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Legal Interoperability for Rail Freight Delivery on the Eurasian Land Bridge

This summary discusses the importance of legal interoperability for rail freight delivery on the Eurasian land bridge, highlighting the benefits and challenges for railway companies. It also introduces the Common CIM/SMGS consignment note as a solution for streamlining cross-border transport operations and reducing legal costs. Contact Dr. Erik Evtimov, Deputy Secretary General of CIT, for more information.

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Legal Interoperability for Rail Freight Delivery on the Eurasian Land Bridge

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  1. CCTT: the Eurasian Railway Bridge ХХVIII PLENARY MEETING: Nur-Sultan 19-20 September 2019 Dr Erik Evtimov, Deputy Secretary General CIT

  2. The CIT • 130 railway undertakings and maritime companies as full members • 7 associated members • Association under Swiss law with legal personality • Objectives: • Implementation of the COTIF and European law that has an impact upon transport law • Standardisation of the contractual relationship between carriers and between carriers and their customers for passenger and freight traffic • Representation of its members’ interests with the authorities and other organisations

  3. Summary

  4. Legal reality • Hague, • Visby, • Rotterdam • Rules • CMNI • CMR • CIM • SMGS • Montréal • Geneva Convention 1980 on multimodality

  5. New global market developments for the transport sector • Rail transport is becoming an increasingly important and a competitive transportation mode from East to West •  New rail routes between China and Europe can change trade patterns, challenging airlines and shipping companies • Better capacity utilization of infrastructure is positive for rail freight delivery • The global model split between the transport modes are as follows (trade by weight in 2016 – source Eurostat): • Sea 95% • Air 4% • Rail 1% •  Clearly this is the “mega-trend” also for rail freight delivery 

  6. New EurAsian Land Bridge: • Opportunities and challenges for railway companies • The new rail freight traffic on 12’000 km in 17 days • 6

  7. Legal Interoperability is the goal of the CIT SMGS/SMPS COTIF EU-law • Legal Interoperability ! • Corridor law • National law

  8. Scope of application of CIM and SMGS: Legal Duality • Situation 1st of May 2019 • SMGS • CIM • CIM + SMGS • Membership • suspended • Associate • Member • 8

  9. Why is the legal interoperability so important for the business? • Country B • Contract of carriage • Liability • Transport documents / consignment note • Tickets • Claims • Country A • Contract of carriage • Liability • Transport documents / consignment note • Tickets • Claims • B • A single legal regime A • - 10% administration costs • Legal certainty, reduction of legal costs

  10. CIT Solutions: Common consignment note CIM/SMGS: a common project of the CIT and OSJD Implements both contracts of carriage Recognised as a customs and bank document Does not undermine the CIM/SMGS liability conditions The “sum” of the CIM and SMGS consignment notes Based on: - Article 6 § 8 CIM + Article 13 and Annex 6 SMGS - Layout based on the United Nations Layout - Key for trade documents

  11. Electronic Consignment Note CIM/SMGS • Functional specifications: • updated based on the revision • of SMGS • Legal specifications: • Technical specifications: • finalised on expert • level • Coming into force: • 1 July 2019

  12. Common CIM/SMGS consignment note: Practical Use (1) for east west rail freight traffic on the Eurasian land bridge 85% Container transportation 18% Single wagon load .30 Minpro Wagon further facilitations (wagon and container list, formal report and formal procedure, etc.) further legal harmonisation • 12

  13. Common CIM/SMGS consignment note: Practical Use (2) • 13

  14. Dr Erik Evtimov Deputy Secretary General of the CIT Phone : +41 79 746 58 44 E-mail : erik.evtimov@cit-rail.org www.cit-rail.org

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