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Historic “Delft”

Trade facilitation & compliance “Back to the future” Gerwin Zomer (TNO), eFreight Conference 2012, Delft, 10-05-2012. Historic “Delft”. Delft, 1572: William of Orange leads Dutch resistance against Spanish occupation Eighty Year’s War  Delft was de facto capital of Holland

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Historic “Delft”

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  1. Trade facilitation & compliance“Back to the future”Gerwin Zomer (TNO), eFreight Conference 2012, Delft, 10-05-2012

  2. Historic “Delft” • Delft, 1572: William of Orange leads Dutch resistance against Spanish occupation • Eighty Year’s War  Delft was de facto capital of Holland • Delft, 1584: William was killed at (Museum) Prinsenhof  Cold Case exhibition • Since then, the Royal burial is in the New Church in Delft City of Delft, painted by Johannes Vermeer, 1660 William of Orange killed Delft, Old Church

  3. Dutch East India Company (VOC) • Founded in 1602 by 6 Dutch cities, incl Delft (Delft Charter: 7% shares) • Bypassing the Malakka Strait • Monopoly on Asia-Europe spice trade • First multinational issuing stock • 4785 ships, 2.5 million tons, 1 million European workers • On top: 25.000 employees • Balancing supply & demand  controlling the market • Controlling both Asia-Europe & Intra-Asia trade (spices, textiles & silver) • Demanding administrative governance  “Haags Besogne” Replica Vessel ‘Batavia’

  4. Delft trade history • Delft & VOC • Delft Charter, 7% share in VOC • Delfshaven  Chinese porcelain port • Rise andfall of porcelainproduction (Delftware) • 1647: Chinese Civil War • 1653: Porceleyne Fles (Royal Delft) • 1650-1750: Hundredfactories in Delft (old beer breweries) • Stongshipbuiling sector Delfshaven • By 1800: Fall • Wedgwood (cheap, innovative) • OnlyPorceleyne Fles survived • Delftwareimitationfrom Japan! Delft blue mark, Porceleyne Fles Delftware, Royal Porceleyne Fles

  5. Haags Besogne – The VOC Control Tower Board wanted detailed insights in the business in Asia Tasks Haags Besogne Control based on source documents: all relevant trade correspondence (factory orders, accounts, contracts, letters etc) Voyage planning: capacity & equipment planning Forecast & capacity expansion plans (new vessels)

  6. International trade today • Globalisation  • Much the same (ship manifest, contract of carriage, trade arrangements) • Exponential growth • Complexity • Need to regulate  • Economic (import/export/transit) • Fiscal (VAT, fraud) • Safety&security (FAL, ENS/EXS) • Health (veterinary, fytosanitary) • Environment (TSCA) • Trade compliance • Increased administrative burden • Threat seamless supply chains

  7. Trade facilitation  What’s at stake? • Trade facilitation costs = 1 to 15% of landed cost of imported good • OECD: 1% TF improvements to world economy  US$40 billion • Hummels, 2001 / Djankovet, 2006: Each additional day of delay prior to shipment reduces trade by more than 1 % (Djankovet al., 2006)

  8. TF: Ask traders what their problems are

  9. Trade facilitation  the future • CASSANDRA • Control throughSC visibility • Trust throughtransparency • Capturingreliable source data (stuffing/consolidation) • Supportedbyglobal data pipeline, • Connectivity with Single Windows • Common ontology “Logisticsfacebook”  • Minimise transaction coststo share data in hybridcommunities • System based control: Facilitationsbybeing in control together • Self assessment (MCC+) • Green lane / pre-clearance / entry in records / no declarations • Governmentpiggy back on SC risk management • Coordinated Border Management (CBM)

  10. Pipeline configurations in CASSANDRA • Combination of • Shipper backoffice systems (ERP, WMS) • Freight forwarder systems • Port Community Systems • Supply chain visibility platforms • Customs solution providers • Monitoring & surveillance systems (RFID, eSeals, sensors, …) • … • Interesting developments • PCS moving towards hinterland logistics visibility systems • Consolidation in customs solution provider market  Pan-European oligopoly • Integration platforms becoming a commodity product

  11. CASSANDRA business case Sustainableeconomicgrowth & enhancedcompetitiveness Seamless & efficient supply chains Minimise TTC (incl cost of compliance) Sustainable trade & logistics business models New trade facilities (MCC+) Supply chain optimisation Synchromodal transport solutions Corporate social responsibility enabler enabler enabler enabler Being in control Bus. Intell Interoperability Transparency

  12. That’s not fair! … The money is out there … … let’s grap it … … and share the benefits!! Thank you for your attention! Gerwin Zomer TNO – Sustainable Transport & Logistics T: +31-622522983 E: gerwin.zomer@tno.nl http://www.cassandra-project.eu

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