Import Compliance a Measure of Readiness for 10+2

February 27, 2009 — In the past year U.S. Customs and Border Protection (CBP) issued the Proposed Rule on the Importer Security Filing (ISF, or "10+2") to satisfy section 203 of the Security and Accountability for Every Port Act of 2006. CBP received and reviewed comments from the import community; the Office of Management and Budget officially signed off on the Proposed Rule; and on November 25, 2008, CBP published the interim Final Rule in the Federal Register.

The requirements of the Importer Security Filing — unofficially named "10+2" for the 10 data elements supplied by the importer and the two elements supplied by the ocean carrier — took effect on January 26. The interim Final Rule allows for public comments (on six of the importer's data elements) to be received on or before June 1 and provides a compliance date of one year from the effective date.

Although much has been said and published on this subject, many have remained on the sidelines contemplating the resources in preparing for the implementation. CBP has granted a 12-month informed compliance period, during which importers are expected to gradually comply without the threat of full enforcement and monetary penalty.

Getting Ready

What do importers need to do to get ready? Who has the responsibility of gathering, validating and transmitting this information? How will this latest security initiative affect importers' businesses? The importer is required to submit these "10" data elements:


Manufacturer (or supplier) name and address
Seller name and address
Buyer name and address
Ship-to name and address
Container stuffing location
Consolidator name and address
Importer of record number
Consignee number
Country of origin
Commodity HTSUS number (minimum 6 digits)

The vessel carrier is required to submit these "2" data elements:
Vessel stow plan
Container status messages

The Importer Security Filing initiative states that the electronic transmission of the data elements must be executed no later than 24 hours prior to the loading of cargo onto a vessel destined to the United States. Chronologically, this requirement shifts the transmission to an earlier stage of the supply chain. An importer may designate, with the proper power of attorney, its freight forwarder to submit the data elements. A freight forwarder normally receives shipping documents with the cargo. Thus, it has access to, and may be familiar with, six of the "10" data elements: manufacturer (or supplier) name and address, seller name and address, buyer name and address, ship-to name and address, container stuffing location, and consolidator name and address.

Role of the Customs Broker

Many mid to large importers employ the services of a customs broker. In the course of electronically filing a customs entry, the broker normally transmits eight of the 10 data elements: manufacturer (or supplier) name and address, seller name and address, buyer name and address, ship-to name and address, importer of record number, and consignee number, country of origin and HTS number.

Source: http://www.sdcexec.com/online/