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Policy & Compliance


FMC detention and demurrage charges


A Federal Maritime Commission toolkit has been published by FIATA as part of its commitment to play a leading role in the global issue of demurrage and detention


The International Federation of Freight Forwarders’ Associations (FIATA) has published a toolkit on the US Federal Maritime Commission (FMC) Final Rule on Demurrage and Detention to help forwarders apply this information in their national contexts. The FMC’s decision came after six


years of investigation with all actors in the supply chain, including FIATA, which concluded it was likely there had been a long history of unjust and unfair demurrage and detention practices. Whilst there are country and port-related variations, the FMC findings apply globally as demurrage and detention is a common and widespread topic of contention.


Years of complaints FIATA welcomes the FMC rule following years of complaints from freight forwarders that demurrage and detention practices unfairly penalised them for circumstances outside their control. Governments worldwide must have greater scrutiny over these practices to ensure that they are considerate and reasonable for the good of their own economies. The FIATA FMC toolkit was developed under


the guidance of the Working Group Sea Transport and is meant to empower forwarders


www.bifa.org


Free software trial


BIFA does not endorse suppliers of goods or services to the sector. However a software house has an offering that is free to BIFA Members, although you will have to do your own due diligence on the terms of the offer. Dockflow (Troy Muyshondt


troy@dockflow.com) advises that it has helped freight forwarders save demurrage and detention costs with its free app. It says that as a start-up company, it focuses on handing freight forwarders the right digital tools and has created an application that notifies forwarders once their containers trigger demurrage or detention costs. The application is available for free at: https://dockflow.com/stayhome/


presentation slides containing information on the matter to be distributed to policymakers, regulators and industry stakeholders; and a detailed analysis document of the FMC Final Rule to be used as a key reference point to delve deeper into the different aspects of the rule, with the original text as an annexe.


FMC FINAL RULE ON


DEMURRAGE AND DETENTION Toolkit


to promote the rule in their own countries. The toolkit includes a quick start guide; a template press release to be adapted to national contexts calling for government support of the rule;


Crucial step The FMC toolkit is a crucial step in FIATA’s commitment to play a leading role in the worldwide issue of demurrage and detention. It follows FIATA’s 2018 Best Practice Guide on Demurrage and Detention on Container Shipping, as well as subsequent press releases, where FIATA urged the FMC to provide the necessary guidance to ensure a level playing field, and supported the adoption of the incentive principle as part of the


FMC’s interpretive approach.


You can find the toolkit on the BIFA website. Go to the information tab and you will find both BIFA and FIATA good practice downloads.


BIFA Member Renewal Process


January is annual renewal time for BIFA Membership – and this year will see a slight change in the process with the Annual Company Declaration having been sent out prior to invoices. During November, BIFA Members should


have received the Annual Company Declaration, 8


which should have been completed and returned to s.milton@bifa.org by 1 December – if you have not yet received or returned your Company Declaration, please contact Sarah as soon as possible. Please ensure that information is accurate as your membership subscription is based on these details.


Membership Renewal VAT invoices will be


issued in early January and payment is required within 30 days. Members who subscribe to bi-annual direct


debit Membership Renewal will receive a VAT invoice on receipt of each payment in January and July each year.


December 2020


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