Overview of the Canada Border Services Agency

Transportation Border Working GroupMinneapolis, MNApril 20th 2011

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Outline

• Who We Are• What We Do• CBSA Partnership with the United States• Joint Canada/US Traveller & Trade Facilitation Programs

– ACI – E-Manifest / CSA / FAST

• Updates to the Marine Container Examination Process• Contacts

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CBSAWho We Are

• Border Integrity: We work offshore, at the perimeter, in-land and at the land border; we pursue a perimeter approach to border security which seeks to push the border out and to keep security threats as far from the North American perimeter and as close to their point of origin as possible;

• Risk Management: Impossible to stop and check every individual and shipment (13 million commercial shipments and 97 million travelers per year); Intelligence is a major driver of the organization: influences risk and where we put our people;

• Service Orientation: Streamlining administration, simplifying business interaction; expanding benefits of trusted shipper, trader and traveler programs

• Partnerships: Cooperation with other government departments and international allies; mutual recognition of screening programs

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CBSAWhat We Do

CBSA administers more than 90 acts, regulations and international agreements, many on behalf ofother federal departments and agencies, the provinces and the territories.

The CBSA:

• Administers legislation that governs the admissibility of people, goods, plants and animals into and out of Canada.

• Prevents improperly documented people from coming to Canada and removes inadmissible persons who have been issued a removal order. Our priority is persons who pose a threat to national security and persons who are involved in organized crime and crimes against humanity, and criminals.

• Interdicts illegal goods so that they do not enter the country.

• Protects food safety and the environment by stopping prohibited and hazardous products.

• Promotes Canadian business and economic benefits by administering trade legislation and trade agreements.

• Promotes Canadian interests among various international organizations.

• Collects applicable duties and taxes on imported goods.

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CBSA’s partnership with the United States• Due to our shared border, the United States is Canada’s most important

strategic partner.

• Since the wake of U.S. terrorist attacks in September 2001, Canadian and U.S. government departments and agencies have worked in partnership to improve security and services on the shared border through the Smart Border Declaration.

• A collaborative 32-point Action Plan for identifying and addressing security risks while expediting the legitimate flow of people and goods across our border was created as a blueprint for the Declaration.

• The four pillars of the Action Plan are as follows:– Secure flow of people – Secure flow of goods – Secure infrastructure – Coordination and information-sharing

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Joint Canada/US Traveller & Trade Facilitation Programs

NEXUS - trusted traveller program for low risk pre-screened travellers between Canada and the United States.

• NEXUS is a joint Canada-U.S. program designed to simplify border crossings for pre-approved, low-risk travellers.

• NEXUS operates in the air, land, and marine modes, with travellers having access to the program in all modes with a single membership.

• The NEXUS card is approved as an alternative to the passport for the U.S. Western Hemisphere Travel Initiative’s (WHTI) air rules.

• NEXUS Air uses iris-recognition biometric technology to verify an individual’s identity and confirm admissibility.

• This is key to our operations, because it enables us to focus our resources strategically on people and goods of higher and unknown risk.

FAST - Free and Secure Trade

• FAST is a joint Canada–U.S. initiative that supports moving pre-approved, eligible goods across the border quickly and verifying trade compliance away from the border through an audit program.

• FAST is a commercial process offered to pre-approved importers, carriers, and registered drivers.

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Intensified Process

for unknown or higher

risk

Two Future Options For Importer

To Choose Nothing Is NOT An Option

Advance Commercial Information (ACI)

Customs Self Assessment (CSA)

Streamlined process for low risk

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ACI remains the baseline to which all commercial importations must conform unless the importation qualifies for CSA/FAST clearance in highway, air, marine and/or rail modes

ACI is about… getting the right information, at the right time, to make informed decisions on whether to examine shipments at first point of arrival, or in some cases, the foreign port of lading

What Is ACI E-Manifest?

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Customs Self-Assessment (CSA)

The CSA program involves a three-part application and approval process:

Part I Risk Assessment

Part II Books and Records and Business Systems

Part III Importer Program Requirements

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CSA/FAST Participation

Participation in the CSA/ FAST program as of March 2011

– 86 CSA & 66 FAST approved Importers– 813 CSA 803 FAST approved Carriers86 Importers representabout $79 billion VFD ofimported goods (20% of total VFD)

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FAST is a joint program between CBSA, CIC, and the U.S. CBP that offers expedited clearance processes for eligible goods to pre-authorized importers, carriers, and drivers

In the U.S., participation in FAST requires applicant importers and carriers to become C-TPAT approved

FAST participants can obtain facilitated clearance in both countries through dedicated FAST lanes and/or dedicated FAST booths

In Canada, FAST builds on principles of the CSA program and the security measures built into the Partners in Protection (PIP) program

What Is FAST?

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Clearance Process

Clearance

FAST Approved Importer

123456789RM0001

FAST Approved

Carrier

9999

FAST Registered

Driver

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Container Examination • The CBSA’s container examination program is necessary to

support Canada’s national security and safety priorities

• Examinations control the movement of goods suspected of:– National Security Threats– Contraband Smuggling– Other Government Department Controls– Commercial Compliance

• Since 2007 this program has prevented approximately two billion dollars worth of drugs and contraband from being smuggled into Canada

• Risk assessments, advance information, screening and targeting gives focus to possible high risk goods

• The CBSA strives to ensure security while facilitating the free flow of goods

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Impacts of Our Program

• The CBSA recognizes that delays, caused by container examination processing, impedes Canada’s trade community

• The CBSA has received many complaints regarding the effects of container examination delays and their significant costs to Canadian businesses

• We understand the concerns and are committed to working with industry representatives to make changes that will support Canada’s economic growth while maintaining national security

EXAMINED

EXAMINED

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What We Have Done• To address these concerns, an examination subcommittee was

formed as part of the Border Commercial Consultative Committee (BCCC)

• members include:– Shipping Federation of Canada– British Columbia Chamber of

Shipping– Canadian Retail Shippers

Association• The subcommittee promotes discussion and consultation on

matters relating to the examination process • A marine examination mapping exercise was undertaken to

provide the means for improving the commercial marine examination process

– Canadian International Freight Forwarders Association

– Canadian Society of Customs Brokers– Canadian Association of Importers and

Exporters

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What We Are Doing

• Analysis of the mapping results allowed the CBSA and industry to identify initiatives to alleviate areas of processing delays

• On April 1, 2011 the CBSA implemented a national service standard to ensure container examinations take no longer than 24 hours for completion

• New procedures developed by CBSA and implemented on February 14, 2011 will ensure no container will remain in the fumigation area for longer than five days

• Industry is consulting with terminal operators to determine ways of improving the availability of containers within the port/terminal

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Where Do We Go From Here

• The CBSA is committed to:

Ensuring the safety and security of Canada

Monitoring the effectiveness of our programs

Analyzing the results of our activities

Consulting with industry representatives

Developing and modifying procedures to ensure all objectives are considered

Continuing collaborative efforts with our other government department and international partners.

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CBSA Contacts

Afshin ShamsA/Director, Horizontal Border Policies, Border Programs

Programs Branch

Canada Border Services Agency

7th Floor-7006, 150 Isabella

Ottawa, ON K1A 0L8

CANADA

(613) 954-7580

Afshin.Shams@cbsa-asfc.gc.ca