21 Juli 2016

[210716.EN.BIZ] IATA and FIATA Complete Reforms To The IATA Cargo Agency Programme

THE International Federation of Freight Forwarders Associations (FIATA) and the International Air Transport Association (IATA) have unveiled reforms to the IATA Cargo Agency Programme.

The amendments reflect the transformation of IATA cargo agents or freight forwarders from being 'selling-agents' for airlines into 'purchasing customers,' and aims to involve forwarders as equal partners in the decision making process, reported Air Cargo News.

The new IATA-FIATA Air Cargo Programme (IFACP) moves decision-making on the rules governing the airline-forwarder relationship away from an airline-led conference to a governance body, the IATA-FIATA Governance Board (IFGB). This will be jointly managed by forwarders and airlines, to reflect current market conditions.

The new agreement better reflects new business models and the buyer-seller relationship between forwarders and airlines.

The joint governance board will be better equipped to promote efficiency and shared values, clarify supply chain liability and improved compliance with safety and security standards through a more coordinated and concerted industry approach.

IATA senior vice president, financial and distribution services, Aleks Popovich, said that the new jointly-managed air cargo programme was "the result of four years of hard work to modernise the relationship between freight forwarders and airlines."

According to a joint IATA and FIATA statement, a phased rollout of IFACP will begin in early 2017 with Canada as the pilot country and it will be completed worldwide by the end of 2018.


Source : HKSG.

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