Survey: Anti-Terrorism Rules Increase Supply-Chain Cycle Times

ByDavid Drickhamer In response to anti-terrorism rules from the U.S. Customs Service, almost a third of shippers have increased their supply chain order-cycle time, a recent survey reports. The Advanced Manifest System regulation, effective Feb. 2, 2003, requires filing of import manifest documentation at least 24 hours before U.S.-bound vessels are loaded in foreign ports. Shippers attribute supply-chain delays to carrier requirements for cargo data in advance of the 24-hour deadline, uneven compliance by foreign suppliers and internal delays, says the study conducted by logistics supplier BDP International (BDP) and its Centrx consulting unit. Three-fifths of survey respondents said they believe the 24-hour rule will enhance security, but add that it has increased expenses. A third said the new procedures add moderate or significant costs. Some 715 shippers were surveyed in this effort, with 112 responses.