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NMPF Shapes Supply Chain Policies

April 3, 2024

The House passed the bipartisan Ocean Shipping Reform Implementation Act of 2023, a key NMF trade-policy priority, on Mar. 21 by unanimous consent.

Led by Reps. Dusty Johnson, R-SD, and John Garamendi, D-CA, the legislation would update supply chain data standards, establish reciprocal trade as part of the Federal Maritime Commission’s mission in enforcing the Shipping Act, and introduce a formal process to report complaints against certain shipping exchanges. NMPF and USDEC endorsed the legislation to help provide greater supply chain transparency and reliability for dairy exporters.

The bill complements the Federal Maritime Commission’s Feb. 23 publication of its final rule on detention and demurrage billing practices, which incorporates several recommendations made by NMPF and the U.S. Dairy Export Council (USDEC).

As an important part of the Ocean Shipping Reform Act (OSRA) implementation – which NMPF championed – the final rule requires common carriers and marine terminal operators to:

  • Include specific minimum information on demurrage and detention invoices;
  • Outline certain detention and demurrage billing practices, such as determination of which parties may appropriately be billed for demurrage or detention charges; and
  • Set timeframes for issuing invoices.