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Advisories ::
BDP Advisory: Due diligence for shippers in wake of FAA rulings

Following the terrorist attacks of September 11, 2001 and the resulting, recent military strikes in Afghanistan, BDP International recommends that all companies involved with the export or import of freight via air transport adopt a number of precautionary practices. We offer these guidelines to help support general safety, the national security and compliance with the more comprehensive cargo security rules, which were mandated by the Federal Aviation Administration (FAA) in its October 8, 2001 Emergency Amendment.

  1. If you are a US exporter or importer utilizing air as a mode of cargo transportation, be sure to conduct a thorough review of all airfreight carriers (direct and indirect) serving your domestic and international transport activities. On a carrier-by-carrier basis:

    • Review air carrier selection practices;
    • List and categorize carriers, which have transported your cargo after September 1, 1999.
    • List and categorize carriers, which have handled your cargo in volumes of fewer than 24 shipments after September 1, 1999.

  2. Conduct a complete review of U.S. inland surface carriers (motor, intermodal) involved with the pick-up and delivery of cargo to and from designated air carriers.

    • Review surface carrier selection practices;
    • Assess the surface carriers capacity to handle your commodity (hazardous or conventional);
    • Confirm the surface carrier has operating authority, certificates of insurance, and hazardous materials certification on file.
    • Confirm the surface carrier is aware of and follows FAA guidelines for inland transport of air cargo.
    • Confirm the number of years in which the surface carrier has been conducting business with the designated air carrier.

  3. Conduct a review of all international orders, including:

    • Terms of delivery for the order;
    • Selection of inland and air carriers in the process;
    • Knowledge of the actual end-user of the commodity.

  4. In accordance with FAA Emergency Amendment EA 109-01-01A, October 8, 2001, your airfreight forwarder is required to conduct a site visit with your company if it began serving you on or after September 2, 1999. In the interest of national security, this official site visit involves the completion of a basic information form verifying your organizations airfreight shipping practices.

If you have any questions about the recent FAA Emergency Amendments and their impact on your shipping activity, please do not hesitate to contact the BDPs Regulatory Compliance (mford@bdpnet.com) or Corporate Airfreight (jseiple@bdpnet.com) units.

Thank you.

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