CII BUYING MORE X-RAY SCREENING EQUIPMENT

Posted by julian on May 21, 2010 in Company News, Export |

Ever since the Department of Home Security set up the TSA arm we have been most cognizant over its power to implement its programs and the need for us to stay absolutely abreast of the rules and regulations. We have had two people employed solely on our own program and I believe we are the first forwarder to employ staff exclusively for inspection of freight. For us the way we tackled security was all about survival rather than studying any possible commercial advantage over our competition. We thought the industry as a whole would embrace security just as we have, but over the last few months we have learned that this is not the case. Many were under the belief they TSA would wilt under the pressure of so many forwarders not yet being ready to meet the deadlines that they would delay the implementation.

Sadly for those forwarders that have sat on their hands, they literally have three months to prepare themselves for 100% screening or their businesses could face dire circumstances. Small forwarders especially may have to hand their customers over to friendly competitors and become commission agents. Others will have to sub-contract handling and security out to third parties. Last week one of the largest multi-national transportation companies in the world approached us asking if we could take over their handling and screening. The cost for them to set up another division such as we have within our own small company was simply too great. We are just awaiting approval from TSA that our program designed to handle this freight will absolutely comply with their regulations. Once we are given the green light we will this corporation will sign the contract and freight will immediately start being delivered to our Los Angeles, Atlanta and New York terminals.

If we were asked the question three years ago that there was a commercial opportunity by investing staff and equipment to screen freight, we would have said the airlines will probably throw in screening for nothing. By their actions only large forwarders that could present freight in ULD’s would exercise the option to handle their own screening. How wrong we were holding this view. Airlines don’t really want a bar of it unless it is at a commercial rate and even then they are well aware their terminals are not designed for holding and inspecting freight. If a multi-national sees only costs and ongoing problems a company such as ours with its commitment by way of specially trained staff and adequate equipment there must be opportunity. Thanks to Peter Lamy, Zachary Zemby and Jeremy Vergara we have a wonderful chance to have a division which will add dollars to our bottom line instead of being a cost center. The new machines we have just purchased from Rapiscan will allow us to handle mega-tons per day in all three terminals. Roll along August 1st; we are ready!

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