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Pre-Arrival Processing System (PAPS) and Quota

 

U.S. Customs Border Protection (CBP) in Detroit, MI has forwarded the following Information Notice dated December 3rd, 2004 to Brokers, Importers, and Other Interested Parties. Carriers crossing the border should be interested in the following:

Background: On November 15th, 2004 all southern border ports and ports in Michigan, New York and Washington implemented automated manifest requirements associated with the Trade Act 2002 for truck shipments. Under the new procedures, entry information must be transmitted to CBP at least one hour prior to arrival. In additiona to the transmission of entry data, the carrier must use PAPS to gain release of his shipment.

Action: The procedures listed below must be followed when processing quota-class merchandise under PAPS. Depending on the situation , quota-class merchandise may or may not be released at primary.

Quota class merchandise released on entry/entry summary information (live entry).

. The manifest must clearly identify quota merchandise. This must be coordinated between the shipper and the carrier.
. All shipments identified as quota merchandise will be referred to the secondary. . Once in secondary, the carrier must provide the broker with documents necessary for the preparation of the entry/entry summary.
. The broker must present the entry to the CBP office responsible for processing the quota.
. Once quota is processed and accepted, cargo selectivity can be performed and the merchandise released.
. If quota is not available, the broker must warehouse, export or destroy the merchandise. If the merchandise is subject to a tariff rate quota, the broker has the previous options in addition to paying the over-quota rate of duty for the access amount.

The following are examples or guidelines only of some quota items: Milk, cheese, ice cream, sugar, certain beef, textiles, furniture (depending on where it is from), lumber, steel, ball bearings.






 

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DECEMBER 07 . 2004

 
 

 

 

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