Trusted Trader Initiatives - Beyond the Border Action Plan Transportation Border Working Group April 17, 2012

Beyond the Border Action Plan Enhance the benefits of programs that help trusted traders move efficiently across the border and introduces new measures to further facilitate movement while reducing the administrative burden for business Tier One –Harmonize the Partners in Protection (PIP) and Customs-Trade Partnership Against Terrorism (C-TPAT) The opportunity to submit one application to multiple programs Align and offer new benefits on both sides of the border Canada will initiate a pilot to extend Free And Secure Trade (FAST) benefits to all Trusted Traders Canada will develop an interoperable web based communication portal (similar to US portal)

Beyond the Border Action Plan (cont.) Tier Two –Align self assessment programs and offer new benefits such as expedited border and accounting processes and trade compliance privileges Conduct a detailed comparison and review of Customs Self Assessment (CSA) and Importer Self-Assessment (ISA) programs Canada will implement the Partners in Compliance (PIC) program and incorporate it as an enhanced benefit of the Customs Self Assessment program CBSA and CBP will conduct joint consultations with Tier II stakeholders to identify and assess additional ways to expedite border processes CSA and ISA programs will be expanded to include non-resident importers between Canada and the United States

Beyond the Border Action Plan (cont.) Extend access to Trusted Trader programs to include shipments that are subject to Other Government Department/Agency requirements –Canada will conduct a one-year pilot for the non-regulated processed food sector Explore product-specific pilots aimed at lowering inspection rates for certain industry sectors –Canada (CFIA) will lead a pilot for the agri-food sector and the US will lead a pilot for the pharmaceutical sector

Current FAST Program When entering Canada the FAST lane/booth may be used if all of the following conditions are met: The importer is both PIP and CSA (FAST) approved The carrier is both PIP and CSA (FAST) approved All goods on-board are eligible for CSA clearance The driver is CDRP or FAST approved

Sarnia Pilot Blue Water Bridge – Summer 2012 Currently, the BWB consists of a three lane span to cross into Canada –The bridge authority has the ability to control the traffic flow according to volumes –There is one truck lane, one car lane and one lane for Trusted Traders/Travellers –The electronic signs can be used to direct FAST drivers to a dedicated lane during peak hours There are seven commercial truck lanes at the Sarnia Plaza –On average, 5 lanes are open

Sarnia Pilot (cont.) During the pilot the eligibility criteria will be amended for PIP and CSA members to use the lanes without being members of both programs Pilot will be evaluated after six months Although additional carriers will be eligible to use the FAST lanes/booths, shipments must be made entirely of goods from PIP and/or CSA importers

Sarnia Pilot (cont.) During the pilot, two booths will be devoted to Trusted Traders, with one booth exclusively for CSA clearance FAST – PIP or CSA Booth: –All shipments must be from CSA or PIP approved importers –Carriers must be PIP or CSA approved Includes goods that are not eligible for CSA clearance (i.e OGD requirements) –Drivers must be FAST or CDRP approved FAST – CSA Clearance Booth: –Carriers and Importers must be CSA approved –The driver presents the three bar-codes for a CSA clearance –Driver must be FAST or CDRP approved

Sarnia Pilot (cont.)

Letter was sent to solicit interest from qualified carriers –Possess the ability to determine if the importers on a given shipment are members of CSA and/or PIP. –Transmitting full eManifest data (cargo and conveyance advance information) by June 2012 –Cross the Blue Water Bridge on a daily or weekly basis 18 PIP carriers registered to be part of the pilot

FAST: Pacific Highway - Blaine Look at options for FAST which address the unique challenges of Pacific Highway Commercial Operations –Limited number of CSA/PIP Importers and Carriers –Traffic volumes –Provide tangible benefits to those who have invested in Trusted Trader Programs

Next Steps Ongoing Consultations Finalize operational details of the Sarnia Pilot Determine potential options for Pacific Highway - Blaine