CargoX | International groups and frameworks for fast-tracking global trade document digitization
Why The CargoX Platform
Platform Help Login Register
Exporting to Egypt? Prepare for Egyptian ACI NOW. Start here

International groups and frameworks for fast-tracking global trade document digitization

March 22, 2022, 8 a.m.

CargoX has built a disruptive electronic trade document exchange platform with a neutral, public Ethereum blockchain. But despite the truly (r)evolutionary dimension, It is our goal for the CargoX Platform to be compliant with new and emerging industry standards. 

Some efforts among these are truly monumental and have started to gain traction and show real benefits for companies and organizations taking part in global trade. 

The CargoX Team is actively pursuing collaboration and closely follows the endeavors of leading global industry bodies and organizations on providing a modern set of standards and legislation adoption that could remove friction in global trade.

So, what are UNCITRAL MLETR, ICC URDTT, DCSA Standards for electronic Bill of Lading, ITFA DNI, UNCEFACT/UNECE RDM, and FITA by DCSA, BIMCO, FIATA, ICC and SWIFT, and what do they actually mean? Let us explain.

Fundamental legal compliance already exists

Luckily, the use of electronic trade documents, such as blockchain Bills of Lading, is already safe, secure, and foremost legal around the globe. The concept can be used if all parties agree to such an exchange of documents – as analyzed in the article The legality of an electronic bill of lading.

In line with the goals of leading G7 economies

The compliance agenda and the legal feasibility of the electronic trade document exchange CargoX Platform are completely in line with the goals of leading global economies. Among them, the G7, The Group of Seven wealthy nations (Canada, France, Germany, Italy, Japan, the UK, and the US, who produce 33% of the world’s economic output) agreed on the G7 Trade Ministers' Digital Trade Principles to govern cross-border data use and digital trade, and United Kingdom said – in what was described as a breakthrough – that such a move could liberalize hundreds of billions of dollars of international commerce. 

Future International Trade Alliance

Digital Container Shipping Association (DCSA), Baltic and International Maritime Council (BIMCO), International Federation of Freight Forwarders Associations (FIATA), International Chamber of Commerce (ICC) and The Society for Worldwide Interbank Financial Telecommunication (SWIFT) have recently formed the Future International Trade Alliance and signed a memorandum of understanding to standardize digitalization of international trade. 

The DCSA has previously published its eDocumentation initiative, Standards for the Bill of Lading. The DCSA is a neutral, non-profit group established to further the digitalization of container shipping technology standards, in conjunction with its nine member carriers – MSC, Maersk, CMA CGM, Hapag-Lloyd, ONE, Evergreen, Yang Ming, HMM, and ZIM. 

International Chamber of Commerce URDTT

The International Chamber of Commerce is making an impressive progress on the road towards paperless global trade with the publication of The ICC Uniform Rules for Digital Trade Transactions (URDTT) Version 1.0, issued by its Banking Commission. An essential step towards global standardization, the publication provides a collective understanding of terms and definitions to make it possible for trade transactions to be fully conducted digitally. 

ICC + World Trade Organization toolkit

Recently, the International Chamber of Commerce and the World Trade Organization have published the first-ever toolkit to assist companies and government agencies in adopting available standards to accelerate the digitalization of trade processes. 

Drawing on stakeholder consultations through ICC’s Digital Standards Initiative over the past year, the report emphasizes that one of the primary barriers to the adoption of paperless processes is a lack of awareness of the existing standards for digital trade. Currently, fewer than 1% of trade documents are fully digitized globally – with a typical transaction requiring the exchange of 36 documents and 240 copies in hard-copy.

The Standards Toolkit for Cross-border Paperless Trade provides the international trade community for the first time with a comprehensive overview of existing digital trade standards that can be used to facilitate trusted, real-time supply chain collaboration and real-time data exchange.

UN Commission On International Trade Law 

The United Nations Commission On International Trade Law (UNCITRAL) has published their Model Law on Electronic Transferable Records (MLETR) in 2017. The law has already been adopted by Singapore, Abu Dhabi Global Market, Belize, Kiribati, and it is being considered by many more. The Model Law on Electronic Transferable Records (MLETR) aims to enable the legal use of electronic transferable records both domestically and across borders. The MLETR applies to electronic transferable records that are functionally equivalent to transferable documents or instruments.

International Trade & Forfaiting Association

The International Trade & Forfaiting Association (ITFA) has recently also published an encouraging paper titled Regulatory Advocacy Around Trade Digitisation in Full Swing. In it, they conclude that all current and mentioned “legal and technology developments demonstrate the firm willingness of all stakeholders to further digitize complex practices that are supporting global trade and receivables financing. Policymakers now hold the key to making it happen in the most impactful way, which is why short-term deliverables are highly anticipated.” At the same time, the ITFA is actively promoting its Digital Negotiable Instruments Initiative (DNI) to fully digitize bills of exchange (B/E) and promissory notes (PN). 

UN Centre for Trade Facilitation and Electronic Business

The DCSA B/L standards are aligned with the UN/CEFACT (United Nations Centre for Trade Facilitation and Electronic Business) multimodal transport reference data model to ensure a global industry framework that accelerates digitalization through a unified industry effort.

World Customs Organization

The World Customs Organization (WCO) brings together customs organizations from 183 countries. It adopted the SAFE Framework of Standards to Secure and Facilitate Global Trade in 2005 to act as a deterrent to international terrorism, safeguard tax revenues, and promote trade facilitation worldwide. The SAFE Framework is regularly updated to effectively address new and emerging developments in the international supply chain. In 2018, updates to SAFE included the Advance Cargo Information Implementation Guidance. 

World Economic Forum

At the other end of efforts, the World Economic Forum (WEF) has developed a Blockchain Deployment Toolkit titled Redesigning Trust. The toolkit, launched in early 2020, includes a set of high-level guidelines documenting tried and tested best practices to address the issues that arise in blockchain implementation projects. It helps companies maximize the benefits and minimize the risks of the technology.

International Group of Protection & Indemnity Clubs

One of the greatest business compliance endorsements for CargoX came from International Group of Protection & Indemnity Clubs. The IGP&I is an association of the 13 principal underwriting Protection & Indemnity (P&I) Associations, which provide liability cover for approximately 90% of the world's ocean-going tonnage. Of the world’s top 25 reinsurers, 22 were featured on the Group’s program in 2019. 

India, Egypt…

The most prominent attestation of global compliance is the introduction of the CargoX Platform as the authorized blockchain document transfer gateway by the Government of Egypt for the purpose of Advance Cargo Information (ACI) declaration for all import cargo to the Egyptian Customs Authority and integration in their National Single Window for Foreign Trade platform  (NAFEZA). 

The mandatory use started on 1 October 2021 and since then its beneficial effects have been well proven. The system streamlined cargo clearance processes and reduced release times from 29 to less than 9 days. All the government bodies (26), associated with cargo clearance were integrated. Entry of shipments from anonymous exporters is prevented. A reliable national data warehouse was established to support decision-making for the ministry of finance, trade & industry, transport, and cabinet. 6 of the required documents were fully digitalized, while 11 were eliminated, retaining compliance with WCO and TFA requirements. 

Consequently. compliance costs for shippers have been slashed from more than USD 600 to USD 165 or less. More than 75.000 foreign exporters have adopted the platform and sent more than 1.1 million import documents. 

Previously, the CargoX Platform was already integrated by Portall into the Port Community System PCS-1x of the Indian Ports Association to help the Government of India digitalize the bill of lading processing and move all trade documents to electronic means of transfer. 

Constant evolution!

These are just a few of the organizations and governments to which CargoX is providing technical insight, expertise, and services to modernize and facilitate electronic trade document processing, and closely follows their activities.

We believe the organizations, governments, and companies are on the right path – building a paperless lane into the future of global trade. 


Read more about the CargoX Platform for Blockchain Document Transfer

Other blog

How GROW MY TREE will plant 10,000 trees for CargoX in Africa and why this matters
18 Apr 2023
We have partnered with GROW MY TREE to support global reforestation with regional efforts in the Southern Hemisphere of Planet Earth and promote the rapid adoption of electronic trade documents that CargoX has been pioneering.
WCO news: Egypt adopts innovative trade document exchange system
7 Dec 2022
An overview of the Egyptian adoption of innovative trade document exchange system, written by Gamal Kotb, General Manager at MTS and Igor Jakomin, Deputy CEO at CargoX, published originally in WCO News 99- Issue 3 / 2022 > Dossier: Disruptive Technologies, by World Customs Organization.
EU customs single window system promises one-stop-shop for customs formalities
17 Nov 2022
The Council of the European Union has made a leap forward by adopting new rules for a single window solution for customs processing and digital collaboration between customs and related authorities.
MLETR opening the door for electronic trade documents
5 Oct 2022
Last year saw tremendous growth in commitments to digitise international trade document flows and to accept electronic bills of lading and other electronic trade documents as standard and legally valid documents. Let's take a look at the progress in MLETR adoption and related activities.
DCSA eDocumentation standardization initiative overview and achievements
15 Sep 2022
DCSA’s major effort in the past three years has been overall standardisation of end-to-end document processes, with detailed data models and provision of interconnectivity for various platforms, which can self-certify compliance to various standards.
Document Management System vs. Document Transfer System
20 Jul 2022
When talking about electronic trade documents, it is important to outline where the document transfer systems touch and overlap with electronic document management systems, and what the main differences and advantages are.
How delegating makes filing Egypt ACI easier for principals through representative companies
23 May 2022
The CargoX Platform introduces delegations functionality to help principals delegate ACI filing to representative companies.
Blockchain document transfer: understanding the technology and its uses
26 Apr 2022
An overview article published in the World Customs Organization's News Magazine, written by Vjeran Ortynski, CBDO, CargoX, and Janez Kranjc, PhD, Chief Blockchain Officer, CargoX
In conversation: Vjeran Ortynski and Gamal Kotb, GM, MTS, about the CargoX and NAFEZA integration benefits
5 Apr 2022
The Egyptian Government has recently extended the ground-breaking customs project with CargoX (see the details here). Vjeran Ortynski, CBDO, CargoX, used this opportunity to talk to Mr. Gamal Kotb, GM, Misr Technology Services (MTS), to explain the benefits of this collaboration for the exporters, importers, and Egyptian governmental agencies.
What are the P&I clubs and what role do they play in the adoption of electronic Bill of Lading #eBL
26 Jan 2022
One of the most important moments in the business development of CargoX and its CargoX Platform for Blockchain Document Transfer (BDT) was the approval by the International Group of Protection & Indemnity Clubs back in February 2020. So, what does the IGP&I actually do?

Your free demo session with our experts

Please fill out the form below, and we will get back to you as soon as possible.

Trying to download the logo?

We have a better idea! Find high quality visuals in our press kit section.

Visit press kit