Importers and exporters urged to start planning now
TORONTO, Sept. 3, 2013 /CNW/ - There are a number of major trade
regulation changes coming in 2014, unprecedented in both number and
magnitude. These shifts affect every company that imports into, or
exports from, Canada or the U.S., with some regulations requiring new
licensing and others mandating significant software updates.
Livingston International is keeping abreast of these developments, the most noteworthy of which
are the following.
Food Safety Modernization Act (U.S.): This policy requires companies to change registration processes for
domestic and foreign facilities, as well as comply with added
certifications for food safety. Food importers will need to contend
with added food safety certifications because there will be more rigid
requirements to identify their foreign suppliers.
Canadian Food Inspection Agency (CFIA) Inspection Modernization Program
(Canada): The CFIA is developing a more comprehensive inspection approach across
all imported and domestic food commodities - for both interprovincial
and international trade. All regulated companies will need to obtain
an Imported Food Sector Licence, and the CFIA will conduct more
inspections and enforcement for non-compliance. In addition, the types
of regulated commodities are expanding. While currently only importers
of meat, fish, dairy and eggs are regulated, the new program regulates
all other food commodities, including coffee, baked goods, spices,
infant formula, snack foods, meal replacements and others.
Single-Window Initiative (U.S., Mexico and Canada): This initiative applies to any goods coming into or leaving the U.S.
It requires shippers to interact with approximately 40 different
partner government agencies through a single web-based interface
system. Companies must transition from a paper-based process to a
digital one to meet the initiative's goal of increasing real-time
tracking and visibility of shipments. It begins rolling out in 2014,
and when it is completely implemented, shippers will know the status of
their shipments from the partner government agencies more quickly and
benefit from decreased wait time and exam costs.
e-Manifest (Canada): All shipments into Canada must be declared electronically before
arrival. This requires new software and IT upgrades to ensure
compatibility with the new system; otherwise, companies risk an
additional duty fee at the border.
"Although these updates will make the customs process smoother and more
up-to-date, it is unprecedented to have this many major trade
regulation changes implemented at the same time," says Matt Goodman,
vice president of global trade management, with Livingston
International. "To manage this level of change, investing more time
now is necessary for businesses to meet these new requirements that
take effect next year. Managing trade compliance is undeniably an
investment, but it is offset by reducing the risk of costly audits and
fines. Livingston's global trade expertise uniquely positions us to
help companies successfully navigate through these changes."
These major regulatory changes will affect small and medium-sized
businesses more, because they rarely have trade compliance expertise
in-house. Trade professionals at Livingston are preparing for the
forthcoming changes by educating importers and exporters and providing
Trusted Trader Program: A voluntary certification program is offered through Customs to help
educate companies and customs brokers on the new regulatory changes.
Livingston can help importers navigate the program's stringent
guidelines to be successfully approved for certification, which leads
to faster and smoother border crossings.
Food and Drug Administration compliance team: Livingston's in-house experts continuously research developments in
the Food Safety Modernization Act and CFIA's inspection modernization
program and can assist as new regulations are implemented.
In-house technology team: To apply critical software updates, Livingston offers an in-house
technology team to ensure up-to-date compatibility with customs'
systems upgrades. Livingston also recently announced the release of
TradeSphere®, software designed to automate trade compliance and reduce
Additional free trade agreement coverage: Customs is making it easier for importers to manage their shipments,
offering companies access to more free trade agreements (FTAs) to save
on duties. Livingston experts can help identify which FTAs companies
can take advantage of, from NAFTA to the emerging TransPacific FTA.
To find out more about the 2014 regulation changes as well as solutions
for importers and exporters, visit www.livingstonintl.com.
North America's number one company focused on customs brokerage and
trade compliance, Livingston International also offers consulting and
global trade management services as well as international freight
forwarding across North America and around the globe. Headquartered in
Toronto, Canada, Livingston employs approximately 3,200 employees at
over 125 key border points, sea ports, airports and other strategic
locations across North America as well as in Europe and Asia. www.livingstonintl.com
SOURCE: Livingston International Inc.