US Customs and Border Protection has announced the latest updates on the C-TPAT Security Portal.  The Validation Response Page in the portal has been enhanced and now provides specific details for C-TPAT members to respond. C-TPAT members will now be able to differentiate between an action required and a recommendation.

What is the Scorecard?

C-TPAT members who have recently been validated will now have a scorecard in their C-TPAT Portal account once the Validation Report has been issued and properly responded. The scorecard will have Compliance and Performance rating in each of the following categories:

• Domestic verification of Core Criteria
• Container/ Conveyance/Transport Security
• Procedural Security
• Physical Security
• Physical Access Controls
• Personnel Security
• Security Training & Threat Awareness
• Information Technology Security

Adjusted Scorecard:

• It is build off of the Validation Scorecard
• The C-TPAT member is required to respond in the Actions required and Recommendations Section of the Validation.
• Once the responses have been reviewed by the C-TPAT Specialist, the scorecard is then adjusted either to increase the Company’s Compliance Overall Score or Decrease respectively.
• If the company demonstrates Best Practices, the y will receive full credit in that category.
• If a C-TPAT member responds to an action required and implements it appropriately, then points will be added to the scorecard, however, if a recommendation is not responded nor implemented, no points will be added.

Zisser would like to remind all C-TPAT members to be constantly aware of all vulnerable areas within their supply chain. According to a study conducted by US Customs and Border Protection, the following areas have had the highest levels of security breaches.

 Most Common areas of failed criteria:

• ·         Conveyance Security – Tracking & Monitoring: 51%
• ·         Container Security – Sealing / Container Inspections: 49%
• ·         Business Partners – Screening & Subcontracting: 46%
• ·         Personnel Security – Background Checks: 31%

Contributing Factors:

• ·         Internal Conspiracy: 74 %
• ·         Threat/Intimidation : 3%
• ·         Bribes: 11%
• ·         Unspecified: 12%

Location of Compromise:

• ·         In transit: 51%
• ·         Factory: 25%
• ·         Exchange Hub: 17%
• ·         Unspecified/Other: 7%

If you have any questions on how to decrease the risk in any of these areas, please contact us at 619-671-0376 or scs@zissergorup.com and we can help you develop procedures easy to implement, which will help reduce risk in your supply chain.

The centers will serve as a single point of processing for businesses enrolled in CBP’s trusted shipper programs, the Customs-Trade Partnership Against Terrorism (C-TPAT) and the Importer Self-Assessment (ISA). 

The purpose of each center is to continue the efforts to increase uniformity of practices across ports of entry, facilitate the timely resolution of trade compliance issues nationwide and to further strengthen critical agency knowledge on key industry practices.  According to CBP Commissioner Alan D, Bersin, “the Centers of Excellence and Expertise will fundamentally transform the way CBP approaches trade operations and works with international trade community.”

Required import documents for trusted partners within the 2 specific industries are now being routed to their respective industry center. While revenue collection will continue to be carried out at the ports of entry, the centers will begin to perform all validation activities, protests, post entry amendment/post summary correction reviews, and prior disclosure validations for the trusted partners within their industry.

For more information, visit http://www.cbp.gov/xp/cgov/newsroom/news_releases/national/10202011_2.xml

The TESA legislation addresses many key issues by providing U.S. Customs with expanded authority to target textile goods, while also giving them additional tools and resources to increase their commercial enforcement efforts and reduce the frequency of malpractices that are damaging the U.S. textile industry.
The bill includes terms that would:

-          Increase the number of trained import specialist in textile and apparel verifications at the 15 largest U.S. ports.

-          Mandate the government publish names of companies that intentionally violate the rules of trade agreements.

-          Instruct the U.S. government to establish an electronic verification program that tracks yarn and fabric inputs in free trade agreement countries.

-          Allow Department of Homeland Security (DHS) and Department of Treasury to use amounts from the fines and penalties collected to pay for expenses directly related to investigations and/or training.

It is essential for each member of C-TPAT to go to the C-TPAT Portal,  Section 6 Business Entities to review your information and to verify that your Business Entity Identifiers (BEI) are correct. The verification of this will facilitate your shipments at the Customs and Border Protection Ports of Entry.

Make sure you revise:

 o       Importer of Record number (IOR)

 o       Standard Carrier Alpha Code (SCAC)

 o       Manufacturer Identification (MID) number

 o       International Air Transportation Association (IATA) number

 o       Federal Maritime Commission (FMC) number

 o       Bond numbers etc.

 Make sure that corrections are made as soon as possible, as the accuracy of this information directly reflects your C-TPAT benefits.

 In fact, to address U.S. lawmakers’ safety concerns, Mexican trucks must comply with post 1998 Environmental Protection Agency standards and drivers must:

• Demonstrate     knowledge of English
• Understand     of the U.S.    road rules
• Submit     alcohol and drug tests

Also, carriers that successfully complete 18 months in the pilot program will receive permanent permission to operate in the United States.  In exchange, the Mexican government will phase out $2.4 billion in retaliatory tariffs levied against U.S. goods for the last 2 years. 

Check out these following tips that would be of great assistance in reducing overall wait times in processing FAST/C-TPAT shipments:

1)      Ensure the primary seal number is printed clearly on the ACE coversheet and on the manifest (Form 7533).  By having the seal number on the coversheet, it saves the officer the time of having to request extra documents and then flip through them to find the seal number.

2)      Ensure trailer plates are included in the ACE transmission.  This allows the officer to compare the trailer license plate on the ACE screen against the one on the manifest.

Please note that officers compare the seal number on the document against that on the ACE screen, and also if they decide to conduct a seal check on primary.

Brussels, Belgium – The EU and US signed a joint statement on global supply chain security which will call for both nation’s mutual recognition on trade partnership programs and sharing risk information, as well as recognition of each other’s transport security controls. This will also help to reduce red tape for transatlantic trade while ensuring high security standards.

This joint statement reaffirms the shared commitment of the United States and European Union to enhance the security and resilience of the supply chain by preventing unlawful transport of dangerous and illicit material and protecting critical elements of the supply chain system from attacks and disruptions while facilitating and expediting the flow of legitimate international trade through a multilayered risk-based approach to security.

To read a copy of the Joint Stement on Supply Chain Security click here

http://ec.europa.eu/taxation_customs/resources/documents/common/whats_new/eu_us_joint_statement_protocol_en.pdf

It is anticipated that the JBMS will be built and implemented in 2 new stages over a 4 year period.  Stage one will include what is called the Trade Single Window (TSW).  The TSW will allow exporters, importers and others involved in trade to complete all their border compliance requirements, online through a single point of electronic contact.

In fact, according to Customs Acting Comptroller, John Secker, the JBMS “as well as meeting trade and industry requirements, it also serves our needs across border security, biosecurity, intelligence related to smuggling, and facilitating legitimate travel.”

The JBMS combines New Zealand Custom’s and MAF’s existing independent border processing systems, CusMod and Quantum.

The transponder works under RFID (Radiofrequency Identification) technology.  This will allow the Administracion General de Aduanas of Mexico to easily identify the vehicle’s driver and the company where it’s from.

In a truck, the transponder should be located on the bottom of the driver’s side.In the case of a car, the transponder should be located on the top of the driver’s side (Refer to picture below).

Note:

If you obtained the CAAT before April 21, 2011, you will have a period of 3 months, starting April 20, 2011, to register the vehicle’s information into the SIRET.

• Only C-TPAT Carriers with drivers that have a valid FAST card
• Empty trucks must use the FAST lane from 6:00 am - 12:00pm Monday through Friday only
• The Pilot program for Empty trucks will only last 90 days 
• Empty trucks must arrive at the Otay facility with rear doors open 
• Driver must provide an e-manifest with the following information:
  
  • Driver name
  • Conveyance license plates (tractor and trailer)
  • Carrier Alpha Code

For further information please contact the Otay Cargo Trade Chief Carlos Robles at 619-671-8131 or via e-mail at Carlos.F.Robles@DHS.gov

“KPI - Time per Classification” can be found in the Downloads section of this web page:  http://www.tradiance.net/resources.html

• Supply Chain Cargo Flow Chart
  • We recommend that you map out all of the     parties involved in your supply chain from point of origin to final U.S.    destination. It is important to identify all parties involved in the     movement of your goods.

• Copy  of the company’s documented supply chain security     assessment and of any other business partners the Supply Chain Security     Specialist might visit for the validation
  • We recommend that the company identifies what     locations the validation or re-validation will be conducted in. Make sure     that they are actively following all C-TPAT minimum security standards as     well as a security assessments are being conducted and documented.

Risk assessment is also an important area that now CBP is focusing on while conducting a validation or re-validation. CBP wants companies to map out their Supply Chain Cargo Flow and Risk Rank the parties within in order to identify

If you need any help with any of the requirements mentioned above, Zisser can guide you though them and assist you on complying with all C-TPAT requirements. For further information please contact us at 619-671-0376.

Additional C-TPAT Facts you should know:

• Passwords to access the portal     will expire every 42 days.
• Validation Report must be responded and submitted within 90 days.
• Re-Validation: A notification letter will be sent by your SCSS at least 30 days in advance before the     actual visit.
• Companies with Tier II C-TPAT status are revalidated every 2 years.
• Companies with Tier     III C-TPAT status are revalidated every 4 years.
• Companies will generally receive their validation report within 60 days of the validation     or re-validation visit.

Zisser has successfully assisted many C-TPAT companies on their validation and re-validation process. We can evaluate your current procedures and prepare you with the necessary tools you will need to excel in your upcoming validation or re-validation.

If you would like to learn more about our services please contact us at 619-671-0376 or e-mail us at scs@zissergroup.com

Port Qasim in Pakistan has been selected as one of the testing sites to verify that trading partners around the world are following C-TPAT security procedures. Pakistan is currently working on an International Container Security (IC3) process for scanning goods going into the United States.

Pakistan Supply Chain Security (PSCS) Code is a voluntary program geared towards Pakistani exporters, manufacturers, road transporters, warehouse operators and freight forwarders. This program will guide members on best practices on supply chain security in Pakistan.