Archive for the ‘Highway Carrier’ Category


 

Why Carriers Care… about Cargo Control Numbers Matching Across All Submissions to CBSA

Why Carriers Care… about Cargo Control Numbers Matching Across All Submissions to CBSA

 

 

 

 

 

 

 

 

 

 

 

 

Highway Carriers will experience delays at the border or risk not reporting cargo they are carrying if the Cargo Control barcodes presented do NOT match the Cargo Control Numbers (CCN) transmitted via ACI eManifest to Canada Border Services Agency (CBSA). Inaccurate CCN transmission by carriers could result in sanctions for non-compliance by the Administrative Monetary Penalty System (AMPS).

It is very important that carriers presenting barcoded PARS numbers on arrival at the port ensure that the CCN transmitted to CBSA is identical to the PARS number. The PARS number must include the acronym “PARS” if this was used. It is not a requirement to embed the letter “PARS” into a PARS number, but if a carrier does embed letters into the PARS number that the driver provides at the border, then the carrier must use the identical number in their eManifest electronic cargo transmission.

 

Tips to ensure compliance:

  1. Carriers should provide the driver with the barcoded PARS number specific to each shipment so the carrier knows which PARS is being used and will also use the same number when transmitting their eManifest cargo data prior to arrival.
  2. The driver should contact the carrier as soon as the PARS number is used for a shipment therefore providing the carrier certainty of which number must be electronically transmitted to the CBSA.
  3. Carriers transmitting cargo numbers MUST pay close attention to the letter “l” and “O” and the numbers “1” and “0” in their CCN and PARS numbers. The transmission MUST match the release documents presented by the customs broker and/or importer. If they don’t match the release document will NOT align with the cargo transmission and the cargo will have been marked “Reported” but not “Released” at the First Port of Arrival (FPOA).

 

Drivers and carriers are invited to call our Carrier Help Desk with any eManifest or border crossing questions they may have or review the many posts we’ve written on the subject within this Blog. We can be reached by phone at 855.542.6644 or by emails at carrierhelpdesk@pcb.ca. We are here to help!

Why Carriers Care… about the eManifest Cargo Report and Bill of Lading Matching

Carriers should habitually ensure what is loaded on their trailers matches what appears on the shipper’s bill of lading and importer’s instructions to ensure what they have loaded is correct before they leave the shipper’s yard. When eManifest came into play an additional step was added: ensure the cargo on the Bill of Lading (BOL) matches the eManifest Cargo Report. If they do not match, carriers may be delayed at a border crossing for something that could have been easily avoided prior to the truck’s arrival.

What can a Carrier do to avoid this mismatch?

Carrier’s have access to both the Bill of Lading and eManifest Cargo Report and are therefore able to find discrepancies. They can relay those discrepancies to the Importer and/or Customs Broker at the time of loading. The Importer and/or Customs Broker can promptly make the necessary edits to ensure that the shipment on the trailer is matched to the Bill of Lading eManifest (more specifically, the electronic pre-arrival cargo and conveyance information) and Release Request submitted to Canada Border Services Agency’s (CBSA) through the Advance Commercial Information (ACI). The officers at the First Port of Arrival (FPOA) will then risk assess the shipment prior to its arrival in Canada.

What happens if the Bill of Lading and Cargo Report do not match?

In a recent case the Carrier presented an eManifest lead sheet to the CBSA Officer at the Primary Booth. The truck was carrying a shipment of trunks and cases as reported on the eManifest Cargo Report. During the interview with the driver, the Officer asked to review the Bills of Lading and compared them to the electronic eManifest cargo report. One Bill of Lading did not match what was reported on the eManifest Cargo Report. The conveyance was referred to the Secondary Examination Warehouse for examination where the entire trailer was offloaded. The examination for contraband was non-resultant but the non-reported shipment needed to be correctly reported. The eManifest needed to be amended to include the missing shipment. The Importer was assessed an Administrative Monetary Penalty of $2000.00 for not accounting for the shipment on the release request.

Non-compliance is considered high risk by CBSA and therefore carries a hefty fine. Failure to account for goods upon submission of a release request to CBSA impairs their ability to risk assess the admissibility of the goods. In the case study above, the shipment was found upon examination and prior to the release of the goods. The penalty is applied against the Importer as it is their responsibility to account for all goods represented in the release request submitted to CBSA. The carrier is not responsible for the accounting of the goods and therefore not liable in this case, however will experience delay, which they could have helped to avoid.

What are the fines for non-compliance?

The CBSA assesses $2000.00 per shipment on the first offense and $4000.00 on the second offense and $8000.00 on the third and subsequent offense.

Communication between the Carrier and Importer is crucial to ensure that the cargo is reported by the carrier and the Importer accounts for the goods on the release request. Failure to do so can be a costly mistake. Pacific Customs Brokers is here to assist Carriers and Importers and always compares a shipment’s invoice against a bill of Lading for discrepancy. Unfortunately, we cannot compare against an eManifest, unless we have been contacted to submit it on the Carrier’s behalf. For more information on our eManifest services please call our Carrier Help Desk or email us.

Carriers Care will be a reoccurring post focusing on topics specifically impacting truckers in North America.

AMPS Changes to ACI eManifest Effective November 1, 2016

 

 

 

 

 

 

Canada Border Services (CBSA) has announced changes to the Administrative Monetary Penalty System (AMPS) in the Third Phase of ACI, known as eManifest. These changes will take effect November 1st, 2016.

CBSA’s Advance Commercial Information System (ACI) introduced an effective risk management process to identify threats prior to arrival of cargo and conveyance into Canada. eManifest is the third phase of the ACI program.

Carriers in all modes of transportation are required to transmit cargo and conveyance data electronically to the CBSA prior to arrival. CBSA will issue monetary penalties to any carriers identified for non-compliance.

Penalties for ACI contraventions range from $250 to $8000 depending on the contravention and risk applied. The AMPS system is a graduated system and monetary penalties increase with continued non-compliance. Below is the grid of Penalties:

Contravention 1st Penalty 2nd Penalty 3rd and Subsequent Penalty
Person failed to submit pre-arrival information relating to their cargo and/or conveyance $2000 $4000 $8000 (and in all likelihood the conveyance will be turned around to submit the ACI information from the US in the prescribed format and timeframes)
Person failed to submit advance information in the prescribed time or prescribed manner to the Agency. $250 $375 $750
Person failed to notify the Agency within the prescribed timeframes and without delay of any correction to any pre-arrival information sent to the Agency. $500 $750 $1500
Person submitted information prescribed by the Reporting of Imported Goods Regulations that was not true, accurate and complete. $500 $750 $1500
Person failed to comply with notification issued by the CBSA regarding the goods on board or expected to be on board the conveyance. $2000 $4000 $8000


CBSA recognized the potential impact to clients of the monetary penalties and since January 2016, when they were implemented, CBSA mitigated penalty levels to just Level 1 regardless of repeated non-compliance. This was done in an effort to provide additional time for carriers to make appropriate changes to their processes and training requirements. CBSA is now moving forward with the graduated ACI penalties.

Effective November 1,2016:

  • Carriers who have never received a penalty will receive a penalty at level I if non-compliant.
  • Carriers who have received a penalty at level I will receive a penalty at level 2 for repeated non-compliance.

Effective December 1,2016

  • Carriers who have not received a penalty will receive a penalty at level I if non-compliant.
  • Carriers who have received a penalty at level 1 will receive a penalty at level 2 for repeated non-compliance.
  • Carriers who have received a penalty at level 2 will receive a penalty at level 3 for continued non-compliance.

Carriers must be compliant for at least 12 months to return to level 1.

CBSA has announced to the Canadian Trucking Alliance “that a letter will be sent to individual carriers and their company contacts most at risk for non-compliance or ACI contraventions. These letters will outline the AMPS penalty system and the number of instances of non-compliance for the carrier and an offer from CBSA to assist these carriers in correcting their issues. CBSA encourages these carriers to respond to these offers of assistance to take corrective action.” (http://Cantruck.ca/compliance)

Carriers are reminded that with the implementation of eManifest, transmission of highway pre-arrival cargo and conveyance data is in addition to the release requirements. If carriers are seeking the release of their goods at the first point of arrival (FPOA), they must contact the importer/broker prior to arriving at the FPOA to ensure the release request is submitted and accepted in the CBSA system. Having the ACI/eManifest data on file as per the requirements, as well as the release request on file will help ensure a faster and more efficient border crossing.

10 Ways CBSA is Improving EDI Communication with eManifest Electronic Notices

eManifest EDI CommunicationThe Canada Border Services Agency (CBSA) is improving two way communication with new electronic notices. These notices will communicate to carriers and importers the status and disposition of their shipments as they move through the commercial process whether that be via Electronic Data Interchange (EDI) or the eManifest Portal.

The first phase of these notices – Deconsolidation Notices and Document not on File, related to house bill close messages, were made available to carriers and importers (clients) on Thursday June 30, 2016.

The second phase of eManifest Notices was made available September 1, 2016 and included the remainder of the eManifest Notices. The following is the list of Notices available now with a brief description of what the Notice entails:

  1. Matched
    Informs the clients that a specific trade document is linked to a related trade document. Example: When a Pre-Arrival Review System (PARS) shipment has been submitted and the related cargo has already been submitted, then the PARS is matched.
  2. Not Matched
    Informs the clients that either no links to a related trade document have been established, or that a document that has previously been matched to another document becomes unlinked through a change or cancellation. Example: When a PARS has been submitted but the related cargo has not yet been submitted, the PARS is not matched.
  3. Cargo Complete
    Informs the client that a non-consolidated primary cargo document has been submitted to and accepted by the CBSA. If consolidated, it indicates that all of the related Secondary Cargo (House Bills) has been transmitted. Documents that have achieved this status have not yet been linked to a related PARS or Integrated Import Declaration (IID) documents.
  4. Document Package Complete
    Informs clients that the cargo and all other required pre-arrival trade documents, including related release documentation necessary for CBSA to determine if the goods should be released (PARS or IID), have been submitted to and accepted by the CBSA.
  5. Reported
    Informs the client that their cargo has been presented to the CBSA at the Port of Report or First Port of Arrival.
  6. Arrived
    Informs the client when goods have been authorized to be removed from a CBSA office, a sufferance warehouse, or a bonded warehouse for use in Canada.
  7. Document Not on File
    Informs clients that a CCN that is not in good standing, was quoted on a trade document which has been submitted to the CBSA. When clients transmit documents that reference other trade documents that it is expected to link to, a Document Not on File Notice will be sent automatically to the sender of the referenced document that is not in good standing. Documents that will trigger this notice are a House Bill Close Message, PARS, IID, Release on Minimum Documentation (RMD) and B3. Carriers or Freight Forwarders that are quoted on the submitted documents will receive this notice for Cargo Control Documents (CCNs) that have been cancelled, or rejected, or not on file.
  8. Authorize to Deliver
    Informs Customs Self Assessment (CSA) clients that their CSA goods can be delivered to the intended recipient.
  9. Released
    Informs clients when goods have authorized to be removed from a CBSA office, a sufferance warehouse, or a bonded warehouse for use in Canada.
  10. Held for CBSA
    Informs clients that their goods are being held for further determination or processing and cannot be released.

In order to receive electronic notices all clients including Primary Notify Parties, Secondary Notify Parties and Automated Notify Parties, must be registered with the CBSA. They must also have their EDI communications profiles set up to receive EDI notifications. An EDI profile is a set of data that identifies clients EDI communication preferences and methods with the CBSA and EDI addresses to which notices are to be sent.

Clients can contact the CBSA TCCU for information on how to register to receive the notices currently available to clients contact the TCCU-USTCC@cbsa-asfc.gc.ca

ACI eManifest and the Definition of a Consolidated Shipment

ACI eManifest Help

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

There is much confusion surrounding what is considered a consolidated and deconsolidated shipment. Considering one requires multiple cargo control numbers and therefore multiple declarations while the other does not, it’s important to understand the difference. So let’s first take a look at the definitions of each:

Canada Border Services Agency (CBSA) considers a consolidated shipment to be a number of separate shipments grouped together by a consolidator or freight forwarder and shipped under one cargo control document. A deconsolidated shipment is a consolidated shipment that is divided into individual shipments consigned to individual consignees and reported to the CBSA on individual cargo control documents.

Consolidated shipments have additional requirements for eManifest submission. Here is a typical consolidation shipment scenario:

  1. CBSA would expect one eManifest cargo transmission from the highway carrier per single contract of carriage or bill of lading.
  2. The highway carrier would be required to indicate “yes” for the consolidated freight indicator field of the cargo map within the eManifest. A consolidated freight indicator is an indicator that specifies whether house bill(s) are expected to follow by indicating if the freight is consolidated.
  3. Electronic house bill submissions that will be further deconsolidated must be identified as “consolidated” in order to ensure the cargo matching the process is complete for authorization to move, release and referral notifications to take place. A house bill close message is required for each cargo document or house bill that includes freight identified as consolidated.
  4. The CBSA would expect multiple eManifest house bill transmissions from the freight forwarder.
  5. CBSA would expect freight forwarders to transmit a house bill CLOSE eManifest message once all the house bills within a consolidated shipment have been sent to the CBSA and accepted by the system. For clarity a ‘house bill close message’ is provided by the freight forwarder to identify all house bills to a consolidated primary document or consolidated house bill document for closure purposes.
  6. Multiple Pre-Arrival Review System (PARS) or other release request types would be submitted by the importer or customs broker, quoting the multiple house bills. This can only be initiated with the arrival of the conveyance in Canada.
  7. The consignee would be listed as the Canadian freight forwarder or other consolidator who will de-consolidate the cargo(s) in Canada.
  8. Additionally, entry declarations, or releases, which are submitted by the importer or their customs broker, are required to be linked to the house bills of lading submitted by the freight forwarder and not the primary cargo(s) or CCNs submitted by the highway carrier to report (section 12(1) of the Customs Act) the goods at the First Port of Arrival (FPOA).

Consolidated shipments do not require specific commodity descriptions due to multiple cargo descriptions within the house bills attached. Instead a general description can be used such as “freight of all kinds.”

Consolidation shipments require the involvement of CBSA registered freight forwarders. These freight forwarders must possess a valid 8000 series Carrier Code. Freight forwarders are not involved in the international movement of freight unless bonded. Freight can not be moved or transported internationally by a freight forwarder, the freight must be transported across the border by a valid CBSA approved highway carrier.

Freight forwarders who are not already registered and participating in electronic house bills should contact the CBSA Technical Commercial Client Unit (TCCU) at tccu-ustcc@cbsa-asfc.gc.ca to register and get a copy of the ECCRD Chapter 5.

Freight forwarders can transmit their data on their own via an EDI transmission option or engage a third party such as Borderpro to transmit their data.

Have any questions or comments regarding consolidated shipments? Share them in the comments section below or email Ask Your Broker today.