TNT Express Philippines’ compliance with new US and European Union supply chain security requirements will not translate to additional cost for its clients.
The express operator’s new country manager Cetin Yalcin in an interview with PortCalls said that while TNT is sinking in huge investments to comply with the measures, they see no need to pass on the cost to clients.
“We have no gap in terms of security. We are complying with the new security requirements such as the advance manifest and the Authorized Economic Operator or AEO requirements from the US and European countries without any cost impact to our clients,” Yalcin explained.
“The cost will be recovered through faster clearance and transit time as we believe that time is as valuable as money. This is our core strength. We are way ahead of our competitors in this aspect and we will take advantage of this to increase our market and reach,” Yalcin said.
“In the coming years, we expect that TNT will be one of the preferred AEOs,” Yalcin added.
All over the world, TNT offices are putting in the needed infrastructure such as scanners to enhance cargo security, appointing security managers, and ensuring certification for all of its security operations.
In the EU, TNT was the first to apply for an AEO.
The AEO system was introduced in the EU at the start of 2008. This means reliable traders that meet specified criteria may obtain facilitation from security measures and also ask for simplification as provided for under customs rules.
Recently, the EU also adopted Regulation 1875/2006 aimed at increasing security for shipments entering or leaving the EU. The measures should produce faster and better targeted customs controls that facilitate legitimate trade but tighten minimum security and safety requirements.
In addition, from July 2009 it will become mandatory for traders to provide customs authorities with advance information on goods brought into or out of the customs territory of the EU.
The US, on the other hand, has implemented the advance manifest requirement 24 hours prior to loading of all US-bound cargoes. It is set to implement an all-container scanning regime on all US-bound cargoes by 2012.
In the next five years, TNT is investing about 100 million euros (P6.5B) to strengthen its network coverage, connectivity and infrastructure to take advantage of soaring demand for freight express services between Southeast Asia, China and Europe.
Complementing its Asia Road Network, which links over 120 cities in Singapore, Malaysia, Thailand, Vietnam and China, the enhancement of TNT’s air network offers customers an integrated, multi-country, multimodal solution and hence a one-stop-shop approach to developing customized solutions for moving heavy, high-value shipments.
With its strong domestic network capabilities, TNT is capable of moving freight between major cities in Southeast Asia and China with an average transit time of 48 hours. To Europe, the company offers transit times as short as one day.
TNT provides businesses and consumers worldwide with an extensive range of services for their mail and express delivery needs. Headquartered in the Netherlands, TNT offers efficient network infrastructures in Europe and Asia and is expanding operations worldwide to maximize its network performance.
