|
FREQUENTLY ASKED QUESTIONS SURROUNDING ELECTRONIC "IN-BOND" REPORTING WITH QP/WP:
- Why do carriers need to perform this additional step in the advance notice environment?
Historically, carriers have relied on the shipper/exporter to transmit required shipment information
directly to the Customs Broker at the border. Hopefully, when the carrier arrived at the designated
border crossing the paperwork would be there. In addition, it was also assumed that the driver/carrier
would have a copy of the shipment documents with them.
With the new advance notice requirements, (which affect all modes of transportation), carriers must
now be in control of the information movement. They can transmit directly to US CBP using the
QP/WP Gateway™ web-based application and receive movement authorization for the shipment.
The carrier can then directly notify the driver by numerous means of communication, (cell phone,
pager, email), as to the status of the shipment BEFORE they arrive at the border crossing.
- Will it increase the cost of my operations?
Carriers are under many "cost pressures" in today's trading environment. Fuel costs, insurance costs,
administrative fees, etc. are making it very difficult to maintain strong operating margins.
In order to control and manage the cost of this advance notice requirement, each carrier must
perform a cost/benefit analysis of their operations to ensure that service levels are maintained,
costs are minimized and profits are maximized.
The costs of not efficiently and effectively controlling the advance notice requirements will
undoubtedly be greater than not controlling it. Non-compliance will result in increased wait
times at the border, denied entry at the border and monetary penalties of $5000.00 or more.
In addition, carriers that are not in compliance will be subject to greater security and
examinations at the border by US CBP.
- Does this "pre-arrival acceptance" of shipment information allow for priority status when I
arrive at the border?
Even though US CBP has accepted your shipment information, this does not relieve the operational
and enforcement aspect of Customs Officers. Remember that driver, equipment and the physical
shipment are mutually exclusive of each other and therefore are still subject to inspection and
enforcement measures. What advance shipment acceptance does mean is that once you do arrive at
the PIL the chances are much greater that quicker processing will occur.
- If I can't get to the border crossing what difference does it make if I pre-report my shipment or not?
Border congestion can be viewed as a 2 pronged issue. First, there is no doubt that an
infrastructure problem at certain border crossings needs to be addressed, and they are being
addressed by the respective Border Authorities through a variety of ways such as increasing the
number of primary lines, weigh scales, new CVPC's and twinning of bridge crossings. However,
in conjunction with the infrastructure development, faster processing via pre-arrival reporting
will assist in the short term and long term plans of both Canada Customs Authorities and US
Customs Authorities. By not pre-reporting your shipment information, you as a carrier expose
yourself, the exporter and the importer to unnecessary levels of cost and poor business practices
that will very likely lead to a decrease in business activities which equals lower revenues, the
ultimate bottom line.
- What if I am a carrier that moves FDA shipments?
The QP/WP application provides for FDA/BTA indicators that notify U.S. CBP about the shipment.
In addition, someone must still provide for PN using ABI or FDA Prior Notice System.
- What are the business advantages of advance notification using a service provider?
As a transportation provider, your core specialization is moving shipments. As an information
technology provider our specialization is moving information. These two facts will provide for
increased efficiencies in business operations as well as full compliance with Customs Authorities.
Advance notification is not an option and non-compliance will cost you directly in terms of
penalties and indirectly in terms of waiting time, denied entry and lost customers due to the
fact that you are unable to deliver the service levels that are required for cross-border
shipments.
- Do I have to be at a specific location to do the transmission of the QP/WP records?
No. Location is not an issue for the QP/WP record transmission to U.S. CBP. Your operations will
dictate where QP and WP record development and transmission occurs. In addition, web-based
applications are global and are a much more cost- effective choice over traditional software
based applications.
IN SUMMARY:
"In-bond" highway shipments can be electronically reported to U.S. CBP within the required timeframes.
This must be performed in order to be in full compliance with U.S. CBP. The QP/WP Gateway™ web-based application
will allow you to be in full compliance, give you cost effectiveness and user flexibility which will translate into
real bottom line results!
Call toll-free 1-877-328-7866 and talk to one of our global
trade compliance consultants. They'll help you analyze your requirements, evaluate
your options, and provide focused product demonstrations. Or send an email to
info@eCustoms.com.
|
