Australia and Canada have expansive economic links and a strong trading relationship with projections of over $4 billion per year. Mutual investment between the two countries is valued around $80 billion. Jet Worldwide Canada provides low-cost parcel delivery from Australia to Canada. With the CPTPP, companies can ship their qualifying Australia-origin goods duty-free to Canada. Companies rely on the cheapest way of shipping from Australia to Canada
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In this Guide to Shipping to Canada from Australia we outline the main issues to consider when shipping between Canada and Australia.
Jet Worldwide provides low-cost parcel delivery from Sydney, Melbourne and all Australia to Vancouver, Toronto, Montreal and all of Canada.
Disclaimer: The information in Jet Worldwide online content, including this post, is for general information only.
Canada and Australia are members of the World Trade Organization (WTO) and also are part of the CPTPP free trade agreement. It will also be important to chose a shipping company, Freight Forwarder or logistic company that have experience and track record of shipping between the two countries.
The carrier options to send international satchels and parcels from Australia include the local post and global carriers.
As the national postal service, Australia Post offers the options for individuals shipping small packages and personal items to Canada.
For small parcels to Canada, Australia post offers International Sachels for both economy delivery (in around a week) and express (in 2-4 days). Items sent via Australia Post to Canada are delivered by Canada Post.
Australian post offers three sizes of prepaid sachels for shipping to Canada:
There are also postal consolidators, such as SkippyPost, that aggregate mail for low-cost postal delivery via Singapore Post and New Zealand Post. The prices compare favourably with Australian Post but requires large volumes.
FedEx and UPS, along with DHL, are North America's largest carriers and reliable air shipping options from Australia to Canada.
Useful short video (~3 min): Best shipping options to Canada from Australia
FedEx and UPS shipping to Canada from Australia options include
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Purolator is one of Canada's leading domestic carriers and offers international express delivery to Australia via partners (such as UPS).
Transit times for international sea freight from Australia can range from approximately 1 to 3 months. Economy air cargo usually delivers within 2 weeks or faster. The major Canadian sea port of entry for cargo from Australia is Vancouver. The transit time may vary based on the shipping schedule, ports of export and import and final delivery address.
Less than container load (LCL) is best when shipping one to several pallets to Canada. This method of sharing of container space among different consignments is cost effective. But, it also extends the transit time due to the need load and de-consolidate cargo.
Full container load (FCL) is the fastest way to ship via ocean. This can be via either 40 foot or 20 foot container.a
Without the many minimum surcharges associated with ocean cargo, smaller cargo shipments via air is often cheaper. Generally, shipments of less than around 200 kilograms are cheaper via air. The heavier the cargo, the more cost effective ocean shipping becomes.
The default option for shipping internationally from Canada is Delivery Duty Unpaid (DDU). Common carriers use the term Ex Works (EXW). All import related costs assign to the consignee. Shippers from Canada can choose to pay the import fees on behalf of the receiver. Most carriers offer a Delivery Duty Paid (DDP) option. Useful Information: IncoTerms and shipping terms
Import fees on behalf of the receiver are not recoverable. The importing business may otherwise be able to claim back sales tax paid at import.
All goods valued over AUD $2,000 that are being exported from Australia must be reported to the Australian Border Force (ABF).
Shipments Requiring and Export Declaration include
Personal effects do not require an Australian export declaration.
Goods imported to Canada from Australia are subject to import duty as well as federal and provincial sales taxes. Goods valued under CAD 20 can be imported duty free.
READ MORE: Understanding Canadian import fees.
Goods valued under CAD 3 300 can be imported via the Low-Value System / LVS express processes.
READ MORE: about HS codes and shipping international cargo
Canadian Customs online portal which is designed to streamline processes and an important tool for Canadian importers. Registration is mandatory for all commercial imports. In this system, importers define who their customs broker is and must provide a surety bond
READ MORE: About CBSA Assessment and Revenue Management (CARM)
The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) is a free trade agreement that Canada shares with Australia. The agreement reduces barriers to trade and provides preferential duty free import between each other.
READ MORE: UNDERSTANDING CERTIFICATE OF ORIGIN THE BENEFITS
Canada’s Most Favoured Nation (MFN) tariff rates are generally applicable to imports from Australia. Duty free preferential import under CPTPP apply to goods imported to Canada that meet the rules of origin outlined in the agreement and accompanied by the necessary certification.
The key part of all trade agreements is ensuring the goods qualify under the country's specific rules of origin. Many incorrectly assume that if goods are sent from a qualifying country, they should qualify for duty-free status. Country of origin is not determined solely on where the goods are sent from.
Australian origin goods may qualify for duty free entry using a simplified origin declaration (see section below).
The country of origin rules have been simplified under CPTPP, but can still get complex. The guidelines for country of origin qualification include:
The amazing thing about the CPTPP is that parcels containing products valued less than CAD 3 300 do not require a certification of origin to claim CPTPP preferential tariff treatment.
Parcels containing goods valued under CAD 3 300 can be considered for duty-free status if the following is included:
BENEFITING FROM CANADA'S FREE TRADE AGREEMENTS.
Preferential tariff or duty-free treatment can be obtained for qualifying Canada-origin goods that are accompanied by a "certification origin." The goods imported to Canada must originate and be exported from a CPTPP ratified country.
Read more: Understanding a certificate of origin and when it is necessary
Rather than a separate certificate of origin, a statement on the shipping documents - including the commercial invoice - can be used to qualify the goods for duty free preferential treatment.
The statement or certification must be provided by the exporter or producer and be presented at the time of import by the importer of the goods. This information can be included on any document accompanying the shipment (such as the Commercial Invoice) or on a separate document.
The data elements do not have to follow a prescribed format, but must contain the minimum data elements listed below.
For full details regarding the minimum data requirements for the certification of origin, refer to Annex 3-B of the consolidated TPP text / CPTPP agreement.
Kindly note: Jet Worldwide Canada maintains a wonderful partnership with Jet Worldwide Australia. Different companies with a shared legacy of the legendary Peter McPaul.
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