Newsletter June2010
Created by John on 6/10/2010


Beacon International Despatch Ltd - Newsletter June 2010

Beacon International Despatch Ltd. - Newsletter

JUNE, 2010

CFIA WOOD PACKAGING - QUESTIONS AND ANSWERS

The Canadian Food Inspection Agency has development a Q&A for wood packaging materials that can be found at:
http://www.inspection.gc.ca/english/plaveg/for/cwpc/wdpkgqae.shtml

ZIM GENERAL RATE INCREASE - NORTH EUROPE-SCANDINAVIA TO USA AND CANADA
ZIM has announced that effective July 1st, 2010, a General Rate Increase (GRI) will be implemented on westbound cargo from North Europe, Scandinavia and Baltic ports to USA & Canada, as follows:
USD$350 per 20' Container
USD$450 per 40'/40HC containers (dry van and refrigerated).

EU LOOKING INTO OCEAN CARRIER PRICING
The European Union is launching an investigation into whether the largest container lines have engaged in price-fixing, according to the Wall Street Journal. The investigation by the EU's Competition Directorate parallels a similar fact-finding investigation the Federal Maritime Commission launched in May.

The two investigations came as major container lines increased their freight rates on major east-west trade lanes even as the supply of new ships entering the market grew, which would usually increase the competition for cargo and hence produce lower rates. The shipping lines deny they are operating a cartel, the Wall Street Journal reported

 
U.S. BTS MARCH 2010 SURFACE TRADE WITH CANADA AND MEXICO
Trade using surface transportation between the United States and its North American Free Trade Agreement (NAFTA) partners Canada and Mexico was 37.0 percent higher in March 2010 than in March 2009, reaching $69.9 billion, according to the Bureau of Transportation Statistics (BTS) of the U.S. Department of Transportation.

The 37.0 percent increase from March 2009 to March 2010 is the largest year-over-year rise on record but freight value in March 2010 still remained 1.2 percent less than the value in March 2008, two years earlier. BTS reported that the value of U.S. surface transportation trade with Canada and Mexico rose 17.6 percent in March 2010 from February 2010.

Month-to-month changes can be affected by seasonal variations and other factors.  U.S. - Canada surface transportation trade totalled $42.1 billion in March, up 35.6 percent compared to March 2009. The value of imports carried by truck was 19.4 percent higher in March 2010 compared to March 2009, while the value of exports carried by truck was 30.4 percent higher during this period. Michigan led all states in surface trade with Canada in March with $ 5.8 billion


PORT METRO VANCOUVER AND CN ENTER INTO SUPPLY CHAIN COLLABORATION AGREEMENT
Port Metro Vancouver and CN announced Monday a supply chain collaboration agreement to drive further efficiencies at the port and recognize the importance of balanced accountability. The agreement sets the framework for the Port, CN and port stakeholders to develop mechanisms to define, measure, monitor and evaluate the performance of each participant at the port against established benchmarks.

It
also establishes processes to proactively communicate on service-related matters and resolve disputes between CN, the Port and port supply chain participants on a commercial basis. 

Port Metro Vancouver and CN believe that supply chain collaboration is the best way to help increase Canada's commerce with the Asia-Pacific region, enlarge the Gateway's share of Asian containerized imports to North America, and improve Gateway competitiveness for Canadian and North American exports.

CN - AAR RULE 5 CARLOAD SHIPMENTS IN CLOSED CARS - IMPLEMENTATION DATE EXTENDED
Further to a CN notice announcing an implementation date of July 1, 2010 for a change in AAR Rule 5, CN has now announced that the change on the rules for the safe loading of closed boxcars will be January 1, 2011.

Right now, the maximum allowable space crosswise in a loaded closed railcar is 18 inches. On January 1st 2011, the maximum allowable space will be reduced to 6 inches, significantly reducing the chances of load shifts that might cause a derailment. Below are the links to the CN customer letter, the AAR letter and Rule 5 of AAR Circular No. 42-J outlining the details of this change:
http://www.cn.ca/en/customer-news-aar-rule5-change-20100521.htm?s_cid=rss-cn-customer-news

VOLCANIC ERUPTION IN LATIN AMERICA IMPEDES AIR TRAFFIC
The Central American states Honduras, El Salvador and Guatemala have declared a state of emergency after "Agatha", the first tropical storm of the hurricane season, caused major damage over the weekend reports “ITJ”. Guatemala also suffered from an eruption of the Pacaya volcano, which emitted sand and ash.

Guatemala City's international airport is to remain closed for the next few days. Torrential rain is hampering airport staff in their efforts to remove the layer of ash. Mexico has helped its neighbour by offering the use of Tapachula airport on the southern border to Guatemala.

In Ecuador (South America) the Tungurahua volcano is still active. Several major explosions have occurred in the crater, according to the state-owned institute for geophysics. Winds blew the emitted ash over the country's most populous city, Guayaquil, and led aviation officials to halt flights out of the Pacific port and from Quito to Lima (Peru). Neither of the eruptions was expected to disrupt airports in neighbouring countries.

COSCO CANADA UPDATES BAF, CAF, GRI'S
COSCO Canada has advised that the Bunker Adjustment Factor (BAF) for all eastbound cargo to both Canada & USA for the 3rd Quarter of 2010 will remain no change. Effective July 01, 2010, the BAF for all eastbound cargo from Far East & Indian Sub-Continent to all Canadian & USA destinations will be
- Click on Link

BRITISH AIRWAYS NOTICE - EU CUSTOMS IMPORT CONTROL SYSTEM
On January 1, 2011 EU Customs administrations will commence implementation of the Import Control System (ICS). With effect from this date, air carriers are required to provide advance electronic reporting of all goods entering the European Union. For British Airways World Cargo customers an Entry Summary Declaration (ENS) will be required to be transmitted within the following timescales:

 

• No less than 4 hours prior to the arrival into the EU of flights over 4 hours duration

• On departure for flights under 4 hours duration British Airways World Cargo intends to meet these mandatory requirements by January 1, 2011.

In preparation for January 1, 2011 deadline, British Airways World Cargo intends to electronically capture the data required to make the ENS. In order to achieve this, customers may need to change the way data and documentation are presented. On a master air waybill the full consignee name and address MUST be shown in the correct format irrespective of the country for which the goods are ultimately destined
.

Example

Name ABC Company
Address 123 Front Road
City Sunbury-on-Thames
State or Province Middlesex
Post Code TW16 7JJ
Country code GB

A full and complete description of goods must be made in order to comply with European guidelines. The shipper or his agent needs to ensure that the air waybill has been completed in accordance with IATA regulations. Please refer the Forwarder to the IATA Air Waybill Handbook, section 2.18.10.4, Nature of Quality of goods (22I) (www.iata.com). For 'consolidated consignments’, where any air waybill has one or more associated house air waybills the entry shall show 'Consolidation as per attached list'. Full details are posted at: https://cargoenews.baplc.com


BRITISH AIRWAYS TALKS NO AGREEMENT
“Reuters” reports that talks between British Airways and the union Unite which represents striking cabin crew were adjourned without the parties reaching an agreement, the mediator Acas said on Friday.

Both parties would be contacted to arrange more talks in an attempt to avert a further 10 days of industrial action planned during the coming weeks, it added. The carrier said that in the event of another 5-day strike this week, its longhaul schedule at London's Heathrow airport would be increased to more than 70 percent of flights, from 60 percent last week. Previous negotiations in the long-running dispute have been acrimonious.


CTSA NOTICE FUEL SURCHARGE JULY 1
Major Trans-Pacific shipping lines of the Canada Transpacific Stabilization Agreement (CTSA), wish to advise their customers that effective July 1, 2010, the Fuel Recovery Charge will be at the following levels:

Via East Coast
US$ 581.00 per 20ft container
US$ 727.00 per 40ft container
US$ 817.00 per 40ft high cube container
US$ 920.00 per 45ft container

Via West Coast
US$ 294.00 per 20ft container
US$ 368.00 per 40ft container
US$ 414.00 per 40ft high cube container
US$ 465.00 per 45ft container

The members will continue to monitor fuel and will notify their customers of any further adjustments
.

CMSC NOTICE: LOW WATER SURCHARGE EFFECTIVE JUNE 1ST SAILING DATE
Due to the current water levels in the St Laurence River, MSC Canada Inc. will implement an Emergency Low Water Surcharge on all containers sailing out of the Port of Montreal as of June 1st 2010.

The water levels over the past few weeks have dropped in excess of 1 meter, severely reducing the capacity of vessels. The Emergency Low Water Surcharge will be:
$50.00 per 20’
$75.00 per 40’

Should you have any questions, contact your local customer service representative.


CANADIAN RAILWAY CARLOADINGS MARCH 2010
The volume of cargo carried by Canadian railways increased in March, as both commodity loadings in Canada and traffic received from the United States rose. Total freight traffic originating in Canada and received from the United States increased to 25.5 million metric tonnes in March, up 16.1% from March 2009. Compared with March 2009, freight loaded in Canada rose 14.0% to 23.0 million metric tonnes in March. The Canadian railway industry's core transportation systems, non-intermodal and intermodal, both contributed to the rise in cargo loaded.

Non-intermodal freight loadings, which are typically carried in bulk or loaded in box cars, rose 14.3% to 20.7 million metric tonnes. The commodity groups with the largest increases in tonnage were potash, coal, iron and steel (primary or semi-finished) and other metallic ores and concentrates. Intermodal freight loadings, transported through containers and trailers loaded onto flat cars increased 10.9% to 2.2 million metric tonnes in March, compared with the same month the previous year. Rail freight traffic coming from the United States rose to about 2.6 million metric tonnes, up 38.9% from March 2009. Both non-intermodal and intermodal freight transported from the United States contributed to the increase.


DFAIT NOTICE SOFTWOOD LUMBER EXPORTS TO THE UNITED STATES
Export of Softwood Lumber Products during June 2010 for those Regions Subject to Regional Quota Volumes - The purpose of this Notice is to provide information to exporters with respect to softwood lumber export volume restraints during the month of June, 2010. Full details at
:
http://www.international.gc.ca/controls-controles/softwood-bois_oeuvre/notices-avis/170.aspx?lang=eng


NEW U.S. LEGISLATION WOULD SAVE COMPANIES MONEY ON SMALL ENTRIES
World Trade Interactive - Rep. Bill Owens introduced May 26 the Customs De Minimis Adjustment Act of 2010 (H.R. 5375), which would increase from $200 to $1,000 the value of goods that can be brought into the U.S. duty-free and without customs entry procedures.

A press release from Owens’ office states that this increase in the so-called de minimis level, the first in 17 years, would encourage domestic economic development as well as more trade by small and medium-sized business owners.

“With the increasing use of Internet shopping, a higher de minimis level will facilitate the development of small online retailers and allow more people to benefit from the efficiencies of modern commerce,” explained the executive director of the Express Association of America. Airforwarders Association Executive Director said the bill will also have a positive impact on homeland security by expediting the clearance and processing of low-value shipments and thus allowing U.S. Customs and Border Protection to focus more of its efforts on risk-based security targets
.

Contact Information
[email protected]
Head Office - Brantford
Tel: (519) 756-6463
Fax: (519) 756-6800

Toronto Office
Tel: (905) 678-7777

Fax: (905) 678-7171

 

Montreal Office
Tel: (514) 282-1041

Fax: (514) 282-1180

Vancouver Office
Tel: (604) 278-3410

Fax: (604) 278-3412 

Sales Contacts
 

Philip Lee - [email protected]

Sales Manager

Tel: (416) 502-2399

Cel: (416) 571-1600

 

Troy Guerin - [email protected]

Sales & Customer Service

- S.W. Ontario

Cell: (519) 754-5600
 

 

 

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