Cargo Control and Sufferance Warehouse Modernization

The Canada Border Services Agency (CBSA) is planning to modernize the in-bond movement of imported goods and the storage requirements of these goods at sufferance warehouse facilities. The Cargo Control and Sufferance Warehouse Modernization (CCSWM) initiative will simplify existing rules and regulations, thereby resulting in reduced costs for industry and the government without compromising the safety, security and economy of Canada.

The modernized process will result in the electronic tracking of in-bond cargo, thereby permitting bonded carriers to deliver these shipments directly to their own facilities or the premises of a third party. The CBSA will conduct, as required, inland examinations at designated integrated examination facilities instead of at each sufferance warehouse facility.

The CBSA is committed to consulting with stakeholders on the following key changes:

• Revising the warehouse licensing process;
• Reducing the number and types of warehouse designations;
• Removing certain restrictions, including various storage time limits, class of goods requirements, access to facilities, allowable cargo activities, etc.;
• Permitting operators to co-store domestic and in-bond goods in the same area of the warehouse; and
• Establishing integrated examination facilities for the purpose of inland CBSA examinations.

The CBSA will continue to provide active oversight through the registration of warehouse operators to ensure that non-duty paid goods are accounted for and to ensure the health and safety of Canadians. In this regard, all imported shipments will continue to be assessed by the CBSA at the First Point of Arrival for reasons of health, safety and security.

Implementation of the CCSWM initiative will be phased-in and is expected to take up to 24 months to be completed. Legislative and regulatory changes are required and changes will be made to the relevant policy D-memoranda, with any associated training provided to CBSA employees and stakeholders.

More details will be forthcoming throughout the implementation of this initiative. If you have any questions or comments regarding the initiative, please contact the CBSA CCSWM Unit at CCSWM-MCFEA@cbsa-asfc.gc.ca.