Randy Campbell, Secretary General of the National Association of Foreign Trade Zones (NAFTZ), reveals the scope of the global C-TPAT initiative.

The United States Customs Service and the US trade community have developed a program to enhance and maintain effective security processes throughout the global supply chain. The program known as the Customs-Trade Partnership Against Terrorism (C-TPAT) is truly a cooperative effort.

In November 2001, the trade community and the US Customs came together with the common vision to design a new approach to supply chain security that would strengthen the US borders while continuing to facilitate the movement of legitimate trade. The program was an immediate success. To date, more than 1600 companies have agreed to participate in the program. Currently, more than 300 companies are certified as C-TPAT members.

Benefits for all

The C-TPAT program offers businesses an opportunity to play an active role in the global war against terrorism. By participating in this worldwide supply chain security initiative, companies will endeavour to create a more secure supply chain for their employees, suppliers and customers. Beyond these essential security benefits, US Customs will offer potential benefits to C-TPAT members, including:

A reduced number of inspections

An assigned account manager

Access to the C-TPAT membership list

Eligibility for account-based processes (bimonthly/monthly payments, for example)

An emphasis on self-policing, not Customs verifications C-TPAT is currently open to all importers and carriers, customs brokers, freight forwarders, and non-vessel-operating common carriers. Domestic port authorities and marine terminal operators are the next segment of the trade community to be included in the program.

US Customs intends that C-TPAT membership will be made available to all sectors of the supply chain. Customs and the trade community will continue to collaborate to develop the most effective approach for each sector of the trade community to participate in C-TPAT.

The C-TPAT guidelines for importers are similar to the guidelines for other segments of the trade. To participate in the program, importers must develop and implement a sound plan to enhance security procedures throughout the supply chain. Where an importer does not control a facility, conveyance or process subject to these recommendations, the importer agrees to make every reasonable effort to secure compliance by the responsible party. The general recommendations (see box) should be followed on a case-by-case basis depending on the company’s size and structure and may not be applicable to all.

The National Association of Foreign-Trade Zones (NAFTZ) believes that the US Foreign-Trade Zones Program and other secure zone programs throughout the world have an important role to play in securing the world’s supply chain.

C-TPAT information was gathered from sources provided by the U.S. Customs Service. NAFTZ is a non-profit organisation composed of public entities, individuals and corporations involved in the US Foreign-Trade Zones program. The NAFTZ promotes the use of the Foreign-Trade Zones program to facilitate and increase the global competitiveness of US based companies. Visit www.naftz.org for more information.

This topic will be discussed by representatives of more than 60 countries at the Third WORLD FREE ZONE CONVENTION to be held in Brussels during the first week of June 2003

C-TPAT recommendations

Procedural Security: Procedures should be in place to protect against unmanifested material being introduced into the supply chain.

Physical Security: All buildings and rail yards should be constructed of materials, which resist unlawful entry and protect against outside intrusion.

Access Controls: Unauthorised access to facilities and conveyances should be prohibited.

Personnel Security: Companies should conduct employment screening and interviewing of prospective employees to include periodic background checks and application verifications.

Education and Training Awareness: A security awareness program should be provided to employees including the recognition of internal conspiracies, maintaining cargo integrity, and determining and addressing unauthorised access.

Manifest Procedures: Companies should ensure that manifests are complete, legible, accurate, and submitted in a timely manner to Customs.

Conveyance Security: Conveyance integrity should be maintained to protect against the introduction of unauthorised personnel and material.