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The U.S. FDA Food Safety
    Modernization Act
(For Exporters to the USA)

      Russell K Statman, Esq.
        Executive Director
          Registrar Corp
Food Safety Modernization Act

 Enacted by Congress and signed into law by President
 Barack Obama on January 4, 2011




                                                    11/1/2012
FSMA Amends the Food, Drug & Cosmetic Act




                                      11/1/2012
FDA Food Safety Modernization Act

 Intended to Modernize U.S. Food Safety System,
 including stricter controls on imported food

 Implemented in Phases through January 2016


 Timeline handout provided by Registrar Corp




                                                   11/1/2012
Registration Suspension

 FDA may suspend the registration of food facilities
  (effectively closing them from the U.S. market)
 Registration may be held in suspension until FDA
  determines that no further health consequences exist.
 FDA may require “corrective action plans”




                                                        11/1/2012
New FSMA “User Fees” Effective October 1, 2011

 May be Charged to:
   Importers
   Food Manufacturers
   “U.S. Agents”




                                            11/1/2012
FSMA Reinspection Fees

 May be charged to the facility’s designated “U.S.
  Agent”
 That could be YOU – if you have been designated as
  the “U.S. Agent” by a foreign food facilty’s FDA
  registration




                                                      11/1/2012
United States Agent




                      11/1/2012
United States Agent




                      11/1/2012
11/1/2012
U.S. Agent
 Food facility designates a
  “U.S. Agent” under the
  regulation when they first
  register with FDA
 The U.S. Agent is
  designated in Section 7 of
  the registration form
 Typically, registration and
  designation is performed
  electronically through the
  FDA's FFRM (Food
  Facility Registration
  Module)

                                     11/1/2012
United States Agent

 U.S. Agents have been designated since 2003, and
 foreign companies have not had to update that
 information since the initial designation

 Since 2003, many customs brokers and importers have
 allowed foreign companies to designate them as the
 required “U.S. Agent”




                                                      11/1/2012
FSMA Amends the Food, Drug & Cosmetic
      Act to Impose New Fees




                                  11/1/2012
Latest Developments




                      11/1/2012
Fee Rates
 FDA Hourly Rate for Reinspection &
 Reconditioning:
  $221 per hour, domestic
  $289 per hour, if foreign travel is required




                                                  11/1/2012
Reinspection Fees

 Fee is based on the number of direct hours, including:
   Time spent conducting physical surveillance at the facility
   Whatever components of such an inspection are deemed
    necessary
   Making preparations and arrangements for the reinspection




                                                             11/1/2012
Reinspection Fees

 Also include:
   Traveling
   Preparing any reports
   Analyzing any samples
   Examining any labels if required
   Performing other activities until the facility is in compliance




                                                                 11/1/2012
FSMA Foreign Facility Inspection Schedule

 Double the previous year, minimum of:

                                                     20000                                   19200
      Year       Foreign




                             Number of Inspections
               Inspections
                                                     15000
      2011        600
                                                                                      9600
      2012       1,200                               10000
      2013       2,400                                                         4800
                                                      5000
      2014       4,800                                                  2400
                                                             600 1200
      2015       9,600                                   0
      2016       19,200

                                                                          Year

                                                                                             11/1/2012
Reconditioning Fees (For Products)

 Will be charged where reconditioning is required to
  bring food into compliance
 Fees must be paid by owner of food or
  importer, depending on circumstances
 Fees must be paid at hourly rate ($221/$289)
 Reconditioning fees include:
   Arranging for, conducting and reviewing tests of reconditioned
    product
   Examination of labeling
   All time incurred by FDA in evaluating the reconditioning
    proposal and reconditioned product

                                                                11/1/2012
Prior Notice

 Filers need to indicate whether a food product has been
 refused entry to another country




                                                      11/1/2012
FDA Food Safety Modernization Act

 Record-keeping rules issued February, 2012




                                               11/1/2012
Awaiting Regulations

 Were due January 4, 2012
   Foreign supplier verification program
   Preventative controls for human and animal food
   Produce Safety
   Third Party Auditors




                                                      11/1/2012
Later this year…

 October-December 2012
   Facility Registration and renewal
   Now Biennial (every even-numbered year)




                                              11/1/2012
New FSMA User Fees

 Fees may be charged to:
   Food manufacturers
   Food Owner
   Importers
   “U.S. Agents”




                                   11/1/2012
FSMA Reinspection Fees

 Will be charged for a follow-up reinspection if FDA’s
  initial inspection determines “Official Action Indicated”
  (OAI)
 Facility reinspection billed to the facility’s designated
  “U.S. Agent”




                                                       11/1/2012
Fees Related to Import Alerts (DWPE)

 Will be charged where food is detained by an Import
  Alert (DWPE) and proof is offered to show that
  shipment is not adulterated.
 FDA’s Informal Policy Statements
 Exporters applying for removal from DWPE must pay
  FDA’s hourly charges for evaluating the application
  including the cost of inspecting the foreign facility if
  necessary.



                                                        11/1/2012
Contact Us




144 Research Drive
Hampton, VA
USA 23666

P: +757-224-0177
F: +757-224-0179
E: info@registrarcorp.com
W: www.registrarcorp.com


                            11/1/2012

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U.S. FDA Food Safety Modernization Act (FSMA) Seminar (English)

  • 1. The U.S. FDA Food Safety Modernization Act (For Exporters to the USA) Russell K Statman, Esq. Executive Director Registrar Corp
  • 2. Food Safety Modernization Act  Enacted by Congress and signed into law by President Barack Obama on January 4, 2011 11/1/2012
  • 3. FSMA Amends the Food, Drug & Cosmetic Act 11/1/2012
  • 4. FDA Food Safety Modernization Act  Intended to Modernize U.S. Food Safety System, including stricter controls on imported food  Implemented in Phases through January 2016  Timeline handout provided by Registrar Corp 11/1/2012
  • 5. Registration Suspension  FDA may suspend the registration of food facilities (effectively closing them from the U.S. market)  Registration may be held in suspension until FDA determines that no further health consequences exist.  FDA may require “corrective action plans” 11/1/2012
  • 6. New FSMA “User Fees” Effective October 1, 2011  May be Charged to:  Importers  Food Manufacturers  “U.S. Agents” 11/1/2012
  • 7. FSMA Reinspection Fees  May be charged to the facility’s designated “U.S. Agent”  That could be YOU – if you have been designated as the “U.S. Agent” by a foreign food facilty’s FDA registration 11/1/2012
  • 11. U.S. Agent  Food facility designates a “U.S. Agent” under the regulation when they first register with FDA  The U.S. Agent is designated in Section 7 of the registration form  Typically, registration and designation is performed electronically through the FDA's FFRM (Food Facility Registration Module) 11/1/2012
  • 12. United States Agent  U.S. Agents have been designated since 2003, and foreign companies have not had to update that information since the initial designation  Since 2003, many customs brokers and importers have allowed foreign companies to designate them as the required “U.S. Agent” 11/1/2012
  • 13. FSMA Amends the Food, Drug & Cosmetic Act to Impose New Fees 11/1/2012
  • 14. Latest Developments 11/1/2012
  • 15. Fee Rates  FDA Hourly Rate for Reinspection & Reconditioning:  $221 per hour, domestic  $289 per hour, if foreign travel is required 11/1/2012
  • 16. Reinspection Fees  Fee is based on the number of direct hours, including:  Time spent conducting physical surveillance at the facility  Whatever components of such an inspection are deemed necessary  Making preparations and arrangements for the reinspection 11/1/2012
  • 17. Reinspection Fees  Also include:  Traveling  Preparing any reports  Analyzing any samples  Examining any labels if required  Performing other activities until the facility is in compliance 11/1/2012
  • 18. FSMA Foreign Facility Inspection Schedule  Double the previous year, minimum of: 20000 19200 Year Foreign Number of Inspections Inspections 15000 2011 600 9600 2012 1,200 10000 2013 2,400 4800 5000 2014 4,800 2400 600 1200 2015 9,600 0 2016 19,200 Year 11/1/2012
  • 19. Reconditioning Fees (For Products)  Will be charged where reconditioning is required to bring food into compliance  Fees must be paid by owner of food or importer, depending on circumstances  Fees must be paid at hourly rate ($221/$289)  Reconditioning fees include:  Arranging for, conducting and reviewing tests of reconditioned product  Examination of labeling  All time incurred by FDA in evaluating the reconditioning proposal and reconditioned product 11/1/2012
  • 20. Prior Notice  Filers need to indicate whether a food product has been refused entry to another country 11/1/2012
  • 21. FDA Food Safety Modernization Act  Record-keeping rules issued February, 2012 11/1/2012
  • 22. Awaiting Regulations  Were due January 4, 2012  Foreign supplier verification program  Preventative controls for human and animal food  Produce Safety  Third Party Auditors 11/1/2012
  • 23. Later this year…  October-December 2012  Facility Registration and renewal  Now Biennial (every even-numbered year) 11/1/2012
  • 24. New FSMA User Fees  Fees may be charged to:  Food manufacturers  Food Owner  Importers  “U.S. Agents” 11/1/2012
  • 25. FSMA Reinspection Fees  Will be charged for a follow-up reinspection if FDA’s initial inspection determines “Official Action Indicated” (OAI)  Facility reinspection billed to the facility’s designated “U.S. Agent” 11/1/2012
  • 26. Fees Related to Import Alerts (DWPE)  Will be charged where food is detained by an Import Alert (DWPE) and proof is offered to show that shipment is not adulterated.  FDA’s Informal Policy Statements  Exporters applying for removal from DWPE must pay FDA’s hourly charges for evaluating the application including the cost of inspecting the foreign facility if necessary. 11/1/2012
  • 27. Contact Us 144 Research Drive Hampton, VA USA 23666 P: +757-224-0177 F: +757-224-0179 E: info@registrarcorp.com W: www.registrarcorp.com 11/1/2012