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Trade Alert

 Mandatory Electronic Release at all Canadian Ports

(Toronto, October 15, 2007)… Effective October 15, 2007, paper release packages will no longer be accepted for any shipments (subject to exceptions) entering Canada.

Key changes to the import release process are described in Customs Notice CN07-008 "Measures to Increase the use of Electronic Data Interchange (EDI) for Release Purposes". www.cbsa-asfc.gc.ca/publications/cn-ad/cn07-008-eng.html

This policy change is being implemented to prepare importers for Phase III of the CBSA's Advance Commercial Information (ACI) initiative (also referred to as E-Manifest), which has already been implemented in the air (Phase I) and marine (Phase II) modes of transport.  Phase III will include all modes of transport into Canada.

As per CN07-008, "Unless otherwise exempted, paper Release on Minimum Documentation (RMD) and paper Pre-Arrival Review System (PARS) service options will not be accepted by the CBSA as of October 15, 2007."  As the CBSA currently does not have full EDI capabilities, a list of exceptions to EDI processing have been issued: www.cbsa-asfc.gc.ca/import/notice-avis-imp-eng.html#s02

The biggest impact will be on shipments arriving in Canada via the highway (truck) mode of transport.  Drivers/carriers must ensure that documentation for customs clearance is provided to the broker well in advance of shipment arrival (especially for large multi-page/item invoices) as the broker must now translate that information into an electronic release request to the CBSA.

In the past, many drivers would arrive at the border and present hard-copy documents to the broker to have a paper release package prepared (the driver would then take that package to Customs for processing).  Once the change to mandatory EDI is implemented, drivers handling shipments in this manner will be refused entry to Canada and returned to the USA.  The driver will then be required to wait on the US side of the border while the broker prepares the electronic submission and the transmission is acknowledged by Customs.

To ensure your shipments are set-up electronically and to avoid potential delays, book your truck freight directly with Universal Logistics, contact Mark Glionna, Vice-President Client Relations.

For more information, please contact Brian Rowe, General Manager - Customs Consulting Services, (905) 882-4880.

 

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