Transcript FAA Fines Eleven Companies for Hazmat Violations

5th Annual Canada Maritime Conference
September 14 – 15, 2010
Fairmont The Queen Elizabeth Hotel
Montreal, Quebec
INTERNATIONAL FREIGHT FORWARDING
PAST, PRESENT AND FUTURE
Christopher J. Gillespie
President & C.E.O.
Gillespie-Munro Inc.
Forwarders of the 60’s
• Staffing
• Automation
• Operations
Moving to the Present Day
• Systems & Processes
• Marine Carriers
• Changing Role
• Compliance Issues
FAA Fines Eleven Companies for Hazmat Violations
• The Federal Aviation Administration this month fined ten shippers
and one express carrier for shipping undeclared boxes of flammable
products by air in violation of hazardous material safety regulations.
– Boston Scientific of Natick, Mass. - $91,000 for a shipment of medicalgrade silicone fluid. DHL employees at the company’s Cincinnati sorting
hub discovered the leaking box.
– Westfield Coatings Corp., Westfield Mass. - $78,000 for a shipment of
paint.
– Fragrance Resources Inc., Clifton, N.J. - $54,000 for shipping an
undisclosed flammable liquid, possibly perfume given the company’s
name.
– Flight Options LLC, Cleveland - $65,000 for transporting isopropyl alcohol.
– Hammelman Corp., Dayton, Ohio - $54,000 for shipping methanol.
FAA Fines Eleven Companies for Hazmat Violations
– Kemet Electronics Corp., Simpsonville, S.C. - $58,000 for a shipment of silver
paint.
– MSI Aircraft MTC SVS International GmbH, Ruesselsheim, Germany - $56,000
for shipping a fuel control unit to FedEx for transport to Miami.
– FedEx Express, Memphis, Ten. - $65,000 for allegedly accepting a box of an
unspecified toxic, corrosive liquid classified as poison. An FAA hazmat special
agent identified the mislabeled shipment before it could be loaded on an
aircraft.
– Vitacost, Lexington, N.C. - $54,000 for a shipment of flammable liquid and a
non-hazardous material.
– Cardin Health, Madison, Miss. - $91,000 for a shipment of skin care products
via DHL.
– PSS Medical, Lubbock, Texas - $54,000 for a box of ammonium nitrate.
Exotic Pests
Challenges of the Future
• Ever greater complexity
• Government initiatives
• Infrastructure
• Marine carriers
• The environment
• Closing remarks
EU Regulation 1875/2006 – Entry Summary Declaration (ENS)
coming into effect December 31, 2101
1. Ocean container shipments from outside the EU .
The carrier will be responsible for the timely electronic transmission of the Entry
Summary Declaration (ENS), and will transmit one ENS per B/L or Seaway Bill.
ENS transmission must be carried out no later than 24 hours prior to start of the
loading of vessels, from a non-EU load port, which are bound for an EU port. To
comply with this regulation we will require complete and accurate shipping
instructions. The documentation closing times is similar to other “advance
manifest” 24 Hour Rules for shipments to locations such as USA, Canada or
Mexico.
The transmission of ENS is mandatory for all cargo to be discharged in an EU port
(including trans-shipment cargo) as well as FROB cargo (Foreign Cargo Remaining
on Board), i.e. cargo which is discharged in a port outside the EU after the vessel
has called at an EU port.
EU Regulation 1875/2006
To enable the submission of an ENS, the following information is required in your
shipping instructions:
•
•
•
•
•
•
•
•
•
•
Full name and address of shipper and consignee
Full name and address of notify party where goods are carried under a negotiable
“to order” B/L
Container number
Goods description (general terms for example “consolidated cargo” or “general
cargo” cannot be accepted)
Minimally first four digits of the HS code.
Number of packages
Cargo gross weight
Seal number
UN dangerous goods code where applicable
Method of payment in case of prepaid, for example “payment in cash”, “payment
by cheque”, “electronic credit transfer”, etc.
EU Regulation 1875/2006
The ENS will be sent to the Customs office of the first port of entry (first
port of call) in the EU. This Customs office will carry out a security risk
assessment. In the situation where a risk is identified, subsequent ports
and port of loading will be informed:
Risk Type A = do not load
Risk Type B = interception of a suspicious shipment at the first port of
entry
Risk Type C = interception of a suspicious shipment at the port of
discharge
A written consent from the carrier is required when a freight forwarder
wants to file the ENS.