Newsletter - July 2001

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Presidents Message
Now that the AGM and Board elections are behind us, it's once again time to update our membership on Association activity. In my earlier reports I mentioned that CIFFA had set two priorities for the year 2000/2001 and I am glad to report that we have accomplished what we set out to do. 

Our top priority was to introduce Module II of the Education Program for the school year 2001 and this has been done. By now you should have received our new education brochure outlining our education philosophy as well as the course details. As further advised, Module II has been implemented with a view towards the introduction of a Professional Designation. A first draft of a professional designation policy has been submitted to the Board and will be further refined and worked on during the summer months. We expect to able to submit a final version to the membership towards the end of this year. 

Our other priority was to undertake the necessary structural and organizational reforms to conform to Canadian legal and regulatory parameters. This required a massive work in updating our by-laws and reorganizing our Divisions. All this has been accomplished and I am grateful that the membership unanimously approved all proposed changes. A special thank you must go to Bob Walker as the Chair of our Ways and Means Committee and the immense amount of work he has done on our behalf. 

At the last Board Meeting, new priorities were set for this business year. These can be re-capped as follows: 
• Our top priority will remain in the field of education where we have set out to deliver proper training in the handling of dangerous goods. We have prepared and submitted all administrative and learning materials required to IATA for approval and certification of our IATA DG courses. At this stage, we expect to receive certification this summer with a view towards launching our first courses by September of this year. 
• It is clear to all of us that the principles of Supply Chain Management have accelerated the move towards closer long-term relationships between logistics users and logistics providers. All the more important then, is the need for closer alliances between the various interest groups representing the whole of transportation and related activity. It is thus our board’s commitment to stimulate and actively work towards closer cooperation and interrelationships with similar, like-minded associations. 
• ‘If you don’t know where you came from, and don’t know where you are, how will you know where you’re going’? An old management wisdom, still very much valid and alive! And whilst we know our history at CIFFA, and pretty much know where we are, it is important to visualize the future and identify where we want to go. Our last strategic plan was developed in 1996 and it is good to see that all we set out to do at the time has been accomplished! Now it's time to draft a new document and develop a plan for the next 5 years! 

These three priorities have been approved by your board, and we will be working towards accomplishing them in this business year. 

This does, however, not distract from the multitude of issues consistently confronting us in this stimulating industry. These issues range from our Government’s latest initiative to develop a blue print on transportation for the next decade to the CMI’s (Comite Maritime International) undertaking on reviewing multi-modal transport liability issues and the CCRA’s moves towards AMPS and self-assessment. Plus many other changes on the national as well as international front. We will try to keep up with it and keep you informed through our print and electronic media. So hold on to your hats and stay along for the ride! 

Yours Truly
Paul Lobas

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OI Now ROI
By Tony Young, Seafreight Chair

The CMI has modified its proposed Outline Instrument for a multimodal transport convention, which CIFFA had been opposing. Now called "Revised Outline Instrument", some of the provisions CIFFA had objected to have been removed. Among them are the scope of application by port of entry/exit and door-to-door uniform liability. Under the ROI, scope of application will be place of receipt and place of delivery as well as domicile of the carrier and place where the contract of carriage was entered into. This is an important revision for CIFFA as it means that Canadian traffic entering or exiting via US ports will not be automatically subject to US Cogsa under the ROI, if the United States adopts the ROI as the basis for its multimodal Cogsa. A second important revision is the validity of "network liability" instead of "uniform liability", in countries which have national laws governing inland loss and damage such as Canada. This means losses occurring inland in Canada will be subject to $4.41 per kilo rather than the $1,300 per package, which applies only to losses occurring at sea. The "network" concept of applying the applicable liability regime is important to contracting carriers such as freight forwarders and NVOCCs as they underwrite the entire liability from door-to-door liability and need to recover losses from the underlying actual carriers. A uniform per package regime would have meant a liability "gap" and an unrecoverable differential in losses paid.

The ROI still proposes to hold the agent of the contracting carrier fully liable as if it was the carrier under the definition of "performing party". CIFFA continues to oppose this definition, which creates liability on the part of agents who presently have no contractual liability to the shipper or consignee. CIFFA is opposing the tinkering of the fundamental principle that the agent is not the principal. Under the proposed provision, a consignee can bring suit directly against the named agent of the carrier for loss and damage instead of the issuer of the bill of lading. This new liability exposure would cause freight forwarders to think twice before acting as releasing agents for foreign freight forwarders who are not their partners and with whom they have no financial guarantees to cover claims. It would undermine the present networking system among the independent freight forwarders worldwide. CIFFA is urging FIATA to strongly oppose the "performing party" definition at the CMI.

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Fiata Update
CIFFA has submitted the following nominees for election and/or 
re-election at the next FIATA 
World Congress:

Bill Gottlieb - Vice President FIATA and Chair - Airfreight Institute

Peter Jones - Chair, Advisory Body Legal Matters

Tony Young - Member, Multi Transport Institute

Doug Burek - Member - Advisory Body Dangerous Goods

FIATA World Congress 2001 - 75th Anniversary - Cancun, Mexico Conveniently located in a multi-operational Congress and Convention complex at "Punta Cancun", includes: Interplaza mall, Panoramic Tower, Convention Center and Anthropological Museum.

A stimulating and informative programme has been developed and will cover many issues relating to various sectors of the freight forwarding industry. A commercial exhibition will run in conjunction with the FIATA World Congress 2001, offering exhibiting companies the opportunity to showcase their products and services to an international audience of highly focused delegates.

For more information please visit: www.convention-center.net/fiata/fiata200

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Young Forwarder of the Year Award

Submission Deadline October 15, 2001

The Young International Freight Forwarder of the Year Award program is well under way and we hope that many candidates will submit their applications to the Secretariat. Please remember the deadline of October 15, 2001. 

Applicants must meet the following qualifications:

• The contest is limited to young people not older than 29 years of age in 2001
• The contestant must have successfully completed Module I of the CIFFA Professional Education Course
• The employer must be a CIFFA member in good standing
• The candidate must be recommended by the employer with the reasoning for their choice 
• The candidate must submit a one-page write-up of their achievements academically and/or 
professionally
• The successful contestant must then commit to write a dissertation within 60 days of the award (between 2500 – 3000 words) for submission to the FIATA Committee for the ‘Young International Freight Forwarder of the Yea Award’. The choice of topics will be advised by FIATA later this year.

The winner of the Canadian contest will receive the choice to visit one of the following Canadian port cities: Halifax, Montreal or Vancouver that will include a visit to the port and airport of that city including a briefing on the cargo facilities and infrastructure in general. The trip will be a 3 nights, all expenses paid trip that includes flight, hotel and meals. The Canadian ‘award committee’ choosing the Canadian winner will be: Paul Lobas (President CIFFA), Pat Cullen (CIFFA Chair, Education Committee), H.J. George Kuhn (Exec. Director CIFFA) and Doug Burek (Director Education, CIFFA). 

In addition, the winner will then be submitted by CIFFA for consideration of the International Award as outlined earlier. A special international ‘Award Steering Group’ will choose the winner and the prizes are considerable:

1. Fully paid attendance at the 2002 FIATA World Congress held in
Istanbul/Turkey
2. A two-week training sojourn at a multimodal transport facility in either
Hong Kong, London/England or New Jersey/USA
3. A one week, classroom based training in transport related legal and insurance
matters in London/England
4. A one-week training on air cargo by IATA in Montreal

The following are the timelines for this contest:

Canadian submission: October 15, 2001 to the CIFFA Secretariat
Canadian award: December 15, 2001
FIATA submission: April 30, 2002
FIATA award: July 2002

Once again we urge the Management of our member companies to actively encourage participation and to promote this contest within their own companies.

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AITQ - Who are they?

Submitted by C.J. Gillespie

This short article is specifically addressed to our members in Quebec and concerns the issue of the AITQ, Association of Intermediaries in Transport of Quebec, and recent information that Quebec members may have received concerning this organization.

As a point of history, the writer and Rachelle Anger met with senior members of this organization to discuss the issue of the licensing of transportation intermediaries in Quebec, in an attempt to determine how we could best serve our membership in this regard. In consequence, we agreed that where our members are actively involved in truck broking activities in Quebec they would be well served to consider membership in this organization. The AITQ is in a far better position to serve our members engaged in these activities than CIFFA as a national body could ever hope to be. 

Although there was some concern with the wording of the AITQ’s initial approach to our members, I can assure you that it is not their intention to compete with CIFFA, but rather to focus on those areas of their benefit to our members, which is an initiative that has the full support of your national association. 

Hopefully this will put to rest any of the concerns which may have existed amongst our members and that those active in truck broking in Quebec give serious consideration to joining this organization such that this aspect of our activities can be adequately represented to the government in the Province of Quebec where otherwise we have a very limited voice.

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IT Solutions for Network Environments

By: Anthony Rosati

This is the 1st in a four part series dealing with technology, covering everyday technology issues that are of great importance to business no matter their size. Topics I will be discussing include e-commerce, security, virus threats, both internal and external, network maintenance, and outsourcing opportunities.

With the economic slowdown in the United States and the obvious ripple effect being felt in Canada, businesses have had to review overall business spending with a magnifying glass. Technology, has not been immune to the economic downturn, how are those Nortel shares doing today! 

Despite the death of many a dot-com during the recent stock market dive, there’s no doubt e-business is here to stay. World wide business-to-business (B2B) Internet commerce sales transactions in 2000 surpassed US$433 billion, a 189-per-cent increase over 1999, according to Stamford, Conn.-based Gartner Group.

Now you would think security and e-business would share the same importance, but most web based transactions take place exposed, in an unprotected environment. According to IDC Canada, of the 100 large to midsize companies surveyed, 55 per cent felt security was very important compared to other IT projects, yet they typically spent less than five per cent of their I.T. budgets on security initiatives. The ones spending the money, have already been exposed.

The fact is, breaches are occurring, and frequently. The Computer Security Institute published a study that showed eighty five percent of companies detected some form of computer security breach at their company in the previous 12 months and 64 per cent acknowledge financial losses as a result....ouch!

So the big question is how do we go about protecting ourselves? Well, a start is by implementing a company wide policy structure. I am amazed at how quickly I can locate security weaknesses in company networks due to simple policy lapses. Some people say "Ah policy, schmolicy," but I believe this is the most critical part of protecting your business. Businesses need to establish up-front what they want the system to do, what they want their internal users to do and what do they want their customers to do, this will drive your security protection.

The reality is any e-business, or any business with internet access, for that matter, is going to get attacked at some point. Companies have to be prepared....are you???

I have included what I consider essential security tips to get you started.

1. Reveal nothing – Consider all requests for access to your 
site or network.

2. Audit everything – The site, the network, employees, even 
your security administrator should 
be regularly checked.

3. Disaster Recovery – Practice rebuilding the site or network 
from the scratch.

4. Don’t use defaults- When setting up software do not leave 
default settings or passwords.
5. Classify users – assign everyone their proper access level to 
programs and data.

6. Make a list – password changes, software upgrades, bug 
fixes, patches, etc.

If you have any further questions or have an opinion on this topic please feel free to contact me at:arosati@3waysystems.com

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Blueprint Project – Transport Canada

The Hon. David Collenette, Minister of Transport, Canada has launched a new initiative to ‘define the challenges into the next decade and beyond’. The Minister has concluded that with 46 percent of our economy being export dependent, the focus for our transportation industry is becoming increasingly global. And ‘as globalization progresses, Canada and its trading partners will have to harmonize their transportation industries’ safety and regulatory regimes.’ As a consequence, industry sectors have asked the federal government to take a more active role and leadership in this respect. Dealing today with global transportation issues from a provincial perspective of regulations and regulatory regimes is an outdated way of thinking. What the industry requires is a competitive business environment with the least possible encumbrances from different levels of Government. 

All modes of transport are naturally affected and both carriers and infrastructure providers are calling for a level playing field with international competitors. On the other hand, ‘Canada needs to balance these requests with the need to secure adequate sources of revenue for financing programs and services and to ensure fair compensation for the property or services offered by the public sector.’ 

The International Freight Forwarding community is ideally suited to comment on such initiatives and we urge you to participate actively. This can be done by sending comments and input to the secretariat at georgek@ciffa.com or in a direct submission to the Government at blueprint@tc.gc.ca.

The whole document can be found at www.tc.gc.ca/blueprint or accessed through our website. The text of the speech by the Hon. David Collenette launching this initiative can be accessed at:
www.tc.gc.ca/en/mediaroom/speeches.htm

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Blueprint for ‘wheels up’ customs clearance

In their June 18 issue Air Cargo Week reports that initiatives are under way for a single entry system to be introduced within the next five years. The new system blueprint, under the umbrella of the WCO (World Customs Organization), outlines ways and means that would allow an export customs entry in an exporting country to be treated as the import entry at destination. Customs services around the world are working to create a data set for messages based on EDI standards that will also be Internet compatible. Trials are apparently under way between the UK and the US at this moment. 

At the time of writing we have no further details on this customs initiative but will attempt to gather more details for a later edition. 

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WCB –  (Workmen’s Compensation Board) – Alert!

It has recently been brought to the Secretariat’s attention that the WCB appears to have started another ‘harassment campaign’ of International Freight Forwarding Companies! Simply because an International Freight Forwarding company might operate a couple of trucks for pick-up and delivery or operate – at arm’s length – a third party distribution center, the WCB seems intent on classifying the whole operation under such a monetarily onerous category! 

CIFFA agrees that the number of employees working in warehouses or as truck operators require to be classified in the proper categories. But CIFFA disagrees completely with the WCB’s intent of classifying employees that work in a regular office environment at the equivalent levels. 

It is the Association’s intent to monitor these misguided WCB initiatives closely and we appreciate your active contribution by advising and discussing – in all confidence – any related matter with our Secretariat. Email your comments to georgek@ciffa.com

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GST ‘money grabbing’ Alert!

It is unfortunate, but a fact of life, that every time a tax cut is announced, the Government will try to find another loophole to compensate for monies returned! And naturally, the complex world of International Freight Forwarding may well appear to be a most appealing target for the overzealous bureaucrat intent on advancing his or her career!

This best sums up a recent experience one of our member companies has undergone in the Province of Quebec! In the end, and after spending thousands of Dollars on lawyers and accountants, our member was declared ‘clean’ and ‘fit’ to continue business as usual. But nobody will compensate the firm for the hard and soft dollars spent in aggravation, time wasting audit hours, lawyers and accountant fees et al! Is this right? Is this what Government is all about? Where is, after all, the accountability to us, the taxpayers? 

CIFFA wants to monitor such excesses and overzealous applications of our public service people and is asking you to share similar experiences with our Secretariat. Email your comments to georgek@ciffa.com

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Considerable freight volume downturn at Tokyo Narita Airport

The cargo volume at Tokyo Narita Airport has experienced a record freight downturn in April of this year. Narita Airport is the second largest airport in the world in terms of cargo volume and is heavily dependent on shipments of electronic products and semiconductor-related equipment. 

The decline of 12% (!) is largely attributed to the economic slowdown in Asia and the United States and is apparently the 7th consecutive monthly decline in volume but represents the first double-digit decline ever experienced. The three leading cargo carriers using Narita – FedEx, Japan Airlines and Northwest Airlines naturally experienced a similar drop in cargo volume.

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EU deadline of October 1 approaching fast

As already reported in our April issue, the deadline for new wood packing regulations to the European Union is fast approaching. Please make sure to advise affected exporters now of the new regulations. As of October 1, 2001 the EU is implementing new phytosanitary regulations for packing cases, boxes, crates, drums and similar packings, pallets and other load boards, pallet collars of conifer wood except that of Thuja spp. The same naturally applies to dunnage used for blocking and bracing in a container. 

From October 1, 2001 wood packing made of non-manufactured conifer wood (except that of Thuja ssp.) exported to all EU countries, must comply with one of the following requirements:
• Wood has been treated or kiln dried to a minimum core temperature of 56 degrees C for at least 30 minutes in an approved facility; or
• Wood has been pressure (impregnated) treated with an approved chemical in accordance with an officially recognized technical specification; or
• Wood has been fumigated with an approved chemical in accordance with an officially recognized technical specification

In lieu of a phytosanitary certificate or an industry issue certificate, the wood must display an approved marking, enabling the identification of where and by whom the treatment was carried out. 

Wood packing that is not subject to phytosanitary restrictions is any product such as plywood, particle board, oriented strand boards, veneer, wood wool, etcetera. In other words, wood that has been created using glue, heat and pressure or a combination thereof. Wood packing of non-conifer species is not currently restricted and is also exempt under the new EU regulations on wood packing. 

If more information is required, please contact Shane Sela at the CFIA (250) 363-3432 or by e-mail: selas@em.agr.ca.

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Exporting Goods from Canada

The CCRA has recently published an informative booklet on the above. It is short and simple to read. It can be accessed as follows:
www.ccra.gc.ca, (select 'Forms and Publications'). Printed copies in French or English can be obtained through the local customs office.

Conference: Cross Roads for Change/Trade Corridors Conference

This conference will be held in Flint, Michigan between October 21 - 23, 2001. This is supposedly the 4th Annual Trade Corridors Conference and is held for the first time in the U.S. Anybody interested in participating should access: www.tradecorridors.com or call 1-888-527-3434.

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Conference: Cross Roads for Change/Trade

This conference will be held in Flint, Michigan between October 21 -23,2001. This is supposedly the 4th Annual Trade Corridors Conference and is held for the first time in the U.S.Anybody interested in participating should access: www.tradecorridors.com or call 1-888-527-3434.

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DFAIT Permit Implementation POSTPONED from July 3

DFAIT has decided to postpone the Go-Live implementation date of the new EICS from July 3, 2001 to August 7, 2001.

The system-connectivity problems have forced the change in the date.

The system will be closing down on August 2, 2001 at 18:00 hours, and will re-open for business on Tuesday, August 7, 20901 at 8:00.

The existing contract with customs brokers continues be in force until EICS is launched (on the new date of August 7, 2001).

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Canada Transportation Act Review Panel

A review is presently under way by the Government regarding the direction of future national transportation policy and legislation. Manitoba has submitted their comments and the text can be accessed at: www.reviewcta-examenltc.gc.ca

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CCRA - Administrative Monetary Penalty System

The Administrative Monetary Penalty System (AMPS) is a proposed civil monetary penalty system being introduced by the Canada Customs and Revenue Agency (CCRA). AMPS legislation must be passed by the House of Parliament and is scheduled to become law on October 29, 2001.

The purpose of AMPS is to improve business with the CCRA by discouraging non-compliance and promoting corrective actions. The entire importing community, from Carrier to Importer, is subject to a graduated range of penalties that will increase with the frequency and gravity of the infraction. Penalties have been developed for specific contraventions of the Customs Act.

Penalties will be based on criteria, such as the clients' contravention history and the seriousness of the contravention; and will range from warnings to monetary penalties to more severe consequences, such as loss of licenses or privileges. Seizure, forfeiture and criminal prosecution will continue to apply to the most serious of offences.

A correction process will be available to clients whereby a request for correction will result in the cancellation of penalties in cases of obvious error.

Penalties can be reduced or waived if the client agrees to take corrective actions within a specified time frame to ensure that the regulations or conditions of compliance agreements are no longer violated.

The corrective actions may include actions such as systems and equipment improvements, changes to reporting and accounting techniques, better record keeping and the training of staff.

A few examples of AMPS penalties are as follows:
A. Importer fails to make the required corrections to a declaration of origin, tariff classification or value for duty of imported goods after having reason to believe that the declaration was incorrect:

1st. Infraction - 5% of the value for duty or $100, whichever is greater

2nd Infraction - 10% of the value for duty or $200, whichever is greater

3rd and subsequent Infraction - 20% of the value for duty or $400, whichever is greater

B. Importer or owner of goods fails to have a certificate of origin in the person's possession when claiming preferential tariff treatment as prescribed.

1st Request - $1,000
2nd Request- $5,000
3rd Request - $10, 000
Subsequent Requests - $25,000

Please refer to the CCRA website www.ccra-adrc.gc.ca/customs/general/amps/penalty-assessment-e.html

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Montreal Symposium and AGM - A Success!

By: Rachelle Anger

rachelle@qcps.org


The recent Annual General Meeting and Symposium of the Canadian International Freight Forwarders Association ( CIFFA ) was held on May 30th and 31st in Montreal. Participants enjoyed valuable and timely advice by specialists on Customer Relationship Management (CRM).

The moderator of the Symposium, Mr. Norman Loiseau, summed up his views by saying: 

"Location, location, location - that's old news! What's going to keep you in business is relationships, relationships, relationships!" Freight forwarders are all competing globally for the same business. "You can't survive with the old practices of raid, undercut and back-stabbing."

Martin Wales, a marketing and communications expert with a weekly radio show in Toronto, expounded on the theme of CRM. He said, " the quality of a relationship is the direct result of the quality of communication." "People always need to feel they are getting more value", and he added, " everything today is about speed - but people want to feel they are not just a number."

Mr. Wales stressed the importance of CRM technology in trouble shooting and prevention, using illustrations of high costs in acquiring new clients as opposed to the more manageable costs in retaining current clients.
Pamela Morrison, university lecturer, expanded on the same topic, commenting that " the longer you have a customer, the more profitable it is." She also warned us not to lose sight of our core business while focusing on new business. The most important priority should always be the current customers and good relationship management with them.

Bill Marshall, President and General Manager of WJ Jones Co. Ltd. and university lecturer, said that while he had great respect for electronic systems and solutions, he personally preferred " the human element to provide customer service answers." He stated that technical tools must be tempered by people's judgement. He also compared the difference between being efficient and being effective. Most companies, he pointed out, are focusing on efficiency using the driving force of economic restructuring, advanced electronics and quality programs.

Mr. Marshall further outlined specific targets such as learning the customers business and understanding the market. The ultimate goal for everyone should be price-inelasticity. The route to that goal is through customer loyalty and achieved through CRM.

In the final session, we heard from Mr. Frank Burell, President of Source One Consultants, who enlightened the participants on various available programs and systems which could facilitate good Customer Relationship Management.

Overall, the certificate symposium was an excellent contribution to the forwarding industry.

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Dangerous Goods News

There are a number of dangerous goods issues that you should be aware of.

IATA Dangerous Goods Regulations

Effective July 1, 2001, there are a number of changes that may affect your handling of dangerous goods shipments. Please check the IATA web site for these changes:
http://www.iata.org/cargo/files/sp9_.pdf

There are also a number of errors in the current edition (42nd edition, 2001) that may impact your handling of dangerous goods shipments. Please check the IATA web site for these changes: http://www.iata.org/cargo/errors_42nd_edition.pdf

Training of Personnel

This is an ongoing issue, and one in which many of our members appear confused. Under Canadian law, any of your personnel involved with dangerous goods must be trained.

The actual wording of the Transportation of Dangerous Goods Regulations is: "No person shall handle, offer for transport or transport dangerous goods, or direct another person to handle, offer for transport or transport dangerous goods, unless the person who is performing or who is directed to perform those activities 
(a) is a trained person; or 
(b) is performing those activities under the direct supervision of a trained person."

What this means is that any person who handles, offers for transport, or transports dangerous goods must be trained. This applies to office staff, warehouse staff, and drivers/delivery staff. All modes of transportation are covered under this legislation: air, road, rail, and maritime.

The training must be mode specific, as there is specialized training required for air and maritime transportation. Also, the training must be related to the aspects of your personnel’s’ job duties and responsibilities. This can very from a few hours of training for a dangerous goods awareness program, up to several days of detailed training for personnel verifying the shipper’s documentation and packaging.

Current legislation demands that personnel are trained for air mode every 12 months, and for the other modes, every 36 months.

Please ensure your personnel who deal with dangerous goods are properly trained. Failure to comply, may result in fines and/or imprisonment.

Air Dangerous Goods Training

IATA specifies that at least two dangerous goods qualified persons are employed in each location. Please be aware that this is a minimum requirement, and that the Canadian Transportation of Dangerous Goods takes precedence. In other words, anyone who deals with dangerous goods in your company must receive training. Following IATA’s minimum requirements may put you in violation of Canadian law.
To assist you with meeting these obligations, CIFFA has developed two dangerous goods training programs for air mode, which are currently undergoing approval from IATA. Unfortunately, IATA is currently re-organizing its structure, and our program approvals are being delayed.

We expect to have our IATA approved training programs available to our members starting this September. Please check our web site in the near future, for the schedule of our programs.

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INAUGURAL AIRFREIGHT EXPO 2002 TO BE LAUNCHED AT ASIAN AEROSPACE 2002

SINGAPORE, 27 March 2001 – The inaugural air logistics exhibition and conference, AirFreight Expo 2002, will be the new focal point of Asia Pacific’s fast growing air logistics industry. 

Organized by Asian Aerospace Pte Ltd., AirFreight Expo 2002 will be held in conjunction with Asia’s largest aerospace showcase, Asian Aerospace 2002, from 26 February to 3 March 2002 at the Changi Exhibition Centre.

"AirFreight Expo 2002 seeks to address the logistics challenges that come with increased air freight activity in the region. AirFreight Expo 2002 will showcase the latest range of air logistics products and services that will help gear the region towards providing a world-class air freight infrastructure," said Mr. Jimmy Lau, Managing Director of Asian Aerospace Pte Ltd.
Housed in a dedicated exhibition hall at Asian Aerospace 2002, AirFreight Expo 2002 will be a showcase platform for the international airfreight community. The exhibition will showcase regional cargo hub services, airport operators, cargo handling systems, cargo management, traffic management, tracking systems, aircraft conversion services, loading and unloading systems, containers and Unit Load Devices, air logistic management software and services, logistic management & consulting services and airport management systems.

"AirFreight Expo 2002 was launched in respond to growing demands for a dedicated event serving the Asia-Pacific air logistics community. Trades visitors to Asian Aerospace already include many personnel from the airfreight industry. AirFreight Expo 2002 will allow our exhibitors to tap on the existing pool of key visitors," added Mr. Lau.

For more information and regular updates on AirFreight Expo 2002, please visit the event’s website, www.AirFreightExpo.com

For information on the "Canadian Pavillion" contact Deirdre Frost 
email: dfrost@reedexpo.com 
Tel. (203) 840-6227 
Fax. (203) 840-9570

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Congratulations to our new graduates!

The graduation ceremonies have been concluded, and we are proud to announce that we now have another 254 graduates who have successfully ompleted Module I of our Professional Education Program. The Western Division graduation ceremony took place on June 12, at the Abercorn Best Western Inn. Special mention goes to Tarminderjit Sander, who achieved the highest mark in Western Division (86%), and received the Job Nicolai Education Award for that Division.
The Central Division graduation ceremony took place on June 6, on a schooner sailing around Toronto harbour. Luciana De Angelis achieved the highest mark in Central Division (94%), and received the Central Division’s Job Nicolai Education Award.

The graduation ceremony for Eastern Division was held on June 20, at Concordia University. The Eastern Division’s Job Nicolai Education Award winner was Marie Caisso, with a mark of 92%.

Many of these graduates will be taking the newly introduced Module II program, starting this September.
Again, congratulations and best wishes to our new graduates!

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EXPANDED PROFESSIONAL EDUCATION PROGRAM
CIFFA has now expanded its Professional Education Program for Freight Forwarders, by adding a second Module (Advanced Certificate in International Freight Forwarding). Module II will provide our members with more detailed knowledge of our industry, and will build on the knowledge learned in Module I.

Completion of Module II, will allow our members to apply for the new Professional Designation (coming later this year), as well as the FIATA Diploma in Freight Forwarding.

Deadline for Course registration is August 10, 2001. Register on line or complete the registration form and mail it together with your cheque to the CIFFA Secretariat.You can access detailed information on Module II, through the following link:
http://www.ciffa.com/education_courses_module2.html

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CIFFA MEMBER PRINCIPALS 

Update your company contacts

In an effort to ensure that the proper person in charge of training in your company is receiving our educational updates, we would like the following information sent to the Secretariat as soon as possible: Name of H.R./Training Dept., full address, telephone, fax and email information.

As the Secretariat tries to become "paperless" we would also like to have a list of all the employees in your branch offices that you would like to receive our EMAIL BROADCAST updates. Please advise their names, city and email addresses.

Send your updates to Marilyn Massoud at: marilyn@ciffa.com

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PRESS RELEASES

1. Kuehne & Nagel to acquire USCO Logistics

Switzerland – May 23 ’01. Kuehne & Nagel International AG announced that it has signed an agreement to acquire USCO Logistics based in Hamden, CT. With this acquisition Kuehne & Nagel will have full access to the logistics market in North America, and realizes a further important step in its strategic concept to offer integrated contract logistics solutions on a global basis. After having restructured and expanded this business in Europe, the contract logistics operations, as a result of the alliance with SembCorp Logistics Ltd., Singapore, were extended to the Asia Pacific region. Thus Kuehne & Nagel is now a truly global contract logistics player.

2. CAST appoints new agents in Eastern Europe

March 28 ’01. Cast has appointed Maritime Transport & Agencies (MTA) as its agent in Russia, Poland, Latvia and Estonia. Cargo to and from eastern Europe is rapidly transshipped through Hamburg or Antwerp on Cast’s weekly services into both of those ports. 

"Cast has a long and productive relationship with MTA and we believe having the same agent will help create logistics synergies," says Peter Seminck, CEO.

For the four agents’ address details see the complete press release at:
www.thepresscentre.com

3. Panalpina Opens New Facility - Bringing a Whole New Dimension to Service

Toronto, June 01 - At Panalpina we’re used to moving efficiently. With the integration of our four Toronto Area locations into one new state-of-the art 300,000 sq ft logistics center our customers have benefited. Strategically located in the Heartland Business district of Mississauga Panalpina is central to highways 401, 410 and Pearson International Airport. The strong combination of a centralized location and operations means Panalpina is "moving forward to move your business farther". 

Regional Calendar of Events

Central

1. Central Tournament 19th Sept 2001 - Kleinberg Golf Club, Tee times beginning at 10:30 am. Members $110 Non-Members $125.00 Hole Sponsorship available. Contact Jodie Wilson at LCL Navigation (email jodie@lclcan.com) to book tickets and Bob Burns at Carson International (email burns@carson.ca) for hole sponsorship. 

2. Forwarders Choice Awards 9th November 2001 - Mississauga Convention Centre Members $85 per ticket $800 per table of 10. Jam* Tickets only - 10pm to 02.00am $10 pp. 
*Calling all musicians.....Are you a player? You may even have a band. Do you want to join a forwarding Jam Session following the FCA? Were you in a name band in the 60's, here or overseas? Would you like to get up and strut your stuff for fun? Anyone interested in participating in entertaining our industry colleagues should make contact with Steve Valentine: steve@cargoalliance.com We aim to have four hours of real fun, and maybe some music from people whose past may just surprise you. 

Forwarders Choice bookings to Jodie Wilson. LCL Navigation, email jodie@lclcan.com
Eastern 

1. Golf Tournament: Date: September 20, 2001 Location: Candiac Golf Club Cost: $90.00 (includes golf, cart, dinner & taxes) Cost Dinner Only: $35.00 Contact: Sandy Dallas, Exel Global Logistics (Canada) Inc., Tel. (514) 734-4541

Western

1. AGM Luncheon will be held in August. Exact date TBA. There will be a speaker at this event. Contact Craig McKay, Western Chair, c/o Adanac International Forwarders, tel. 604-273-8611

Space is limited for all functions.
Book early!

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New Members Approved

The CIFFA Secretariat would like to welcome the following companies as new members and look forward to their active participation in the Association.

Regular Members

C.S. World Cargo 2000 Ltd. (Central only)
7027 Fir Tree Drive
Mississauga, Ontario L5S 1J7
Tel. (905) 671-2800
Fax. (905) 671-2665
www.csworldcargo.com
C. Singh, President
Email: chandie@csworldcargo.com
R. Narulla, Treasurer

C2 Logistics Inc. (Eastern only)
222 Queen Street, Suite 1502
Ottawa, Ontario K1P 5V9
Tel. (613) 238-8474
Fax. (613) 238-5519
www.c2logistics.com
Email: team@c2logistics.com
J.S.M. Marks, President
P.G.Greaney, V.P.
S.V.M. Tucceri, Director Projects

Maltacourt (Canada) Ltd. (Central only)
P.O. Box 95
Toronto AMF, Ontario L5P 1A2
Tel. (905) 405-8131
Fax. (905) 405-8101
G.J. DeBrusk, Director
Email: gjd@maltacourt.ca
C.R. Hill, MD, U.K.
J. Mistry
Proposed by Gillespie-Munro Inc.
Seconded by Air-Ship International
Associate Members

Seanautic Marine Inc. (Eastern & Central)
20 rue Saint Paul. O
Montreal, Quebec H2Y 1Y7
Tel. (514) 287-1812
Fax. (514) 287-9202
Email: infomtl@seanauticmarine.com
A.E. Muelly, President
S. Lahijanian

Messrs. Gowling Lafleur Henderson (Across Canada)
Suite 4900 Commerce Court West
190 Bay Street
Toronto, Ontario M5L 1J3
Tel. (416) 862-7525
Fax. (416) 862-7661
www.gowlings.com
D. Saul
Email: Deal.Saul@gowlings.com
Ms. C. Pawluch
Email: Catherine.Pawluch@gowlings.com

OAG Worldwide
2000 Clearwater Drive
Oak Brook, Illinois
USA 60523-8806
Tel. (630) 574-6809
Fax. (630) 574-6373
www.oag.com
D. Kenah
Email: dkenah@oag.com
Ms. L. DelReal
Email: ldelreal@oag.com

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CASS Canada is very pleased to welcome Virgin Atlantic Cargo as a new airline to CASS Canada

Their participation will start on June 16th, 2001 
The following procedures will apply:
· Air Waybills executed with a date of June 11th, 2001 and later will be reported by Virgin Atlantic Cargo to CASS and are payable through CASS Canada.
· Any transactions prior to June 10th, 2001 should be settled directly with Virgin Atlantic Cargo, unless the Airline and the Agent/Associate agree in advance to settle through CASS;
· Under no circumstances can CASS be used to settle disputed items, particularly if they pre-date Virgin Atlantic Cargo's CASS participation. The financial outcome of a settled dispute may however be paid using CASS, provided there is a written agreement between the Airline and the Agent/Associate to that effect. If such a settlement is paid using a Debit/Credit Memo (DCM), then such DCM must be signed by both the agent/associate AND the airline. 
· Agents and CASS Associates need to show their full 11-digit Agent or CASS Associate code in the appropriate section of each AWB they issue on behalf of Virgin Atlantic Cargo. Virgin Atlantic Cargo has chosen to participate as a ‘Billing Participant’. Under this method, the airline submits AWBs to CASS for processing using an electronic interface with Oceanwide.com.
Your contacts at Virgin Atlantic Cargo are:
CASS related questions:
Ms. Denise Rivera, Manager, Credit & Collections
Virgin Atlantic Airways Ltd.
1983, Marcus Avenue, Suite 100
Lake Success, N.Y. 11042 USA
Tel: (516) 775-2600 ext. 119
Fax: (516) 354-3760
e-mail: denis.rivera@fly.virgin.com 

Sales and operations related questions:
Ms. Caroline Pappas, caroline.pappas@fly.virgin.com 

Your contact at the CASS Canada Data Centre, 
élan Data Makers, in Vancouver is: 
Ms. Joan Hilworth, 
Tel: (604) 669-9366 Fax: (604) 669-1520 
e-mail: elanops@elandatamakers.com

We also welcome new Austrian Airlines (effective May 01st, 2001) and Aeoroflot-Russian Airlines (effective July 31st, 2001) as new CASS Canada Members

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Correspondence from at home and around the world

We have received correspondence from the places listed below, looking for agency relationships with member firms in Canada. Should you be interested to establish an agency relationship in any of these places, please contact the Secretariat for details via email to sandraf@ciffa.com

Agents:

1. Bandung, Indonesia
2. China
3. Karachi, Pakistan
4. Dhaka, Bangladesh
5. Kingston, Jamaica
6. Nairobi, Kenya
7. Chittagong, Bangladesh
8. Tema, Ghana
9. Offering Service between Hong Kong 
& Singapore
10. Chennai, India
11. Turkey, offering service to and from 
Black Sea countries
12. Karachi, Pakistan
13. Egypt
14. Iran
15. Safat, Kuwait
16. Karachi, Pakistan
17. Santos, Brazil
18. Chittagong, Bangladesh

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Events of Interest 

1. Trans Asean 2001, Transportation at The Dawn of a New Century – September 26-28, 2001, Jakarta Convention Center. Contact Eva Prasetyo, Sales Manager, Tel. (62-21) 3190-1987, email: eva_prasetyo@ptrei.com

2. Air Cargo Americas 2001 Congress & Exhibition – October 31-November 2, 2001, Miami, FL 
Contact Annie Quintana, Tel. (305) 871-7910 
email: aquintana@worldtrade.org

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Resumés 

1. Should you be interested in any of the following job applicants, please contact the Secretariat for details via email to sandraf@ciffa.com

2. Chinese immigrant from Qingdao with 7 years managerial experience in the industry, with a BA in Railway vehicle.

3. Torontonian seeks position with a logistics company, applicant has over 15 years experience in operations. Holds a BA and MA.

4. Chinese immigrant from Tianjin with eight years experience in freight forwarding, with B Economics. 

5. Immigrant from Ecuador with over 10 years experience in the industry seeks position in freight forwarding. Multi-lingual.

6. Albertan seeks entry level management position in Western Canada in forwarding industry. Applicant has experience as a professional driver of 7 years, with formal training in Public Relations.

7. Californian offers remote offsite contract services regarding Internet/Database Development. Applicant with experience in a variety of different sectors.

8. Recent graduate of Sheridan College, International Business, with a BA from U of Toronto seeks a position with a freight forwarder.

9. Bilingual Torontonian seeking position in Sales & Marketing and International Development. Candidate holds FITT diploma.

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Montreal Symposium and AGM

CIFFA would like to thank the following sponsors for their generosity in supporting our 2001 event in Montreal.

Platinum

Air Canada
British Airways World Cargo
Port of Montreal

Gold

Canada Maritime Agencies Ltd.
Canadian Sailings
Cathay Pacific Airlines
David Kirsch Forwarders Ltd.
Gillespie-Munro Inc./ Gillship Navigation
KLM Cargo
LCL Navigation Ltd.
Maersk Sealand
Magnacargo, NVOCC
Marsh Canada Limited
OOCL Canada Ltd.
Quad City Port Services Inc.

Silver

Cargo Alliance Ltd.
Carson International
Cole Freight Inc.
Ecu-Line Canada Inc.
Gestion Logistique-/Les Éditions Bomart Ltée.
Panalpina Inc.
Bronze

AON Reed Stenhouse Inc.
A.N. Deringer Inc.
Canada 3000 Air Cargo
CAST North America Inc.
C-Team Systems
Confreight Maritime Lines Canada Inc.
Fritz Starber Inc.
GTI Industries
Guy Tombs Limited
ING Wellington Insurance Company
King City Northway Forwarding
Montship Inc.
M.O.T. Intermodal Shipping Inc.
Orion Management Consultants
P & O Nedlloyd
Palmer Muzzin Inc.
Senator Lines
Shulterm/Shultrans
Simard Transport & Warehousing
Tower Group International Canada Ltd.
Trans Plus Warehouse
TSI Terminal Systems
Verville Transport Ltée.
Swisscargo / Sabena

CIFFA would like to thank the following companies who participated in our Trade Show Exhibition. All attendees appreciated being able to make contact with many of their suppliers.

Air Canada Cargo
A.N. Deringer Inc.
American Airlines
British Airways World Cargo
Canada 3000 Air Cargo
Canadian Sailings Magazine
Cargo Alliance Ltd.
CargoSmart
CIFFA
C-Team Systems Inc.
Export Reporting - Canada Customs 
and Statistics Canada
Gillship Navigation
KLM Cargo
Magnacargo, NVOCC
Oceanwide.com
Port of St. John, NB
Prolan Info
Source 1 Consultants
Topax Export Packaging Systems
Tropical Shipping
Varig Cargo
ViaSafe Inc.

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Transport Canada - Annual Review

Transport Canada has just published their annual report, Transportation in Canada - 2000. This report can be found on their website at http://www.tc.gc.ca/pol/en/policy_menu.htm

The report presents a good overview of transportation activities during the year and highlights their importance for trade, tourism, energy use as well as their impact on employment and the environment.

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Transport market barometer set to "changeable"

Reproduced from the International Transport Journal 25/2001

Predictions for traffic volume developments for the next six months are even more cautious than they were for previous quarters in all sectors of the transport industry.

Prognos, Basel (Switzerland), and the Centre for European Economic Research (Zentrum für Europäische Wirtschaftsforschung - ZEW) have released their latest quarterly survey of expert opinion in the industry. The 200 or so leading specialists from the transport and the shipping industries whose opinions were canvassed are less optimistic for the next six months than for foregoing periods. This may be largely due to the fact that expectations for economic growth in Germany are now being revised downward to fall in step with the stuttering pace of the US economy. However, the picture is more differentiated when broken down on a sector-by-sector basis.

The courier, express and parcel sector in particular, which is still experiencing a boost from the introduction of e-commerce and e-logistics, has seen a rather smaller setback to its hopes than the other sectors of the industry.

The forecasts for domestic transport operations in Germany are more cautious than those for cross-border transit, which will continue to move forward on the back of the sustained dynamism of foreign trade.

The reduction of inflationary pressures, evident in the first quarter will manifest itself even more strongly. The smaller volumes projected for most transport modes will thwart any attempt to raise prices. The lifting of fuel price surcharges and the leveling off of the rate of increase of fuel prices point the way to stable transport rates.

Developments in detail

The prognoses for the road haulage sector are distinctly muted: Only one in four of the specialists surveyed predict growth in the short-haul sector, however one in three still expect an advance in long-haul traffic.

The outlook for rail traffic in the next six months is bleak: 25 to 30% of those consulted are expecting falling volumes in the domestic and in intra-Western Europe traffic. The long-term trend on inland waterways will be maintained with a continuing gentle fall in volumes. The experts forecast that volumes should hold up in the airfreight sector.

The courier, express and parcel sector is one of only two markets exhibiting some resilience. Most correspondents predicted continued growth here. The immediate outlook for intermodal transport sector is also relatively bright.

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Stop the Presses!  Breaking news . . .

IATA (International Air Transport Association) has just given CIFFA verbal approval of our Air Dangerous Goods training programs.

CIFFA will now be qualified to teach Air Dangerous Goods programs to its member companies across Canada. Following the signing of contracts with IATA, CIFFA will become an IATA Endorsed Training School for Dangerous Goods.

This year, we will deliver two types of programs:
- An Initial Program for personnel who have no previous experience or knowledge in how to verify that the shipper has followed the correct procedures to ship dangerous goods by air; and
- a Recurrent Program for personnel who do have the previous experience and knowledge.

Next year, we plan to deliver an Awareness Program for warehouse staff, and office staff who may come into contact with dangerous goods, but have no verification responsibilities.
Our new Dangerous Goods training brochure will be sent to you via a separate mailing, within a month. When it arrives, please ensure members of your staff and management are made aware of our new course offerings.

The brochure will also contain the schedule of Air Dangerous Goods courses offered for the remaining part of 2001, starting in September. The schedule has been developed with input from our members, to ensure that a quality Air Dangerous Goods course is available in a variety of cities.

Please check our web site for additional information on Dangerous Goods, and the other education programs we have to offer:
http://www.ciffa.com/education.html

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Air Cargo News

Submitted by: Trevor J. Stebbing 

New Alliance Formed 

The Inuvialuit Development Corporation (IDC) has formed the Arctic Transportation Group (ATG), which is a strategic alliance of five IDC transportation companies that includes Aklak Air, Canadian North, Inuvialuit Northern Logistics, Northern Transportation Company Limited and Canadian Helicopters. 

Based in the northern regions of Canada, the ATG alliance informs it will offer customers direct access to integrated passenger, freight and logistics services, guaranteed service and capacity for cargo and passenger traffic, and Arctic proven service expertise. 

"The Petroleum industry has returned to the north. The increased level of exploration and production has put new demands on northern transportation and logistics," said Dennei Lennie, chairman of the board of directors at IDC. "The Arctic Transportation Group is IDC's innovative response to a rapidly growing industry." 

Alitalia alliance with Air France & Delta 

Alitalia received approval on Monday July 09th 2001 for its alliances with Air France and Delta. Alitalia said discussions on co-operation in marketing and other services would eventually allow Alitalia to join the SkyTeam alliance, which groups together Air France, Delta, Aeromexico, Czech Airlines, and Korean Air. The approval clears the way for Alitalia link up with Air France whereby the carriers will operate and code-share on each others flights between Italy and France. This will later be followed by similar arrangements with Delta in the growing transatlantic market on flights to the United States. 

Our losses in brief 

Roots Air: Grounded May 2001 by acquisition. We could possibly see Roots Air wide-bodied A330's and narrow bodied A320's flying again later in the year as a passenger discount carrier. However at this moment in time it is too early to know if cargo will be in the picture. 

Royal Airlines: Montreal based Royal Airlines was acquired by Canada 3000. 

Canjet: Halifax based Canjet was acquired by Canada 3000. Equipment for both and routings now successfully integrated into Toronto based Canada 3000's Air Marketing Services Inc. is the exclusive G.S.A. across Canada 

Aerolineas Argentinas: Filed for bankruptcy protection Thursday 21st June after it failed to resolve long-running disputes with labour unions over a restructuring plan. Aerolineas is flying at only 20% to 30% of capacity after suspending almost all international flights and six domestic flights. To encourage potential buyers, the Argentine government intends to keep Aerolineas's flight routes intact so that it might offer the package to another airline carrier. 

As information, Aerolineas Argentinas' only International services currently listed from Buenos Aires are to:- Caracas, Venezuela. Montevideo, Uruguay. Santa Cruz de la Sierra, Bolivia. Santiago, Chile. 

Icelandair: Will cease operations from Canada with the switch over to its winter schedule on October 25th, 2001. Icelandair's board of directors has announced a 5 per cent reduction in scheduled international services by 2002, which includes the termination of flights between Iceland and Halifax, Nova Scotia. 

Our Gains in brief 

EVA Airways: Started a twice weekly MD-11 Freighter service from Taipei routing Taipei-Anchorage-New York-Toronto-Anchorage-Taipei (and beyond) on Wednesday's and Friday's commencing March 28th, has now added an addition Sunday service. Cut-off time is 18.00 Hrs Saturday for Montréal shippers and 16:00 Hrs Sunday for Toronto shippers. 

Austrian Airlines: (a Star Alliance partner) began non-stop, scheduled air service between Toronto and Vienna on April 28, 2001. Service is five (5) times weekly (no service on Tuesday's & Wednesday's) on Austrian Airlines' new-generation, long-haul Airbus Industry A330-200 wide-body aircraft. 

Virgin Atlantic Airways: Commenced daily Boeing 747-200/400 round trip service from London Gatwick to Toronto and back June 12th, 2001. Virgin opened its own Virgin Atlantic Cargo offices for sales and marketing at Pearson International Airport. Virgin is also looking at possible services to Vancouver within the next 3 years and has approached Ottawa with regard to the possibility of starting up a domestic subsidiary to service inter-Canadian points. Virgin Atlantic Airways celebrated its 17th birthday on June 22nd, 2001. 

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