HOW TO IMPORT TO CANADA

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HOW TO IMPORT TO CANADA

• Jose Zlatar

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WHAT CAN YOU IMPORT ?

• WHAT CAN YOU IMPORT ?????
• Basically there are 2 types of goods you can
  import into CANADA
• NON REGULATED GOOD. Any product that does not
  need an special permit to be imported
• REGULATED GOODS. Products subjected to import
  controls.

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• WHAT ARE REGULATED GOODS ?
• All goods listed as REGULATED by the EXPORTS AND
  IMPORTS CONTROL BUREAU (EICB)
• The EICB administers the EXPORTS AND IMPORTS
  PERMITS ACT enacted since 1947 to protect
  vulnerable industries and regulate trade.
• The EICB is part of the Ministry of Foreign
  Affairs and International Trade.

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REGULATED GOODS

• REGULATED GOODS
• Import Controlled
• Textiles and Clothing check if needs country
  quota.
• Agricultural products POULTRY, EGGS, DAIRY
  subject to quotas.
• Steel Products
• Military equipment, weapons and munitions.

Can I bring a Pollito a la brasa from Peru??
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REGULATED GOODS

• REGULATED GOODS
• Export Controlled
• Sugar, Wheat, Peanut butter
• Textiles and Clothing
• Military, dual use goods
• Nuclear energy materials and technology
• Chemical or Biological Goods
• Softwood lumber, unprocessed wood
• Goods of US origin
• All products going to Iran, North Korea and
  Myanmar and any other country listed on the
  Control List.

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• HOW TO IMPORT REGULATED GOODS
• OBTAIN AN IMPORT PERMIT
• Register with the Exports and Imports Control
  Bureau
• Apply for an Import Permit
• Buy Import Quota if required from a quota holder
  ( it is very difficult to obtain a quota in
  Canada)

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• IMPORTING NON REGULATED GOODS WHO YOU WILL BE
  DEALING WITH
• Canada Customs and Revenue Agency, to obtain your
  Business Number.
• Canada Border Services Agency for all import
  documentation and quick release of products.

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GOODS YOU CAN IMPORT

• GOODS YOU CAN IMPORT
• Commodities bulk, wholesale or industrial
  packaging
• Consumer Products Wholesale or Retail packaging
• Equipment and Machinery

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COMMODITIES

• COMMODITIES
• Can be Food Products, Industrial raw materials,
  usually packed in industrial size packaging.
• The only packaging requirement is a clear label
  on Master Case, Tote, Bag or Drum showing the
  product name, its country of origin, weight per
  package, producing plant and registration number
  IN BOTH ENGLISH AND FRENCH

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CONSUMER GOODS

• CONSUMER GOODS
• Packaging size must be approved for import into
  Canada.
• Clear labeling in BOTH ENGLISH AND FRENCH
• BAR CODE as per import requirements in size and
  location
• Label has to be approved before entering the
  country

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• EQUIPMENT AND MACHINERY
• They have to meet safety standards set up by
  Industry Canada.
• Check import duties, if compete with Canadian
  production might be subject to higher duties.
• Operation must meet Canadian standards. It has to
  be approved by ESA (Electrical Safety Authority)
  locally before leaving the port of entry if
  machinery doesnt have the CSA stamp.

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IMPORT PROCESS

• IMPORT PROCESS
• Pre-import
• Import
• Post-import activities

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1. Pre-import

• Pre-import
• Basic knowledge needed for international trading
• INCOTERMS. You have to have a good command of
  your Incoterms. Know your purchase and selling
  terms.
• SUPPLIER. Who is your supplier and where is
  located, your purchase and payment terms. Can
  your supplier provide all needed import docs??
• LOGISTICS. Deep understanding of all logistics
  involved in the exporting process.

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1. Pre-import

• Pre-import
• 4.DOCUMENTATION. Knowledge of all documentation
  and legal requirements at your exporting port and
  at your importing port. Be sure you have all
  import or export permits.

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• 1.1. INCOTERMS
• What are INCOTERMS
• Terms internationally accepted that provide rules
  for trading.
• International Commercial Terms (INCOTERMS)
• Buying or selling INFORMATION based on
• Departure point
• 2. Main Carriage Unpaid
• 3. Main Carriage Paid
• 4. Arrival or Destination Point

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• Departure point
• EXW (ex works)
• 2. Main Carriage Unpaid
• FCA (free carrier)
• FAS (free alongside ship)
• FOB (free on board)
• 3. Main Carriage Paid
• CFR (cost and freight)
• CIF (cost, insurance and freight)
• CPT (carriage paid to)
• CIP (carriage insurance paid to)
• Arrival or Destination Port
• DAP (delivered at place)
• DAT (delivered at terminal)
• DDP (delivered duty paid)

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1.2. SUPPLIER

• 1.2. SUPPLIER
• Who is your supplier? Where is located?
• What are your purchase terms? EXW, FOB, CFR, CIF
  ?
• Clarify all technical specifications at
  purchasing quality, packaging, quantity.
• After a Purchase Order is issued, all amendments
  will cost you money.
• Specify Payment Terms COD, CAD, open terms
  (7,15,30,60, 90 days?), L/C sight or terms?
  Partial shipments allowed? etc

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1.3. LOGISTICS

• 1.3. LOGISTICS
• All transportation, storage, loading and
  unloading activities involved from the point in
  which the product is received from the supplier
  to the point in which the product is appropriated
  by the buyer.
• Main controllable cost, component of your cost
  structure.
• Important to coordinate shipping and arrival
  dates with market situation and payment terms.
• Main logistics components before the import is
  done involves
• Truck at arrival port to move product to
• de-stuffing facility
• PD of marine container and de-stuffing facility
  cost.
• Lumpers / laborers needed to unload the container

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1.4. DOCUMENTATION

• 1.4.DOCUMENTATION The main documents needed in
  most cases are
• BILL OF LADING. Showing you as the consignee or
  duly endorsed, all 3 originals to secure
  ownership. Your carrier has to provide the CBSA
  with the Cargo control Document.
• 2 copies of the Commercial Invoice
• - 2 copies of your B3 import declaration
• Packing List with product description.
• Certificate of origin
• Government Issue certificate
• If animal product a zoo sanitary certificate
• If vegetable product a Phytosanitary certificate.
• If machinery you need a CSA stamp on the machine
  and a product description to have an accurate
  tariff.

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2. IMPORTING

• 2. IMPORTING
• If all previous issues before loading the
  container are covered, the Importing process
  comes down to the following issues
• IMPORT LOGISTICS. Shipping cost from the delivery
  port to your de-stuffing facility.
• 2. DOCUMENTATION. As required at exporting
  and importing.
• 3. INSURANCE. Be sure your imported products
  are arriving in good conditions, if not do you
  have a damage insurance ?

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2.3. IMPORT DUTIES

• 2.3. IMPORT DUTIES
• These are the IMPORT TAXES
• you have to pay for Importing
• Products into Canada.
• As a norm, if it is not produced in Canada then
  is duty free avocados, oranges, camels, etc.
  You HAVE to consult a Custom Broker to determine
  the duties you have to pay .

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2.3. INSURANCE

• 2.3. INSURANCE EXTREMELY IMPORTANT when
  Importing.
• You dont want to find a container full of
  damaged goods after you paid for it.

Or stones instead of product !!!
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3. POST IMPORT ACTIVITIES

• 3. POST IMPORT ACTIVITIES
• An import operation is not finish until you are
  in full control of the imported goods.
• Be ready for import problems such us
• Exporter cant meet shipping time frame (you
  dont want Christmas products in February )
• - Market jumps up and exporter wants to cancel
  the order or increase price to fulfill contract.
• - Goods do not arrived in good conditions.

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3. POST IMPORT ACTIVITIES

• 3. POST IMPORT ACTIVITIES
• Your best supplier is one that always ships good
  products in time, always
• Pay your supplier as per the agreed terms.
• Be sure you are buying the right quality and
  quantity
• Always look for an alternative supplier if you
  have to honor a sale contract with the imported
  product. (always have a plan B)

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CANADA PERU FREE TRADE AGREEMENT

• 1) Market access Better market access through
  elimination of import tariffs.
• 2) Service Sector Better market access for
  service providers
• 3) Investment Promotion of two-way investment
  between Canada and Peru
• 4) Government Procurement Better access to
  Perus government procurement contracts by
  Canadian companies

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CANADA PERU FREE TRADE AGREEMENT

• Peru already eliminated tariffs on 95  of
  current Canadian exports, with most remaining
  tariffs to be eliminated over a five- to ten-year
  period.
• Products that have a duty-free access to Peru
  include wheat, barley, lentils, peas and now all
  beef cuts (including bone in), all paper
  products, machinery and equipment.
• Canada immediately eliminated 97 of its tariffs
  on Peruvian imports. The remainder 3 is being
  eliminated over a remainder of five years period.

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• Be careful
• Extremely careful..
• With Doña Coca
• (be sure who is your supplier)

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• Canada Laws
• Customs Act
• Customs Tariff
• The excise Tax Act
• Special Import Measures Act
• CCRA regulation and policies
• Legislation Administer by the CCRA on behalf of
  other government departments in relates to
  importation

CCRA Canada Customs and Revenue Agency
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• Not everybody knows that
• Mail or postal
• Low-value shipments
• Moving back to Canada
• Regular Commercial

1,600 or less (menos papeleo)
20 or less
Casual goods
1,600 or more
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• Importing Commercial Goods into Canada
• BASIC DOCUMENTATION
• Bill of Lading
• Invoice
• Certificate of Origin
• Sanitary Certificates or industry certifications
  if needed
• Form B3, provided by Customs.

Es facil b/l, factura, B3 mas otros docs y ya!
pero en orden!!
AWB
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• Good Luck with your Importing Business
• Jose Zlatar MBA
• GREAT LAKES FOOD TRADING INC.
• Ph. 647-722-2450
• Fx. 647-722-2451