2009/2010 Domestic and Export Controls Seminars

(CSCB)

The Export Controls Division of Foreign Affairs and International Trade Canada, in cooperation with the Controlled Goods Directorate of Public Works and Governments Services Canada, is organizing a series of Domestic and Export Controls Seminars in the following cities:

Ottawa - November 24, 2009
Montreal- Dec (TBD) 2009
Halifax - January 27, 2010
Calgary - February 23, 2010
Vancouver - March 24, 2010

These seminars will review the responsibilities of Canadian industry in safeguarding military, strategic, and sensitive commercial goods and technology. Our presentation will cover the following issues:

- International security and trade
- Understanding the Export Control List
- Applying for an export permit using Export Controls Online (EXCOL)
- Understanding the application review process
- Common errors made by exporters

If your company is active in any of the following sectors, you should consider participation: defence, security, nuclear, aerospace and space, information and communication technology, and chemical or biological technology. The seminars will be aimed at individuals in the following roles:
- Customs or export process specialists
- International marketing managers
- Compliance officers
- Legal officers
- Designated Officers

Registration details are available on the EICS website here.

C-TPAT Re-Validation Preparation – November 17

(NCBFAA)

US Customs and Border Protection are obligated to re-validate C-TPAT members at least once every three years. Many companies give a huge sigh of relief after their initial validation, and then seem to put the C-TPAT program on the “back burner”. Before you know it, it is time for re-validation. CBP calls to advise that they will be conducting a re-validation. Your boss, of course, comes to you to begin the miracle process of being prepared for the re-validation. You have no idea where to start. That may even be why you decided to attend this webinar.

After this presentation you will be armed with the necessary information to prepare for this visit, as well as being prepared to discuss the process with senior management. So, hold on tight as we take a journey through the process and preparation of re-validating your C-TPAT security profile. Here’s to border security…and away we go!

Please join us for:

C-TPAT Re-Validation Preparation
Offered by: NCBFAA Educational Institute
Tuesday, November 17, 2009 Noon - 1:30 p.m. ET
Cost: $50.00 per member participant$75.00 per non-member participant1.5
CCS points for attendance
Presenter: Randi Keenan, Senior Consultant, ARI

To participate, simply go to http://www.ncbfaa.org and select “C-TPAT Re-Validation Preparation” under “Upcoming Events.” Members: be sure to log in first to take advantage of the lower member rate.

Thank you, and we look forward to your participation!

Cynthia D. (Jerome) Allen, LCB, CCS
NCBFAA Educational Institute Director
1200 18th Street, NW, #901 Washington, DC 20036
Office Phone: (202) 466-0222 • Cell Phone: (313) 330-8630

WTO Publishes Latest Annual Compilation of International Trade Statistics

(WTO)

The 2009 edition of the WTO’s International Trade Statistics, a comprehensive overview of world trade up to 2008, was published in electronic format on 28 October 2009 and will be available in print in November.

International Trade Statistics 2009 includes the details of merchandise trade by product and trade in commercial services by category. Each chapter is introduced by a highlights section that identifies the most salient trends in the data, including the first quarter of 2009, and illustrates them with numerous charts and maps. There is also a methodological chapter (Chapter IV Metadata) that explains essential concepts and definitions used in compiling the statistics, and an appendix with detailed data on trade by region up to 2008.

All data used in the publication, as well as additional charts not included in the book, can be downloaded from the WTO web site at http://stat.wto.org. With these additions, International Trade Statistics 2009 serves as an invaluable reference for researchers, policy makers and anyone interested in international trade.

This publication and its data is available free on the WTO web site in the following forms:

• charts and tables in Excel format
• chapter highlights in pdf format
• statistics in a searchable database

Printed versions of this publication will be available in English, French and Spanish and can be ordered from the online bookshop. PDF versions of the entire report will also be posted on the WTO web site.

Proposed Remission of Customs Duties on Future Importations of Certain Types of Vessels…

(Department of Finance)

The Government published a notice in the October 24, 2009 edition of Canada Gazette Part I regarding the proposed remission of customs duties on future importations of certain types of vessels of a length of 129 metres or more. The Canada Gazette notice is available at the hyperlink below.

Comments should be submitted by December 11, 2009, in the format described in the following notice.

Webinar: Practical Tax Advice for Canadian Companies Expanding into the United States – November 6

(International Trade Canada)

Is your business looking to expand into the U.S.? Then, get the edge on the U.S. tax man!

Today, international commerce is a key driver to the business growth of many companies. For many Canadian companies, the first step towards an increased international presence is to expand operations into the U.S. However, the wrong U.S. tax structure can put your company at a real disadvantage.

This webinar will show Canadian companies how to implement a successful global tax strategy while also keeping the Internal Revenue Service happy!

Why should you participate? You will:

• Learn more about the Federal and State corporate tax systems for Canadian corporations and discover how to maximize your profits in the U.S.;

• Find out more about transfer pricing, public law 86-272, etc.;

• Get the information you need about U.S. Government incentives and how to build a successful tax strategy for your company.

Date: Friday, November 6, 2009
Time: 1:00 to 2:00 p.m. EDT
Cost: Free
Please register by November 4, 2009, here.

Ontario and British Columbia HST

(CSCB)

The Canada Revenue Agency (CRA) has published GST/HST Notice 247. This notice provides additional information on the collection of HST in Ontario and British Columbia, scheduled to come into effect on July 1, 2010.

Pages 6 and 7 of this notice include information on imported goods and services, and a lengthy question and answer section is included at the end of the notice.

In particular, it should be noted that the provincial part of the HST generally applies to non-commercial goods, that is, it is generally collected on casual goods only. This is the same practice as in the three provinces that currently collect HST.

D7-2-3 Revised: Obsolete or Surplus Goods

(CBSA)

This memorandum has been revised in accordance with the Government of Canada’s Paper Burden Reduction Initiative. This memorandum supersedes and replaces Memorandum D7-2-3 dated May 31, 1999.

In accordance with the above, the following changes were made:

a. revisions to include the new Canada Border Services Agency (CBSA) title, and updates to policy and procedures.

b. Paragraph 8, the K32-1, Drawback Claim, has been deleted from the listing of official forms and the requirement to file a K32, Drawback Claim, in duplicate has been removed.

c. Paragraph 10(b), the requirement to provide Form K32A, Certificate of Importation, Sale or Transfer, in duplicate has been removed.

d. Appendix A, Refund of Duties on Obsolete or Surplus Goods Regulations, has been replaced by paragraph 30.

e. Appendix B, K32, Drawback Claim Form, has been replaced by paragraph 31.

f. Appendix C, List of offices, has been replaced by regional CBSA, Trade Compliance Division (TCD) offices in paragraph 32.

D7-3-2 Revised: Exported Motor Vehicles Drawback

(CBSA)

This memorandum has been revised in accordance with the Government of Canada’s Paper Burden Reduction Initiative. This memorandum supersedes and replaces D7-3-2, dated January 1, 1991.

In accordance with the above, the following changes where made:

a. Revisions include updates to legislative references, D memorandum, policy and procedures and reflect the new name of the Canada Border Services Agency (CBSA).

b. Paragraph 9, the K32-1, Drawback Claim, has been deleted from the listing of official forms and the requirement to file a K32, Drawback Claim, in duplicate has been removed.

c. The following documentation is no longer required to be submitted with the claim; copies of any invoices, a customs certified copy of Form E15, Certificate of Destruction/Exportation and
a list in triplicate of the import accounting documents.

d. Where Form K32A, Certificate of Importation, Sale or Transfer, or Form K32B, Drawback Certificate for Exportation, waivers are required to be presented, the requirement for presentation in duplicate has been removed.

e. The Exported Motor Vehicles Drawback Regulations has been replaced by paragraph 21.

f. Paragraph 22 provides a reference to Form K32, Drawback Claim, Form K32A, Certificate of Importation, Sale or Transfer and Form K32B, Drawback Certificate of Sale for Exportation.

g. The Appendix showing a listing of drawback offices has been replaced by regional CBSA, Trade Compliance Division (TCD) offices in paragraph 23.

CFIA Fish Import Notification Form

(CFIA)

Please note that the following has been updated on the CFIA web site: "Instructions to Complete the Fish Import Notification Form".

How to Request Importer Confidentiality when Importing via U.S. Ports

(CIFFA eBulletin)

CIFFA recently learned ‘how companies can request importer confidentiality’ from one of the tradeshow participants at the September FIATA World Congress in Geneva.

For goods arriving in the U.S.A. via marine ports, importer data and potentially confidential commercial information is taken from the manifest data and made public through reports such as the Piers Report. If Canadian cargo is FROB (Freight Remaining on Board), or in a container arriving in North America via a U.S. port, the Canadian commercial data is also publicly available through these reports. If Canadian importers wish to remain private there is a means to so – they can request importer confidentiality.

Importer names on entry documents are confidential and U.S. Customs and Border Protection (CBP) does not disclose names of importers to the public. The privacy statute, 19 CFR 103.31 (d), however, allows the media to collect manifest data at every U.S. port of entry. Reporters collect and publish names of importers from vessel manifest data unless an importer/shipper requests confidentiality.

Importers can request confidentiality for 2 years by writing the Privacy Branch, 799 Ninth St., N.W., Fifth Floor Mint Annex, Washington, DC 20229. After 2 years, the request can be renewed. U.S. CBP is working on an electronic method for submitting this request, but it is not high on the priority list for CBP.

Memorandum D10-14-29: Tariff Classification of Gloves

(CBSA)

1. This memorandum explains the Canada Border Services Agency’s administrative policy regarding the tariff classification of gloves.

2. This memorandum has been updated from its original publication to reflect changes in the Customs Tariff legislation, and the Harmonized System Explanatory Notes. In addition, changes have been made to clarify the administrative policy outlined in some paragraphs of the memorandum.

International Trade in Culture Goods, 2008

(Statistics Canada)

Data on culture goods trade for 2008 are now available for exports and imports by type of goods and culture framework category here.

The Labelling and Composition of Food Containing Probiotic Microorganisms

(CFIA)

Health Canada released its guidance document The Use of Probiotic Microorganisms in Food on April 22, 2009. This document provides guidance on the use of health claims for probiotics, as well as guidance on the safety, quality (stability), and labelling requirements for foods containing probiotic microorganisms.

To assist industry in the application of this guidance document, the Canadian Food Inspection Agency (CFIA) has updated Chapter 8, Health Claims , in the Guide to Food Labelling and Advertising (Guide) to reflect Health Canada’s new guidance on probiotics. The updated Guide also includes a list of probiotic claims that are considered acceptable on food, without the need for further substantiation by the manufacturer or importer, along with conditions for their use.

It is the responsibility of all manufacturers and importers to ensure that their products comply with all relevant Canadian legislation. Labels, advertisements and web sites are expected to be in compliance with this new guidance on probiotics within 6 months of the date of publication of this letter. Products which do not meet the requirements at that time may be subject to enforcement action by the CFIA. However, immediate correction is expected in the case of food products containing probiotics that are represented for therapeutic use (i.e. carrying drug claims) of the label, advertisement or web site, wherever such a claim appears.

CFIA National Import Service Center Announcement

(CFIA)

Fact Sheet:

The Canadian Food Inspection Agency (CFIA) is modernizing its import control processes by consolidating its three import service centres (ISC) in Montreal, Toronto and Vancouver into one National Import Service Centre (NISC), to be located in Toronto.

The NISC will be officially launched on October 5, 2009 and is expected to be fully functional by July 15, 2010. In the interim, you will continue to conduct business with the existing ISC in Montreal Toronto and Vancouver until further notice.

The CFIA will continue to provide front-line screening to ensure that imported products meet Canadian requirements. Regulatory compliance and the safety of food and agricultural commodities imported into Canada are a priority for the Canadian Food Inspection Agency.

The creation of a National Import Service Centre will provide the following enhanced services:

• A single window for issues related to import transactions and documentation• Increased bilingual service to 24 hours, seven days a week from the existing 20 hours, seven days a week

• Increased consistency in the review of import documentation and verification of import admissibility

• Improved alignment with the services delivered by the Canada Border Services Agency (CBSA)

he CFIA is committed to maintaining established service standards with minimal disruption to clients during this transition and will be providing updates to stakeholders as work progresses.

Addendum:

In order to avoid any confusion, I would like to clarify a couple of points from our Fact Sheet.

1) The national Import Service Centre will not be offering 24 hour - 7 day a week service until July, 2010. 24 / 7 service will require major changes to our operations and we want to establish a fully-functioning Centre with sufficient staff and resources to ensure a smooth transition and to avoid any problems which may be encountered with an extended service.

2) Although the National Import Service Centre will be officially launched on October 5, 2009, it will not be fully functional until July, 2010. Until that time the existing Import Service Centres in Montreal and Vancouver will continue to operate. Until their closure (by July, 2010) you should continue to deal with whatever Import Service Centre you would have normally dealt with.

I hope that this serves to clarify any questions you may have had. If not please do not hesitate to contact me.

Michel LaBrosseDirector,
Import Control Division
Phone: 613.773.5325 • Fax: 613.773-5389
michel.labrosse@inspection.gc.ca