NEW CANADIAN eMANIFEST CUSTOMS REQUIREMENT FOR IMPORT CARGO

The Canadian eManifest regulation, the 3rd phase of the Advance Commercial Information (ACI) initiative, has come into effect beginning November 7th adding additional cargo security requirements for Canadian importers.

When fully implemented, eManifest will require carriers, freight forwarders and importers, in all modes of transportation, to electronically transmit pre-arrival information to the CBSA within given time frames. The Canadian eManifest contains many overlapping elements with the current ACI filing but expands upon many fields not previously required in reporting.

Canadian Border Service advised 3 methods of to transmit house bill and close messages: EDI, service provider and eManifest Portal. The eManifest portal is a cloud-based, free of charge, secure transmission option available on the CBSA website. Set-up for a direct EDI link requires several months of preparation and approval from the Technical Commercial Client Unit (TCCU). Third-party service providers have already been tested by TCCU and these companies appear on the CBSA website.

Freight forwarders are also required to transmit a house bill ‘close’ message once all house bills within a consolidated shipment have been sent to the CBSA. The Close message is used to initiate the link between the parent and child documents in CBSA’s system. Marine shipments must have house bill and supplementary cargo data submitted electronically 24-hours prior to loading at last foreign port while air shipments mist have the data filed 4 hours prior to arrival or at the time of departure. Rail will require eManifest data 2 hours prior to arrival in Canada and cargo moving over the highway will require 1 hour prior submission.

Up until January 10th, 2017 the CBSA will provide freight forwarders with a period of transition during which penalties for non-compliance will not be issued and the CBSA will work closely with freight forwarders on corrective measures. From January 11, 2017, to July 11, 2017, freight forwarders deemed to be noncompliant with eManifest requirements may be issued zero-rated penalties (non-monetary) under the CBSA’s Administrative Monetary Penalty System (AMPS). Beginning July 12, 2017, freight forwarders deemed to be non-compliant with eManifest requirements may be issued monetary AMPS penalties.

In addition to any monetary penalties assessed by AMPS, failure to comply with eManifest requirements will result in cargo halted and examined at the first point of arrival in Canada as opposed to other CBSA examination that can be conducted at an inland CBSA office or approved inland destination.

For more information about eManifest compliance and how it will affect your Canada-bound cargo, please contact your local Worldwide Logistics representative.

Verification of Gross Mass of a Container Carrying Cargo

Verification of Gross Mass of a Container Carrying Cargo by METHOD 1

 

1.  Pack and Seal the Container

2.  Weigh the Container
Weigh the packed container using calibrated and certified equipment

3.  Shipper’s Declaration
For the verified gross mass of a packed container obtained by the above-mentioned method, a declaration shall be made in the shipping documents. Such a declaration should cover the below content:

“Shipper’s declaration: the gross mass of packed container declared in the shipping document was obtained in accordance with Method 1 stipulated in SOLAS Chapter VI Regulation 2 and followed by the signature of the shipper.

 

Verification of Gross Mass of a Container Carrying Cargo by METHOD 2

 

1.  Acquiring the Masses of the Cargoes to be Loaded into the Container
The types of cargoes carried by containers are extensive. Generally they can be divided into two main categories as shown below.

 

1.1   Homogenous Cargoes
Basically the shapes and masses of individual homogenous items are identical. For instance, the mass of every packed television set is 20 kg. If the shipper intends to load 100 numbers of television sets to a container, the gross mass of cargoes should be 20 kg x 100 numbers, which gives 2,000 kg.

The shipper can rely on the mass information provided by the manufacturer or determine by weighing to obtain the masses of individual items.

1.2   Irregular Cargoes
The common irregular cargoes include bulk commodities and liquids. Weighing the irregular cargoes by adopting Method 2 is almost the same as the practice for homogenous cargoes. However the masses of individual items would not be identical due to the irregular shape of those cargoes. The shipper shall therefore have to weigh every item or make use of the filling machine with mass measuring device. It is more appropriate to use Method 1 for such kind of cargoes (i.e. weighing the packed container by authorized weighing scale).

 

2.  Acquiring the Masses of Packaging
All the masses of packaging can be determined by weighing or can be relied on the information provided by the manufacturer for the required calculation.

 

3.  Acquiring the Masses of Securing Materials
All the masses of the securing materials such as pallets and dunnage, etc. (as shown in the figure) can be determined by weighing or can be relied on the information provided by the manufacturer for the required calculation.

container

 

4.  Acquiring the Tare Container Mass

In general, the tare mass of the container has been indicated in the field of “TARE WEIGHT” on the door end of the container (as shown in the figure). Should there be any reasons the tare mass cannot be determined in a timely manner, the corresponding carrier can be consulted.

container2

 

5.  Adding up all the Masses
The masses obtained in step 1, step 2, step 3 and step 4 should be added to work out the gross mass of the packed container.

 

6.  Shipper’s Declaration
For the verified gross mass of a packed container obtained by the above-mentioned method, a declaration shall be made in the shipping documents. Such a declaration should cover the below content:

“Shipper’s declaration: the gross mass of packed container declared in the shipping document was obtained in accordance with Method 2 stipulated in SOLAS Chapter VI Regulation 2 and followed by the signature of the shipper.

 

Example (1)
Assuming a shipper plans to employ a container for transportation of 5,000 bags of rice. The mass of each bag of rice is 5 kg according to the information provided by the rice manufacturer. The mass of all the securing materials is 650 kg as determined by weighing. The tare mass shown on the container indicates 3,000 kg.

From the above information, the gross mass of the packed container should be 5,000 bags of rice x 5 kg + 650 kg + 3,000 kg = 28,650 kg

 

Example (2)
Assuming a shipper plans to employ a container for transportation of 3 types of wire ropes with different thicknesses. After weighing, the mass of A type is 4,200 kg per coil, the quantity is 1 coil; the mass of B type is 6,000 kg per coil, the quantity is 2 coils; and the mass of C type is 3,500 kg per coil, 2 coils.

The mass of packaging is 80 kg as determined by weighing. The mass of securing materials is 500 kg. The tare mass shown on the container indicates 3,000 kg.

From the above information, the gross mass of the packed container should be

1 coil x 4,200 kg + 2 coils x 6,000 kg + 2 coils x 3,500 kg + 80 kg + 500 kg + 3,000 kg  = 26,780 kg

UPCOMING REGULATORY CHANGE: SOLAS VGM

Beginning July 1, 2016 the Safety of Life at Sea Convention (SOLAS) requirements will be put into effect.  All packed export containers will legally need verified gross mass (VGM) declaration, including all standard sea freight containers, tank containers, flat racks and bulk containers. Almost all global shipping volume will be subjected to this new SOLAS regulation. This will affect export operations worldwide as every country will work to comply with these new regulations, however Worldwide Logistics has been monitoring and reporting SOLAS updates throughout its development, and will guide our clients in order to remain compliant with VGM and minimize any impact to current operational flow.

The shipper / exporter / booking party will need to give Worldwide Logistics a written certificate of verified gross mass for each and every export container. Estimated weights will NOT be acceptable. Many carriers and terminals plan on adopting a “No VGM, No Load” or “No VGM, No Gate-In” policy. Containers that are missing VGM or have incorrect VGM when arriving at the terminal may be subject to a DO NOT LOAD from the carrier or require the container to be removed from the terminal until VGM is submitted/corrected.

There are two accepted methods shippers must use in order to calculate VGM:

Method 1:           Weigh the entire loaded container.

Method 2:           Weigh the cargo, any packaging/bracing/dunnage used, and the container’s tare weight. Tare weights are listed on the container’s door or are available on the carrier’s website.

Any weighing equipment (scale, weighbridge, lifting equipment, etc.) used to weigh the contents of the container must meet the applicable accuracy standards and requirements of the country or state in which the equipment is being used.

Worldwide Logistics has prepared a blank certificate that will be issued to clients along with the rest of the standard export documentation. The form contains all needed information for Worldwide Logistics to properly submit VGM to the carrier who will in turn transmit to the terminal. The shipper will be required to sign the completed form confirming the weight declared is accurate and true, and undertake liability if it is found differently by the carriers or any recognized authority.

Despite the prospective warnings from carriers regarding VGM compliance, most local authorities already announced they will not weigh the containers as they are delivered to the terminal.  A grace period of approximately 3-months will begin for VGM submissions starting July 1st until procedures for global VGM compliance are agreed among all carriers and terminals. Worldwide Logistics will use this time to assist clients in streamlining the SOLAS requirements into a part of their standard export process.

Please contact your local Worldwide Logistics representative if you have any questions regarding verified gross mass and subscribe to our newsletter for further updates on SOLAS implementation.

Worldwide Logistics Limited Establishes New Offices in India

Worldwide Logistics has opened two new offices in India’s major commercial hubs capitalizing on the growth of international cargo movement to and from India.

The new offices, operating under the name WWL India Private Limited, are another part of Worldwide Logistics’ rapid global expansion. The Worldwide Logistics Group of Companies are already among the top ten forwarders by volume worldwide and enter the India market as a major competitor to existing forwarding companies in India rather than a newcomer.

Joseph Monaghan, President of Worldwide Logistics, took a step toward establishing a presence in the India logistics service industry in 2011 with the creation of a separate company, India Maritime Agency LLC (IMAL). After 5 successful years of IMAL’s operation, Mr. Monaghan recognized that his flagship company, Worldwide Logistics Limited, could directly benefit from a local operation in the India scene. Several months later, WWL India Pvt. Ltd. became fully operational on May 2nd 2016 in Mumbai and May 9th 2016 in New Delhi.

Mr. Monaghan provided an outline of the Company’s plans for India, “We are very excited about the potential of the India market. The offices in Mumbai and Delhi are just Phase 1 of our operation in India. Later this year Worldwide will be opening additional offices in other economic centers around the country.”

At the completion of Phase 1, the WWL India offices are expected to reach a staff strength of about 15 in each location. The second phase of the expansion taking place in the latter half of 2016 will add additional offices in Baroda, Moradabad, Tuticorin, Jodhpur and Ludhiana. The last announced phase taking place in 2017 will focus on new offices in southern and eastern India.

Spearheading the WWL India team is Mr. Manish Verma, a 15 year veteran of the logistics services industry whose experience is acutely focused on trade between India and the US. Mr. Verma will serve as the Managing Director of WWL India seated at the company’s headquarters in New Delhi. “We have assembled a team of the best industry professionals and have received immediate support from day one by the world-class network of offices and agents of Worldwide Logistics Ltd. This combination readies WWL India for great success.”

 

Office Locations:

NEW DELHI
Worldwide Logistics, Ltd.
WWL India Private Limited
Corporate Office #DTJ1116, 11th Floor, DLF Tower B
Jasola District Centre, New Delhi 110044 INDIA
Tel: +91 11 46061234
Fax: +91 11 46061235

 

MUMBAI
Worldwide Logistics, Ltd.
WWL India Private Limited
#139, 1st Floor, Adarsh Industrial Estate
Sahar Road, Andheri (East), Mumbai 400099 INDIA