Riyadh, Kingdom of Saudi Arabia, 12 November 2013 NATIONAL WORKSHOP ON THE BENEFITS OF THE TIR CONVENTION TO FACILITATE GROWTH AND PROSPERITY IN THE ARAB WORLD WITHIN THE FRAMEWORK OF THE IDB-AULT-IRU JOINT PROJECT Riyadh, Kingdom of Saudi Arabia, 12 November 2013

Riyadh, Kingdom of Saudi Arabia, 12 November 2013 SESSION I – BORDER CROSSING FACILITATION AND TIR PRINCIPLES: 4. TIR Risk Management Riyadh, Kingdom of Saudi Arabia, 12 November 2013 Jean Acri Special TIR Advisor Patrick Philipp Head IRU Training

Internationaux Routiers Managed by the IRU since 1949 Securing and facilitating trade and international road transport Transports Internationaux Routiers Managed by the IRU since 1949 © International Road Transport Union (IRU) 2013 3

TIR Convention and WCO SAFE Requirement fulfilled by   © International Road Transport Union (IRU) 2013

TIR in operation Risk Management & Traceability Storage IRU Archive Issuing Association TIR Carnet Life Cycle IRU Control IRU dBase Issuing Association Holder Electronic TIR data CUTE-Wise SafeTIR Driver Holder Customs © International Road Transport Union (IRU) 2013

RISK MANAGEMENT: SafeTIR Why SafeTIR? To confirm at any time and in real-time the validity of the Customs stamp (at destination) on the TIR counterfoil (souche) ? © International Road Transport Union (IRU) 2013

RISK MANAGEMENT: SafeTIR IRU Database Real Time Capture & Transmission of SafeTIR data © International Road Transport Union (IRU) 2013

SafeTIR – Annex 10 © International Road Transport Union (IRU) 2013 SafeTIR is a Risk Management System for TIR Carnets composed of: Direct data transmission by Customs on each termination of a TIR operation if goods are unloaded or pass to a different Customs regime Database, computer network Dedicated software to permit on-line control of the status of each TIR Carnet © International Road Transport Union (IRU) 2013

SafeTIR Objectives © International Road Transport Union (IRU) 2013 1 To provide a database of terminated TIR Carnets (CUTE-Wise) 2 To enable early detection of fraud → To provide the list of invalid TIR carnets (CUTE-Wise, RTS) 3 To instil trust in the TIR System © International Road Transport Union (IRU) 2013

SafeTIR System Components Software CUTE-Wise TIR CUTEWeb RTS Computer network IRU database – over 12 Million TIR termination records Reconciliation procedure © International Road Transport Union (IRU) 2013

Implications of SafeTIR for the TIR Holder and Customs = CUTE-Wise  TIR Holder can receive more TIR Carnets, within his quota © International Road Transport Union (IRU) 2013

Implications of SafeTIR for the TIR Holder and Customs ≠ CUTE-Wise Reconciliation Procedure © International Road Transport Union (IRU) 2013

Implications of SafeTIR for the TIR Holder and Customs Reconciliation Request Enquiry TIR Carnet quota blocked in case of Notification of non discharge Suspension of Issuance to the Holder © International Road Transport Union (IRU) 2013

The Principle of Annex 10 SafeTIR Control System for TIR Carnets : Annex 10 to the TIR Convention since 12 August 2006 A D C B TIR Carnet reference number Date and record number in the customs ledger Name or number of Customs office of destination Date and reference number of the termination (if different from b) Partial or Final termination Termination with or without reservation Page number Other information or documents (optional) Associations IRU Database AskTIR VPN CUTEPad CUSTOMS AskTIRWeb VPN TIR CuteWeb Customs Authorities RTS CUTE-Wise © International Road Transport Union (IRU) 2013

Real Time SafeTIR (RTS) The current status and the validity of the TIR Carnet are guaranteed by the constantly updated information Automatic transmission of SafeTIR data to the IRU Possibility of automation of SafeTIR data reconciliation Reunites the private entreprises and the Customs in order to facilitate and to ameliorate the safety in the international trade © International Road Transport Union (IRU) 2013

SafeTIR Real Time in the Russian Federation The status of the TIR Carnet is : Valid (with the following details: Holder ID, validity date, Issuing Association name) Invalid Not issued/False/other situations Moscow SafeTIR data IRU Geneva What is the status of the TIR Carnet ? 11 countries in operation (using safetir real time in January 2012): France Russie Kazakhstan Ukraine Turquie Bulgarie Géorgie Azerbaidjan Bosnie Herzégovine Serbie Moldavie 80% of SafeTIR data transmission through RTS Countries currently in development process: Morocco Uzbekistan Belarus Countries in discussion: Finland Latvia Lithuania Macedonia SafeTIR Real Time project: The Association can issue in security The Customs can take the TIR Carnet in charge in security knowing that the Association has issued it in security © International Road Transport Union (IRU) 2013

RTS – Geographical scope in 2013 17 RTS countries: Azerbaijan Bosnia-Herzegovina Bulgaria France Georgia Kazakhstan Morocco Russia Turkey Ukraine Moldova Serbia Uzbekistan New in 2013 Belgium Finland Kyrgyzstan Latvia IRU TIR-RTS Operational Finalisation stage Development and testing stage Discussion and Preparation stage N O R W A Y F I N L A N D S W E D E N E S T O N I A R U S S I A N F E D E R A T I O N D E N M A R K L A T V I A L I T H U A N I A Russian Fed. I R E L A N D U N I T E D B E L A R U S K I N G D O M NETHERLANDS P O L A N D G E R M A N Y B E L G I U M L U X . C Z E C H R E P U B L I C U K R A I N E K A Z A K H S T A N F R A N C E S L O V A K I A A U S T R I A S W I T Z E R L A N D H U N G A R Y M O L D O V A SLOVENIA R O M A N I A C R O A T I A HERZEGOVINA BOSNIA- SERBIA B U L G A R I A G E O R G I A I T A L Y K I R G I S T A N S P A I N ALBANIA MKD ARMENIA A Z E R B A I J A N U Z B E K I S T A N PORTUGAL A Z E R B. T U R K M E N I S T A N P E O P L E ‘ S R E P U B L I C O F C H I N A G R E E C E T U R K E Y T A J I K I S T A N A R A B S Y R I A N I R A N A F G H A N I S T A N CYPRUS R E P U B L I C T U N I S I A L E B A N O N M O R O C C O I S R A E L J O R D A N © International Road Transport Union (IRU) 2013

Reconciliation Procedure Annex 10 requirement The reconciliation procedure is used for: Confirmation, correction or completion of the SafeTIR information A request for reconciliation is generated after: Claim or suspicion of fraud and irregularities in the use of a TIR Carnet SafeTIR data is not accepted by IRU database Discrepancy between the counterfoil and the SafeTIR data Lack of any SafeTIR data © International Road Transport Union (IRU) 2013

SafeTIR application: RTS Benefits For Customs: Thanks to the IT solutions, facilitates the work of customs officers Automatic electronic entry and exchange of SafeTIR data Confirmation in real-time of the TIR Carnet validity An effective risk management tool Simplifies the SafeTIR reconciliation procedure Allows to efficiently identify the infringements For the Guarantee chain: An effective risk management tool Data on the termination of TIR operations are available to the associations in real-time Simplifies the SafeTIR reconciliation procedure Allows to efficiently identify the infringements © International Road Transport Union (IRU) 2013

SafeTIR application: RTS Brochure Explains the advantages and the benefits © International Road Transport Union (IRU) 2013

Reconciliation Procedure Who generates the request for reconciliation : The IRU, on receipt of the SafeTIR data The issuing Association, on checking the TIR Carnet WHERE is the request for reconciliation forwarded: IRU  National association  Customs Customs  National association  IRU WHO generate the request for reconciliation : the request might originate form the - The IRU on receipt of the SafeTIR data if an anomaly or discrepancy is detected, further to specific checks or further to the initiation of litigation or by - The issuing association on checking the TIR Carnet (the association is in charge of checking the consistency between the TIR Carnet and the SafeTIR data) © International Road Transport Union (IRU) 2013

Transmission Objective: 100% in 24 hours SafeTIR Transmission Transmission Objective: 100% in 24 hours © International Road Transport Union (IRU) 2013

TIR-EPD Portal for TIR Carnet holders 1100110100110101 1011011001010101 11010 10101 11011 00101 11101 01011 11001 1101111001010101 0010111001010101 1110111001010101 1101011001010101 11001101001101 101101100101010 11010 11010 10100 110100100111010 00100010111010 11100 11012 1100110100110 11010 01010 00100 10101 11010 00101 11100 11010 11010 11101 11100 10101 00111 TIR Electronic Pre- Declaration Connecting Business and Customs for facilitating and securing international trade © International Road Transport Union (IRU) 2013

Electronic advance cargo info submission single window concept 1 2 Customs authorities confirm reception of the message, validate the guarantee and release the cargo for transit Traders & Carriers submit free-of-charge electronic pre-declarations to Customs authorities in different countries Benefits: this exchange of advance information facilitates pre-arrival risk analysis and makes border crossings simpler, more secure and faster © International Road Transport Union (IRU) 2013

TIR-EPD Geographic Extension as per September 2013 Now 25 countries in operation 2 countries recently added: Kazakhstan Afghanistan 2 countries in pilots/ready to go live: Italy Macedonia 2 countries in implementation stage: Croatia Kyrgyzstan E S T O N I A L A T V I A L I T H U A N I A B E L A R U S P O L A N D S L O V A K I A U K R A I N E M O L D O V A R O M A N I A H U N G A R Y B U L G A R I A T U R K E Y G R E E C E A Z E R B A I J A N G E O R G I A ARMENIA T U R K M E N I S T A N U Z B E K I S T A N T A J I K I S T A N K I R G I S T A N K A Z A K H S T A N R U S S I A N F E D E R A T I O N F I N L A N D Russian Fed. A F G H A N I S T A N I R A N S Y R I A N A R A B P E O P L E ‘ S R E P U B L I C O F C H I N A CYPRUS A Z E R B. S W E D E N N O R W A Y D E N M A R K G E R M A N Y NETHERLANDS B E L G I U M U N I T E D I R E L A N D S P A I N PORTUGAL I T A L Y S W I T Z E R L A N D A U S T R I A K I N G D O M L U X . SLOVENIA C R O A T I A BOSNIA- HERZEGOVINA ALBANIA MKD F R A N C E M O R O C C O T U N I S I A C Z E C H R E P U B L I C R E P U B L I C L E B A N O N I S R A E L J O R D A N 25 TIR-EPD operational countries represent - 93% of TIR Carnets issued - 89% of TIR termination SERBIA © International Road Transport Union (IRU) 2013

IRU TIR-EPD: Advantages © International Road Transport Union (IRU) 2013

The SafeTIR system and TIR-EPD Indispensable Risk Management tool for Associations and Customs Facilitation of Control procedures for Associations and Customs Facilitation of border crossing procedures SafeTIR = Risk Management = Co-operation = Fraud prevention = Early detection of irregularities © International Road Transport Union (IRU) 2013

www.iru.org © International Road Transport Union (IRU) 2013