Speciality Chemicals Magazine NOV / DEC 2021 | Page 40

‣ compliance declarations within the different supply chains . In this case , non-EU manufacturers issue REACH compliance declarations ( including information on the OR ( s )), confirming REACH compliance for the products supplied to direct non-EU customers . Next , the respective customer is expected to prepare his own compliance declarations for his own products ( which may include additional substances ) and add further OR information , if necessary . These new declarations are based on all declarations received , and must be processed and forwarded by all downstream customers according to the same system until the EU import takes place . Subsequently , EU importers are expected to report their annual imported product quantities back to their direct suppliers in the supply chain . These suppliers then have to split the received volume information into the respective tonnages of the product components and subsequently pass on this new information ( including information about the importers !) to the corresponding suppliers of their own product components . This continues up the supply chains until the relevant information reaches the corresponding non-EU manufacturers , so that the ORs of the non- EU manufacturers can record the information about EU importers and their imported substance quantities . In this model , the ORs of the non-EU manufacturers can only ensure that all substances are in the correct tonnage bands once all imported substance quantities have been reported back through all supply chains . This is a problem for the OR , as he cannot know if there will be further responses . Importers are not able to prove to the REACH enforcement authorities that their imports are indeed 100 % REACHcompliant until all of the relevant ORs have finally confirmed this in writing , which – for the aforementioned reasons – is very difficult . This system relies on all actors in the respective supply chains correctly calculating all component quantities and communicating this information completely and correctly down and up all supply chains involved . Due to the complexity of supply chains and product compositions , it is highly probable that the final reported product quantities are incorrect or incomplete . Even if all the calculations are accurate , importers do not know if and when they have legally compliant documentation . Another problem is that there is no control of the product quantities supplied . Thus , formulators or distributors may be able to obtain the same product , for which they have received a valid REACH compliance declaration from other non-REACHcompliant sources , and use the
Sample of a coverage confirmation of an EU import certificate existing declarations for free-riding to supply such non-compliant material into the EU . In the end , it may even happen that a higher product volume is reported back to the non-EU manufacturer than that manufacturer ever delivered to its customers . In such a case , the supply chains would have to be fully checked again . It must be noted that this system requires passing information about EU importers openly through the supply chain . This may result in a loss of business and / or competition law issues for some actors in the supply chain . In addition , the system is very labour-intensive and therefore costly .
Trustee system
The web-based Chemservice OR-Trustee system replaces the previous REACH-Code-Model system , which was developed back in 2008 as a REACH compliance system . It has since been used by major companies in the chemical industry worldwide , including their downstream supply chains with several hundred participants . The model aims to address all of the aforementioned problems and weaknesses of the various approaches and to provide the EU importer with immediate , legally compliant documentation that gives him the status of a DSU under REACH . In the Trustee system , an independent OR acts as a trustee for non-EU manufacturers , formulators , distributors and importers , and their respective substances and formulations , to ensure confidentiality at all stages of the supply chains . To exchange the relevant supplier , customer , product and volume information between the supply chain participants and the trustee , a database-driven system is applied , which follows the supply chains in terms of information flow . The system generates unique timeand quantity-limited confirmations for all supply chain participants and makes them available to the respective actors in the supply chain .
40 SPECIALITY CHEMICALS MAGAZINE ESTABLISHED 1981