FMC Proposes New Rules for Non-US NVOCCs

On February 26, 2013, the Federal Maritime Commission (FMC) published a notice of proposed rulemaking which would impose new registration requirements on foreign-based unlicensed non-vessel owning common carriers (NVOCCs). The proposal would also extend to such NVOCCs certain exemptions from the requirements of the Shipping Act of 1984, including tariff rate publication requirements, when they have entered into negotiated rate agreements (NRAs) with shippers, as set forth in 46 C.F.R. Part 532. According to the notice, the proposal is intended to "make the NRAs more useful and thus enhance competition among all NVOCCs," while protecting the shipping public through the registration process. The proposal is part of a broader effort by the FMC to reform the rules governing NVOCCs and other Ocean Transportation Intermediaries, which need to remain particularly alert to regulatory developments at the FMC during this overhaul process. Comments to the proposed rule are due April 29, 2013.