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Additional Requirements to Participate in Canada’s Low Value Shipment Program

Wednesday, October 16, 2013
Sandler, Travis & Rosenberg Trade Report

The Canada Border Services Agency recently implemented additional eligibility requirements for participation in the Courier Low Value Shipment Program. This program streamlines the processing of low-value (under C$2,500) shipments through customs while providing the courier industry with expedited release.

The CBSA states that participation in the LVS program is now restricted to couriers that (a) are approved Partners In Protection members as couriers/carriers and (b) will allow the CBSA the use of their proprietary systems for the report/release functions and for risk assessment capability. In addition, program shipments must be imported and transported by approved PIP carriers. At some point in the future, program participation will also be restricted to couriers that are able to transmit the shipments’ pre-arrival cargo data to the CBSA as they do today for high-value shipments.

Participating couriers are required to meet the following criteria.

- maintain a high-degree of control over their expedited shipments through the use of internal security, logistics and tracking technology

- maintain a closely integrated administrative control over the shipments with operations that are sufficiently integrated at both ends of the service (i.e., from the time shipments are picked up for export from the foreign exporter to the time they are physically delivered to the Canadian importer)

- offer a service to the public under advertised, reliable, timely delivery on a door-to-door basis

- be able to track and control the expedited shipments at every point during their conveyance and maintain the capacity to locate the shipments at any point in their conveyance and obtain current information on the estimated delivery time of those shipments

In addition, the CBSA has created a low risk sub-process within the LVS program solely for the importation of casual U.S. mail-order/direct marketing goods. Participants in this sub-process are only authorized to import personal Internet shopping goods, and the program’s exclusion of prohibited, restricted or controlled goods remains in force.

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