Clearit.ca's Blog on Customs Brokerage and News Updates
Each and every year the international trade markets change. 2016 will certainly be no different. Canadian businesses can expect a whirlwind of changes if they import or export goods. These developments cover a wide range of topics and years of implementation and negotiation. To ensure your importing or exporting business continues to run smoothly, you’ll want to educate yourself on the forthcoming changes.
Here are seven major international trade developments Canadian businesses must account for:
- CARM: The Canada Border Services Project (CBSA) Assessment and Revenue Management Project (CARM) is a huge project that intends to change the whole way businesses interact with the CBSA. CRAM will change how the CBSA manages, reports, assesses, and collects information about international business in Canada. The full CARM implementation process will take until 2020.
- CETA: The Comprehensive Economic and Trade Agreement (CETA) should be in full force starting in 2016. This trade agreement between Canada and the European Union may be the most ambitious trade agreement Canada has entered, as of yet. CETA is even broader in scope than the ever-present North American Free Trade Agreement.
- COOL: The Country of Origin Labeling (COOL) is a U.S. federal law requiring meat sold in grocery stores to be labeled by the country or countries where the animal was born and slaughtered. The World Trade Organization (WTO) found that this law hurt animals raised in Mexico and Canada. Thus, Canadian authorities requested a $3 billion retaliatory action from the WTO.
- ITA: The Information Technology Agreement (ITA) is looking to gain approval in December 2015. The agreement would essentially eliminate tariffs on nearly 200 IT products worldwide. These products annually sell for $1.3 trillion in annual worldwide trade. Over 80 countries have chosen to partake in the agreement, which is the first tariff-cutting agreement on a global scale in nearly 20 years.
- SWI: The Single Window Initiative (SWI) is a joint venture between CBSA and numerous other departments within the Canadian federal government. The venture encompasses receiving shipment information in electronic formats. By providing commercial traders with a single electronic platform with full integration, CBSA ensures traders can comply with all customs and government regulations with a few clicks of a button.
- TPP: The Trans-Pacific Partnership (TPP) is the most important and largest trade deal in history. After seven long years negotiating, the twelve countries participating in TPP finally reached an agreement in October 2015. The deal gives international businesses in the countries much more intellectual property protection and a higher overall level of consistency while trading within the region.
- T-TIP: The Transatlantic Trade and Investment Partnership (T-TIP) is an investment and trade agreement between the 28 European Union member countries, the U.S. and Canada. The deal gives increased access to the European market to Canadian business, especially ones whose products are highly regulated. T-TIP aims to simplify certification, testing, and inspection between the countries involved.
To find out how you can take advantage of these trade opportunities or how it may affect your business, please contact us and speak with a Clearit.ca customs certified representative.