U.S. seafood supply chain allowed to resume distribution of fish to avoid food shortages and save jobs
Kloosterboer International Forwarding LLC (KIF) and Alaska Reefer Management LLC (ARM) received a preliminary injunction to stop a U.S. Customs and Border Protection (CBP) enforcement action that threatened the ability to supply Alaska seafood to U.S. customers and consumers via the Bayside route, in an order issued today by U.S. District Court Judge for the District of Alaska, Sharon L. Gleason.
The preliminary injunction covers the 26 million pounds of seafood previously shipped from Alaska and stalled just over the border in Bayside, Canada as well as future shipments from Alaska through this route, until the broader dispute with CBP is resolved in court.
Specifically, the Court’s Order precludes the Government from “ever issuing and enforcing any new Notices of Penalty for alleged violations of the Jones Act relating to shipments from Alaska to U.S. destinations through Bayside via the BCR Route [Bayside Canadian Rail] commenced or completed at any time from the date of this order until the date of the final judgment in this action, and regardless of the outcome of the action, on Plaintiff KIF and/or any other company or person in the chain of supply, transportation, and distribution of frozen seafood products from Alaska to U.S. destinations through Bayside, via the BCR Route, including any such products that are in ocean transit or in cold storage facilities in Alaska or Bayside.”
“We are very appreciative of the Court’s ruling,” said Per Brautaset, President of ARM. “Today’s order will allow us to immediately resume distributing Alaska seafood from the cold storage facility in Bayside, Canada without the threat of further Customs fines. This will help to resolve shortages of frozen seafood that have already impacted food processors and their employees.”
“We were forced to halt shipping over 50 days ago. As a result, 26 million pounds of Alaska produced seafood products remain in the Bayside cold storage, unable to reach U.S. seafood manufacturers at a time when the supply chain is severely strained,” said Jennifer Adamski, Director of Logistics & Operations for KIF. “It will require an all-out effort to deliver the stalled Alaska Seafood to the U.S. producers as quickly as possible.”
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