Importing in Canada - A look at the import process

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Importing in Canada - A look at the import process

Exporting and Importing in Canada is receiving much impetus from the Canadian government as it has envisioned great economic expansion what with the hosting of the Winter Olympics in 2010 and other lucrative economic conditions that are attracting international investments.

The government offers help on several fronts to assist as well encourage the Canadians to venture into business initiatives that will ultimately profit the nation. The economic department offers several awareness programs about the rules and processes of importing in Canada.

Here is a peek at the import processes:

1. Research about the product or the service that you want to import

Check if you are allowed to import the product into Canada. There is a list of products which are allowed to be imported into Canada.
Check again if there are any restrictions or prior approvals to be sought before you can start your business of importing into Canada that particular item.
Understand the tariff and taxation of goods rules and derive the price width of the product which you want to import. The price will be a marker to judge whether importing the product will be viable as opposed to locally producing that product.
Check the background of your suppliers when you make your detailed plans about importing in Canada. They should not only be supplying you the product, but they should back it up with the necessary paper work to clear it through customs and for the shipping and forwarding agents to transport the products.

2. Identify the supplier or sources to import the product

It is important to identified suppliers who are registered with their local trade bodies. This will not only give credence but will help in conducting a legal transaction.
Identify multiple suppliers from different areas, so that you will always have a constant stock of product in spite of harsh economic or weather conditions which will make it impossible for you to source from a particular geographic region.

3. Identify warehouses for you to store your import

Depending on the type of product that you are importing in Canada, identify warehouses which offer you the best rates as well as the best offers. There are some warehouses which have rates that are effective from the day you place your product in their premises, while have a flat rate for x number of days. These charges are crucial to your overall pricing of the product in the local market.

4. Understand the HS

The world over all products are classified according to the Harmonized Commodity Description and coding System which will list the taxes, duties on the products that one will be bringing into the country.

The HS Code is a six-digit number to recognize the basic commodity and every country is allowed to add further digits. While importing in Canada, you will have to become familiar with its HS code. It has two additional digits for export items and four additional digits for goods being imported.

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