Tuesday, May 29, 2012

Trading Cloth for Humans?


I recently had the pleasure of sitting down with author, Catherine McKinley, where we found ourselves talking about cloth and trade.

After explaining my research on the AGOA (African Growth and Opportunity Act) trade agreement to her and my focus of its impact on African economies, in particular vis-à-vis the textiles and apparel sector, she then began sharing with me the importance of cloth in African culture as well as in the history of trade.

Part of this discussion included her sharing with me that during the time of the slave trade, her research revealed that cloth had been traded for humans in quantities as small as two (2) bolts of fabric. 

I cringe at the thought of what the duty rate in the tariff would have been on the life of a human, however, with the US abolishing the trans-atlantic slave trade just a handful of years after the first tariffs came into being, I have been unable to locate any data to share here.

In her most recent book, “Indigo,” which came out last year, Catherine discusses this valuable dye and describes its historic significance.  The book has been described by Amazon.com as:

"For almost five millennia, indigo - a blue pigment obtained from the small green leaf of a parasitic shrub - has been at the centre of turbulent human encounters, prized by slave traders, religious figures and the fashion world. Indigo is the story of this precious dye and its ancient heritage: its relationship to slavery as the 'hidden half' of the transatlantic slave trade, its profound influence on fashion, and its spiritual significance, which is little recognized but no less alive today. It is a richly told story, brimming with electrifying tales of those who shaped the course of colonial history and world economy. But this is also the story of a personal quest: Catherine McKinley's ancestors include a clan of Scots who wore indigo tartan, several generations of Jewish 'rag traders' and Massachusetts textile factory owners, and African slaves who were traded along the same Saharan routes as indigo, where a length of blue cotton could purchase human life. Her journey takes her to nine West African countries and is resplendent with powerful lessons of heritage and history."

For more information on how to obtain your own copy of this book, click here.  I'm looking forward to reading my copy!

Questions/comments?  Post below or email me at clark.deanna@gmail.com


Monday, May 21, 2012

Africa Business and Trade


I had a rare opportunity to participate in a focus group recently with individuals familiar with doing business in Africa both from a US and foreign perspective.

Evident throughout the discussion was that trade with Africa is not without its frustrations.  Also apparent, however, was its great potential for the return on investment there.

Regarding the first point, from physical infrastructure issues to differences in cultural attitudes with respect to work ethic, setbacks to doing cost-effective business are varied and numerous.  Sourcing, quality control, viable transportation to carry cargoes to available ports, and high costs of vessel carriage were also issues raised by participants.

It should be noted however, that these variables change depending on what actual country you are doing business in.  Viable transportation out of a landlocked country for example, would not necessarily be an issue if you are sourcing and exporting from a port city.
There are however, real prospects for growth with profit potential in Africa being better than in other countries as is often the case with emerging markets.

More specifically to textiles and apparel, as pointed out by one participant, Africa has the greatest quantities of fallow land in the world, and has great potential for natural fibers like cotton.

My focus with business in Africa is with the textiles and apparel sectors as it relates to trade and importing into the US.  I have therefore, had the opportunity to speak publicly about the AGOA (African Growth and Opportunity Act) Agreement and plan to attend a conference next month in Washington DC on it.

It is called the 11th Civil Society Organization Session of US-Africa Trade and Economic Cooperation Forum and is hosted by the AGOA Civil Society Network.  For more information about the event, click here.

Questions/comments?  Post below or email me at clark.deanna@gmail.com




Friday, May 18, 2012

Responsible Supervision Over Employees of Customs Brokers



The Customs Brokers regulations under 19 CFR §111.28 provides for the exercise of responsible supervision by brokers over the transaction of customs business within such business entity or sole proprietorship.

Under the statute, 19 USC §1641(b)(4), responsible supervision and control means that degree of supervision and control necessary to ensure the proper transaction of the customs business of a broker, including actions necessary to ensure that an employee of a broker provides substantially the same quality of service in handling customs transactions that the broker is required to provide.

Factors US Customs looks at in order to gauge whether or not responsible supervision and control had been exercised by a broker lays in its evaluation of certain factors including:

1.      The training required of employees of the broker;

2.      the issuance of written instructions and guidelines to employees of the broker;

3.      the volume and type of business of the broker;

4.      the reject rate for the various customs transactions;

5.      the maintenance of current editions of the Customs Regulations,  the Harmonized Tariff Schedule of the United States, and Customs issuances;

6.      the availability of an individually licensed broker for necessary consultation with employees of the broker;

7.      the frequency of supervisory visits of an individually licensed broker to another office of the broker that does not have a resident individually licensed broker;

8.      the frequency of audits and reviews by an individually licensed broker of the customs transactions handled by employees of the broker;

9.      the extent to which the individually licensed broker who qualifies the district permit is involved in the operation of the brokerage; and

10.   any circumstance which indicates that an individually licensed broker has a real interest in the operations of a broker.

These factors are required to be considered by US Customs when imposing a monetary penalty upon a broker for a lack of responsible supervision and control. [US v. UPS, 686 F. Supp.2d 1337 (2010)]

Therefore, it would be prudent to ensure that oversight of employees with respect to these factors remains high.

Questions/comments?  Post below or email me at clark.deanna@gmail.com





Monday, May 14, 2012

World Trade Week Networking Event - May 15th, 6 - 8 PM

Come out and join me tomorrow night at FORUM BAR near New York City's Union Square!


The NY Chapter of the Organization of Women in Interational Trade is hosting a FREE event at Forum Bar with complimentary hors d'oeuvres along with a cash bar.  While women are a majority of members of the organization, men are always invited and welcome to attend our events!


Every year, the President of the United States declares the third full week of May as World Trade Week.


Trade organizations, businesses and other stakeholders come together both nationally and locally to promote and facilitate international trade in the U.S. economy. 


The New York City tri-state region’s trade and transportation community celebrates World Trade Week by offering a full agenda of educational seminars, global business networking events and the Awards Breakfast that recognizes the exemplary achievements by practitioners in the field.


For more information about the event, go to www.owitny.org.


Forum is at 127 4th Avenue (btw. 12th and 13th streets) - conveniently located one block from Union Square


Hope to see you there!