A = Area Control List – Canada’s Area Control List (ACL) is a list of countries in respect of which Canada requires export permits to be obtained for all goods (even for pencils). Currently North Korea and Belarus are on the Area Control List.
B = Blocking Orders – Pursuant to the Foreign Extra-territorial Measures Act, the Attorney General of Canada may issue a blocking order to prevent a Canadian company from refusing to export to a stated country (e.g. Cuba).
C = Canada Border Services Agency – The CBSA is one of many governmental authorities with a statutory mandate to enforce Canada’s export controls laws. The CBSA may detain exported goods and seek information about export permits before permitting the export to proceed. Usually, the CBSA will contact the exporter of record of the export documentation.
D = Dual-Use Goods – Many dual-use goods that may be used for military purposes and civilian purposes may require an export permit in order to be exported. Dual-use goods include include products and technologies associated with a variety of advanced materials, electronics,computers, telecommunications, sensors, lasers, navigation, avionics, marine equipment and technology and propulsion.
E – Encryption Software – An exporter of encryption software, and related information technology goods may require an export permit (or multi-destination permit) before exportation of these goods from Canada. Few exporters realize that any software can be subject to export controls.
F = Firearms, Munitions, Missiles and Military Goods – Most forms of weapons cannot be exported without an export permit.
G = Guide to Canada’s Export Controls – This is an important government publication setting out Canada’s export controls rules and the goods on Canada’s Export Control List.
H = Hazardous Goods and Waste Materials – Canada restricts the export of hazardous goods and waste materials and puts conditions on the export to ensure safe transportation and arrival. Since 1992, Canada has been a party to the international Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their Disposal. The exporter primarily deals with Environment Canada.
I = Iran – Canada imposes multi-lateral and unilateral economic sanctions against Iran. Canada’s most severe export sanctions are in respect of Iran.
J = Judge – If you do not comply with Canada’s export control and economic sanctions laws, a Canadian judge may impose significant fines and/or prison terms. Directors and officers of a corporation may also be subject to penalties. The CBSA may impose AMPS penalties without having to ask a judge.
K = Keep Records – Keep records of your due diligence efforts to determine that you are not selling to a designated person is a country against which Canada imposes economic sanctions. Keep records of rulings obtained concerning whether goods are on Canada’s Export Control List. Keep records of the end use certificates that you have obtained. If you are registered with the Controlled Goods Program, keep all the required records.
L = Legislation – Canada’s export controls and economic sanctions laws are imposed pursuant to many statutes and regulations. Some of the laws are: Export and Import Permits Act, Special Economic Measures Act, United Nations Act, Criminal Code, Defence Production Act, Freezing of Assets of Corrupt Foreign Public Official Act, etc.
Please come back tomorrow for The ABCs of Canada’s Export Controls and Economic Sanctions Laws – Part 2.