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C-TPAT and Canada’s PIP Joining Forces?

Two men forging on an anvil with an American and Canadian flag in the background

During the latest Canadian Society of Customs Brokers National Conference, the Canada Border Services Agency (CBSA) discussed implementing a new system that will require certain importer data to be electronically submitted in a specific timeframe. This will be similar to our Import Security Filing requirement for U.S. importers.

When Canada deploys this new system, companies involved in Customs-Trade Partners Against Terrorism (C-TPAT) and Canadian Partners in Protection (PIP) could be allotted more time, about 96 hours total, to transmit their data. Those not participating in these programs will have only 24 hours to submit their import data, which may encourage more companies to join C-TPAT and PIP.

What is C-TPAT

C-TPAT is a voluntary program free of cost to join. When a company joins C-TPAT, they are considered to be of low risk and their cargo is less likely to be examined by Customs at a U.S. port of entry. That may seem like benefit enough to join but there are many other advantages to joining as well.

Mutual Recognition Arrangements

Mutual recognition arrangements (MRAs) have been established between PIP and C-TPAT. In other words, both countries consider the programs equivalent and recognize each other’s members, meaning they may grant them similar benefits when importing into the country. The U.S.-Canada arrangement has been in place since June of 2008. Canada and the U.S. are currently working towards joining PIP and C-TPAT into one, which will further enhance the benefits for members by having only one application process, one site visit performed, and a single point of contact to manage their membership in both programs. Here are the differences between the harmonization and the MRAs. This will benefit eligible members by removing duplicated efforts and ultimately save both cost and time.

If you are interested in learning more about C-TPAT and how you might benefit from becoming a member, Mohawk Global Trade Advisors has the resources and answers.

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