Cargo preferences for U.S.-flag shipping : background, considerations, and food aid issues / Edmund Sutton, editor.

Format:

Book

Contributor:

Sutton, Edmund, editor.

Series:

Transportation issues, policies and R&D series.

Transportation Issues, Policies and R&D

Language:

English

Subjects (All):

Cargo preference--United States.

Cargo preference.

Physical Description:

1 online resource (117 p.)

Place of Publication:

New York, [New York] : Novinka, 2016.

Summary:

Long-standing U.S. policy has treated the U.S.-flag international fleet as a naval auxiliary to be available in times of war or national emergency. When the United States is involved in an extended military conflict overseas, 90% or more of military cargoes are typically carried by ship. To support the U.S. merchant marine, Congress has required that "government-impelled" cargo sent overseas be carried on U.S.-flag ships. Government-impelled cargo (a.k.a. "preference cargo") is government-owned cargo, such as military supplies and food aid, and any cargo that is somehow financed by the federal government, such as by the Export-Import Bank. While export shipments account for the vast bulk of government-impelled cargo, in 2008 Congress extended the law to require that state and local governments and private entities importing goods with federal financial assistance ship at least 50% of such cargo in U.S.-flag vessels. Regulations to implement that requirement have not been issued. This book explains the motivation behind cargo preference law, discusses issues concerning the cost-effectiveness of the program, reviews attempts to apply cargo preference to the nation's oil trade, and identifies several disparate bills reflecting wide disagreement on the future direction of cargo preference policy. The book also examines cargo preference for food aid's (CPFA) impact on food aid shipping cost and U.S. agencies' implementation of CPFA requirements, and the extent to which the implementation of CPFA requirements contributes to sufficient sealift capacity.

Contents:

CARGO PREFERENCES FOR U.S.-FLAG SHIPPING BACKGROUND, CONSIDERATIONS, AND FOOD AID ISSUES ; CARGO PREFERENCES FOR U.S.-FLAG SHIPPING BACKGROUND, CONSIDERATIONS, AND FOOD AID ISSUES ; CONTENTS ; PREFACE ; Chapter 1 CARGO PREFERENCES FOR U.S.-FLAG SHIPPING ; SUMMARY; INTRODUCTION ; THE THREE U.S.-FLAG FLEETS ; A BRIEF HISTORY OF THE CARGO PREFERENCE ACT OF 1954 ; Application of Cargo Preference to Imports ; CURRENT STATE OF THE U.S.-FLAG INTERNATIONAL FLEET; ISSUES FOR CONGRESS ; Ship Design Needs Diverge ; CivMar vs. Commercial Mariner Crewing Costs

Ratio of Commercial to Government-Sponsored CargoCompetition Among U.S.-Flag Carriers; How "Fair and Reasonable" Rates Are Determined ; Foreign Parent Companies Questioned ; Commercial U.S.-Flag Operations in "War Zones " ; Cargo Preference for Oil Shipments? ; U.S. Crewing Costs ; LEGISLATION IN THE 114TH CONGRESS ; End Notes ; Chapter 2 INTERNATIONAL FOOD ASSISTANCE: CARGO PREFERENCE INCREASES FOOD AID SHIPPING COSTS AND BENEFITS ARE UNCLEAR* ; WHY GAO DID THIS STUDY; WHAT GAO RECOMMENDS ; WHAT GAO FOUND ; ABBREVIATIONS ; BACKGROUND

Evolution of the Legal Requirements of Cargo Preference for Food Aid Roles of Various U.S. Agencies Involved in CPFA ; Voluntary Intermodal Sealift Agreement and Maritime Security Program; Reserve Sealift Fleet; U.S. Mariners ; Strategic Sealift Officer Program ; Food Aid Purchasing and Shipping Process ; Shipping Rates on U.S.- Flag versus Foreign-Flag Vessels ; DOD Determines Sealift Capacity Needs and MARAD Assesses Sufficiency of the Mariner Pool ; CARGO PREFERENCE REQUIREMENTS INCREASE FOOD AID SHIPPING COSTS, ESPECIALLY FOR USDA

Cargo Preference Requirements Increase Total Shipping Costs, but USAID and USDA No Longer Receive Reimbursements to Compensate for the Higher Cost Different Implementation of Geographic Area Leads to Higher Shipping Rates Paid by USDA; Geographic Area Is Undefined in Law, Leading to Differing Agency Implementation ; USDA Shipped a Lower Proportion of Food Aid on Foreign-Flag Vessels than USAID ; Average Shipping Rate Decreased for USAID but Not for USDA after the Changes in the CPFA Requirements ; Agencies Have Not Agreed on Updated Guidance for CPFA

CPFA'S CONTRIBUTION TO SEALIFT CAPACITY IS UNCERTAIN, AND MARAD HAS NOT FULLY CONSIDERED AVAILABLE MARINER SUPPLY Despite Cargo Preference, the Number of Vessels Carrying Food Aid and U.S. Mariners Required to Crew them Has Declined ; DOD Has Met Its Past Sealift Needs without Full Activation of the Reserve Sealift Fleet; The Number of U.S. Mariners Qualified and Available to Serve DOD's Needs under a Full and Prolonged Activation Is Uncertain ; Estimated Number of Mariners Needed ; The Number of Mariners Available Is Uncertain

MARAD Has Not Fully Assessed the Sufficiency of Mariners Available under DOD's Most Serious Scenario

Notes:

Includes index.

Description based on online resource; title from PDF title page (ebrary, viewed September 3, 2016).

ISBN:

1-63484-951-5