Recommended Minimum Qualification Standard
for
Freight Forwarders
Date of issue: June 11, 2003
Article 1
Objectives
The objectives of these standards are to:
-
Uphold a high standard of business ethics and professional conduct among
freight forwarders;
-
Promote a high level of professional education and experience, essential to
provide services;
-
Encourage operation of financially sound and stable freight forwarders;
-
Contribute to combating fraud by ensuring improved services by better
qualified freight forwarders, and
-
Provide guidelines to PIFFA in establishing and maintaining
a freight forwarding system.
Article 2
Definitions
For the purpose of these standards:
“Freight forwarder” is one who undertakes
forwarding of goods on behalf of his customer, including if necessary,
procurement and coordination of one or more modes of transport. He may also
undertake to perform more modes of transport. He may also undertake to perform
other functions connected with the main contract such as warehousing (including
storage in transit) groupage or consolidation, packing, documentation, weighing
and measurement of cargo container leasing, insurance, foreign exchange
transaction etc
Article 3
Minimum staff requirements and professional
qualifications
To be considered professionally qualified the
freight forwarder must:
-
Employ two full-time competent persons qualified in the services and handling
functions described in Article 5;
-
Two
such persons should have completed PIFFA approved freight-forwarding
certified course or hold IATA or FIATA Introductory Course
Diploma or equivalent, and
-
One
of these persons shall have completed a PIFFA approved training
course in the handling of dangerous goods where such cargo
is handled.
Article 4
Commercial Presence
The freight forwarder shall:
-
Maintain and operate at least one office, and
-
Have
adequate insurance to cover its liability for loss of or damage to exporter /
importer’s cargo.
Article 5
Processing and Handling
The freight forwarder shall maintain and offer the
public the premises, staff and equipment necessary for the performance of the
following function as a minimum:
-
Quoting freight charges, rates and conditions pertaining to such rates and
charges;
-
Required transport documentation of cargo;
-
Assisting customers in completing the required formalities for the
transportation of cargo including reservation services, and
-
Assisting customers in tracking of the cargo.
Article 6
Financial Qualification
To be considered financially sound a corporate
entity and where relevant the freight forwarder individually must:
-
Have
financial resources adequate to its business evidenced by references from
sources such as banks, financial institutes, auditors, reputable credit
references companies etc., and
-
Have
adequate liability insurance through an internationally recognized insurance
company or mutual club to cover all professional liabilities.
The Freight Forwarder shall ensure that the above
financial standards are maintained.
Article 7
Code of Professional Conduct
Member shall, at all times, abide
by the Code of Conduct adopted by the PIFFA.
Article 8
Enforcement
Where a complaint is received
involving a significant infringement of these Standards the
PIFFA will have the complaint investigated, within a reasonable
time, and in case of the complaint being proved it may take
disciplinary measures against the Member concerned, which may
include:
a.
Warnings
b.
A requirement for undertakings as to
the Freight Forwarders future conduct.
c.
Temporary suspension of membership
of the PFFIC, and
d.
Expulsion of member
from the PIFFA.
The Member against whom the complaint is lodged
will be expected to extend full cooperation and assistance to the investigation
to arrive at a fair conclusion.
Article 9
Compliance
Freight forwarder already in operation, and those
just starting a new business, who do not meet the forgoing standards should be
given reasonable time to conform to the requirement.
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