Frequently Asked Questions?

1. What is the objective of the AFAMT

1. 1. The objective of the AFAMT is to facilitate the movement of goods and expand international trade within ASEAN as well as between a Member Country and third countries by the five major means of transport, air, sea, road, railway and waterway;
   2. The intention is also to stimulate the development of smooth, economic and efficient multimodal transport services adequate to the requirements of international trade;
   3. The aim is to adopt standard rules within ASEAN relating to the carriage of goods by international multimodal transport contracts, including provisions concerning the liability of multimodal transport operators;
   4. The AFAMT also intends to create a balance of interests between users and suppliers of international transport services;

2. Is the AFAMT in force?

The AFAMT is in force among the seven countries that have ratified the agreement, namely Cambodia, Indonesia, Lao PDR, Myanmar, Philippines, Thailand and Vietnam.

3. What is a Multi-Modal Transport Operator (MTO)?

An MTO is a company, usually a freight forwarder, providing a service of transporting goods by means of multi-modal transport.

4. Which Government agency is responsible for registering MTOs?

This is usually under the responsibility of the Ministry of Transport. Each ASEAN Member State gives the details of its competent national body on the AFAMT web platform under https://afamt.asean.org.

5. Should competent national bodies inform the ASEAN Secretariat (ASEC) of the MTOs they register?

Yes, this is in the AFAMT under article 30(3) of the AFAMT.

6. Should ASEC inform other ASEAN countries of the MTOs registered by ASEAN Member States?

Yes, this is in the AFAMT under article 30(3) of the AFAMT.

7. What are the conditions for registration as an MTO?

8. What are the conditions of MTO status?

As a minimum:

1. 1. He shall possess the legal capacity as required by the provisions of the Member Country in which he is applying for registration;
   2. He shall have domicile in the Member Country in which he is applying for registration;
   3. As per article 30(c) of AFAMT, the MTO shall have an insurance policy, a coverage from a protection and indemnity club, or an alternative of a financial character to cover payment of obligations for loss, damage or delay in delivery of goods under multimodal transport contracts, as well as contractual risks;
   4. The liability of an MTO is 80,000 SDR (Special Drawing Right), to be maintained by the MTO as assets or by guarantee.

9. What is the application process to become an MTO?

As per article 30 of AFAMT, the MTO shall submit an application to the respective competent national body and establish that he fulfils all requirements as prescribed by national law.

10. Why should an MTO use AFAMT rather than international FIATA arrangements?

AFAMT is specially designed for the ASEAN market.

11. What is the liability of an MTO?

1. The liability clauses can be found in AFAMT Article 7 – 13, and the limits in Article 14 – 20.
2. As per article 30(c) of AFAMT, the MTO shall have an insurance policy, a coverage from a protection and indemnity club, or an alternative of a financial character to cover payment of obligations for loss, damage or delay in delivery of goods under multimodal transport contracts, as well as contractual risks;
3. The MTO is to maintain 80,000 SDR (Special Drawing Right), as assets or by guarantee as per Article 30(d) of AFAMT.

12. Is the registry of MTOs available for consultation?

1. Yes, via the Members area of the web platform https://afamt.asean.org;
2. To obtain access to the Members area, please send an email to the Central Management Team as shown under the Contact menu on the AFAMT platform.