MAFF and the West Coast of Canada
Recently, a paper entitled Japanese Wheat Import Arrangements – Overview produced by GrainGrowers Ltd. hit our desk. The premise of which surmised the “Japanese wheat import rules, regulations and processes” and reviewed the tendering/importing arrangements of the Japanese Ministry of Agriculture, Forestry and Fisheries (MAFF). The details of this publication prompted us to provide some further details into the specific requirements that MAFF has on Japanese bulk shipments originating from the West Coast of Canada. First and foremost, it would be beneficial to read the subject publication which can be found here.
Canada is responsible for approximately 32% of all Japanese bulk wheat imports with the majority commodities either being Canadian Western Red Spring or Canada Western Amber Durum. These contracts always come with a tolerance of +/- 3% which is a requirement of MAFF. While it is no issue for the majority of the Port of Vancouver terminals to hit an exact quantity, the agent must be sure to inform all parties that there is no room for error outside of this contact without large penalties.
Japan is also unique in its import requirements in that they require additional pre-hold inspections and load supervision. On the West Coast of Canada, these obligations are carried out by a 3rd party company – Overseas Merchandise Inspection Company LTD. (OMIC). Agents work closely with OMIC to keep them up to date on the vessel inspection, berthing and loading schedule. On arrival, an OMIC surveyor will attend with the rest of the inspection party (including CFIA) and inspect the holds that are scheduled to hold wheat cargo as per the Master’s proposed stowage plan.
Their standards are similar to those of the CFIA and it is not often that a hold will fail by only 1 of the 2 parties. Additionally, an agent must take caution to direct the crew efficiently as both OMIC and the CFIA will need personnel to assist with inspections and to clean trouble areas if necessary. Sometimes this can be a juggling act as crew can be limited after a long journey at sea. It is also important to coordinate load supervision for vessels loading more than 1 cargo as an OMIC surveyor will need to be onsite for the wheat portion only. Often times the terminal may not know what cargo will be loading at an exact point in time.
In conclusion, MAFF shipments offer their own unique challenges and requirements. It is important for the agent to make note when the +/- 3% tolerance appears on a wheat contract in order to properly prepare the additional obligations that accompany these shipments. Extra care is needed to ensure the surveyors and crew are on the same page as to the extra conditions that come with MAFF.