January 2006

PROPER DEFINITION OF PRODUCT SO IT CAN BE CONSIDERED AS A "RECYCLABLE OR WASTE MATERIAL" ITEM.

Products which can properly be classified or described as a "recyclable" are generally given a lower classification, or special rate consideration apparently an effort on the part of the carriers to be sensitive to environmental implications, or because of past requirements of the ICC which forced this differentiation. Regardless of the reasons, the fact is that such considerations exist and that the shipper should be aware of this and appropriately takes advantage whenever possible. Finally, there is a specific exemption, which totally exempts recyclables from the requirement to pay so called undercharges from auditors for bankrupt carriers. The point to consider is whether negotiations could include special consideration for a product since it contributes to the re-cycling needs and is generally a relatively low valued product.  The National Motor Freight Classification has a special alphabetical listing for “WASTE MATERIALS GROUP” under item # 194120 that covers a very substantial listing of just such descriptions. It goes from Apple Pomace to Waste packing and it has some interesting conditions that are unique to these sorts of products. There are also differentiations relating to value and. or density that must be adhered to.  But generally speaking, the proper utilization of these types of classifications when appropriately and legally establishes lower ratings that results in improved costs as compared to the same products when shipped in their original pristine condition.  The prime responsible party should be the   “Team List C” with the specific assignment to Logistics.
 

 

 

 

 

 


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