Flegenheimer Latest News

Merchandise Processing Fee Increased to 0.3464%

2011-11-04T12:07:00.000-07:00

Congress has voted to increase the Merchandise Processing Fee collected by U.S. Customs on every formal entry to 0.3464% of the FOB value from the current 0.21% of FOB value. This increase has not affected the minimum MPF charged of $25.00/formal entry nor the maximum MPF of $485.00/formal entry. However, due to the higher MPF rate, more lower value shipments will now be above the $25.00 minimum and more higher value shipments will now reach the $485.00 maximum.

U.S. Customs has announced that it will provide a week's notice prior to beginning to assess the increased MPF.

Due to the increase being effective as of October 1, 2011, Customs plans to generate bills for the additional fees due on entries filed from October 1 through the day before the higher MPF rate is actually implemented. These bills are expected to be sent out to the importer of record of any entry where the difference between the old MPF and the new MPF is greater than $20.00.

The new MPF rate of 0.3464% is legislated to remain in effect until June 30, 2021.

If you have questions about how this change affects your shipments, please contact us to discuss your situation.

Merchandise Processing Fees / Generalized System of Preferences

2011-10-20T13:34:00.000-07:00

Increase in Merchandise Processing Fees
A bill is expected to be signed by the President on Friday, 10/21, which will increase the Merchandise Processing Fee paid on Formal Entries from the current 0.21% to 0.3464% of the Entered Value.

Although the cap of $485.00 for formal entries is not increased, the increased MPF rates will result in the cap being reached more often – on formal entries valued at $140,011 or more (rather than $230,952 or more, as is now the case).

Also, due to the higher MPF rate, the minimum MPF will be paid more often – on formal entries valued at $7217 or less (rather than $11,904 or less as is now the case).

This increase represents the first legislative change to the MPF since 1995 and will be used to address the increased costs U.S. Customs and Border Patrol has incurred as a result of increased volume of trade and additional operational initiatives.

U.S. Renews Generalized System of Preferences
President Obama is expected to sign a bill on Friday, October 21, that will retroactively renew the Generalized System of Preferences program. The GSP provision will take effect 15 days after the date the President affixes his signature – approximately November 5, 2011. It will be retroactive to January 1, 2011 and carry us through until July 31, 2013.

Goods entered on or after the effective date, which are eligible for duty-free treatment under GSP, will be entered duty free.

Goods which have been entered after GSP expired on 12/31/2010 but before the renewal date will be eligible to be liquidated with a refund of duty. As long as your entry was filed with a GSP SPI indication, no further action will be necessary. Your duties will be refunded to you automatically by U.S. Customs at the time of entry liquidation.

FDA Affirmation for Prior Notice

2011-10-12T15:32:00.000-07:00

If your imported products require Prior Notice to be filed with the FDA (this includes all food/drink for human consumption and food for animals), please instruct your supplier to add a certification statement to each commercial invoice as follows:

"I hereby certify that the products on this invoice have not previously been refused entry to any other country."

Or:

"I hereby certify that the products on this invoice have previously been refused entry to _(state country's name)_."

One of the above statements (or words to the same effect) have been required on all commercial invoices of FDA Prior Notice goods since September 6, 2011. Please make sure your suppliers are in compliance with this statement of disclosure.

For further info, please refer to the 2nd rule at the following web address: http://www.fda.gov/NewsEvents/Newsroom/PressAnnouncements/ucm253983.htm

FDA Begins to Implement New Re-inspection Fees

2011-10-10T11:17:00.000-07:00

As of October 1, 2011, the USFDA began implementation of collecting fees for re-inspection and for non-compliance with recall orders. USFDA recognizes the particular complexities involved in the re-inspection of imported products. They are evaluating comments received in response to the Federal Register notice establishing fee rates for Fiscal Year 2012. FDA is not in a position to assess import re-inspection fees until the agency has resolved these issues and the agency notifies the public.

However, the FDA does intend to assess facility re-inspection fees in circumstances where the initial facility inspection begins on or after October 1, 2011. It will also assess fees for not complying with a recall order.

The FDA recommends that all firms assess their compliance with all statutory and regulatory requirements.

For more info on the new fees, please go to: http://www.fda.gov/Food/GuidanceComplianceRegulatoryInformation/
GuidanceDocuments/FoodSafety/ucm274176.htm

Importing an FDA regulated food product that was previously refused by another country?

2011-08-26T12:35:00.000-07:00

In accordance with the Food Safety Modernization Act, the U.S. Food and Drug Administration will require all importers of products which require Prior Notice, including food and food for animals, to submit information reporting the name of any country to which the article of food has previously been refused entry.

As of September 6, 2011, importers must inform the FDA if any country has refused entry to the same product. Please ask your suppliers to place a certification statement on each commercial invoice stating whether the products covered by that invoice have ever been refused entry to another country. If the products being imported have been refused entry previously, the supplier must list which country or countries have refused entry.

For further information, please see:

http://apps.cbp.gov/csms/viewmssg.asp?Recid=18428&page=&srch_argv=FDA&srchtype=&btype=&sortby=&sby

It's Your Duty!

2011-08-25T12:21:00.000-07:00

We are encouraging our customers to apply for an ACH number. This allows us to pay duties and user fees on your behalf electronically. It’s a very simple process and we will be happy to walk you through it.

Never again will you be scrambling to get your duty payments made on time. Never again will you need to worry about late filing penalties from U. S. Customs.

Once you receive your ACH number it’s as easy as 1, 2, 3!

Flegenheimer Intl. receives a preliminary statement report from Customs approximately 9 days after your shipment is released by U.S. Customs. We send this to you via email or fax to let you know it will be debited from your account.
We transmit the payment to Customs using your ACH payer number. We receive a payment acceptance, letting us know the payment has been properly applied.
The following day we receive a final statement from Customs. We will fax or email this to you for your records.

We also encourage clients to set up a separate "duty trust account". The only use for this bank account should be your ACH transactions for U.S. Customs Duties. If you ever have a U.S. Customs Audit, you will be able to easily show these specific bank statements to the U.S. Customs Auditors and verify that you've paid your customs duties with your ACH account.

For further information please go to: http://www.cbp.gov/xp/cgov/trade/automated/automated_systems/ach/debit_details.xml and http://www.cbp.gov/xp/cgov/trade/automated/automated_systems/ach/faqs.xml

To enroll in Automated Clearinghouse, please contact Flegenheimer International Inc.

Important updates for dairy and rice importers

2011-07-29T15:40:00.000-07:00

GOT MILK?

Effective August 1, 2011, an assessment (tax) on imported dairy products goes into effect. Each importer of dairy products will be required to pay an assessment rate of $00.01327/kilogram (kg) on milk solids for dairy products. The products affected are any that contain milk or milk solids including but not limited to: milk, cream, buttermilk, sour cream, yogurt, cheese, butter, margarine, lactose and lactose syrup, chocolate and food preparations containing cocoa, ice cream, casein, milk albumin, and food products containing dried milk.

For more detailed information on this assessment and the products affected, please go to: http://www.gpo.gov/fdsys/pkg/FR-2011-03-18/pdf/2011-6322.pdf

MEET THE BEETLES

U.S. Customs and Border Protection will enforce a federal quarantine order beginning July 30 that restricts the importation of rice into the U.S. from countries with known Khapra beetle infestations. There have been an increasing number of detections of infested shipments at U.S. ports which pose a serious threat to stored agricultural products in the United States.

Commercial shipments of rice originating from several near Eastern, middle Eastern and African countries - including India, Pakistan, Turkey, Sudan, Egypt and others - where the Khapra beetle is known to occur must now be inspected and must be accompanied by a phytosanitary certificate with an additional declaration stating that the shipment was inspected and found free of Khapra beetles.

For more detailed information, please go to: http://www.cbp.gov/xp/cgov/newsroom/news_releases/national/07252011.xml

How do Air and Ocean Freight Differ?

2011-07-07T15:50:00.000-07:00

Here is the second video in a series that answers the most common questions we are asked about customs. Please let us know if you have any questions you would like us to answer in future videos.

What is a Customs Broker?

2011-06-23T09:31:00.000-07:00

Here is the first video in a series that answers the most common questions we are asked about customs. Please let us know if you have any questions you would like us to answer in future videos.

Importing Meat, Poultry, or Processed Egg Products, and a note for Tuna Importers

2011-06-01T12:32:00.000-07:00

Are you thinking of importing Meat, Poultry or Processed Egg Products?

The importation of meat, poultry and processed egg products are regulated by the USDA Food Safety and Inspection Service. These products must originate from certified countries and establishments to be allowed entry in to the United States. A listing of eligible countries and the types of products eligible for import from each can be found at: http://www.fsis.usda.gov/regulations_%26_policies/Import_Information/?index.asap

How about in relatively small amounts?

FSIS statutes provide exemptions for certain foods containing relatively small amounts of meat, poultry or processed egg ingredients. Importers of FSIS exempt products must apply for and obtain a VS-Permit from USDA’s Animal and Plant Health Inspection Service (APHIS). For further information check out the USDA’s website at the above address.

Attention Tuna Importers

The NOAA Form 370, Fisheries Certificate of Origin, is required to accompany all imports of frozen and/or processed tuna products and is to be submitted to U.S. Customs and Border Protection at the time of importation. This form is not required for fresh tuna.
Effective 2/12/2009, the importer of record must – within 10 days of the shipment’s entry – submit a copy of the Form 370 via mail to:

Tuna Tracking & Verification Program
NOAA Fisheries, Southwest Region
P.O. Box 32469
Long Beach, CA 90832-2469

It is important that all NOAA Form 370’s be sent out promptly. Section 1 of the form requires the U.S. Customs entry number and the date of entry. Your customer service representative will be happy to provide this information to you upon request so that you can submit your form in a timely manner.

Or, if you would prefer, Flegenheimer Intl will file the form on your behalf for a nominal fee. Please notify us if you would like to take advantage of this service.
For more information visit:

http://dolphinsafe.gov/importation_2.htm

FDA Changes, Holiday Schedule

2011-05-26T12:27:00.000-07:00

FDA making BIG Changes

The Food Safety Modernization Act was signed into law on January 4, 2011. This new legislation gives the U.S. Food and Drug Administration new mandates and tools to make substantial improvements to food safety.

The major elements of the law are:

· Preventive controls – For the first time, FDA has a legislative mandate to require comprehensive, prevention-based controls across the food supply.

· Inspection and Compliance – The law specifies how often the FDA should inspect food producers.

· Imported Food Safety – The FDA will require importers to verify that their foreign suppliers have adequate preventive controls in place to ensure safety, and FDA will be able to accredit qualified third party auditors to certify that foreign food facilities are complying with U.S. food safety standards.

· Response – FDA will have mandatory recall authority for all food products.

What will this mean for the importing community?
For the first time, importers will be specifically required to have a program to verify that the food products they are bringing into this country are safe. Among other things, importers will need to verify that their suppliers are in compliance with reasonably appropriate risk-based preventive controls that provide the same level of public health protection as those required under FSMA.

All food facilities that are required to register now will need to submit a biennial renewal registration. However, an abbreviated registration process will be available for firms that are already registered and whose registration information has not changed.

When the foreign supplier verification program’s requirements take effect, they will apply to all importers and all foods unless there is an exemption.

Who is exempt?
Any facility whose owner, operator or agent in charge is subject to, and in compliance with FDA’s seafood, juice or low-acid canned food products requirements. There is also an exemption for food imported in small qualities for research and evaluation purposes, provided the food is not intended for retail sale.

The FDA will establish a voluntary, user-fee funded Voluntary Qualified Importer Program (VQIP) to expedite entry into the U.S. of imported food from eligible, qualified importers. To be eligible, an importer must offer food for importation from a facility that has a certification by an accredited third party. Participation will also be based on risk considerations.

When will these new regulations and procedures go into effect?
This is a long term process that requires FDA to prepare and issue new regulations and guidance documents. The FDA states it is committed to implementing the requirements through an open process with opportunity for input from all stakeholders. Also, the funding that the FDA is allocated by Congress will be a factor in the way that the agency handles the implementation of this legislation.

For more detailed information on all the major elements of the Food Safety Modernization Act, please refer to the U.S. Food and Drug Administration’s website at:
http://www.fda.gov/NewsEvents/PublicHealthFocus/ucm238506.htm

We are open 365 days of the year, just for you

If your airfreight shipment must be cleared through Customs on a day when the rest of the country is sleeping in, barbequing, opening presents and/or enjoying fireworks, that is o.k. We understand the importance of getting your perishables cleared whenever and wherever. Here is a list of those Holidays along with our nominal fees. Please call us if you have any questions or concerns. Thank you!

· May 30, 2011, Monday, Memorial Day - $45

· July 4, 2011, Monday, Independence Day - $45

· September 5, 2011, Monday, Labor Day - $45

· November 24, 2011, Thursday, Thanksgiving Day - $100

· December 24, 2011, Saturday, Christmas Eve - $100

· December 25, 2011, Sunday, Christmas Day - $150

· December 31, 2011, Saturday, New Year’s Eve - $100

· January 1, 2012, Sunday, New Year’s Day - $150

· February 20, 2012, Monday , President’s Day - $45

Food Safety, GSP, and Marine Insurance

2011-05-25T12:29:00.000-07:00

FDA Issues First new Rules under Food Safety Modernization Act When? Both will go into effect on July 3, 2011

The first rule will enable FDA to detain food products that it has reason to believe are adulterated or misbranded for up to 20 calendar days with a possible 10 calendar days extension if needed to initiate legal action under section 304 or 302 of the FD&C Act(21U.S.C 332).

Read further details of this new rule published in the Federal Register by clicking on the link below:

http://www.gpo.gov/fdsys/pkg/FR-2011-05-05/pdf/2011-10953.pdf

The second rule will require anyone importing food into the U.S to inform FDA if any country has previously refused entry to the same product, including food for animals. This new reporting requirement will be administered through the FDA’s prior notice system, which is mainly performed by the Importers Customs Broker.

All commercial invoices will need to have a short statement saying : “This products has not been previously refused by any other country” or “ This product has been previously refused entry by name of country “ The Customs Brokers job will be to transmit said information as provided by the importer of record.

Read further details of this new rule published in the Federal Register by clicking on the link below:

http://www.gpo.gov/fdsys/pkg/FR-2011-05-05/pdf/2011-10955.pdf

For a list of the most recent Q&A’s on the FSMA act go to: www.fda.gov/FSMA

General System of Preferences (GSP)

In April, 2011, U.S Trade Representative Ron Kirk and Secretary of State Hillary Rodham Clinton, sent a letter to Congressional leaders urging them to reauthorize the General System of Preference, Andean Trade Preference Act (ATPA) and the Trade Adjustment Assistant (TAA). If the lapse of this program is negatively affecting your business, we suggest that you contact your Congressional representatives and strongly urge them to renew the GSP system and to make that renewal retroactive.

Click the link below to locate your local representatives:

https://writerep.house.gov/writerep/welcome.shtml

http://www.ustr.gov/trade-topics/trade-development/preference-programs/generalized-system-preference-gsp

Marine Insurance

Did you know…..

That marine insurance is the oldest form of insurance, with its origins dating back to Greek and Roman traders in the Mediterranean?

Today, most common carriers have very limited liability to their customers in the event of loss or damage to cargo in transit. An all-risk insurance policy will cover your goods while they are out of your control, either in the air or on the water. If you are interested in the protection of an all-risk cargo insurance policy, please contact your Flegenheimer Customer Service representative for a free quote.

ISF, 10+2 News

2011-01-27T12:25:00.000-08:00

Just a reminder, 10+2 is in its penalty phase and Importers are required to comply. CBP is moving to the liquidated damages phase and if compliance is not met, Importers can face fines up to $5,000 for each violation. Claims for liquidated damages could come as soon as the next few months and without notice. The primary focus will be on those who are still not complying with the 10+2 final rule and those Importers not filing or committing egregious errors. As an extreme enforcement measure, holds and DNL’s will be considered on a case by case basis. If you have not been in compliance or not sure if you are correctly filing you may contact us anytime (310-322-4366) or you may want to get familiar again by checking the Customs website.

http://www.cbp.gov/xp/cgov/trade/cargo_security/carriers/security_filing/

Food Safety Bill

President Barack Obama signed into law on January 4, 2011 the Food Safety Modernization Act (FSMA) which lays the foundation for a prevention-based, 21st century food safety system that makes everyone in the global food chain responsible for safety. This law will change the way food businesses operate. It will require most food businesses to establish food safety plans consistent with the HAACP system. It will increase FDA’s power giving them mandatory recall authority. For imports there are some new requirements such as: Importers must verify the safety of foreign suppliers and imported food and Prior notices filed with the FDA for imported foods must include the name of any country that refused entry to the food. Additionally the new law will add 4000 new inspectors with expanded inspection authority to review records and facilities. To find out more on this check this website.

http://www.fda.gov/AboutFDA/Transparency/default.htm

Required Information for Importing Cheese

· What kind of cheese?

· Is it hard or soft?

· Is it fresh or unpinned or uncured?

· Is it grated, processed or other?

· What animal is the milk from?

· Is it soft ripened cow’s milk cheese?

· How is it packed;

o Are they in original loafs?

o Are they wheels? Need weight per wheel?

o Are they bulk chunked?

o Retail, how many boxes in each master carton?

o Do you have a dairy license?

Continuous Bond, Dairy Milk Solids, Remote Location Filing, Fish & Wildlife, January 2010

2011-01-10T12:10:00.000-08:00

BOND COVERAGE REQUIRED FOR ISF 10+2 EFFECTIVE JANUARY 26, 2010
If you currently have a Customs Continuous Bond on file, that is great! You have no further worries. If you do not, it is in your best interest to apply for one now.
Customs is requiring that all single transaction bonds be made for the value + duties (which is how it has always been up until now) but now, with ISF, we will need to add an additional $10,000 to your bond coverage amount, which intern increases your cost to purchase a single transaction bond. If you do not currently have a continuous bond, call our office today. Don’t wait. For more information, see the federal register (74 FR 68377) dated: 12/24/09 found below:
http://www.gpo.gov/fdsys/pkg/FR-2009-12-24/pdf/E9-30570.pdf
Dairy Milk Solids Content in Kilograms (CKG) Unit of Measure
Here is the new Customs message about dairy milk solids. It is now a requirement to provide the actual quantity of milk solids, in kilograms for all types of dairy.
The revisions took effect on January 1, 2010, and included the addition of a second unit of measure to report milk solids content of dairy products in kilograms. Dairy related tariff numbers have a second reporting unit of measure indicating ‘CKG’ (Content in Kilograms). ‘CKG’ refers to the weight in kilograms of milk solids content of the imported product. The actual quantity of milk solids, in kilograms, is to be reported, not a percentage. Milk solids of all types of dairy are to be reported.
To view a list of all modified HTS records for 2010, including those affected by this change, see
http://apps.cbp.gov/csms/viewmssg.asp?Recid=17800&page=&srch_argv=10-000019&srchtype=all&btype=&sortby=&sby=

Remote Location Filing – Final Rule
The notice of final rule for Remote Location Filing (RLF) was published in the Federal Register on December 30, 2009. These regulations will make the RLF program a permanent CBP program. The effective date of the new regulations is January 29, 2010.
Remote Location Filing (RLF) allows approved Customs brokers or importers to submit electronic entry data for clearance from a location other than the port of arrival. RLF was created as one of the Customs Modernization Act provisions enacted in December 1993. Approved importers and brokers transmit electronic entry data via the Automated Broker Interface (ABI) to RLF-trained CBP ports. This transaction includes an electronic invoice when requested. Remote Location Filing may be for you. Flegenheimer Int’l has been in the RLF program from the beginning. We can get your shipment cleared in any U.S. port. Call us for more information at (310)-322-4366. For more on Remote Location Filing see these websites.
http://www.cbp.gov/xp/cgov/trade/trade_programs/remote_location_filing/notice_of_rulemaking.xml
http://www.google.com/search?q=CSMS%23+10-000002+-+Remote+Location+Filing+-+Final+Rule&rls=com.microsoft:en-us:IE-Address&ie=UTF-8&oe=UTF-8&sourceid=ie7&rlz=1I7ADBF_en

Fish & Wildlife has raised Inspection Fees as of January 1, 2010:
Click here for full details:
http://www.fws.gov/le/PubBulletins/PB120209UserFeeIncrease2010.pdf
http://www.fws.gov/le/AboutLE/2010InspectionFees.htm

Holidays

2010-12-09T12:24:00.000-08:00

Thank you for all your support throughout another great year. To make things easier for you during the holiday season please see below for our holiday operation schedule.

· December 24^th we will have personal in operations for both air and ocean department. Overtime

· December 25^th we will have personal in airfreight operations only.

· December 31^st we will have personal in operations for both air and ocean department. Overtime.

· January 1^st we will have personal in airfreight operations only.

Please also be aware that our holiday overtime rates apply for any shipments cleared per your request on these days. Feel free to call us for questions about our holiday rates.

On the holidays we will staff our office based on the amount of shipments arriving so be sure to advise us of your intentions for importing over the holiday season at least 48 hours in advance.

From all of us at Flegenheimer International

Thank You

Very Much

Happy Holidays

News from Fish & Wildlife, Customs, and the USDA

2010-12-02T12:22:00.000-08:00

Fish & Wildlife News

New Fees

On January 1^st, 2011 the Department of The Interior Fish & Wildlife Services will be implementing new inspection fees. These changes can be viewed at this link.

http://www.fws.gov/le/AboutLE/2011InspectionFees.htm

Customs News

Permissible Sharing of Client Records by Customs Brokers

At Flegenheimer International we understand the importance of keeping our customers information secure. We keep all of our customer’s information confidential. There is a new proposal from CBP to amend the regulations regarding confidentiality and we wanted to share it with you.

SUMMARY: This document proposes to amend Customs and Border Protection (CBP) regulations in title 19 of the Code of Federal Regulations (CFR) pertaining to the obligations of customs brokers to keep clients' information confidential. The proposed amendment would allow brokers, upon the client's consent in a written authorization, to share client information with affiliated entities related to the broker so that these entities may offer non-customs business services to the broker's clients. The proposed amendment would also allow customs brokers to use a third-party to perform photocopying, scanning, and livery of client records for the broker. These proposed changes are intended to update the regulation to reflect modern business practices, while protecting the confidentiality of client (importer) information. In addition, the proposed changes would align the regulations with CBP's previously published rulings concerning brokers' confidentiality of client information.

DATES: Comments must be received on or before December 27, 2010.

To read more about this proposed change see; http://edocket.access.gpo.gov/2010/2010-27106.htm

USDA News

Change in disease status of Japan because of foot and mouth disease

USDA is amending the regulations governing the importation of certain animal’s meat and other animal products from Japan. The animal and plant health inspection Service has issued an interim rule which amends the regulations governing the importation of certain animals meat and other animal produce by removing Japan from the list of regions considered to be free of foot and mouth disease (FMD) and also from the list of FMD-free regions that are subject to certain import restrictions on meat and meat products because of their proximity to or trading relationships with FMD- or rinderpest-affected countries.

This action restricts the importation of ruminants and swine and the fresh meat and other animal products of ruminants and swine from that country. According to APHIS, the interim rule went into effect on October 25, 2010 the restriction is being imposed retroactively to April 20, 2010. Some additional information can be obtained by viewing this link.

http://www.aphis.usda.gov/animal_health/emergingissues/impactworksheets/iw_2000_files/foreign/fmdjapanext.htm

FDA and USDA News Releases

2010-11-04T12:20:00.000-07:00

FDA NEWS RELEASE

From FDA News www.fda.gov

FDA, U. of Md. train Bangladeshis on aquaculture safety

Seafood safety experts from the U.S. Food and Drug Administration and the University of Maryland Joint Institute for Food Safety and Applied Nutrition (JIFSAN) are training 10 scientists from Bangladesh on how to eliminate health hazards from aquaculture – the controlled production of seafood, much of which is exported to the United States.

The trainees are among a group that participated in a Good Aquacultural Practices (GAqPs) train-the-trainer program in Khulna, Bangladesh, in November 2009 and who are committed to furthering their country’s ability to further improve aquaculture safety there over the next five years.

The training, by experts from the FDA and JIFSAN was occurring Sept. 15-18, 2010, at College Park, Md., and from Sept. 20-24, 2010, at university facilities in Princess Anne, Md., and Cambridge, Md. The emphasis is on hazards associated with shrimp production and on FDA regulations regarding safety of seafood imports.

“Collaborating with other countries in this way not only helps to improve the quality and safety of their domestic product, but also what they export to the United States and other countries around the world,” said FDA Deputy Commissioner for International Programs, Murray M. Lumpkin, M.D.

The training will include lectures, demonstrations, site visits, and workgroup activities. Using a “train-the-trainer” model, those who successfully complete this and subsequent training programs will be qualified as trainers in Bangladesh.

Aquaculture is the production of aquatic life such as shrimp, fish and plants under controlled conditions for all or part of their life cycle. Over the past 20 years, the aquaculture industry has grown by more than 11 percent each year. It is now the fastest-growing segment of agriculture worldwide, accounting for 52 percent of all fish produced. In the United States, about 85 percent of the seafood consumed is imported from more than 50 different countries. Of that amount, 40 percent comes from aquaculture operations, the other 60 percent from wild harvest.

This training program was developed by a team of seafood specialists in 2006 and began in Vietnam that same year. Since then, the program has been conducted in Thailand, Indonesia, Bangladesh and, most recently, Malaysia. This training follows the March 22, 2010, Agreement of Cooperation between the University and the Bangladesh Shrimp and Fish Foundation (BSFF). The next Bangladesh train-the-trainer program is scheduled to take place Nov. 7-11, 2010.

USDA NEWS

Foreign Agricultural Trade of the United States(FATUS):Monthly Summery From USDA News www.usda.gov

Latest U.S. Agricultural Trade Data

USDA has summarized the latest U.S. agricultural trade statistics in the following table, using the most recent data released by the U.S. Department of Commerce.

U.S. agricultural trade 1/, fiscal years, calendar years, year-to-date, and current month
	Fiscal years 2/				Fiscal year-to-date		July
	2006	2007	2008	2009	2009	2010	2010
	Billion dollars
Agricultural exports	68.593	82.217	115.305	96.632	81.741	91.438	7.934
Agricultural imports	64.026	70.063	79.320	73.418	62.425	65.733	6.621

Trade balance 3/	4.566	12.154	35.985	23.215	19.316	25.705	1.313

	Calendar years				Calendar year-to-date		July
	2006	2007	2008	2009	2009	2010	2010
	Billion dollars
Agricultural exports	70.948	89.990	115.278	98.611	53.615	61.275	7.934
Agricultural imports	65.326	71.913	80.488	71.699	42.547	47.578	6.621

Trade balance 3/	5.622	18.077	34.790	26.912	11.068	13.697	1.313
1/ USDA defines agriculture to include: live animals, meat, and products of livestock, poultry, and dairy; hides and skins (but not leather products); animal fats and greases; food and feed grains and grain products; oilseeds and oilseed products; fruits, nuts, and vegetables and products of these; juices, wine, and malt beverages (not distilled spirits); essential oils; planting seeds; raw cotton, wool, and other fibers (not manufactured products of these); unmanufactured tobacco (not manufactured tobacco products); sugar and sugar products; coffee, cocoa, tea, and products of these; rubber and allied products; and stock for nurseries and greenhouses, spices, and crude or natural drugs. Fish, shellfish, and forestry products are not included in "agriculture." 2/ October 1 of previous year through September 30 of current year. 3/ Exports minus imports. Data are not seasonally adjusted. Totals for 2007 revised to incorporate annual revisions by Bureau of Census. Sources: U.S. Department of Agriculture, using data summed from the Bureau of Census, U.S. Department of Commerce.

Importer Responsibility (Part 5 of a Series)

2010-10-14T17:12:00.000-07:00

How did your last shipment go?

Did you experience any problems or delays?

Did you receive your shipment fast enough?

Perhaps you were wondering, “What are those Flegenheimer guys doing over there?”

Often times it is the perception of International Importers that; “Just having a Customs Broker, will automatically eliminate any delays in receiving my International Cargo.”

Honestly, we all know your Customs Transaction should require no more time than it takes for the International carrier/warehouse to have the cargo ready to deliver.

While that is always our goal, sometimes there are delays which are “outside of our control.” But the good news is that we CAN take specific actions that will limit the possibility of experiencing delays. As your Importing Resource, Flegenheimer International is committed to expediting your Customs Transactions which will help you receive your International Shipment as soon as possible. We have invested considerably in analyzing and establishing advanced operations to expedite International shipments through all Government Agencies. If you are experiencing problems or delays you may want to examine this abbreviated check-list taken from our previous Importer Responsibility Series 1 through 5. It is our hope that you will be able to recognize one or more areas for which you can create improvements in communication, increased velocity, avoidance of delays, prevention of fines and ultimately increased product turnover and higher profitability.

Pre-advice because of FDA Prior Notice & ISF; at least two to three days prior to shipping and follow through.
Timely documents at least 24-48 hours for Airfreight and at least 5 days for Ocean shipments and follow through.
Clear legible documents with complete information. Review your documents and follow through.
Permits, cites, forms, etc... Documents that other government agencies may require to release your shipment.
Do you have a Continuous Bond? If not, obtaining one may help your shipment clear faster. With a Continuous Bond some products may qualify for paperless entries. This means you could avoid filing hard copies of the entry to the customs office. However, even with a Continuous Bond there are some products that will never qualify for paperless entries. Ocean shipments filing ISF: If you do not have a Continuous Bond, ISF must be filed twice. Once with the bonding company and once with Customs. Finally having a Customs Bond may reduce the cost of your Customs Entry. We strongly advise our importers to obtain a Continuous bond.
Do you need cargo insurance? Protect your International Imports. Request a quote right now from Flegenheimer International.
Of course we are a 24/7 full service Customs Broker and Flegenheimer International can take care of your shipment even if you file late, but Customs and FDA are monitoring for things like proper filing of Prior Notice and ISF filing. By following these abbreviated steps you could possibly avoid additional scrutiny and/or penalties.

It is so important to follow these steps. We all know problems can arise and we have to be prepared. If you’re current operations don’t match up, now is the time to make changes. Time is money.

As an example we thought it may be time to give our customers a look into how the office/lobby at US Customs works, to kind of punctuate the importance of following the steps and being pro-active about your imports.

The Customs Experience can be a rather quick, or unexpectedly long and drawn out experience.

Here is the way it works out a lot of the time in sequence. “Hard goods” and “Perishable” entries are filled differently so “Hard goods” usually take more time to clear.

Air Freight Import Customs entries can’t be submitted until the plane has blocked.
When we arrive at the Customs office we enter a lobby where we take a number from a number machine.
Then we wait for our number to be called along with 2 to 15 other people, from couriers to people clearing their own personal effects to other Customs Brokers to airline representatives, all making Customs Transactions. We wait in order with all of them.
There may be one or two Officers working at any given time and because LAX is a training port, there may be Officers training.
It may take 10 to 20 minutes and sometimes longer for each transaction at the Customs counter.
We wait until our number is called and then we can submit our entries to the Customs Officer.
The Customs Officer takes our entries and starts processing them by inputting certain entry data into their computer system to match what we have transmitted and they review the documentation.
Sometimes the Customs Officer may need to ask us questions about our entry or check with other Government Agencies like UDSA or FDA.
On average it can take 20 minutes to an hour and depending on the time of day even longer to get our entries submitted, cleared and back to us.

Our many years of experience make it easy for us and that benefits you, the Importer.

So to avoid delays or additional scrutiny that can happen at the Customs Office, please review the Importer Responsibility Series to insure you are on the right track, the fast track, to clearing your International Imports.

USDA NEWS, Fumigation and Packaging

2010-08-05T12:18:00.000-07:00

USDA has been experiencing some problems with fumigation lately and has asked that we inform our Importers of these problems. If you are currently importing any herb, fruit or vegetable shipments this very important information should be reviewed.

The following is a letter from USDA outlining these challenges.

From: USDA August 5, 2010

The past several months there have been many herb, fruit, and vegetable shipments requiring fumigation as a condition of entry or the Department of Homeland Security, Customs Border Protection has intercepted plant pests requiring treatment, however, the bagging or wrappings do not meet PPQ’s requirement for proper holes. For PPQ to have an efficacious treatment it is imperative that we have a way to get the fumigant into the packaging and the bagging to the commodities surfaces where the plant pest is. We cannot achieve the goal of killing the plant pests that do not occur in the United States without compliance. Also we do not want to trap the fumigant inside of these products for several reasons. The longer the fumigant stays inside the plastic bags or wrappings there is a possibly that fumigant could damage the commodity, may reduce shelf stability, and most importantly trap the fumigant inside of the bagging. Thus the fumigant could be released during the unpacking of the commodity at stores where these commodities are sold or in a warehouse where these products are held before being sent out to retailers.

Please check this website for more information, Treatment Manual, page 2-3-6.

http://www.aphis.usda.gov/import_export/plants/manuals/ports/treatment.shtml

*(We have provided a copy of the page from the manual below.)*

Chemical Treatments Fumigants • Methyl Bromide

Leak Detection and Gas Analysis

2-3-6 Treatment Manual 05/2010-45

PPQ

To show that the fumigation using the “Q” label was monitored by a regulatory agent, the fumigator should record the name, title, telephone number and mailing address of the monitoring regulatory agent(s) on the restricted use pesticide application records, even if the same information is recorded on other documents (e.g., phytosanitary certificate).

Leak Detection and Gas Analysis

Use an APHIS-approved gas detection device to measure gas concentration levels in tarpaulins and chambers. Use an APHIS-approved leak detection device primarily to check for leaks around tarpaulins, chambers, application equipment, and as a safety device around the fumigation site. For a partial list of manufacturers of detection devices, refer to Reference Guide to Commercial Suppliers of Treatment and Related Safety Equipment. Colorimetric tubes, which are supplied by the fumigator, are used to measure gas concentration levels during aeration.

Effects of Temperature and Humidity

MB is effective at the same temperatures plants are generally handled (usually40 °F and above). In general, increases in temperature give a corresponding increase in the effectiveness of MB. All treatment schedule temperatures are listed with the corresponding dosage rate. Follow the dosage rates listed. A Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) Section 3 registration (the labeled rate of MB provided), or a Section 18 Exemption must be in effect at the time of treatment. For live plant material which is actively growing or with leaves, maintain a high percentage of humidity (above 75 percent) in the chamber by placing wet sphagnum or excelsior in the chamber or by wetting the chamber walls and floor. Protect actively growing or delicate plants from the direct air flow of fans. Do not add any moisture to the chamber when fumigating seeds. Too much moisture on the material to be fumigated may prevent the fumigant from reaching some of the pests.

Penetration and Aeration of Boxes and Packages

Plastic Wrappings and Impermeable Papers

Plastic wrappings such as cellophane, films, and shrink wrap, and papers that are waxed, laminated, or waterproofed are not readily permeable and must be perforated, removed, or opened before fumigation .If wrappings are perforated to facilitate fumigation, holes should be at least 3/16-inch in diameter every 3 square inches or 1/4-inch in diameter every 4 square inches over the entire surface of the wrapping. Also acceptable are plastic wraps containing numerous pinholes (at least 49 per square inch). These holes enhance permeability through the plastic fruit trays, which are frequently used for transport of fruit.

Important

Inform prospective importers that the wrappings on their shipments may have to be perforated to PPQ specifications, removed, or opened if PPQ requires fumigation. If wrappings on shipments are designed to satisfy PPQ requirements for fumigation readily, importers could save time and money. Shippers should send a complete bag/wrap sample to CPHST for inspection and approval.

If there are questions, individuals should contact CPHST for inspection and approval of bag/wrap. Samples should be sent to:

USDA-APHIS-PPQ-CPHST
Treatment Quality Assurance Unit
1730 Varsity Drive, Suite 400
Raleigh, NC 27606
Attention Dean Komm

919-855-7450

The bags must have the following:

· Even spaced holes over surface of bag

· 1/4 inch diameter hole every 4 sq inches

· 3/16 inch diameter hole every 3 sq inches

· 49 pinholes per square inch

Other diameter holes may be used if they are evenly spaced and have at least a 0.93% open area of the bag surface.

Effective on Monday, August 23, 2010, PPQ will be refusing all commodities for fumigation if the bagging or wrappings do not meet these requirements. Please remember bagging or wrappings requirements apply to ALL counties. If you have any questions you may call USDA supervisor Randolph Cadet at 908-862-2012.

Thank you for your help in protecting the United States from foreign pests.

Fish and Wildlife and Lacey Act Update

2010-07-02T03:25:00.000-07:00

Fish and Wildlife
At Flegenheimer International we are always trying to improve our communication with Importers and other Government agencies. As we mentioned in previous news-blasts, Fish and Wildlife has expanded the list of items they regulate. When we present information to them we must provide them with scientific names for each item required. We are asking that our importers request for the exporter/shipper to provide the scientific names for each item on the invoice.

Lacey Act
Under the amendments to the Lacey Act that was included in the 2008 Farm Bill, imports of certain plants and plant products must be accompanied by an import declaration that contains, among other things, the scientific name of the plant, the value of the importation, the quantity of the plant and the name of the country from where the plant was harvested. For paper and paperboard products containing recycled content, the declaration also must include the average percent of recycled content without regard for species or country of harvest.

Our customers are the first to get on board with new Customs regulations and rules. Some of you have already been providing Lacy Act documentation, but now that the Lacy Act is in effect we have been seeing some importers who through no fault of their own are not really clear about the changes. To insure that customs receives the correct Lacy Act declaration, please visit these web sites.
http://www.aphis.usda.gov/plant_health/lacey_act/downloads/declarationform.pdf Form
http://www.aphis.usda.gov/plant_health/lacey_act/downloads/2008-0119.pdf Law

Cargo Insurance
Are you covered? Can you be sure your shipment is safe? Check with us about affordable cargo insurance for your imports. We all know anything can happen when importing international cargo. Reduce your risk mitigation. At Flegenheimer International we can provide complete, “all risk”, cargo insurance for any import, air or ocean.

Importing a new item

2010-04-29T13:38:00.000-07:00

Where should I start when wanting to import something new?

When thinking about importing a new item you are not familiar with, one of the first things you should know is if product is subject to Anti-dumping and/or Countervailing duty and if it is subject to Quota or not. These are only 2 of the many details that should be considered when importing for the first time. Below you will find a link for ADD/CVD and a second one for Quota.

http://web.ita.doc.gov/ia/CaseM.nsf/136bb350f9b3efba852570d9004ce782?OpenView

http://www.cbp.gov/xp/cgov/trade/trade_programs/textiles_and_quotas/commodity/commodity_reports_faq.xml

A Customs ruling is the best way to find out what other governmental divisions your product might be subject to. The best thing about a ruling is that you would have a Customs written document confirming the classification number and duties your goods are subject to.
Click here to apply for a Customs Ruling:
http://www.cbp.gov/xp/cgov/trade/legal/rulings/eRulingRequirements.xml

Attend a Customs 10+2 outreach seminar near you:

http://www.cbp.gov/linkhandler/cgov/newsroom/publications/trade/import_sf_carry.ctt/import_sf_carry.pdf

We will be posting information on Importer/Broker responsibilities in future posts.

President Amends Tariff Schedule on NAFTA Rules of Origin, Israeli Farm Goods
President Obama has issued a proclamation amending the Harmonized Tariff Schedule of the U.S. to reflect numerous changes to the rules of origin under NAFTA as well as the duty-free treatment afforded to certain agricultural products from Israel.

Presidential proclamation 8097 of Dec. 29, 2006, modified the HTSUS to reflect amendments to the International Convention on the Harmonized Commodity Description and Coding System and to ensure the continuation of the staged duty rate reductions under NAFTA for originating goods of Mexico in tariff categories that were affected by those amendments. The U.S., Canada and Mexico have now agreed to modify certain NAFTA rules of origin to ensure that the tariff and certain other treatment accorded to originating goods will continue to be provided under the tariff categories that were modified in proclamation 8097. This proclamation will implement these changes, which are detailed in annexes I and II in the attached report from the International Trade Commission, with respect to goods entered, or withdrawn from warehouse for consumption, on or after Oct. 2.

In addition, this proclamation makes certain technical amendments to the HTSUS, detailed in annex III of the attached ITC report, that are necessary to conform it to the Harmonized System.

Finally, this proclamation modifies the HTSUS, as detailed in annex IV of the attached ITC report, to reflect the duty-free treatment provided to specified quantities of certain agricultural products of Israel through Dec. 31, 2009, pursuant to the U.S.-Israel Free Trade Agreement and a 2004 bilateral agreement on trade in agricultural products.
Source Document 1...http://www.strtrade.com/wti/2009/september/03/nafta_proclamation.pdf
Source Document 2...http://www.strtrade.com/wti/2009/september/03/pub4095.pdf

FSIS Exempted Food Changes

2010-04-29T12:18:00.000-07:00

Beginning June 22, 2009, changes were made to the USDA Permitting Process for FSIS-Exempted Food Products Containing Meat and Poultry Ingredients. Food products which were generally exempted from needing an Import Permit due to the fact that small amounts of meat and/or poultry ingredients were involved are no longer exempt. Read all the details you need to know here: http://www.cbp.gov/xp/cgov/trade/trade_programs/agriculture/meat_poultry_regs.xml

Contact a Flegenheimer representative for assistance if you require an import license for previously exempt food items.

Notes for food importers through customs

2010-04-29T12:16:00.000-07:00

Some packers/manufacturers are FDA approved or are in an automatic detention status. We recommend that you check the Food and Drug Administration website at: http://www.fda.gov/ora/fiars/ora_import_alerts.html

Some countries allow a pre-examination of fruits, vegetables, and other specific plant products. To see a complete list, click here: http://flegenheimer.com/documents/aphis.pdf

Depending on the food products that you are importing through customs, you may need a produce import license. You can apply online at http://www.aphis.usda.gov/import_export/index.shtml

Food Regulations

2010-04-29T12:14:00.000-07:00

Food imports are regulated by various government agencies. All products must pass through US Customs, and depending on your specific product, it could be regulated by one or more of the following: US Department of Agriculture, Food and Drug Administration, Fish and Wildlife, Environmental Pretention Agency, Department of Transportation, Alcoholic Beverage Control, Alcohol Tobacco and Firearms, California Agriculture, Federal Communications Commission, and National Marine Fisheries. There may be additional government agencies involved. To find out what regulations your shipment may need to comply with, please contact a Flegenheimer representative.

Customs Bonds

2010-04-22T09:59:00.000-07:00

Customs bonds, also known as Surety Bonds, are required by the US Customs Service and are a way for the Customs to protect themselves in the event that liquidated damages are assessed against an importer, and so they can collect on money owed.

It is important that these bonds be written correctly. If they are not, your shipment will not pass through customs. In the last 30 years, we have NEVER had a shipment rejected by Customs based on a Customs Bond being mis-filed.
There are two types of Customs Bonds:

Single Transaction - These bonds are to be used to import a single shipment at a single port. This type of bond is typically used for importers that import only a single shipment in a year.

Continuous Bond - These bonds are used for importers that import on a regular basis. The most common bond size for a continuous bond is $50,000.