05 Sep

The damage is done. Customs brokers and importers who act as U.S. FDA Agents on behalf of their foreign food manufacturing suppliers have met with a sturdy financial risk under the Food Safety Modernization Act. Before the emergence of FSMA, there was no inspection fee for a foreign facility that might become subject to a reinspection- no one really hknows what future holds for them. The FDA reinspections are all set to charge a $289/hour foreign reinspection fee from the FDA. FDA, on the other hand, is dreaming big to generate an explosive amount of $25 million from these charges per year in “user fees,” according to a 2011 FDA guidance FAQ.

Knowing all this, what do you think is exactly the bad news for customs brokers and importers? Customs brokers, importers and registrar companies who act as the FDA U.S. Agent for a foreign food facility subjected to an FDA reinspection are more likely to face the reinspection fee if the foreign facility fails to pay it.

It’s evident that customs brokers acting as U.S. Agents before FDA are probably unmindful and have not prepared for contractually. It’s necessary for all U.S. Agents, regardless of them being customs brokers, food importers or registrar services, to take certain measures to protect themselves.

Honestly speaking, now is the time to act when registered food facilities also need to renew their registrations for the first time in history.

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