IMB Piracy Report Highlights Violence in West Africa

Published on July 15, 2013

Somali piracy has fallen to its lowest levels since 2006, focusing attention on violent piracy and armed robbery off the coast of West Africa, the International Chamber of Commerce International Maritime Bureau (IMB)’s global piracy report revealed today.

Worldwide, the IMB Piracy Reporting Centre (PRC) recorded 138 piracy incidents in the first six months of 2013, compared with 177 incidents for the corresponding period in 2012. Seven hijackings have been recorded this year compared with 20 in the first half of 2012. The number of sailors taken hostage also fell dramatically; down to 127 this year from 334 in the first six months of 2012.

In the Gulf of Guinea, in addition to a rise in piracy and armed robbery – 31 incidents so far this year, including four hijackings – IMB reports a surge in kidnappings at sea and a wider range of ship types being targeted. This is a new cause for concern in a region already known for attacks against vessels in the oil industry and theft of gas oil from tankers.

“There has been a worrying trend in the kidnapping of crew from vessels well outside the territorial limits of coastal states in the Gulf of Guinea,” said Pottengal Mukundan, director of IMB, which has monitored world piracy since 1991. “There continues to be significant under-reporting of attacks – a phenomenon highlighted by the IMB year on year. This prevents meaningful response by the authorities and endangers other vessels sailing into the area unaware of the precise nature of the threat.”

Mr. Mukundan applauded the signing of the Code of Conduct Concerning the Repression of Piracy, Armed Robbery Against Ships, and Illicit Maritime Activity in West and Central Africa in June 2013 by the heads of the West and Central African countries.

Latest attacks may be viewed on the IMB Live Piracy Map.

Click here to read more in ICC’s website.

Staff contact: Nasim Deylami

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ICC Guide to National Procedures for Recognition and Enforcement of Awards Under the New York Convention

Published on July 10, 2013

Publication No. 733 Paperback, 2012 Edition Price : $135.00 — Publication No. 733
Paperback, 2012 Edition
Price : $135.00

A Special Supplement to the ICC International Court of Arbitration Bulletin
Order your copy now at our International Bookstore

This latest bulletin is a practical resource for anyone considering enforcing an arbitral award in one or more countries. It systematically sets out local rules of procedure, case law and court practices in many of the contracting states to the United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards. Drafted by specialists in the field, this guide covers 79 countries and territories and takes account of recent legal developments including numerous citations to legislation and cases.

USCIB International Bookstore
Tel: 212-703-5066
E-mail: Bookstore@uscib.org

www.internationaltradebooks.org

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Uncertainty Hampering Trade Finance ICC Survey Shows

Published on July 9, 2013

The International Chamber of Commerce’s 2013 survey on trade and finance, released in June, has found that a continued shortage of trade finance for international trade remains a major challenge for economic recovery and development, with many traders depending on overdraft and other corporate loans to finance exports and imports.

The proliferation of new regulations in recent years has increased cost pressure on financial institutions and depressed markets. Some 65% of surveyed experts said implementation of Basel III regulations is affecting the cost of funds and liquidity for trade finance. While many changes have already been implemented or proposed, the regulatory future remains unclear due to lack of harmonization, which remains a major problem for trade financiers and their clients.

The ICC survey positively indicates that despite uneven performance around the world in 2012, the market for trade finance does show signs of slow and steady growth, with temporary trade measures imposed during the financial crisis – including the rise in fees for trade –slowly being removed.

“This shows that financial intermediaries are continuing to satisfy the demand for financing and that investing in trade assets is part of a more sustainable model of banking, said Pascal Lamy, director general of the World Trade Organization, in the survey’s foreword.

Click here to read more on ICC’s website.

Staff contact: Eva Hampl

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ICC Recognized for Trade Services

The ICC Banking Commission has won the Trade and Forfaiting Review
2013 Excellence Award for Best Non-Bank Trade Services Provider.

With 80 years of experience and more than 600 members in over 100 countries, the commission is ICC’s largest commission and has gained a reputation as the most authoritative voice in the field of trade finance.

The ICC Banking Commission rules and related services include rules and guidelines on documentary credits, UCP 600 – the most successful privately drafted rules for trade ever developed – and Bank Payment Obligation rules on supply chain finance.

The award follows the commission’s recent launch of new standards in the field of trade finance, including Uniform Rules for Forfaiting and Bank Payment Obligation and International Standard Banking Practice. Both publications are available for purchase in the USCIB International Bookstore.

Click here to read more on ICC’s website.

Arbitration Titles

Published on July 9, 2013

USCIB International Bookstore

Arbitration Titles

The Secretariat's Guide to ICC Arbitration

Summaries of UAE Courts' Decisions on Arbitration

For more titles please visit our bookstore: www.InternationalTradeBooks.org

Now Available in USCIB International Bookstore: Uniform Rules for Bank Payment Obligations

Published on June 13, 2013

New York, N.Y., June 13, 2013 – Uniform Rules for Bank Payment Obligations (BPOs), a 21st-century standard in supply-chain finance that will facilitate international trade, is now available at the USCIB International Bookstore.

These new rules are set to revolutionize trade finance transactions. BPO is an irrevocable commitment made by one bank to another that payment will occur on a specified date after a specified event has taken place. It is an alternative instrument for trade settlement, designed to complement existing solutions, not to replace them.

The BPO provides the benefits of a letter of credit in an automated and secured environment, and enables banks to offer flexible risk mitigation and enhanced financing services to their corporate customers.

The rules were developed by the International Chamber of Commerce (ICC) Banking Commission, in partnership with the financial messaging provider SWIFT and take into account the expectations of all relevant industries and users. Reflecting consensus of the industry, the rules were unanimously adopted by the ICC Banking Commission in April.

“The importance of collaboration among the banking community is paramount today.” According to Michael Quinn, Co-Chair of the ICC URBPO Education Group, Chair of USCIB’s Banking Committee, and Managing Director of Global Trade at JP Morgan. Quinn went on to say, “we have case studies where banks are successfully using BPO in situations where there is high volume import, short shipment time periods and a need to provide liquidity to suppliers who are providing relatively low-cost retail consumer type goods.” Mr. Quinn also added, “this provides us with excellent examples of how BPO is being leveraged to facilitate trade without getting bogged down in the processing of documents.”

The speed of trade, the complexity of supply chains and the reliance on information and data today is overwhelming. Over the last 10 years banks and corporates have become focused on financing liquidity down supply chains to ensure products can get to customers. The financial crisis forced many companies to rethink their supply chain strategies and consider ways to ensure integrity down the chain while ensuring it remains liquid and appropriately protected. This, Quinn suggests, has led to a convergence of corporate needs for supply chain financing with banks’ need to support them in this and an ambition to reduce paper handling so that greater focus can be put on risk mitigation and financing.

The rules are set to go into effect on July 1. Order your copy today at USCIB International Bookstore.

About USCIB:
USCIB promotes open markets, competitiveness and innovation, sustainable development and corporate responsibility, supported by international engagement and regulatory coherence. Its members include U.S.-based global companies and professional services firms from every sector of our economy, with operations in every region of the world. With a unique global network encompassing leading international business organizations, including ICC, USCIB provides business views to policy makers and regulatory authorities worldwide, and works to facilitate international trade and investment. More at www.uscib.org.

USCIB’s Trade Services include: ATA Carnet, commonly known as the Merchandise Passport, which allows goods to enter over 85 customs territories tax- and duty-free for up to one year; eCertificates of Origin, fully electronic processing of Certificates of Origin, returned to you by e-mail, fast and complaint with ICC Guidelines for Certificates of Origin; and the USCIB International Bookstore, which enables customers to learn international business through unique titles covering a range of topics.

Contact:
Hsin-Ya Hou, USCIB International Bookstore
+1 212.703.5066, hyhou@uscib.org

USCIB International Bookstore

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ICC Marketing Commission Advances Global Advertising Standards

Published on June 11, 2013

ICC’s Marketing and Advertising Commission met near an epicenter of advertising, New York’s Times Square.

In early June, marketing experts from around the world gathered in New York as the International Chamber of Commerce (ICC)’s Commission on Marketing and Advertising held two days of meetings, at the headquarters of News Corporation, to address emerging challenges in mobile marketing, alcoholic beverages and a number of other areas.

ICC, the world business organization for which USCIB serves as the American national committee, has served for many years as the standard-bearer in developing respected industry advertising standards worldwide. The commission is chaired by Brent Sanders (Microsoft), who also chairs USCIB’s Marketing and Advertising Committee.

Digital communications were top of mind for many commission members. A working group chaired by David Fares (News Corp.) weighed the possible development of new rules on marketing to mobile devices, and reviewed current regulatory initiatives as well as technical solutions designed to promote consumer choice, and protect privacy, in an increasingly mobile environment.

“We had a good discussion of the various programs and tools being developed to ensure company compliance with the EU’s e-privacy directive and self-regulatory programs to address online behavioral advertising,” said Sheila Millar (Keller & Heckman), a vice chair of the commission. “Industry is being pro-active in the face of fast-moving technological changes, demonstrating that it takes both choice and privacy seriously.”

Alcohol framework

The commission agreed to develop a new global framework for responsible marketing of alcoholic beverages, responding to global commitments for robust rules that can serve as a baseline for the establishment of local codes in markets where these do not already exist. An experts’ group discussed a draft guide, which identifies existing principles from the Consolidated ICC Code of Marketing and Advertising and offers interpretation and further guidance to help marketers and self-regulatory authorities. The final product may be ready as early as this fall.

“This voluntary effort, initiated from within the alcohol beverage industry, reflects the goal of the industry to act responsibly around the world,” observed Carla Michelotti (Leo Burnett Worldwide), the vice chair of USCIB’s Marketing and Advertising Committee and a member of the Advertising Self-Regulatory Council in the United States. “These voluntary principles, if adopted by ICC, would certainly have a significant impact on advertising for alcohol beverages in many countries where no self-regulation is in existence.”

Looking to the Asia-Pacific

USCIB and ICC are also working with other stakeholders to encourage further progress on advertising standards within the Asia-Pacific region. Alongside relevant sectoral associations in several APEC countries, we are supporting initiatives by the Australian government and advertising standards body. At a dialogue last November in Vietnam, APEC governments, industry and experts from economies using globally aligned advertising standards recommended further work towards a common APEC approach, including educational and capacity-building programs.

Also at the meeting, John Manfredi, the former longtime chair of the ICC Commission and USCIB’s Marketing and Advertising Committee, was presented with the ICC Merchant of Peace Award by USCIB Chairman and ICC Chairman-elect Terry McGraw, the CEO of McGraw-Hill Financial. Manfredi, managing partner with Manloy Associates, and previously an executive with Proctor and Gamble, Gillette and Nabisco, led efforts to develop and revise ICC codes and guidance resources on topics such as environmental advertising, marketing and advertising on the Internet, and food and beverage marketing. Click here to read more about the award presentation on ICC’s website.

Staff contact: Jonathan Huneke

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Experts Developing Framework for Responsible Marketing of Alcohol

Published on May 30, 2013

The International Chamber of Commerce (ICC), for which USCIB serves as the American national committee, has a long and distinguished history of establishing global self-regulatory standards for marketing and advertising.

Now, heeding the call of industry to ensure that robust rules are well understood and coherently applied across markets, the ICC Commission on Marketing and Advertising is developing a new global framework for responsible marketing communications of alcohol.

An experts’ group will convene at the upcoming commission meetings in New York on 3-4 June to discuss the draft guide, which identifies existing principles from the Consolidated ICC Code and offers interpretation and further guidance to help marketers and self-regulatory authorities.

“The ICC framework will complement steps already taken by sectoral groups to bolster existing self-regulatory efforts and expand on them in markets where they are lacking,” said Brent Sanders, chair of ICC’s Marketing and Advertising Commission and associate general counsel with Microsoft (who also chairs USCIB’s Marketing and Advertising Committee). “While the commission’s work is oriented to rules for broad business interests and not sectoral codes, we agreed that the interpretive instrument proposed would help self-regulatory bodies implement existing ICC Code articles more effectively and coherently across markets.”

“The goal is to increase existing confidence in the self-regulatory approach even further, and ensure that it reaches across all markets,” said Oliver Gray, co-chair of the ICC experts’ group drafting the framework and executive director of the European Advertising Standards Alliance. “This new initiative will do just that and, by building on the global commitments of the major alcohol beverage companies, will demonstrate responsibility via strong and coherent industry rules.”

Development of an ICC framework was initially proposed by the International Center for Alcohol Policies (ICAP) with strong support of the World Federation of Advertisers. The base draft was developed against the background of the ICAP guiding principles. These represent a consensus built and globally committed to by CEOs of 13 major companies representing beer, wine and spirits producers.

ICC has served as the authoritative rule-setter for international advertising since the 1930s, when the first ICC Code on advertising practice was issued. Since then, it has updated and expanded the ICC self-regulatory framework on many occasions to assist companies in marketing their products responsibly and to help self-regulators apply the rules consistently.

Staff contact: Jonathan Huneke

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News Brief: Report Calls for Action to Stop Counterfeiting in Free Trade Zones

Published on May 15, 2013

A new report from ICC’s Business Action to Stop Counterfeiting and Piracy (BASCAP) initiative calls for increased regulation and better management of free trade zones (FTZs) to stop the alarming trend of the use of FTZs to facilitate the manufacture, distribution, and sale of counterfeit products.

The report, Controlling the Zone: Balancing facilitation and control to combat illicit trade in the world’s Free Trade Zones, looks at the increasing vulnerability of FTZs to criminal activities that are facilitating the global trade of counterfeit and pirated products. It summarizes the circumstances that have enabled the exploitation of FTZs, including an examination of weaknesses in international agreements, national legislation and judicial enforcement.

National governments encourage the creation of FTZs to increase trade and attract investment by removing or reducing duties and tariffs, softening customs controls and largely decreasing oversight in FTZs. These incentives have simultaneously made it easier for criminals to set up illicit operations, with increasing evidence showing that FTZs are being exploited to facilitate the international trade in counterfeit and pirated goods.

Last year, USCIB welcomed the Obama administration’s rollback of planned changes to the rules governing U.S. free trade zones. USCIB had earlier said some of the proposed changes would impose significant hurdles for exporters.

Read more and download the report on the ICC website.

Staff contacts: Helen Medina and Nasim Deylami

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News Brief: World Economic Climate Improves Slightly

Published on May 15, 2013

The Ifo World Economic Climate Indicator continued to rise, even if only slightly. Both assessments of the current economic situation and the six-month economic outlook improved marginally compared to the previous quarter. There are a growing number of signs that the world economy is stabilizing.

Conducted in co-operation with the International Chamber of Commerce, the Ifo World Economic Survey assesses worldwide economic trends by polling transnational and national organizations worldwide on current economic developments in their respective countries. Its results offer a rapid, up-to-date assessment of the economic situation prevailing around the world. In April 2013, 1,178 economic experts in 125 countries were polled.

While the economic climate indicator rose only slightly in Western Europe and North America, it increased sharply in Asia. Thanks to much brighter assessments of the economic situation and expectations, the indicator for Asia reached its highest mark since the end of 2010. In North America, assessments of the current economic situation are somewhat better, but remain below the satisfactory mark.

Business Playing a Big Role in Leadup to Key Internet Forums

Published on May 14, 2013

The International Chamber of Commerce, the global business body which USCIB represents in the United States, welcomed the renewed strong representation of business in a multi-stakeholder advisory group responsible for steering preparations for the 8th Internet Governance Forum (IGF) – an open forum for policy dialogue on issues of Internet governance that will take place this October in Bali, Indonesia.

Nine members of ICC’s Business Action to Support the Information Society (BASIS) initiative secured a place on the MAG, a special advisory group to the UN secretary general representing Internet interest groups from governments, business, civil society and the Internet technical community. These included, from USCIB’s membership, Jeff Brueggeman, vice president-public policy, deputy chief privacy officer , AT&T, Theresa Swinehart, executive director, global Internet policy, Verizon, and Patrick Ryan, policy counsel, open Internet, Google. The United Nations confirmed 56 MAG members overall.