Export Permit Requirements Updated

Summary#

These are proposed changes to the Export Permits Regulations published in the Canada Gazette, Part I on June 18, 2022. The proposal mainly updates and clarifies the information that exporters must give when applying for permits for strategic/military goods and certain forest products, and aligns the rules with the government’s online system. This is a proposal, not final, and the public had 30 days to comment (deadline July 18, 2022).

What it does#

• Creates two clear, itemized lists of the exact information to be given with permit applications:
  • one for “Strategic and Military Goods and Technology” (new section 3), and
  • one for “Certain Forest Products” (new section 4) covering items 5101 to 5103 of Group 5 of the Export Control List.
• Removes some outdated information requests that are no longer required in the government’s online permitting system (NEXCOL).
• Lets the department request additional supporting documents in specific cases, such as a copy of the commercial invoice, purchase order, or a letter of credit or other financial paperwork.
• Fixes a French–English inconsistency about proof of registration under the Controlled Goods Regulations and the Defence Production Act.
• Updates contact fields to include email addresses and “fax number, if any.”
• Removes rules tied to paper workflows (for example, instructions about courier staff, lost paper permits, and some issuance steps) because permitting is done electronically.
• Excludes certain softwood lumber items from these rules (for example, item 5104 is not covered by these Regulations).

Who's affected#

• Companies and people who export or apply for permits for strategic or military goods.
• Businesses exporting certain forest products, especially those dealing with items 5101 to 5103 of Group 5.
• Exporters who had their exports excluded previously (for example, goods described in item 5104 are not covered here).
• The federal department that issues the permits, Global Affairs Canada, which operates the online system (NEXCOL).
• Border and enforcement agencies that check permits: Canada Border Services Agency and the Royal Canadian Mounted Police.
• The changes are described as administrative; the government says they do not change how people apply, so small businesses and large exporters should not see new fees or processes.

Why it matters#

• The rules aim to make permit forms and requirements clearer and match what exporters already enter into the online system. That should reduce confusion and paperwork errors.
• Exporters of controlled goods still need valid permits. Enforcement by border and police agencies remains the same.
• Because this was a proposed regulatory change, affected parties had an opportunity to comment within the public comment period.