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FAQs for DTR Airfreight Pilot

Glossary of terms

  • CCA - Customs-controlled Area
  • CTO - Cargo Teminal Operator
  • DTR - Domestic Transhipment Request
  • ICR - Inward Cargo Report
  • ITR - International Transhipment Request
  • TF - Transitional Facility

What is the focus of the pilot in 2021?

Customs and MPI are piloting the new electronic process for the movement of uncleared cargo.

The pilot will initially be focussing on airfreight, with a sea freight pilot following in early 2022.

The Domestic Transhipment Request pilot will run from July to September 2021. Once the pilot has been successfully completed, a date will be agreed for the DTR to be mandatory for all airfreight uncleared cargo movements.  

Does the DTR cover the whole journey from origin to destination if the cargo is moving through multiple stores?

No. DTR covers the point-to-point movement of uncleared cargo from one place (Location of Goods) to another (Transhipment Destination).

A DTR needs to be submitted for each leg of the journey for cargo that is moving through multiple warehouses (i.e. CTO to CTO to Warehouse).

The request is required for every point-to-point movement of uncleared cargo. It doesn’t matter if it’s going 100 metres down the road or to another city – any movement between approved facilities requires a DTR. 

Who lodges the DTR for cargo?

Our expectation is the destination CCA/TF for the movement will be submitting the DTR.

If you currently use your collectors permit to move cargo, then it gets replaced by the DTR.

We will be testing this as part of the pilot and update this document with the outcomes.

When can we submit a DTR?

 A DTR can be submitted at any time as part of the following:

  • ICR for reporting inward cargo as a carrier
  • ICR for reporting inward cargo at house-bill level as a forwarder ICR requesting write-off
  • ICR reporting high values, reporting and requesting write-offs for low value shipments;
  • On its own as a request on an ICR submitted for movement.

An ICR has to be submitted at least 2 hours before the vessel arrival – is there a similar requirement for a DTR?

There’s no ‘must be submitted at least’ timeframe for a purely DTR request. However, your goods can’t move without the approval so it’s best to submit your DTR in a timely manner.  

Do we need to provide any supporting documents for a DTR?

We’ll be figuring this out as part of the pilot – there may be some goods under certain commodity classes that require some supporting documents but these will be the exception not the rule.

Why do we need to include the mode/method of transport in the DTR?

This information forms a critical part of the risk assessment process that each movement is subjected to.

For example, the risk posed by cargo being moved coastally via Vessel, is significantly different to it being moved via Road or Rail. The warehouse releasing the cargo for under bond movement needs to check the mode of transport is being adhered to. 

How is the DTR approval managed in Trade Single Window (TSW)?

After being successfully submitted, the DTR is then processed by both Customs and MPI who will either Approve or Decline the request.

Notifications are automatically emailed to the following:

  • Submitter
  • Location holding the goods (Location of Goods)
  • Destination of the goods (Transhipment Destination)
  • Any third (Notify) parties listed in the request.

Does approval of DTR mean approval to release goods?

No. The DTR relates to the movement of uncleared cargo only.

  • Approval means that the cargo can be moved from one approved facility to another.
  • This TSW notification/s contain both a Movement and Clearance status as they are independent of each other.
  • It is possible a consignment may be approved to move, but we may still need additional action or information to be performed prior to clearance being given.

What if the movement is declined?

If the DTR is declined, the goods cannot be moved until the risk identified has been mitigated and subsequent approval given. These processes will be worked through as part of the pilot, however the expectation is that it will continue to be unusual for goods to be declined under bond movements.

Does cargo need to be moved to locations that are both CCA and TF’s?

Yes. Only facilities that are both a CCA and a TF are approved to hold uncleared cargo.  

Do consignments need to be reported at House Bill level in order to be eligible for Domestic Transhipment?

No. Customs and MPI have removed the requirement that stated that only consignments reported at house bill level were eligible for a DTR.

This means it is possible to submit a single line ICR that contains the Master level details of the Consolidation and still request movement. Requests for clearance aren’t accepted at this level.  

Important:  There has been no change to the reporting requirements that state that House Bill level information must be provided to agencies. This only provides another avenue if needed to facilitate movement of freight.

Should I submit a DTR when I have been asked by Customs or MPI to present the cargo for examination or treatment?

No. The agency instruction to move is effectively the movement request. 

Is a DTR required when cargo is moved domestically, and then internationally?

For International Transhipments, the ITR covers the positioning of cargo domestically.  Therefore, there is no change to the ITR process.

A DTR is only required when the cargo is staying in New Zealand and is being moved from one approved facility to another prior to clearance.

Can the same Airway Bill be used multiple times on different DTR’s?

Yes. The same Airway bill can be included in multiple DTR’s.

When will the DTR become mandatory for airfreight?

The Customs/MPI project team are working with a select group of airfreight industry participants.

The Airfreight pilot is scheduled to run for 8 weeks and will be completed in September 2021. A date for industry wide adoption will be agreed after the pilot outcomes have been reviewed.

Do I need to make any IT system changes to be able to submit DTR’s?

DTR’s are submitted on an Inward Cargo Report through Trade Single Window.

TSW Online is fully set up to handle the submission of DTR’s.

Most software providers are also able to submit the DTR, however it is best to check with them directly, particularly if you have a specific set of requirements that need to be handled.