According to the Canadian Border Services Agency (CBSA) Courier Low Value Shipment Program Moratorium Update, the Courier Low Value Shipment Program (LVS) was implemented in 1993 and was meant to streamline and expedite the processing of authorized participants' low value courier shipments. In 2010-2011, 32 Million Courier LVS Program shipments were processed. Due to the extensive benefits and privileges afforded to its participants, more stringent eligibility requirements have become necessary to ensure program integrity.In addition to the existing requirement for participants to be bonded carriers, the CBSA proposes to restrict participation in the program to:

  1. companies that are approved Partners is Protection (PIP) members, in addition, Courier LVS Program shipments must be imported and transported by approved PIP carriers;
  2. companies that will allow the CBSA the use of their proprietary systems for report, release and risk assessment purposes; and
  3. companies that will also transmit their pre-arrival cargo data to the CBSA as they do today for high value shipments.

The ultimate vision for the Courier LVS Program is that pre-arrival, report and release data will be input directly into a CBSA system, such as the case with the regular commercial process today. The new eligibility requirements will ensure that the Courier LVS Program is harmonized with the other CBSA import streams and World Customs Organization international standards. The Program will continue to provide an expedited service within a secure environment and operate within the CBSA mandate by providing a proper balance between facilitation and security.New applicants will be required to meet the first two requirements prior to being accepted. Current participants will be given until December 31, 2011 to comply.Need more information? Pacific Customs Brokers is pleased to offer “Partners In Protection” Consulting, as well as a series of Trade Compliance Seminars on topics varying from U.S. and Canadian Customs Compliance, NAFTA Rules of Origin, Harmonized System Tariff and Classification Workshop, U.S. Food and Drug Administration, and Canadian Food Inspection Agency.If you would like further information on any of these topics, please send an email to [email protected] and we”d be pleased to assist.

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While we strive for accuracy in all our communications, as the Importer of Record it is incumbent upon your company to ensure that you are aware of the requirements under the new regulations so that you maintain compliance as always.