Business, Freight News

Shippers target ‘too strict’ security rules

[ July 16, 2014   //   ]

The European Shippers’ Council (ESC) said that it would target unecessarily strict supply chain security rules at the sixth round of the Transatlantic Trade and Investment Partnership (TTIP) negotiations in Brussels on 16 July. ESC said that removing over-strict regulations could be an important element of removing non-tariff barriers to trade, as envisaged by the TTIP.

It said that the primary concern of European companies were increased measures imposed for supply chain security, both by the EU and the US. Although it is understandable that the past few years have seen an increase in such measures, these should be proportionate says ESC. Strict US export control rules in particular result in high administrative burdens on trade, with companies often having to spend over €40,000 a year or more to comply while the total cost of safety and security measures add up to almost 11% of total trade costs, it says.

ESC wants governments on both sides of the Atlantic to use existing security measures taken by businesses, motivated by the nature of their goods. The ESC added that non-tariff trade barriers can also be reduced by improving cooperation between border authorities.

Tags: , ,