September 2020. That payment will be worth 100% of the tax those small and medium businesses are withholding from their employees salary and wages.

(b)Guarantee on Loans
A new Coronavirus SME Guarantee Scheme was announced to support eligible businesses with loans to be used for working capital purposes granted within 6 months starting 1 April 2020
NB: please see note below re free webinar on this and more Today at midday AEDT

2.Quick links to government support for businesses and households
impacted by COVID-19 - an update from Senator the Hon Michaelia Cash
The Government is acting to cushion the blow from the coronavirus for businesses and households to help them get through to the other side of the crisis as the world deals with the significant challenges posed by its spread
Below I have set out the quick links to the measures available to small and medium businesses, sole traders and households under the $189 billion economic support package announced by the Prime Minister: see article HERE

3."Lockdown" advice from the Australian Government
On Sunday night (March 22), the National Cabinet agreed to move to more widespread restrictions on social gatherings, to be reviewed on a monthly basis. The measures are expected to be in place for at least 6 months. The statement by the Prime Minister following the National Cabinet meeting can be found: HERE

4. CORONAVIRUS – LEGAL ISSUES FOR THE INTERNATIONAL TRADE SECTOR
Russell Wiese and David Thompson of Hunt & Hunt Lawyers last week delivered a webinar to in excess of 300 registered members on the supply chain - commercial and employment law issues arising due to the impact of the Coronavirus - a PDF copy of slides and access to the recording is available HERE.

4. CORONAVIRUS - GOVERNMENT AID - TODAY WED MARCH 25
Phil O'Toole, Managing Director of Centium will TODAY (12pm AEDT 25 March 2020) present a webinar outlining the Federal and State Governments Business Support Measures designed to assist your business during these uncertain times with the Coronavirus within our shores - register NOW HERE - a recording will be made available if you cannot attend

Workplace Relations

Ed Mallett, Founder & Managing Director - Employsure, conducted a live stream last week to address " What's next for employers?" - Ed addressed;
• Help your business navigate COVID-19
• Prepare for an uncertain future
There are also links to a range of support material on their website - see full recording HERE

Please note the below links for up dated information
• Latest Shipping notifications
• Loadstar web site – broad coverage of a range of related issues globally
• ABF update on advice to commercial vessels - March 20
• CCIWA - COVID-19 response website
• WCO: COVID-19 Urgent Notice: counterfeit medical supplies and introduction of export controls on personal protective equipment
• New Updates from Department of Health
• Last week, the World Customs Organization (WCO) announced they had published a dedicated web page "to update Members and the general public about WCO's tools, instruments, recommendations, as well as an HS Classification reference document for COVID-19 medical supplies among others. Remember that regulators and masks that are intended for medical purposes or make medical claims may be regulated by TGA in Australia and similar authorities in other countries such as the FDA in USA.

Business Continuity Plans (BCP)
Please see below responses from government agencies and terminal operators as to their processes to manage full shutdowns of part or all of their facilities. The lists can be found HERE

We will continue to liaise with these organisations and provide updates as they are received, as well we suggest you monitor their respective websites

FURTHER INFORMATION
NB: In case you missed it FTA now have all coronavirus (COVID-19) updates on one page on the website for you convenience - please see HERE

FTA suggest members / industry maintain close relations with their forwarders, agents, shipping lines, clients and suppliers / agents globally to ensure they have the latest information available. This is a time for review and planning not for panic.

FTA will continue to monitor issues surrounding the coronavirus and keep members updated as necessary.

Stay Well and Stay Healthy

John Park - Head of Business Operations, FTA / APSA


Shipping Containers Logistics Australia 2

DP World Infrastructure Surcharge - COVID-19 measures

Dear Customers,

DP World announce adjustments in Infrastructure Surcharges - differentied charges introduced for import and export

SILA Global note the announcements made by DP World Australia (DPWA) on Friday 27 March 2020 scheduling further adjustments to their Infrastructure Surcharge regime (now more appropriately referred to as “Access Charges”).

DPWA claim that the changes are in response to the COVID-19.

West Swanson Terminal (Effective 1st May 2020)

Export Containers - $84.50 per full container (exclusive of GST)

Import Containers - $130.00 per full container (exclusive of GST)

Fishermans Island Terminal (Effective 1st May 2020)

Export Containers - $84.50 per full container (exclusive of GST)

Import Containers - $114.50 per full container (exclusive of GST)

Port Botany (Effective 8th May 2020)

Export Containers - $84.50 per full container (exclusive of GST)

Import Containers - $117.10 per full container (exclusive of GST)

Kind Regards,

SILA Customer Service


Freight forwarder Australia

Original Bills of Lading During COVID-19 Pandemic

Dear Customers,

During these current times of uncertainty we have received a few inquiries in regards to Original Bills of Lading (OBL’s). At this point in time we are highly recommending that Bills of Lading are being issued as Telex Release at time off Bill printing where possible. If this is not an option with supplier then alternatively the Original Bill of Lading could be surrendered by the Supplier back to the origin Load port issuer (where possible). This may assist in the event of possible increases or disruption to postal and courier services which could result in delay of OBL’s being delivered to your office.

Added to that some shipping lines are consolidating there OBL lodgement area to one state or office while their other state offices are shut and employees work from home. Again we cannot guarantee that OBL’s will arrive in time under these circumstances should there be unforeseen disruptions to courier and postal services. We have also begun to see some shipping lines accept Scanned OBL’s along with a fully signed Letter of Indemnity however this is a decision that will be made by each line individually and we do not know if all lines will make this option available.

We are aware that a lot of our customers transact using Letters of Credit which in most cases require full sets of Original Documents to be issued. If possible please discuss with your bank contacts and LC parties options that may be available for Telex Released Bill of lading where possible.

In any case, as always, SILA will undertake the distribution of OBL’s in the best manner possible under the conditions at that time.

Best regards,

SILA Customer Service