NCBFAA INTENSIFIES BATTLE TO REVOKE CARRIERS’ ANTITRUST IMMUNITY

   The National Customs Brokers and Forwarders Association of America will
intensify its battle to end ocean carrier antitrust immunity in the Ocean Shipping Reform Act.
   The initial intent of maintaining carrier antitrust immunity, the ability for carriers to act collectively, was to protect what’s left of the U.S.-flag carriers.
   Forwarders and non-vessel-operating common carriers say antitrust immunity is no longer needed, because most of the U.S.-flag carriers have been sold to foreign entities. The industry also says that carriers are abusing their collective powers by discriminating against small shippers, forwarders and NVOs.
   "Over the early months of OSRA, it is clear that our intermediary community is greatly disadvantaged by the preservation of this privilege — one that is hardly consistent with an open and fair marketplace where we can all compete," said Peter H. Powell Sr., president of the NCBFAA in a letter to its 600 member firms.
   The NCBFAA supports a recent bill (H.R. 3138) initiated by Henry Hyde,
R-Ill., chairman of the House Judiciary Committee, to abolish antitrust immunity in OSRA.
   "It would revoke antitrust immunity from the carriers, making them vulnerable to Justice Department enforcement for collusive behavior and discriminatory treatment of NVOs and forwarders," Powell said.
   Part of the NCBFAA’s battle plan is to begin a letter-writing campaign to about 20 House members with committee assignments that may influence the Hyde bill.