NIT League offers ISF compliance help

NIT League offers ISF compliance help    The National Industrial Transportation League last week launched a program to help member companies comply with a new maritime security rule seeking more detailed, pre-departure data on imports, and save money.
   The new benefit is targeted at small and medium-size firms that are not well aware of the rule or don't have resources or expertise to track down the various pieces of information from multiple overseas suppliers.
   Under the Importer Security Filing initiated by U.S. Customs and Border Protection one year ago, importers must transmit 10 types of information about the shipper, consolidator, cargo and consignee, along with the identification number from their bill of lading issued by the ocean carrier. CBP wants the electronic form 24 hours before the container carrying the shipment is loaded on a vessel in an overseas port.

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   After a 12-month grace period, the agency began enforcing the rule on Jan. 26 on a graduated basis. Importers eventually could be subject to fines of up to $5,000 per electronic transmission if the information is incomplete, inaccurate or late. Inaccurate amendments to the form could result in another $5,000 damage claim. Importers that don't file an ISF also face the likelihood that CBP will detain their shipment at the port of arrival for further review. Companies that file but continue to make glaring errors could face the same fate in a few months.
   Despite dozens of outreach seminars conducted by CBP, multiple presentations at industry conferences, webinars and other educational efforts, trade experts are worried there are potentially tens of thousands of less sophisticated companies that are not prepared to implement the rule, which has proven to be a challenge even for multinational firms.

Saphir

   The NIT League has arranged for ABS Consulting, headed by Albert Saphir, to provide a range of services at 30 percent below his normal rate to facilitate compliance with the ISF rule, also known as '10+2.'
   Saphir is a NIT League member with more than 30 years of trade management and compliance experience.
   ABS will help importers identify the correct data elements that must be included in the ISF and which partners in the supply chain actually possess different pieces of information. The importer will still be responsible for the actual document filing.

Gatti

   'It's sort of like going to the tax preparer,' explained Peter Gatti, NIT League's executive vice president. 'They can take all your documents and file it for you at the IRS, but you've got to give the raw data to the tax preparer in order to do that. That's what this service does. It generates the raw data.'
   Many trade associations have worked hard to educate their members about the ISF requirements, but this is the first known example of a group lending a hand for the actual implementation. The National Association of Manufacturers similarly offers members a discount for using FedEx, UPS Supply Chain Solutions and Yellow Transportation to transport freight.
   After a free consultation, Saphir's full-service plan will track down the necessary data elements for the importer, set up a compliance strategy and coordinate implementation.
   An assisted plan provides consultation to help the importer determine where the data resides and set up processes for partners to share it. The importer is responsible for implementing the recommended program.
   He also offers a self-service plan that provides a model allowing the importer to handle the entire process on its own.
   Gatti said the program is a way for the NIT League, which is mostly comprised of large companies, to attract new members.
   'It acquaints companies with what we can provide and does it at a savings that more than justifies their membership,' he said. 'We think it's a win-win for all sides. It's a way for us to expose people to the organization, and to expose us to a sector of the community that might not have given us a look' before.
   NIT League officials have been discussing the concept for several months, but it took time to put together the program, negotiate a deal, get board approval and establish legal protections, Gatti said.
   The NIT League will not receive any fees from ABS under the arrangement. ' Eric Kulisch