event provided the per‐fect networking plat‐form. “Building relationships such as this is important for Angostura as we continue to modernise our facilities…the in‐vestments that we’re making in our technol‐ogy ensures that we are ahead of competitors.” Source: T&T Newsday
Angostura got an oppor‐tunity to show off to the international community in June, not for its prod‐uct, but rather, its pro‐duction. A planned $30 million investment in upgrades to the bottling facility of its famed aromatic bit‐ters caught the atten‐tion of the Institute of Engineering and Tech‐nology (IET).
Founded over a century ago, and one of the world’s leading profes‐sional societies for the engineering and tech‐nology community, IET wanted to show its in‐ternational members the level of technology available in T&T. During a tour of its Fernandes Compound plant, Angostura CEO, Robert Wong said the
ANGOSTURA IMPRESSES IET
Shipping Association of Trinidad & Tobago
Apr-Jun 2012
SATT QUARTERLY
Inside this issue:
Members Making News 1
Regional News 4
Glossary 8-9
Quarterly Recap 2-3
On The Horizon 5 Did You Know? 6 Thought of the Quarter 7
BPTT HELPS OFFER GIFT TO THE NATION Formed in 1963 The Marionettes is one of the oldest performing arts organiza‐tions in the Caribbean. In keeping with its corporate social responsibility, bpTT has partnered with, and sponsored the group for forty years. Continu‐ing in that vein, bpTT and The Marionettes’ three choirs, together commemo‐rate Trinidad & Tobago’s 50th anniversary with A Gift to the Nation II at Queen's Hall on July 14 and 15. The programme features the Caribbean premiere of Karl Jenkins’ The Armed Man (A Mass for Peace), the group’s Music Festival Winners, including mem‐bers of the Marionettes’ new Children’s Choir, and a tribute to Whitney Hous‐ton. Proceeds from “A Gift to the Nation II” go toward the Marionettes Property Fund, and the construction of Helios Hall, a secure rehearsal, storage and performance space for the group that it hopes to share with the national artistic community.
Source: T&T Guardian
Members Making News
Page 2
SATT HEADS TALK PORT INFRASTRUCTURE SATT’s President, Mr. Ashley Taylor and General Manager Mrs. E. Joanne Edwards‐Alleyne had a sit down with Port Authority of T&T CEO, Colin Lucas. The meeting, which took place on 14 June, focused on Port Development and Infrastructure. The resulting dialogue proved fruitful with a promise from the Port to provide continuous and improved statistical data to be used in future SATT projects.
SATT’s NEW EC CRAFTS STRATEGY In May 2012, the newly appointed Executive Council held a 1 day retreat. The retreat focused on an exami‐nation of SATT’s Strategic Plan 2101‐2015, and the identification and ratification of projects to ac‐complish key strategic objectives.
Council members affirmed their commitment to making a signifi‐cant impact in achieving their mandate.
CUSTOMS Q&A ON ASYCUDA On April 24th, the Comp‐troller of the Customs and Excise Division, Mr. Fitzroy John, addressed SATT members at the Secretariat. The forum was arranged to provide SATT mem‐bers with the opportu‐nity to interact directly with the Comptroller in addressing all their con‐
cerns, including the status of ASYCUDA im‐plementation. The presentation and subsequent Q&A session was well received by the packed house of mem‐bers and some guests.
Quarterly Recap
Page 3
SATT TALKS COLLABORATION WITH TTMA SATT President Ashley Taylor and General Manager E. Joanne Edwards‐Alleyne met with TTMA board members on 11 June, to kick off the first round of discus‐sions aimed at pursuing mutually beneficial solutions to issues plaguing the shipping industry. Included on the agenda was trade logistics—under which port efficiency was discussed,
MSD ADDRESSES SHIPPING LEGISLATION
Representatives from the Ministry of Trade, Industry and Invest‐ment, Ministry of Transport, and the Maritime Services Division attended a SATT forum on 21 June for a presentation on SATT’s policy framework proposal for the development of a National Mari‐time Policy. Having previously been presented to both line Ministers, the forum was held specifically for the tech‐
nical experts at the behest of these Ministers. The presentation was readily embraced by the representa‐tives, who indicated their endorsement of the need for such a policy. A fund has been identified for the proposal and the Association will continue to work with the MTI in accessing the fund.
SATT PROMOTES A NATIONAL MARITIME POLICY
Friday 22 June saw our members gather to dis‐cuss shipping legisla‐tion pending before Parliament. Apart from briefing SATT members on the specifics of the pending legislation, Maritime Services Division’s Sen‐ior Legal Advisor Mr.
Quarterly Recap labour & Customs reform. Among those in attendance for TTMA were Dr. Trevor Town‐send, Paul Quesnel, and Marc Sandy. SATT will continue to seek collaborations with related stakeholders in pursuit of more rapid industry growth and trans‐formation.
Brent Williams, dis‐cussed ways to possibly make the laws more relevant and facilitating to today’s shipping trade. Participants also got an appreciation of the leg‐islative and drafting processes and con‐straints. Members were
urged to officially com‐municate their concerns to the Secretariat in
order to better support the advocacy.
Page 4
CARIBBEAN MARITIME OFFICERS UNDERGO DIVE TRAINING At this year’s Tradewinds exercise held in Barbados, partici‐pants from 15 Caribbean countries including T&T gathered for advanced maritime training. Administered by law enforcement and de‐fense forces from North America, the pro‐gramme is designed to enhance the collective abilities of the Carib‐bean’s defense forces to
counter transnational organised crime and conduct humanitarian assistance and disaster relief operations. Personnel from the U.S. Marine Corps, Coast Guard, Navy, Naval Criminal Investigative Service (NCIS) among others oversaw eight days of intense prepara‐tion and instruction in advanced dive tech‐niques, bomb recogni‐
tion and disposal, under‐water searches and con‐taminated water diving. This year’s exercise marked the first time a host nation’s National Emergency Operation Center and Joint Opera‐tion Center collaborated with CARICOM, CDEMA, the RSS and U.S. military and law enforcement agencies to accomplish the programme. Source: zizonline.com
SURINAME TO INCREASE TIES WITH T&T In this current economic climate more and more countries are looking to partner with their neighbours or nations with similar interests in an effort to stave off the current trends of these finan‐cial times. Suriname has now sought co‐operation from T&T in the energy sector and the establishment of
industrial zones. Land, Spatial & Environment Development Minis‐ter Ginmardo Kromosoeto an‐nounced plans to broaden the horizons on the South American country beyond eco‐tourism and mining. “One of our president’s objectives in his capacity as Caricom chair‐man is to ... expand business with
T&T…in the petrochemical indus‐try, and in the construction sector. Despite IMF reports to the con‐trary, Kromosoeto, reassured of the stability in the political and economic landscape describing his country as “relatively safe.” Source: T&T Guardian
COSTA RICA & NICARAGUA HEADING TO POLITICAL STANDOFF Nicaragua’s disregard for boundaries has brought new meaning to the shared fence. No matter which side you’re on; nei‐ther belongs to you. The border between the two countries of mention happens to be a river. The very river earmarked by Nicaragua to be the newest canal in South America.
Needless to say, the Costa Rican reaction is one of disbelief describ‐ing the plan as ludicrous. Undeterred, the Nicara‐guan government re‐sponded in kind, accus‐ing Costa Rican’s of uri‐nating outside the box, meaning that Costa Ri‐can’s are missing the point. An advisor for Nicara‐
guan President Daniel Ortega was reported as saying that, Costa Rica has no right to alter the sovereign decision of Nicaragua to use the San Juan River. It is clear that someone has to concede or agree to disagree, but given Nicaragua’s precedents this one may end up in The Hague as well. Source: The Costa Rica News
Nicaragua should not care about the opinion of Costa
Rica ‐ Ortega Advisor
Regional News
Page 5
TRADE FACILITATION FORUM
The Secretariat plans to hold a Trade & Transportation Forum as a platform for all stakeholders to air views and suggest initiatives for change. Stay tuned for updates!
BOARDING CLERK WORKSHOP
Once again, SATT plans to host the Boarding Clerk Workshop from the 3 ‐ 13 September 2012. This is to facilitate members and non‐members who intend to sit exams in October.
SHIPPING 101 The Secretariat is also planning the follow up to our successful Shipping 101 series. Still in the developmental stages, members will be notified within the fiscal period.
On The Horizon
Page 6
G6 ALLIANCE & ITS ASIA-EUROPE TRADE ROUTES
Who is the G6 Alliance?
The G6 Alliance consists of two alliances that joined as a single force; the Grand Alliance & the New World Alliance. The Grand Alliance consists of the following container lines; Hapag‐Lloyd, NYK (Nippon Yusen Kaisha) and OOCL (Orient Overseas Container Line). The New World Alliance consists of the fol‐lowing container lines: APL (a subsidiary of Singapore‐based Neptune Orient Lines), Hyundai Merchant Marine and MOL (Mitsui OSK Line).
Why the cohesion of the 2 alliances?
These 2 alliances joined forces in an attempt to combat market conditions, as well as to cover a wider range of trade routes, competing with Maersk Line’s new Daily Maersk service. “...the new alliance will be characterized by fast transit times, broad port cover‐age and the latest vessels, with capacities of up to 14,000 TEU. [And] enable the
most efficient integration of the largest ship sizes.”
“The extensive port coverage, frequent sailings and very attractive transit times make [it] a unique product with the best and most comprehensive set of con‐nections on offer for all shippers in the Far East‐Europe/Mediterranean trade.”
When was the G6 Alliance formed?
The G6 alliance was formed in 2011, and was set to begin operations in April of this year. Separately, the New World and Grand Alliances were formed in 1995 and 1998 respectively.
Why the change in direction?
“…unsuitable market conditions at that time” Despite conflicting views from other ocean carriers, the members of the G6 Alliance felt that no improvements were being made in the market as far as demand, and capacity continues to increase with the introduction of new ships on the market.
Why the Overcapacity?
To hold onto market share ownership. With the aim of holding onto the ma‐jority of market share, “...Maersk expanded its capacity to twice the pace of the overall container shipping industry on 2011.”
Did You Know?
The G6 Alliance is a merge of the Grand Alliance & the New
World Alliance, six of the world’s largest ocean carriers in the
industry.
Source: The Journal of Commerce
Page 7
“Ability is what you're capable of doing. Motivation determines what you do.
Attitude determines how well you do it.” ‐ Lou Holtz
Thought of the Quarter
GLOSSARY
Page 8
Apr-Jun 2012
AA Always Afloat. A contract term requiring that the vessel not rest on the ground. In some ports the ship is aground when approaching or at berth.
AAR Against All Risks (insurance clause).
Ad Valorem “According to value.” Import duty applied as a percentage of the cargo’s dutiable value.
ATDNSHINC Any time Day or Night Sundays & Holidays Included. A chartering term referring to when a vessel will work.
Barrel (BBL) A term of measure referring to 42 gallons of liquid at 600 degrees.
BCO “Beneficial Cargo Owner.” Refers to the importer of record, who physically takes possession of cargo at destination and does not act as a third party in the movement of such goods.
BIMCO The Baltic and International Maritime Council, the world’s largest private shipping organization.
Broken Stowage The loss of space caused by irregularity in the shape of packages. Any void or empty space in a vessel or container not occupied by cargo.
C&F Terms of Sale, or INCOTERMS
Obsolete, although heavily used, term of sale meaning “cargo and freight” whereby Seller pays for cost of goods and freight charges up to destination port. In July, 1990 the International Chamber of Commerce replaced C&F with CFR.
Cartage Usually refers to intra–city hauling on drays or trucks. Same as drayage.
CSCMP Council of Supply Chain Management Professionals.
C–TPAT Customs–Trade Partnership Against Terrorism. A voluntary supply chain security partnership established by U.S. Customs and Border Protection in November 2001. Meeting the C–TPAT standards allows cargo owners faster processing through customs formalities and inspections.
COP Customs of the Port. Often included in charter parties and freight contracts referring to local rules and practices which may impact upon the costs borne by the various parties.
EPA Environmental Protection Agency
Force Majeure The title of a common clause in contracts, exempting the parties for non–fulfillment of their obligations as a result of conditions beyond their control, such as earthquakes, floods or war.
GLOSSARY
Page 9
Apr-Jun 2012
GATT “General Agreement on Tariffs and Trade.” A multilateral treaty to help reduce trade barriers between the signatory countries and to promote trade through tariff concessions. The World Trade Organization (WTO) superseded GATT in 1994.
GMII Global Maritime Intelligence Integration. It is within the Office of the Director of National Intelligence, with the mission to ensure government–wide access to maritime information and data critical to intelligence production and to serve as the focal point and oversight agent for maritime specific information issues.
Go–Down In the Far East, a warehouse where goods are stored and delivered.
GRI General Rate Increase. Used to describe an across–the–board tariff rate increase implemented by conference members and applied to base rates.
IMB International Maritime Bureau
ISA International Seabed Authority. Established to organize and control all mineral‐related activities in the international seabed area beyond the limits of national jurisdiction, an area underlying most of the world’s oceans.
NIMBY‐ism Not in my back yard. The practice of objecting to something that will affect one or take place in one's locality.
Strings / Slings Number of vessels in trade route rotation.