Date: Friday, December 5, 2003

Re:	New International Standard for Wood Packing Material

Dear NASA Member:

There has been a lot of concern over implementation of the new international standard for Wood Packing Material (WPM) and we wanted to take the opportunity to explain what is currently happening. This standard requires that all WPM (both hardwood and softwood) be either fumigated or heat treated to certain specifications. WPM that has been properly treated must bear the international mark to show that it does in fact meet the new standard.

The US, Canada and Mexico will implement the new wood packing standard at the same time. Despite the original plans to implement on January 2, 2004, all three countries have agreed to phase in enforcement over six months. This means that starting in January shippers using non-certified WPM will receive a notice indicating that compliance is mandatory as of July 2004. There will not, however, be any penalties or enforcement actions taken during this first phase of implementation.

The European Union's current SWPM program is very similar to the new international standard. The EU will likely implement the new standard sometime in mid-2004, probably in line with the enforcement date of the US. Australia is also working to pass regulations to implement the standard sometime in late 2004.

Shippers should take note that China has a very different SWPM policy which requires the use of certificates. While the US is pressuring China to adopt the new standard, for the foreseeable future exporters will have to continue supplying the requisite SWPM certifications.

In addition, according to the National Wooden Pallet and Container Association (NWPCA), which is charged with implementing the fumigation requirements under the new standard (the American Lumber Standards Committee or ALSC is charged with the heat treatment aspect of the program), no WPM is currently being certified with the international mark. They confirm, however, that they are prepared to meet the new standard and certify compliant wood packing material. The only reason the mark is not being used right now is due to unresolved trademark issues. These will obviously have to be resolved before the enforcement phase begins in July 2004.

Current wood packing material already in circulation can be fumigated easily to meet the standard. In fact, certain ports will have on-site fumigation experts which can treat shipments as they exit or enter the country. The additional fees for this service have not been announced.

In conclusion, shipments entering the US, Canada or Mexico won't be stopped at the borders in January 2004 due to noncompliance with the new standard. The North American governments are aware that the international mark isn't being used yet because of trademark issues, and won't require use of the mark until these issues are resolved. We will keep you posted as further developments occur.

Thank you for your continued support of the North American Shippers Association.

Best Regards,
The North American Shippers Association

Judith A. Mannix
Administrator