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City of Port Colborne

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Friday, May 24, 2013
 
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Port Colborne as a Foreign Trade Zone

Port Colborne's strategic location and multi-modal transportation options provide a unique opportunity for your company to operate as a foreign trade zone.

Foreign trade zones programs are available now in the City of Port Colborne. These programs provide special customs procedures to industries engaged in international trade. Through offering incentives that eliminate or lessen the burden of tariffs on imports, as well as local value-added taxes, foreign trade zones provide cost saving measures to industries that operate within them.

In addition, Port Colborne's close proximity to the US border and the ability to reach international markets through road, rail, and water makes Port Colborne the prime location for your importing/exporting business. Located within a day's drive of 44 percent of North America's annual income, Port Colborne is well poised to serve markets along the eastern seaboard of the United States and the Windsor-Quebec City corridor in Canada. Strategically located on the St. Lawrence Seaway System, Port Colborne is accessible to markets around the world. The City-owned Port Colborne Harbour Railway connects with two transcontinental rail lines, making Port Colborne a multi-modal destination.

 
 
 

Free Trade Programs

Below are three foreign trade programs businesses can take advantage from in Port Colborne. More information about these programs is available through The Government of Canada's "Canada's Gateways" website.

The Duty Deferral Program (DDP)

The DDP is administered by the Canada Border Services Agency (CBSA). If you qualify for the program, the CBSA can postpone or refund duties and taxes you would otherwise have to pay on goods you import.

By eliminating or deferring these costs, the DDP can increase your cash flow, free up your working capital and allow you to price your exports more competitively. Taking advantage of the DDP can also help you develop your business by making it easier to attract investment and to partner with other companies.

The Export Distribution Centre Program (EDCP)

The EDCP is administered by the Canada Revenue Agency (CRA) and is intended to benefit businesses that import goods and/or acquire goods in Canada, process them to add limited value and then export them.

If you qualify for the program, you don't have to pay GST/HST on most of your imported goods, or on domestic purchases of goods worth $1,000 or more. This improves your cash flow because you don't need to pay the taxes up front, claim an input tax credit on your GST/HST return and then wait for your net tax refund to arrive.

The Exporters of Processing Services (EOPS) Program

The EOPS Program is administered by the CRA. It relieves participants of the obligation to pay GST/HST on imports of goods belonging to nonresidents, provided that these goods are imported for processing, distribution or storage and are subsequently exported. Participating in the program thus helps your cash flow and reduces your operating expenses.

Unlike the EDCP, however, the EOPS Program imposes no minimum level of export sales that you must meet in order to maintain your eligibility. It also sets no limits on the value you can add to a non-resident's goods, which means you can use those goods to manufacture or produce other products for foreign customers, all without endangering your EOPS eligibility.

 
 
 

Contact Information

For more information or further assistance, please contact:

Stephen Thompson
General Manager & Director
Economic Development, Tourism & Marketing
City of Port Colborne
296 Fielden Avenue
Port Colborne, Ontario, L3K 4T6
Tel: 905-834-1668 ext. 500
Fax: 905-834-2072
Email Stephen Thompson

 
 
 
 
City of Port Colborne
66 Charlotte Street, Port Colborne
Ontario, L3K 3C8
(905) 835-2900
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