New NVOCC rules take effect Wednesday

FMC says amendments to regulations governing NRAs and NSAs aim to make them more attractive to shippers and carriers.    The Federal Maritime Commission said its new rules on NVOCC negotiated rate arrangements (NRAs) and NVOCC service arrangements (NSAs) will go into force Wednesday.
   The FMC said the changes will allow NRAs to be amended at any time, allow the inclusion of non-rate economic terms and allow an NVOCC to provide for shipper’s acceptance of the NRA by booking a shipment.
   The changes to NSAs will make them easier and more attractive to use by removing filing and essential terms requirements.
   When the final rule outlining the amendments was published by the FMC last month, Acting FMC Chairman Michael A. Khouri said the amendments “will benefit American consumers and the carrier industry — both vessel operators and NVOCCs — by expanding choices for shippers, reducing regulatory requirements and increasing efficiencies in contracting for ocean shipping services.”
   NSAs and NRAs are instruments created by the FMC, at the request of shipper and carrier stakeholders, respectively in 2004 and 2010. The FMC says they provide shippers and ocean transportation intermediaries with a more efficient way to comply with Shipping Act reporting requirements while relieving them from the tariff filing process.