U.S. ag shippers concerned about EU export barriers

In a memo obtained by LM, the AgTC informs shippers that the EU’s trade data rules have been in effect for nearly three months, requiring that the ENS be submitted by the ocean carrier 24 hours before cargo is loaded for an EU destination.
By Patrick Burnson, Executive Editor
February 24, 2011 - LM Editorial

The Agriculture Transportation Coalition (AgTC) is asking its members to share information on ocean carrier practice regarding Entry Summary Declaration (ENS).

In a memo obtained by LM, the AgTC informs shippers that the EU’s trade data rules have been in effect for nearly three months, requiring that the ENS be submitted by the ocean carrier 24 hours before cargo is loaded for an EU destination.

This applies to any cargo on a ship that stops at an EU port, whether off-loaded there, or merely continuing to a further destination.

To comply with this rule, carriers need complete and accurate shipping instructions from the shipper in sufficient time to be able to submit the EU’s 24 hour deadline.  The amount of lead time varies by carrier, but appears to range from 2 to 4 days.  According to the memo, “this is creating real difficulties for ag exporters.”

One question is whether or not the EU countries are actually requiring this information yet, the AgTC stated.

“Our members are reporting that this advance documentation can cause severe difficulties for agriculture shipments, as often the details such as container number and seal are not available to the shipper by the carrier cut-off,” the memo said. “A shipper’s inability to get the data to a carrier by the cut off has lead to carriers rolling cargo, demurrage fees, late shipments to customers, and some lost sales if out of compliance with a letter of credit.”

The memo includes an account recalled by one shipper sounding a plea of desperation:

“Depending on the carrier, they are charging $24 - $50 for initial filing and then $50 for changes, but this is not the real problem. They are rolling our shipments and then charging crane fees and demurrage, which has amounted to $10 - $20,000. We have so far been able to get these waived but I am not sure how much longer they will continue to do so.”

To just what extent this has been discouraging U.S. ag exports has yet to be determined, but the shipper who shared this information, told LM it is a legitimate concern.

For more on ocean freight click here.

 



About the Author

image
Patrick Burnson
Executive Editor

Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Both the mega-port of Los Angeles, and the Port of Oakland (California's third largest ocean cargo gateway, issued positive reports this month.

The American Association of Port Authorities (AAPA) applauded introduction of The Bipartisan Congressional Trade Priorities and Accountability Act of 2015 (TPA-2015), which is bipartisan legislation to modernize and renew U.S. Trade Promotion Authority (TPA).

Container lines must accelerate their internal-transformation efforts and extract more value from their alliances in order to restore profitability, according to a new report by The Boston Consulting Group (BCG).

A.T. Kearney released the 2015 Global Retail E-Commerce Index, a study designed to help retailers devise successful global online retail strategies and identify market investment opportunities while understanding the tradeoffs and barriers to success.

The MIT Center for Transportation & Logistics (CTL) invites readers to participate in a short survey regarding Supply Chain Visibility in their organizations.

About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review. Patrick covers international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. Contact Patrick Burnson

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA