The U.S. Customs and Border Protection (CBP) announced the implementation of a new Broker-Known Importer Program (BKIP). BKIP is a completely voluntary program designed for regular importers which shows CBP your level of Informed Compliance & Reasonable Care being exercised in relation to your import activities. Developed by the National Customs Brokers and Forwarders Association of America (NCBFAA) as an alternative for importers who cannot qualify for ISA or TRUSTED TRADER, there is no application form approval required to participate.
The process involves going through a questionnaire that covers various import related areas such as but not limited to classification, value, other government agency requirements, commissions, free trade agreements and more. Only licensed Customs Brokerage Firms can complete the process as it is deemed to be “customs business” by regulation. Once completed the broker can flag your transactions as BKIP; transmit them to CBP; and goes into the cargo targeting scoring profile. There are other programs available through CBP if you can qualify and if they are accepting new participants such as:
- Customs-Trade Partnership Against Terrorism (C-TPAT), an ocean container supply chain security program
- Importer Self Assessment Program (ISA), a voluntary approach to trade compliance
- TRUSTED TRADER program, which encompasses C-TPAT & ISA rolled into one
BKIP should not be a onetime event and is a great tool for a conversation with your broker that enables both sides to ask questions and learn. You should review this on a regular basis to keep it up to date. BKIP benefits include:
- Enhanced communication between brokers and importers by creating a framework to discuss the importer’s trade activities in the context of import regulations
- Increased compliance understanding and improved entry accuracy, while brokers may discover additional business opportunities
- Improved cargo risk segmentation by CBP and targeting at the time of arrival
Want to be one of the first to be BKIP certified? OCEANAIR is rolling this out to our clients. Contact your OCEANAIR account manager to schedule an initial meeting with a member of our compliance team and your account manager to discuss this new program and how to get it rolling.