According to Reuters, the FDA is unable to inspect much of the imported food; in particular fresh items like fruits, vegetables, and seafood. Therefore import inspections are done by CBP, who are not charged with inspecting food for safe public consumption, but rather for “securing trade from acts of terrorism and assuring that goods arriving in the U.S. are legitimate and that appropriate duties and fees are paid.” The FDA would then need to go re-inspect the items for food safety reasons.

From the report:

Customs and Border Protection (CBP), under the Department of Homeland Security, is responsible for inspecting food imports for compliance with U.S. law and coordinating with FDA to enforce food safety laws at the border, among other things. CBP’s computerized screening system processes all imported shipments, including food. CBP requires importers to (1) give a manufacturer identification number for each imported shipment and (2) post a monetary bond for formal entries to provide assurance that these shipments meet U.S. requirements, among other things.

But GAO said Customs and Border Patrol was not alerting FDA when imports of food arrive. Plus the FDA is not capable of inspecting the volume of fresh food imports coming into the US:

“First, imported food makes up a substantial and growing portion of the U.S. food supply, with 60 percent of fresh fruits and vegetables and 80 percent of seafood coming from across our borders,” it said.

The FDA can inspect just 1 percent of this food.

The FDA is also having other issues that are not import-related, but I’ll keep it topical for this blog’s purposes.

The FDA is working on a computer system that will predict which food imports are most likely to be contaminated. Under the new system, called “Predict,” border staff can check products in a computer database that gives a score for the risk level. The score is calculated in part based on whether the maker has a history of recalls and how susceptible the product is to contamination. High-score products can be set aside for further checks.

What does this mean for import compliance for food?

Be on the lookout for potentially increased cooperation between CBP and FDA. The GAO report says that the CBP and FDA do not share data between their systems. This could be a high priority for the agencies, especially considering the FDA is already in the midst of developing their own safety computer system (PREDICT.)

FDA may ask for the authority to leverage fines upon importers. From the report:

“FDA has limited authority to assess penalties on importers who introduce violative food products, and the lack of a unique identifier for firms exporting food products may allow contaminated food to evade FDA review.”

Importers can retain possession of their food shipments until FDA approves their release into U.S. commerce. However, FDA and CBP officials do not believe that CBP’s current bonding procedures for FDA-regulated food effectively deter importers from introducing violative food products into U.S. commerce. Specifically, importers post a monetary bond for formal entries (i.e., all shipments exceeding $2,000 and certain shipments valued below that amount) to provide assurance that these shipments meet U.S. requirements. According to these officials, many importers still consider the occasional payment of forfeited bonds as part of the cost of doing business.

As always, ensure your suppliers and transporters are following safe practices when dealing with food. Particularly if you have dealt with a recall in the past, you will be susceptible to further checks once the new Predict system is in place. Keep that in mind when estimating shipment times. It may be useful to implement supply chain visibility software to keep track of your shipments and alert you in the event of delays.

Read more:

You can read the complete report on the GAO website, lots of great info in there:  Food Safety: FDA Could Strengthen Oversight of Imported Food by Improving Enforcement and Seeking Additional Authorities (PDF)

Alternately, read Reuters’ summary at:  FDA needs more clout to make food supply safer

Requests should be sent to Progress_Report@cbp.dhs.gov.

Instructions from CBP:

Filers should provide their Company Name, Filer Code, Point of Contact, Point of Contact Telephone, and email address to which the report should be sent. C-TPAT Tier 2 and 3 importers should provide the same information except instead of a filer code they should provide the importer of record numbers they wish included in the report as well as which Tier they are.

CBP does not typically respond to registration requests unless there is a problem with the information submitted. Please expect your first report in the first week of the month after you sign up. Each report provides information going back to January, 2009.

For more information, contact Progress_Report@cbp.dhs.gov or visit http://CBP.gov.

Automate ISF Filing and Compliance

Customs 10+2 / ISF is an opportunity to enhance your company’s import compliance. Automating Import Compliance. Elements of ISF filings are the same for other import documentation.

Learn more about how to turn this challenge into an opportunity in our free video, “Strategic Opportunities that 10+2 Presents.”

The upgraded CBP Freedom of Information Act Electronic Reading Room will feature records and documents formerly only available through FOIA request. Documents and records responding to certain FOIA requests are now available at foia.cbp.gov. ( FOIA Reading Room )

“CBP is striving to boost agency transparency and accountability, while promoting efficiency and effectiveness through the use of technology,” said Acting Commissioner Jayson P. Ahern. “We hope the public will visit the Freedom of Information Act Electronic Reading Room for the most direct access to information and to avoid the need to go through the FOIA request process.”

The border security agency follows FOIA requirements and makes four distinct categories of records available for public inspection and copying. Consequently, documents featured in the FOIA Electronic Reading Room will consist of final opinions and orders rendered in the adjudication of administrative cases; specific agency policy statements; certain administrative staff manuals; and various records disclosed in response to a FOIA request.

The CBP FOIA Division launched the upgraded Reading Room to proactively share information that includes policies and procedures, awarded contracts and grants, manuals and instructions, final opinions, common FOIA requests, and logs of FOIA requests received by the agency.

As this year is the 10th year of the symposium, the exhibits and presentation is focused around the progress made in key areas since 1999. The agenda for the symposium includes:

• Modernization
• Trade Policy
• Intellectual Property Rights
• Importer Security Filing
• North American Border Issues
• Port Operations
• Automated Commercial Environment
• Importer Self Assessment
• Business Resumption Planning
• C-TPAT
• Interagency Collaboration
• The Rulings Process

The cost for attendence is $290.00. However, in addition to attending in person at the Walter E. Washington Convention Center in Washington, DC, participants can alternately attend virtually via webcast.

Webcasting
This year, we will be unveiling a new capability for the international trade community to participate in the Trade Symposium. We are offering participation via a live webcast, whereby participants may view and interactively participate in the Trade Symposium online. The cost for the Trade Symposium participation via the live webcasting is $35.00 U.S. dollars.

As a complimentary feature, participants who pay to attend the Trade Symposium onsite or via the live webcast will also be provided with a 30-day on-demand access via the Internet free of charge.

Break Out Sessions:

For additional information and to register, visit the CBP Trade Symposium 2009.

Bersin will continue to advise Homeland Security Secretary Janet Napolitano on issues related to Mexico and the border, although he will relinquish the title of special representative, officials said.

“Under Alan’s leadership over the past several months, we have forged new international and domestic partnerships along our borders to strengthen security,” Napolitano said in a statement. “I look forward to continuing to work with Alan in his new position.”

Since April, Bersin was the assistant secretary for international affairs at the Department of Homeland Security.  In 1995, he was appointed to the position of border czar by then-Attorney General Janet Reno. In this position, he coordinated the efforts of the multiple law enforcement and federal agencies at the US-Mexico border.

Bersin also has experience coordinating a different disorganized group – students. As superintendent of the San Diego school district, he gained a reputation as an “energetic innovator” but clashed with teachers resistant to change.

For more details on Bersin and his nomination, visit the LA Times (although, they omit the fact that CBP also is tasked with enforcing US trade regulations!)

On July 29th, CBP Officers intercepted a shipment of counterfeit sunglasses, bearing logos resembling Coach, Chanel, and D&G. The shipment consisted of 43,480 pairs of sunglasses, with a total domestic value of $12,146- Which would be about 28 cents per pair. Talk about a deal!

Had they been authentic, the value of the sunglasses is approximately $8 million – or $184 per pair. I imagine there are some very fashionably bespectacled CBP officers in LA now!

Although CBP is typically associated with protecting our borders from danger, they are also tasked with enforcing our customs regulations – including regulations against the import of counterfeit goods. The penalties of violating these regulations can range from revocation of import privileges, to fines and even imprisonment.

For more details on this bust, visit the CBP News Release.

Know Your Suppliers & Customers

You may trust them, but the CBP doesn’t! Make sure you’re trading in accordance with U.S. Government Regulations by screening for denied parties. Learn more in our new white paper, “Six Best Practices to Improve Compliance with a Restricted Party Screening Solution.”

When the insects were discovered in May 2008 at the Mohnton post office, an investigation by Immigration and Customs Enforcement and other agencies led to the arrest of Marc T. Dilullo, 36, of Exeter Township. He pleaded guilty in April to importing the bugs illegally from Taiwan and received three months probation and a $5,000 fine.

How much does it cost just to purchase the bugs and ship them to the US, anyway?

I’m sure Mr. Dilullo had carefully laid plans, researching just the right kind of enormous insects to make his pets/minions. All were unraveled by one curious postal worker:

Two dozen exotic beetles discovered last year by a Berks County postal worker who heard scratching inside a box marked ”toys, gifts and jellies” …

Put that on your toast!

Although they are technically illegal immigrants, the insects have received gainful employment and will be working at the Smithsonian to demonstrate  animal diversity and threats to the natural balance.

(Glad they found a good home that is not underneath someone’s shoe.)