Order Amending Certain General Import Permits Issued Under the Export and Import Permits Act (Nos. 100 and 1) (Miscellaneous Program): SOR/2022-36
Canada Gazette, Part II, Volume 156, Number 6
Registration
SOR/2022-36 March 3, 2022
EXPORT AND IMPORT PERMITS ACT
The Minister of Foreign Affairs, pursuant to subsections 8(1.1) footnote a, 8.3(3) footnote b and 10(1) footnote c of the Export and Import Permits Act footnote d, makes the annexed Order Amending Certain General Import Permits Issued Under the Export and Import Permits Act (Nos. 100 and 1) (Miscellaneous Program).
Ottawa, March 2, 2022
Mélanie Joly
Minister of Foreign Affairs
Order Amending Certain General Import Permits Issued Under the Export and Import Permits Act (Nos. 100 and 1) (Miscellaneous Program)
General Import Permit No. 100 — Eligible Agricultural Goods
1 Item 65 of the schedule to General Import Permit No. 100 — Eligible Agriculture Goods footnote 1 is replaced by the following:
65 Yogurt (other than yogurt containing chocolate, spices, coffee or coffee extracts, plants, parts of plants, cereals or bakers’ wares, provided that any added substance is not used for the purpose of replacing, in whole or in part, any milk constituent, and the product retains the essential character of yogurt) that is classified under tariff item No. 0403.20.39 in the List of Tariff Provisions set out in the schedule to the Customs Tariff.
65.1 Yogurt — containing chocolate, spices, coffee or coffee extracts, plants, parts of plants, cereals or bakers’ wares, provided that any added substance is not used for the purpose of replacing, in whole or in part, any milk constituent, and the product retains the essential character of yogurt — not put up for retail sale, that is classified under tariff item No. 0403.20.31 in the List of Tariff Provisions set out in the schedule to the Customs Tariff.
General Import Permit No. 1 — Dairy Products for Personal Use
2 Item 40 of the schedule to General Import Permit No. 1 — Dairy Products for Personal Use footnote 2 is replaced by the following:
40 Yogurt (other than yogurt containing chocolate, spices, coffee or coffee extracts, plants, parts of plants, cereals or bakers’ wares, provided that any added substance is not used for the purpose of replacing, in whole or in part, any milk constituent, and the product retains the essential character of yogurt) that is classified under tariff item No. 0403.20.29 in the List of Tariff Provisions set out in the schedule to the Customs Tariff.
40.1 Yogurt — containing chocolate, spices, coffee or coffee extracts, plants, parts of plants, cereals or bakers’ wares, provided that any added substance is not used for the purpose of replacing, in whole or in part, any milk constituent, and the product retains the essential character of yogurt — not put up for retail sale, that is classified under tariff item No. 0403.20.21 in the List of Tariff Provisions set out in the schedule to the Customs Tariff.
Coming into Force
3 This Order comes into force on the day on which it is registered.
REGULATORY IMPACT ANALYSIS STATEMENT
(This statement is not part of the orders or the Regulations.)
Issues
Canada is a contracting party to the International Convention on the Harmonized Commodity Description and Coding System, generally referred to as “Harmonized System” or simply “HS.” The HS is an international product nomenclature developed by the World Customs Organization (WCO) that contributes to the harmonization of customs and trade procedures. It is used extensively by governments, international organizations and the private sector for a range of purposes, including internal taxes, trade policies, monitoring of controlled products, rules of origin, freight tariffs, transport statistics, price monitoring, quota controls, compilation of national accounts and economic analysis. The system is used by more than 200 countries and economies as a basis for their tariff legislation and for the collection of international trade statistics. The HS comprises approximately 5 000 commodity groups, each identified by a six-digit code and supported by well-defined rules to achieve uniform classification. As a result, the HS governs the basic structure of the numbering and description of the tariff items found in the schedule to Canada’s Customs Tariff.
The WCO (through the HS Review Committee that represents contracting parties) updates the HS codes periodically to reflect, among other things, changing technology and trade patterns. The current round of amendments took effect on January 1, 2022. As a contracting party, Canada is required to adopt these amendments. Accordingly, Canada incorporated these amendments through the Order Amending the Schedule to the Customs Tariff (Harmonized System, 2022) [SOR/2021-198], which was adopted on August 12, 2021, and entered into force on January 1, 2022.
In accordance with paragraphs 5(1)(e) and 5(1)(d) of the Export and Import Permits Act (EIPA), the Governor in Council may establish an Import Control List (ICL) and include therein any article, the import of which is deemed necessary to control for various purposes, including to implement an intergovernmental arrangement or commitment and to implement an action taken under the Agricultural Marketing Programs Act or the Canadian Dairy Commission Act, with the object or effect of supporting the price of the article. In addition, subsections 5.2(1) and (2) provide authority for the Governor in Council to add goods to the ICL for the purposes of collecting information in the context of an international arrangement or commitment. Section 6 provides the Governor in Council with the authority to amend the ICL. Subsection 8(1) of the EIPA provides that import permits may only be issued for goods included on the ICL. Section 12 provides the Governor in Council with the authority to make regulations.
A number of goods on the ICL are identified by codes and descriptions linked with the schedule to Canada’s Customs Tariff. Therefore, the ICL must be amended to reflect the January 1, 2022, changes to certain item codes and descriptions in the schedule to Canada’s Customs Tariff, including item 158 (yogurt products); item 86.3 (made-up goods from the United States or Mexico); item 86.7 (made-up goods from Chile); item 86.93 (made-up goods from Costa Rica); item 86.97 (made-up goods from Honduras); item 86.98 (textile goods from the European Union/United Kingdom); and item 86.99 (apparel goods from the European Union/United Kingdom). Associated amendments are also required for item 40 (yogurt products) of General Import Permit No. 1 and item 65 (yogurt products) of General Import Permit No. 100, as well as item 2 (Definitions) of the Issuance of Certificates Regulations. These amendments will provide regulatory coherence and continuity in the context of Canada’s administration of import and export controls for subject goods.
Objective
The amendments have the following objective:
- to update regulatory provisions in accordance with the schedule to Canada’s Customs Tariff and the customs tariffs of Canada’s trading partners which entered into effect on January 1, 2022.
Description and rationale
The purpose of the Order Amending Certain General Import Permits Issued Under the Export and Import Permits Act (Nos. 100 and 1) (Miscellaneous Program), the Order Amending the Import Control List (Miscellaneous Program) and the Regulations Amending the Issuance of Certificates Regulations (Miscellaneous Program) is to amend
- items 86.3, 86.7, 86.93, 86.97, 86.98, 86.99 and 158 of the ICL;
- item 40 of General Import Permit No. 1;
- item 65 of General Import Permit No. 100; and
- item 2 of the Issuance of Certificates Regulations.
As these regulatory provisions cite multiple Customs Tariff codes and descriptions, Global Affairs Canada is required to make consequential amendments for regulatory coherence. This will provide continuity and uniformity for businesses and administrators with an interest and role in the importation or exportation of subject goods, as applicable.
One-for-one rule and small business lens
The one-for-one rule does not apply to these amendments, as there is no change in administrative costs or burden to business.
Analysis under the small business lens determined that the proposal will not impact small businesses in Canada.
Contacts
Laurel Blair
Non-Supply Managed Trade Controls
Global Affairs Canada
Ottawa, Ontario
K1A 0G2
Telephone: 613‑220‑9576
Email: laurel.blair@international.gc.ca
Adey Bailey
Supply-Managed Trade Controls
Global Affairs Canada
Ottawa, Ontario
K1A 0G2
Telephone: 343‑549‑2300
Email: adey.bailey@international.gc.ca