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NCBFAA BITTER OVER FAXED SED CHARGES

NCBFAA BITTER OVER FAXED SED CHARGES

   The National Customs Brokers and Forwarders Association of America says it’s bitter about an attempt by ocean carriers to impose a $100 charge to handle paper shipper’s export declarations before or after Nov. 1.

   The Washington-based group, which represents about 600 U.S. freight forwarders and customs brokers, said the move could cost the shipping industry about $45 million per month in new charges.

   In late July, the ocean carriers and the U.S. Census Bureau agreed to move the Aug. 4 deadline for ending faxed paper SEDs to Nov. 1.

   The agreement — the Bureau of the Census/Ocean Carrier Agreement to Eliminate Paper Shipper’s Export Declarations (SEDs) — requires the carriers to help Census move exporters and forwarders toward filing their shipment data through the Automated Export System or the agency’s Internet link AESDirect.

   The carriers must also provide Census with lists of customers that continue to file paper SEDs and assess handling fees as set forth in tariff agreements. Already, the major carrier discussion agreements, such as Westbound TransPacific Agreement and the Trans-Atlantic Conference Agreement, plan to impose a $100 charge per paper SED handled for exporters and forwarders.

   “To use a penalty payment to promote an automated system is not the way to go,” said Peter H. Powell, Sr., president of the NCBFAA, who met with Census officials late last week. “We have strongly requested Census to rethink this agreement with the carriers.”