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Update on European social compliance initiatives

Posted by Bob Kirke March 28th, 2024

Update on European social compliance initiatives

The European union is moving forward with human rights due diligence legislation and an import prohibition on goods made from forced Labour. Details below. Corporate Sustainability Due Diligence Directive (CS3D): In 2022, the European Commission adopted a proposal for a Directive on corporate sustainability due diligence. (CS3D).  The aim of this Directive is to foster sustainable and responsible corporate behaviour and to anchor human rights and environmental considerations in companies’ operations and corporate governance. The new rules will ensure that businesses …

CANADA - U.K. free trade talks break down

Posted by Bob Kirke March 27th, 2024

CANADA - U.K. free trade talks break down

  United Kingdom (UK) has pulled out of negotiations with Canada for a permanent free trade agreement, post-Brexit. Duty-free treatment for most goods will continue under temporary arrangements, yet several crucial provisions will be lost. For instance, the "origin quotas" will be eliminated as of March 31, 2024.    Origin quotas apply to a small number of apparel products and allow Canadian firms to manufacture apparel using third-country fabrics and still access the UK market duty-free.  The product most impacted …

The Canadian government agrees to review Mandate of CORE

Posted by Bob Kirke March 27th, 2024

The Canadian government agrees to review Mandate of CORE

The federal government has announced a review of the watchdog it created in 2019 to review the conduct of Canadian companies operating abroad.  Starting this year, over a six-month period, the government said it will assess the Canadian Ombudsperson for Responsible Enterprise’s “effectiveness and progress to date.” In an article on the review, a government spokesperson indicated that the review would take account of the various measures to address modern slavery and supply-chain legislation recently adopted by the federal government. The …

Exporters beware: new requirements for organic products shipped to USA

Posted by Bob Kirke March 21st, 2024

Exporters beware: new requirements for organic products shipped to USA

On March 19, 2024 new import requirements took effect that impact organic textile products shipped into the USA. The USDA published the Strengthening Organic Enforcement (SOE) final rule on January 19, 2023, which requires the use of electronic NOP Import Certificates for organic agricultural products imported into the U.S. The use of the NOP Import Certificate was mandatory as of March 19, 2024. Implementing the NOP Import Certificate involves close collaboration with U.S. Customs and Border Protection (CBP), organic certifiers, …

Environment Canada to host Workshop on Green Textile & Apparel Standards

Posted by Bob Kirke March 19th, 2024

Environment Canada to host Workshop on Green Textile & Apparel Standards

Environment and Climate Change Canada (ECCC), and the Standards Council of Canada is inviting stakeholders in the textiles and apparel sector to a virtual workshop on March 27th, from 10:00 a.m. - 2:00 p.m. EDT.   The meeting is intended to identify challenges, gaps and opportunities related to chemicals management and sustainability that could benefit from re-thought or new drivers for standardization to support the sector’s environmental performance and competitiveness. The workshop is an opportunity for industry leaders to showcase best …

Public Safety Canada provides further guidance for S-211 reporting

Posted by Bob Kirke March 15th, 2024

Public Safety Canada provides further guidance for S-211 reporting

The Canadian government has provided updated guidance on the Supply Chains Act (formerly known as Bill S-211). Some of the updates put in writing what was stated during the webinar held in January by Public Safety Canada, or otherwise provide clarification.  Canada’s Fighting Against Forced Labour and Child Labour in Supply Chains Act  (the Supply Chain Act), came into force on January 1, 2024. It requires certain companies to file reports on their supply chain activities (about measures taken to …

CAF begins work on renewal of North American Free Trade

Posted by Bob Kirke March 15th, 2024

CAF begins work on renewal of North American Free Trade

When North American countries signed the successor to the NAFTA they included a provision for a mandatory review of the agreement six years after the agreement came into force.  The Canada-United States -Mexico Agreement (CUSMA)  must be renewed by July 1, 2026, and while that date is still two years away, CAF is beginning to prepare for this renewal process. (United States Trade Representative, Katherine Tai)   Recently, US officials have warned that there is potential for substantial amendments, underlining …

Export subsidy program accepting applications until May 31, 2024

Posted by Bob Kirke March 14th, 2024

Export subsidy program accepting applications until May 31, 2024

Canada has reopened its international export subsidy program, CAN Export, which provides up to $50,000 to Canadian SMEs to suport international business development activities.  All sectors are eligible for grants: the key requirement is that the company exports goods or services to new international markets. The Canadian Apparel Federation in conjunction with Jason Berke of JB Consulting hosted a webinar on the program in 2022. For companies that are not familiar with the program, this short webinar will provide a …

CBSA poised to increase forced labour enforcement

Posted by Bob Kirke March 14th, 2024

CBSA poised to increase forced labour enforcement

On the face of it solar panels have very little to do with cotton tee shirts.  One couldn't imagine, in fact, any two products that have less in common.  That being said, they have one thing in common and that is that they often contain raw materials that may be traced to a region in China where there are allegations of systematic forced labour. Over the last two years, the United States has implemented the Uyghur Forced Labor Prevention Act …

Implementation of CBSA Assessment and Revenue Management (CARM)

Posted by Bob Kirke February 16th, 2024

Implementation of CBSA Assessment and Revenue Management (CARM)

Importers will be aware of a major transition in custom administration, soon to be implemented by CBSA. CARM is a long-standing initiative to update the processing and payment of duties and taxes on imported goods. The project has been plagued by innumerable delays, uneven communication with industry and concerns about the viability of the program.  The Canadian government has indicated that it is moving forward with this program, effective May 13, 2024.     On March 13, 2024 the government …

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