Grain Transportation Report, December 16, 2021
[report]
2021
unpublished
WEEKLY HIGHLIGHTS FMCSA Extends Emergency Waiver on CDL and CLP Requirements The Federal Motor Carrier Safety Administration (FMCSA) recently extended, through February 28, 2022, its waiver on requirements for commercial driver's licenses (CDLs) and commercial learners permits (CLPs) for truck drivers. The waiver includes permission to States to allow CLP holders to take the CDL skills test without waiting 14 days after the CLP is initially granted. Originally issued to address the national
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... D-19 emergency, the waiver for CDLs and CLPs permits States to extend the validity of CDLs due for renewal on or after March 1, 2020. The waiver also extends an exemption from CDL-required medical certification-provided the certification expired on or after September 1, 2021. FMCSA intends to review the waiver's status on January 3, 2022, and may act to end it sooner, if conditions warrant. Governors From 15 States Pledge To Assist the Trucking Industry With Regulatory Relief ... The Tennessee Governor, along with governors from 14 other States, recently pledged to act at the State level to assist the trucking industry in an initiative called "Operation Open Road." Addressing regulatory burdens, the governors will modify weight, size, or load restrictions to allow more cargo to move more efficiently. The governors will also adjust hours-of-service constraints to give truck drivers more flexibility, as well as increase the number of commercial truck drivers by deregulating education and occupational barriers to licensure. Further, the governors asked the Federal Government to lower the age of commercial driver's license holders from 21 to 18 years and suspend the Federal mandate for COVID-19 vaccines for the trucking and transportation industry. They intend such measures to reduce additional barriers to employment. Additionally, the governors asked the Federal Government to revise any Federal policies that prevent use or domestic manufacturing of essential transportation equipment, including intermodal containers, chassis, and automobiles, trucks, and tractor trailers. ... And Public/Private Coordination To Address Supply-Chain Issues As part of "Operation Open Road," the 15 governors have agreed to convene State agencies in transportation, commerce, workforce, and related fields to coordinate with private industry, local governments, and neighboring States. The governors intend this public/private coordination to ensure greater efficiency and data sharing among shippers and receivers at ports, distribution points, storage facilities, and other intrastate corridors. Governors of States with coastal ports have agreed to help their ports operate at full capacity, increase tonnage capacity, and accept more Panamax ships waiting off the west coast. East Coast Ports. Over the past couple of years, containerized grain exporters have shifted some shipments to East Coast ports such as Norfolk, VA; New York, NY; Savannah, GA; Charleston, SC; and Baltimore, MD. So far in 2021, the share of containerized grain exported through East Coast ports has increased 3 percentage points, and since 2018, the share has increased 10 percentage points. During the pandemic, some exporters have likely shifted ports to avoid the West Coast congestion, when possible. Others have increased shipments to smaller markets in Africa and the Middle East, which are more easily accessed from the East Coast. To adjust to severe and persistent challenges, containerized grain exporters report having to renegotiate contract terms with overseas customers to allow for extensive delays. In some cases, orders previously serviced under a 30day contract have been extended to a 45-60-day contract. Such extensions demonstrate both the extent of delays in the logistics chain and the wide variability of reliable vessel service. Relief Actions Underway Given the enormous scale of the supply chain challenges, a silver bullet solution is impossible. Still, both government and industry are stepping up, bringing massive resources to bear to improve these issues. Ports have begun taking several measures to increase terminal fluidity: extending truck gate hours, expanding near-dock and off-dock container storage to absorb terminal overflow, and incentivizing importers to move full containers off dock quickly. These measures at Los Angeles and Long Beach have helped reduce the number of containers on-dock and allowed the terminals work through some of the vessel queue. Broad-based Government support. Federal support has come from Congress, the White House, Department of Transportation, USDA, Surface Transportation Board, and Federal Maritime Commission (FMC). Action to address supply chain issues has taken a variety of forms. In one example, the Port of Savannah received an $8 million Federal grant to support the development and operation of four pop-up container yards. Also, the White House plans to make more than $240 million available for port infrastructure through its proposed Port Infrastructure Development Grant program. Through the Department of Transportation, the Administration will also open $475 million in competitive port/marine highway infrastructure grants. Multiple agencies are investigating unfair practices by carriers. FMC-the U.S. governing body of ocean container carriers-collected information on detention and demurrage invoicing practices from all major ocean carriers and developed best practices for carriers to follow. FMC also used its authority to reestablish the National Shippers Advisory Committee and Supply Chain Innovation Teams, complete with U.S. importers and exporters. These FMC arms are tasked with identifying commercial solutions to U.S. supply chain operational challenges. They provide FMC with insight, information, and industry expertise. USDA collaborations and investment. Through the Supply Chain Disruptions Task Force, USDA is collaborating with the Departments of Transportation (DOT) and Commerce as part of President Biden's Executive Order (EO) on America's Supply Chains.
doi:10.9752/ts056.12-16-2021
fatcat:p6a2kf6kyjbwhm3hpensh7opf4