Archive for News/Blog

Another delay in potential trade disaster: ILA PORT STRIKE on USA

Featured, News/Blogon December 28th, 2012No Comments

PHEWWWWW!!!! that was my first thought.

Moments ago, a temporary agreement was reached to extend the strike by another 30 days.  Basically, the parties have until January 28th, 2013 to reach an agreement.  If not? Well, then we are in the same place and at risk for a strike.

We will continue to keep everyone posted as there are updates.

LA Port Walkout — It’s over, it’s FINALLY FINALLY over!!!

Featured, News/Blogon December 5th, 2012No Comments

With approximately 600 members of the OC Unit of the ILA & Warehouse Unit Local 63 – the strike is FINALLY over in Los Angeles/Long Beach.

What was achieved?  Well to start, NO more outsourcing of OCU jobs and workers will also achieve a sad $190000 salary in the next 6 years.

So cargo handling has resumed and vessels will no longer be re-routed, but one thing is for sure, it will take quite some time for business to get back to ‘normal’ in the coming days, weeks or (hopefully not) months.

In the meantime, Pangaea Logistics is here to continue to support our customers and the logistics community, so please “hang in there” with us as we all work to get your supply chain back to normal.

Please feel free to contact us with any questions

Strikes are ‘strikingly’ scary? …

Featured, News/Blogon November 30th, 2012No Comments

Strikes are ‘strikingly’ scary? … Especially when it happens to the largest of USA’s ports!

Over the last 4 days, 10 of Los Angeles’ 14 terminals have halted work and 3 of Long Beach’s 4 ocean port terminals are closed, YES, they are on strike!!!  Attempts to talk between the employers of the ‘International Longshore & Warehouse Union Local 63 Office Clerical Unit’ and the ‘Union Leaders’ haven’t done much – other than create you a supply chain nightmare.

Why the strike?

Well, they are saying it is to stop the outsourcing of port jobs.  The usual increase in salary, from a nice salary of $165,000 on average per year to a meager $195,000 per year.  Oh, and don’t forget the request for paid vacation, a whopping 11 weeks.

So, now what happens?  Well, a few suggestions are to see if your carrier can offer you the option to have the cargo re-routed to another Port?  It will of course be a hassle, but it is better than your shipment sitting idle in the Pacific, in the Harbor or even docked with no idea on how long this strike may last.

Even the RILA  (Retail Industry Leaders Association) is getting involved and demanding that the Obama Administration get involved to ensure to timely resolution to this.

What does a strike really do?  It is a self inflicted wound if you ask me.

1) The workers are out of a job, even though it is temporary (we hope), but especially during the holiday time?

2) The vessel companies are stuck with cargo they cannot off-load and subsequently are constrained from the quantities of new cargo they can ship. It can then result in other pertinent shipments not making it to other parts of the world, and potentially result in increased shipping costs – so the shipping companies can compensate for the losses.

3) The importers, wholesalers and retailers get stuck with empty shelves and minimal supplies – which can consequently result in employees of those establishments being laid off?

Prices of items could go up (i.e. fruits, vegetables, electronics, cars, etc.)

4) Trucking companies who move the freight to and from the port are financially affected.

5) The US Government then suffers due to the delay in collecting duties and taxes.

The list could go ON and ON and ON.

So the question is, who wins in this scenario?

Well, to start,

1) The subsequent ports that the freight may get moved through, but now it will cost importers more to move the freight to where it needs to go, which consequently results in the raising of prices. BUT we the average people, with an average income – a salary that is not increasing with this, right? – so still not a “winning” scenario.

2) The airline cargo industry as the alternative method of shipping for urgent shipments – again the end consumer would end up paying more for this.

3) OH, don’t forget, the “strikers” who may just actually get 11 weeks of paid vacation and a $30,000 increase in salary.

ALL of these “winning” scenarios come with a catch – someone wins, but not the end user who is most likely NOT making $165,000 a year and who is also most likely NOT going to see a possible $30,000 raise either.

So, in the end, if this situation has affected you, feel free to call us and we will see what we can do to help you, and we assure you, we will not be asking for a $30,000 raise either =)

NVOCC Licensing – your assurance

Featured, News/Blogon June 29th, 2012No Comments

The shipping industry to and from the USA is highly regulated by the government, which requires all companies engaging in this business to obtain an OTI License (Ocean Transport Intermediary) in the form of either:

1)    VOCC (Vessel Operating Common Carrier) – these are the companies that actually own the vessels that carry the cargo and contract directly with NVOCC’s

2)    NVOCC (Non-Vessel Operating Common Carrier) – companies that contract aggressive pricing with the VOCC’s and    share space with other NVOCC’s to be able to arrange the shipment of cargo at an aggressive price. NVOCC’s must file tariff’s with the FMC and have the right to issue a bill of lading under their own name.

3)    OFF (Ocean Freight Forwarder) – assists a shipper in the arrangement of international transportation services, but it is not a carrier.  It has no tariffs and does not issue a bill of lading in its own name.

 

The requirements to obtain an NVOCC & OFF license are:

1)    Proof of more than 3 years of experience with international shipping

2)    a rigorous background check

3)    Post a $75,000 surety bond

All of this, and more, ensures the relocation and shipping population that they are dealing with true professionals and a company with a solid background.

 

At Pangaea Logistics, we have our clients interest at hand, therefore we have obtained an NVOCC license (to see a copy of our license, please click on the above image).

These licenses are public knowledge and any reputable company will be ready willing and able to provide you the details, without hesitation.

 

You can click here to see a list of licensed NVOCC’s.

 

 

**** be extremely careful of companies who:

1)    Do not have a license

2)    Claim to have a license, but do not appear on the list of licensed companies

3)    State to be an “acting agent” of a company that has a license – this requires the “acting agent” to disclose who they are acting on behalf of and chances are you should be dealing directly with the licensed company and not the “acting agent”

 

In all of these cases, if something does not go right, you as a consumer have little to no rights to recover a loss.

World Trade Center Relic

Featured, News/Blogon May 1st, 2010No Comments
World Trade Center Memorial

Standing tall in Pompei

 

Sometime ago, the Port Authority of New York & New Jersey began accepting proposals from international and domestic public and private organizations that where interested in obtaining a relic from the World Trade Center to create a memorial.

In early 2010, we came in contact with the local officials from the city of Pompeii, Italy and where honored and touched to be chosen to handle all of the logistical needs to move this precious piece of history.