Study Guide

Express cargo is a specialized stream of air cargo, optimized for speed. It arrives on passenger aircraft or on dedicated air freighters, which are often operated by the express courier company itself.

Express cargo moves in the same way as general air cargo from the aircraft to the cargo terminal. In many countries express courier companies will operate a cargo terminal with direct access to the tarmac and their consignments will be taken directly into their Customs licensed premises. At airports where express cargo is initially moved into the cargo terminal, the cargo is usually moved under bond to the express courier company’s depot before release.

Express cargo is consolidated under one master air waybill consigned to the express courier company, with house air waybills identifying the individual consignments inside. Customs treats those consignments differently depending on what they contain, as shown below.

#	Consignment type	Customs treatment
1	Documents	Reported as a consolidation on HAWBs. Generally screened "free" by Customs without an import declaration. If examined, mass screening is used, such as X-ray and/or detector dogs.
2	Very low value Items	Generally screened "free" by Customs without an import declaration. Considered of no commercial value. Customs retains the right to examine these consignments at any time.
3	General express consignments	Risk assessed at the HAWB level. Consignments selected for examination will usually undergo a full physical examination at the express carrier's depot.
4	Targeted / high-risk consignments	Selected following risk assessment. Full examination conducted. X-ray units may be permanently stationed within the express carrier's depot to support rapid screening.

To support the mass screening described above, Customs X-rays are often permanently placed inside the express carrier's depots. In some countries these have effectively become express cargo handling units, similar to international mail exchanges where Customs maintains a permanent presence. Because the express courier business is built on speed, having Customs and their screening tools located inside the depot provides a significant advantage.

Different countries have different approaches to the need for an import declaration for low value cargo. Some countries adopt a de minimis approach where cargo below a certain value does not require an import declaration. This has significant benefits for the express industry because a significant proportion of their consignments may be below the de minimis threshold.

Two approaches to express low-value declarations

De minimis approach	Standard declaration approach
•  Cargo below a defined value threshold does not require an import declaration •  Significantly reduces declaration volume for the express industry •  A large proportion of express consignments may fall below the threshold	•  All express consignments require an import declaration regardless of value •  Standard declaration process applies (same as general air cargo) •  Process is uniform across consignment values

Where an import declaration is required for an express consignment, the process is likely to be the same as for general air cargo. Unique characteristics of the express freight industry are likely to include:

Express freight characteristics

01 Airside depots Express depots are usually airside, with on-site Customs facilities.	02 Last on, first off Cargo is usually last on and first off.
03 Higher freight costs Higher freight costs ensure shipments are offloaded before general cargo.	04 Confirmed space Express companies book confirmed space on air cargo freighters to ensure delivery timetables.