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Risk-based Information Sharing Approaches to Supply Chain Security and Visibility

Risk-based Information Sharing Approaches to Supply Chain Security and Visibility. Department of Investigation, Directorate General of Customs, Ministry of Finance, Taiwan. Outlines. Forward Customs Risk Management Mechanism Cross-border Container Information Sharing Platform Case Study

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Risk-based Information Sharing Approaches to Supply Chain Security and Visibility

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  1. Risk-based Information Sharing Approaches to Supply Chain Security and Visibility

    Department of Investigation, Directorate General of Customs, Ministry of Finance, Taiwan
  2. Outlines Forward Customs Risk Management Mechanism Cross-border Container Information Sharing Platform Case Study Conclusions
  3. Forward The invisibility and its influence Variety types of codes for cargo transportation information according to individual management systems. The information become invisible when the cargoes depart from control area. Invisibility raises potential risk to border security and additional cost to stakeholders
  4. The developing trend Forward In 2005, WCO released SAFE framework defined two pillars of relationship, Customs to Customs and Customs to Business. In 2009, APEC regional economic integration (REI) defined three areas (at the border, behind the border and across the border) of key work priorities for supporting and accelerating the regional economic integration. In 2010, APEC initiated Supply Chain Connectivity Initiative (SCI) to the development of Eight Action Plans for eight logistics chokepoints. SCI also encourage cooperation between public and private sectors to develop efficient supply chain model.
  5. Customs Risk Management Mechanism To achieve the balance between the trade security and trade facilitation, it is crucial to build the cross-border platforms and share the high-risk and low-risk container movement information instantly.
  6. Customs Risk Management Mechanism High-risk containers In general, the export container has shorter inspection time. The inspection ratio for export containers is much lower than import containers. In consideration of logistic flow efficiency, the export containers are considered as potential-risked, but has no evidence to violate the relevant laws of export economics, or has no enough time for detail inspection, could be affixed with RFID e-Seal and notice next Customs through the information sharing platform. The local Customs can analyze the pre-interchange information for the purpose of further inspection.
  7. Customs Risk Management Mechanism Low-risk containers The AEO containers are affixed with RFID e-Seal at the factories. When they arrive at the border, the Customs scan the e-Seals, verify the relevant information, and release the containers. When they arrive the destination country, the local Customs could release the container after scanning the e-Seal and verify the relevant information over the cross-border platform. Develop a safe and green path for cross-border movement of cargo to enhance the customs clearance efficiency.
  8. Cross-border Container Information Sharing Platform Two things we needs to build the platform Unity code to identify cargo In consideration of conformity, a unanimous, standardized number as a key to retrieve relevant data is necessary to seamless connect every links in the end-to-end supply chain. Information and communication technologies (ICTs) for container identification, transportation tracking and information sharing.
  9. Not Specified (draft) B C F A E D Discovery & Authentication Information Query Data Repository EPCIS Information Capture Middleware Middleware Middleware ISO 18000 EPC C1G2 ISO 18185 ISO 17712 Active e-Seal Passive e-Seal Semi-active e-Seal Information Carrier ISO 18186 Cross-border Container Information Sharing Platform
  10. Cross-border Container Information Sharing Platform Last digit of calendar Country or territory of export Company (Supplier) ID Internally applied + + + UCR Consignment GSIN Consignment Level Pallet, crate, vessel Pallet, crate, vessel SSCC Item Item Item Item GTIN Item Item
  11. Cross-border Container Information Sharing Platform XML Self-definition Mapping table for different coding over internet Code A CodeB Transform/Mapping over Secured Networks Standardization Autonomy Code C Code D Encrytion/ Authentication
  12. Case Study The cargo movement security subproject Starts From 2009 to 2012. Implementation scope including import, export, transit and transshipment containers. Uses information and communication technologies. Provides a feasible solution to balance facilitation and security. Proposes cross-border cooperation plan for supply chain connectivity.
  13. Case Study Technologies we used RFID e-Seal Information processing Information sharing platform
  14. Two Operational Scenarios of RFID e-Seal Case Study Active E-Seal System Passive E-Seal System
  15. Case Study RFID Handset Active e-Seal Barcode Scanner CCD Camera Passive e-Seal Real Time Warning 3G/WiFi Wireless Communication
  16. OCR: Container No. Recognition Infrared Triggers ICR: Image Characteristic Recognition LED Signal Passive RFID e-Seal Reader & Antenna OCR: Car plate No. Recognition Barcode Scanner Case Study RFID Lane in Container Yard DVR
  17. Case Study Nonstop Fast Lane in Harbor Gateway OCR Cameras (for container number identification) Infrared Triggers DVR & ICR Camera: (Image Characteristic Recognition) Fixed RFID Reader (for driver identification) OCR Cameras (for car plate number identification) LED Display Board Fixed RFID Reader (for passive e-Seal)
  18. Case Study Monitoring Center in Taichung Customs Office Devices Monitoring Real Time Warning and Alarm Surveillance TV Synchronized Display of Comparison Results of RFID Lanes Container Status from Customs Clearance Systems Instant Log of Container Notes
  19. Case Study Active e-Seal In-transit real-time tracking and warning GPS function 3.5G communication modules AES 128 bits encryption Quick and easy to install and unlock
  20. Case Study Green Channel 1 Keelung Harbor Taipei Harbor Distance : 51.6 km
  21. Case Study Green Channel 2 Ever Terminal Distance : 4.7 km Airport Security Area
  22. Cargo Risk Control System(2012) Taipei Harbor (2011) Keelung harbor(2011) Taoyuan internal airport (2011) 286 RFID handsets deployed in 118 monitor areas Taichung harbor(2010) 110 RFID lanes (for passive e-Seal) Kaohsiung harbor (2012) 2green channels (for active e-Seal) 1 control center in headquarters and 4 control offices in local Customs Passive e-Seal System Active e-Seal System Case Study
  23. Case Study Cross-border Control A cross-border information exchange platform is essential to the Customs. The platform can provide critical or important information for Customs to ascertain the lowest risk containers such as AEOs’ and provide speedy clearance environment, and target the highest risk containers.
  24. Case Study The Cross-border Pilot Project Chinese Taipei Customs initiated the cross-border pilot project in January 2010. The 7th Kuala Lumpur-Taipei Trade and Investment meeting held in April recognized Chinese Taipei’s proposal for bilateral cooperation in the use of RFID e-Seal between Malaysia and Chinese Taipei. The meeting of the Cooperation and Cross-Border Pilot Project on RFID E-Seal between Malaysia and Chinese Taipei for further discussion on the cooperation issues, was held in May 2010.
  25. Case Study Two-Stage Test Plan
  26. Case Study The containermovement were logged and tracked in the cross-border platform
  27. Case Study Achievements
  28. Conclusions Cross-border platform is essential for risk-management. Cross-border cooperation should be conducted by the agencies that in charge of border security, such as Customs. The cross-border platform should be conducted and implemented under APEC multilateral cooperation model.
  29. Thank You
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