Nvoccs News

NVOCCs are caught in the middle of the Ocean Shipping Reform Act of 2022 requirements for reporting demurrage and detention; FMC needs to pump the brakes and allow the industry to catch upThe Ocean Shipping Reform Act of 2022, passed by Congress without industry input and signed into law on June 16, has left the industry in a difficult position regarding how to comply with the new requirements for invoicing demurrage and detention (D&D) charges.At issue is the Container Availability Date…

The Ocean Shipping Reform Act of 2022 (the Act) was signed by President Biden on Thursday, June 16, 2022. The long term fixes, which require Federal Maritime Commission rule-making, establishes additional requirements requiring the FMC to issue rules related to certain fee assessments, prohibited practices, and establishment of a shipping registry, and prohibited conduct for ocean carriers. It further authorizes the FMC under certain circumstances to issue an emergency order requiring common carriers to share information directly with shippers and rail and motor carriers.

The below e-mail recently received by the author paints the picture we are seeing a thousand fold in the current ocean shipping marketplace in the inbound/outbound Asia trade lanes which underscores the serious disconnect currently between ocean common carriers and shippers in these U.S trade lanes:“Carlos:We are seeing examples where there was a rate agreed upon and the cargo was tendered to the carrier. In many cases the freight gets rolled and sits at the original terminal for an additional 1-2-3 weeks.

On April 28, 2020, the Federal Maritime Commission (FMC) released the long-awaited interpretive rules in Docket No. 19-05 relating to how ocean common carriers may lawfully apply demurrage and detention charges to exporters, importers and ocean transportation intermediaries, including Customs brokers in certain circumstances and still be compliant with the “reasonableness” requirement of 46 U.S.C § 41102(c). The analyses and guidance in the interpretive rules have been in high…

What might not be so obvious in this COVID-19 environment, which we have grown to associate with shortages, is that counterintuitively there are issues beginning to appear dealing with the opposite situation. The Journal of Commerce has reported that “[t]he container shipping industry is marshaling a response to signs of a building import backlog as some retailers and manufacturers fail to pick up containers because warehouses are full or closed due to not being deemed essential…

Only 10 days ago, reports indicated that China cargoes were returning to pre-coronavirus levels, and there appeared to be light at the end of the tunnel. Today, however, a barrage of new headlines has underscored the impact on the rapidly changing global supply chain, including in the United States. In addition to the aggressive spread of the novel coronavirus (COVID-19), new economic developments indicate a decreased trend in global manufacturing. Changes in local economies negatively impacting employees reflect corresponding changes in consumer buying patterns.

Taiwanese container transportation and shipping company Evergreen Line has launched a new digital platform designed to provide customers with seamless booking capabilities and greater access to integrated trade services.Evergreen Line said in a press note that GreenX platform provides a digital portal for Evergreen customers to get instant quotes and book secured space with prioritized equipment supplied by the carrier.From the time of its soft launch last month, GreenX has received nearly 2,000 sign-ups via this one-stop digital platform, demonstrating customers’ interest in executing their bookings and trade services digitally.The digital platform is powered by BlueX Trade…

The new Connection Compass showed more than 100 liner services connect Hamburg with most of the more than 1,000 seaports worldwide.  "All scheduled, rail and inland waterway services to and from Hamburg," is given in the new  Connection Compass, said a press note from the port of Hamburg. Other ports are served via transshipment.In addition to the numerous container transports, special transports such as RoRo and project cargo are also handled by shipping companies in the universal port.With around 2,100 train connections offered per week, Hamburg is also the leading European port, it said.In addition to the address and contact details of liner shipping companies and their agencies, it lists ship-booking carriers (NVOCCs) as well as providers of rail and inland waterway transport.

The International Maritime Bureau (IMB) announced that it has launched a new initiative aiming to mitigate bills of lading (B/L) fraud conducted by non-vessel owning common carriers (NVOCCs).The IMB NVOCC Register provides a business solution to a business problem impacting parties involved in international shipping and trade.B/Ls are crucial documents relied upon by many stakeholders in the trading chain including banks, shipping companies, carriers and charterers.IMB - which conducts B/L checks for its members - says while the vast majority of NVOCCs issue B/Ls correctly, there is a small minority that do not.This could lead to fraudulent practices…

A Final Rule published today by the U.S. Federal Maritime Commission (FMC) offering deregulatory flexibilities for non-vessel-operating common carrier (NVOCC) negotiated rate arrangements (NRAs) and NVOCC service arrangements (NSAs) will go into force on August 22, 2018.The key changes to NRAs allow them 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. NSAs will…

Evergreen Launches New Electronic Documentation Function in Partnership with Bolero International. Evergreen Line introduces paperless Bill of Lading (B/L) and dispatch documentation via its ShipmentLink digital portal, enhancing connectivity for exporters and importers with banks, insurers, regulators, customs and port authorities. Evergreen is the first container carrier to integrate with Bolero’s proven electronic Bill of Lading (eBL) solution. These new services, provided in partnership with Bolero International, will lower shippers’ costs while making data transfer more accurate, efficient, reliable and secure. Accessed via the line’s established ShipmentLink portal…

The New York Shipping Exchange (NYSHEX), the container shipping industry’s solution for digital and enforceable freight contracting,  has announces the appointment of new members to its board of directors and launch of the governing NYSHEX Member Council. This announcement follows the Federal Maritime Commission’s (FMC) December 2, 2017 approval of the NYSHEX governance model. NYSHEX now ushers in a fair, transparent and compliant process to ensure the interests of members are incorporated into the operation of the exchange. "With this we add four industry representatives to the NYSHEX board of directors, two seats filled by shipper members (BCOs or NVOCCs) and two by carrier members.

MSC India is celebrating winning an award at a prestigious trade event. The agency took the prize for Container Shipping Line of the Year India - Europe Trade Lane in the 7th All India Maritime and Logistics Awards. Held at the St Regis Hotel in Mumbai, the event acknowledged shipping lines and NVOCCs which had achieved particular success throughout the last year. Capt. Deepak Tewari, from MSC India, said: “We are really delighted to have been honored with this award. Attending the event from MSC India were:  Mohandas Menon- General Manager Customer Service,  Rajesh Kumar- General Manager Imports,  Anurag Mehta- Deputy General Manager, Rajat Parmar- Sr. Manager to Relay Trade, Pankaj Patki- Sr. Manager Global Accounts and Ms. Sneha Khanna- Assistant Manager- Cross Trade & Branding.

Federal Maritime Commission Chairman Mario Cordero announced that the Commission has completed compromise agreements recovering a total of $338,000 in civil penalties. The agreements were reached with one vessel-operating common carrier and six ocean transportation intermediaries (both non-vessel-operating common carriers and ocean freight forwarders). The agreed-to penalties resulted from investigations conducted by the Commission’s Area Representatives in Houston, Seattle, South Florida, and New York, and by Washington D.C. headquarters staff.

Drewry’s Global Freight Rate Index, a weighted average of spot container freight rates across all major routes except intra-Asia, swung back in July by 13% to reach $1,403 per 40ft box. The global spot rate index had dropped to an all-time low of $1,113 per 40ft container in April. Drewry is in a unique position to track these trends through its Container Freight Rate Insight online platform, via which a constant panel of over 30 forwarders and NVOCCs report rates on a continuous basis. Among the North-South trades, dismally low rates on the Asia-West Africa and Asia-South Africa routes are registering signs of reversal, with the start of the peak season. Rates from Shanghai to Lagos increased by 11% between May and July.

Europe Cargo, the Belgian member of the FPS Group of independent forwarders and NVOCCs, has undertaken the port agency and stevedoring for nine Damen Stan tug boats, being shipped from Shanghai to Gorinchem, Netherlands. The brand new vessels – five Type 1606, each weighing 86 metric tons, and four Type 1205, each weighing 55 metric tons - were loaded on deck and in the hold of MS Clipper Marlene (a multi-purpose vessel owned by Clipper of Denmark) secured to custom-built transport cradles. On arrival in Rotterdam, the tugs were released from their cradles and offloaded onto the quay using the ship’s own three 60 metric ton capacity deck cranes…

CaroTrans, a global non-vessel operating common carrier (NVOCC) and ocean freight consolidator, has entered a partnership with Thrutainers International, an established NVOCC in South Africa. This cooperation creates a U.S.- Sub-Saharan Africa import/export LCL service network in this important trade lane. In 2016, Sub-Saharan Africa is forecasted to have a 3.5 percent GDP increase over 2015, the U.S. a 2.3 percent increase in GDP (Economist Intelligence Unit). Established in 1978, Thrutainers offers a national footprint within South Africa including container freight stations (CFS), multimodal inland services, and warehousing and distribution.

Federal Maritime Commission Chairman Mario Cordero announced that the Commission has completed compromise agreements recovering a total of $1,227,500 in civil penalties. The agreements were reached with seven non-vessel-operating common carriers (NVOCCs) and one vessel-operating common carrier (VOCC). The agreed penalties resulted from investigations conducted by the Commission’s Area Representatives in New York and Seattle, and headquarters staff in Washington D.C. The parties settled and agreed to penalties, but did not admit to violations of the Shipping Act or the Commission’s regulations. In making the announcement, Chairman Mario…

Walter Gimbert, vice president of Troy Container Line, will retire from the company as of May 14, 2015, after more than 20 years of service, the company announced today. “An inspiration to the entire team, Walter’s imprint on the company will continue to influence the company for years to come,” commented Patricia Fitzgerald, Troy’s COO of exports. “Walter’s immeasurable contributions to Troy Container Line have led to the establishment of new services and growth of personnel,” added Michael Cadden Troy, founder and CEO of Troy Container Line.

Shipping consultancy Drewry and shipment management software solutions provider CargoSmart have expanded their cooperation agreement to cover a broader exchange of market intelligence data on the container shipping market. The two companies first announced their cooperation agreement in April 2012, when Drewry began using data from CargoSmart to augment its coverage of ocean carrier service reliability on key container shipping trades. “This broader collaboration will enable Drewry to take greater advantage of the data available from CargoSmart’s system…

Chairman Mario Cordero announced that the Federal Maritime Commission has completed compromise agreements recovering a total of $503,000 in civil penalties. The agreements were reached with five non-vessel-operating common carriers (NVOCCs), two unlicensed transport businesses and one vessel-operating common carrier. The agreed penalties resulted from investigations conducted by the Commission’s Area Representatives in Miami and Los Angeles, and Washington D.C. headquarters staff.

Federal Maritime Commissioner William P. Doyle spoke today at the National Customs Brokers & Forwarders Association of America (NCBFAA) Government Affairs Conference in Washington, DC. There, he addressed OTI regulations, port congestion forums and the upcoming U.S.- China Bilateral Maritime Consultations. His full comments are as follows. Thank you for inviting me here today. I want to let you know that you have a tireless advocate in Ed Greenberg. Ed is always looking out for your interests—he’s on the phone calling my office…

Troy Container Line Ltd., one of the largest American-owned NVOCCs, announced the expansion of its LCL Export Department with the hiring of Teresa Becker, Miguel Odria and Brian O’Malley in the company’s Red Bank, N.J. headquarters. Becker, Odria and O’Malley’s roles will focus on three key aspects of the business: documentation, customer relations and operations to meet the heightened demand of the company’s continually expanding exports division. “Our strength is in our team's shared dedication to our customers.