The following is an update of the potential effects of the Sequestration on Federal agencies responsible for monitoring international, particularly import, shipments. As cargo volumes increase after the recent Lunar New Year holiday, these effects increasingly will manifest themselves, causing some supply chain disruption and delay.
Importers are urged to ensure the information and documentation required to make entry gets to MIQ Logistics in time to pre-file entries up to 5 days in advance of arrival. Pre-filing entries gives CBP and other federal agencies an opportunity to conduct risk assessments and resolve outstanding issues before the cargo arrives in the United States and allows agencies to provide importers with a release decision as early as possible.
It is important to note that Customs-Trade Partnership Against Terrorism (C-TPAT) members are 4-6 times less likely to undergo an inspection and will continue to receive priority (“front-of-the-line”) treatment when examinations occur.
Customs and Border Protection (CBP)
- The inability to run overtime shifts will substantially affect extra hours required for on-dockNII exams, vessel clearances, air cargo processing and trade enforcement exams at Central Examination Stations (CES) and Radiation Portal Monitor operations.
- The most significant impact of sequestration will be potential furloughs of CBP employees. CBP’s 60,000 employees may be furloughed up to 14 days starting no sooner than April 21. This is equivalent to a 10% reduction in staff.
Fish & Wildlife (FWS)
- To reduce expenditures for the remainder of FY 2013, the Fish & Wildlife Service has imposed a hiring freeze (meaning that wildlife inspector vacancies will not be filled). However, overtime services, which are paid for by importers and exporters, will be authorized “when personnel are available to do so.”
Food and Drug (FDA)
- The predicted impacts of the sequester include slowdowns in food (and other) inspections, drug and device reviews, and implementation of new FDA legislation and its global responsibilities.
- The Food and Drug Administration (FDA) could conduct 2,100 fewer inspections at domestic and foreign facilities that manufacture food products while USDA’s Food Safety and Inspection Service (FSIS) may have to furlough all employees for approximately two weeks.
If you have any questions, please contact your MIQ Logistics representative.