NVOCCs share stage at NCBFAA convention
Several representatives of non-vessel-operating common carriers say they are excited about the new focus by the National Customs Brokers and Freight Forwarders Association of America on issues of concern to their segment of the import-export industry.
The NCBFAA's creation a year ago of a standing committee devoted to addressing issues affecting NVOCCs is a clear manifestation that attitudes toward NVOCCs as legitimate carriers have begun to change within the trade association, NVOCC members said in interviews during the NCBFAA convention in Orlando this week. Prior to that NVOCC issues were addressed through a subcommittee within the Freight Forwarders Committee.
'Seven or eight years ago we didn't feel welcome to this (conference) at all. As an NVO we felt we weren't wanted here, said Ed Piza, who worked at the time for consolidator DSL but is now a senior vice president for NVO and customs broker Barthco International. 'Today, I feel I'm welcomed here with open arms.'
The newfound respect is a function of a maturing industry as there is now more interaction between brokers, NVOs and freight forwarders, said Mary Jo Muoio, president of the Barthco's trade consulting division.
U.S. Customs and Border Protection's decision to allow NVOs to file shipping documents through the Automated Manifest System previously reserved for vessel carriers has served 'as a bit of a catalyst' to bring brokers and NVOs together. NVOs sought the capability to self-file manifests and meet the 24-hour prior notice requirement instead of giving sensitive proprietary data to carriers to file on their behalf because they feared carriers might use the proprietary information to make inroads on their customers. Under the new security environment, brokers depend more on NVOs because the more efficiently an NVO is in getting accurate and on-time information into Customs' system, the faster the broker can begin to work on clearing the goods.
The Orlando conference was the first opportunity for the members of the NVOCC committee to meet collectively and set their agenda for the coming year. Maurine Cecil, chairman of the committee and regional vice president for American Shipping Co. in Long Beach, Calif., told American Shipper the top priorities for the group included correcting difficulties in filing electronic in-bonds through AMS and getting clearance for deconsolidated shipments when Customs only wants to inspect one of the multiple shipments within a container.
When Customs made software adjustments to create a special bill of lading in AMS to correct delays associated with confusion over whether the carrier had received authority to release NVO shipments, programmers inadvertently hindered the ability to electronically file in-bond documents.
Cecil said the committee feels a relatively minor software fix can solve the problem 'and we want to make sure everyone knows how important it is that Customs gets this programming done.'
The other priority stems from problems in many ports when Customs selects an individual shipment in a consolidated container load for an exam and the rest of the shipments are held in the examination station as well collecting demurrage fees and resulting in late deliveries.
'The other shipments shouldn't have to suffer for the one,' Cecil said.
Cecil encouraged NVOs who are NCBFAA members to get involved in the committee and for other NVOs to join the trade association to strengthen the industry's collective voice in Washington.