January 6, 2025 | Page 60

Government 2025 Annual Review & Outlook
Executive Commentary
“ Canada must be competitive not only in offering feasible investment prospects , but by demonstrating our commitments to fluidity in supply chains through solid labor contracts .”
Bruce Rodgers
“ The ailing port and maritime sectors should be a major concern to the new US administration .”
Anil J . Vitarana , Ph . D .
“ Improved coordination between regulatory authorities and industry stakeholders is essential to minimize disruptions and ensure that regulatory changes support international trade .”
Nicolette van der Jagt
Canadian International Freight Forwarders Association ( CIFFA )
Bruce Rodgers
Executive Director www . ciffa . com
In order to shore up freight infrastructure , the federal government needs first to develop a national plan / strategy around its significant trade gateways and commit dedicated funds to that strategy through budget allocations . For example , the National Trade Corridors Fund ( NTCF ) helps fund infrastructure projects in Canada . This merit-based program is designed to help infrastructure owners and users invest in the critical assets that support economic activity and the physical movement of goods and people in Canada .
An initial investment of $ 1.9 billion over 11 years ( 2017-18 to 2027-28 )
CLECAT
Nicolette van der Jagt
Director General www . clecat . org
The need for global harmonization of Preloading Advance Cargo Information ( PLACI ) guidelines is becoming increasingly urgent for international freight forwarders , particularly those managing shipments between Europe and other global markets . The recent implementation of the European Union ’ s Import Control System 2 ( ICS2 ) — designed to reinforce customs risk management and enhance security of goods entering the EU — now requires operators to submit detailed cargo information earlier . This applies to all deepsea and short-sea cargo discharging , transshipping or passing through the EU , Northern Ireland , Norway , Switzerland and foreign cargo remaining on board .
For maritime carriers , the deployment window for ICS2 Release 3 , which can be granted by national customs authorities , ran from June 3 , 2024 , to December 4 , 2024 . Industry associations , including those representing freight forwarders , play a key role in supporting the sector ’ s readiness for this transition . Inaccurate or incomplete data submissions under ICS2 can lead to the
was allocated for the NTCF in 2017 . So far , several key areas have been prioritized : increasing the fluidity of Canada ’ s supply chains , relieving supply chain congestion at Canadian ports , and most recently , advancing supply chain digitalization . Launched on February 13 , 2023 , this targeted call for proposals prioritized projects that will strengthen Canada ’ s digital infrastructure to enhance the efficiency and reliability of our transportation supply chains .
But drawing on private-sector investments will also play a part , and Canada must be competitive not only in offering feasible investment prospects , but by demonstrating our commitments to fluidity in supply chains through solid labor contracts and government processes which prioritize key trade lanes , making trading with Canada a streamlined process . Governments must also work to ensure they cut regulatory red tape on approvals processes while building resiliency into infrastructure . Forecasting and coordinating growth projections are also instrumental .
Cranford Consulting LLC
Anil J . Vitarana , Ph . D .
Founder and Principal anil . vitarana @ gmail . com
More companies are turning to enhanced automation in their logistics operations , leveraging technology to reduce operating costs and improve efficiency .
Artificial intelligence , blockchain and the internet of things are increasingly being applied to boost productivity and enhance transparency and traceability within supply chains . By using robotic process automation and the optimization of data management using business intelligence tools , US logistics companies are striving to stay ahead of their global competitors . Amazon leads the rankings very comfortably , and six other US companies — C . H . Robinson , J . B . Hunt , UPS , GXO
rejection of Entry Summary Declarations ( ENS ) by European customs authorities , or trigger risk mitigation referrals , which can delay shipments and disrupt supply chains . Non-compliance with ENS requirements may also result in penalties . To avoid such issues , freight forwarders must ensure they collect and submit accurate , complete data from their clients that meet varying regulatory requirements .
One effective way to address these challenges is through multiple filings , where ocean carriers and freight forwarders submit different parts of the ENS . This not only helps avoid delays but also allows freight forwarders to maintain control over house-level data , safeguarding commercially sensitive information and mitigating disruption .
For global companies , dealing with differing PLACI requirements across regions presents significant operational challenges . These discrepancies highlight the urgent need for global alignment to reduce complexity and improve efficiency for operators managing compliance with multiple regimes . Harmonizing PLACI regimes would simplify compliance , reduce bottlenecks and ensure smoother flow of goods across borders . Additionally , improved coordination between regulatory authorities and industry stakeholders is essential to minimize disruptions and ensure that regulatory changes support international trade .
58 Journal of Commerce | January 6 , 2025 www . joc . com