Brazilian authorities as of May 20th, have decided that

Original 2 of HAWB, AWB, MBL or HBL are NOT necessary to release cargo from customs.

This essentially means the consignee does not have to get their original BL, AWB, with freight forwarders , shipping or airlines, which before was the only way to guarantee receipt of the freight amount and destination fees.

OCEAN CARGO

The risk affect mostly the air cargo for the moment.   In the ocean freight, shipping lines and freight forwarders, can block release of the cargo by the system, CE Merchant.( CE Mercante ).

ILS CARGO will only release CE Merchant system for clients who anticipated freight amount and destination charges payment.

AIR CARGO

For air cargo, as the de-consolidation in the system is done by the airlines, in 2 hours after flight arrival, both , airlines and freight forwarders, are taking  a big risk not to receive the freight amount and destination fees before cnee can get the cargo.

For the airlines, it will be much simple , as most of their cargo, is shipped through freight forwarders and the MAWB are prepaid.

This may cause Airlines to not accept cargo collect to Brasil.

The Airport Customs are not requesting the Original 2 but copy of the same document (original 2 ) to release the cargo to cnee.

So, to avoid risks are:

1. NEVER send Original 2 , or even copy of it , to the shippers or cnee

2. Do not send Original 2 or copy of it, to customs broker ( Despachantes Aduaneiros )

3. ILS CARGO, will guarantee, as usual, the payment for ILS CARGO's clients.

4. Free Hand CARGO Collect we will only release original 2 of HAWB  or copy of it  if they make anticipation of freight payment, regardless the client, unless the agent takes responsibility for freight amount. But before you ship the cargo, check twice , if shipper agrees on Prepaid shipment. We can not avoid that bad people presents false copy of Original 2 to release cargo.

Corporate clients with contracts there is no risk because we always release original 2 before we receive payment of the freight. There are clients that we give credit. But spot clients will be a challenge, since we will need to establish credit line on the spot and it will be a risk.

As in every law in Brasil, each airport or port has its own understanding, you may be hearing different news, from other agents or ports.  For instance, at the port of Itajai they did not take this instructions, and are still requesting Original of HBL or HAWB

But Santos and Rio de Janeiro, are strictly following the new regulation.

IMPORTANT FOR AIR AND OCEAN SHIPMENT. ( RISK FOR THE SHIPPERS )

Please instruct shippers, that , if they need to protect goods payment to ask anticipated payment, before ship the cargo.  We cannot avoid that importers with bad intention may present false documents copies.

So, as far as our clients and agents are concerned, ILS CARGO will take the necessary steps to always protect our mutual commercial and finance interest.

If you need more information , please do not hesitate to contact us :

Michel Ferreira - Michelf@ilscargo.com.br

Priscila Figueiredo da Silva - psilva@ilscargo.com.br

Celia Pinho - Celiapinho@ilscargo.com.br