TLMI

Dallas Printer Faced with Paper Supply Shortages Provides Solutions to Direct Mail Marketers with SCREEN’s Truepress Jet520 Series; Installs Fourth Press from SCREEN

Elk Grove Village, IL — SCREEN Americas announces the installation of its fourth continuous-feed inkjet press from the Truepress Jet520 series to Summit Direct Mail, Inc. of Dallas, Texas. The direct mail printer now has two presses from the Truepress Jet520ZZ series, one Truepress Jet520HD+ and one Truepress Jet520HD AD. The four presses reside in one of the company’s three facilities in the Dallas area and account for 80 percent of its total production.

Summit Direct Mail chose to designate its Truepress Jet520ZZ series to direct mail campaigns involving 8 ½” x 11″ letters printed on 60-pound uncoated stock and the Truepress Jet520HD series for postcards and self-mailers printed on coated stock. Because neither series requires preprinted shells, Summit Direct Mail’s direct mail marketing customers can make last minute changes to their campaigns based on the stock that is available.

Such flexibility retains business for Summit Direct Mail whose customers are often disappointed when they discover that the paper that they planned on using is not available in the quantity that they need due to a tightened global supply chain. “My customers are having to make decisions based on what’s available to them paper-wise,” said Mike Robinson, director of new technology and business development at Summit Direct Mail. “Because SCREEN’s technology allows me to print on a wide variety of substrates, I can offer them alternative solutions that were previously off the table for their direct mail campaigns.”

Summit Direct Mail has experienced an increase in the demand for direct mail since more people have migrated to a work-from-home model. Robinson attributes this to individuals having more time to review what’s in their mailboxes. “When folks had long commutes to and from an office, items in a mailbox had a greater tendency to pile up,” said Robinson. “This led to marketing materials either not being read in a timely fashion or getting tossed right away.” With SCREEN’s technology, Summit Direct Mail has been able to capitalize on this recent shift in people’s daily habits where they are more likely to spend time reviewing their mail on a daily basis over their lunch hours as opposed to setting it aside and going through it one day a week.

The company has also addressed the industry’s labor shortages with the Truepress Jet520 series. With 150 employees across two shifts, Summit Direct Mail only needs one employee per shift to operate a single SCREEN press. The company produces 1.5 to 2 million pieces of mail per day and is fully prepared to produce 5 million pieces per day when paper supplies are expected to return to previous levels.

Founded in 2003, Summit Direct Mail serves the financial, nonprofit, retail and healthcare industries along with government agencies.    

About SCREEN Americas
SCREEN Americas, a SCREEN Graphic Solutions group company established in 1967, is a leading provider of digital inkjet technology serving the commercial, publishing, direct mail, transactional, packaging, folding carton and label industries. In 2021, SCREEN Americas relocated its headquarters to Elk Grove Village, Illinois, with an upgrade that included a 14,000-plus square foot Inkjet Innovation Center.

www.screenamericas.com

Toray Plastics (America), Inc., Finalizes the Sale of Its Old Baptist Road Facility to Trico Specialty Films

North Kingstown, RIToray Plastics (America), Inc., announces that it has completed the sale of its Old Baptist Road (OBR) plant building and assets to Trico Specialty Films of North Kingstown, Rhode Island, an affiliate of Arlin Mfg. Co., Inc., of Lowell, Massachusetts. The business was transferred on January 3, 2022. The final terms of the deal are confidential. Trico is continuing to provide service to OBR customers.

“Toray signed a letter of intent with Arlin in September 2021 and we are very pleased to have achieved a quick, smooth transition,” says Christopher Roy, Executive Vice President, Toray Plastics (America), Inc. Roy explains that several successful strategic expansions and investments in state-of-the-art film lines in the company’s Torayfan® OPP film division had significantly reduced Toray’s reliance on its OBR assets. He also notes that every Toray employee at OBR was invited to remain with the company and transition to the Torayfan Division.

Steven Mitchell, one of the owners of Trico, says “I appreciate the excellent cooperation between the two companies, which enabled a successful transfer of the business. We are looking forward to expanding Trico’s capabilities in high quality film manufacturing with this acquisition, while continuing to provide exceptional service to existing and new customers.”

About Toray Plastics (America), Inc.
Toray Plastics (America), Inc., is a leading manufacturer of polyester, polypropylene, and metallized films, and polyolefin, polypropylene, and polyethylene foams. The company is committed to environmental, social, and corporate governance and aims to contribute to society through the creation of new value with innovative ideas, technologies, and products that help address global issues. R&D is focused on the development of materials that are fossil fuel-free, compostable, biodegradable, and/or recyclable. The company’s sustainability initiative, launched in 2004, includes the operating of two solar farms and two cogeneration systems, energy and water conservation, recycling, and zero landfill.

Toray Plastics (America) is a subsidiary of the Toray Group, which believes that materials can change lives and provide real solutions to the challenges the world faces. The Toray Group is the world leader in synthetic fibers and textiles, carbon fibers, plastics, chemicals, pharmaceuticals, and high-performance films and has annual sales exceeding US$21 billion.

For more information about Toray Plastics (America)’s products, contact Brenda Ockun, Brand Manager, at brenda.ockun.w9@mail.toray or 315-916-3272. Toray Plastics (America), Inc., headquarters is located at 50 Belver Avenue, North Kingstown, RI 02852-7500; telephone 401-294-4511, fax 401-294-3410. Visit the Toray Plastics (America), Inc., website at www.toraytpa.com.

About Trico Specialty Films
Established in 2011, Trico Specialty Films is a creative and innovative leader in plastic film extrusion. Located in North Kingstown, RI and well known for advancing the performance standards of film products, Trico leadership has over 150 combined years of experience in developing and manufacturing plastic film products. Founded in 1954, Arlin Mfg. Co., Inc., based in Lowell, MA, is a leader in the extrusion and converting of plastic films, specializing in high-strength, narrow-width films and tapes. 

Siegwerk Inkjet participates in trade fair InPrint

Siegwerk, one of the world’s leading suppliers of printing inks and coatings for packaging solutions, will participate in the InPrint trade fair in March 2022 with its business unit ‘Inkjet’.

The trade fair will take place from 15 to 17 March in Munich and is regarded as a meeting place for specialists in printing technology. It is of great importance to Siegwerk to enter a close exchange with experts from the printing sector regularly. “Siegwerk offers customized ink solutions for almost all printing technologies including industrial inkjet. We are excited to discuss innovative processes in the packaging sector with experts from various fields of our business”, says Matthieu Carni, Director Inkjet Business. “Therefore, we are very happy to be available with an exhibition stand on site for customer and interested parties at the InPrint.

Siegwerk’s portfolio of inkjet solutions consists of various UV and water-based inks as well as different primers and OPVs. These products are suitable for a wide spectrum of substrates. At the InPrint in Munich visitors will get a well-founded overview of these processes and products. Here, every two years, leading print technology provider from around the world meet to showcase their latest developments in digital, inkjet, screen and speciality printing.

“Siegwerk has a long-term strategic focus on inkjet, continuously working on new developments and enhancements with its strategic partners” explains Matthieu Carni, Director Inkjet Business. “By that, we have a profound understanding of the different needs of printers and print equipment manufacturers among others.” The company aims to connect its innovative processes with experts to not only support with its packaging and ink know-how but also to bring partners together to best leverage the core competencies of each one. “For us, the exchange with our partners, customers and those who are interested, is very important. We are constantly developing our products and the ways we are working to even more innovative and sustainable ones. As a result, we are really looking forward to entering these conversations on site at the InPrint.

You will find the exhibition stand of Siegwerk at InPrint at Hall A4, Booth 2150.

For more information about inkjet printing please feel free to have a look at the Siegwerk’s whitepaper regarding that topic. Moreover, there is a podcast available with Matthieu Carni, Director of the Business Unit Inkjet. You will find the podcast here.

About Siegwerk
Siegwerk, a sixth-generation family-owned company, is one of the leading international manufacturers of printing inks and individual solutions for packaging, labels, and catalogs. With more than 180 years of experience, the company has solid expertise in and knowledge of many printing procedures. A global manufacturing and service network ensures customers consistently high-quality products and services. In keeping with the company’s philosophy “Ink, Heart & Soul,” Siegwerk seeks long-term cooperation with its business partners. Siegwerk employs some 5,000 people worldwide in more than 30 country organizations and is headquartered in Siegburg near Cologne. Further information on Siegwerk can be found at www.siegwerk.com

HYBRID Software builds North American presence with the promotion of Peter Kincaid to Vice President of Sales

HYBRID Software, the innovative software solutions provider for labels and packaging, has announced the promotion of Peter Kincaid to the role of Vice President of Sales, North America. His responsibilities will include a focus on the direct sales group and channel partners throughout the US and Canada.

Kincaid has more than twenty years of experience in print and prepress for packaging; both on the production and vendor sides of the business. He takes specific interest in helping customers achieve greater efficiencies with the help of modern, innovative software. Kincaid has spent the past seven years in sales roles with HYBRID Software. Previously, he was senior solutions architect at Schawk! and director of software deployment at Esko. He began his career in prepress for the Publication Division at Black Dot Group and at Classic Color.

“Our organization has grown nearly 30% in the past couple of years. As the economy and the world opens up, I need to focus on issues other than sales, particularly the business, OEM relationships, and marketing programs,” states Mike Agness, HYBRID Software’s Executive Vice President, Americas. “HYBRID Software considers developing customer relationships a very important facet of our business. Pete built strong customer connections while maintaining a very special technical skill set. He has also demonstrated effective management skills in the past. It is no surprise that Pete has been one of our company’s top sales performers globally, year over year.  I look forward to working with him in his new position.”

Mr. Kincaid’s appointment is effective immediately. 

About HYBRID Software
With offices in Belgium, Germany, US, UK, Spain, France, Italy, and China plus a global partner network, HYBRID Software is an enterprise software development company focused on innovative productivity tools for the graphic arts industry.

HYBRID Software’s CLOUDFLOW workflow, PACKZ and STEPZ editors, and print quality solutions offer a unique set of advantages that include native PDF workflows, enterprise cloud solutions, scalable technology with low cost of ownership, and direct integration with leading MIS solutions and output devices. These products are used by thousands of customers worldwide in all areas of prepress and print, including labels and packaging, folding cartons, corrugated, wide format and digital printing. HYBRID Software is a subsidiary of Hybrid Software Group.

www.hybridsoftware.com

Epson to Present and Participate in FTA’s INFOFLEX 2022

Epson to Host Session on Digital Varnish and Showcase High-Quality Labels from SurePress Digital Label Press

Who:   

Epson America, Inc. will be participating in FTA’s (Flexographic Technical Association) upcoming INFOFLEX 2022 from March 14-15 at booth #321. Epson’s Bob Ochalla will present during the event and Epson will highlight its leading SurePress® digital label press printing technology for package printers and converters.

What:  

Reuniting the package printing and converting industry after three years, INFOFLEX 2022 is back in-person with a full-size exhibition. The theme of “Building Relationships. Forging Connections.” speaks to the ability to bring together members of the package printing and converting industry to discover new technologies that improve print quality and increase efficiency in every part of the production workflow.

SurePress Sales Manager Ochalla will present on the topic of Digital Varnish. The session will cover how to make labels more interactive through sight, touch and emotive responses using Epson digital varnish technology. Digital varnish combats boring labels head-on because it enhances consumer experience through strengthening the label’s focal point, providing contrast for visual interest, creating half-tones and heightening the sensory experience.

Epson will be showcasing its leading digital label press technology and offering high-quality labels produced from both the SurePress L-6534VW UV digital label press and the SurePress L-4533AW short-run digital label press with water-based resin ink. At the Epson booth, visitors can see a remote live SurePress demonstration from Epson’s Carson Technology Center.

When: 

INFOFLEX 2022 will take place Monday, March 14 and Tuesday, March 15 from 1:30-6 p.m. Ochalla’s presentation will be held on Tuesday, March 15 from 3:40-4 p.m. CST.

Where:

Fort Worth Convention Center, Fort Worth, Tex.; Epson booth #321.

Why:    

The Epson SurePress digital label press line offers advanced workflow automation solutions leveraging the Wasatch RIP solution, delivering customers a fully customizable solution designed to streamline orders, minimize production errors, help increase productivity, and run print production effectively. The SurePress digital label presses are high-quality label printers that can be tailored to meet various needs and budgets, and provide media flexibility for pressure sensitive, shrink and in-mold label, and flexible packaging. For additional information, visit www.epson.com/surepress. For inquiries in North America, or to set up a remote live demo, contact:

–        Western Region – Mark Elsbernd, 818-620-2730 or mark.elsbernd@ea.epson.com
–        Central Region – Bob Ochalla, 630-710-6005 or bob.ochalla@ea.epson.com
–        Eastern Region and Canada – Frank Connelly, 615-585-9058 or frank.connelly@ea.epson.com 

About Epson
Epson is a global technology leader dedicated to co-creating sustainability and enriching communities by leveraging its efficient, compact, and precision technologies and digital technologies to connect people, things, and information. The company is focused on solving societal issues through innovations in home and office printing, commercial and industrial printing, manufacturing, visual and lifestyle. Epson’s goal is to become carbon negative and eliminate use of exhaustible underground resources such as oil and metal by 2050
Led by the Japan-based Seiko Epson Corporation, the worldwide Epson Group generates annual sales of around JPY 1 trillion. global.epson.com/

Epson America, Inc., based in Los Alamitos, Calif., is Epson’s regional headquarters for the U.S., Canada, and Latin America. To learn more about Epson, please visit: epson.com. You may also connect with Epson America on Facebook (facebook.com/Epson), Twitter (twitter.com/EpsonAmerica), YouTube (youtube.com/epsonamerica), and Instagram (instagram.com/EpsonAmerica). 

# # #

EPSON and SurePress are registered trademarks and EPSON Exceed Your Vision is a registered logomark of Seiko Epson Corporation. All other product and brand names are trademarks and/or registered trademarks of their respective companies. Epson disclaims any and all rights in these marks. Copyright 2022 Epson America, Inc

Mega Label chooses Martin Automatic technology and installs it with video assistance from US technicians

Product Development Manager Nicky Tan, Group General Manager Edmund Chan, and Senior Commercial Manager Moon Gan with Mega Label’s new Martin Automatic MBSC unwind splicer

As with most manufacturers of capital equipment, the global pandemic and all that it has involved regarding travel restrictions, has forced Martin Automatic to innovate ways of working to keep its customers satisfied.  Testament to the superior design of the company’s equipment, which makes it relatively straightforward to commission, is a recent installation in Malaysia.

Mega Label, which began life as a small print shop in Johor in 1987 with one printing press and six employees has grown to become one of the country’s major players in the narrow web market, with a variety of letterpress, flexo, digital and screen presses and a staff of more than 200.  Today, the company supplies labels to the food, pharmaceutical, clothing, and health care sectors from its modern 6,000sq/m plant.  In 2011, the company opened an additional production facility in Selangor, Malaysia to cope with increasing demand and to shorten delivery times, and in 2012 set up a plant in Cambodia to fulfil the growing demand for textile labels.

Mega Label is a very people-oriented company, and the Management Team works hard to create a safer and better workplace for its staff.  One of the keys to the company’s success has been its policy of personnel development, which provides training for every member of staff and creates at atmosphere that is conducive to positive working attitudes and an efficient working environment.  Group General Manager Edmund Chan explained: “Our target is to improve efficiency by replacing the unnecessary heavy work of our operators with automation, and in this sector of the market there is no better manufacturer than Martin Automatic.  Their non-stop systems de-stress our operators by managing reel changes of material, allowing them to focus on other important tasks.  This is a great boost for morale”

The first Martin Automatic technology at Mega Label, which was installed in 2018, was an MBSC non-stop unwind/splicer and an STR automatic transfer rewinder, fitted to a 10-colour Gallus ECS 340 press.  The Martins had an immediate impact on productivity and waste levels, according to Mr Chan.  “We save around 5-10% of material and 5-10 minutes per roll change – and these make significant contributions to productivity and therefore profitability,” he said, adding “ and it also has a beneficial effect on the environment.”

So effective was the Martin Automatic technology that Mega Label decided to order a second set of MBSC/STR machines in 2020 for their latest Gallus press, another ECS 340 – the only problem was that the Covid-19 pandemic has spread worldwide by then and travel had become virtually impossible.  Never to be beaten by difficult logistics, Mega Label and Martin Automatic technicians set about creating a plan that would see the new equipment installed and running in commercial production in super quick time.

To ensure all practical details were covered, a pre-installation video conference was arranged to review all drawings and instructions so that both parties were comfortable with their respective tasks.  Travis Yang, Martin Automatic’s Regional Sales Manager for Asia explained: “Mega Label’s engineers are very competent, and we had our technicians on stand-by throughout the installation.  The fact that it all went smoothy and quickly speaks volumes for the functional and pure design of Martin equipment, which combines a robust working capability with easy handling.”

With the global pandemic continuing to disrupt normal business practices, Martin Automatic is working to develop its remote support service further and will shortly be releasing installation videos to assist customers in locations that cannot be visited in person.  Established in the US in 1958, Martin Automatic technology can be found in commercial production worldwide, and across a variety of industries.  With a European office in Germany, and Asia Pacific covered from Taiwan, the company is aware of its responsibility to a widespread list of users, all of which depend on the durability and reliability of its equipment to keep production lines running. 

If there is a positive to be drawn from the pandemic it’s the increased use of modern communication technology that is allowing companies to keep their customers satisfied – even remotely!

www.martnautomatic.com

 

Mark Andy reports record sales in LATAM and sets strategy for continued growth

Juan Carlos Arroyave (centre), the owner of Etipress, with John Vigna and Kenjiro Celaya of Mark Andy and the newly installed Digital Series HD press

In a year blighted by the global Covid pandemic, leading US manufacturer of narrow web press technology, Mark Andy, has reported record sales for its team in the LATAM region, with installations from Mexico and the Caribbean in the north, to Argentina in the south, and a healthy mix of flexo and digital technology. Speaking recently for the company, Sales Manager for the LATAM area John Vigna explained: “At a time when there was so much uncertainty across the Americas, we have significantly lifted our performance and increased our market share with a number of key conquest sales and market ‘firsts’!”

In addition to press sales totalling nearly 30 over the 12-month period, what impresses Vigna the most is the spread across eight countries and the diversity in specification of the machines involved, from the well-proven entry-level 10” 2200 Series to a 20” Performance Series P7 and 14 examples of the new Evolution Series (13 E5 and 1 E3) on the flexo front, to a Digital Series HD and Digital Pro 3 in the hybrid market. “We have enjoyed success right across our product portfolio thanks to the hard work put in by our sales and support teams,” he added.

One of Mark Andy’s key markets in the region is Mexico, and its sales were given a significant boost here with the appointment of Kenjiro Celaya as Sales Manager for the country. A former Plant Manager at an existing Mark Andy user, he brings a solid background of technical knowledge and production expertise to a market that while well-established, is having to come to terms with a raft of new technology and all that it brings in terms of opportunities. “Having Kenjiro onboard has boosted our status amongst our many label converting customers in Mexico, who value his hands-on experience,” said Vigna.

Conscious that the Mark Andy brand had for some time been low key, John Vigna has set about upping the profile of the company with new personnel that crucially are trained and proficient in the new technology the company is bringing to the market. “We have an educational job to do in LATAM. First, we need to let label converters know that wherever they are located we will provide local and high-quality support, and second, we are working hard to show Mark Andy as the narrow web technology leader, especially in the digital hybrid sector that is growing fast and where we have a clear lead over our competition.”

While the Mark Andy brand has long been aspirational to label converters in the LATAM region, political upheavals, and economic uncertainty, allied to the currency fluctuations that follow have often made press sales difficult for the US manufacturer – another problem that Vigna has successfully addressed. “We understand the difference between wanting a Mark Andy and being able to afford one! So, we’ve set up a number of financial packages that can be offered to potential customers, and we can tailor them to suit individual needs and circumstances. The aim is to ensure that money is no barrier to getting the Mark Andy product you want.”

Commenting further on the high-specification of the presses installed last year, Vigna says that he sees a notable trend towards shrink sleeves, in-mould labels, and flexible packaging across the region, along with a growing interest in RFID technology. In fact, one Brazilian customer, Beontag in Campo Mourão in Paraná, which installed a 20” Mark Andy P7 fitted with a Tamarack RFID unit, is now the second largest RFID supplier globally, with European production plants in Finland, France and Italy. Other significant sales worth highlighting are 13 of the new Evolution Series E5 presses (in both 13” and 17” web widths) and 1 of the Evolution Series E3. One in particular, at Suprapak in Cali, Columbia is being promoted locally as a significant addition to the company’s Mark Andy stable that already includes a P5 and 2200 – the company is well known for its shrink sleeve production.

In addition to the year bringing record sales numbers in his territory, John Vigna is delighted with some of the ‘big name’ companies who have joined the Mark Andy users club. Flexoprint in Brazil installed its first two Mark Andy presses thanks to the efforts of local representative Miguel Troccoli of PTC. Another Brazilian printer, Gráfica Cometa, acquired its first Mark Andy, an Evolution Series E3. Softcolor installed a 17” P7, its first Mark Andy, Autopel bought a P5 and then added an E5, the first in Brazil. In Belo Horizonte, Maxcor brought their total of Mark Andy presses to 16 with the addition of three 2200s and an E5, while international group Sato acquired a P7 for their plant in Brazil and an E5 for their plant in Argentina. You could say that Mark Andy flexo had a good year!

But the noticeable trend across the region is a growing interest in digital printing and in particular what hybrid technology has to offer. “This is where Mark Andy is in a unique position. We have three hybrid products in our portfolio, aimed at different sectors of the market, and importantly all use proven technology and have numerous installations worldwide that prove their commercial viability,” explained Vigna, who has devoted considerable time to educating the narrow web sector about hybrid technology and what it has to offer converters that are looking to grow and diversify their businesses.

At the entry level is the Digital Pro Series that combines a dry toner engine for CMYK with a platform that allows a flexo print station before and after the digital module for spot colour, varnishing, or cold foiling. It also die cuts, slits, or sheets inline, as required. Next is the Digital Series iQ, a joint development by Mark Andy and Domino that offers CMYKOV + WW inkjet printing to 600dpi resolution, with inline printing and finishing based on the Evolution Series platform. DSiQ is aimed at the middle sector of the market for medium length runs.

At the top end is the Digital Series HD, a completely in-house product from Mark Andy that combines the Performance Series servo platform with a 1200dpi eight-colour inkjet engine and an almost endless choice of options with its modular configuration. Existing Mark Andy flexo user Etipress has become the first in LATAM to install a 17” DSHD hybrid, and all eyes are focussed on how this single-pass production line compares with offline print and converting.

“There is no doubt we have the most comprehensive range of printing technology of any narrow web manufacturer in the world, and it’s all well-proven for reliable commercial production, which removes the risk for those new to servo driven flexo or digital hybrids. By taking the strategic decision to upscale our sales and support network in the region, we are well placed to tap into the growth in demand for new products and the shorter runs created by versioning,” concluded John Vigna, who is confident that the sales record set by Mark Andy in the LATAM region last year is just the beginning of something even bigger!

About Mark Andy Inc.
Mark Andy is a pioneer of the graphic arts and printing industry. As the world’s leading manufacturer of narrow- and mid-web printing and finishing equipment, it supplies leading global brands, including Mark Andy and Presstek printing presses, Rotoflex finishing solutions, as well as a complete line of Mark Andy Print Products consumables and pressroom supplies. All products are backed by the largest customer support team in the industry, minimizing downtime and helping customers be profitable, efficient and at the forefront of innovation. Mark Andy does what it takes to understand each customer’s unique business, the challenges they face and the pressures they feel. It strives to provide products and services that help customers solve their problems and solutions that go a step further, allowing them to excel in their day-to-day operations, ultimately increasing productivity and reaching their full potential.

For more information, visit www.markandy.com.

Regulatory Affairs Committee (RAC) Newsletter – TLMI Community and Committee Information

March 7, 2022

RAC – TLMI Community and Committee Information

TLMI’s RAC updates, presentation slide decks and other communications are housed within the RAC Committee section of the TLMI Community. TLMI encourages all members to review the resources housed within, and to let TLMI know if you or a colleague would be interested in joining the RAC Committee.

As always, the information provided in TLMI’s RAC Updates should not be construed as legal guidance. If you have questions on the legislation or initiatives highlighted, please contact Bryan Vickers with TLMI’s RAC team, bvickers@pacellp.com, 703-403-2882 for more information.

Regulatory Affairs Committee (RAC) Newsletter – Supply Chain & Logistics

March 7, 2022


Supply Chain & Logistics


Federal Legislation and Regulatory Efforts to Improve Port and Rail Movement 

TLMI members, their supply chain partners, and customers have likely been impacted directly or indirectly with delays in receiving imports, exporting final products, and overall increases connected to shipping costs. The Congress and the Administration continue to take specific actions to address these issues, in an effort to improve the flow of goods both in and out of the country, reduce costs and improve efficiencies. Below are some of the recent and ongoing activity in this space that we wanted to make you aware of.


Ocean Shipping Reform Act (OSRA)


The Ocean Shipping Reform Act (OSRA) is landmark legislation that would overhaul the U.S. Federal Maritime Commission (FMC), by providing them specific authority to regulate shipping activity in and around U.S. ports.


The House version of the Ocean Shipping Reform Act of 2021 (OSRA), H.R. 4996, introduced last year, seeks to improve fairness, establish boundaries and set metrics for fees often incurred by the global shipping community. It passed in December with overwhelming support.


Following House passage, Sens. Amy Klobuchar (D-MN) and John Thune (R-SD), introduced Senate introduced Senate companion legislation, which currently has 22 co-sponsors.


Key among OSRA’s provisions are:


-Clarification of when certain charges for at-port equipment and equipment return (commonly referred to as Detention and Demurrage) charges may be assessed by ocean carriers and other entities, to shippers.


-Establishment of minimum service requirements for contracts to ensure freight is not unreasonably refused.


-New enforcement tools for FMC regulatory staff to enforce OSRA’s provisions


-Ensuring anti-retaliatory safeguards are in place to protect parties that file complaints to the FMC or other regulatory bodies.


While the Senate version differs slightly from the House bill, there continues to be bipartisan support for OSRA. The legislation follows an earlier endorsement of the OSRA and its core concepts by the Biden Administration. Members of the Senate Commerce Committee, which held an Executive Session on the legislation earlier this week, is seeking to advance the bill to the Senate floor later this year. TLMI will continue to follow these collective efforts.


Surface Transportation Board (STB) to Hold March Hearing on Reciprocal Switching Proposal


Later this month, the Surface Transportation Board (STB) will host a two-day hearing on “reciprocal switching”, a longstanding proposal that would enable shippers to more easily secure opportunities for rates and options to move raw materials, goods and other products among the Class 1 rail lines.


Similar to the major ocean carrier/liner companies importing and exporting goods out of U.S. ports, shippers and customers of the U.S. rail industry are predominantly served by a handful of large Class 1 lines, often with only one provider to choose from.


Proponents of the reciprocal switching proposal believe that opening up rail options would improve efficiencies, reduce delays and lower overall shipping costs. Many TLMI member companies and their suppliers routinely utilize domestic rail service, (depending upon their locations and supply chains being served), and could see benefit from finalization of the reciprocal switching proposal.


The Board will consider all testimony provided at the hearing later this March, and re-open meetings to stakeholders afterwards. A decision on the proposal may be issued later this year. Click here for the latest Board activity and additional information regarding the proposal.


As always, the information provided in TLMI’s RAC Updates should not be construed as legal guidance. If you have questions on the legislation or initiatives highlighted, please contact Bryan Vickers with TLMI’s RAC team, bvickers@pacellp.com, 703-403-2882 for more information.