I.E.Canada's Committees have had a productive summer.
Exports Committee
July was a busy and successful month for I.E.Canada’s Exports Committee (EX). The committee completed a position paper calling for reform of Canada’s export control system entitled Canada’s Export Control System: Time for Review – Need for Reform; submitted comments on proposed amendments to Item 5505 (Goods and Technology for Certain Uses) of the Export Control List (ECL); and participated in consultations initiated by Industry Canada on export controls on cryptography.
The paper, which has been submitted to the Ministers of Foreign Affairs, International Trade, Industry and Public Safety, compares Canada’s export control policies and procedures with those of its major trading partners who are simultaneously Canada’s principal competitors. It concludes that Canada’s export control system is not keeping pace with the more innovative approaches of other countries, putting Canadian exporters at a competitive disadvantage in international markets. It makes specific recommendations with the objective of levelling the playing field for Canadian exporters. These recommendations are not intended to be exhaustive but reflect the priorities of I.E.Canada’s members. It is hoped that they will serve as a starting point for discussions between the Department of Foreign Affairs and International Trade (DFAIT) and the export community.
The paper represents a significant accomplishment for the EX committee. The association would like to acknowledge and thank the members of the committee for their input and support. We also extend a special thank you to the export controls working group for their invaluable assistance in preparing the paper.
For a more detailed overview of the position paper, please see the article I.E.Canada Advocates for Export Controls Reform in this issue of i.e.Now.
With input from members of the EX committee, I.E.Canada also submitted comments this month regarding the proposed amendments to ECL Item 5505, Goods and Technology for Certain Uses, published in the Canada Gazette Part I on June 19, 2010 (click here for a copy). The submission expresses concerns regarding DFAIT’s proposal to expand the breadth of the “catch-all” controls in ECL item 5505 and also raises questions regarding how the revised provision would be administered.
On July 15, 2010, Carol Osmond and a number of EX committee members participated in a roundtable discussion with senior officials from Industry Canada, DFAIT and the Communications Security Establishment regarding Canada’s export controls on cryptography. The purpose of these discussions, which were held as part of Industry Canada’s consultations towards the development of a Digital Economy Strategy, was to obtain industry’s views on possible ways to improve the efficiency of the administration of Canadian export controls on cryptography items, while continuing to meet Canada’s international commitments and national security requirements.
After providing an overview of Canada’s export controls on cryptography, including its international obligations, Susan Harper, Director General, Export and Import Control, DFAIT, requested participants to provide input with respect to (i) the transparency of cryptography controls and the permit application process; (ii) permit processing times; and (iii) paperwork requirements. She also invited participants to raise any other issues of concern. Some of the suggestions made by stakeholders included guidance or interpretation documents with respect to the interpretation of the cryptography controls, including, for example, the interpretation of the “mass market” exemption; and better information and transparency with respect to the conditions and application procedures for multi-destination broad-based permits. There was considerable discussion with respect to the application of export controls to open source technologies; permit requirements and processing times for incrementally new products; and the challenge for small and medium sized companies to establish a track record in order to qualify for broad-based permits. Concerns were also raised that the need to obtain an individual or broad-based permit puts Canadian companies at a competitive disadvantage as compared with their competitors in other countries where expedited licensing procedures are available. Some of these issues are addressed in the I.E.Canada position paper.
In order to obtain additional industry feedback on cryptography controls, DFAIT also circulated an Information Security (Cryptography) Questionnaire for completion by Canadian exporters of cryptography goods and technology. The deadline for completing this questionnaire was August 5, 2010.
For a copy of the export controls position paper, the submission with respect to proposed ECL item 5505, and/or the questionnaire, please contact Amesika Baëta, committee director at abaeta@iecanada.com.
Trade Security Committee (TSC)
I.E.Canada was invited by the Program Evaluation Division of the Canada Border Services Agency (CBSA) to participate in a consultative interview regarding the Partners and Protection (PIP) program on July 20, 2010. The Program Evaluation Division is conducting an evaluation of the PIP program in order to examine the relevance, effectiveness, efficiency and impact of the PIP program in accordance with Treasury Board Secretariat Directive on the Evaluation Function.
Carol Osmond and Trade Security Committee Co-Chairs, Emil Fiorantis and Debby Sung, participated in the interview on behalf of the association. Emil and Debby discussed the results of I.E.Canada’s PIP member survey and provided additional insight regarding their experiences with the program. I.E.Canada is dedicated to working with CBSA to advance the interests of its members with regard to this trusted trader program.
For a summary of I.E.Canada’s PIP member survey, please see the June 2010 issue of I.E.Now (click here).
Consumer Product Safety Working Group
I.E.Canada has established a working group to provide feedback on consultation documents issued by Health Canada regarding the proposed Canada Consumer Product Safety Act. I.E.Canada, in coordination with other industry stakeholders, will be making submissions with respect to the proposed guidance document for mandatory incident reporting as well as other similar documents, and will also be engaged in consultations with Health Canada officials.
The working group’s first meetings was held via conference call on July 29, 2010 to provide background information to working group members and seek initial input on Health Canada’s consultation document on the mandatory incident reporting requirements (please click here for a copy). A follow up in person meeting was held on August 4, 2010 to review and discuss this document in greater detail.
For more information regarding the proposed Canada Consumer Product Safety Act, please see the July 2010 issue of I.E.Now (click here). If you are interested in joining the C&L’s working group, please contact Amesika.
If you would like more information about the EX, TSC, C&L or any of our other committees, please feel free to contact Amesika Baëta, Committee Director, at abaeta@iecanada.com.
This article was written by I.E.Canada’s Carol Osmond, vice president, policy and Amesika Baëta, committee director.
Upcoming Committee Meetings & Association Events
- The next C&L; TSC; and EX Committee monthly meetings are scheduled for September 2010.
- The Customs Duty and International Trade Course – Vancouver, October 4-6, 2010.
- 79th Annual Conference & Trade Show, October 18-20, 2010.
If you have any questions, please contact Amesika Baëta, Committee Director at abaeta@iecanada.com.
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