Contributing Lawyers

Canada

Cyndee Todgham Cherniak

United States

Susan Kohn Ross

Australia

Andrew Hudson



CBSA Announces Arrangement with USA on Supply Chain Security Programs

On June 28, 2008, the CBSA signed an arrangement with U.S. Customs and Border Protection regarding the mutual recognition of Canada's Partners in Protection program and the U.S. C-TPAT program.  Partners in Protection (PIP) is a voluntary supply claim security program operated by the Canada Border Services Agency that has as its purposes the enhancement of border and trade chain security, combatting organized crime and terrorism and helping detect and prevent contraband smuggling.  As a voluntary program, it has no membership fee.

The signing of the arrangement enhances cross-border security as both countries now apply similar security standards and similar site validations when approving companies for membership in their respective trade security programs.

HOWEVER, THERE IS A CATCH - All Canadian companies that have registered under the Partners in protection Program MUST reapply.  Canada has modified its program to harmonize with the C-TPAT program requirements and align with international standards such as the Framework of Standards to Secure and Facilitate Global Trade (SAFE) and the Authorized Economic Operator concept of the World Customs Organization.  

Benefits for Canadian companies who adopt the modernized Partners in Protection Program:

  • The similar security requirements for PIP and C-TPAT make it easier to be eligible for both programs (a separate application must be made to both programs).
  • Only one site validation may be necessary for applicants to PIP and C-TPAT. However, both programs reserve the right to perform site validations of their members.
  • Members of both programs are eligible to use Free and Secure Trade (FAST) lanes in both directions and therefore benefit from expedited border clearances (members must apply separately to FAST in Canada to be eligible to use FAST lanes going into Canada).
  • Companies that are members of PIP and C-TPAT can benefit from having an enhanced reputation as being a low-risk company by demonstrating their adherence to high security standards. 
  • Members are better positioned to achieve international recognition.

If you require more information, please contact, Cyndee Todgham Cherniak (416-307-4168).

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