Canada Free Trade Agreement Certificate of Origin
If your business is involved in importing or exporting goods with Canada, it`s important to understand the Canada Free Trade Agreement (CFTA) and the role of the certificate of origin in this process. A certificate of origin is a document that verifies the country of origin of goods being traded and is used to benefit from reduced tariff rates under free trade agreements like the CFTA.
The CFTA came into effect on July 1, 2017, and replaced the previous agreement known as the Agreement on Internal Trade (AIT). The CFTA is a comprehensive free trade agreement that covers all aspects of trade between Canada`s provinces and territories.
Under the CFTA, goods that meet the origin requirements specified in the agreement are eligible for duty-free treatment when traded between Canadian provinces and territories. This means that your business can save money on tariffs and increase competitiveness in the Canadian market.
To claim the benefits of the CFTA, you need to complete a certificate of origin for each shipment of goods. This document should be completed by the exporter or producer of the goods and should include details about the product, its origin, and the exporter or producer.
The certificate of origin must be completed accurately and submitted to the relevant authorities to qualify for the benefits of the CFTA. It`s important to note that different requirements may apply to different types of goods, so it`s always a good idea to stay informed and seek professional advice if you`re unsure about your obligations.
In conclusion, if you`re doing business with Canada, it`s essential to understand the Canada Free Trade Agreement and the role of the certificate of origin in the process. By completing this document correctly, your business can benefit from reduced tariffs, increase competitiveness, and expand into the Canadian market. Make sure that you are aware of your requirements under the CFTA and seek professional advice if you have any questions or concerns.
