Services and Activities (Annual Report 2019)

SERVICES AND ACTIVITIES 

The Hong Kong Shippers’ Council was established to protect and promote the interests of its members and Hong Kong shippers in general. Particularly, they convene on matters relating to the transportation of merchandise by sea, land, and air.

The Council operates under the guidance of an Executive Committee made up of representatives from 16 major trade associations in Hong Kong and derives its broad-based representation and membership from these trade associations. 

THE COUNCIL’S MISSION

At a regional and local level, the focus of the Council is to:

•     Ensure an open and competitive freight market environment

•     Ensure that government policy and practices are geared towards the interests of shippers

•     Ensure that proper infrastructure and facilities serve the present and future needs of shippers and logistics operators

•     Ensure that carriers’ charges are reasonable, with sufficient transparency and justification, and proper governance

•     Ensure that the Hong Kong shippers’ voice is represented locally, regionally, and internationally

 The Council achieves these goals through:

1.    Engagement in the consultative mechanism of the HKSAR Government

The Council has representation in a number of major logistics and transport related government committees and advisory groups, including:

•     The Logistics Development Council and its various sub-committees

•     Hong Kong Maritime and Port Board and its various sub-committee

•     The Sea Cargo Liaison Group, Hong Kong Customs & Excise Department

•     The Logistics Industry Training Advisory Group, the Education Bureau and its various sub-committees 

•     The Tripartite Meeting for Logistics Industry, Labour & Manpower Bureau

•     The Industry Consultative Network (Logistics), Employee Retraining Board

•     Road Cargo System User Liaison Group

•     Port Operations Committee

•     Trade Single Window User Consultation Group

•     RACSF Scheme Implementation Working Group

2.    Engagement in trade, industrial, and professional organisations and institutes

The Council closely co-operates with other related organisations and institutes.

The Council is represented on:

•     The Shipping and Transport Committee, HKGCC

•     The Logistics Service Advisory Committee, HKTDC

•     The Hong Kong Maritime Forum (HKMF)

•     Transport and Logistics Services Council, FHKI

•     The Hong Kong Logistics Management Staff Association

•     Hong Kong – Taiwan Business Co-operation Committee

In their mission to represent the needs of local shippers, the Council is actively engaged with the relevant policy makers and bodies which have the power to formulate and execute legislation that has a bearing on Hong Kong’s logistics industry.

Furthermore, the Council has also participated in a number of prominent government-run engagements, so that the requirements of Hong Kong’s shippers are, at a minimum, adequately met and fulfilled.

The Council participated in discussion on:

•     Air Cargo Fuel Surcharge

•     Air Cargo Security Regime Reform

•     Air Cargo Terminal Charge

•     Belt and Road Initiatives

•     Development of Trade Single Window in Hong Kong

•     Guangdong-Hong Kong-Macao Greater Bay Area

•     Hong Kong Seaport Alliance 

•     Supply of Land for Logistics Use

•     Carrier’s Low Sulphur Fuel Surcharge 

•     Market Concentration in the Shipping Industry

•     Competition Issues

•     One Port’s Electronic Release Order (eRO) 

•     Shipping Surcharges

•     SME Development Fund Project Logistics 4.0 

•     Terminal Handling Charges (THCs)

•     2019 Policy Address and 2019/20 Budget Consultation

•     Air Quality Review

3.    Protecting shippers’ interests and protesting against shipping lines’ surcharges

In representing and defending shippers’ interests, the Council negotiates freight rates with carriers and service providers in an open market environment

A sufficiently competitive market entails transparency of charges and surcharges; the existence of cost-effective payment mechanisms, and regularly reviewed service standards.

Issues such as documentation fees, peak season surcharges, bunker adjustment factors, currency adjustment factors, port congestion surcharges, war risk surcharges, and terminal handling charges, are common points of contention between shippers and service providers.

By involving the government and other relevant bodies, the Council is able to monitor and negotiate fair rates with carriers and freight forwarders.

4.    International Cooperation

By attending and participating in a number of international shippers’ conferences and forum, the Council is able to better understand the needs of the groups and therefore best represent their needs to the government.

These events, which cover significant industrial developments and issues throughout the world, often end in a joint declaration between attendees who wish to strive toward a common goal, be it fairer rates or greener credentials.

The 12th Cross Strait Shippers’ Alliance Meeting, Zhuhai: February 25 to 26, 2019

The 12th Cross Strait Shippers’ Alliance Meeting was held in Zhuhai from February 25 to 26, 2019.

Over 20 delegates flew in from a number of prominent logistical hubs, including Taiwan, Beijing, Shanghai, Dalian, Ningbo, Guangzhou, Zhuhai, Macao, and Hong Kong.

The Council Chairman delivered an opening remarks, whilst the Executive Director chaired the meeting.

In a bid to strengthen regional shipping alliances, delegates signed a joint statement committing to goals such as a low sulphur fuel surcharge, competitively justified rates and surcharges, and overall better cooperation amongst regional shippers’ organisations.

A visit to the Zhuhai Customs, Hengqin,Hong Wan International Terminal and Xi Yu Terminal has been organised as part of the meeting programme.

Asian Shippers’ Alliance Meeting and Global Shippers’ Alliance Meeting, Amsterdam: March 18 to 19, 2019

The Asian Shippers’ Alliance (ASA) Meeting 2019 was held in conjunction with the Global Shippers’ Alliance (GSA) Meeting 2019 on March 18 to 19, 2019 in Amsterdam.

The two-day meeting was attended by the Hong Kong Shippers’ Council, the Shippers’ Council of Bangladesh, the Indonesian National Shippers’ Council, the Korean Shippers Council, the Macao Shipper’s Association, the Thai National Shippers’ Council, and the European Shippers’ Council.  

Asian Shippers’ Alliance Meeting

The ASA’s meeting covered topics such as the reformation of maritime regulations, increasing shipping costs like the terminal handling charge and documentation fees, and overall liner performance.

Global Shippers’ Alliance

The GSA arranged visits to DG-Competition and DG-Trade of the European Commission in Brussels. Their meeting covered similar topics, including the sulphur fuel surcharge, green freight, digital trade, air cargo industry situation and competition in the liner trade.

Visit to Hong Kong Customs Kwai Chung Inspection Centre: April 24, 2019

On April 24, 2019, the Council arranged a one-day visit to the Kwai Chung Inspection Centre of the Hong Kong Customs for a Guangdong Border-Crossing Office delegation.

The visit not only strengthened connections between Hong Kong Customs and the Guangdong delegates, it also provided an opportunity for both parties to exchange ideas and information.

Transport Sector’s Visit to Beijing: August 28 to 31, 2019

The Executive Director joined the Transport Sector’s visit to Beijing on August 28 to 31, 2019. The delegation visited the Customs Headquarters, the Ministry of Communication, the State Development Reform Bureau, and the Hong Kong-Macao Liaison Office to present the transport sector’s requests and suggestions.

Asian Shippers’ Alliance Meeting, Kuala Lumpur, Malaysia: November 25 to 26, 2019

The Chairman and the Executive Director attended the Asian Shippers’ Alliance (ASA) meeting in Kuala Lumpur on November 25 to 26, 2019.

The meeting was hosted by Malaysian National Shippers’ Council and attended by The Hong Kong Shippers’ Council, the China Shippers’ Association, the Indonesian National Shippers’ Council, the Sri Lanka National Shippers’ Council, the Bangladesh National Shippers’ Council, the Macao Shippers’ Association, and the European Shippers’ Council.

The topics discussed were important and extensive, including freight market, freight rates and surcharges – particularly the low sulphur fuel surcharge that shipping lines are proposing for the IMO 2020 cleaner fuel requirements, competition issues, and regulatory systems of different economies.

5.Enhancing Hong Kong’s Logistics Industry and Cementing its Position as a Leading Logistics Hub

The Council supports Hong Kong Government’s efforts to strengthen Hong Kong’s presence as a major logistics hub within Asia, which will bring it one step further to competing on an international level.

In order to achieve this, the Council actively attends various overseas meetng with the Government, all in the name of promoting our local logistics industry. The Council also entertains a lot of requests to make presentations locally and overseas.

LOGISTICS MISSION AND PRESENTATION

LogsCouncil Visit to Guangxi: January 26 to 28, 2019

From January 26 to 28, 2019, the Council Chairman and Executive Director embarked on a visit to Guangxi to promote Hong Kong and its connectivity with Guangxi and Indo-Chinese economies. The visit laid the groundwork for a future partnership between Hong Kong and Guangxi-based companies.

The 1st International Shipping Technology and Internet Conference, Shenzhen: February 28, 2019

The 1st International Shipping Technology and Internet Conference was held in Shenzhen in February of last year, and was attended by over 300 participants. The Executive Director moderated a liner session at the conference featuring “Leaders’ View of the Shipping Transformation”.

HKLMSA Sharing: March 5, 2019

The Executive Director addressed some 40 HKLMSA members on the Lantau Tomorrow, Air Cargo Security and Hong Kong-Zhuhai-Macau Bridge Logistics Potentials.

Presentation to the Hong Kong Polytechnic University: March 29, 2019

The Council’s Executive Director presented “The Implications of Lantau Tomorrow Vision on Logistics and Supply Chain”, and “The Impacts of International Civil Aviation Organisation (ICAO’s) New Cargo Security Requirements on Hong Kong’s Air Freight Industry” to an MSc class at Hong Kong Polytechnic University.

Hong Kong Business Mission to Sichuan: April 1 to 4, 2019

The Chairman represented the Council at a logistics seminar in Sichaun, and delivered a speech regarding “Sichuan-Hong Kong Cooperation”.

中國(寧波)現代物流與數字經濟融合發展高峰論壇 “航空貨運與電子商務間的相互作用”, Ningbo: May 29, 2019

The international conference was organised by the Ningbo Municipal Government. The Executive Director discussed the issue of air freight and e-commerce in his address; over 400 participants were in attendance.

富達論壇 “中美貿易戰 越戰越烈 給貨代企業帶來的變革”, Futian: June 12, 2019

The Executive Director delivered a keynote address on market situation and forecast to prominent players in the logistics industry, together with three additional speakers on related subjects in Shenzhen.

Hong Kong Logistics Services Mission to Japan and Taiwan: July 28 to August 2, 2019

The Council’s Chairman and Executive Director were invited to join the Hong Kong Logistics Services Mission to Japan and Taiwan, which was organised by the Hong Kong Trade Development Council. The event was intended to showcase Hong Kong’s logistical capabilities and potential in an international capacity. Business matching session was conducted in Japan.

HKLMSA Sharing: September 10, 2019

The Executive Director shared his insights regarding the role and opportunities of Hong Kong’s Logistics Industry in the Greater Bay Area. The gathering, at which 50 attended, was organised by HKLMSA. 

TPM Asia 2019, Shenzhen: October 9, 2019

The Chairman of the Council was invited to present “View from the Top: A Discussion with Industry Leaders” at the forum in Shenzhen.

The 3rd China (Ningbo) International Shipping Logistics Fair, Ningbo: October 14 to 15, 2019

The 3rd China (Ningbo) International Shipping Logistics Fair was organised by the Ningbo Municipal Government Port Office, the Yinzhou Government, and the Ningbo Port. The Executive Director participated in a panel and addressed the audience on “Hong Kong-Ningbo Cooperation over Logistics and E-commerce”.

GS1 Summit 2019, Hong Kong: October 25, 2019

The Executive Director participated in a panel regarding “Hong Kong Logistics Opportunities in the GBA” at the GS1 Summit. The GS1 Summit attracted an audience of over 200 people.                

Contship La Spezia Hong Kong Roadshow panel discussion: October 29, 2019

The Chairman was invited to deliver a welcome address and participated as a panelist in a discussion focusing on the Italy-Hong Kong trade outlook. 

Belt and Road Initiative Forum II First (1st) Session: October 31, 2019

The BRI Forum Series II was organised by the Hong Kong Polytechnic University, the Hong Kong Seaman Union, and the Hong Kong Logistics Management Staff Association. The Executive Director attended as a keynote speaker and made a presentation regarding opportunities in the Greater Bay Area (GBA).

Networking Mixer for Supply Chain Logistics Professionals (SCLP) “HK Logistics Opportunities in the Greater Bay Area (GBA)” : November 7, 2019

The week following, the Executive Director addressed an audience of 40 regarding logistical opportunities in the Greater Bay Area.

Shanghai – Hong Kong Forum, Shanghai: November 15, 2019

The Chairman of the Council presented on “香港生產企業新形態以及替香港/大灣區物流航運改變的啟示” at the Shanghai – Hong Kong Forum in Shanghai. The Forum was organised by the Shanghai Hong Kong Association and the Better Hong Kong Foundation; over 150 participants were in attendance.

Asian Logistics and Maritime Conference: November 20, 2019

The Asian Logistics and Maritime Conference was held from November 19 to 20, 2019. The Council Chairman was invited to be a guest speaker at the annual regional forum, the theme of which was “Asia’s Transportation Link with Canada and the US: New Development of Hong Kong Manufacturing Industry and Their Implications for Logistics and Shipping”. 

Taiwan Coalition of Service Industries Meeting, Taiwan: December 13, 2019

The Executive Director was invited to moderate a session of the annual forum of Taiwan Coalition of Service Industries held in Taipei.

6. Training and Visits 

Over the years, the Council has organised a number of bespoke training courses, seminars, and visits to logistical sites such as ports and airports. These visits are tailored to shippers and allow them to not only gain valuable industrial knowledge, but keep abreast of the latest developments within the region.

Certificate in Shipping and Logistics Course

The Council jointly organises the Certificate in Shipping and Logistics Course with the HKU School Professional and Continuing Education, also known as HKU Space.

The aim is to provide industry practitioners and new entrants with a comprehensive training programme that covered the basics of shipping and logistics operations. This also allowed them to build an academic progression path for practitioners to achieve higher academic and professional qualifications.

The programme runs for eight months, and covers topics such as the carriage of goods by sea, air, and land; cargo insurance; trade documentation; e-commerce and e-shipping; procurement and supply chain management; and logistics costing.

Visits to Kwai Chung Container Terminal and Hong Kong Air Cargo Terminal Ltd. forms an integral part of the course curriculum.

Zhuhai Logistics Trip: February 25, 2019

The Central Government is speeding up the pace of the construction of large-scale infrastructural projects in the Greater Bay Area. As a result, Hong Kong and Zhuhai’s partnership has continued to flourish, which is especially valuable for the success of the Hong Kong-Zhuhai-Macao Bridge project.

The delegation visited the Hong Kong and Zhuhai customs facilities at each end of the Hong Kong-Zhuhai-Macao Bridge and the logistics facilities in Zhuhai, including Authority Showroom of Hengqin Island, Hongwan Port, and Civet Logistics Terminal. 

The delegation also met the representatives of Zhuhai government and logistics facilities to understand ever-changing market needs within Zhuhai. 

International Maritime Dangerous Goods Code Training Programme: April 2019

Since there has been a growing demand on learning how to properly handle dangerous goods (DG), the Council hosted the International Maritime Dangerous Goods Code Training Programme to raise awareness on proper safety in cargo transport and update shippers on the most up-to-date revisions to DG regulations.

Visit to HKTV Mall, Tsing Yi Logistics Centre: April 25, 2019 

The Council, along with GS1 Hong Kong, organised a visit to HKTV Mall at the Tsing Yi Logistics Centre with over 100 delegates. The visit aimed to provide a brief introduction to the operations that take place on-site, namely the automated warehousing system.

Visit to HKTV Mall, Tseung Kwan O Logistics Centre: May 28, 2019

In response to the resounding success of the first visit to the HKTV Mall Logistics Centre, the Council organised a second visit to Tseung Kwan O Logistics Centre the following month.

Joint Zhuhai Logistics Study Tour (CILT & HKSC): June 25, 2019

The trip to Zhuhai was jointly organised with the Chartered Institute of Logistics and Transport. The itinerary included a tour to the Hong Kong and Zhuhai customs and logistics facilities, Hongwan Port, Civet Logistics Terminal, and the Hengqin Island showroom. The delegates also met with logistics stakeholders.

Seminar on China Law: August 20 and October 16, 2019

Due to a high demand for seminars on China’s legal system, the Council partnered with Alpha & Leader Risks & Assets Management Co Ltd and hosted two seminars in August and October last year. 

Visit to Guangzhou, Nansha, and Shenzhen : August 23 to 24, 2019

Following a trip to Zhuhai in June, the Council organised a 2-day visit to Guangzhou, Nansha, and Shenzhen.

The 23-member delegation attended the 6th International Maritime Silk Road Conference and visited Guangzhou Development Exhibition Centre, Nansha Ports, Nansha Pearl Bay Development Exhibition Centre, as well as a logistics centre and pilot control centre in Shenzhen Qianhaiwan Free Trade Zone. The visit received positive feedback from its attendees.

Joint Seminar with the Macao Shippers’ Association on “Fostering Cold Chain Logistics and IT Integration in GBA”, Macao: October 18, 2019

The Council and the Macao Shippers’ Association jointly conducted a half-day seminar in Macao on “Fostering Cold Chain Logistics and IT Integration in GBA”. The seminar was part of the 24th Macao International Fair (MIT), which was organised by the Macao SAR Government.

The Executive Director moderated the seminar.The Council invited prominent speakers in the GBA to share their experiences in cold-chain logistics. The seminar attracted over 120 participants.

粵港澳大灣區物流發展前景及道路運輸安全研討會 : October 23, 2019

The Council  invited 3 prominent speakers to share their own insights. Each of the 80 participants was gifted a copy of the reference book “危險貨物道路運輸安全管理”, published by the Council. 

Asian Logistics and Maritime Conference

Supply-chain Management & Logistics Forum “Evolution of E-Logistics and Supply Chain Solutions – and Its Implications for GBA”: November 20, 2019

The Council, alongside the Hong Kong Trade Development Council organised a two-hour Supply-chain Management & Logistics Forum at Asian Logistics and Maritime Conference.

The title of this forum was “Evolution of E-Logistics and Supply Chain Solutions – and Its Implications for GBA”. The Conference invited Chairman to deliver welcome remarks, and also spoke of new and exciting developments within the Hong Kong’s manufacturing industry, and comment on its implications for the local logistics and shipping industry.

The Executive Director moderated the seminar. The Council invited an array of speakers from different backgrounds and disciplines to join the panel discussion. The forum attracted over 400 participants and was well received across the board.

HKSC/HAFFA Joint Visit to Macau International Airport & Dinner Gathering with Macao Logistics Industry: November 28, 2019 

At the invitation of Macao International Airport Co. Ltd, HAFFA and the Council jointly organised a delegation to visit the Macao International Airport. The delegation also met with representatives of airlines and logistics industry in Macao at the business matching and networking dinner.

Visit to Central Post Office in Kowloon Bay: December 16, 2019

The Council has arranged a visit to Central Post Office in Kowloon Bay; the aim of which was give participants an insight into the Post Office’s operations. The 20-member delegation, comprising representatives from across the logistics industry, was led by the Chairman.

New Incoterms 2020 Workshop: December 18, 2019

The Council conducted a half-day workshop on New Incoterms 2020 with Tradlink to 20 participants who were keen to understand changes to Incoterms, which came into effect this January. 

7.Promulgating news and messages to shippers and the industry

As well as posting regular updates to its official website, the Council also sends regular updates to its members. This is so our members are made aware of vital changes that take place in what is considered to be a mercurial industry.

Similarly, our bi-monthly publication Shippers Today features in-depth articles and reports on the latest developments in the logistics, maritime, and aviation industries.

Because of popular demand for understanding the safety management of carriage of dangerous goods in China, the Council published a new guidebook on “Dangerous Goods: Safety Management in China” 《中國危險貨物道路運輸安全管理》. The book covers all up-to-date requirements, legalisation, and general practice of the carriage of dangerous goods on road in Mainland China.