FAPAA Country Report 2003

JAFA Country Report 2002-2003

31ST0th FAPAA Executive Council Meeting

GOLD COASTKathmandu, AUSTRALIANepal

2416th-2519thMAYOctober 20043

1. Official Name

Japan Air-cargo Forwarders Association (JAFA)

1. Brief History

JAFA is a non-profit corporation that represents the interests of air freight forwarders in Japan. It was founded on 1 April 1991 through a merger of, there-to-fore, three independent associations: namely, the International Air Freight Forwarders Association, the Domestic Aircargo Consolidators Association and the International Air Express Association. On 1 June 1991, it was granted a license by Minister for Transport and Minister for Finance in accordance with relevant laws.

JAFA was established on April 1, 1991 (consisting of 113 members) with the merger of the Int’l Air-freight Forwarders Association (IAFA), the Domestic Aircargo Consolidators Association and the Int’l Air Express Association (IAA) and it was recognized as an incorporated association by the Government on June 1, 1991.

1. Members

Full members 121, Associate members 27, Supporting members 263

(members as of FebruaryJanuary 1, 2004)3

All Members of this association are required to have one of the following qualifications and actually engaging in such business.

(1)Cargo sales agents registered with IATAFull membership: Air Freight Forwarder/Consolidator/Air Express/

Courier Company/IATA Cargo Sales Agent

(2)International or domestic aircargo consolidators authorized by the Ministry of Land, Infrastructure and TransportAssociated membership:Those companies whose business are closely

related to full members.

(1)(3)Supporting members: Those who support JAFA activities.Air express or air courier companies authorized by the Ministry of Land, Infrastructure and Transport

1. Objective

JAFA seeks for the sound development of air freight forwarding business and air cargo sales agents by protecting their interests conducting research and study as well as by providing consultation concerning their activities. Its ultimate objective is to secure smooth provision of air freight forwarding services for the benefit of users.

The objective of this association is to contribute to sound development of the aircargo business and other related operations and promoting the mutual interests of its members.

1. Main Activities

(1)Maintaining contacts with government authorities, IATA, air carriers and other relevant organizations, and putting forth the association’s opinions to such organizationsResearch/study concerning sound development of air freight forwarding business

(2)Investigations and studies on rules and regulations, etc. for the operation of air cargo forwarding businessesImplementation of security measures related to air freight forwarding activities

(3)Training and education for its members’ employees and IATA-FIATA Air Cargo Training Programme developmentTraining, education, seminars and conferences concerning air freight forwarding

(4)Investigations and studies on issues related to customs clearance of air cargoResearch and study concerning customs relating to air freight

(5)Public relations activities concerning air freight forwarding businessfor the air cargo forwarding business

(6)Communication and coordination among its members

(7)(6)Other activities necessary to achieve the objective of the AssociationSubmission of requests, opinions, comments etc. to the relevant authorities

1. Secretariat

Japan Air-cargo Forwarders Association

Iwasei-Nihombashi Building, 6-5, Nihombashi-Odenmacho,

Chuo-ku, Tokyo 103-0011

TEL:++81-3-5695-8451 FAX:++81-3-5695-8455

web:

1. Organizations

Individual company members of JAFA have calculated export volumes and numbers of shipments for principal destinations using data from reports, and these statistics are considered a valuable and trustworthy tool for use by the air cargo industry.

<Export>

Individual company members of JAFA have calculated export volumes and numbers of shipments for principal destinations using data from reports, and these statistics are considered a valuable and trustworthy tool for use by the air cargo industry.

According to JAFA statistics, growth was seen in the volume of export shipments of consolidated air cargo for FY2002; the number of shipments was up 8.4% from the previous year and volume higher by 15.8%. The amount of air cargo from Japan increased as the economy overcame the IT recession of the previous year and production recovered globally. This was the first increase in two years, reaching a level second only to the all-time high of 2000.

Movements of export were not influenced of the Iraq war or SARS that was anticipated, but changed comparatively steadily. According to JAFA statistics, growth was seen in the volume of export shipments of consolidated air cargo for FY2003 (Jan-Dec); the number of shipments was slight decrease 1.2% from the previous year, meanwhile, the volume increased 1,088,919 tons, marking a year-on-year increase of 9.8% and this increase was two-year continuation. This result has exceeded 1,088,860 tons in 2000 which was the highest ever.

Looking at the growth in volume by destination region, TC1 saw a 219..7% slight increase from the previous year, while TC2 was updown110.8%, and TC3 also increasedup1222..91%. Especially as for TC3, the monthly weight kept on the level of 50,000 tons from September onward which has been feature trend for this area.

【TC1】

The shift from ocean cargo accelerated under the influence ofdue to the port strike in on the U.S. west coast seashore derived in October, substantially boosting the demand for air transportation.The unstable demand trend for the U.S. influenced temporarily, but the good demand of the first half supported and the yearly total volume remained at the increase of 2.7% compared with last year.

【TC2】TC2 changed by comparatively firm growth, and started to add by the result of the increase of 11.8% compared with last year.

【TC3】In addition to Chinese high growth, in connection with the economy recovery of the Southeast Asia area countries except some exceptions, demand serves as a recovery tendency after the second half of a year. TC3 recorded the increase of 12.9% compared with last year, which made the two-digit increase of 2 consecutive years, although Philippines, Singapore and Malaysia finished with decrease from the previous year. TC3 shares 51% of entire export demand from Japan.

For TC3, the demand for machinery and equipment, especially that for semiconductors and other electronic products, steel, and automobiles, generated the strongest trade performance on record, with export demand for international consolidated shipments showing a double-digit increase for nine consecutive months between April and December. The component ratio rose to an impressive 50.3%, and demand in China and other countries is expected to expand over the next several years.

Looking by country, the volume of shipments to Taiwan increased with to 87,669t, marking a year-on-year increase of 20.1%. Strong growth was also seen in Hong Kong (85,778t, up 32.5%) and China (63,112t, up 46.8%) of the increase of 20.1% compared with last year. Moreover, extension large also for Hong Kong (32.5% up : 85,778t) and about for China (46.8% up : 63,112t) was seen.

<Import>

Import statistics for FY2003 (Jan-Dec)2 showed slightan increases of 71.48% in numbers of import shipments and volume up by 21.37% in weightvolume from the previous year. Compared with the last year, the number of shipments and volume saw a small growth.

As with exports, import cargo also climbed due to increase of IT-related shipments and semiconductors. Although import had the up-and-down by each month, the cherry from the U.S. in early summer and Beaujolais Nouveau Wine from France in autumn were that the highest ever is recorded among big season items.

In general cargo, as in export, the arrival of automobile-related goods increased due to the strike on the U.S. west coast. Moreover, shipments of medical equipment did well. In perishable cargo, despite an increase in the volume handled as shippers shifted away from ocean cargo for livestock product-related goods as a consequence of the port strike, there was an overall slowdown due to a severe slump in personal consumption.

By general cargo, automobile-related arrival of goods increased under the influence of the port strike in the U.S. west coast seashore like export. Moreover, the handling of medical apparatus relation etc. changed favorably. Although livestock product-related arrival of goods shifted from ocean cargo under the influence of a port strike and handling increased also about fresh cargo, the slowdown tendency was seen the inside where personal consumption is severe.

Export from Japan (Consolidated Air Cargo)

Import to Japan

2003 TOTAL

2003 EXPORT FROM JAPAN (Consolidated Air Cargo Result)

<IATA-FIATA International Air Cargo Training Programme in Japan>

In Japan, the IATA-FIATA Diploma examination was started in 1979 and is now managed by JAFA.

The IATA-FIATA Diploma self-study courses and examinations are held two times yearly in April and October in Tokyo, Nagoya, Osaka, Hiroshima, Fukuoka, Sendai, Sapporo, Narita and Okinawa.

In addition to the Module 2 (Dangerous Goods) course examinations ordinarily held three times a year, M2 seminars were held in the Tokyo, Nagoya, Osaka areas, as handling of such goods has grown in international importance and as more diploma holders are needed for forwarders to keep their IATA qualification. The Module 2 course students, therefore, can select any two occasions over a period of two years from among six examination opportunities and two or three seminar opportunities. The seminar consists of a two-and-a-half-day seminar and a half-day examination in Japanese.

1. IATA-FIATA Diploma

Results of the 46th examination (20th April, 2002)

Results of the 47th examination (19th October, 2002)

Results of the Module 2 & Reference examination and seminar session

2. New Employee Training Course

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