NSA Services for NVOCCs
An NVOCC Service Arrangement or NSA is a:
- written contract
- between an NVOCC and their shipper customer
for ocean freight transportation.
Since 2005, Non-Vessel Operating Common Carriers (NVOCCs) may use NSAs to comply with the U.S. Federal Maritime Commission’s tariff regulations. NVOCCs that use NSAs are exempt from filing NSA rates in their FMC tariffs, however they must continue to maintain their FMC tariff rules.
NVOCC Service Arrangements (NSAs) are a great option to consider using for:
- negotiated customer-specific rates,
- long-term rates, e.g., annual rates, and
- rates with customized surcharges, assessorials, or terms.
NSAs are generally considered best for long-term rates because surcharges can float with your tariff rules. This means that surcharges in effect in your tariff rules at the time each shipment is received will apply. FMC regulations do not require an amendment to reflect updated surcharges, so long as the surcharges are filed in your tariff rules.
This is a key advantage of NSAs when compared to NRAs, which require surcharges to be locked-in upon receipt of the first shipment.
An NVOCC Service Arrangement (NSA) is a written contract between an NVOCC and their shipper customer for ocean freight transportation.
An NSA is a customer-specific rate agreement which requires signatures of both the shipper customer and NVOCC before they may go into effect. NSAs may contain customized surcharges, assessorials, or terms. NSAs are generally considered best for long-term or multiple shipment rates because surcharges are linked to your FMC tariff rules.
Yes, NSAs must be signed by both the shipper customer and NVOCC before they may go into effect.
NSA Amendments may be agreed to via email, so long as this is stated in the initial NSA. Amendments must also be agreed to before they may go into effect.
Our expert staff is ready to assist NVOCCs seeking to utilize NVOCC Service Arrangements (NSAs). We offer members the following NSA-specific services:
- NSA templates,
- FMC compliance review for NSAs, and
- record keeping using DPI’s proprietary online system.