News

Membership Login

Your location:Home > News > FMC set up a new organization, FIATA called on freight forwarders to discuss the reduction of container demurrage

FMC set up a new organization, FIATA called on freight forwarders to discuss the reduction of container demurrage

Time:2022-08-03 Publisher:Kevin Num:336

container freight rate 2.png


During the epidemic period, the phenomenon of arbitrary charges in the shipping industry was particularly serious. Especially when the port is congested, the high d&d cost puts pressure on freight forwarders and shippers.


In the final analysis, there is no good law to supervise shipping companies.


Recently, the Federal Maritime Commission (FMC) recently announced the establishment of a law enforcement, investigation and compliance Agency (BEIC) to implement the new maritime Reform Act signed and passed by Biden in June. The maritime transport reform act of 2022 - OSRA 22.


BEIC will be divided into three parts: law enforcement office, investigation office and compliance office, which will be led by a lawyer from the senior administrative services department with experience in supervision, prosecution and investigation.


Daniel Maffei, chairman of FMC, said, "this reorganization has received the support of all five commissioners and created an organization more suitable to meet the needs of the president and Congress.


Specifically, it enhances FMC's ability to closely review the behavior of shipping companies and maritime terminal operators to ensure that U.S. importers and exporters comply with the law and fairness. "


More and more people believe that shipping companies benefit from the unique combination of protection and the abnormal lack of competition supervision.


James hookham, Secretary General of the global shippers Forum (GSF), said: "container shipping companies enjoy unique political protection and support, as well as huge tax relief, national support programs and anti-monopoly protection, which other industries can only dream of."


He continued that OSRA would provide FMC and shipper representatives with new powers to challenge behaviors and practices that could distort the container shipping market.


Freight Forwarders 1.png


At the end of last month, FIATA called on its freight forwarders to seize the opportunity provided by the U.S. maritime Reform Act (OSRA 2022), take decisive action and actively participate in regulatory discussions to establish a fairer supply chain.


A position paper issued by FIATA details the benefits of OSRA for freight forwarders, especially in terms of demurrage and demurrage (d&d) charges.


FIATA also stressed that according to OSRA 2022, if the invoice does not clearly indicate the container availability date, return date, allowable time of idle day, start and end dates, the shipper is "not obliged" to pay d&d fees.


On the other hand, the world shipping Council (WSC) said last month, "as long as U.S. ports, railway yards and warehouses are still overloaded and unable to cope with the increasing level of trade, ships will stay outside the port, which is detrimental to importers and exporters."


Prev:Welcome! Membership Renewal from Tanzania ———— Cedars Investment LimitedNext:Welcome! New Golden Member from Morocco ————Suntay Trans