ISF 10+2 Interim Final Rule went into effect January 23, 2009. Today, five months later importers are still struggling with the impact, costs and challenges of Importer Security Filing (ISF) compliance. The one year grace period for implementation is nearing its deadline. U.S. Customs and Border Protection (CBP) is scheduled to begin penalty enforcement against non-compliant organizations in seven months.
For those companies who are studying the costs and challenges of implementing Importer Security Filing ISF compliance, Logistics Wisdom offers the following guidance.
First, the new Importer Security Filing ISF regulations apply to United States ocean imports only. Do a study of your last twelve months ocean import activity. Determine how many ocean bills of lading (B/Ls) you had.
Second, ask both your custom broker and logistics provider about their ISF procedures. Gather as much information as you can.
Third, talk with several ISF software providers who have ISF 10+2 solutions. Ask for a demonstration of their software. Importer Security Filing ISF regulations require EDI transmission of the 10+2 data elements.
Fourth, every ISF 10+2 software provider offers a different solution. Many solutions have features like built-in databases, templates to eliminate time-consuming repetitive data entry for repeat shipments, and shipment tracking. The best solutions are hosted SaaS real-time applications that offer customization, flexibility and can be easily updated and maintained.
Fifth, currently ISF 10+2 software providers are charging between $5.00 to .85 cents per ISF transaction with varying fees for filing amendments to the original ISF record. In addition, most software providers charge a flat setup fee. It is important to calculate the total spend cost prorated to each Bill of Lading. Beware of off-shore foreign agents offering low-cost solutions without a secure CBP EDI connection.
Overall, Freightgate’s ISF Solution named Compliance-Trek! has one of the lowest cost per ISF transaction combined with user-friendly screens providing real-time visibility. Compliance-Trek’ offers seamless integration into existing ERP’s along with special features such as event-driven alert functionality, RDV technology and daily updating with the latest U.S. Customs and Border Protection information.
Sixth, the biggest challenge to Importer Security Filing ISF compliance is obtaining timely accurate data from the overseas suppliers, logistics handlers and other intermediates. Select ISF software with RDV technology. RDV is known as Role Dependent View. RDV allows users only to view information and input data which is important to their participation in the ISF compliance process. RDV ensures data confidentially and security.
For the latest details on the Importer Security Filing requirements visit the Logistics Wisdom website: http://www.logisticswisdom.com